[JPRT, 108th Congress]
[From the U.S. Government Publishing Office]




                  COMMITTEE ON INTERNATIONAL RELATIONS
                     COMMITTEE ON FOREIGN RELATIONS

=======================================================================

 
        Legislation on
        Foreign Relations
        Through 2000

                                     
[GRAPHIC] [TIFF OMITTED] TONGRESS.#15

                                     


                         JOINT COMMITTEE PRINT

                             FEBRUARY 2004

                               VOLUME III

                        CURRENT LEGISLATION AND

                        RELATED EXECUTIVE ORDERS

                     U.S. House of Representatives

                              U.S. Senate
       Legislation on Foreign Relations Through 2000--Volume III



                  COMMITTEE ON INTERNATIONAL RELATIONS
                     COMMITTEE ON FOREIGN RELATIONS

=======================================================================


        Legislation on
        Foreign Relations
        Through 2000

                                     
[GRAPHIC] [TIFF OMITTED] TONGRESS.#15

                                     

                             FEBRUARY 2004

                               VOLUME III

                        CURRENT LEGISLATION AND

                        RELATED EXECUTIVE ORDERS

                     U.S. House of Representatives

                              U.S. Senate

 Printed for the use of the Committees on International Relations and 
   Foreign Relations of the House of Representatives and the Senate 
                              respectively



                    u.s. government printing office
                           washington : 2004
91-575 PS                                                               
                                             

_______________________________________________________________________

 For sale by the Superintendent of Documents, U.S. Government Printing 
                                 Office
                         Washington, D.C. 20402


                  COMMITTEE ON INTERNATIONAL RELATIONS

                   HENRY J. HYDE, Illinois, Chairman

JAMES A. LEACH, Iowa                 TOM LANTOS, California
DOUG BEREUTER, Nebraska              HOWARD L. BERMAN, California
CHRISTOPHER H. SMITH, New Jersey,    GARY L. ACKERMAN, New York
  Vice Chairman                      ENI F.H. FALEOMAVAEGA, American 
DAN BURTON, Indiana                  Samoa
ELTON GALLEGLY, California           DONALD M. PAYNE, New Jersey
ILEANA ROS-LEHTINEN, Florida         ROBERT MENENDEZ, New Jersey
CASS BALLENGER, North Carolina       SHERROD BROWN, Ohio
DANA ROHRABACHER, California         BRAD SHERMAN, California
EDWARD R. ROYCE, California          ROBERT WEXLER, Florida
PETER T. KING, New York              ELIOT L. ENGEL, New York
STEVE CHABOT, Ohio                   WILLIAM D. DELAHUNT, Massachusetts
AMO HOUGHTON, New York               GREGORY W. MEEKS, New York
JOHN M. McHUGH, New York             BARBARA LEE, California
ROY BLUNT, Missouri                  JOSEPH CROWLEY, New York
THOMAS G. TANCREDO, Colorado         JOSEPH M. HOEFFEL, Pennsylvania
RON PAUL, Texas                      EARL BLUMENAUER, Oregon
NICK SMITH, Michigan                 SHELLEY BERKLEY, Nevada
JOSEPH R. PITTS, Pennsylvania        GRACE F. NAPOLITANO, California
JEFF FLAKE, Arizona                  ADAM B. SCHIFF, California
JO ANN DAVIS, Virginia               DIANE E. WATSON, California
MARK GREEN, Wisconsin                ADAM SMITH, Washington
JERRY WELLER, Illinois               BETTY McCOLLUM, Minnesota
MIKE PENCE, Indiana                  CHRIS BELL, Texas
THADDEUS G. McCOTTER, Michigan
KATHERINE HARRIS, Florida

         Thomas E. Mooney, Sr., Staff Director/General Counsel

               Robert R. King, Democratic Staff Director

                                 ______

                     COMMITTEE ON FOREIGN RELATIONS

                  RICHARD G. LUGAR, Indiana, Chairman

CHUCK HAGEL, Nebraska                JOSEPH R. BIDEN, Jr., Delaware
LINCOLN D. CHAFEE, Rhode Island      PAUL S. SARBANES, Maryland
GEORGE ALLEN, Virginia               CHRISTOPHER J. DODD, Connecticut
SAM BROWNBACK, Kansas                JOHN F. KERRY, Massachusetts
MICHAEL B. ENZI, Wyoming             RUSSELL D. FEINGOLD, Wisconsin
GEORGE V. VOINOVICH, Ohio            BARBARA BOXER, California
LAMAR ALEXANDER, Tennessee           BILL NELSON, Florida
NORM COLEMAN, Minnesota              JOHN D. ROCKEFELLER IV, West 
JOHN E. SUNUNU, New Hampshire        Virginia
                                     JON S. CORZINE, New Jersey

                 Kenneth A. Myers, Jr., Staff Director

              Antony J. Blinken, Democratic Staff Director

                                  (ii)

  
?

                                FOREWORD

                              ----------                              

    This volume of legislation and related material is part of 
a five volume set of laws and related material frequently 
referred to by the Committees on International Relations of the 
House of Representatives and Foreign Relations of the Senate, 
amended to date and annotated to show pertinent history or 
cross references.
    Volumes I (A and B), II, III and IV contain legislation and 
related material and are republished with amendments and 
additions on a regular basis. Volume V, which contains treaties 
and related material, will be revised as necessary.
    We  wish  to  express  our  appreciation  to  Vivian  C.  
Jones  and C. Winston Woodland of the Foreign Affairs, Defense, 
and Trade Division of the Congressional Research Service of the 
Library of Congress who prepared volume III of this year's 
compilation.
                                           Henry J. Hyde,
                    Chairman, Committee on International Relations.
                                           Richard G. Lugar,
                          Chairman, Committee on Foreign Relations.

                                                 February 16, 2004.

                                 (iii)
?

                            EXPLANATORY NOTE

                              ----------                              

    The body of statutory law set out in this volume was in 
force, as amended, at the end of 2000.
    This volume sets out ``session law'' as originally enacted 
by Congress and published by the Archivist of the United States 
as ``slip law'' and later in the series United States Statutes 
at Large (as subsequently amended, if applicable). Amendments 
are incorporated into the text and distinguished by a footnote. 
Session law is organized in this series by subject matter in a 
manner designed to meet the needs of the Congress.
    Although laws enacted by Congress in the area of foreign 
relations are also codified by the Law Revision Counsel of the 
House of Representatives, typically in title 22 United States 
Code, those codifications are not positive law and are not, in 
most instances, the basis of further amendment by the Congress. 
Cross references to the United States Code are included as 
footnotes for the convenience of the reader.
    All Executive orders and State Department delegations of 
authority are codified and in force as of December 31, 2000.
    Corrections may be sent to Vivian C. Jones at the Library 
of Congress, Congressional Research Service, Washington, D.C., 
20540-7460, or by e-mail at [email protected].

                                  (v)
?

                             ABBREVIATIONS

                              ----------                              



Bevans......................................  Treaties and Other
                                               International Agreements
                                               of the United States of
                                               America, 1776-1949,
                                               compiled under the
                                               direction of Charles I.
                                               Bevans.
CFR.........................................  Code of Federal
                                               Regulations.
EAS.........................................  Executive Agreement
                                               Series.
F.R.........................................  Federal Register.
LNTS........................................  League of Nations Treaty
                                               Series.
I Malloy, II Malloy.........................  Treaties, Conventions,
                                               International Acts,
                                               Protocols, and Agreements
                                               Between the United States
                                               of America and Other
                                               Powers, 1776-1909,
                                               compiled under the
                                               direction of the United
                                               States Senate by William
                                               M. Malloy.
Stat........................................  United States Statutes at
                                               Large.
TIAS........................................  Treaties and Other
                                               International Acts
                                               Series.
TS..........................................  Treaty Series.
UNTS........................................  United Nations Treaty
                                               Series.
U.S.C.......................................  United States Code.
UST.........................................  United States Treaties and
                                               Other International
                                               Agreements.


                                  (vi)


                            C O N T E N T S

                              ----------                              
                                                                   Page

FOREWORD.........................................................   iii

EXPLANATORY NOTE.................................................     v

ABBREVIATIONS....................................................    vi

I. INTERNATIONAL FINANCIAL INSTITUTIONS..........................     1

 1. Authorization for U.S. Participation.........................     3
 2. Authorization for Increased U.S. Participation...............   117
 3. Other Legislation Relating to International Financial 
    Institutions.................................................   135

J. FOREIGN ECONOMIC POLICY: TARIFF AND TRADE LAWS................   227

 1. Trade Legislation and Related Documents......................   233
 2. Export-Import Bank...........................................  1060
 3. Export Expansion.............................................  1166
 4. Export Administration........................................  1170
 5. International Economic Sanctions.............................  1292
 6. Johnson Act--Financial Transactions With Foreign Governments 
    (Public Law 80-772) (partial text)...........................  1498
 7. Foreign Investment in the United States......................  1499
 8. Collection and Publication of Foreign Commerce and Trade 
    Statistics (Public Law 87-826)...............................  1525
 9. Materials and Commodities....................................  1530
10. Foreign Corrupt Practices....................................  1545

APPENDICES.......................................................  1559

INDEX............................................................  1593

                                 (vii)


=======================================================================




                I. INTERNATIONAL FINANCIAL INSTITUTIONS

                                CONTENTS

                                                                   Page

1. Authorization for U.S. Participation..........................     3
      a. International Monetary Fund/World Bank Group............     3
            (1) Bretton Woods Agreements Act, as amended (Public 
                Law 79-171)......................................     3
            (2) Bretton Woods Agreements Act Amendments, 1980 
                (Public Law 96-389) (partial text)...............    37
            (3) Bretton Woods Agreements Act Amendments, 1978 
                (Public Law 95-435) (partial text)...............    39
            (4) International Development Association Act, as 
                amended (Public Law 86-565)......................    41
            (5) Special Facility for Sub-Saharan Africa (Title I 
                of H.R. 2253, as enacted into law by sec. 101(i) 
                of Public Law 99-190) (partial text).............    48
            (6) International Finance Corporation Act, as amended 
                (Public Law 84-350)..............................    50
            (7) Multilateral Investment Guarantee Agency Act 
                (Title IV of H.R. 3570, as enacted into law by 
                sec. 101(e) of Public Law 100-202) (partial text)    55
      b. Inter-American Development Bank.........................    60
            (1) Inter-American Development Bank Act, as amended 
                (Public Law 86-147)..............................    60
            (2) Inter-American Investment Corporation Act (Title 
                II of S. 2416, as introduced in the Senate on 
                March 13, 1984 and enacted into law by Public Law 
                98-473) (partial text)...........................    77
      c. Asian Development Bank Act, as amended (Public Law 89-
          369)...................................................    81
      d. African Development Bank Act (Public Law 97-35) (partial 
          text)..................................................    92
      e. African Development Fund Act, as amended (Public Law 94-
          302) (partial text)....................................    97
      f. European Bank for Reconstruction and Development Act 
          (Public Law 101-513) (partial text)....................   103
      g. North American Development Bank (Public Law 103-182) 
          (partial text).........................................   108
      h. Bank for Economic Cooperation and Development in the 
          Middle East and North Africa Act (Public Law 104-208) 
          (partial text).........................................   114
2. Authorization for Increased U.S. Participation................   117
      a. International Development and Finance Act of 1989 
          (Public Law 101-240) (partial text)....................   117
      b. Providing for U.S. Participation in a Capital Stock 
          Increase for the International Bank for Reconstruction 
          and Development and Replenishment of the African 
          Development Fund (H.R. 4645, as passed by the House on 
          September 28, 1988, and enacted into law by sec. 555 of 
          Public Law 100-461) (partial text).....................   129
      c. Providing for Increased Participation by the United 
          States in the Inter-American Development Bank, the 
          Asian Development Bank, and the African Development 
          Fund (Public Law 96-259) (partial text)................   133
3. Other Legislation Relating to International Financial 
    Institutions.................................................   135
      a. International Financial Institutions Act (Public Law 95-
          118) (partial text)....................................   135
      b. Mexican Debt Disclosure Act of 1995 (Public Law 104-6) 
          (partial text).........................................   186
      c. FREEDOM Support Act of 1992 (Public Law 102-511) 
          (partial text).........................................   190
      d. IFI Funding for Mines (Public Law 99-88) (partial text).   192
      e. Foreign Operations Appropriations Instructions, Fiscal 
          Year 2001 (Public Law 106-429) (partial text)..........   194
      f. International Lending Supervision Act of 1983 (Title IX 
          of Public Law 98-181)..................................   204
      g. Multilateral Development Banks--Sense of Congress (Title 
          X of Public Law 98-181) (partial text).................   213
      h. Foreign Currency Reports (Public Law 93-110) (partial 
          text)..................................................   215
      i. Par Value Modification Act, as amended (Public Law 92-
          268)...................................................   220
      j. Special Drawing Rights Act, as amended (Public Law 90-
          349)...................................................   221
      k. Convention on the Settlement of Investment Disputes Act 
          of 1966 (Public Law 89-532) (partial text).............   223
      l. National Advisory Council on International Monetary and 
          Financial Policies (Executive Order 11269, as amended).   224

=======================================================================

      
                1. Authorization for U.S. Participation

            a. International Monetary Fund/World Bank Group

              (1) Bretton Woods Agreements Act, as amended

Public Law 79-171 [H.R. 3314], 59 Stat. 512, approved July 31, 1945, as 
amended by Public Law 80-472 [S. 2202], 62 Stat. 137, approved April 3, 
 1948; Public Law 81-142 [H.R. 4332], 63 Stat. 298, approved June 29, 
1949; Public Law 82-165 [H.R. 5113], 65 Stat. 373, approved October 10, 
1951; Reorganization Plan No. 7 of 1953, August 1, 1953, 18 F.R. 4541, 
   67 Stat. 639: Public Law 83-570 [S. 3589], 68 Stat. 677, approved 
August 9, 1954; Public Law 86-48 [S. 1094], 73 Stat. 80, approved June 
 17, 1959; Public Law 87-490 [H.R. 10162], 76 Stat. 105, approved June 
    19, 1962; Public Law 88-178 [H.R. 7405], 77 Stat. 334, approved 
November 13, 1963; Public Law 89-31 [H.R. 6497], 79 Stat. 119, approved 
   June 2, 1965; Public Law 89-126 [S. 1742], 79 Stat. 519, approved 
    August 14, 1965; Public Law 91-599 [H.R. 18306], 84 Stat. 1657, 
 approved December 30, 1970; Public Law 93-94 [S. 1887], 87 Stat. 314, 
  approved August 15, 1973; Public Law 94-564 [H.R. 13955], 90 Stat. 
   2660, approved October 19, 1976; Public Law 95-118 [International 
Financial Institutions Act; H.R. 5262], 91 Stat. 1067, approved October 
3, 1977; Public Law 95-147 [H.R. 5675], 91 Stat. 1227 at 1228, approved 
   October 28, 1977; Public Law 95-435 [Bretton Woods Agreements Act 
Amendments, 1978; H.R. 9214], 92 Stat. 1051, approved October 10, 1978; 
 Public Law 96-389 [Bretton Woods Agreements Act Amendments, 1980; S. 
   2271], 94 Stat. 1551, approved October 7, 1980; Public Law 97-35 
[Omnibus Budget Reconciliation Act of 1981; H.R. 3982], 95 Stat. 357 at 
740 and 746, approved August 13, 1981, Public Law 98-181 [Supplemental 
Appropriations Act, 1984; H.R. 3959], 97 Stat. 1153, approved November 
 30, 1983; Public Law 99-190 [Further Continuing Appropriations, 1986; 
 H.J. Res. 465], 99 Stat. 1185, approved December 19, 1985; Public Law 
99-591 [Continuing Appropriations Act, 1987; H.J. Res. 738], 100 Stat. 
    3341, approved October 30, 1986; Public Law 100-202 [Continuing 
Appropriations, 1988; H.J. Res. 395], 101 Stat. 1329, approved December 
     22, 1987; H.R. 4645 as enacted by Public Law 100-461 [Foreign 
Operations, Export Financing, and Related Programs Appropriations Act, 
1989; H.R. 4637], 102 Stat. 2268, approved October 1, 1988; Public Law 
101-240 [International Development and Finance Act of 1989; H.R. 2494], 
103 Stat. 2492, approved December 19, 1989; Public Law 102-511 [FREEDOM 
   Support Act, S. 2532], 106 Stat. 3320, approved October 24, 1992; 
Public Law 103-149 [South African Democratic Transition Support Act of 
 1993; H.R. 3225], 107 Stat. 1503, approved November 23, 1993; Public 
     Law 105-277 [Omnibus Consolidated and Emergency Supplemental 
Appropriations Act, 1999; H.R. 4328] 112 Stat. 2681-1, approved October 
    21, 1998; Public Law 106-36 [Miscellaneous Trade and Technical 
  Corrections Act of 1999; H.R. 435] 113 Stat 127, approved June 25, 
 1999; Public Law 106-113 [Consolidated Appropriations Act, 2000; H.R. 
    3194] 113 Stat. 1501, approved November 29, 1999; and H.R. 5526 
      [Foreign Operations, Export Financing and Related Programs 
  Appropriations Act, 2001] as enacted by reference in Public Law 106-
             429, 114 Stat. 1900, approved November 6, 2000

  AN ACT To provide for the participation of the United States in the 
      International Monetary Fund and the International Bank for 
                    Reconstruction and Development.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

                              SHORT TITLE

    Section 1. This Act may be cited as the ``Bretton Woods 
Agreements Act.''

                        ACCEPTANCE OF MEMBERSHIP

    Sec. 2.\1\ The President is hereby authorized to accept 
membership for the United States in the International Monetary 
Fund (herein after referred to as the ``Fund''), and in the 
International Bank for Reconstruction and Development 
(hereinafter referred to as the ``Bank''), provided for the 
Articles of Agreement of the Fund and the Articles of Agreement 
of the Bank as set forth in the Final Act of the United Nations 
Monetary and Financial Conference dated July 22, 1944, and 
deposited in the archives of the Department of State.
---------------------------------------------------------------------------
    \1\ 22 U.S.C. 286.
---------------------------------------------------------------------------

     APPOINTMENT OF GOVERNORS, EXECUTIVE DIRECTORS, AND ALTERNATES

    Sec. 3.\2\ (a) The President, by and with the advice and 
consent of the Senate, shall appoint a governor of the Fund who 
shall also serve as governor of the Bank, and an executive 
director of the Fund and an executive director of the Bank. The 
executive directors so appointed shall also serve provisional 
executive directors of the Fund and the Bank for the purposes 
of the respective Articles of Agreement. The term of office for 
the governor of the Fund and of the Bank shall be five years. 
The term of office for the executive directors shall be two 
years, but the executive directors shall remain in office until 
their successors have been appointed.
---------------------------------------------------------------------------
    \2\ 22 U.S.C. 286a. See sec. 3 of the International Finance 
Corporation Act, page 50. See sec. 3 of the International Development 
Association Act, page 41.
---------------------------------------------------------------------------
    (b) The President, by and with the advice and consent of 
the Senate, shall appoint an alternate for the governor of the 
fund and an alternate for the governor of the Bank.\3\ The 
President, by and with the advice and consent of the Senate, 
shall appoint an alternate for each of the executive directors. 
The alternate for each executive director shall be appointed 
from among individuals recommended to the President by the 
executive director. The terms of office for alternates for the 
governor and the executive directors shall be the same as the 
terms specified in subsection (a) for the governor and 
executive directors.
---------------------------------------------------------------------------
    \3\ Public Law 93-94 (87 Stat. 314) substituted the words ``and an 
alternate for the governor of the Bank'' for ``who shall also serve as 
alternate for the governor of the bank''.
---------------------------------------------------------------------------
    (c) \4\ Should the provisions of Schedule D of the Articles 
of Agreement of the Fund apply, the Governor of the Fund shall 
also serve as councillor, shall designate an alternate for the 
councillor, and may designate associates.
---------------------------------------------------------------------------
    \4\ Upon entry into force on Apr. 1, 1978 of the amendments to the 
Articles of Agreement to the IMF, subsecs. (c) and (d), as provided for 
in sec. 2 of Public Law 94-564, became effective. The old subsec. (c) 
language which was struck was essentially the same as the new subsec. 
(d)(1) but without references to the councillor or associate.
---------------------------------------------------------------------------
    (d) \4\ (1) \5\ No person shall be entitled to receive any 
salary or other compensation from the United States for 
services as a Governor, executive director, councillor, 
alternate, or associate.
---------------------------------------------------------------------------
    \5\ Sec. 2 of Public Law 95-435 (92 Stat. 1051) added the paragraph 
designation ``(1)'' and added pars. (2) and (3).
---------------------------------------------------------------------------
    (2) \5\ The United States executive director of the Fund 
shall not be compensated by the Fund at a rate in excess of the 
rate provided for an individual occupying a position at level 
IV of the Executive Schedule under section 5315 of title 5, 
United States Code. The United States alternate executive 
director of the Fund shall not be compensated by the Fund at a 
rate in excess of the rate provided for an individual occupying 
a position at level V of the Executive Schedule under section 
5316 of title 5, United States Code.
    (3) \5\ The Secretary of the Treasury shall instruct the 
United States executive director of the Fund to present to the 
Fund's Executive Board a comprehensive set of proposals, 
consistent with maintaining high levels of competence of Fund 
personnel and consistent with the Articles of Agreement, with 
the objective of assuring that salaries and other compensation 
accorded Fund employees do not exceed those received by persons 
filling similar levels of responsibility within national 
government service or private industry. The Secretary shall 
report these proposals together with any measures adopted by 
the Fund's Executive Board to the Congress prior to February 1, 
1979.I89national advisory council on international monetary and 
financial problems
    Sec. 4.\6\ (a) In order to coordinate the policies and 
operations of the representatives of the United States on the 
Fund and the Bank and of all agencies of the Government which 
make or participate in making foreign loans or which engage in 
foreign financial, exchange or monetary transactions, there is 
hereby established the National Advisory Council on 
International Monetary and Financial Problems (hereinafter 
referred to as the ``Council''), consisting of the Secretary of 
the Treasury, as Chairman, the Secretary of State, the 
Secretary of Commerce, the Chairman of the Board of Governors 
of the Federal Reserve System,\7\ the President of the Export-
Import Bank of Washington, and during such period as the 
Foreign Operations Administration shall continue to exist, the 
Director of the Foreign Operations Administration.
---------------------------------------------------------------------------
    \6\ 22 U.S.C. 286b. See sec. 5 of the International Finance 
Corporation Act, page 42. See sec. 4 of the International Development 
Association Act and sec. 4 of the Inter-American Development Bank Act, 
pages 51 and 61, respectively.
    For revisions of functions and status of the Council, see 
Reorganization Plan No. 4 of 1965 (sec. 16, sec. 3(a) and sec. 3(b)). 
See also Executive Order 11269.
    \7\ The material following ``. . . Federal Reserve System,'' read 
as follows in the original act: ``and the Chairman of the Board of 
Trustees of the Export-Import Bank of Washington''. Subsection 4(a) has 
been amended by the following:
    (1) The Economic Corporation Act of 1948 (62 Stat. 141), sec. 106 
of which amended subsec. 4(a) so as to include the Administrator for 
Economic Cooperation ``during such period as the Economic Cooperation 
Administration shall continue to exist'';
    (2) The Mutual Security Act of 1951 (65 Stat. 378), sec. 501(e)(2) 
of which amended subsec. 4(a), by substituting the Mutual Security 
Agency and the Director for Mutual Security for the Economic 
Cooperation Administration and the Administrator for Economic 
Cooperation respectively;
    (3) Reorganization Plan No. 5 of 1953, effective June 30, 1953 (67 
Stat. 637), sec. 7 of which abolished the function of the Chairman of 
the Board of Directors of the Export-Import Bank of Washington of being 
a member of the National Advisory Council;
    (4) Reorganization Plan No. 7 of 1953, effective Aug. 1, 1953 (67 
Stat. 6400), sec. 4 of which provided that the Director of the Foreign 
Operations Administration should be a member of the National Advisory 
Council;
    (5) Public Law 83-570 (68 Stat. 677, 678), sec. 2 of which inserted 
the part of the text quoted above following ``. . . the Federal Reserve 
System''
    Executive Order 10610 (20 F.R. 3179; effective July 1, 1955), 
abolished the Foreign Operations Administration and the Office of 
Director of the Foreign Operations Administration, and the membership 
of the Director of the Foreign Operations Administration on the 
National Advisory Council thereby expired by operation of law effective 
on that date.
---------------------------------------------------------------------------
    (b)(1) The Council, after consultation with the 
representatives of the United States on the Fund and the Bank, 
shall recommend to the President general policy directives for 
the guidance of the representatives of the United States on the 
Fund and the Bank.
    (2) The Council shall advise and consult with the President 
and the representatives of the United States on the Fund and 
the Bank on major problems arising in the administration of the 
Fund and the Bank.
    (3) The Council shall coordinate, by consultation or 
otherwise, so far as is practicable, the policies and 
operations of the representatives of the United States on the 
Fund and the Bank, the Export-Import Bank of Washington and all 
other agencies of the Government to the extent that they make 
or participate in the making of foreign loans or engage in 
foreign, financial, exchange or monetary transactions.
    (4) Whenever, under the Articles of Agreement of the Fund 
or the Articles of Agreement of the Bank, the approval, consent 
or agreement of the United States is required before an act may 
be done by the respective institutions, the decision as to 
whether such approval, consent, or agreement, shall be given or 
refused shall (to the extent such decision is not prohibited by 
section 5 of this Act) be made by the Council, under the 
general direction of the President. No governor, executive 
director, or alternate representing the United States shall 
vote in favor of any waiver of condition under article V, 
section 4, or in favor of any declaration of the United States 
dollar as a scarce currency under article VII, section 3, of 
the Articles of Agreement of the Fund, without prior approval 
of the Council.
    (5) \8\ The Council shall make such reports and 
recommendations to the President as he may from time to time 
request, or as the Council may consider necessary to more 
effectively or efficiently accomplish the purposes of this Act 
or the purposes for which the Council is created.
---------------------------------------------------------------------------
    \8\ Sec. 541 of the International Development and Finance Act of 
1989 (Public Law 101-240; 103 Stat. 2518) consolidated several 
reporting requirements into new secs. 1701-1703 and titles XVIII and 
XIX of the International Financial Institutions Act and repealed 
duplicative requirements in other legislation. Sec. 541(d)(1) of the 
International Development and Finance Act of 1989 (Public Law 101-240; 
103 Stat. 2518) repealed clauses (5) and (6), and redesignated clauses 
(7) and (8) as (5) and (6), respectively. Clauses (5) and (6) formerly 
read as follows:
    ``(5) The Council shall transmit to the President and to the 
Congress an annual report with respect to the participation of the 
United States in the Fund and Bank.
    ``(6) Each such report shall contain such data concerning the 
operations and policies of the Fund and Bank, such recommendations 
concerning the Fund and Bank, and such other data and material as the 
Council may deem appropriate.''.
---------------------------------------------------------------------------
    (6) \8\ The general policy objectives of the guidance of 
the United States Executive Director of the Bank shall take 
into account the effect that development assistance loans have 
upon individual industry sectors and international commodity 
markets--
          (A) to minimize projected adverse impacts; and
          (B) to avoid, wherever possible, government 
        subsidization of production and exports of 
        international commodities without regard to economic 
        conditions in the markets for such commodities.
    (c) The representatives of the United States on the Fund 
and the Bank, and the Export-Import Bank of Washington (and all 
other agencies of the Government to the extent that they make 
or participate in the making of foreign loans or engage in 
foreign financial, exchange or monetary transactions) shall 
keep the Council fully informed of their activities and shall 
provide the Council with such further information or data in 
their possession as the Council may deem necessary to the 
appropriate discharge of its responsibilities under this Act.

           CERTAIN ACTS NOT TO BE TAKEN WITHOUT AUTHORIZATION

    Sec. 5.\9\ Unless Congress by law authorizes such action, 
neither the President nor any person or agency shall on behalf 
of the United States (a) request or consent to any change in 
the quota of the United States under article III, section 2(a), 
of the Articles of Agreement of the Fund; (b) propose a par 
value for the United States dollar under paragraph 2, paragraph 
4, or paragraph 10 of schedule C of the Articles of Agreement 
of the Fund; (c) propose any change in the par value of the 
United States dollar under paragraph 6 of schedule C of the 
Articles of Agreement of the Fund, or approve any general 
change in par values under paragraph 11 of schedule C; (d) 
subscribe to additional shares of stock under article II, 
section 3, of the Articles of Agreement of the Bank; (e) accept 
any amendment under article XXVIII of the Articles of Agreement 
of the Fund on article VIII of the Articles of Agreement of the 
Bank; (f) make any loan to the Fund or the Bank; or (g) \10\ 
approve any disposition of Fund gold, unless the Secretary 
certifies to the Congress that such disposition is necessary 
for the Fund to restitute gold to its members, or for the Fund 
to provide liquidity that will enable the Fund to meet member 
country claims on the Fund or to meet threats to the systemic 
stability of the international financial system. Unless 
Congress by law authorizes such action, no governor or 
alternate appointed to represent the United States shall vote 
for an increase of capital stock of the Bank under article II, 
section 2, of the Articles of Agreement of the Bank, if such 
increase involves an increased subscription on the part of the 
United States.\11\ Neither the President nor any person or 
agency shall, on behalf of the United States, consent to any 
borrowing (other than borrowing from a foreign government or 
other official public source) by the Fund or funds denominated 
in United States dollars, unless the Secretary of the Treasury 
transmits a notice of such proposed borrowing to both Houses of 
the Congress at least 60 days prior to the date on which such 
borrowing is scheduled to occur.\12\
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    \9\ 22 U.S.C. 286c. Upon entry into force on Apr. 1, 1978 of the 
amendments to the Articles of Agreement of the IMF, the first sentence 
of sec. 5, as provided for by sec. 3 of Public Law 94-564, was amended 
and restated. It formerly read as follows:
    ``Unless Congress by law authorizes such action, neither the 
President nor any person or agency shall on behalf of the United States 
(a) request or consent to any change in the quota of the United States 
under article III, section 2, of the Articles of Agreement of the Fund; 
(b) propose or agree to any change in the par value of the United 
States dollar under article IV, section 5, or article XX, section 4, of 
the Articles of Agreement of the Fund, or approve any general change in 
par values under article IV, section 7; (c) subscribe to additional 
shares of stock under article II, section 3, of the Articles of 
Agreement of the Bank; (d) accept any amendment under article XVII of 
the Articles of Agreement of the Fund or article VIII of the Articles 
of Agreement of the Bank; (e) make any loan to the Fund or the Bank.''.
    \10\ Clause (g), which had been added as part of the amendment 
described in footnote 9, was further amended by sec. 4(a)(1) of Public 
Law 95-147 (91 Stat. 1228) to read ``approve either the disposition of 
more than 25 million ounces of Fund gold for the benefit of the Trust 
Fund established by the Fund on May 6, 1976, or the establishment of 
any additional trust fund whereby resources of the International 
Monetary Fund would be used for the special benefit of a single member, 
or of a particular segment of the membership, of the Fund.'' Although 
it never became effective, the original clause (g) read as follows:
    ``(g) approve the establishment of any additional trust fund, for 
the special benefit of a single member, or of a particular segment of 
the membership, of the Fund.''.
    Sec. 504(d)(1) of Public Law 106-113 (113 Stat. 1501A-317) further 
amended clause (g) by striking the clause as read above and inserting 
``approve any disposition of Fund gold, unless the Secretary certifies 
to the Congress that such disposition is necessary for the Fund to 
restitute gold to its members, or for the Fund to provide liquidity 
that will enable the Fund to meet member country claims on the Fund or 
to meet threats to the systemic stability of the international 
financial system.''
    \11\ The words ``if such increase involves an increased 
subscription on the part of the United States'' were added by sec. 1(2) 
of Public Law 89-126 (79 Stat. 519).
    \12\ Sec. 811 of Public Law 98-181 (97 Stat. 1274) added this 
sentence.
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                              DEPOSITORIES

    Sec. 6.\13\ Any Federal Reserve Bank which is requested to 
do so by the Fund or the Bank shall act as its depository or 
its fiscal agent, and the Board of Governors of the Federal 
Reserve System shall supervise and direct the carrying out of 
these functions by the Federal Reserve banks.
---------------------------------------------------------------------------
    \13\ 22 U.S.C. 286d.
---------------------------------------------------------------------------

                        PAYMENT OF SUBSCRIPTIONS

    Sec. 7. (a) Subsection (c) of section 10 of the Gold 
Reserve Act of 1934, as amended (U.S.C. title 31, sec. 
822a),\14\ is amended to read as follows:
---------------------------------------------------------------------------
    \14\ Public Law 97-258 recodified title 31, U.S.C., and sec. 822a 
became sec. 5302. Public Law 97-258, in redesignating sec. 822a as sec. 
5302, also amended the text, and the amendment made to subsec. (c) by 
this section was omitted.
---------------------------------------------------------------------------
    ``(c) The Secretary of the Treasury is directed to use 
$1,800,000,000 of the fund established in this section to pay 
part of the subscription of the United States to the 
International Monetary Fund; and any repayment thereof shall be 
covered into the Treasury as a miscellaneous receipt.''.
    (b) \15\ The Secretary of the Treasury is authorized to pay 
the balance of the subscription of the United States to the 
Fund not provided for in subsection (a) and to pay the 
subscription of the United States to the Bank from time to time 
when payments are required to be made to the Bank. For the 
purpose of making these payments, the Secretary of the Treasury 
is authorized to use as a public-debt transaction 
$8,675,000,000 of the proceeds of any securities hereafter 
issued under the Second Liberty Bond Act, as amended, and the 
purposes for which securities may be issued under that Act are 
extended to include such purpose. Payment under this subsection 
of the subscription of the United States to the Fund or the 
Bank and repayments thereof shall be treated as public-debt 
transactions of the United States.
---------------------------------------------------------------------------
    \15\ 22 U.S.C. 286e. Sec. 2. of Public Law 86-48 (73 Stat. 80), 
struck out the words ``of $950,000,000'' and substituted 
``$8,675,000,000'' for ``$4,125,000,000''.
---------------------------------------------------------------------------
    (c) For the purpose of keeping to a minimum the cost to the 
United States of participation in the Fund and the Bank, the 
Secretary of the Treasury, after paying the subscription of the 
United States to the Fund, and any part of the subscription of 
the United States to the Bank required to be made under article 
II, section 7(i), of the Articles of Agreement of the Bank, is 
authorized and directed to issue special notes of the United 
States from time to time at par and to deliver such notes to 
the Fund and the Bank in exchange for dollars to the extent 
permitted by the respective Articles of Agreement. The special 
notes provided for in this subsection shall be issued under the 
authority and subject to the provisions of the Second Liberty 
Bond Act, as amended, and the purposes for which securities may 
be issued under that Act are extended to include the purposes 
for which special notes are authorized and directed to be 
issued under the subsection, but such notes shall bear no 
interest, shall be non-negotiable, and shall be payable on 
demand of the Fund or the Bank, as the case may be. The face 
amount of special notes issued to the Fund under the authority 
of this subsection and outstanding at any one time shall not 
exceed in the aggregate the amount of the subscription of the 
United States actually paid to the Fund and the dollar 
equivalent of currencies and gold which the United States shall 
have purchased from the Fund in accordance with Articles of 
Agreement,\16\ and the face amount of such notes issued to the 
Bank and outstanding at any one time shall not exceed in the 
aggregate the amount of the subscription of the United States 
actually paid to the Bank under article II, section 7(i), of 
the Articles of Agreement of the Bank.
---------------------------------------------------------------------------
    \16\ The words beginning at ``and'' and ending at ``Agreement'' 
were added by sec. 2 of Public Law 87-490 (76 Stat. 105).
---------------------------------------------------------------------------
    (d) Any payment made to the United States by the Fund or 
the Bank as a distribution of net income shall be covered into 
the Treasury as a miscellaneous receipt.

                  OBTAINING AND FURNISHING INFORMATION

    Sec. 8.\17\ (a) Whenever a request is made by the Fund to 
the United States as a member to furnish data under article 
VIII, section 5, of the Articles of Agreement, of the Fund, the 
President may, through any agency he may designate, require any 
person to furnish such information as the President may 
determine to be essential to comply with such request. In 
making such determination the President shall seek to collect 
the information only in such detail as is necessary to comply 
with the request of the Fund. No information so acquired shall 
be furnished to the Fund in such detail that the affairs of any 
person are disclosed.
---------------------------------------------------------------------------
    \17\ 22 U.S.C. 286f.
---------------------------------------------------------------------------
    (b) In the event any person refuses to furnish such 
information when requested to do so, the President, through any 
designated governmental agency, may by subpoena require such 
person to appear and testify or to appear and produce records 
and other documents, or both. In case of contumacy by, or 
refusal to obey a subpoena served upon any such person, the 
district court for any district in which such person is found 
or resides or transacts business, upon application by the 
President or any governmental agency designated by him, shall 
have jurisdiction to issue an order requiring such person to 
appear and give testimony or appear and produce records and 
documents, or both; and any failure to obey such order of the 
court may be punished by such court as a contempt thereof.
    (c) It shall be unlawful for any officer or employee of the 
Government, or for any adviser or consultant to the Government, 
to disclose, otherwise than in the course of official duty, any 
information obtained under this section, or to use such 
information for his personal benefit. Whoever violates any of 
the provisions of this subsection shall, upon conviction, be 
fined not more than, $5,000, or imprisoned for not more than 
five years, or both.
    (d) The term ``person'' as used in this section means an 
individual, partnership, corporation or association.

       FINANCIAL TRANSACTIONS WITH FOREIGN GOVERNMENTS IN DEFAULT

    Sec. 9. The Act entitled ``An Act to prohibit financial 
transactions with any foreign government in default of its 
obligations to the United States'', approved April 13, 1934 
(U.S.C. title 31, sec. 804a),\18\ is amended by adding at the 
end thereof a new section to read as follows:
---------------------------------------------------------------------------
    \18\ Sec. 21 of the Act of June 25, 1948 (62 Stat. 862) repealed 31 
U.S.C. 804a. Matters related to financial transactions with foreign 
governments in default to the United States are now covered by 18 
U.S.C. 955.
---------------------------------------------------------------------------
    ``Sec. 3. While any foreign government is a member both of 
the International Monetary Fund and of the International Bank 
for Reconstruction and Development, this Act shall not apply to 
the sale or purchase of bonds, securities, or other obligations 
of such government or any political subdivision thereof or of 
any organization or association acting for or on behalf of such 
government or political subdivision, or to the making of any 
loan to such government, political subdivision, organization, 
or association.''.

                   JURISDICTION AND VENUE OF ACTIONS

    Sec. 10.\19\ For the purpose of any action which may be 
brought within the United States or its Territories or 
possessions by or against the Fund or the Bank in accordance 
with the Articles of Agreement of the Fund or the Articles of 
Agreement of the Bank, the Fund or the Bank, as the case may 
be, shall be deemed to be an inhabitant of the Federal judicial 
district in which its principal office in the United States is 
located, and any such action at law or in equity to which 
either the Fund or the Bank shall be a party shall be deemed to 
arise under the laws of the United States, and the district 
courts of the United States shall have original jurisdiction of 
any such action. When either the Fund or the Bank is a 
defendant in any such action, it may, at any time before the 
trial thereof, remove such action from a State court into the 
district court of the United States for the proper district by 
following the procedure for removal of causes otherwise 
provided by law.
---------------------------------------------------------------------------
    \19\ 22 U.S.C. 286g.
---------------------------------------------------------------------------

                   STATUS, IMMUNITIES AND PRIVILEGES

    Sec. 11.\20\ The provisions of article IX, sections 2 to 9, 
both inclusive, and the first sentence of article VIII, section 
2(b), of the Articles of Agreement of the Fund, and the 
provisions of article VI, section 5(i), and article VII, 
sections 2 to 9, both inclusive, of the Articles of Agreement 
of the Bank, shall have full force and effect in the United 
States and its Territories and possessions upon acceptance of 
membership by the United States in, and the establishment of, 
the Fund and the Bank, respectively.
---------------------------------------------------------------------------
    \20\ 22 U.S.C. 286h.
---------------------------------------------------------------------------

                    STABILIZATION LOANS BY THE BANK

    Sec. 12.\21\ The governor and executive director of the 
Bank appointed by the United States are hereby directed to 
obtain promptly an official interpretation by the Bank as to 
its authority to make or guarantee loans for programs of 
economic reconstruction and the reconstruction of monetary 
systems, including loan-term stabilization loans. If the Bank 
does not interpret its powers to include the making or 
guaranteeing of such loans, the governor of the Bank 
representing the United States is hereby directed to propose 
promptly and support an amendment to the Articles of Agreement 
for the purpose of explicitly authorizing the Bank, after 
consultation with the Fund, to make or guarantee such loans. 
The President is hereby authorized and directed to accept an 
amendment to that effect on behalf of the United States.
---------------------------------------------------------------------------
    \21\ 22 U.S.C. 286i.
---------------------------------------------------------------------------

                  STABILIZATION OPERATIONS BY THE FUND

    Sec. 13.\22\ (a) The governor and executive director of the 
Fund appointed by the United States are hereby directed to 
obtain promptly an official interpretation by the Fund as to 
whether its authority to use its resources extends beyond 
current monetary stabilization operations to afford temporary 
assistance to members in connection with seasonal, cyclical, 
and emergency fluctuations in the balance of payments of any 
member for current transactions, and whether it has authority 
to use its resources to provide facilities for relief, 
reconstruction, or armaments, or to meet a large or sustained 
outflow of capital on the part of any member.
---------------------------------------------------------------------------
    \22\ 22 U.S.C. 286j.
---------------------------------------------------------------------------
    (b) If the interpretation by the Fund answers in the 
affirmative any of the questions stated in subsection (a), the 
governor of the Fund representing the United States is hereby 
directed to propose promptly and support an amendment to the 
Articles of Agreement for the purpose of expressly negativing 
such interpretation. The President is hereby authorized and 
directed to accept an amendment to that effect on behalf of the 
United States.

         FURTHER PROMOTION OF INTERNATIONAL ECONOMIC RELATIONS

    Sec. 14.\23\ (a) \24\ In the realization that additional 
measures of international economic cooperation are necessary to 
facilitate the expansion and balanced growth of international 
trade and render most effective the operations of the Fund and 
the Bank, it is hereby declared to be the policy of the United 
States to seek to bring about further agreement and cooperation 
among nations and international bodies, as soon as possible, on 
ways and means which will best reduce obstacles to and 
restrictions upon international trade, eliminate unfair trade 
practices, promote mutually advantageous commercial relations, 
and otherwise facilitate the expansion and balanced growth of 
international trade and promote the stability of international 
economic relations. In considering the policies of the United 
States in foreign lending and the policies of the Fund and the 
Bank, particularly in conducting exchange transactions, the 
Council and the United States representatives on the Fund and 
the Bank shall give careful consideration to the progress which 
has been made in achieving such agreement and cooperation.
---------------------------------------------------------------------------
    \23\ 22 U.S.C. 286k.
    \24\ Sec. 4(a)(2) of Public Law 95-147 (91 Stat. 1228) added 
subsection designation ``(a)'' and a new subsec. (b).
---------------------------------------------------------------------------
    (b) \24\ The President shall, upon the request of any 
committee of the Congress with legislative or oversight 
jurisdiction over monetary policy or the International Monetary 
Fund, provide to such committee any appropriate information 
relevant to that committee's jurisdiction which is furnished to 
any department or agency of the United States by the 
International Monetary Fund. The President shall comply with 
this provision consistent with United States membership 
obligations in the International Monetary Fund and subject to 
such limitations as are appropriate to the sensitive nature of 
the information.
    Sec. 15.\25\ (a) Any securities issued by International 
Bank for Reconstruction and Development (including any guaranty 
by the Bank, whether or not limited in scope), and any 
securities guaranteed by the Bank as to both principal and 
interest, shall be deemed to be exempted securities within the 
meaning of paragraph (A)(2) of section 3 of the Act of May 27, 
1933, as amended (U.S.C., title 15, sec. 77c), and paragraph 
(a)(12) of section 3 of the Act of June 6, 1934, as amended 
(U.S.C., title 15, sec. 78c). The Bank shall file with the 
Securities and Exchange Commission such annual and other 
reports with regard to such securities as the Commission shall 
determine to be appropriate in view of the special character of 
the Bank and its operations and necessary in the public 
interest for the protection of investors.
---------------------------------------------------------------------------
    \25\ 22 U.S.C. 286k-1. Sec. 2 of Public Law 81-142 (63 Stat. 298-
299) added sec. 15. Sec. 1 of that Act provided as follows:
    ``That paragraph Seventh or section 8 of the National Bank Act, as 
amended (U.S.C., title 12, sec. 24), is amended by adding to the end 
thereof the following new sentence: `The limitations and restrictions 
herein contained as to dealing in and underwriting investment 
securities shall not apply to obligations issued by the International 
Bank for Reconstruction and Development which are at the time eligible 
for purchase by a national bank for its own account: Provided, That no 
association shall hold obligations issued by said bank as a result of 
underwriting, dealing, or purchasing for its own account (and for this 
purpose obligations as to which it is under commitment shall be deemed 
to be held by it) in a total amount exceeding at any one time 10 per 
centum of its capital stock actually paid in and unimpaired and 10 per 
centum of its unimpaired surplus fund'.''.
    Sec. 3 of Public Law 81-142 also provided as follows:
    ``suspension of right of international bank to issue securities 
under section 286k-1: report of securities and exchange commission [22 
U.S.C. 286k-2. Heading inserted by United States Code.].
    ``Sec. 3. The Securities and Exchange Commission acting in 
consultation with the National Advisory Council on International 
Monetary and Financial Problems is authorized to suspend the provisions 
of section 15(a) of the Bretton Woods Agreements Act at any time as to 
any or all securities issued or guaranteed by the Bank the period of 
such suspension. The Commission shall include in its annual reports to 
Congress such information as it shall deem advisable with regard to the 
operations and effect of this Act and in connection therewith shall 
include any views submitted for such purpose by an association of 
dealers registered with the Commission.''.
---------------------------------------------------------------------------
    (b) \26\ * * * [Repealed--1989]
---------------------------------------------------------------------------
    \26\ Sec. 541 of the International Development and Finance Act of 
1989 (Public Law 101-240; 103 Stat. 2518) consolidated several 
reporting requirements into new secs. 1701-1703 and titles XVIII and 
XIX of the International Financial Institutions Act and repealed 
duplicative requirements in other legislation. Sec. 541(d)(1) of the 
International Development and Finance Act of 1989 (Public Law 101-240; 
103 Stat. 2518) repealed sec. 15(b), which read as follows:
    ``The reports of the National Advisory Council provided for in 
section 4(a)(6) of the Bretton Woods Agreements Act shall also cover 
and include the effectiveness of the provisions of section 15(a) of 
this Act and the exemption for securities issued by the Bank provided 
by Section 8 of the National Bank Act in facilitating the operations of 
the Bank and the extent to which the operations of the Bank may assist 
in financing European recovery and the reconstruction and development 
of the economic resources of member countries of the Bank and the 
recommendations of the Council as to any modifications it may deem 
desirable in the provisions of this Act.''.
---------------------------------------------------------------------------
    Sec. 16.\27\ (a) The United States Governor of the Fund is 
authorized to request and consent to an increase of 
$1,375,000,000 in the quota of the United States under article 
III, section 2, of the articles of agreement of the Fund as 
proposed in the resolution of the Board of Governors of the 
Fund dated February 2, 1959.
---------------------------------------------------------------------------
    \27\ 22 U.S.C. 286e-1.
---------------------------------------------------------------------------
    (b) The United States Governor of the Bank is authorized 
(1) to vote for increases in the capital stock of the Bank 
under article II, section 2, of the Articles of Agreement of 
the Bank, as recommended in the resolution of the Board of 
Governors of the Bank dated February 2, 1959, and (2) if such 
increases become effective to subscribe on behalf of the United 
States to thirty-one thousand seven hundred and fifty 
additional shares of stock under article II, section 3, of the 
Articles of Agreement of the Bank.
    Sec. 17.\28\ (a) In order to carry out the purposes of the 
decision of January 5, 1962, and February 24, 1983, and January 
27, 1997,\29\ as amended in accordance with their terms,\30\ of 
the Executive Directors of the International Monetary Fund, the 
Secretary of the Treasury is authorized to make loans, in an 
amount not to exceed the equivalent of 6,712,000,000 \31\ 
Special Drawing Rights, limited to such amounts as are provided 
in advance in appropriations Acts,\32\ except that prior to 
activation, the Secretary of the Treasury shall certify that 
supplementary resources are needed to forestall or cope with an 
impairment of the international monetary system and that the 
Fund has fully explored other means of funding,\33\ to the Fund 
under article VII, section 1(i),\34\ of the Articles of 
Agreement of the Fund. Any loan under the authority granted in 
this subsection shall be made with due regard to the present 
and prospective balance of payments and reserve position of the 
United States.
---------------------------------------------------------------------------
    \28\ 22 U.S.C. 286e-z. Public Law 87-490 (76 Stat. 105) added sec. 
17.
    \29\ Sec. 609(1)(A) of Public Law 105-277 (112 Stat. 2681-224) 
struck out ``and February 24, 1983'' and inserted in lieu thereof 
``February 24, 1983, and January 27, 1997''.
    \30\ Sec. 802(a)(1) of Public Law 98-181 (97 Stat. 1268) added the 
phrase ``and February 24, 1983, as amended in accordance with their 
terms,''.
    \31\ Sec. 609(1)(B) of Public Law 105-277 (112 Stat. 2681-224) 
struck out ``4,250,000,000'' and inserted in lieu thereof 
``6,712,000,000''.
    \32\ Sec. 1101(b) of Public Law 98-181 (97 Stat. 1287) appropriated 
for an increase in loans to the IMF under the General Arrangements to 
Borrow, the dollar equivalent of 4,250 million Special Drawing Rights, 
less $2 billion previously appropriated by Public Law 87-872.
    \33\ Sec. 802(a)(1) of Public Law 98-181 (97 Stat. 1268) 
substituted the words to this point beginning with ``in an amount not 
to exceed the equivalent of 4,250,000,000 . . .'' in lieu of ``not to 
exceed $2,000,000,000 outstanding at any one time''.
    \34\ Upon entry into force of the amendments to the Articles of 
Agreement of the IMF on Apr. 1, 1978, this reference to sec. 1(i) was 
substituted in lieu of a reference to sec. 2(i), as had been provided 
for by sec. 4 of Public Law 94-564.
---------------------------------------------------------------------------
    (b) For the purpose of making loans to the International 
Monetary Fund pursuant to this section, there is hereby 
authorized to be appropriated 6,712,000,000 \35\ Special 
Drawing Rights, except that prior to activation, the Secretary 
of the Treasury shall certify whether supplementary resources 
are needed to forestall or cope with an impairment of the 
international monetary system and that the Fund has fully 
explored other means of funding,\36\ to remain available until 
expended to meet calls by the International Monetary Fund. Any 
payments made to the United States by the International 
Monetary Funds as a repayment on account of the principal of a 
loan made under this section shall continue to be available for 
loans to the International Monetary Fund.
---------------------------------------------------------------------------
    \35\ Sec. 609(2) of Public Law 105-277 (112 Stat. 2681-224) struck 
out ``4,250,000,000'' and inserted in lieu thereof ``6,712,000,000''.
    \36\ Sec. 802(a)(2) of Public Law 98-181 (97 Stat. 1268) 
substituted the words to this point beginning with ``4,250,000,000 
Special Drawing Rights, . . .'' in lieu of ``$2,000,000,000''.
---------------------------------------------------------------------------
    (c) Payments of interest and charges to the United States 
on account of any loan to the International Monetary Fund shall 
be covered into the Treasury as miscellaneous receipts. In 
addition to the amount authorized in subsection (b), there is 
hereby authorized to be appropriated such amounts as may be 
necessary for the payment of charges in connection with any 
purchases of currencies or gold by the United States from the 
International Monetary Fund.
    (d) \37\ Unless the Congress by law so authorizes, neither 
the President, the Secretary of the Treasury, nor any other 
person acting on behalf of the United States, may instruct the 
United States Executive Director to the Fund to consent to any 
amendment to the Decision of February 24, 1983, or the Decision 
of January 27, 1997,\38\ of the Executive Directors of the 
Fund, if the adoption of such amendment would significantly 
alter the amount, terms, or conditions of participation by the 
United States in the General Arrangements to Borrow or the New 
Arrangements to Borrow, as applicable.\39\
---------------------------------------------------------------------------
    \37\ Sec. 802(a)(3) of Public Law 98-181 (97 Stat. 1268) added 
subsec. (d).
    \38\ Sec. 609(3)(A) of Public Law 105-277 (112 Stat. 2681-224) 
inserted ``or the Decision of January 27, 1997,'' after February 24, 
1983,''.
    \39\ Sec. 609(3)(B) of Public Law 105-277 (112 Stat. 2681-224) 
inserted ``or the New Arrangements to Borrow, as applicable'' before 
the period.
---------------------------------------------------------------------------
    Sec. 18.\40\ Any purchases of currencies or gold by the 
United States from the International Monetary Fund may be 
transferred to and administered by the Fund established by 
section 10 of the Gold Reserve Act of 1934, as amended (31 
U.S.C. 822a),\41\ for use in accordance with the provisions of 
that section. The Secretary of the Treasury is authorized to 
utilize the resources of that fund for the purpose of any 
repayments in connection with such transactions.
---------------------------------------------------------------------------
    \40\ 22 U.S.C. 286-3. Sec. 18 was added by Public Law 87-490 (76 
Stat. 105).
    \41\ Public Law 97-258 recodified title 31, U.S.C., and sec. 822a 
became sec. 5302.
---------------------------------------------------------------------------
    Sec. 19.\42\ The United States Governor of the Bank is 
authorized to vote for an increase of $1,000,000,000 in the 
authorized capital stock of the Bank under Article II, section 
2, of the Articles of Agreement of the Bank, as recommended in 
the report, dated November 6, 1962, to the Board of Governors 
of the Bank by the Bank's Executive Directors.
---------------------------------------------------------------------------
    \42\ 22 U.S.C. 286e-1a. Sec. 19 was added by Public Law 88-178 (77 
Stat. 234).
---------------------------------------------------------------------------
    Sec. 20.\43\ (a) The United States Governor of the Fund is 
authorized to consent to an increase of $1,035,000,000 in the 
quota of the United States in the Fund.
---------------------------------------------------------------------------
    \43\ 22 U.S.C. 286e-1b. Sec. 20 was added by Public Law 89-31 (79 
Stat. 119).
---------------------------------------------------------------------------
    (b) In order to pay the increase in the United States 
subscription to the Fund provided for in this section, there is 
hereby authorized to be appropriated $1,035,000,000, to remain 
available until expended.
    Sec. 21.\44\ The United States Governor of the Bank is 
authorized to agree to an amendment to the Articles of 
Agreement of the Bank to permit the Bank to make, participate 
in, or guarantee loans to the International Finance Corporation 
for use in the lending operations of the latter.
---------------------------------------------------------------------------
    \44\ 22 U.S.C. 286e-4. Sec. 21 was added by Public Law 89-126 (79 
Stat. 519).
---------------------------------------------------------------------------
    Sec. 22.\45\ (a) The United States Governor of the Bank is 
authorized to consent to an increase of $1,540,000,000 in the 
quota of the United States in the Fund.
---------------------------------------------------------------------------
    \45\ 22 U.S.C. 286e-1c. Sec. 22 was added by Public Law 91-599 (84 
Stat. 1657).
---------------------------------------------------------------------------
    (b) In order to pay the increase in the United States quota 
in the Fund provided for in this section, there is hereby 
authorized to be appropriated $1,540,000,000, to remain 
available until expended.
    Sec. 23.\46\ (a) The United States Governor of the Bank is 
authorized (1) to vote for an increase of $3,000,000,000 in the 
authorized capital stock of the Bank, and (2) if such increase 
becomes effective, to subscribe on behalf of the United States 
to two thousand four hundred and sixty-one additional shares of 
the capital stock of the Bank.
---------------------------------------------------------------------------
    \46\ 22 U.S.C. 286e-1d. Sec. 23 was added by Public Law 91-599 (84 
Stat. 1657).
---------------------------------------------------------------------------
    (b) In order to pay for the increase in the United States 
subscription to the Bank provided for in this section, there is 
hereby authorized to be appropriated $246,100,000 to remain 
available until expended.
    Sec. 24.\47\ The United States Governor of the Bank is 
authorized to accept the amendments to the Articles of 
Agreement of the Fund approved in resolution numbered 31-4 of 
the Board of Governors of the Fund.
---------------------------------------------------------------------------
    \47\ 22 U.S.C. 286e-5. Sec. 24 was added by sec. 1 of Public Law 
94-564 (90 Stat. 2660).
---------------------------------------------------------------------------
    Sec. 25.\48\ The United States Governor of the Bank is 
authorized to consent to an increase in the quota of the United 
States in the Fund equivalent to 1,705 million Special Drawing 
Rights.
---------------------------------------------------------------------------
    \48\ 22 U.S.C. 286e-1e. Sec. 25 was added by sec. 1 of Public Law 
94-564 (90 Stat. 2660).
---------------------------------------------------------------------------
    Sec. 26.\49\ The United States Governor of the Bank is 
directed to vote against the establishment of a Council 
authorized under Article XII, Section 1 of the Fund Articles of 
Agreement as amended, if under any circumstances the United 
States' vote in the Council would be less than its weighted 
vote in the Fund.
---------------------------------------------------------------------------
    \49\ 22 U.S.C. 286e-6. Sec. 26 was added by sec. 1 of Public Law 
94-564 (90 Stat. 2660).
---------------------------------------------------------------------------
    Sec. 27.\50\ (a) The United States Governor of the Bank is 
authorized--
---------------------------------------------------------------------------
    \50\ 22 U.S.C. 286e-1f. Sec. 27 was added by sec. 201 of Public Law 
95-118 (91 Stat. 1067).
---------------------------------------------------------------------------
          (1) to vote for an increase of seventy thousand 
        shares in the authorized capital stock of the Bank; and
          (2) if such increase becomes effective, to subscribe 
        on behalf of the United States to thirteen thousand and 
        five additional shares of the capital stock of the 
        Bank: Provided, however, That any subscription to 
        additional shares shall be effective only to such 
        extent or in such amounts as are provided in advance in 
        appropriation Acts.\51\
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    \51\ The proviso clause in paragraph (2) was amended and restated 
by sec. 1312 of Public Law 97-35 (95 Stat. 740). It formerly read as 
follows: ``That any subscription to additional shares shall be made 
only after the amount required for such description has been 
appropriated.''.
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    (b) In order to pay for the increase in the United States 
subscription to the Bank provided for in this section, there 
are hereby authorized to be appropriated, without fiscal year 
limitations, $1,568,856,318 for payment by the Secretary of the 
Treasury.\52\
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    \52\ U.S. payments for this increase were made in the following 
amounts and Public Laws: fiscal year 1978--$380 million ($38 million 
paid-in capital; $342 million callable capital) (Public Law 95-148); 
fiscal year 1979--$163.1 million ($16.3 million paid-in capital; $146.8 
million callable capital) (Public Law 95-481); fiscal year 1980--$163.1 
million ($16.3 million paid-in capital; $146.8 million callable 
capital) (Public Law 96-123); fiscal year 1981--$328 million ($32.8 
million paid-in capital; $295.2 million callable capital) (Public Law 
96-536); fiscal year 1982 $371.7 million ($37.2 million paid-in 
capital; $334.5 million callable capital) (Public Law 97-121); fiscal 
year 1983--$163.2 million ($16.3 million paid-in capital; $146.9 
million callable capital) (Public Law 97-377).
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    Sec. 28.\53\ (a) For the purpose of participation of the 
United States in the Supplementary Financing Facility 
(hereinafter referred to as the ``facility'') established by 
the decision numbered 5508-(77/127) of the Executive Directors 
of the Fund, the Secretary of the Treasury is authorized to 
make resources available as provided in the decision numbered 
5509-(77/127) of the Fund, in an amount not to exceed the 
equivalent of 1,450 million Special Drawing Rights.
---------------------------------------------------------------------------
    \53\ 22 U.S.C. 286e-7. Sec. 28 was added by sec. 1 of Public Law 
95-435 (92 Stat. 1051).
---------------------------------------------------------------------------
    (b) The Secretary of the Treasury shall account, through 
the Fund established by section 10 of the Gold Reserve Act of 
1934 (31 U.S.C. 822a), for any adjustment in the value of 
monetary assets held by the United States in respect to United 
States participation in the facility.
    (c) Notwithstanding any other provision of this section, 
the authority of the Secretary to enter into agreements making 
resources available under this section shall be limited to such 
amounts as are appropriated in advance in appropriation Acts. 
Effective October 1, 1978, there are hereby authorized to be 
appropriated to the Secretary of the Treasury, without fiscal 
year limitation, such sums as are necessary to carry out 
subsection (a) of this section, but not to exceed an amount of 
dollars equivalent to 1,450 million Special Drawing Rights.\54\
---------------------------------------------------------------------------
    \54\ Title V of Public Law 95-481 (92 Stat. 1600) stated:
    ``For the purpose of participation by the United States, in an 
amount equivalent to 1,450,000,000 Special Drawing Rights, in the 
Supplementary Financing Facility established by decision numbered 5508-
(77/127) of the Executive Directors of the Fund, as provided in the 
decision numbered 5509-(77/127) of the Fund, and for the expenditures 
resulting therefrom, not to exceed $1,831,640,000, to remain available 
until the termination of the facility: . . .''.
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    Sec. 29.\55\ The Secretary of the Treasury shall instruct 
the United States executive director to seek to assure that no 
decision by the International Monetary Fund \56\ undermines or 
departs from United States policy regarding the comparability 
of treatment of public and private creditors in cases of debt 
rescheduling where official United States credits are involved.
---------------------------------------------------------------------------
    \55\ 22 U.S.C. 286e-8. Sec. 29 was added by sec. 3 of Public Law 
95-435 (92 Stat. 1052).
    \56\ The words ``on the use of the facility'' which previously 
appeared at this point, were struck out by sec. 5 of Public Law 96-389 
(94 Stat. 1554).
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    Sec. 30.\57\ The Secretary of the Treasury shall instruct 
the United States executive director on the Executive Board of 
the International Monetary Fund to initiate a wide consultation 
with the managing director of the Fund and other member country 
executive directors with regard to encouraging the staff of the 
Fund to formulate stabilization programs \58\ which, to the 
maximum feasible extent, foster a broader base of productive 
investment and employment, especially in those productive 
activities which are designed to meet basic human needs.
---------------------------------------------------------------------------
    \57\ 22 U.S.C. 286e-9. Sec. 30 was added by sec. 4 of Public Law 
95-435 (92 Stat. 1052). Subsec. designation ``(a)'' was struck out by 
sec. 541(f)(2) of International Development and Finance Act of 1989 
(Public Law 101-240; 103 Stat. 2518). See note 54.
    \58\ The words ``entered into pursuant to loans from the 
Supplementary Financing Facility'' which previously appeared at this 
point, were struck out by sec. 2(b) of Public Law 96-389 (94 Stat. 
1553).
---------------------------------------------------------------------------
    (b) \59\ * * * [Repealed--1989]
---------------------------------------------------------------------------
    \59\ Sec. 541 of the International Development and Finance Act of 
1989 (Public Law 101-240; 103 Stat. 2518) consolidated several 
reporting requirements into new secs. 1701-1703 and titles XVIII and 
XIX of the International Financial Institutions Act and repealed 
duplicative requirements in other legislation. Sec. 541(d)(1) of the 
International Development and Finance Act of 1989 (Public Law 101-240; 
103 Stat. 2518) repealed subsec. (b). It formerly read as follows:
    ``(b) In order to gain a better understanding of the social, 
political and economic impact of the Fund's stabilization programs on 
borrowing countries, especially as it relates to the poor majority 
within those countries, the United States Governor of the Fund shall 
prepare and submit, not later than 180 days after the close of each 
calendar year, a report to the Congress. Such report shall evaluate, to 
the maximum extent feasible, with respect to countries to which loans 
are made during each year, the effects of policies of those countries 
which result from the standby agreements on basic human needs in such 
countries.''.
---------------------------------------------------------------------------
    Sec. 31.\60\ * * * [Repealed--1981]
---------------------------------------------------------------------------
    \60\ Sec. 31, which was added by sec. 4 of Public Law 95-435 (92 
Stat. 1052) and required the Secretary of the Treasury to submit an 
annual report to Congress on the status of human rights in countries 
drawing on funds made available under the Supplementary Financing 
Facility of the IMF, was repealed by sec. 137(a)(1) of Public Law 97-35 
(95 Stat. 746). See sec. 701 of the International Financial 
Institutions Act. See also sec. 116 of the Foreign Assistance Act of 
1961 (Legislation on Foreign Relations Through 2002, vol. I-A) for a 
reporting requirement on country human rights practices.
---------------------------------------------------------------------------
    Sec. 32.\61\ The United States Governor of the Fund is 
authorized to consent to an increase in the quota of the United 
States in the Fund equivalent to 4,202.5 million Special 
Drawing Rights, limited to such amounts as are appropriated in 
advance in appropriation Acts.\62\
---------------------------------------------------------------------------
    \61\ 22 U.S.C. 286e-1g. Sec. 1 of Public Law 96-389 (94 Stat. 1551) 
added sec. 32. The Act also amended sec. 32 by substituting the final 
phrase in lieu of original text of ``to such extent or in such amounts 
are provided in appropriation Acts.''.
    \62\ Public Law 96-544 (94 Stat. 3213) provided: ``For an increase 
in the United States quota in the International Monetary Fund, the 
dollar equivalent of 4,202.5 million Special Drawing Rights 
(approximately $5,537,839,000), to remain available until expended, and 
balances equivalent to the current SDR value of the United States quota 
in the Fund shall be merged with this appropriation.''.
---------------------------------------------------------------------------
    Sec. 33.\63\ (a) The President shall instruct the Secretary 
of the Treasury, the Secretary of State, and other appropriate 
Federal officials to use all appropriate means to encourage 
countries, in formulating economic adjustment programs to deal 
with their balance of payments difficulties, to design those 
programs so as to safeguard, to the maximum feasible extent, 
jobs, investment, real per capital income, policies to reduce 
the gap in wealth between rich and poor, and social programs 
such as health, housing, and education.
---------------------------------------------------------------------------
    \63\ 22 U.S.C. 286s. Sec. 33 was added by sec. 2(a) of Public Law 
96-389 (94 Stat. 1551).
---------------------------------------------------------------------------
    (b) To ensure the effectiveness of economic adjustment 
programs supported by Fund resources and the reinforcement of 
those programs by longer term efforts to promote sustained 
growth and improved living conditions--
          (1) United States representatives to the Fund shall 
        recommend and shall work for changes in Fund 
        guidelines, policies, and decisions that would--
                  (A) permit stand-by arrangements to be 
                extended beyond three years, as necessary to 
                enable Fund members to implement their economic 
                adjustment programs successfully;
                  (B) provide that in approving any economic 
                adjustment program the Fund shall take into 
                account the effect such program will have on 
                jobs, investment, real per capita income, the 
                gap in wealth between the rich and poor, and 
                social programs such as health, housing, and 
                education, in order to seek to minimize the 
                adverse impact of those adjustment programs on 
                basic human needs; and
                  (C) provide that letters of intent submitted 
                to the Fund in support of an economic 
                adjustment program reflect that the member 
                country has taken into account the effect such 
                program will have on the factors listed in 
                subparagraph (B);
          (2)(A) before voting on the approval of any standby 
        arrangement with respect to any economic adjustment 
        program, the United States Executive Director shall 
        review--
                  (i) any analysis of factors prepared by the 
                Fund or the member country in accordance with 
                subparagraphs (B) and (C) of paragraph (1), or
                  (ii) if no such analysis is prepared and 
                available for such review, an analysis which 
                shall be prepared by the United States Governor 
                of the Fund which examines the effect of the 
                program on the factors listed in subparagraph 
                (B) of paragraph (1); and
          (B) the United States Executive Director of the Fund 
        shall take into account the analysis reviewed pursuant 
        to subparagraph (A) of this paragraph in voting on 
        approval of that standby arrangement;
          (3) United States representatives to the Fund, to the 
        Bank and to other appropriate institutions shall work 
        toward improving coordination among these institutions 
        and, in particular, shall work toward formulation of 
        programs in association with economic adjustment 
        programs supported by Fund resources which (A) will, 
        among other things, promote employment, investment, 
        real income per capita, improvements in income 
        distribution, and the objectives of social programs 
        such as health, housing, and education, and (B) will, 
        to the maximum extent feasible and consistent with the 
        borrowing country's need to improve its balance of 
        payments position within a reasonable period, 
        ameliorate any adverse effects of economic adjustment 
        programs on the poor;
          (4) United States representatives to the Fund and the 
        Bank shall seek amendments to decisions on policies on 
        the use of Fund and Bank resources to provide that 
        where countries are seeking Extended Fund Facility or 
        upper credit tranche drawings from the Fund and are 
        eligible to receive financing from the Bank, the Fund 
        and Bank will coordinate their financing activities in 
        order--
                  (A) to take into account the effects of 
                economic adjustment programs on the areas 
                listed in clause (A) of paragraph (3),
                  (B) to provide, to the extent feasible, Bank 
                project loans designed to safeguard and further 
                basic human needs in countries adopting 
                economic adjustment programs supported by Fund 
                resources, and
                  (C) to provide, as appropriate, Bank 
                financing for programs of structural adjustment 
                that will facilitate development of a 
                productive economic base and greater attainment 
                of basic human needs objectives over the longer 
                term; and
          (5) United States representatives to the Fund and the 
        Bank shall request the Fund and the Bank to provide 
        periodic analyses of the effects of economic adjustment 
        programs supported by Fund or Bank financing on jobs, 
        investment, real income per capita, income 
        distribution, and social programs such as health, 
        housing, and education.
    (c) \64\ * * * [Repealed--1989]
---------------------------------------------------------------------------
    \64\ Sec. 541 of the International Development and Finance Act of 
1989 (Public Law 101-240; 103 Stat. 2518) consolidated several 
reporting requirements into new secs. 1701-1703 and titles XVIII and 
XIX of the International Financial Institutions Act and repealed 
duplicative requirements in other legislation. Sec. 541(d)(1) repealed 
subsec. (c). It formerly read as follows:
    ``(c) The National Advisory Council on International Monetary and 
Financial Policies shall include in each of its annual reports to the 
Congress a statement detailing the actions and progress made in 
carrying out the requirements of subsections (a) and (b) of this 
section.''.
---------------------------------------------------------------------------
    Sec. 34.\65\ The Secretary of the Treasury, in consultation 
with the United States Executive Director of the Fund, shall 
study and, following consultations with member countries, shall 
report to the Congress prior to May 15, 1981, with respect to--
---------------------------------------------------------------------------
    \65\ 22 U.S.C. 286t. Sec. 34 was added by sec. 4(b) of Public Law 
96-389 (94 Stat. 1553).
---------------------------------------------------------------------------
          (1) the current adequacy of Fund resources, together 
        with projected needs of the Fund over the next five 
        years;
          (2) the feasibility of increasing Fund liquidity by 
        encouraging the Fund to borrow directly from the 
        governments of oil exporting countries;
          (3) the feasibility of increasing Fund liquidity by 
        encouraging the Fund to borrow in private capital 
        markets through the issuance of securities backed by 
        Fund resources;
          (4) the feasibility of an offer by the Fund of 
        incentives to oil exporting countries, including 
        financial guarantees by the Fund for government-to-
        government loans to countries with balance-of-payments 
        deficits, in order to promote more direct recycling of 
        oil surpluses; and
          (5) methods to enhance cooperation between commercial 
        banks and the Fund to promote the availability of 
        adequate resources for balance-of-payments financing.
    Sec. 35.\66\ It is the sense of the Congress that the 
Secretary of the Treasury and the United States Executive 
Director of the Fund shall encourage member countries of the 
Fund to negotiate a dollar-Special Drawing Rights substitution 
account in which equitable burden sharing would exist among 
participants in the account.
---------------------------------------------------------------------------
    \66\ 22 U.S.C. 286u. Sec. 35 was added by sec. 4(b) of Public Law 
96-389 (94 Stat. 1554). A report required by sec. 35 from the Secretary 
of the Treasury by May 15, 1981, concerning progress made in achieving 
the goal stated in the section, was deleted by sec. 1371(a)(2) of 
Public Law 97-35 (95 Stat. 746).
---------------------------------------------------------------------------
    Sec. 36.\67\ It is the sense of the Congress that it is the 
policy of the United States that Taiwan (before January 1, 
1979, known as the Republic of China) shall be granted 
appropriate membership in the Fund and that the United States 
Executive Director of the Fund shall so notify the Fund.
---------------------------------------------------------------------------
    \67\ 22 U.S.C. 286v. Sec. 6 of Public Law 96-389 (94 Stat. 1554) 
added sec. 36.
---------------------------------------------------------------------------
    Sec. 37.\68\ It is the policy of the United States that the 
Palestine Liberation Organization should not be given 
membership in the Fund or be given observer status or any other 
official status at any meeting sponsored by or associated with 
the Fund. The United States Executive Director of the Fund 
shall promptly notify the Fund of such policy.
---------------------------------------------------------------------------
    \68\ 22 U.S.C. 286w. Sec. 7 of Public Law 96-389 (94 Stat. 1554) 
added sec. 37.
---------------------------------------------------------------------------
    In the event that the fund provides either membership, 
observer status, or any other official status to the Palestine 
Liberation Organization, such action would result in a serious 
diminution of United States support. Upon review of such 
action, the President would be required to report his 
recommendations to the Congress with regard to any further 
United States participation in the Fund.\69\
---------------------------------------------------------------------------
    \69\ Sec. 3 of the Middle East Peace Facilitation Act of 1993, as 
amended (Public Law 103-125; 107 Stat. 1309), authorized the President 
to suspend certain provisions of law, including sec. 37 of this Act, as 
they applied to the P.L.O. or entities associated with it if certain 
conditions were met and the President so certified and consulted with 
relevant congressional committees. This authority was continued in the 
Middle East Peace Facilitation Act of 1994 (part E of Public Law 103-
236) and the Middle East Peace Facilitation Act of 1995, (title VI of 
the Foreign Operations, Export Financing, and Related Programs 
Appropriations Act, 1996; Public Law 104-107).
    The President issued such a certification in Presidential 
Determination No. 94-13 of January 14, 1994 (59 F.R. 4777), which was 
extended until January 1, 1995, by Presidential Determination No. 94-30 
of June 30, 1994 (59 F.R. 35607); until July 1, 1995, by Presidential 
Determination No. 95-12 of December 31, 1994 (60 F.R. 2673); until 
August 15, 1995, by Presidential Determination No. 95-31 of July 2, 
1995 (60 F.R. 35827); until October 1, 1995, by Presidential 
Determination No. 95-36 of August 14, 1995 (60 F.R. 44725); until 
November 1, 1995, by Presidential Determination No. 95-50 of September 
30, 1995 (60 F.R. 53093); until December 31, 1995, by Presidential 
Determination No. 96-5 of November 13, 1995 (60 F.R. 57821); until 
March 31, 1996, by Presidential Determination No. 96-8 of January 4, 
1996 (61 F.R. 2889); until June 15, 1996, by Presidential Determination 
No. 96-20 of April 1, 1996 (61 F.R. 26019); until August 12, 1996, by 
Presidential Determination No. 96-32 of June 14, 1996 (61 F.R. 32629); 
until February 12, 1997, by Presidential Determination No. 96-41 of 
August 12, 1996 (61 F.R. 43137); and until August 12, 1997, by 
Presidential Determination No. 97-17 of February 21, 1997 (62 F.R. 
9903).
    New authority to waive certain provisions was continued in general 
provisions of the Foreign Operations, Export Financing, and Related 
Programs Appropriations Act, 1998 (Public Law 105-118; 111 Stat. 2386); 
see secs. 539(c) and (d), 552, 555, and 566. New authority was given 
once again by sec. 540(d) of the Foreign Operations, Export Financing, 
and Related Programs Appropriations Act of 1999 (Public Law 105-277; 
112 Stat. 2681 at 2681-183; and again under sec. 538(d) of the Foreign 
Operations, Export Financing, and Related Programs Appropriations Act, 
2000 (Public Law 106-113, 113 Stat. 1501 at 1501A-94). In each case, 
waiver authority was effective for a period of 6 months at a time and 
did not apply beyond 12 months after enactment of the Act.
    On December 5, 1997, the President waived the provisions of section 
1003 of the Anti-Terrorism Act of 1987 (Public Law 100-204) through 
June 4, 1998 (Presidential Determination No. 98-8; 62 F.R. 66255). The 
waiver was extended through November 26, 1998 by Presidential 
Determination No. 98-29 of June 3, 1998 (63 F.R. 32711); through May 
24, 1999 by Presidential Determination No. 99-5 of November 25, 1998 
(63 F.R. 68145); through October 21, 1999 by Presidential Determination 
No. 99-25 of May 24, 1999 (63 F.R. 29537); through April 21, 2000 by 
Presidential Determination No. 00-2 of October 21, 1999 (64 F.R. 
58755); and through October 21, 2000 by Presidential Determination No. 
2000-19 of April 21, 2000.
---------------------------------------------------------------------------
    Sec. 38.\70\ It is the sense of the Congress that in 
providing assistance through loans or other means to any 
nation, in particular El Salvador and Nicaragua, the Fund and 
the Bank should encourage programs which assist the private 
sector to create an environment which will stabilize the 
economy of the nation; and that the United States 
representatives to the Fund and the Bank shall promote the use 
of assistance by the Fund and the Bank to encourage such 
programs.
---------------------------------------------------------------------------
    \70\ 22 U.S.C. 286x. Sec. 8 of Public Law 96-389 (94 Stat. 1554) 
added sec. 38.
---------------------------------------------------------------------------
    Sec. 39.\71\ (a) The United States Governor of the Bank is 
authorized--
---------------------------------------------------------------------------
    \71\ 22 U.S.C. 286e-1h. Sec. 1311 of Public Law 97-35 (95 Stat. 
740) added sec. 39.
---------------------------------------------------------------------------
          (1) to vote to increase by three hundred and sixty-
        five thousand shares the authorized capital stock of 
        the Bank; and
          (2) to subscribe on behalf of the United States to 
        not more than seventy-three thousand and ten shares of 
        the capital stock of the Bank: Provided, however, That 
        not more than seven and one-half percent ($658,305,195) 
        of the price of the shares subscribed may be paid in to 
        the Bank on subscription, with the remainder of that 
        price ($8,149,256,155) being subject to call only when 
        a call on unpaid subscriptions is required to meet 
        obligations of the Bank for funds borrowed or on loans 
        guaranteed by it and not for use by the Bank in its 
        lending activities or for administrative expenses: 
        Provided further, That any subscription to such 
        additional shares shall be effective only to such 
        extent or in such amounts as are provided in advance in 
        appropriations Acts.
    (b) In order to pay for the paid-in portion of the United 
States subscription to the Bank provided for in this section, 
there is authorized to be appropriated, without fiscal year 
limitation, $658,305,195 for payment by the Secretary of the 
Treasury: Provided further, That not more than $109,720,549 of 
such sum may be made available for each of the fiscal years 
1982, 1983, and 1984.\72\
---------------------------------------------------------------------------
    \72\ U.S. payments for this increase were made in the following 
amounts and Public Laws: fiscal year 1982--$1,462.9 million ($109.7 
million paid-in capital; $1,353.2 million callable capital) (Public Law 
97-121); fiscal year 1983--$1,463.1 million ($109.7 million paid-in 
capital; $1,353.4 million callable capital) (Public Law 97-377); fiscal 
year 1984--$1,062.9 million ($79.7 million paid-in capital; $983.2 
million callable capital) (Public Law 98-151); fiscal year 1985--
$1,462.9 million ($109.7 million paid in capital; $1,353.2 million 
callable capital) (Public Law 98-473); fiscal year 1985 supplemental--
$400 million ($30 million paid-in capital; $370 million callable 
capital (Public Law 99-88); fiscal year 1986--$1,462.9 million ($109.7 
million paid-in capital; $1.353.2 million callable capital) (Public Law 
99-190), reduced by $4.7 million as a result of sequestration (Public 
Law 99-177); fiscal year 1987--$744.1 million ($55.8 million paid-in 
capital; $688.3 million callable capital) (Public Law 99-591); fiscal 
year 1988--$477.5 million ($40.2 million paid-in capital; $437.3 
million callable capital) (Public Law 100-202).
---------------------------------------------------------------------------

            PROMOTING CONDITIONS FOR EXCHANGE RATE STABILITY

    Sec. 40.\73\ (a) In order to help assure that the resources 
provided under section 41 are used to support pro-growth 
policies which will help establish the economic conditions 
necessary for more appropriate financial and exchange rate 
alignment and `stability, it is the sense of Congress that the 
Secretary of the Treasury shall--
---------------------------------------------------------------------------
    \73\ 22 U.S.C. 286y. Sec. 801 of Public Law 98-181 (97 Stat. 1267) 
added sec. 40.
---------------------------------------------------------------------------
          (1) in consultation with the Secretary of State and 
        the United States Trade Representative, initiate 
        discussions with other countries regarding the economic 
        dislocations which result from structural exchange rate 
        imbalances; and
          (2) instruct the United States Executive Director of 
        the Fund to work for adoption of policies in the Funds, 
        both within the framework of Article IV (of the 
        Articles of Agreement of the Fund) consultations and 
        with respect to the conditions associated with Fund-
        supported balance or payments adjustments programs, 
        which promote conditions contributing to the stability 
        of exchange rates and avoid the manipulation of 
        exchange rates between major currencies. Among other 
        initiatives, the Secretary of the Treasury shall 
        propose strengthening the article IV consultation 
        procedures of the Fund to attempt to ensure that 
        countries which are artificially maintaining 
        undervalued or overvalued rates of exchange agree to 
        adopt market determined exchange rates.
    (b) In determining his vote on extensions of assistance to 
any Fund borrower, the United States Executive Director of the 
fund shall take into account whether such borrower's policies 
are consistent with the requirements of article IV of the 
Articles of Agreement of the Fund.

                             QUOTA INCREASE

    Sec. 41.\74\ (a) The United States Governor of the Fund is 
authorized to consent to an increase in the quota of the United 
States in the Fund equivalent to 5,310,800,000 Special Drawing 
Rights, limited to such amounts as are provided in advance in 
appropriations Acts.\75\
---------------------------------------------------------------------------
    \74\ 22 U.S.C. 286e-1i. Sec. 802(a)(4) of Public Law 98-181 (97 
Stat. 1268) added sec. 41.
    \75\ Sec. 1101(a) of Public Law 98-181 (97 Stat. 1287) appropriated 
for an increase in the U.S. quota in the IMF, the dollar equivalent of 
5,310,800,000 Special Drawing Rights.
---------------------------------------------------------------------------
    (b)(1) The Secretary of the Treasury shall consult with the 
chairman and the ranking minority member of--
          (A) the Committee on Banking, Finance and Urban 
        Affairs \76\ and the Committee on Appropriations of the 
        House of Representatives, and any appropriate 
        subcommittee of each such committee; and
---------------------------------------------------------------------------
    \76\ Sec. 1(a)(2) of Public Law 104-14 (109 Stat. 186) provided 
that references to the Committee on Banking, Finance and Urban Affairs 
of the House of Representatives shall be treated as referring to the 
Committee on Banking and Financial Services of the House of 
Representatives.
---------------------------------------------------------------------------
          (B) the Committee on Foreign Relations, the Committee 
        on Appropriations, and the Committee on Banking, 
        Housing, and Urban Affairs of the Senate, and any 
        appropriate subcommittee of each such committee,
for purposes of discussing the position of the executive branch 
and the views of the Congress with respect to any international 
negotiations being held to consider any future quota increase 
for the International Monetary Fund which may involve an 
increased contribution, subscription, or loan by the United 
States.
    (2) Such consultation shall be made--
          (A) not later than thirty days before the initiation 
        of such international negotiations;
          (B) during the period in which such negotiations are 
        being held, in a frequent and timely manner; and
          (C) before a session of such negotiations is held at 
        which the United States representatives may agree to 
        such quota increase.

   COLLECTION AND EXCHANGE OF INFORMATION ON MONETARY AND FINANCIAL 
                                PROBLEMS

    Sec. 42.\77\ (a) It is the sense of the Congress that--
---------------------------------------------------------------------------
    \77\ 22 U.S.C. 286z. Sec. 802(4) of Public Law 98-181 (97 Stat. 
1269) added sec. 42.
---------------------------------------------------------------------------
          (1) the lack of sufficient information currently 
        available to allow members of the Fund to make sound 
        and prudent decisions concerning their public and 
        private sector international borrowing, and to allow 
        lenders to make sound and prudent decisions concerning 
        their international lending, threatens the stability of 
        the international monetary system; and
          (2) in recognition of the Fund's duties, as provided 
        particularly by article VIII of the Articles of 
        Agreement of the Fund, to act as a center for the 
        collection and exchange of information on monetary and 
        financial problems, the Fund should adopt necessary and 
        appropriate measures to ensure that more complete and 
        timely financial information will be available.
    (b) To this end, the Secretary of the Treasury shall 
instruct the United States Executive Director of the Fund to 
initiate discussions with other directors of the Fund and with 
Fund management, and to propose and vote for, the adoption of 
procedures, within the Fund--
          (1) to collect and disseminate information, on a 
        quarterly basis, from and to Fund members, and to such 
        other persons as the Fund deems appropriate, 
        concerning--
                  (A) the extension of credit by banks or 
                nonbanks to private and public entities, 
                including all government entities, 
                instrumentalities, and central banks of member 
                countries; and
                  (B) the receipt of such credit by those 
                private and public entities of member 
                countries, where such banks or nonbanks are not 
                principally established within the borders of 
                the member country to which the credits are 
                extended; and
          (2) to disseminate publicly information which is 
        developed in the course of the Fund's collection, and 
        to review and comment on efforts which the Fund 
        determines would serve to enhance the informational 
        base upon which international borrowing and lending 
        decisions are taken.
    (c) For purposes of this section, the term ``credit'' 
includes--
          (1) outstanding loans to private and public entities, 
        including government entities, instrumentalities, and 
        central banks of any member, and
          (2) unused lines of credit which have been made 
        available to those private and public entities of any 
        member,
where such loans or lines of credit are repayable in freely 
convertible currency.
    (d) The President is authorized to use the authority 
provided under section 8 of this Act to require any person (as 
defined in such section) subject to the jurisdiction of the 
United States to provide such information as the Fund 
determines to be necessary in order to carry out the provisions 
of this section.

          INSTRUCTIONS TO THE UNITED STATES EXECUTIVE DIRECTOR

    Sec. 43.\78\ The Congress hereby finds that Communist 
dictatorships result in severe constraints on labor and capital 
mobility and other highly inefficient labor and capital supply 
rigidities which contribute to balance-of-payments deficits in 
direct contradiction of the goals of the International Monetary 
Fund. Therefore, the Secretary of the Treasury shall instruct 
the United States Executive Director of the Fund to actively 
oppose any facility involving use of Fund credit by any 
Communist dictatorship, unless the Secretary of the Treasury 
certifies and documents in writing upon request and so notifies 
and appears, if requested, before the Foreign Relations and 
Banking, Housing and Urban Affairs Committees of the Senate and 
the Banking, Finance and Urban Affairs Committee of the House 
of Representatives, at least twenty-one days in advance of any 
vote on such drawing that such drawing:
---------------------------------------------------------------------------
    \78\ 22 U.S.C. 286aa. Sec. 804 of Public Law 98-181 (97 Stat. 1270) 
added sec. 43. Sec. 4(b)(6) of the South African Democratic Transition 
Support Act of 1993 (Public Law 103-149; 107 Stat. 1505) struck out 
subsec. designation ``(a)'' preceding the first paragraph in this 
section, and repealed subsec. (b), which formerly read as follows:
    ``(b) The Congress hereby finds that the practice of apartheid 
results in severe constraints on labor and capital mobility and other 
highly inefficient labor and capital supply rigidities which contribute 
to balance of payments deficits in direct contradiction of the goals of 
the International Monetary Fund. Therefore, the President shall 
instruct the United States Executive Director of the Fund to actively 
oppose any facility involving use of Fund credit by any country which 
practices apartheid unless the Secretary of the Treasury certifies and 
documents in writing, upon request, and so notifies and appears, if 
requested, before the Foreign Relations and Banking, Housing and Urban 
Affairs Committees of the Senate and the Banking, Finance and Urban 
Affairs Committee of the House of Representatives, at least twenty-one 
days in advance of any vote on such drawing, that such drawing: (1) 
would reduce the severe constraints on labor and capital mobility, 
through such means as increasing access to education by workers and 
reducing artificial constraints on worker mobility and substantial 
reduction of racially-based restrictions on the geographical mobility 
of labor; (2) would reduce other highly inefficient labor and capital 
supply rigidities; (3) would benefit economically the majority of the 
people of any country which practices apartheid; (4) is suffering from 
a genuine balance of payments imbalance that cannot be met by recourse 
to private capital markets. Should the Secretary not meet a request to 
appear before the aforementioned Committees at least twenty-one days in 
advance of any vote on any facility involving use of Fund credit by any 
country practicing apartheid and certify and document in writing that 
these four conditions have been met, the United States Executive 
Director shall vote against such program.''.
---------------------------------------------------------------------------
          (1) provides the basis for correcting the balance of 
        payments difficulties and restoring a sustainable 
        balance of payments position;
          (2) would reduce the severe constraints on labor and 
        capital mobility or other highly inefficient labor and 
        capital supply rigidities and advances market-oriented 
        forces in that country; and
          (3) is in the best economic interest of the majority 
        of the people in that country.
Should the Secretary not meet a request to appear before the 
aforementioned Committees at least twenty-one days in advance 
of any vote on any facility involving use of Fund credit by any 
communist dictatorship and certify and document in writing that 
these three conditions have been met, the United States 
Executive Director shall vote against such program.

              ELIMINATION OF AGRICULTURAL EXPORT SUBSIDIES

    Sec. 44.\79\ The Secretary of the Treasury shall instruct 
the United States Executive Director of the Fund to propose and 
work for the adoption of a policy encouraging Fund members to 
eliminate all predatory agricultural export subsidies which 
might result in the reduction of other member countries' 
exports.
---------------------------------------------------------------------------
    \79\ 22 U.S.C. 286bb. Sec. 805 of Public Law 98-181 (97 Stat. 1271) 
added sec. 44.
---------------------------------------------------------------------------

                       SUSTAINING ECONOMIC GROWTH

    Sec. 45.\80\ (a)(1) The President shall instruct the 
Secretary of the Treasury, the Secretary of State, and other 
appropriate Federal officials, and shall request the chairman 
of the board of Governors of the Federal Reserve System, to use 
all appropriate means to encourage countries to formulate 
economic adjustment programs to deal with their balance of 
payment difficulties and external debt owed to private banks.
---------------------------------------------------------------------------
    \80\ 22 U.S.C. 286cc. Sec. 806 of Public Law 98-181 (97 Stat. 1272) 
added sec. 45.
---------------------------------------------------------------------------
    (2) Such economic adjustment programs should be designed to 
safeguard, to the maximum extent feasible, international 
economic growth, world trade, employment, and long-term 
solvency of banks, and to minimize the likelihood of civil 
disturbances in countries needing economic adjustment programs.
    (b) To ensure the effectiveness of economic adjustment 
programs supported by Fund resources--
          (1) the United States Executive Director of the Fund 
        shall recommend and shall work for changes in Fund 
        guidelines, policies, and decisions which would--
                  (A) convert short-term bank debt which was 
                made at high interest rates into long-term debt 
                at lower rates of interest;
                  (B) assure that the annual external debt 
                service, which shall include principal, 
                interest, points, fees, and other charges 
                required of the country involved, is a 
                manageable and prudent per centage of the 
                projected annual export earning of such 
                country; and
                  (C) provide that in approving any economic 
                adjustment program the Fund shall take into 
                account the number of countries applying to the 
                Fund for economic adjustment programs and the 
                aggregate effects that such programs will have 
                on international economic growth, world trade, 
                exports and employment of other member 
                countries, and the long-term solvency of banks; 
                and
          (2) except as provided in subsection (c) of this 
        section, the United States Executive Director of the 
        Fund shall oppose and vote against providing assistance 
        from the Fund for any economic adjustment program for a 
        country in which the annual external debt service 
        exceeds 85 per centum of the annual export earnings of 
        such country, unless the Secretary of the Treasury 
        first determines and provides written documentation to 
        the Committee on Banking, Housing, and Urban Affairs 
        and the Committee on Foreign Relations of the Senate 
        and the Committee on Banking, Finance and Urban Affairs 
        of the House of Representatives that--\76\
                  (A) the economic adjustment program converts 
                high interest rate, short-term bank debt into 
                long-term debt at significantly narrower 
                interest rate spreads than the average interest 
                rate spreads prevailing on bank debt 
                reschedulings negotiated between August 1982 
                and August 1983 for countries receiving 
                assistance from the Fund for economic 
                adjustment programs in order to minimize the 
                burdens of adjustment on the debtor nation, 
                provided that such interest rate spreads are 
                consistent with that nation's need to obtain 
                adequate external private financing;
                  (B) the annual external debt service required 
                of the country involved is a manageable and 
                prudent percentage of the projected annual 
                export earnings of such country; and
                  (C) the economic adjustment program will not 
                have an adverse impact on international 
                economic growth, world trade, exports, and 
                employment of other member countries, and the 
                long-term solvency of banks.
    (c) The provisions of subsection (b)(2) shall not apply in 
any case in which the Secretary of the Treasury first 
determines and provides written documentation to the Committee 
on Banking, Housing, and Urban Affairs and the Committee on 
Foreign Relations of the Senate and the Committee on Banking, 
Finance and Urban Affairs of the House of Representatives 
that--\76\
          (1) an emergency exists in a nation that has applied 
        to the Fund for assistance that requires an immediate 
        short-term loan to avoid disrupting orderly financial 
        markets;
          (2) a sudden decrease in export earnings in the 
        country applying to the Fund for assistance has 
        increased the ratio of annual external debt service to 
        annual export earnings, to greater than 85 per centum 
        for a period projected to be no more than one year; or
          (3) other extraordinary circumstances exist which 
        warrant waiving the provisions of subsection (b)(2).

                    OPPOSING FUND BAILOUTS OF BANKS

    Sec. 46.\81\ The Secretary of the Treasury shall instruct 
the United States Executive Director of the Fund--
---------------------------------------------------------------------------
    \81\ 22 U.S.C. 286dd. Sec. 807 of Public Law 98-181 (97 Stat. 1273) 
added sec. 46.
---------------------------------------------------------------------------
          (1) to oppose and vote against any Fund drawing by a 
        member country where, in his judgment, the Fund 
        resources would be drawn principally for the purpose of 
        repaying loans which have been imprudently made by 
        banking institutions to the member country; and
          (2) to work to insure that the Fund encourages 
        borrowing countries and banking institutions to 
        negotiate, where appropriate, a rescheduling of debt 
        which is consistent with safe and sound banking 
        practices and the country's ability to pay.

                       INTERNATIONAL COOPERATION

    Sec. 47.\82\ The Secretary of the Treasury shall instruct 
the United States Executive Director of the Fund to propose 
that the Fund adopt the following policies with respect to 
international lending:
---------------------------------------------------------------------------
    \82\ 22 U.S.C. 286ee. Sec. 809 of Public Law 98-181 (97 Stat. 1274) 
added sec. 47.
---------------------------------------------------------------------------
          (1) In its consultations with a member government on 
        its economic policies pursuant to article IV of the 
        Articles of Agreement of the Fund, the Fund should--
                  (A) intensify its examination of the trend 
                and volume of external indebtedness of private 
                and public borrowers in the member country and 
                comment, as appropriate, in its report to the 
                Executive Board from the viewpoint of the 
                contribution of such borrowings to the economic 
                stability of the borrower; and
                  (B) consider to what extent and in what form 
                these comments might be made available to the 
                international banking community and the public.
          (2) As part of any Fund-approved stabilization 
        program, the Fund should give consideration to placing 
        limits on public sector external short- and long-term 
        borrowing.
          (3) As a part of its annual report, and at such times 
        as it may consider desirable, the Fund should publish 
        its evaluation of the trend and volume of international 
        lending as it affects the economic situation of 
        lenders, borrowers, and the smooth functioning of the 
        international monetary system.

                           IMF INTEREST RATES

    Sec. 48.\83\ The Secretary of the Treasury shall instruct 
the United States Executive Director of the Fund to propose and 
work for the adoption of Fund policies regarding the rate of 
remuneration paid on use of member's quota subscriptions and 
the rate of charges on Fund drawings to bring those rates in 
line with market rates.
---------------------------------------------------------------------------
    \83\ 22 U.S.C. 286ff. Sec. 810 of Public Law 98-181 (97 Stat. 1274) 
added sec. 48.
---------------------------------------------------------------------------

                            TRADE PROVISIONS

    Sec. 49.\84\ (a)(1) The Secretary of the Treasury shall 
instruct the United States Executive Director of each of the 
multilateral development banks \85\ (in this section referred 
to as the ``banks'') and of the Fund to initiate a wide 
consultation with the Managing Director of each of the banks 
\85\ and of the Fund and the other directors of the banks \85\ 
and of the Fund with regard to the development of financial 
assistance policies which, to the maximum feasible extent--
---------------------------------------------------------------------------
    \84\ 22 U.S.C. 286gg. Sec. 812 of Public Law 98-181 (97 Stat. 1275) 
added sec. 49.
    \85\ References to the multilateral development banks were added by 
sec. 555 of the Foreign Assistance and Related Programs Appropriations 
Act, 1987 (as contained in sec. 101(f) of the Continuing 
Appropriations, 1987 (Public Law 99-591; 100 Stat. 3341-240).
---------------------------------------------------------------------------
          (A) reduce obstacles to and restrictions upon 
        international trade and investment in goods and 
        services;
          (B) eliminate unfair trade and investment practices; 
        and
          (C) promote mutually advantageous economic relations.
    (2) The Secretary of the Treasury shall work closely in 
this effort with the Trade Policy Committee.
    (3) As part of this effort, the Secretary of the Treasury 
shall also instruct the United States Executive Director of 
each of the banks \85\ and of the Fund to encourage close 
cooperation between their staff and the GATT Secretariat.
    (b)(1) The Secretary of the Treasury shall instruct the 
United States Executive Director of each of the banks \85\ and 
of the Fund, prior to the extension of any country of financial 
assistance by the banks \85\ and by the Fund to work to have 
the banks \85\ and the Fund obtain the agreement of such 
country to eliminate, in a manner consistent with its balance 
of payments adjustment program, unfair trade and investment 
practices with respect to goods and services which the United 
States Trade Representative, after consultation with the Trade 
Policy Committee, has determined to have a significant 
deleterious effect on the international trading system.
    (2) Such practices include--
          (A) the provision of predatory export subsidies, 
        employed in connection with the exporting of 
        agricultural commodities and products thereof to 
        foreign countries;
          (B) the provision of other export subsidies, such as 
        government subsidized below-market interest rate 
        financing for commodities or manufactured goods;
          (C) unreasonable import restrictions;
          (D) the imposition of trade-related performance 
        requirements on foreign investment; and
          (E) practices which are inconsistent with 
        international agreements.
    (c)(1) In determining the United States position on 
requests for periodic drawing under bank \85\ and Fund 
programs, the Secretary of the Treasury shall take full account 
of the progress countries have made in achieving targets for 
eliminating or phasing out the practices referred to in 
subsection (b) of this section.
    (2) In the event that the United States supports a request 
for drawing by a country that has not achieved the bank \85\ 
and Fund targets relating to such practices specified in its 
program, the Secretary of the Treasury shall report to the 
appropriate committees of the Congress the reasons for the 
United States position.
    (d) \86\ For purposes of this section, the term 
``multilateral development banks'' means the International Bank 
for Reconstruction and Development, the Inter-American 
Development Bank, the African Development Bank, and the Asian 
Development Bank.
---------------------------------------------------------------------------
    \86\ Subsec. (d) was added by sec. 555(a) of the Foreign Assistance 
and Related Programs Appropriations Act, 1987 (sec. 101(f) of the 
Continuing Appropriations Act, 1987 (Public Law 99-591; 100 Stat. 
3341).
---------------------------------------------------------------------------
    Sec. 50.\87\ * * * [Repealed--1989]
---------------------------------------------------------------------------
    \87\ Sec. 541 of the International Development and Finance Act of 
1989 (Public Law 101-240; 103 Stat. 2518) consolidated several 
reporting requirements into new secs. 1701-1703 and titles XVIII and 
XIX of the International Financial Institutions Act and repealed 
duplicative requirements in other legislation. Sec. 541(d)(1) repealed 
sec. 50. For original text, see sec. 813 of Public Law 98-181 (97 Stat. 
1276).
---------------------------------------------------------------------------

                         CAPITAL STOCK INCREASE

    Sec. 51.\88\ (a) The United States Governor of the Bank is 
authorized--
---------------------------------------------------------------------------
    \88\ 22 U.S.C. 286e-1j. The Selective Capital Increase (SCI) 
authorized by sec. 51 was added by sec. 301 of H.R. 2253, as enacted 
into law by sec. 101(i) of the Further Continuing Appropriations, 1986 
(Public Law 99-190; 99 Stat. 1291).
---------------------------------------------------------------------------
          (1) to vote for an increase of seventy thousand 
        shares in the authorized capital stock of the Bank; and
          (2) to subscribe on behalf of the United States to 
        twelve thousand four hundred and fifty-three additional 
        shares of the capital stock of the Bank, except that 
        any subscription to such additional shares shall be 
        effective only to such extent or in such amounts as are 
        provided in advance in appropriations Acts.
    (b) In order to pay for the increase in the United States 
subscription to the Bank provided for in this section, there 
are authorized to be appropriated, without fiscal year 
limitation, $1,502,267,655 for payment by the Secretary of the 
Treasury.
    Sec. 52.\89\ The United States Governor of the Bank is 
hereby authorized to agree to and to accept the amendment to 
the Articles of Agreement in the proposed resolution entitled 
``Amendment to the Articles of Agreement of the Bank'' 
forwarded to the United States on February 27, 1987.
---------------------------------------------------------------------------
    \8\ Sec. 52 was added by sec. 601 of H.R. 3750, as introduced by 
the House Committee on Banking, Finance and Urban Affairs, on December 
11, 1987, and enacted into law by reference in Title I of the Foreign 
Operations, Export Financing, and Related Programs Appropriations Act, 
1988 (sec. 101(e) of the Continuing Appropriations; 1988 (Public Law 
100-202; 101 Stat. 1329-1340).
---------------------------------------------------------------------------

SEC. 53.\90\ CAPITAL STOCK INCREASE.

    (a) Increase Authorized.--The United States Governor of the 
Bank is authorized--
---------------------------------------------------------------------------
    \90\ 22 U.S.C. 286e-1k. Sec. 53 was added by sec. 1 of H.R. 4645, 
as reported by the Committee on Banking, Finance, and Urban Affairs on 
Sept. 22, 1988, and enacted into law by reference in sec. 555 of the 
Foreign Operations, Export Financing, and Related Programs 
Appropriations Act, 1989 (Public Law 100-461; 102 Stat. 2268-36).
---------------------------------------------------------------------------
          (1) to vote for an increase of 620,000 shares in the 
        authorized capital stock of the Bank; and
          (2) to subscribe on behalf of the United States to 
        116,262 additional shares of the capital stock of the 
        Bank, except that any subscription to such additional 
        shares shall be effective only to such extent or in 
        such amounts as are provided in advance in 
        appropriations Acts.
    (b) Authorization of Appropriations.--In order to pay for 
the increase in the United States subscription to the Bank 
provided for in this section, there are authorized to be 
appropriated, without fiscal year limitation, $14,025,266,370 
for payment by the Secretary of the Treasury.\91\
---------------------------------------------------------------------------
    \91\ U.S. payment for this increase was made in the following 
amounts and Public Laws: fiscal year 1989--$2,342.9 million ($50 
million paid-in capital; $2,292.9 million callable capital) (Public Law 
100-461); fiscal year 1990--$49.8 million paid-in capital (Public Law 
101-167); fiscal year 1991--$3,010.2 million ($110.59 million paid-in 
capital; $2,899.61 million callable capital) (Public Law 101-513); 
fiscal year 1992--$2,302.99 million ($69.09 million paid-in capital; 
$2,233.9 million callable capital) (Public Law 102-145, as amended by 
Public Law 102-266); fiscal year 1993--$2,072.69 million ($62.18 
million paid-in capital; $2,010.51 million callable capital) (Public 
Law 102-391); fiscal year 1994--$1,860.7 million ($55.82 million paid-
in capital; $1,804.88 million callable capital) (Public Law 103-87). 
Pursuant to Public Law 103-211 (108 Stat. 30), however, a portion of 
fiscal year 1994 funds were rescinded. Paid-in capital was reduced by 
$27.9 million, and callable capital was limited to not exceed $902.4 
million. For fiscal year 1995--$766.9 million ($23.009 million paid-in; 
$743.9 million callable capital) (Public Law 103-306).
---------------------------------------------------------------------------

SEC. 54.\92\ CONTRIBUTION TO THE INTEREST SUBSIDY ACCOUNT OF THE 
                    ENHANCED STRUCTURAL ADJUSTMENT FACILITY OF THE 
                    INTERNATIONAL MONETARY FUND.

    (a) Contribution Authorized.--
---------------------------------------------------------------------------
    \92\ 22 U.S.C. 286e-12. Sec. 301 of the International Development 
and Finance Act of 1989 (Public Law 101-240; 103 Stat. 2500) added sec. 
54.
---------------------------------------------------------------------------
          (1) In general.--Subject to paragraph (2), the United 
        States Governor of the Fund may contribute $150,000,000 
        to the Interest Subsidy Account of the Enhanced 
        Structural Adjustment Facility of the Fund on behalf of 
        the United States.
          (2) Condition.--The United States Governor of the 
        Fund may not make a commitment to contribute any amount 
        authorized to be contributed under paragraph (1) before 
        an amount equal to such amount has been appropriated 
        for such purpose.
  (b) Limitation on Authorization of Appropriations.--To pay 
for the contribution authorized by subsection (a), there are 
authorized to be appropriated not to exceed $150,000,000, 
without fiscal year limitation, for payment by the Secretary of 
the Treasury.\93\
---------------------------------------------------------------------------
    \93\ U.S. payment for this contribution was made in the following 
amounts and Public Laws: fiscal year 1990--$139.4 million (Public Law 
101-167); fiscal year 1991--$10.6 million (Public Law 101-513), reduced 
by $0.2 million as a result of sequestration (Public Laws 99-177, 100-
119, and 101-508), restored by $0.2 million by a 1991 sequestration 
restoration (Public law 102-27). For fiscal year 1992, sec. 115 of the 
Further Continuing Appropriations (Public Law 102-145, as amended by 
Public Law 102-266) ``Provided, That no funds are provided by this 
joint resolution for `Contribution to the Enhanced Structural 
Adjustment Facility of the International Monetary Fund' ''. For fiscal 
year 1995--$0.025 million was contributed (Public Law 103-306). No 
funds were appropriated for fiscal years 1996 through 2000.
---------------------------------------------------------------------------
      


          Note.--Section 526(c) of the Foreign Operations, 
        Export Financing, and Related Programs Appropriations 
        Act, 1995 (108 Stat. 1632), provided, in part, the 
        following authorization requirement:
          ``(c) The Secretary of the Treasury may, to fulfill 
        commitments of the United States, * * * (2) contribute 
        to * * * the Interest Subsidy Account of the successor 
        to the Enhanced Structural Adjustment Facility of the 
        International Monetary Fund. * * * The amount 
        authorized to be appropriated * * * for payment of the 
        contribution to the Interest Subsidy Account of the 
        successor to the Enhanced Structural Adjustment 
        Facility of the International Monetary Fund is limited 
        to $25,000,000. The amount to be paid in respect of 
        each such contribution or subscription is authorized to 
        be appropriated without fiscal year limitation. Each 
        such subscription or contribution shall be effective 
        only to such extent or in such amounts as are provided 
        in advance in appropriations Acts.''.
          Title I of Public Law 103-306 (108 Stat. 1610) made 
        available $25 million, to remain available until 
        expended, for the Interest Subsidy Account of the 
        successor to the Enhanced Structural Adjustment 
        Facility.



SEC. 55.\94\ DISCUSSIONS TO ENHANCE THE CAPACITY OF THE FUND TO 
                    ALLEVIATE THE POTENTIALLY ADVERSE IMPACTS OF FUND 
                    PROGRAMS ON THE POOR AND THE ENVIRONMENT.

    The Secretary of the Treasury shall instruct the United 
States Executive Director of the Fund to seek policy changes by 
the Fund, through formal initiatives and through bilateral 
discussions, which will result in--
---------------------------------------------------------------------------
    \94\ 22 U.S.C. 286kk. Sec. 302 of the International Development and 
Finance Act of 1989 (Public Law 101-240; 103 Stat. 2500) added sec. 55.
---------------------------------------------------------------------------
          (1) the initiation of a systematic review of policy 
        prescriptions implemented by the Fund, for the purpose 
        of determining whether the Fund's objectives were met 
        and the social and environmental impacts of such policy 
        prescriptions; and
          (2) the establishment of procedures which ensure the 
        inclusion, in future economic reform programs approved 
        by the Fund, of policy options which eliminate or 
        reduce the potential adverse impact on the well-being 
        of the poor or the environment resulting from such 
        programs.

SEC. 56.\95\ QUOTA INCREASE.
    The United States Governor of the Fund may consent to an 
increase in the quota of the United States in the Fund 
equivalent to 8,608,500,000 Special Drawing Rights, limited to 
such amounts as are provided in advance in appropriations 
Acts.\96\
---------------------------------------------------------------------------
    \95\ 22 U.S.C. 286e-1l. Sec. 1001 of the FREEDOM Support Act 
(Public Law 102-511; 106 Stat. 3357) added sec. 56.
    \96\ Title II of the Foreign Operations, Export Financing, and 
Related Programs Appropriations Act, 1993 (Public Law 102-391; 106 
Stat. 1636) provided the following:
---------------------------------------------------------------------------

                     ``INTERNATIONAL MONETARY FUND
---------------------------------------------------------------------------
    ``There is appropriated for an increase in the United States quota 
in the International Monetary Fund, the dollar equivalent of 8,608.5 
million Special Drawing Rights, to remain available until expended and, 
among other uses, such funds may be used to promote efforts by the 
International Monetary Fund to support monetary stability in member 
countries through the instrumentality of currency boards.''.
---------------------------------------------------------------------------

SEC. 57.\97\ ACCEPTANCE OF AMENDMENTS TO THE ARTICLES OF AGREEMENT OF 
                    THE FUND.

    The United States Governor of the Fund may agree to and 
accept the amendments to the Articles of Agreement of the Fund 
as proposed in the resolution numbered 45-3 of the Board of 
Governors of the Fund that was approved by such Board on June 
28, 1990.
---------------------------------------------------------------------------
    \97\ 22 U.S.C. 286e-5b. Sec. 1001 of the FREEDOM Support Act 
(Public Law 102-511; 106 Stat. 3357) added sec. 57.
---------------------------------------------------------------------------

SEC. 58.\98\ APPROVAL OF FUND PLEDGE TO SELL GOLD TO PROVIDE RESOURCES 
                    FOR THE RESERVE ACCOUNT OF THE ENHANCED STRUCTURAL 
                    ADJUSTMENT FACILITY TRUST.

    The Secretary of the Treasury is authorized to instruct the 
United States Executive Director of the Fund to vote to approve 
the Fund's pledge to sell, if needed, up to 3,000,000 ounces of 
the Fund's gold, to restore the resources of the Reserve 
Account of the Enhanced Structural Adjustment Facility Trust to 
a level that would be sufficient to meet obligations of the 
Trust payable to lenders which have made loans to the Loan 
Account of the Trust that have been used for the purpose of 
financing programs to Fund members previously in arrears to the 
Fund.
---------------------------------------------------------------------------
    \98\ 22 U.S.C. 286e-13. Sec. 1001 of the FREEDOM Support Act 
(Public Law 102-511; 106 Stat. 3357) added sec. 58.
---------------------------------------------------------------------------

SEC. 59.\99\ FUND POLICY CHANGES.

    (a) Policy Changes Within the IMF.--The Secretary of the 
Treasury shall instruct the United States Executive Director of 
the Fund to promote regularly and vigorously in program 
discussions and quota increase negotiations the following 
proposals:
---------------------------------------------------------------------------
    \99\ 22 U.S.C. 286ll. Sec. 1002 of the FREEDOM Support Act (Public 
Law 102-511; 106 Stat. 3357) added sec. 59.
---------------------------------------------------------------------------
          (1) Poverty alleviation, reduction of barriers to 
        economic and social progress, and progress toward 
        environmentally sound policies and programs.--(A)(i) 
        Considerations of poverty alleviation and the reduction 
        of barriers to economic and social progress should be 
        incorporated into all Fund programs and all 
        consultations under article IV of the Articles of 
        Agreement of the Fund.
          (ii) Preparation of Policy Framework Papers should be 
        extended to all nations which have Fund programs and 
        active Bank or International Development Association 
        lending programs, and existence of a Policy Framework 
        Paper should be a precondition for new lending to such 
        nations by the Fund.
          (iii) All Policy Framework Papers should articulate 
        the principal poverty, economic, and social measures 
        that the borrowing nation needs to address, and this 
        portion of the Policy Framework Paper (or a summary 
        thereof that includes specific measures and timing) 
        should be made available when the Policy Framework 
        Paper is submitted to the Executive Directors of the 
        Bank and of the Fund for consideration.
          (iv) In considering whether to allocate resources of 
        the Fund to a borrower, the Fund should take into 
        consideration the nature of the program and commitment 
        of the borrower to address the issues referred to in 
        clause (iii).
          (v) The Fund should establish procedures to enable 
        the Fund to cooperate with the Bank in evaluating the 
        effectiveness of the measures referred to in clause 
        (iii), at the levels of policy, project design, 
        monitoring, and reporting, in the international 
        financial institutions and in the borrowing nations.
          (B)(i) The Fund should be encouraged to make further 
        progress toward environmentally sound policies and 
        programs.
          (ii) The Fund should incorporate environmental 
        considerations into all Fund programs, including 
        consultations under article IV of the Articles of 
        Agreement of the Fund.
          (iii) The Fund should be encouraged to support the 
        efforts of nations to implement systems of natural 
        resource accounting in their national income accounts.
          (iv) The Fund should be encouraged to assist and 
        cooperate fully with the statistical research being 
        undertaken by the Organization for Economic Cooperation 
        and Development and by the United Nations in order to 
        facilitate development and adoption of a generally 
        applicable system for taking account of the depletion 
        or degradation of natural resources in national income 
        accounts.
          (v) The Fund should be encouraged to consider and 
        implement, as appropriate, revisions in its national 
        income reporting systems consistent with such new 
        systems as are of general applicability.
          (2) Policy audits.--(A) The Fund should conduct 
        periodic audits to review systematically the policy 
        prescriptions recommended and required by the Fund in 
        the areas of poverty and the environment.
          (B) The purposes of such audits would be--
                  (i) to determine whether the Fund's 
                objectives were met; and
                  (ii) to evaluate the social and environmental 
                impacts of the implementation of the policy 
                prescriptions.
          (C) Such audits would have access to all ongoing 
        programs and activities of the Fund and the ability to 
        review the effects of Fund-supported programs, on a 
        country-by-country basis, with respect to poverty, 
        economic development, and environment.
          (D) Such audits should be made public as appropriate 
        with due respect to confidentiality.
          (3) Ensuring policy options that increase the 
        productive participation of the poor.--The Fund should 
        establish procedures that ensure the focus of future 
        economic reform programs approved by the Fund on policy 
        options that increase the productive participation of 
        the poor in the economy.
          (4) Public access to information.--(A) The Fund 
        should establish procedures for public access to 
        information.
          (B) Such procedures shall seek to ensure access of 
        the public to information while paying due regard to 
        appropriate confidentiality.
          (C) Policy Framework Papers and the supporting 
        documents prepared by the Fund's mission to a country 
        are examples of documents that should be made public at 
        an appropriate time and in appropriate ways.
    (b) Progress Report.--Each annual report of the National 
Advisory Council on International Monetary and Financial 
Policies shall describe the following:
          (1) The actions that the United States Executive 
        Director and other officials have taken to convince the 
        Fund to adopt the proposals set forth in subsection (a) 
        through formal initiatives before the Board and 
        management of the Fund, through bilateral discussions 
        with other member nations, and through any further 
        quota increase negotiations.
          (2) The status of the progress being made by the Fund 
        in implementing the proposals set forth in subsection 
        (a).
    (c) Study.--The Secretary of the Treasury shall instruct 
the United States Executive Director to the Fund to urge the 
Fund--
          (1) to explore ways to increase the involvement and 
        participation of important ministries, national 
        development experts, environmental experts, free-market 
        experts, and other legitimate experts and 
        representatives from the loan-recipient country in the 
        development of Fund programs; and
          (2) to report on the status of Fund efforts in this 
        regard.

SEC. 60.\100\ MEASURES TO REDUCE MILITARY SPENDING BY DEVELOPING 
                    NATIONS.

    (a) Development by the Fund of Means to Measure Military 
Spending--
          (1) Position of the united states.--The United States 
        Executive Director of the Fund shall use the voice and 
        vote of the United States to urge the Fund, in 
        consultation with the Bank, to continue to develop an 
        economic methodology to measure the level of military 
        spending by each developing country.
---------------------------------------------------------------------------
    \100\ 22 U.S.C. 286mm. Sec. 1003 of the FREEDOM Support Act (Public 
Law 102-511; 106 Stat. 3359) added sec. 60.
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          (2) Progress report to the congress.--No later than 1 
        year after the date of the enactment of this section, 
        the Secretary of the Treasury shall submit to the 
        Committee on Banking, Finance and Urban Affairs of the 
        House of Representatives \76\ and the Committee on 
        Banking, Housing, and Urban Affairs and the Committee 
        on Foreign Relations of the Senate a report on the 
        status of the development by the Fund of a workable 
        economic methodology to measure military pending by 
        developing countries.
  (b) Annual Reports by Fund on Levels of Military Spending.--
The United States Executive Director of the Fund shall use the 
voice and vote of the United States to urge the Fund, beginning 
with 1994, to provide the Executive Board of the Fund with 
annual reports stating the estimate by the Fund of the level of 
military spending by each developing country in the immediately 
preceding calendar year (or, with respect to developing 
countries whose fiscal years are not calendar years, in the 
most recently completed fiscal year of the developing country), 
not later than the date of the annual fall Interim and 
Development Committee meetings.
    (c) Analysis and Assessment of Military Spending To Be 
Included in Article IV Consultations by the Fund.--The United 
States Executive Director of the Fund shall use the voice and 
vote of the United States to urge the Fund, beginning no later 
than the date of the first report provided as described in 
subsection (b), to include in every article IV consultation 
with a developing country an analysis of the level of military 
spending by the developing country in the immediately preceding 
calendar year (or, with respect to developing countries whose 
fiscal years are not calendar years, in the most recently 
completed fiscal year of the developing country).

SEC. 61.\101\ QUOTA INCREASE.

    (a) In General.--The United States Governor of the Fund may 
consent to an increase in the quota of the United States in the 
Fund equivalent to 10,622,500,000 Special Drawing Rights.
---------------------------------------------------------------------------
    \101\ 22 U.S.C. 286e-1m. Sec. 608 of the Foreign Operations, Export 
Financing, and Related Programs Appropriations Act, 1999 Public Law 
105-277 (division A, sec. 101(d)) (112 Stat. 2681-224) added sec. 61.
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    (b) Subject to Appropriations.--The authority provided by 
subsection (a) shall be effective only to such extent or in 
such amounts as are provided in advance in appropriations Acts.

SEC. 62.\102\ APPROVAL OF CONTRIBUTIONS FOR DEBT REDUCTIONS FOR THE 
                    POOREST COUNTRIES.

    For the purpose of mobilizing the resources of the Fund in 
order to help reduce poverty and improve the lives of residents 
of poor countries and, in particular, to allow those poor 
countries with unsustainable debt burdens to receive deeper, 
broader, and faster debt relief, without allowing gold to reach 
the open market or otherwise adversely affecting the market 
price of gold, the Secretary of the Treasury is authorized to 
instruct the United States Executive Director of the Fund to 
vote--
---------------------------------------------------------------------------
    \102\ 22 U.S.C. 286nn. Added by sec. 503(a) of the Foreign 
Operations, Export Financing, and Related Appropriations Act, 2000, 
enacted by reference in sec. 1000(a)(5) of Public Law 106-113 (113 
Stat. 1501A-287). Sec. 503(b) of the Act provided the following:
    ``(b) Certification.--Within 15 days after the United States 
Executive Director casts the votes necessary to carry out the 
instruction described in section 62 of the Bretton Woods Agreements 
Act, the Secretary of the Treasury shall certify to the Congress that 
neither the profits nor the earnings on the investment of profits from 
the gold sales made pursuant to the instruction or of the funds 
attributable to United States participation in SCA-2 will be used to 
augment the resources of any reserve account of the International 
Monetary Fund for the purpose of making loans.''.
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          (1) to approve an arrangement whereby the Fund--
                  (A) sells a quantity of its gold at 
                prevailing market prices to a member or members 
                in nonpublic transactions sufficient to 
                generate 2.226 billion Special Drawing Rights 
                in profits on such sales;
                  (B) immediately after, and in conjunction 
                with each such sale, accepts payment by such 
                member or members of such gold to satisfy 
                existing repurchase obligations of such member 
                or members so that the Fund retains ownership 
                of the gold at the conclusion of such payment; 
                and
                  (C) uses the earnings on the investment of 
                the profits of such sales through a separate 
                subaccount, only for the purpose of providing 
                debt relief from the Fund under the modified 
                Heavily Indebted Poor Countries (HIPC) 
                Initiative (as defined in section 1623 of the 
                International Financial Institutions Act); and
                  (D) * * * [Repealed--2000] \103\
---------------------------------------------------------------------------
    \103\ Sec. 101(a) of the Foreign Operations, Export Financing, and 
Related Appropriations Act, 2001, enacted by reference in sec. 101(a) 
of Public Law 106-429 (114 Stat. 1900A-64) added ``and'' at the end of 
subparagraph (B) and struck out subparagraph (D), which read, ``shall 
not use more than 9/14 of the earnings on the investment of the profits 
of such sales;''
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          (2) to support a decision that shall terminate the 
        Special Contingency Account (SCA-2) of the Fund so that 
        the funds in the SCA-2 shall be made available to the 
        poorest countries. Any funds attributable to the United 
        States participation in the SCA-2 shall be used only 
        for debt relief from the Fund under the modified HIPC 
        Initiative.

SEC. 63\104\ PRINCIPLES FOR INTERNATIONAL MONETARY FUND LENDING.

    It is the policy of the United States to work to implement 
reforms in the International Monetary Fund (IMF) to achieve the 
following goals:
---------------------------------------------------------------------------
    \104\ Added by sec. 805 of the Foreign Operations, Export 
Financing, and Related Appropriations Act, 20016, enacted by reference 
in sec. 101(a) of Public Law 106-429.
---------------------------------------------------------------------------
          (1) Short-term balance of payments financing.--
        Lending from the general resources of the Fund should 
        concentrate chiefly on short-term balance of payments 
        financing.
          (2) Limitations on medium-term financing.--Use of 
        medium-term lending from the general resources of the 
        Fund should be limited to a set of well-defined 
        circumstances, such as--
                  (A) when a member's balance of payments 
                problems will be protracted;
                  (B) such member has a strong structural 
                reform program in place; and
                  (C) the member has little or no access to 
                private sources of capital.
          (3) Premium pricing.--Premium pricing should be 
        introduced for lending from the general resources of 
        the Fund, for greater than 200 per centum of a member's 
        quota in the Fund, to discourage excessive use of Fund 
        lending and to encourage members to rely on private 
        financing to the maximum extent possible.
          (4) Redressing misreporting of information.--The Fund 
        should have in place and apply systematically a strong 
        framework of safeguards and measures to respond to, 
        correct, and discourage cases of misreporting of 
        information in the context of a Fund program, 
        including--
                  (A) suspending Fund disbursements and 
                ensuring that Fund lending is not resumed to 
                members that engage in serious misreporting of 
                material information until such time as 
                remedial actions and sanctions, as appropriate, 
                have been applied;
                  (B) ensuring that members make early 
                repayments, where appropriate, of Fund 
                resources disbursed on the basis of misreported 
                information;
                  (C) making public cases of serious 
                misreporting of material information;
                  (D) requiring all members receiving new 
                disbursements from the Fund to undertake 
                annually independent audits of central bank 
                financial statements and publish the resulting 
                audits; and
                  (E) requiring all members seeking new loans 
                from the Fund to provide to the Fund detailed 
                information regarding their internal control 
                procedures, financial reporting and audit 
                mechanisms and, in cases where there are 
                questions about the adequacy of these systems, 
                undertaking an on-site review and identifying 
                needed remedies.
          (2) to support a decision that shall terminate the 
        Special Contingency Account 2 (SCA-2) of the Fund so 
        that the funds in the SCA-2 shall be made available to 
        the poorest countries. Any funds attributable to the 
        United States participation in SCA-2 shall be used only 
        for debt relief from the Fund under the modified HIPC 
        Initiative.
           (2) Bretton Woods Agreements Act Amendments, 1980

 Partial text of Public Law 96-389 [S. 2271], 94 Stat. 1551, approved 
                            October 7, 1980

 AN ACT To amend the Bretton Woods Agreements Act to authorize consent 
to an increase in the United States quota in the International Monetary 
                     Fund, and for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,


          Note.--Except for the provisions included below, 
        Public Law 96-389 contained amendments to the Bretton 
        Woods Agreements Act and to the Bretton Woods 
        Agreements Acts Amendments, 1978. These are 
        incorporated in the text at the appropriate locations.



          * * * * * * *

                RECYCLING BALANCE-OF-PAYMENTS SURPLUSES

    Sec. 4. (a) \1\ It is the sense of the Congress that (1) 
the interests of the United States and those of other member 
countries require an effective International Monetary Fund 
equipped with resources adequate to facilitate orderly balance-
of-payments adjustments; (2) persistent balance-of-payments 
surpluses in oil exporting countries have placed, and will 
continue to place, severe strains on the resources of oil 
importing countries and on the liquidity of the Fund; (3) these 
strains can only be relieved if the oil exporting countries 
assume a greater burden for financing balance-of-payments 
deficits through direct methods of recycling their surpluses 
and through proportionally greater contributions to the Fund 
and to the international lending institutions; and (4) the Fund 
must explore innovative proposals to encourage more direct 
recycling of oil surpluses and to increase its own liquidity.
---------------------------------------------------------------------------
    \1\ 22 U.S.C. 286t note.
---------------------------------------------------------------------------
          * * * * * * *
    Sec. 9.\2\ The United States Executive Director to the Fund 
shall seek to insure (a) that Fund salaries do not exceed those 
levels endorsed by the Fund Bank Joint Committee on Staff 
Compensation Issues; and (b) that travel costs are minimized by 
limiting first class and supersonic travel to instances where 
no reasonable alternative exists.
---------------------------------------------------------------------------
    \2\ 22 U.S.C. 286a note.
---------------------------------------------------------------------------

             ROLE OF GOLD IN INTERNATIONAL MONETARY SYSTEMS

    Sec. 10.\3\ (a) The Secretary of the Treasury shall 
establish and chair a commission consisting of--
---------------------------------------------------------------------------
    \3\ 31 U.S.C. 5302 note.
---------------------------------------------------------------------------
          (1) three members of the Board of Governors of the 
        Federal Reserve System and two members of the Council 
        of Economic Advisors, all of whom shall be designated 
        by the Secretary of the Treasury;
          (2) one majority and one minority member of each from 
        (A) the Joint Economic Committee of the Congress, (B) 
        the Committee on Banking, Housing, and Urban Affairs of 
        the Senate, and (C) the Committee on Banking, Finance 
        and Urban Affairs of the House of Representatives,\4\ 
        who shall be designated by the Speaker of the House of 
        Representatives and the President of the Senate, 
        respectively, upon the recommendations of the majority 
        and minority leaders of the respective Houses; and
---------------------------------------------------------------------------
    \4\ Sec. 1(a)(2) of Public Law 104-14 (109 Stat. 186) provided that 
references to the Committee on Banking, Finance and Urban Affairs of 
the House of Representatives shall be treated as referring to the 
Committee on Banking and Financial Services of the House of 
Representatives.
---------------------------------------------------------------------------
          (3) four distinguished private citizens with 
        business, finance, or academic backgrounds who shall be 
        designated by the Secretary.
    (b) The commission shall conduct a study to assess and make 
recommendations with regard to the policy of the United States 
Government concerning the role of gold in domestic and 
international monetary systems, and shall transmit to the 
Congress a report containing its findings and recommendations 
not later than one year after the date of enactment of this 
Act.
    (c) Sums appropriated pursuant to section 5 of Public Law 
95-612 shall be available to the commission to carry out its 
functions.\5\
---------------------------------------------------------------------------
    \5\ Sec. 5 of Public Law 95-612 (92 Stat. 3092) authorized ``not to 
exceed $24,000,000 for fiscal year 1979, including sums for official 
functions and reception and representation expenses, to carry out the 
international affairs functions of the Department of the Treasury.''.
---------------------------------------------------------------------------
                                     
          * * * * * * *

                             EFFECTIVE DATE

    Sec. 12. This Act shall take effect on its date of 
enactment, except that funds may not be appropriated under any 
authorization contained in this Act for any period prior to 
October 1, 1980.
           (3) Bretton Woods Agreements Act Amendments, 1978

Partial text of Public Law 95-435 [H.R. 9214], 92 Stat. 1051, approved 
 October 10, 1978, as amended by Public Law 96-389 [S. 2271], 94 Stat. 
                 1551 at 1553, approved October 7, 1980

   AN ACT To amend the Bretton Woods Agreements Act to authorize the 
United States to participate in the Supplementary Financing Facility of 
                    the International Monetary Fund.


          Note.--Except for the provisions included below, 
        Public Law 95-435 contained amendments to the Bretton 
        Woods Agreements Act and the Export Administration Act 
        of 1969. These are incorporated in the text at the 
        appropriate locations.



          * * * * * * *
    Sec. 5. (a) \1\ * * *
---------------------------------------------------------------------------
    \1\ Subsecs. (a), (c), (d), and (e) of sec. 5, which provided for a 
prohibition on imports into the United States from Uganda, were 
repealed by sec. 2(a) of Public Law 96-67 (93 Stat. 415; Sept. 21, 
1979). During 1979, prior to this repeal several actions were taken 
pursuant to this Act. On Feb. 6, 1979, the President issued Executive 
Order 12117 (44 F.R. 7937) ``in order to provide for the consistent 
implementation of import restrictions imposed against Uganda by Section 
5(c)''. Both sec. 5(c) and the Executive Order provided for the lifting 
of this prohibition if the President determined that Uganda was no 
longer committing a consistent pattern of gross violations of human 
rights and so certified to the Congress. Pursuant to this authority, 
the President determined on May 15, 1979, that the Government of Uganda 
was no longer violating human rights. This determination also has the 
effect of revoking Executive Order 12117 and immediately allowed for 
the resumption of imports from and exports to Uganda. Public Law 96-67, 
then, legislatively repealed the appropriate subsections of Public Law 
95-435.
---------------------------------------------------------------------------
    (b) It is the sense of the Congress that the Government of 
the United States should take steps to disassociate itself from 
any foreign government which engages in the international crime 
of genocide.
    (c) * * *
    (d) * * *
    (e) * * *
    Sec. 6.\2\ The Secretary of the Treasury shall instruct the 
Executive Director of the United States to the International 
Monetary Fund to work in opposition to any extension of 
financial or technical assistance by the Supplemental Financing 
Facility or by any other agency or facility of such Fund to any 
country the government of which--
---------------------------------------------------------------------------
    \2\ 22 U.S.C. 286e-11.
---------------------------------------------------------------------------
          (1) permits entry into the territory of such country 
        to any person who has committed an act of international 
        terrorism, including any act of aircraft hijacking, or 
        otherwise supports, encourages, or harbors such person; 
        or
          (2) fails to take appropriate measures to prevent any 
        such person from committing any such act outside the 
        territory of such country.
    Sec. 7.\3\ Congress reaffirms its commitment that the total 
budget outlays of the United States Government for a fiscal 
year may be not more than the receipts of the Government for 
that year.
---------------------------------------------------------------------------
    \3\ 31 U.S.C. 1103. Public Law 97-258 amended and recodified title 
31, U.S.C. Under that Act, sec. 7 was amended and restated, and 
recodified from 31 U.S.C. 27 to 1103. As originally enacted, sec. 7 
required a balanced budget for fiscal year 1981. Sec. 3 of Public Law 
96-389 (94 Stat. 1553) amended the text to express congressional 
commitment to a balanced budget in fiscal year 1981.
       (4) International Development Association Act, as amended

 Public Law 86-565 [H.R. 11001], 74 Stat. 293, approved June 30, 1960, 
 as amended by Public Law 88-310 [S. 2214], 78 Stat. 200, approved May 
  26, 1964; Public Law 91-14 [H.R. 33], 83 Stat. 10, approved May 23, 
  1969; Public Law 92-247 [S. 2010], 86 Stat. 60, approved March 10, 
 1972; Public Law 93-373 [S. 2665], 88 Stat. 445, approved August 14, 
 1974; Public Law 95-118 [H.R. 5262], 91 Stat. 1067 at 1068, approved 
  October 3, 1977; Public Law 97-35 [H.R. 3982], 95 Stat. 357 at 740, 
approved August 13, 1981; Public Law 98-473 [Continuing Appropriations 
 Act 1985; H.J. Res. 648], 98 Stat. 1837 at 1884, approved October 12, 
 1984; by Public Law 99-190 [Further Continuing Appropriations, 1986; 
 H.J. Res. 465], 99 Stat. 1185, approved December 19, 1985; Public Law 
  100-202 [Continuing Appropriations, 1988; H.J. Res. 395], 101 Stat. 
  1329, approved December 22, 1987; Public Law 101-240 [International 
   Development and Finance Act of 1989; H.R. 2494], 103 Stat. 2492, 
    approved December 19, 1989; and by Public Law 101-513 [Foreign 
Operations, Export Financing, and Related Programs Appropriations Act, 
      1991; H.R. 5114], 104 Stat. 1979, approved November 5, 1990

  AN ACT To provide for the participation of the United States in the 
                 International Development Association.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

                              SHORT TITLE

    Section 1. This Act may be cited as the ``International 
Development Association Act''.

                        ACCEPTANCE OF MEMBERSHIP

    Sec. 2.\1\ The President is hereby authorized to accept 
membership for the United States in the International 
Development Association (hereinafter referred to as the 
``Association''), provided for by the Articles of Agreement 
(hereinafter referred to as the ``Articles'') of the 
Association deposited in the archives of the International Bank 
for Reconstruction and Development.
---------------------------------------------------------------------------
    \1\ 22 U.S.C. 284.
---------------------------------------------------------------------------

              GOVERNOR, EXECUTIVE DIRECTOR, AND ALTERNATES

    Sec. 3.\2\ The Governor and Executive Director of the 
International Bank for Reconstruction and Development, and the 
alternate for each of them, appointed under section 3 of the 
Bretton Woods Agreements Act, as amended (22 U.S.C. 286a), 
shall serve as Governor, Executive Director and alternates, 
respectively, of the Association.
---------------------------------------------------------------------------
    \2\ 22 U.S.C. 284a.
---------------------------------------------------------------------------

   NATIONAL ADVISORY COUNCIL ON INTERNATIONAL MONETARY AND FINANCIAL 
                                PROBLEMS

    Sec. 4.\3\ The provisions of section 4 of the Bretton Woods 
Agreements Act, as amended (22 U.S.C. 286b), shall apply with 
respect to the Association to the same extent as with respect 
to the International Bank for Reconstruction and Development 
and the International Monetary Fund.\4\
---------------------------------------------------------------------------
    \3\ 22 U.S.C. 284b.
    \4\ Sec. 541 of the International Development and Finance Act of 
1989 (Public Law 101-240; 103 Stat. 2518) consolidated several 
reporting requirements into new secs. 1701-1703 and titles XVIII and 
XIX of the International Financial Institutions Act and repealed 
duplicative requirements in other legislation. Sec. 541(e)(4) struck 
out the last sentence of this section, which read as follows: ``Reports 
with respect to the Association under paragraphs (5) and (6) of 
subsection (b) of section 4 of said Act, as amended, shall be included 
in the first report made thereunder after the establishment of the 
Association and in each succeeding report.''.
---------------------------------------------------------------------------

           CERTAIN ACTS NOT TO BE TAKEN WITHOUT AUTHORIZATION

    Sec. 5.\5\ Unless Congress by law authorizes such action, 
neither the President nor any person or agency shall, on behalf 
of the United States, (a) subscribe to additional funds under 
article III, section 1, of the articles; (b) accept any 
amendment under article IX of the articles; or (c) make a loan 
or provide other financing to the Association.
---------------------------------------------------------------------------
    \5\ 22 U.S.C. 284c.
---------------------------------------------------------------------------

                              DEPOSITORIES

    Sec. 6.\6\ Any Federal Reserve bank which is requested to 
do so by the Association shall act as its depository or as its 
fiscal agent, and the Board of Governors of the Federal Reserve 
System shall supervise and direct the carrying out of these 
functions by the Federal Reserve banks.
---------------------------------------------------------------------------
    \6\ 22 U.S.C. 284d.
---------------------------------------------------------------------------

                        PAYMENT OF SUBSCRIPTIONS

    Sec. 7.\7\ (a) There is hereby authorized to be 
appropriated, without fiscal year limitation, for the 
subscription of the United States to the Association, 
$320,290,000.\8\
---------------------------------------------------------------------------
    \7\ 22 U.S.C. 284e.
    \8\ The United States subscription was payable in five annual 
installments (see art. II, sec. 2, IDA Articles of Agreement, 
Legislation on Foreign Relations Through 1988, vol. V, sec. H), one of 
$73,666,700 and four of $61,656,000.
---------------------------------------------------------------------------
    (b) \9\ The United States Governor is hereby authorized (1) 
to vote for an increase in the resources of the Association and 
(2) to agree on behalf of the United States to contribute to 
the Association the sum of $312 million, both as recommended by 
the Executive Directors, in a report dated September 9, 1963, 
to the Board of Governors of the Association. There is hereby 
authorized to be appropriated out of funds supplied by the 
Nation's taxpayers or out of funds borrowed on their credit, 
without fiscal year limitation, $312 million to provide the 
United States share of the increase in the resources of the 
Association.
---------------------------------------------------------------------------
    \9\ Sec. 1 of Public Law 88-310 (78 Stat. 200) added subsec. (b).
---------------------------------------------------------------------------
    (c) \10\ For the purpose of keeping to a minimum the cost 
to the United States of participation in the Association, the 
Secretary of the Treasury is authorized and directed to issue 
special notes of the United States from time to time, at par, 
and to deliver such notes to the Association in exchange for 
dollars to the extent permitted by the articles. The special 
notes provided for in this subsection shall be issued under the 
authority and subject to the provisions of the Second Liberty 
Bond Act, as amended, and the purposes for which securities may 
be issued under that Act are extended to include the purposes 
for which special notes are authorized and directed to be 
issued under this subsection, but such notes shall bear no 
interest, shall be nonnegotiable, and shall be payable on 
demand of the Association. The face amount of special notes 
issued to the Association under the authority of this 
subsection and outstanding at any one time shall not exceed in 
the aggregate, the amount actually paid to the Association 
under the articles.
---------------------------------------------------------------------------
    \10\ Sec. 2 of Public Law 88-310 redesignated this subsection as 
``(c)''; struck out the phrase ``, after paying the requisite part of 
the subscription of the United States in the Association required to be 
made under the articles,'' which appeared after the word ``treasury''; 
and struck out ``of the subscription of the United States'' which 
preceded the word ``actually'' in the last sentence.
---------------------------------------------------------------------------
    (d) \11\ Any payment made to the United States by the 
Association as a distribution of net income shall be covered 
into the Treasury as a miscellaneous receipt.
---------------------------------------------------------------------------
    \11\ This subsection was redesignated ``(d)'' by sec. 1 of Public 
Law 88-310.
---------------------------------------------------------------------------

                   JURISDICTION AND VENUE OF ACTIONS

    Sec. 8.\12\ For the purpose of any action which may be 
brought within the United States, its possessions, or the 
Commonwealth of Puerto Rico, by or against the Association in 
accordance with the articles, the Association shall be deemed 
to be an inhabitant of the Federal judicial district in which 
its principal office in the United States is located, and any 
such action at law or in equity to which the Association shall 
be a party shall be deemed to arise under the laws of the 
United States, and the district courts of the United States 
shall have original jurisdiction of any such action. When the 
Association is a defendant in any such action, it may, at any 
time before the trial thereof, remove such action from a State 
court into the district court of the United States for the 
proper district by following the procedure for removal of 
causes otherwise provided by law.
---------------------------------------------------------------------------
    \12\ 22 U.S.C. 284f.
---------------------------------------------------------------------------

                   STATUS, IMMUNITIES, AND PRIVILEGES

    Sec. 9.\13\ The provisions of article VII, section 5(d), 
and article VIII, sections 2 to 9, both inclusive, of the 
articles shall have full force and effect in the United States, 
its possessions, and the Commonwealth of Puerto Rico, upon 
acceptance of membership by the United States in, and the 
establishment of, the Association.
---------------------------------------------------------------------------
    \13\ 22 U.S.C. 284g. Added by Public Law 91-14 (83 Stat. 10).
---------------------------------------------------------------------------
    Sec. 10.\14\ The United States Governor is hereby 
authorized (1) to vote in favor of the second replenishment 
resolutions providing for an increase in the resources of the 
Association, and (2) to agree on behalf of the United States to 
contribute to the Association the sum of $480,000,000, as 
recommended by the Executive Directors in a report dated March 
8, 1968, to the Board of Governors of the Association. There is 
hereby authorized to be appropriated, without fiscal year 
limitation, $480,000,000 for payment by the Secretary of the 
Treasury of the United States share of the increase in the 
resources of the Association.
---------------------------------------------------------------------------
    \14\ 22 U.S.C. 284h.
---------------------------------------------------------------------------
    Sec. 11.\15\ The United States Governor is hereby 
authorized to agree on behalf of the United States to 
contribute to the Association three annual installments of 
$320,000,000 each as recommended in the ``Report of the 
Executive Directors to the Board of Governors on Additions to 
IDA Resources: Third Replenishment,'' dated July 21, 1970. 
There is hereby authorized to be appropriated, without fiscal 
year limitation, the amounts necessary for payment by the 
Secretary of the Treasury of three annual installments of 
$320,000,000 each for the United States share of the increase 
in the resources of the Association.
---------------------------------------------------------------------------
    \15\ 22 U.S.C. 284i. Added by Public Law 92-247 (86 Stat. 60).
---------------------------------------------------------------------------
    Sec. 12.\16\ The President shall instruct the United States 
Executive Directors of the International Bank for 
Reconstruction and Development and the International 
Development Association to vote against any loan or other 
utilization of the funds of the Bank and the Association for 
the benefit of any country which has--
---------------------------------------------------------------------------
    \16\ 22 U.S.C. 284j. Popularly referred to as the Gonzalez 
amendment. Public Law 92-247 (86 Stat. 60) added sec. 12.
---------------------------------------------------------------------------
          (1) nationalized or expropriated or seized ownership 
        or control of property owned by any United States 
        citizen or by any corporation, partnership, or 
        association not less than 50 per centum of which is 
        beneficially owned by United States citizens;
          (2) taken steps to repudiate or nullify existing 
        contracts or agreements with any United States citizen 
        or any corporation, partnership, or association not 
        less than 50 per centum of which is beneficially owned 
        by United States citizens; or
          (3) imposed or enforced discriminatory taxes or other 
        exactions, or restrictive maintenance or operational 
        conditions, or has taken other actions, which have the 
        effect of nationalizing, expropriating, or otherwise 
        seizing ownership or control of property so owned;
unless the President determines that (A) an arrangement for 
prompt, adequate, and effective compensation has been made, (B) 
the parties have submitted the dispute to arbitration under the 
rules of the Convention for the Settlement of Investment 
Disputes, or (C) good faith negotiations are in progress aimed 
at providing prompt, adequate, and effective compensation under 
the applicable principles of international law.
    Sec. 13.\17\ The Secretary of the Treasury shall instruct 
the United States Executive Directors of the International Bank 
for Reconstruction and Development and the International 
Development Association to vote against any loan or other 
utilization of the funds of the Bank and the Association for 
the benefit of any country with respect to which the President 
has made a determination, and so notified the Secretary of the 
Treasury, that the government of such country has failed to 
take adequate steps to prevent narcotic drugs and other 
controlled substances (as defined by the Comprehensive Drug 
Abuse Prevention and Control Act of 1970) produced or 
processed, in whole or in part, in such country, or transported 
through such country, from being sold illegally within the 
jurisdiction of such country to United States Government 
personnel or their dependents, or from entering the United 
States unlawfully. Such instruction shall continue in effect 
until the President determines, and so notifies the Secretary 
of the Treasury, that the government of such country has taken 
adequate steps to prevent such sale or entry of narcotic drugs 
and other controlled substances.
---------------------------------------------------------------------------
    \17\ 22 U.S.C. 284k. Public Law 92-247 (86 Stat. 60) added sec. 13.
---------------------------------------------------------------------------
    Sec. 14.\18\ (a) The United States Governor is hereby 
authorized to agree on behalf of the United States to pay to 
the Association four annual installments of $375,000,000 each 
as the United States contribution to the Fourth Replenishment 
of the Resources of the Association.
---------------------------------------------------------------------------
    \18\ 22 U.S.C. 284l. Public Law 93-373 (88 Stat. 445) added sec. 
14.
---------------------------------------------------------------------------
    (b) In order to pay for the United States contribution, 
there is hereby authorized to be appropriated without fiscal 
year limitation four annual installments of $375,000,000 each 
for payment by the Secretary of the Treasury.
    Sec. 15.\19\ * * * [Repealed--1977]
---------------------------------------------------------------------------
    \19\ Sec. 15, which directed the U.S. Governor to vote against any 
loan or assistance to any country which develops a nuclear explosive 
device (unless such country was a party to the Treaty on the Non-
Proliferation of Nuclear Weapons), was repealed by sec. 702 of Public 
Law 95-118 (91 Stat. 1070).
---------------------------------------------------------------------------
    Sec. 16.\20\ (a) The United States Governor is hereby 
authorized to agree on behalf of the United States to pay to 
the Association $2,400,000,000 as the United States 
contribution to the fifth replenishment of the Resources of the 
Association: Provided, however, That any commitment to make 
such contributions shall be made subject to obtaining the 
necessary appropriations.
---------------------------------------------------------------------------
    \20\ 22 U.S.C. 284n. Sec. 401 of Public Law 95-118 (91 Stat. 1068) 
added sec. 16.
---------------------------------------------------------------------------
    (b) In order to pay for the United States contribution 
provided for in this section, there are hereby authorized to be 
appropriated, without fiscal year limitation, $2,400,000,000 
for payment by the Secretary of the Treasury.
    Sec. 17.\21\ (a) The United States Governor is authorized 
to agree on behalf of the United States to pay to the 
Association $3,240,000,000 as the United States contribution to 
the sixth replenishment of the resources of the Association: 
Provided, however, That any commitment to make such 
contributions shall be made subject to obtaining the necessary 
appropriations.
---------------------------------------------------------------------------
    \21\ 22 U.S.C. 284o. Sec. 1321 of Public Law 97-35 (95 Stat. 740) 
added sec. 17.
---------------------------------------------------------------------------
    (b) In order to pay for the United States contributions 
provided for in this section, there is authorized to be 
appropriated, without fiscal year limitation, $3,240,000,000 
for payment by the Secretary of the Treasury: Provided, 
however, That not more than $850,000,000 of such sum may be 
made available for the fiscal year 1982 and not more than 
$945,000,000 of such sum may be made available for the fiscal 
year 1983.\22\
---------------------------------------------------------------------------
    \22\ Appropriations for U.S. payments authorized in sec. 17 have 
been provided in the following amounts and Public Laws: fiscal year 
1981--$500 million (Public Law 97-12); fiscal year 1982--$700 million 
(Public Law 97-121); fiscal year 1983--$700,000,000 (Public Law 97-
377); and $245 million (Public Law 98-63); fiscal year 1984--$945 
million (Public Law 98-151); fiscal year 1985--$150 million (Public Law 
98-473).
---------------------------------------------------------------------------
    Sec. 18.\23\ (a) The United States Governor is hereby 
authorized to agree on behalf of the United States to pay to 
the Association $2,250,000,000 as the United States 
contribution to the seventh replenishment of the resources of 
the Association, except that any commitment to make such 
contributions shall be made subject to obtaining the necessary 
appropriations.
---------------------------------------------------------------------------
    \23\ 22 U.S.C. 284p. Title I of the Foreign Assistance 
Appropriations Act, 1985 (sec. 101 of the Continuing Appropriations 
Act, 1985; Public Law 98-473; 98 Stat. 1885), added sec. 18 by enacting 
into law the amendment made by sec. 901 of S. 2582, as reported by the 
Senate Committee on Foreign Relations on April 18, 1984, except for 
subsec. (c) of such amendment.
---------------------------------------------------------------------------
    (b) In order to pay for the United States contribution 
provided for in subsection (a), there are authorized to be 
appropriated, without fiscal year limitation, $2,250,000,000 
for payment by the Secretary of the Treasury.\24\
---------------------------------------------------------------------------
    \24\ Appropriations for U.S. payments authorized in sec. 18 have 
been provided in the following amounts and Public Laws: fiscal year 
1985--$750 million (Public Law 98-473); fiscal year 1986--$700 million 
(Public Law 99-190), reduced by $30.1 million as a result of 
sequestration (Public Law 99-177); fiscal year 1987--$622.6 million 
(Public Law 99-591); fiscal year 1987 supplemental--$207.5 million 
(Public Law 100-71).
---------------------------------------------------------------------------

                SPECIAL FACILITY FOR SUB-SAHARAN AFRICA

    Sec. 19.\25\ (a) The Secretary of the Treasury shall pay to 
the Special Facility for Sub-Saharan Africa, administered by 
the Association, amounts appropriated pursuant to subsection 
(b).
---------------------------------------------------------------------------
    \25\ 22 U.S.C. 284q and 284q note. Sec. 101(i) of the Further 
Continuing Appropriations, 1986 (Public Law 99-190; 99 Stat. 1294) 
added sec. 19, which enacted sec. 102 of H.R. 2253.
---------------------------------------------------------------------------
    (b) For purposes of the United States contribution provided 
for in subsection (a), there are authorized to be appropriated, 
without fiscal year limitation, $225,000,000.\26\
---------------------------------------------------------------------------
    \26\ Appropriations for U.S. payments authorized in sec. 19 have 
been provided in the following amounts and Public Laws: fiscal year 
1986--$75 million (actual contribution was $71.8 million resulting from 
budgetary reductions mandated by Gramm-Rudman) (Public Law 99-190); 
fiscal year 1987--$64.8 million (Public Law 99-591).
---------------------------------------------------------------------------
    Sec. 20.\27\ (a) The United States Governor is hereby 
authorized to agree on behalf of the United States to pay to 
the Association $2,875,000,000 to the eighth replenishment of 
the resources of the Association, except that any commitment to 
make such contributions shall be made subject to obtaining the 
necessary appropriations.
---------------------------------------------------------------------------
    \27\ Added by sec. 101 of H.R. 3750 (as introduced on Dec. 11, 
1987), which was enacted into law by reference in title II of the 
Foreign Operations, Export Financing, and Related Programs 
Appropriations Act, 1988 (Public Law 100-202; 101 Stat. 1329 at 1329-
134).
---------------------------------------------------------------------------
    (b) In order to pay for the United States contribution 
provided for in subsection (a), there are authorized to be 
appropriated, without fiscal year limitation, $2,875,000,000 
for payment by the Secretary of the Treasury.\28\
---------------------------------------------------------------------------
    \28\ Appropriations for the U.S. contribution authorized in sec. 20 
have been provided in the following amounts and Public Laws: fiscal 
year 1988--$915 million (Public Law 100-202); fiscal year 1989--$995 
million (Public Law 100-461); fiscal year 1990--$960 million (Public 
Law 101-167); fiscal year 1991--$4.15 million (Public Law 101-513).
---------------------------------------------------------------------------

SEC. 21.\29\ NINTH REPLENISHMENT.

  (a) In General.--The United States Governor is hereby 
authorized to agree on behalf of the United States to pay to 
the Association $3,180,000,000 to the ninth replenishment of 
the resources of the Association, subject to obtaining the 
necessary appropriations.
---------------------------------------------------------------------------
    \29\ 22 U.S.C. 284s. Sec. 562(a)(1) of the Foreign Operations, 
Export Financing, and Related Programs Appropriations Act, 1991 (Public 
Law 101-513; 104 Stat. 2032) added sec. 21.
    Appropriations for the U.S. contribution to the ninth replenishment 
were provided in the following amounts and Public Laws: fiscal year 
1991--$1.1 billion (Public Law 101-513); fiscal year 1991 
sequestration--$20.2 million (Public Laws 99-177, 100-119, 101-508); 
fiscal year 1991 sequestration restoration--$20.2 million (Public Law 
102-27); fiscal year 1992 Continuing Resolutions--$1.0 billion (Public 
Laws 102-145, 102-266); fiscal year 1992 Recission--$32.5 million 
(Public Law 102-298); fiscal year 1993--$1.0 billion (Public Law 102-
391); fiscal year 1996--$79.7 billion (Public Law 104-107).
    The Foreign Operations and Related Programs Appropriations Acts of 
1994 (Public Law 103-87, 107 Stat. 931) and 1997 (Public Law 104-208, 
110 Stat. 3009) provided for participation in the tenth replenishment 
in sec. 526 (107 Stat. 952), which authorized a contribution of $2.5 
billion. Subsequent appropriations included: fiscal year 1994--$1,024.3 
million (Public Law 103-87); fiscal year 1995--$1,235 million (Public 
Law 103-306); fiscal year 1996--$616.2 million (Public Law 104-107); 
fiscal year 1997--$700 million; fiscal year 1998--$234.5 million 
(Public Law 105-118).
    The Foreign Operations, Export Financing, and Related Programs 
Appropriations Act, 1998 (Public Law 105-118, 22 Stat. 2386) provided 
for participation in the eleventh replenishment, as follows:
---------------------------------------------------------------------------

                 ``INTERNATIONAL FINANCIAL INSTITUTIONS
---------------------------------------------------------------------------
    ``Sec. 560. (a) Authorizations.--The Secretary of the Treasury may, 
to fulfill commitments of the United States: * * *(2) contribute on 
behalf of the United States to the eleventh replenishment of the 
resources of the International Development Association, * * * Each such 
subscription or contribution shall be subject to obtaining the 
necessary appropriations.''
    Appropriations for the U.S. contribution to the eleventh 
replenishment have been provided in the following amounts and Public 
Laws: fiscal year 1998--$800 million (Public Law 105-118); fiscal year 
1999--$800 million (Public Law 105-277).
    Sec. 594 of the Foreign Operations, Export Financing, and Related 
Programs Appropriations Act, 2000, enacted by reference in sec. 
1000(a)(7) of Public Law 106-113 (113 Stat. 1501), provided for 
participation in the twelfth replenishment, as follows:
---------------------------------------------------------------------------

                            ``AUTHORIZATIONS
---------------------------------------------------------------------------
    ``Sec. 594. The Secretary of The Treasury may, to fulfill 
commitments of the United States: (1) effect the United States 
participation in the * * * twelfth replenishment of the International 
Development Association. The following amounts are authorized to be 
appropriated without fiscal year limitation for payment by the 
Secretary of the Treasury: * * * $2,410,000,000 for the International 
Development Association.''
    Appropriations for the U.S. contribution have been provided in the 
following amounts and Public Laws: fiscal year 2000--$775 million 
(Public Law 106-113); fiscal year 1999 rescission--$3.7 million; fiscal 
year 2001--$835.6 million (Public Law 106-429).
---------------------------------------------------------------------------
  (b) Limitations on Authorization of Appropriations.--In order 
to pay for the United States contribution provided for in 
subsection (a), there are authorized to be appropriated, 
without fiscal year limitation, $3,180,000,000 for payment by 
the Secretary of the Treasury.\30\
---------------------------------------------------------------------------
    \30\ Appropriations for the U.S. contribution authorized in sec. 21 
have been provided in the following amounts and Public Laws: fiscal 
year 1991--$1,060 million (Public Law 101-513), fiscal year 1991 
rescission--$32.5 million (Public Law 102-298); fiscal year 1992--
$1,044 million (Public Law 102-145, as amended by Public Law 102-266); 
fiscal year 1993--$1,024 million (Public Law 102-391).
              (5) Special Facility for Sub-Saharan Africa

 Partial text of H.R. 2253 [Multilateral Development Bank Act of 1985] 
     as enacted into law by sec. 101(i) of the Further Continuing 
   Appropriations, 1986 (Public Law 99-190; 99 Stat. 1294), approved 
                           December 19, 1985


          Note.--Except for the provisions included below, H.R. 
        2253 contained amendments to the International 
        Development Association Act, the African Development 
        Fund Act, and the Bretton Woods Agreement Act. These 
        amendments are incorporated into the text at the 
        appropriate places.



          * * * * * * *

            TITLE I--SPECIAL FACILITY FOR SUB-SAHARAN AFRICA

SEC. 101. FINDINGS.

    The Congress hereby finds that--
          (1) Sub-Saharan Africa faces a virtually 
        unprecedented condition of human misery which threatens 
        the lives of one hundred and fifty million people;
          (2) only the combined effort of both the African 
        nations themselves and international aid donors can 
        overcome the obstacles to economic development which 
        have given rise to conditions of famine, declining food 
        production, infant mortality, desertification, and 
        deteriorating infrastructure;
          (3) international relief efforts have helped to 
        address the immediate crisis of starvation in Africa 
        and the United States has made important contributions 
        to this effort both bilaterally and through 
        contributions to the multilateral development 
        institutions;
          (4) there is a serious shortfall in the external 
        capital resources necessary to support the policy 
        reform efforts of the African governments and to 
        achieve the long-term development necessary to avert a 
        chronic state of crisis in Sub-Saharan Africa;
          (5) the Special Facility for Sub-Saharan Africa will 
        have as its primary goal the implementation of policy 
        reforms to help the African countries to help 
        themselves;
          (6) to succeed, these efforts must be reinforced by 
        development resources;
          (7) the appalling conditions prevalent in the 
        countries of Sub-Saharan Africa underscore the need for 
        the United States to participate in a coordinated 
        framework with the other aid donor countries; and
          (8) the Special Facility for Sub-Saharan Africa 
        provides such a framework and it is in the 
        humanitarian, economic, and strategic interests of the 
        United States to participate.
          * * * * * * *
         (6) International Finance Corporation Act, as amended

Public Law 84-350 [S. 1894], 69 Stat. 669, approved August 11, 1955, as 
amended by Public Law 87-185 [H.R. 6765], 75 Stat. 413, approved August 
 30, 1961; Public Law 89-126 [S. 1742], 79 Stat. 519, approved August 
    14, 1965; Public Law 95-118 [H.R. 5262], 91 Stat. 1067 at 1068, 
    approved October 3, 1977; Public Law 99-190 [Further Continuing 
Appropriations, 1986; H.J. Res. 465], 99 Stat. 1185, approved December 
19, 1985; Public Law 101-240 [International Development and Finance Act 
of 1989; H.R. 2494], 103 Stat. 2492, approved December 19, 1989; Public 
Law 101-513 [Foreign Operations, Export Financing, and Related Programs 
Appropriations Act, 1991; H.R. 5114], 104 Stat. 1979, approved November 
5, 1990;; Public Law 102-145 [Further Continuing Appropriations, Fiscal 
 Year 1992; H.J.Res. 360, as amended by Public Law 102-266], 105 Stat. 
 968 at 106 Stat. 97, approved October 28, 1991; and by Public Law 102-
 511 [FREEDOM Support Act, S. 2532], 106 Stat. 3320, approved October 
                                24, 1992

  AN ACT To provide for the participation of the United States in the 
                   International Finance Corporation.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

                              SHORT TITLE

    Section 1. This Act may be cited as the ``International 
Finance Corporation Act''.

                        ACCEPTANCE OF MEMBERSHIP

    Sec. 2.\1\ The President is hereby authorized to accept 
membership for the United States in the International Finance 
Corporation (hereinafter referred to as the Corporation), 
provided for by the Articles of Agreement of the Corporation 
deposited in the archives of the International Bank for 
Reconstruction and Development.
---------------------------------------------------------------------------
    \1\ 22 U.S.C. 282.
---------------------------------------------------------------------------

              GOVERNOR, EXECUTIVE DIRECTOR, AND ALTERNATES

    Sec. 3.\2\ The governor and executive director of the 
International Bank for Reconstruction and Development, and the 
alternate for each of them, appointed under section 3 of the 
Bretton Woods Agreements Act, as amended (22 U.S.C. 286a), 
shall serve as governor, director and alternates, respectively, 
of the Corporation.
---------------------------------------------------------------------------
    \2\ 22 U.S.C. 282a.
---------------------------------------------------------------------------

   NATIONAL ADVISORY COUNCIL ON INTERNATIONAL MONETARY AND FINANCIAL 
                                PROBLEMS

    Sec. 4.\3\ The provisions of section 4 of the Bretton Woods 
Agreements Act, as amended (22 U.S.C. 286b), shall apply with 
respect to the Corporation to the same extent as with respect 
to the International Bank for Reconstruction and 
Development.\4\
---------------------------------------------------------------------------
    \3\ 22 U.S.C. 282b.
    \4\ Sec. 541 of the International Development and Finance Act of 
1989 (Public Law 101-240; 103 Stat. 2518) consolidated several 
reporting requirements into new secs. 1701-1703 and titles XVIII and 
XIX of the International Financial Institutions Act and repealed 
duplicative requirements in other legislation. Sec. 541(e)(1) struck 
out the last sentence of this section, which read: ``Reports with 
respect to the Corporation under paragraphs 5 and 6 of subsection (b) 
of section 4 of said Act, as amended, shall be included in the first 
report made thereunder after the establishment of the Corporation and 
in each succeeding report.''.
---------------------------------------------------------------------------

           CERTAIN ACTS NOT TO BE TAKEN WITHOUT AUTHORIZATION

    Sec. 5.\5\ Unless Congress by law authorizes such action, 
neither the President nor any person or agency shall on behalf 
of the United States (a) subscribe to additional shares of 
stock under article II, section 3, of the Articles of Agreement 
of the Corporation; (b) accept any amendment under article VII 
of the Articles of Agreement of the Corporation; (c) make any 
loan to the Corporation. The United States Governor of the 
Corporation is authorized to agree to an amendment to article 
III of the Articles of Agreement of the Corporation to 
authorize the Corporation to make investments of its funds in 
capital stock and to limit the exercise of voting rights by the 
Corporation unless exercise of such rights is deemed necessary 
by the Corporation to protect its interests, as proposed in the 
resolution submitted by the Board of Directors on February 20, 
1961.\6\ Unless Congress by law authorizes such action, no 
governor or alternate representing the United States shall vote 
for an increase of capital stock of the Corporation under 
article II, section 2(c)(ii), of the Articles of Agreement of 
the Corporation.
---------------------------------------------------------------------------
    \5\ 22 U.S.C. 282c.
    \6\ Public Law 87-185 (75 Stat. 413) inserted this sentence 
authorizing acceptance of an amendment to the articles of agreement of 
the International Finance Corporation permitting investment in capital 
stock.
---------------------------------------------------------------------------

                              DEPOSITORIES

    Sec. 6.\7\ Any Federal Reserve Bank which is requested to 
do so by the Corporation shall act as its depository or as its 
fiscal agent, and the Board of Governors of the Federal Reserve 
System shall supervise and direct the carrying out of these 
functions by the Federal Reserve banks.
---------------------------------------------------------------------------
    \7\ 22 U.S.C. 282d.
---------------------------------------------------------------------------

                        PAYMENT OF SUBSCRIPTIONS

    Sec. 7.\8\ (a) The Secretary of the Treasury is authorized 
to pay the subscription of the United States to the Corporation 
and for this purpose is authorized to use as a public-debt 
transaction not to exceed $35,168,000 of the proceeds of any 
securities hereafter issued under the Second Liberty Bond Act, 
as amended, and the purposes for which securities may be issued 
under the Act are extended to include such purpose. Payment 
under this subsection of the subscription of the United States 
to the Corporation and any repayment thereof shall be treated 
as public-debt transactions of the United States.
---------------------------------------------------------------------------
    \8\ 22 U.S.C. 282e.
---------------------------------------------------------------------------
    (b) Any payment of dividends made to the United States by 
the Corporation shall be covered into the Treasury as a 
miscellaneous receipt.

                   JURISDICTION AND VENUE OF ACTIONS

    Sec. 8.\9\ For the purpose of any action which may be 
brought within the United States or its Territories or 
possessions by or against the Corporation in accordance with 
the Articles of Agreement of the Corporation, the Corporation 
shall be deemed to be an inhabitant of the Federal judicial 
district in which its principal office in the United States is 
located, and any such action at law or in equity to which the 
Corporation shall be a party shall be deemed to arise under the 
laws of the United States, and the district courts of the 
United States shall have original jurisdiction of any such 
action. When the Corporation is a defendant in any such action, 
it may, at any time before the trial thereof, remove such 
action from a State court into the district court of the United 
States for the proper district by following the procedure for 
removal of causes otherwise provided by law.
---------------------------------------------------------------------------
    \9\ 22 U.S.C. 282f.
---------------------------------------------------------------------------

                   STATUS, IMMUNITIES AND PRIVILEGES

    Sec. 9.\10\ The provisions of article V, section 5(d), and 
article VI, sections 2 to 9, both inclusive, of the Articles of 
Agreement of the Corporation shall have full force and effect 
in the United States and its Territories and possessions upon 
acceptance of membership by the United States in, and the 
establishment of, the Corporation.
---------------------------------------------------------------------------
    \10\ 22 U.S.C. 282g.
---------------------------------------------------------------------------
    Sec. 10.\11\ The United States Governor of the Corporation 
is authorized to agree to the amendments of the Articles of 
Agreement of the Corporation to remove the prohibition therein 
contained against the Corporation lending to or borrowing from 
the International Bank for Reconstruction and Development, and 
to place limitations on such borrowings.
---------------------------------------------------------------------------
    \11\ 22 U.S.C. 282h. Sec. 2 of Public Law 89-126 (79 Stat. 519) 
added sec. 10.
---------------------------------------------------------------------------
    Sec. 11.\12\ (a) The United States Governor of the 
Corporation is authorized--
---------------------------------------------------------------------------
    \12\ 22 U.S.C. 282i. Sec. 301 of Public Law 95-118 (91 Stat. 1068) 
added sec. 11.
---------------------------------------------------------------------------
          (1) to vote for an increase of five hundred and forty 
        thousand shares in the authorized capital stock of the 
        Corporation; and
          (2) if such increase becomes effective, to subscribe 
        on behalf of the United States to one hundred and 
        eleven thousand four hundred and ninety-three 
        additional shares of capital stock of the Corporation: 
        Provided, however, That any commitment to make payment 
        for such additional subscriptions shall be made subject 
        to obtaining the necessary appropriations.
    (b) In order to pay for the increase in the United States 
subscription to the Corporation provided for in this section, 
there are hereby authorized to be appropriated, without fiscal 
year limitations, $111,493,000 for payment by the Secretary of 
the Treasury.\13\
---------------------------------------------------------------------------
    \13\ Appropriation of funds for this increase in the U.S. 
subscription have been made in the following amounts and Public Laws: 
fiscal year 1978--$38 million (Public Law 95-148); fiscal year 1979--
$40 million (Public Law 95-481); fiscal year 1980--$33.4 million 
(Public Law 96-123) (only $19 million of the fiscal year 1980 
appropriation spent); fiscal year 1981--$0; fiscal year 1982--$14.4 
million (Public Law 97-121).
---------------------------------------------------------------------------

                         CAPITAL STOCK INCREASE

    Sec. 12.\14\ (a) The United States Governor of the 
Corporation is authorized--
---------------------------------------------------------------------------
    \14\ 22 U.S.C. 282j. Added by sec. 101(i) of the Further Continuing 
Appropriations, 1986 (Public Law 99-190; 99 Stat. 1294), which enacted 
sec. 3 of H.R. 1948 as introduced April 3, 1985.
---------------------------------------------------------------------------
          (1) to vote for an increase of 650,000 shares in the 
        authorized capital stock of the Corporation; and
          (2) to subscribe on behalf of the United States to 
        175,162 additional shares of the capital stock of the 
        Corporation, except that any subscription to additional 
        shares shall be effective only to such extent or in 
        such amounts as are provided in advance in 
        appropriations Acts.
    (b) In order to pay for the increase in the United States 
subscription to the Corporation provided for in this section, 
there are authorized to be appropriated, without fiscal year 
limitation, $175,162,000 for payment by the Secretary of the 
Treasury.\15\
---------------------------------------------------------------------------
    \15\ Appropriation of funds for this increase have been made in the 
following amounts and Public Laws: fiscal year 1986--$29 million 
(Public Law 99-190), reduced by $1.2 million as a result of 
sequestration (Public Law 99-177); fiscal year 1987 supplemental--$7.2 
million (Public Law 100-71); fiscal year 1988--$20.3 million (Public 
Law 100-202); fiscal year 1989--$4.9 million (Public Law 100-461); 
fiscal year 1990--$75 million (Public Law 101-167); fiscal year 1991--
$40.3 million (Public Law 101-513).
---------------------------------------------------------------------------

SEC. 13.\16\ SECURITIES ISSUED BY THE CORPORATION.

  (a) Exemption From Securities Laws; Reports to Securities and 
Exchange Commission.--Any securities issued by the Corporation 
(including any guaranty by the Corporation, whether or not 
limited in scope) and any securities guaranteed by the 
Corporation as to both principal and interest shall be deemed 
to be exempted securities within the meaning of section 3(a)(2) 
of the Securities Act of 1933 and section 3(a)(12) of the 
Securities Exchange Act of 1934. The Corporation shall file 
with the Securities and Exchange Commission such annual and 
other reports with regard to such securities as the Commission 
shall determine to be appropriate in view of the special 
character of the Corporation and its operations and necessary 
in the public interest or for the protection of investors.
---------------------------------------------------------------------------
    \16\ Sec. 562(e)(1)(A) of the Foreign Operations, Export Financing, 
and Related Programs Appropriations Act, 1991 (Public Law 101-513; 104 
Stat. 2037) added sec. 13.
---------------------------------------------------------------------------
  (b) Authority of Securities and Exchange Commission to 
Suspend Exemption: Reports to the Congress.--The Securities and 
Exchange Commission, acting in consultation with the National 
Advisory Council on International Monetary and Financial 
Problems, is authorized to suspend the provisions of subsection 
(a) at any time as to any or all securities issued or 
guaranteed by the Corporation during the period of such 
suspension. The Commission shall include in its annual reports 
to the Congress such information as it shall deem advisable 
with regard to the operations and effect of this section.

SEC. 14.\17\ CAPITAL STOCK INCREASE.

  (a) Subscription Authorized.--
---------------------------------------------------------------------------
    \17\ 22 U.S.C. 282l. Sec. 125(a) of the Further Continuing 
Appropriations, Fiscal Year 1992 (Public Law 102-145, as amended by 
Public Law 102-266; 106 Stat. 97), added sec. 14.
---------------------------------------------------------------------------
          (1) In general.--The United States Governor of the 
        Corporation may--
                  (A) vote for an increase of 1,000,000 shares 
                in the authorized capital stock of the 
                Corporation; and
                  (B) subscribe on behalf of the United States 
                to 250,000 additional shares of the capital 
                stock of the Corporation.
          (2) Prior appropriation required.--The subscription 
        authority provided in paragraph (1) shall be effective 
        only to such extent or in such amounts as are provided 
        in advance in appropriations Acts.
    (b) Limitations on Authorization of Appropriations.--In 
order to pay for the subscription authorized in subsection (a), 
there are authorized to be appropriated, without fiscal year 
limitation, $50,000,000 for payment by the Secretary of the 
Treasury.\18\
---------------------------------------------------------------------------
    \18\ Appropriation of funds for this increase have been made in the 
following amounts and Public Laws: fiscal year 1992--$39.7 million 
(Public Law 102-145, as amended by Public Law 102-266); fiscal year 
1993--$35.76 (Public Law 102-391); fiscal year 1994--$35.76 (Public Law 
103-87); fiscal year 1995--$68.741 million (Public Law 103-306); fiscal 
year 1996--$60.9 million (of which not more than $5.27 million was 
could be expended in fiscal year 1996) (Public Law 104-107); fiscal 
year 1997--$6.65 million (Public Law 104-208).
---------------------------------------------------------------------------

SEC. 15.\19\ AUTHORITY TO VOTE FOR CAPITAL INCREASES NECESSARY TO 
                    SUPPORT ECONOMIC RESTRUCTURING IN THE INDEPENDENT 
                    STATES OF THE FORMER SOVIET UNION.

    The United States Governor of the Corporation may vote in 
favor of any increase in the capital stock of the Corporation 
that may be needed to accommodate the requirements of the 
independent states of the former Soviet Union (as defined in 
section 3 of the Freedom for Russia and Emerging Eurasian 
Democracies and Open Markets Support Act of 1992).
---------------------------------------------------------------------------
    \19\ 22 U.S.C. 282m. Sec. 1005 of the FREEDOM Support Act (Public 
Law 102-511; 106 Stat. 3361) added sec. 15.
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SEC. 16.\20\ AUTHORITY TO AGREE TO AMENDMENTS TO THE ARTICLES OF 
                    AGREEMENT.

    The United States Governor of the Corporation is authorized 
to agree to amendments to the Articles of Agreement of the 
Corporation that would--
---------------------------------------------------------------------------
    \20\ 22 U.S.C. 282n. Sec. 1006 of the FREEDOM Support Act (Public 
Law 102-511; 106 Stat. 3361) added sec. 16.
---------------------------------------------------------------------------
          (1) amend Article II, Section 2(c)(ii), to increase 
        the vote by which the Board of Governors of the 
        Corporation may increase the capital stock of the 
        Corporation from a three-fourths majority to a four-
        fifths majority; and
          (2) amend Article VII(a) to increase the vote by 
        which the Board of Governors of the Corporation may 
        amend the Articles of Agreement of the Corporation from 
        a four-fifths majority to an eighty-five percent 
        majority.
            (7) Multilateral Investment Guarantee Agency Act

Partial text of H.R. 3570 as enacted into law by sec. 101(e) of Public 
Law 100-202 [Continuing Appropriations, 1988; H.J. Res. 395], 101 Stat. 
 1329), approved December 22, 1987; and amended by Public Law 101-240 
  [International Development and Finance Act of 1989; H.R. 2494], 103 
                 Stat. 2518, approved December 19, 1989


          Note.--Sec. 101(e) of the Continuing Appropriations, 
        1988 (Public Law 100-202) enacted into law title IV of 
        H.R. 3570, as introduced in the House of 
        Representatives on December 11, 1987. The text of title 
        IV is set out below.



           TITLE IV--MULTILATERAL INVESTMENT GUARANTEE AGENCY

    Sec. 401. This title may be cited as the ``Multilateral 
Investment Guarantee Agency Act''.
    Sec. 402. This title shall be codified as subchapter XXVI 
of chapter 7 of title 22 of the United States Code.

                        ACCEPTANCE OF MEMBERSHIP

    Sec. 403.\1\ The President is hereby authorized to accept 
membership for the United States in the Multilateral Investment 
Guarantee Agency (hereinafter in this title referred to as the 
``Agency'') provided for by the Convention Establishing the 
Multilateral Investment Guarantee Agency (hereinafter in this 
title referred to as the ``Convention'') deposited in the 
archives of the International Bank for Reconstruction and 
Development (hereinafter in this title referred to as the 
``Bank'').
---------------------------------------------------------------------------
    \1\ 22 U.S.C. 290k.
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                    GOVERNOR AND ALTERNATE GOVERNOR

    Sec. 404.\2\ The Governor and Alternate Governor of the 
Bank, appointed under section 3 of the Bretton Woods Agreements 
Act, as amended (22 U.S.C. 286a), shall serve as Governor and 
Alternate Governor, respectively, of the Agency.
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    \2\ 22 U.S.C. 290k-1.
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                INSTRUCTIONS FOR UNITED STATES DIRECTOR

    Sec. 405.\3\ Immediately after taking office and prior to 
the issuance by the Agency of its first guarantee, the United 
States Director of the Agency shall propose and actively seek 
the adoption by the Board of Directors of policies and 
procedures under which the Agency will not issue guarantees in 
respect of any proposed investment that would--
---------------------------------------------------------------------------
    \3\ 22 U.S.C. 290k-2.
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          (1) be in any country which has not taken or is not 
        taking steps to afford internationally recognized 
        workers' rights to workers in that country;
          (2) be subject to trade-distorting performance 
        requirements imposed by the host country that are 
        likely to result in a significant net reduction in--
                  (A) employment in the United States or other 
                member countries; or
                  (B) other trade benefits likely to accrue to 
                the United States or other member countries 
                from the investment; or
          (3) increase a country's productive capacity in an 
        industry already facing excess worldwide capacity for 
        the same, similar or competing product, and cause 
        substantial injury to producers of such product in 
        another member country.
    Sec. 406.\4\ Consistent with the purposes of section 405, 
the Secretary of the Treasury shall--
---------------------------------------------------------------------------
    \4\ 22 U.S.C. 290k-3.
---------------------------------------------------------------------------
          (1) instruct the United States Directory to oppose, 
        and to actively seek the concurrence of other members 
        of the Board of Directors in opposing, any guarantee or 
        other investment promotion under consideration by the 
        Agency if the proposed investment would--
                  (A) be in any country which is not a 
                beneficiary developing country for purposes of 
                title V of the Trade Act of 1974 because it has 
                not taken or is not taking steps to afford 
                internationally-recognized workers' rights to 
                workers in that country;
                  (B) be subject to trade-distorting 
                performance requirements imposed by the host 
                country that are likely to result in a 
                significant net reduction in--
                          (i) employment in the United States; 
                        or
                          (ii) other trade benefits likely to 
                        accrue to the United States from the 
                        investment; or
                  (C) likely increase a country's productive 
                capacity in an industry already facing excess 
                worldwide capacity for the same, similar or 
                competing product, and cause substantial injury 
                to producers of such products in the United 
                States; and
          (2) within 12 months after the United States becomes 
        a member of the Agency and each year thereafter for the 
        3 succeeding years, conduct an independent evaluation 
        of the United States investments which have been 
        guaranteed by the Agency to determine--
                  (A) the anticipated net impact of such 
                investments on employment in and exports from 
                the United States, and
                  (B) the extent to which such investments were 
                made in countries which had not taken or are 
                not taking steps to afford internationally-
                recognized workers' rights to workers in those 
                countries.
In the course of conducting each evaluation required under 
paragraph (2), the Secretary shall actively solicit and take 
into account the views of United States labor organization. The 
Secretary shall furnish a copy of each such evaluation on its 
completion to the Congress.
    Sec. 407.\5\ Recognizing that United States participation 
in the Agency represents an effort to enhance United States 
trade prospects and strengthen the role of the United States 
private sector in the development process, the Secretary of the 
Treasury shall ensure regular and continuing consultations with 
United States private sector representatives and 
representatives of United States labor organizations, through 
appropriate mechanisms, on policy directions and operations of 
the Agency, and shall take account of those consultations in 
determining the policies of the United States toward the 
Agency.
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    \5\ 22 U.S.C. 290k-4.
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             APPLICABILITY OF BRETTON WOODS AGREEMENTS ACT

    Sec. 408.\6\ The provisions of section 4 of the Bretton 
Woods Agreements Act shall apply with respect to the Agency to 
the same extent as with respect to the Bank and the 
International Monetary Fund.\7\
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    \6\ 22 U.S.C. 290k-5.
    \7\ Sec. 541 of the International Development and Finance Act of 
1989 (Public Law 101-240; 103 Stat. 2518) consolidated several 
reporting requirements into new secs. 1701-1703 and titles XVIII and 
XIX of the International Financial Institutions Act and repealed 
duplicative requirements in other legislation. Sec. 541(e)(5) struck 
out the last sentence of this section, which read: ``Reports with 
respect to the Agency under paragraphs (5) and (6) of section 4(b) of 
such Act shall be included in the reports made thereunder after the 
United States accepts membership in the Agency.''.
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                              RESTRICTIONS

    Sec. 409.\8\ Unless authorized by law, neither the 
President nor any person or agency shall, on behalf of the 
United States--
---------------------------------------------------------------------------
    \8\ 22 U.S.C 290k-6.
---------------------------------------------------------------------------
          (1) subscribe to additional shares of stock of the 
        Agency;
          (2) vote for or agree to any amendment of the 
        Convention which increases the obligations of the 
        United States, or which changes the purpose or 
        functions of the Agency; or
          (3) make a loan or provide other financing to the 
        Agency.

                 FEDERAL RESERVE BANKS AS DEPOSITORIES

    Sec. 410.\9\ Any Federal Reserve bank that is requested to 
do so by the Agency shall act as its depository or as its 
fiscal agent, and the Board of Governors of the Federal Reserve 
System shall supervise and direct the carrying out of these 
functions by the Federal Reserve banks.
---------------------------------------------------------------------------
    \9\ 22 U.S.C. 290k-7.
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                         SUBSCRIPTION OF STOCK

    Sec. 411.\10\ (a) The Secretary of the Treasury is 
authorized to subscribe on behalf of the United States to 
20,519 shares of the capital stock of the Agency, except that 
the subscription shall be effective only to such extent or in 
such amounts as are provided in advance in appropriations acts.
    (b) In order to pay for United States subscription 
authorized in subsection (a), there are authorized to be 
appropriated, without fiscal year limitation, $222,015,580, for 
payment by the Secretary of the Treasury.\11\
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    \10\22 U.S.C. 290 k-8. Sec. 594 of the Foreign Operations, Export 
Financing, and Related Programs Appropriations Act, 2000 enacted by 
reference in sec. 1000(a)(7) of Public Law 106-113 (113 Stat. 1501A-
122), provided the following:
---------------------------------------------------------------------------

                            ``Authorizations
---------------------------------------------------------------------------
    ``Sec. 594. The Secretary of The Treasury may, to fulfill 
commitments of the United States: (1) effect the United States 
participation in * * * the first general capital increase of the 
Multilateral Investment Guarantee Agency * * * The following amounts 
are authorized to be appropriated without fiscal year limitation for 
payment by the Secretary of the Treasury: * * * $29,870,087 for paid-in 
capital, and $139,365,533 for callable capital, of the Multilateral 
Investment Guarantee Agency * * *.''
    Appropriations for the U.S. contribution were made in the following 
amounts and Public Laws: fiscal year 2000--$4 million paid-in capital, 
$20 million callable capital (Public Law 106-113); fiscal year 2001--
$10 million paid-in capital, $50 million callable capital (Public Law 
106-429).
    \11\ The appropriation for the U.S. payment authorized in sec. 411 
for fiscal year 1988 was $222 million ($44.4 million paid-in capital; 
$177.6 million callable capital) (Public Law 100-202).
    The Foreign Operations, Export Financing, and Related Programs 
Appropriations Act, 1988 [sec. 101(e) of the Continuing Appropriations 
Act, 1988], Public Law 100-202 (101 Stat. 1329-132) also contained the 
following provisions relating to the U.S. payment:
---------------------------------------------------------------------------

     ``CONTRIBUTION TO THE MULTILATERAL INVESTMENT GUARANTEE AGENCY
---------------------------------------------------------------------------
    ``For payment to the Multilateral Investment Guarantee Agency by 
the Secretary of the Treasury, for the paid-in share of the capital 
stock, $44,403,116, to remain available until expended: Provided, That 
no such payment may be made prior to April 30, 1988: Provided further, 
That no such payment may be made on or after April 30, 1988, unless the 
Secretary of the Treasury certifies and reports to the Congress that 
the United States Director of the Agency has proposed and actively 
sought the adoption by the Agency of the policies and procedures 
specified in section 405 of H.R. 3750, as enacted herein: Provided 
further, That no such payment may be made on or after April 30, 1988, 
unless the Secretary of the Treasury certifies and reports to the 
Congress that the Board has adopted those policies and procedures, or 
substantially similar policies and procedures, or that the United 
States Director of the Agency will continue to propose and actively 
seek the adoption by the Agency of those policies and procedures until 
those policies and procedures, or substantially similar policies and 
procedures, have been adopted by the Board and that the failure to make 
such payment is likely to make the adoption of those policies and 
procedures more difficult to achieve.''.
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    (c) Any payment of dividends made to the United States by 
the Agency shall be deposited into the Treasury as a 
miscellaneous receipt.

JURISDICTION OF UNITED STATES COURTS AND ENFORCEMENT OF ARBITRAL AWARDS

    Sec. 412.\12\ For the purposes of any civil action which 
may be brought within the United States, its territories or 
possessions, or the Commonwealth of Puerto Rico, by or against 
the Agency in accordance with the Convention, including an 
action brought to enforce an arbitral award against the Agency, 
the Agency shall be deemed to be an inhabitant of the Federal 
judicial district in which its principal office within the 
United States or its agency appointed for the purpose of 
accepting service or notice of service is located, and any such 
action to which the Agency shall be a party shall be deemed to 
arise under the laws of the United States, and the district 
courts of the United States, including the courts enumerated in 
section 460 of title 28, United States Code, shall have 
original jurisdiction of any such action. When the Agency is a 
defendant in any action in a State court, it may at any time 
before the trial thereof remove the action into the appropriate 
district court of the United States by following the procedure 
for removal provided in section 1446 of title 28, United States 
Code.
---------------------------------------------------------------------------
    \12\ 22 U.S.C. 290k-10.
---------------------------------------------------------------------------
    Sec. 413.\13\ Articles 43 through 48, inclusive, of the 
Convention shall have full force and effect in the United 
States, its territories and possessions, and the Commonwealth 
of Puerto Rico, upon the entry into force of the Convention for 
the United States.
---------------------------------------------------------------------------
    \13\ 22 U.S.C. 290k-11.
---------------------------------------------------------------------------
    Sec. 414.\14\ (a) An award of an arbitral tribunal 
resolving a dispute arising under Article 57 or Article 58 of 
the Convention shall create a right arising under a treaty of 
the United States. The pecuniary obligations imposed by such an 
award shall be enforced and shall be given the same full faith 
and credit as if the award were a final judgment of a court of 
general jurisdiction of one of the several States. The Federal 
Arbitration Act (9 U.S.C. 1, et seq.) shall not apply to 
enforcement of awards rendered pursuant to the Convention.
---------------------------------------------------------------------------
    \14\ 22 U.S.C. 290k-11.
---------------------------------------------------------------------------
    (b) The district courts of the United States (including the 
courts enumerated in section 460 of title 28, United States 
Code) shall have exclusive jurisdiction over actions and 
proceedings under subsection (a) of this section, regardless of 
the amount in controversy.
                   b. Inter-American Development Bank

          (1) Inter-American Development Bank Act, as amended

Public Law 86-147 [S. 1928], 73 Stat. 299, approved August 7, 1959, as 
amended by Public Law 88-259 [H.R. 7406], 78 Stat. 3, approved January 
 22, 1964; Public Law 89-6 [H.R. 45], 79 Stat. 23, approved March 24, 
 1965; Public Law 90-88 [H.R. 9547], 81 Stat. 226, approved September 
 22, 1967; Public Law 90-325 [H.R. 15364], 82 Stat. 168, approved June 
   4, 1968; Public Law 91-599 [H.R. 18306], 84 Stat. 1657, approved 
 December 30, 1970; Public Law 92-246 [S. 748], 86 Stat. 59, approved 
 March 10, 1972; Public Law 94-302 [H.R. 9721], 90 Stat. 591, approved 
  May 31, 1976; Public Law 95-118 [H.R. 5262], 91 Stat. 1067 at 1070, 
  approved October 3, 1977; Public Law 96-259 [S. 662], 94 Stat. 429, 
 approved June 3, 1980; Public Law 97-35 [H.R. 3982], 95 Stat. 357 at 
    744, approved August 13, 1981; Public Law 98-181 [Supplemental 
 Appropriations Act, 1984; H.R. 3959], 97 Stat. 1153 at 1284, approved 
November 30, 1983; Public Law 100-202 [Continuing Appropriations, 1988; 
H.J. Res. 395], 101 Stat. 1329, approved December 22, 1987; Public Law 
101-240 [International Development and Finance Act of 1989; H.R. 2494], 
103 Stat. 2492, approved December 19, 1989; Public Law 102-391 [Foreign 
Operations, Export Financing, and Related Programs Appropriations Act, 
1993; H.R. 5368], 106 Stat. 1633, approved October 6, 1992; Public Law 
  103-306 [Foreign Operations, Export Financing, and Related Programs 
 Appropriations Act, 1995; H.R. 4426], 108 Stat. 1608, approved August 
 23, 1994; Public Law 104-316 [General Accounting Office Act of 1996; 
         H.R. 3864], 110 Stat. 3826, approved October 19, 1996

  AN ACT To provide for the participation of the United States in the 
                    Inter-American Development Bank.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

                              SHORT TITLE

    Section 1. This Act may be cited as the ``Inter-American 
Development Bank Act''.

                        ACCEPTANCE OF MEMBERSHIP

    Sec. 2.\1\ The President is hereby authorized to accept 
membership for the United States in the Inter-American 
Development Bank (hereinafter referred to as the Bank), 
provided for by the agreement establishing the bank 
(hereinafter referred to as the agreement) deposited in the 
archives of the Organization of American States.
---------------------------------------------------------------------------
    \1\ 22 U.S.C. 283.
---------------------------------------------------------------------------

          GOVERNOR, ALTERNATE GOVERNOR, AND EXECUTIVE DIRECTOR

    Sec. 3.\2\ (a) The President, by and with the advice and 
consent of the Senate, shall appoint a Governor of the Bank and 
an alternate for the governor. The term of office for the 
governor and the alternate governor shall be five years, but 
each shall remain in office until a successor has been 
appointed.
---------------------------------------------------------------------------
    \2\ 22 U.S.C. 283a.
---------------------------------------------------------------------------
    (b) The President, by and with the advice and consent of 
the Senate, shall appoint an Executive Director of the Bank and 
an alternate Executive Director.\3\ Except as provided for in 
article XV, section 3, of the agreement, the term of office for 
the Executive Director shall be three years, but he shall 
remain in office until a successor has been appointed.
---------------------------------------------------------------------------
    \3\ Sec. 21(b) of Public Law 91-599 (84 Stat. 1658) added the 
phrase ``and an alternate Executive''.
---------------------------------------------------------------------------
    (c) No person shall be entitled to receive any salary or 
other compensation from the United States for services as a 
governor, alternate governor, or Executive Director.

   NATIONAL ADVISORY COUNCIL ON INTERNATIONAL MONETARY AND FINANCIAL 
                                PROBLEMS

    Sec. 4.\4\ The provisions of section 4 of the Bretton Woods 
Agreements Act, as amended (22 U.S.C. 286b), shall apply with 
respect to the International Bank for Reconstruction and 
Development and the International Monetary Fund.\5\
---------------------------------------------------------------------------
    \4\ 22 U.S.C. 283b.
    \5\ Sec. 541 of the International Development and Finance Act of 
1989 (Public Law 101-240; 103 Stat. 2518) consolidated several 
reporting requirements into new secs. 1701-1703 and titles XVIII and 
XIX of the International Financial Institutions Act and repealed 
duplicative requirements in other legislation. Sec. 541(e)(2) struck 
out the last sentence of this section, which read: ``Reports with 
respect to the Bank under paragraphs (5) and (6) of subsection (b) of 
section 4 of said Act, as amended, shall be included in the first 
report made thereunder after the establishment of the Bank and in each 
succeeding report.''.
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           CERTAIN ACTS NOT TO BE TAKEN WITHOUT AUTHORIZATION

    Sec. 5.\6\ Unless Congress by law authorizes such action, 
neither the President nor any person or agency shall, on behalf 
of the United States, (a) subscribe to additional shares of 
stock under article II, section 3, or article IIA, section 
2,\7\ of the agreement; (b) request or consent to any change in 
the quota of the United States under article IV, section 3, of 
the agreement; (c) accept any amendment under article XII of 
the agreement; or (d) make a loan or provide other financing to 
the Bank, except that loans or other financing may be provided 
to the Bank by a United States agency created pursuant to an 
Act of Congress which is authorized by law to make loans or 
provide other financing to international organizations. Unless 
Congress by law authorizes such action, no governor or 
alternate appointed to represent the United States shall vote 
for any increase of capital stock of the Bank under article II, 
section 2, or article IIA, section 1,\8\ of the agreement of 
any increase in the resources of the Fund for Special 
Operations under article IV, section 3(g) thereof.
---------------------------------------------------------------------------
    \6\ 22 U.S.C. 283c.
    \7\ Sec. 103(a)(2) of Public Law 94-302 inserted the words ``, or 
article IIA, section 2,''.
    \8\ Sec. 103(a)(2) of Public Law 94-302 inserted the words ``or 
article IIA, section 1,''.
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                              DEPOSITORIES

    Sec. 6.\9\ Any Federal Reserve bank which is requested to 
do so by the Bank shall act as its depository or as its fiscal 
agent and the Board of Governors of the Federal Reserve System 
shall supervise and direct the carrying out of these functions 
by the Federal Reserve banks.
---------------------------------------------------------------------------
    \9\ 22 U.S.C. 283d.
---------------------------------------------------------------------------

                        PAYMENTS OF SUBSCRIPTION

    Sec. 7.\10\ (a) There is hereby authorized to be 
appropriated, without fiscal year limitation, for the purchase 
of thirty-five thousand shares of capital stock in the Bank, 
$350 million. In addition, there is hereby authorized to be 
appropriated, without fiscal year limitation, for payment of 
the subscription of the United States to the Fund for Special 
Operations, $100 million.\11\
---------------------------------------------------------------------------
    \10\ 22 U.S.C. 283e.
    \11\ As of Oct. 23, 1962, Congress had appropriated the entire 
subscription. See the following appropriation Acts: 73 Stat. 445 
(1959); 75 Stat. 721 (1961) and 76 Stat. 1168.
    Title II of the Foreign Aid and Related Agencies Appropriation Act, 
1964 (Public Law 88-258; 77 Stat. 862), contained the following 
provision: ``For payment of subscriptions to the Inter-American 
Development Bank for expansion of the Fund for Special Operations, 
$50,000,000 to remain available until expended: Provided, That this 
paragraph shall be effective only upon enactment into law of 
authorizing legislation.''. Sec. 2(b) of Public Law 88-259 (79 Stat. 
3), enacted such authorizing legislation.
---------------------------------------------------------------------------
    (b) For the purpose of keeping to a minimum the cost to the 
United States of participation in the Bank, the Secretary of 
the Treasury, after paying the requisite part of the 
subscription and quota of the United States in the Bank 
required to be made under article II, section 4, and article 
IV, section 3, respectively, of the agreement, is authorized 
and directed to issue special notes of the United States from 
time to time, at par, and to deliver such notes to the Bank in 
exchange for dollars to the extent permitted by the agreement. 
The special notes provided for in this subsection shall be 
issued under the authority and subject to the provisions of the 
Second Liberty Bond Act, as amended, and the purposes for which 
securities may be issued under that Act are extended to include 
the purposes for which special notes are authorized and 
directed to be issued under this subsection, but such notes 
shall bear no interest, shall be nonnegotiable and shall be 
payable on demand of the Bank. The face amount of special notes 
issued to the Bank under the authority of this subsection and 
outstanding at any one time shall not exceed, in the aggregate, 
the amount of the subscription and quota of the United States 
actually paid to the Bank under article II, section 4, and 
article IV, section 3, respectively, of the agreement.
    (c) Any payment made to the United States by the Bank as a 
distribution of net income shall be covered into the Treasury 
as a miscellaneous receipt.

                    JURISDICTION AND VENUE OF ACTION

    Sec. 8.\12\ For the purpose of any action which may be 
brought within the United States, its Territories or 
possessions, or the Commonwealth of Puerto Rico by or against 
the Bank in accordance with the agreement, the Bank shall be 
deemed to be an inhabitant of the Federal judicial district in 
which its principal office in the United States is located, and 
any such action at law or in equity to which the Bank shall be 
a party shall be deemed to arise under the laws of the United 
States, and the district courts of the United States shall have 
original jurisdiction of any such action. When the Bank is a 
defendant in any such action, it may, at any time before the 
trial thereof, remove such action from a State court into the 
district court of the United States for the proper district by 
following the procedure for removal of causes otherwise 
provided by law.
---------------------------------------------------------------------------
    \12\ 22 U.S.C. 283f.
---------------------------------------------------------------------------

                   STATUS, IMMUNITIES AND PRIVILEGES

    Sec. 9.\13\ The provisions of article X, section 4(c), and 
article XI, sections 2 to 9, both inclusive, of the agreement 
shall have full force and effect in the United States, its 
Territories and possessions, and the Commonwealth of Puerto 
Rico, upon acceptance of membership by the United States in, 
and the establishment of, the Bank.
---------------------------------------------------------------------------
    \13\ 22 U.S.C. 283g.
---------------------------------------------------------------------------

 SECURITIES ISSUED BY BANK AS INVESTMENT SECURITIES FOR NATIONAL BANKS

    Sec. 10. The last sentence of paragraph seven of section 
5136 of the Revised Statutes, as amended (12 U.S.C. 24), is 
amended by inserting after the words ``International Bank for 
Reconstruction and Development'' the words ``or the Inter-
American Development Bank'' and by striking the words ``said 
Bank'' and inserting in lieu thereof ``either of said Banks''.

   SECURITIES ISSUED BY BANK AS EXEMPT SECURITIES; REPORT FILED WITH 
                   SECURITIES AND EXCHANGE COMMISSION

    Sec. 11.\14\ (a) Any securities issued by the Bank 
(including any guarantee by the Bank, whether or not limited in 
scope) in connection with raising of funds for including in the 
Bank's \15\ capital resources as defined in article II, section 
5, and article IIA, section 4,\15\ of the agreement, and any 
securities guaranteed by the Bank as to both the principal and 
interest to which the commitment in article II, section 
4(a)(ii), or article IIA, section 3(c),\15\ of the agreement is 
expressly applicable, shall be deemed to be exempted securities 
within the meaning of paragraph (a)(2) of section 3 of the Act 
of May 27, 1933, as amended (15 U.S.C. 77c), and paragraph 
(a)(12) of section 3 of the Act of June 6, 1934, as amended (15 
U.S.C. 78c). The Bank shall file with the Securities and 
Exchange Commission such annual and other reports with regard 
to such securities as the Commission shall determine to be 
appropriate in view of the special character of the Bank and 
its operations and necessary in the public interest or for the 
protection of investors.
---------------------------------------------------------------------------
    \14\ 22 U.S.C. 283h.
    \15\ Sec. 103(a)(3) of Public Law 94-302 deleted the word 
``ordinary'' following ``Banks'', and added the words ``and article 
IDA, section 4,'' and ``or article IIA, section 3(c),''.
---------------------------------------------------------------------------
    (b) The Securities and Exchange Commission, acting in 
consultation with the National Advisory Council on 
International Monetary and Financial Problems, is authorized to 
suspend the provisions of subsection (a) at any time as to any 
or all securities issued or guaranteed by the Bank during the 
period of such suspension. The Commission shall include in its 
annual reports to Congress such information as it shall deem 
advisable with regard to the operations and effect of this 
section and in connection therewith shall include any views 
submitted for such purpose by any association of dealers 
registered with the Commission.
    Sec. 12.\16\ * * * [Repealed--1989]
---------------------------------------------------------------------------
    \16\ Sec. 541 of the International Development and Finance Act of 
1989 (Public Law 101-240; 103 Stat. 2518) consolidated several 
reporting requirements into new secs. 1701-1703 and titles XVIII and 
XIX of the International Financial Institutions Act and repealed 
duplicative requirements in other legislation. Sec. 541(d)(3) repealed 
sec. 12.
---------------------------------------------------------------------------
    Sec. 13.\17\ The United States Governor of the Bank is 
hereby authorized (1) to vote (A) for increases in the 
authorized capital stock of the Bank under article II, section 
2, of the agreement, and (B) for an increase in the resources 
of the Fund for Special Operations under article IV, section 3, 
of the agreement, all as recommended by the Executive Directors 
in a report dated March 18, 1963, to the Board of Governors of 
the Bank; (2) to agree on behalf of the United States to 
subscribe to its proportionate share of the $1,000,000,000 
increase in the authorized callable capital stock of the Bank; 
and (3) to vote for an amendment to article VIII, section 3, of 
the agreement to provide that the Board of Governors may, upon 
certain conditions, increase by one the number of Executive 
Directors.
---------------------------------------------------------------------------
    \17\ 22 U.S.C. 283j. Added by sec. 1 of Public Law 88-259 (78 Stat. 
3). Sec. 2(a) of Public Law 88-259 authorized the appropriation of 
$411,760,000, without fiscal year limitation, for payment of the 
increased United States subscription under sec. 13.
---------------------------------------------------------------------------

                                 AUDIT

    Sec. 14.\18\ (a) The Secretary of the Treasury shall 
instruct the United States Executive Director to propose the 
establishment by the Board of Executive Directors of a program 
of selective but continuing independent and comprehensive audit 
of the Inter-American Development Bank, in accordance with such 
terms of reference as the Board of Executive Directors itself 
(or through a subcommittee) may prescribe. Such proposal shall 
provide that the audit reports be submitted to the Board of 
Executive Directors and to the Board of Governors.
---------------------------------------------------------------------------
    \18\ 22 U.S.C. 283j-1. Public Law 90-88 (81 Stat. 227) added sec. 
14.
---------------------------------------------------------------------------
    (b) The Secretary of the Treasury shall prepare \19\ the 
scope of the audit and the auditing and reporting standards for 
the use of the United States Executive Directors in assisting 
in the formulation of the terms of reference.
---------------------------------------------------------------------------
    \19\ Sec. 111(b)(1) of Public Law 104-316 (110 Stat. 3833) struck 
out ``Comptroller General of the United States shall prepare for the 
Secretary of the Treasury'' and inserted ``Secretary of the Treasury 
shall prepare''
---------------------------------------------------------------------------
    (c) The reports of the National Advisory Council on 
International Monetary and Financial Policies to the Congress 
shall include, among other things, an appraisal of the 
effectiveness of the implementation and administration of the 
loans made by the Bank based upon the audit reports. The 
Comptroller General may \20\ review the reports of audit and 
findings and issued and report to the Secretary of the Treasury 
and the Congress any suggestions he might have in improving the 
scope of the audit or auditing and reporting standards of the 
independent auditing firm, group, or staff.
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    \20\ Sec. 111(b)(2) of Public Law 104-316 (110 Stat. 3833) struck 
out ``shall periodically'' and inserted ``may''.
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                FUND FOR SPECIAL OPERATIONS OF THE BANK

    Sec. 15.\21\ (a) The United States Governor of the Bank is 
hereby authorized to vote in favor of the resolution entitled 
``Increase of Resources of the Fund for Special Operations'' 
proposed by the Governors at their annual meeting in April 
1964, and now pending before the Board of Governors of the 
Bank. Upon the adoption of such resolution, the United States 
Governor is authorized to agree, on behalf of the United 
States, to pay to the Fund for Special Operations of the Bank, 
the sum of $750,000,000, in accordance with and subject to the 
terms and conditions of such resolution.
---------------------------------------------------------------------------
    \21\ 22 U.S.C. 283l. Added by Public Law 89-6 (70 Stat. 23) as sec. 
14 and renumbered by Public Law 90-88 (81 Stat. 226).
---------------------------------------------------------------------------
    (b) There is hereby authorized to be appropriated without 
fiscal year limitation, for the United States share in the 
increase in the resources of the Fund for Special Operations of 
the Bank, the sum of $750,000,000.
    (c) With respect to any dollars herein provided, the voting 
power of the United States shall be exercised for the purpose 
of disapproving any loan from the Fund for Special Operations 
of the Bank for any project, enterprise, or activity in any 
country, during any period for which the President has 
suspended assistance to the government of such country because 
of any action taken on or after January 1, 1962, by the 
government of such country or any government agency or 
subdivision within such country as specified in paragraph (A), 
(B), or (C) of subsection (e)(1) of section 620 of the Foreign 
Assistance Act of 1961, as amended, and the failure of such 
country within a reasonable time to take appropriate steps to 
discharge its obligations or provide relief in accordance with 
the provisions of such subsection.
    Sec. 16.\22\ (a) The United States Governor of the Bank is 
hereby authorized to vote in favor of the resolution entitled 
``Increase of $1,200,000,000 in Resources of Fund for Special 
Operations'' proposed by the Governors at their annual meeting 
in April 1967 and now pending before the Board of Governors of 
the Bank. Upon the adoption of such resolution, the United 
States Governor is authorized to agree, on behalf of the United 
States, to pay to the Fund for Special Operations of the Bank, 
the sum of $900,000,000, in accordance with and subject to the 
terms and conditions of such resolution, and subject to the 
further condition that in consideration of the United States 
balance-of-payments deficit any local cost financing, by 
project or otherwise, with the funds authorized under this 
section be held to the minimum possible level. The United 
States Governor is also authorized to vote in favor of the 
amendment to Annex C of the agreement, now pending before the 
Board of Governors of the Bank, to modify the procedure 
employed in the election of Executive Directors.
---------------------------------------------------------------------------
    \22\ 22 U.S.C. 283m. Public Law 90-88 (81 Stat. 226) added sec. 16.
---------------------------------------------------------------------------
    (b) There is hereby authorized to be appropriated without 
fiscal year limitation, for the United States share in the 
increase in the resources of the fund for Special Operations of 
the Bank, the sum of $900,000,000.
    (c) The voting power of the United States shall be 
exercised for the purpose of disapproving any loan which might 
assist the recipient country directly or indirectly to acquire 
sophisticated or heavy military equipment.
    Sec. 17.\23\ (a) The United States Governor of the Bank is 
hereby authorized (1) to vote for an increase in the authorized 
capital stock of the Bank under article II, section 2, of the 
agreement as recommended by the Board of Executive Directors in 
its report of April 1967, to the Board of Governors of the 
Bank; and (2) to agree on behalf of the United States to 
subscribe to its proportionate share of the $1,000,000,000 
increase in the authorized callable capital stock of the Bank.
---------------------------------------------------------------------------
    \23\ 22 U.S.C. 283n. Public Law 90-325 (82 Stat. 168) added sec. 
17.
---------------------------------------------------------------------------
    (b) There is hereby authorized to be appropriated, without 
fiscal year limitation, for payment by the Secretary of the 
Treasury of the increased United States subscription to the 
capital stock of the Inter-American Development Bank, 
$411,760,000.
    Sec. 18.\24\ (a) The United States Governor of the Bank is 
hereby authorized to vote in favor of the two resolutions 
proposed by the Governors at their annual meeting in April 1970 
and now pending before the Board of Governors of the Bank, 
which provide for (1) an increase in the authorized capital 
stock to the Bank and additional subscriptions of members 
thereto and (2) an increase in the resources of the Fund for 
Special Operations and contributions thereto. Upon adoption of 
such resolutions the United States Governor is authorized to 
agree on behalf of the United States (1) to subscribe to 
eighty-two thousand three hundred and fifty-two shares of 
$10,000 par value of the increase in the authorized capital 
stock of the Bank of which sixty-seven thousand three hundred 
and fifty-two shall be callable shares and fifteen thousand 
shall be paid in and (2) to pay to the Fund for Special 
Operations an initial annual installment of $100,000,000 and, 
upon further authorization by the Congress, two subsequent 
annual installments of $450,000,000 each, in accordance with 
and subject to the terms and conditions of such resolutions.
---------------------------------------------------------------------------
    \24\ 22 U.S.C. 283o. Sec. 21 of Public Law 91-599 (84 Stat. 1658) 
added sec. 18.
---------------------------------------------------------------------------
    (b) There are hereby authorized to be appropriated, without 
fiscal year limitation, the amounts necessary for payment by 
the Secretary of the Treasury of (1) three annual installments 
of $450,000,000 each for the United States subscription to 
paid-in capital stock of the Bank; (2) two installments of 
$336,760,000 each for the United States subscription to the 
callable capital stock of the Bank; and (3) one installment of 
$100,000,000 for the United States share of the increase in the 
resources of the Fund for Special Operations of the Bank.
    Sec. 19.\25\ (a) The United States Governor of the Bank is 
authorized to pay to the Fund for Special Operations two annual 
installments of $450,000,000 each in accordance with and 
subject to the terms and conditions of the resolution adopted 
by the Board of Governors on December 31, 1970, concerning an 
increase in the resources of the Fund for Special Operations 
and contributions thereto.
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    \25\ 22 U.S.C. 283p. Public Law 92-246 (86 Stat. 59) added sec. 19.
---------------------------------------------------------------------------
    (b) There are hereby authorized to be appropriated, without 
fiscal year limitation, the amounts necessary for payment by 
the Secretary of the Treasury of the two annual installments of 
$450,000,000 each for the United States share of the increase 
in the resources of the Fund for Special Operations of the 
Bank.
    Sec. 20.\26\ The United States Governor of the Bank is 
authorized to agree to amendments to the provisions of the 
articles of agreement as provided in proposed Board of 
Governors resolutions entitled (a) ``Amendment of the 
Provisions of the Agreement Establishing the Bank with Respect 
to Membership and to Related Matters'' and (b) ``Amendment of 
the Provisions of the Agreement Establishing the Bank with 
Respect to the Election of Executive Directors.''
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    \26\ 22 U.S.C. 283q. Public Law 92-246 (86 Stat. 59) added sec. 20.
---------------------------------------------------------------------------
    Sec. 21.\27\ The President shall instruct the United States 
Executive Director of the Bank to vote against any loan or 
other utilization of the funds of the Bank for the benefit of 
any country which has--
---------------------------------------------------------------------------
    \27\ 22 U.S.C. 283r. Public Law 92-246 (86 Stat. 59) added sec. 21.
---------------------------------------------------------------------------
          (1) nationalized or expropriated or seized ownership 
        or control of property owned by any United States 
        citizen or by any corporation, partnership, or 
        association not less than 50 per centum of which is 
        beneficially owned by United States citizens;
          (2) take steps to repudiate or nullify existing 
        contracts or agreements with any United States citizen 
        or any corporation, partnership, or association not 
        less than 50 per centum of which is beneficially owned 
        by United States citizens; or
          (3) imposed or enforced discriminatory taxes or other 
        exactions, or restrictive maintenance or operational 
        conditions, or has taken other actions, which have the 
        effect of nationalizing, expropriating, or otherwise 
        seizing ownership or control of property so owned;
unless the President determines that (A) an arrangement for 
prompt, adequate, and effective compensation has been made, (B) 
the parties have submitted the dispute to arbitration under the 
rules of the Convention for the Settlement of Investment 
Disputes, or (C) good faith negotiations are in progress aimed 
at providing prompt, adequate, and effective compensation under 
the applicable principles of international law.
    Sec. 22.\28\ The Secretary of the Treasury shall instruct 
the United States Executive Director of the Bank to vote 
against any loan or other utilization of the funds of the Bank 
for the benefit of any country with respect to which the 
President has made a determination, and so notified the 
Secretary of the Treasury, that the government of such country 
has failed to take adequate steps to prevent narcotic drugs and 
other controlled substances (as defined by the Comprehensive 
Drug Abuse Prevention and Control Act of 1970) produced or 
processed, in whole or in part, in such country, or transported 
through such country, from being sold illegally within the 
jurisdiction of such country to United States Government 
personnel or their dependents, or from entering the United 
States unlawfully. Such instruction shall continue in effect 
until the President determines, and so notifies the Secretary 
of the Treasury, that the government of such country has taken 
adequate steps to prevent such sale or entry of narcotic drugs 
and other controlled substances.
---------------------------------------------------------------------------
    \28\ 22 U.S.C. 283s. Public Law 92-246 (86 Stat. 59) added sec. 22.
---------------------------------------------------------------------------
    Sec. 23.\29\ The United States Governor of the Bank is 
authorized to vote for three proposed resolutions of the Board 
of Governors entitled (a) ``Amendments to the Agreement 
Establishing the Bank with respect to the Creation of the 
Inter-Regional Capital Stock of the Bank and to Related 
Matters'', (b) ``General Rule Governing Admission of 
Nonregional Countries to Membership in the Bank'', and (c) 
``Increase in the Authorized Callable Ordinary Capital Stock 
and Subscriptions Thereto in Connection with the Admission of 
Nonregional Member Countries'', which were submitted to the 
Board of Governors pursuant to a resolution of the Board of 
Executive Directors approved on March 4, 1975.
---------------------------------------------------------------------------
    \29\ 22 U.S.C. 283t. Sec. 103(a) of Public Law 94-302 added sec. 
23.
---------------------------------------------------------------------------
    Sec. 24.\30\ The United States Governor of the Bank is 
authorized to agree to the amendments to article II, section 
1(b) and article IV, section 3(b) of the Agreement Establishing 
the Bank, as proposed by the Board of Executive Directors, to 
provide for membership for the Bahamas and Guyana in the Bank 
at such times and in accordance with such terms as the Bank may 
determine.
---------------------------------------------------------------------------
    \30\ 22 U.S.C. 283u. Sec. 103(a) of Public Law 94-302 added sec. 
24.
---------------------------------------------------------------------------
    Sec. 25.\31\ The United States Governor of the Bank is 
authorized to agree to the amendments to article III, sections 
1, 4, and 6(b) of the Agreement Establishing the Bank, as 
proposed by the Board of Executive Directors, to provide for 
lending to the Caribbean Development Bank.
---------------------------------------------------------------------------
    \31\ 22 U.S.C. 283v. Sec. 103(a) of Public Law 94-302 added sec. 
25.
---------------------------------------------------------------------------
    Sec. 26.\32\ The United States Governor of the Bank is 
hereby authorized to vote in favor of two resolutions proposed 
by the Governors at a special meeting in July 1975, and now 
pending before the Board of Governors of the Bank, which 
provide for (1) an increase in the authorized capital stock of 
the Bank and additional subscriptions of members thereto and 
(2) an increase in the resources of the Fund for Special 
Operations and contributions thereto. Upon adoption of such 
resolutions, the United States Governor is authorized to agree 
on behalf of the United States (1) to subscribe to ninety-nine 
thousand four hundred and seventy-four shares of $10,000 par 
value of the increase in the authorized capital stock of the 
Bank of which eighty-nine thousand five hundred and twenty-six 
shall be callable shares and nine thousand nine hundred and 
forty-eight shall be paid in and (2) to contribute to the Fund 
for Special Operations $600,000,000, in accordance with and 
subject to the terms and conditions of such resolutions.
---------------------------------------------------------------------------
    \32\ 22 U.S.C. 283w. Sec. 101 of Public Law 94-302 added sec. 26.
---------------------------------------------------------------------------
    (b) There are hereby authorized to be appropriated, without 
fiscal year limitation, the amounts necessary for payment by 
the Secretary of the Treasury of (1) $1,199,997,873 for the 
United States subscription to the capital stock of the Bank and 
(2) $600,000,000 for the United States share of the increase in 
the resources of the Fund for Special Operations: Provided, 
however, That not more than $15,677,000 may be made available 
to the Fund for Special Operations for the fiscal year 
1982.\33\
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    \33\ Sec. 1351(c) of Public Law 97-35 (95 Stat. 744) added the 
proviso clause.
    Appropriations for U.S. payments authorized in sec. 26 and sec. 27 
have been provided in the following amounts and Public Laws: fiscal 
year 1977--Bank capital stock, $376 million ($56 million paid-in 
capital; $320 million callable capital) (Public Laws 94-441 and 95-26); 
FSO, $160 million (Public Law 95-26); fiscal year 1978--Bank capital 
stock, $365.2 million ($36.7 million paid-in capital; $328.5 million 
callable capital); FSO, $114.7 million (Public Law 95-148); fiscal year 
1979--Bank capital stock, $588.7 million ($27.3 million paid-in 
capital; $561.4 million callable capital); FSO, $175 million (Public 
Law 95-481); fiscal year 1980--$0; fiscal year 1981--FSO, $25 million 
(Public Law 96-536); fiscal year 1982--$0; fiscal year 1983--FSO, $46.7 
million (Public Law 97-377); fiscal year 1984--FSO, $78.6 million 
(Public Law 98-151).
---------------------------------------------------------------------------
    Sec. 27.\34\ The United States Governor of the Bank is 
hereby authorized to vote for an additional increase of one 
hundred and eight thousand shares of $10,000 par value in the 
authorized callable capital stock of the Bank as recommended in 
the resolution of the Board of Governors entitled ``Increase of 
US $4 Billion in the Authorized Capital Stock and Subscriptions 
Thereto''. Upon adoption of a Board of Governors resolution 
increasing the authorized capital stock of the Bank by such 
amount, the United States Governor is authorized to agree on 
behalf of the United States to subscribe to thirty-seven 
thousand three hundred and three shares of $10,000 par value of 
such additional increase in callable capital in accordance with 
and subject to the terms and conditions of such resolution.
---------------------------------------------------------------------------
    \34\ 22 U.S.C. 283x. Sec. 101 of Public Law 94-302 added sec. 27.
---------------------------------------------------------------------------
    (b) In order to pay for the increase in the United States 
subscription to the Bank provided for in this section, there is 
hereby authorized to be appropriated, without fiscal year 
limitation, $450,002,218 for payment by the Secretary of the 
Treasury.\33\
    Sec. 28.\35\ (a) The United States Executive Director of 
the Bank shall propose to the Board of Executive Directors of 
the Bank the adoption of a resolution providing (1) that the 
development and utilization of light-capital or intermediate 
technologies should be accepted as major facets of the Bank's 
development strategy, and (2) that such light-capital or 
intermediate technologies should be developed and utilized as 
soon as possible in all Bank activities. Such resolution shall 
further provide that, by the close of the calendar year 1977, 
some projects that employ primarily such light-capital or 
intermediate technologies shall be designed and approved.
---------------------------------------------------------------------------
    \35\ 22 U.S.C. 283z. Public Law 94-302 added this section. 
Originally added as sec. 29, it was redesignated as sec. 28 by sec. 101 
of Public Law 96-259 (94 Stat. 429). The original sec. 28, added by 
sec. 103(a) of Public Law 94-302, directed the U.S. Executive Director 
of the Bank to vote against any loan or assistance to any country 
engaging in violations of human rights, was repealed by sec. 702 of 
Public Law 95-118 (91 Stat. 1070). For references concerning U.S. 
activity in the Bank and human rights, see title VII of the 
International Financial Institutions Act, Public Law 95-118.
---------------------------------------------------------------------------
    (b) The United States Governor of the Bank shall report to 
the Congress no later than six months after the date of the 
enactment of this section on the proposal made under subsection 
(a), and no later than twelve months after such date on the 
progress that has been made with respect to such proposal.
    Sec. 29.\36\ (a) The United States Governor of the Bank is 
authorized to vote for two resolutions which were proposed by 
the Governors at a special meeting in December 1978 and are 
pending before the Board of Governors of the Bank. These 
resolutions provide for (1) an increase in the authorized 
capital stock of the Bank and additional subscriptions thereto, 
and (2) an increase in the resources of the Fund for Special 
Operations and contributions thereto. Upon adoption of these 
resolutions, the United States Governor is authorized on behalf 
of the United States (A) to subscribe to two hundred twenty-
seven thousand eight hundred and ninety-six shares of the 
increase in the authorized capital stock of the Bank, of which 
two hundred ten thousand eight hundred and four shall be 
callable and seventeen thousand and ninety-two shall be paid-
in, and (B) to contribute to the Fund for Special Operations 
$630,000,000; except that any commitment to make such 
subscriptions to paid-in and callable capital stock and to make 
such contributions to the fund for Special Operations shall be 
effective only to such extent or in such amounts as are 
provided in advance in appropriation Acts.
---------------------------------------------------------------------------
    \36\ 22 U.S.C. 283z-1. Sec. 101(2) of Public Law 96-259 (94 Stat. 
429) added sec. 29.
---------------------------------------------------------------------------
    (b) In order to pay for the increase in the United States 
subscription and contribution provided for in this section, 
there are authorized to be appropriated, without fiscal year 
limitation, for payment by the Secretary of the Treasury (1) 
$2,474,287,189 for the United States subscription to the 
capital stock of the Bank, and (2) $630,000,000 for the United 
States share of the increase in the resources of the Fund for 
Special Operations: Provided, however, That for contributions 
to the Fund for Special Operations, not more than $175,000,000 
may be made available for the fiscal year 1982, and not more 
than $105,000,000 may be made available for the fiscal year 
1983.\37\
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    \37\ Sec. 1351(b) of Public Law 97-35 (95 Stat. 744) added the 
proviso clause.
    Appropriations for U.S. payments authorized in sec. 29 have been 
provided in the following amounts and Public Laws: fiscal year 1980--
Bank capital stock, $588.7 million ($27.3 million paid-in capital; 
$561.4 million callable capital); FSO, $175 million (Public Law 96-
123); fiscal year 1981--Bank capital stock, $612.2 million $51.5 
million paid-in capital; $560.7 million callable capital); FSO, $175 
million (Public Law 96-536); fiscal year 1982--Bank capital stock, 
$657.7 million ($48.1 million paid-in capital; $609.6 million callable 
capital); FSO, $173.2 million (Public Law 97-121); fiscal year 1983--
Bank capital stock, $615.6 million ($41.8 million paid-in capital; 
$573.8 million callable capital); FSO, $105 million (Public Law 97-
377); fiscal year 1984--FSO, $1.8 million (Public Law 98-151).
---------------------------------------------------------------------------
    (c) For the purpose of keeping to a minimum the cost to the 
United States, the Secretary of the Treasury--
          (1) shall pay the United States contribution to the 
        Fund for Special Operations authorized by this section 
        by letter of credit in four annual installments; and
          (2) shall take the steps necessary to obtain a 
        certification from the Bank that any undisbursed 
        balances resulting from drawdowns on such letter of 
        credit will not exceed at any time in the United States 
        share of expected disbursement requirements for the 
        following three-month period.
    (d) None of the funds authorized to be appropriated by this 
section may be used for any form of assistance to any country 
which is not a member of the Bank.
    Sec. 30.\38\ (a) The United States Governor of the Bank is 
authorized on behalf of the United States to contribute to the 
Fund for Special Operations $70,000,000: Provided, however, 
That any commitment to make such contribution shall be made 
subject to obtaining the necessary appropriations.
---------------------------------------------------------------------------
    \38\ 22 U.S.C. 283z-2. Sec. 1351(a) of Public Law 97-35 (95 Stat. 
744) added sec. 30.
---------------------------------------------------------------------------
    (b) In order to pay for a portion of the increase in the 
United States subscription to the capital stock of the Bank 
provided for in section 29(a) and for the United States 
contribution to the Fund for Special Operations provided for in 
this section, there are authorized to be appropriated, without 
fiscal year limitation, for payment by the Secretary of the 
Treasury, (1) $274,920,799 for the United States subscription, 
and (2) $70,000,000 for the United States contribution to the 
Fund for Special Operations: Provided, however, That no funds 
may be made available for such contribution to the Fund for 
Special Operations for the fiscal year 1982.\39\
---------------------------------------------------------------------------
    \39\ The Further Continuing Appropriations Act, 1983 (Public Law 
97-377), provided the following funding during fiscal year 1983 for 
this authorization: Bank capital stock, $274.9 million ($20.6 million 
paid-in capital; $254.3 million callable capital); FSO, $70 million.
---------------------------------------------------------------------------
    Sec. 31.\40\ (a)(1) The United States Governor of the Bank 
is authorized to vote for resolutions--
---------------------------------------------------------------------------
    \40\ 22 U.S.C. 283z-3. Sec. 1001 of Public Law 98-181 (97 Stat. 
1284) added sec. 31.
---------------------------------------------------------------------------
          (A) Which were proposed by the Governors at a special 
        meeting in February 1983;
          (B) Which are pending before the Board of Governors 
        of the Bank; and
          (C) Which provide for--
                  (i) an increase in the authorized capital 
                stock of the Bank and subscriptions thereto; 
                and
                  (ii) an increase in the resources of the Fund 
                for Special Operations and contributions 
                thereto.
    (2)(A) Upon adoption of the resolutions specified in 
paragraph (1), the United States Governor of the Bank is 
authorized on behalf of the United States to--
          (i) subscribe to 427,396 shares of the increase in 
        the authorized capital stock of the bank; and
          (ii) contribute $350,000,000 to the Fund for Special 
        Operations.
    (B) any commitment to make such subscriptions to paid-in 
and callable capital stock and to make such contributions to 
the Fund for Special Operations shall be effective only to such 
extent or in such amounts as are provided in advance in 
appropriation Acts.
    (b) In order to pay for the increase in the United States 
subscription and contribution provided for in this section, 
there are authorized to be appropriated, without fiscal year 
limitation, for payment by the Secretary of the Treasury--
          (1) $5,155,862,744 for the United States 
        subscriptions to the capital stock of the Bank; and
          (2) $350,000,000 for the United States share of the 
        increase in the resources of the Fund for Special 
        Operations.\41\
---------------------------------------------------------------------------
    \41\ Appropriations for U.S. payments authorized in sec. 31 have 
been provided in the following amounts and Public Laws: fiscal year 
1984--Bank capital stock, $844.5 million ($38 million paid-in capital; 
$806.5 million callable capital); FSO, $0 (Public Law 98-151); fiscal 
year 1985--Bank capital stock, $844.5 ($38 million paid-in capital; 
$806.5 million callable capital); FSO, $72.5 million (Public Law 98-
473); fiscal year 1985 supplemental--FSO, $42.5 million; Bank capital 
stock $889 million ($40 million paid-in capital; $849 million callable 
capital) (Public Law 99-88); fiscal year 1986--FSO, $40 million; Bank 
capital stock, $1,269 million ($38 million paid-in capital; $1,231 
million callable capital) (Public Law 99-190), reduced by $1.6 million 
as a result of sequestration (Public Law 99-177); fiscal year 1987--
FSO, $17.3 million; Bank capital stock, $1,127.9 million ($16.4 million 
paid-in capital; $1,111.6 million callable capital) (Public Law 99-
591); fiscal year 1988--FSO, $25.7 million; Bank capital stock, $151 
million ($31.6 million paid-in capital; $119.4 million callable 
capital) (Public Law 100-202); fiscal year 1990--FSO, $63.7 million; 
Bank capital stock, $31.6 million (paid-in capital) (Public Law 101-
167); fiscal year 1991--Bank capital stock, $.14 million (paid-in 
capital) (Public Law 101-513).
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    Sec. 32.\42\ The United States Governor of the Inter-
American Development Bank is hereby authorized to agree to and 
to accept the amendments to the Articles of Agreement in the 
proposed resolution entitled ``Merger of Inter-regional and 
Ordinary Capital Resources''.
---------------------------------------------------------------------------
    \42\ 22 U.S.C 283z-4. Title I of the Foreign Operations, Export 
Financing, and Related Programs Appropriations Act, 1988 (sec. 101(e) 
of the Continuing Appropriations, 1988; Public Law 100-202; 101 Stat. 
1329-134), added sec. 32 by enacting into law the amendment made by 
sec. 501 of H.R. 3750, as introduced by the House Committee on Banking, 
Finance and Urban Affairs, on December 11, 1987.
---------------------------------------------------------------------------

SEC. 33.\43\ CAPITAL INCREASE; INCREASE IN RESOURCES OF FUND FOR 
                    SPECIAL OPERATIONS.

    (a) Authority To Vote for, and To Subscribe and Contribute 
to, Increase in Authorized Capital Stock of Bank and Increase 
in Resources of Fund for Special Operations.--
---------------------------------------------------------------------------
    \43\ 22 U.S.C. 283z-5. Sec. 201 of the International Development 
and Finance Act of 1989 (Public Law 101-240; 103 Stat. 2496) added sec. 
33.
---------------------------------------------------------------------------
          (1) Vote authorized.--The United States Governor of 
        the Bank is authorized to vote for resolutions which--
                  (A) were transmitted by the Board of 
                Executive Directors to the Governors of the 
                Bank by resolution of April 19, 1989;
                  (B) are pending before the Board of Governors 
                of the Bank; and
                  (C) provide for--
                          (i) an increase in the authorized 
                        capital stock of the Bank and 
                        subscriptions to the Bank; and
                          (ii) an increase in the resources of 
                        the Fund for Special Operations and 
                        contributions to the Fund.
          (2) Subscription and contribution authority.--To the 
        extent and in the amounts provided in advance in 
        appropriations Acts, on adoption of the resolutions 
        described in paragraph (1), the United States Governor 
        of the Bank may, on behalf of the United States--
                  (A) subscribe to 760,112 shares of the 
                increase in the authorized capital stock of the 
                Bank; and
                  (B) contribute $82,304,000 to the Fund for 
                Special Operations.
  (b) Limitation on Authorization of Appropriations.--To pay 
for the subscription and contribution authorized under 
subsection (a), there are authorized to be appropriated, 
without fiscal year limitation, for payment by the Secretary of 
the Treasury--
          (1) $9,169,559,712, for the United States 
        subscription to the capital stock of the Bank; and
          (2) $82,304,000, for the United States contribution 
        to the Fund for Special Operations.\44\
---------------------------------------------------------------------------
    \44\ Appropriations for U.S. payments authorized in sec. 33 have 
been provided in the following amounts and Public Laws: fiscal year 
1991--Bank capital stock, $2,292.5 million ($57.31 million paid-in 
capital; $2,235 million callable capital); FSO, $20.6 million (Public 
Law 101-513); fiscal year 1992--Bank capital stock, $2,258.7 million 
($56.47 million paid-in capital; $2,202 million callable capital); FSO, 
$20.27 million (Public Law 102-145, as amended by Public Law 102-266); 
fiscal year 1993--Bank capital stock, $2,258.7 million ($56.47 million 
paid-in capital; $2,202 million callable capital); FSO, $20.27 million 
(Public Law 102-391); fiscal year 1994--Bank capital stock, $2,246.45 
million ($56.17 million paid-in capital; $2,190.28 million callable 
capital); FSO, $20.16 million (Public Law 103-87); fiscal year 1995--
$113.7 million ($2.8 million paid-in capital; $110.9 million callable 
capital) (Public Law 103-306).
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  (c) Organizational Changes Required To Be Made Before Payment 
for Subscription to Capital Stock and Contribution to the Fund 
for Special Operations.--The Secretary of the Treasury may not 
make any payment for the subscription and contribution 
authorized under subsection (a) unless the Bank--
          (1) has established an environmental unit with 
        responsibility for the development, evaluation, and 
        integration of Bank policies, projects, and programs 
        designed to promote environmentally sustainable 
        development in borrower countries;
          (2) has increased the number of the staff of the Bank 
        with environmentally oriented responsibilities and 
        training;
          (3) provides for an increase in the number of 
        environmentally beneficial projects and programs 
        financed by the Bank; and
          (4) has designed a process for ensuring the access of 
        indigenous non-governmental organizations to the 
        process for designing projects and programs.
  (d) Certification of Access to Bank Records Required Before 
Payment for Subscription to Capital Stock and Contribution to 
Fund for Special Operations.--The Secretary of the Treasury 
shall not make any payment for the subscription and 
contribution authorized under subsection (a) until the 
Secretary, after consultation with the United States Executive 
Director of the Bank, certifies to the Congress that--
          (1) the Bank has given the Comptroller General of the 
        United States access to the audit memorandum issued by 
        the Auditor General of the Bank with respect to the 
        November 1987 disbursement of funds to the Government 
        of Nicaragua;
          (2) the Bank has implemented and is continuing to 
        implement revised procedures issued in 1988 for 
        collecting loan services payments in arrears;
          (3) the revised procedures referred to in paragraph 
        (2) satisfy the recommendations of the Auditor General 
        of the Bank; and
          (4) the Comptroller General of the United States has 
        access to all documents of the Bank on the same terms 
        and under the same conditions as such documents are 
        made available to the United States Executive Director 
        of the Bank.

--------------------------------------------------------------------------------------------------------------------------------------------------------

--------------------------------------------------------------------------------------------------------------------------------------------------------
                           Note.--Section 526(c) of the Foreign Operations, Export Financing, and Related Programs
                          Appropriations Act, 1995 (108 Stat. 1632), provided, in part, the following authorization requirement:
                           ``(c) The Secretary of the Treasury may, to fulfill commitments of the United States, (1) subscribe
                          to and make payments for shares of the Inter-American Development Bank, make contributions to the Fund
                          for Special Operations of that Bank, and vote for resolutions (including amendments to that Bank's
                          constitutive agreement), all in connection with the eighth general increase in resources of that Bank;
                          and * * * The amount authorized to be appropriated for payment for paid-in shares of the Inter-
                          American Development Bank is limited to $76,832,001, the amount authorized to be appropriated for
                          payment for callable shares of the Inter-American Development Bank is limited to $4,511,156,729, * * *
                          The amount to be paid in respect of each such contribution or subscription is authorized to be
                          appropriated without fiscal year limitation. Each such subscription or contribution shall be effective
                          only to such extent or in such amounts as are provided in advance in appropriations Acts.''.
                           Appropriations for U.S. payments for the eighth general increase have been provided in the following
                          amounts and Public Laws: fiscal year 1995--$1,622.7 million ($28.1 million paid-in capital; $1,523.8
                          million callable capital); FSO, $21.34 million (Public Law 103-306); fiscal year 1996--$1,540.7
                          million ($26.0 million paid-in capital; $1,523.8 million callable capital), FSO, $10 million (Public
                          Law 104-107); fiscal year 1997--$1,529.3 million ($25.6 million paid-in capital, $1,503.7 million
                          callable capital), FSO, $10 million (Public Law 104-208).
                           Sec. 560(a) of Public Law 105-118 (111 Stat. 2425) provided authorization for continued participation
                          in the eighth general increase. The amount authorized to be appropriated for payment was $76,832,001
                          paid-in capital, and $4,511,156,729 callable capital.
                           Appropriations for U.S. payments have been provided in the following amounts and Public Laws: fiscal
                          year 1998--$1,529.3 million ($25.6 million paid-in capital, $1,503.7 million callable capital), FSO,
                          $20.8 million (Public Law 105-118); fiscal year 1999--$1,529.3 million ($25.6 million paid-in capital,
                          $1,503.7 million callable capital), FSO, $21.2 million (Public Law 105-277); fiscal year 2000--
                          $1,529.3 million ($25.6 million paid-in capital, $1,503.7 million callable capital), FSO, $0 (Public
                          Law 106-113).
--------------------------------------------------------------------------------------------------------------------------------------------------------


SEC 34.\45\ INVESTMENT IN HUMAN CAPITAL.

    (a) In General.--The Secretary of the Treasury shall 
instruct the United States Executive Director of the Inter-
American Development Bank to propose and use the voice and vote 
of such director, during the 4-year period beginning on January 
1, 1990, to vigorously promote an increase in the proportion of 
Bank lending in support of projects and programs which support 
investments in human capital and to seek the rapid 
implementation by the Bank of systematic mechanisms of 
consultation with locally affected populations in borrower 
countries either directly or through appropriate representative 
non-governmental organizations.
---------------------------------------------------------------------------
    \45\ 22 U.S.C. 283a-6. Sec. 202(a) of the International Development 
and Finance Act of 1989 (Public Law 101-240; 103 Stat. 2498) added sec. 
34.
    Sec. 202(b) of that Act (22 U.S.C. 283z-6 note) provided the 
following:
    ``(b) Report to the Congress.--The Chairman of the National 
Advisory Council on International Monetary and Financial Policies shall 
include in the report required by section 1701 of the International 
Financial Institutions Act for fiscal year 1991 a report on the efforts 
undertaken by the United States Executive Director of the Inter-
American Development Bank, and the progress to date, in achieving the 
objectives of section 34 of the Inter-American Development Bank Act.''.
---------------------------------------------------------------------------
  (b) Investments in Human Capital Defined.--As used in 
subsection (a), the term `investments in human capital' means 
investments in projects, policies, and programs designed to 
improve urban and rural health care and sanitation, basic 
nutrition, education, the small-producer private sector, the 
economic activities of women, and the development of indigenous 
non-governmental organizations.

SEC. 35.\46\ LIMITATIONS ON POLICY BASED LENDING.

    The Secretary of the Treasury shall--
---------------------------------------------------------------------------
    \46\ 22 U.S.C. 283z-7. Sec. 203 of the International Development 
and Finance Act of 1989 (Public Law 101-240; 103 Stat. 2498) added sec. 
35.
---------------------------------------------------------------------------
          (1) take all necessary steps to encourage the Bank to 
        limit the aggregate value of the policy based loans 
        made by the Bank (other than policy based loans made to 
        any country which the Bank has determined is 
        economically less developed or has a limited market 
        economy, which are used to purchase sovereign debt of 
        such country or to reduce the debt or debt service 
        burden of such country) during the 4-year period 
        beginning on January 1, 1990, to 25 percent of the 
        aggregate value of all loans made by the Bank during 
        such 4-year period;
          (2) take all necessary steps to encourage the Bank to 
        limit the aggregate value of the policy based loans 
        made by the Bank to the government of a particular 
        country during such 4-year period, to 50 percent of the 
        aggregate value of all loans made by the Bank to such 
        government during such 4-year period;
          (3) instruct the United States Executive Director of 
        the Bank to explore with the other Executive Directors 
        of the Bank ways to use a portion of the resources made 
        available to the Bank by reason of the subscription and 
        contribution described in section 33(a)(2) for debt 
        reduction and debt service reduction for countries 
        described in paragraph (1); and
          (4) before the end of the 12-month period beginning 
        on the date of the enactment of this section, report to 
        the Congress on the matters described in paragraph (3).

SEC. 36.\47\ INCREASE IN LENDING TO THE CARIBBEAN.

    The Secretary of the Treasury shall instruct the United 
States Executive Director of the Bank to enter into discussions 
with the management of the Bank and with other member country 
governments to seek to increase Bank lending to the Caribbean 
region, directly or through appropriate financial 
intermediaries, for viable projects which will--
---------------------------------------------------------------------------
    \47\ 22 U.S.C. 283z-8. Sec. 204 of the International Development 
and Finance Act of 1989 (Public Law 101-240; 103 Stat. 2499) added sec. 
36.
---------------------------------------------------------------------------
          (1) result in expanded regional economic integration, 
        diversification, and industrial and agricultural 
        production, and improved infrastructure; and
          (2) seek to ensure equitable and environmentally 
        sustainable economic growth.
    Sec. 37.\48\ (a) The Secretary of the Treasury is 
authorized to contribute, and to make payment of, $500,000,000 
to the Multilateral Investment Fund established pursuant to the 
agreements of February 11, 1992: Provided, That such funds 
shall only be disbursed from the Fund to countries that have 
governments that are democratically elected, that do not harbor 
or sponsor international terrorists; that do not fail to 
cooperate in narcotics matters; and that do not engage in a 
consistent pattern of gross violations of internationally 
recognized human rights.
---------------------------------------------------------------------------
    \48\ 22 U.S.C. 283z-9. Sec. 594(b) of the Foreign Operations, 
Export Financing, and Related Programs Appropriations Act, 1993 (Public 
Law 102-391; 106 Stat. 1693) added sec. 37.
---------------------------------------------------------------------------
    (b) There is hereby authorized to be appropriated without 
fiscal year limitation $500,000,000 for the contribution 
authorized in subsection (a).\49\
---------------------------------------------------------------------------
    \49\ Appropriations for U.S. contributions authorized in sec. 36(b) 
have been provided in the following amounts and Public Laws: fiscal 
year 1993--$90 million (Public Law 102-391); fiscal year 1994--$75 
million (Public Law 103-87); fiscal year 1995--$75 million (Public Law 
103-306); fiscal year 1996--$53.8 million (Public Law 104-107); fiscal 
year 1997--$27.5 million (Public Law 104-208); fiscal year 1998--$30 
million (Public Law 105-118); fiscal year 1999--$50 million (Public Law 
105-227); fiscal year 106-113--$0 (Public Law 106-113).
---------------------------------------------------------------------------
    (c) If an Enterprise for the Americas Multilateral 
Investment Fund is established pursuant to this section, the 
Secretary of the Treasury shall instruct the United States 
representative to the Fund not to vote in favor of any action 
proposed to be taken by the Fund which may have a significant 
adverse effect on the environment unless an assessment of the 
impact of the action on the environment has been available for 
at least 120 days before the vote.

SEC. 38.\50\ FOCUS ON LOW-INCOME AREAS OF LATIN AMERICA AND THE 
                    CARIBBEAN.

    The Secretary of the Treasury shall direct the United 
States Executive Director of the Bank to use the voice and vote 
of the United States to support an increased focus on the 
poorest countries in Latin America and the Caribbean, and on 
poorer areas of better off countries, and to support programs 
conducted by the Multilateral Investment Fund, particularly in 
targeting low-income countries and populations, working with 
nongovernmental organizations and training and assisting former 
combatants from civil conflicts in Latin America.
---------------------------------------------------------------------------
    \50\ 22 U.S.C. 283z-10. Sec. 526(f) of the Foreign Operations, 
Export Financing, and Related Programs Appropriations Act, 1995 (Public 
Law 103-306; 108 Stat. 1634) added sec. 38.
             (2) Inter-American Investment Corporation Act

Partial text of Public Law 98-473 [Continuing Appropriations Act, 1985; 
 H.J. Res. 648], 98 Stat. 1837 at 1885, approved October 12, 1984; as 
 amended by Public Law 101-240 [International Development and Finance 
  Act of 1989; H.R. 2494], 103 Stat. 2492, approved December 19, 1989


          Note.--Sec. 101 of the Continuing Appropriations Act, 
        1985 (Public Law 98-473) enacted into law title II of 
        S. 2416, as introduced in the Senate on March 13, 1984. 
        The text of title II of S. 2416 is set out below.



          TITLE II--INTER-AMERICAN INVESTMENT CORPORATION ACT

    Sec. 201. This title may be cited as the ``Inter-American 
Investment Corporation Act''.

                        ACCEPTANCE OF MEMBERSHIP

    Sec. 202.\1\ The President is hereby authorized to accept 
membership for the United States in the Inter-American 
Investment Corporation (hereinafter in this title referred to 
as the ``Corporation'') provided for by the agreement 
establishing the Corporation (hereinafter in this title 
referred to as the ``agreement'') deposited in the archives of 
the Inter-American Development Bank.
---------------------------------------------------------------------------
    \1\ 22 U.S.C. 283aa.
---------------------------------------------------------------------------

                    GOVERNOR AND ALTERNATE GOVERNOR

    Sec. 203.\2\ The Governor and Executive Director of the 
Inter-American Development Bank, and the alternate for each of 
them, appointed under section 3 of the Inter-American 
Development Bank Act, as amended (72 Stat. 299; 22 U.S.C. 283 
et seq.), shall serve as Governor, Director, and alternates, 
respectively, of the Corporation.
---------------------------------------------------------------------------
    \2\ 22 U.S.C. 283bb.
---------------------------------------------------------------------------

             APPLICABILITY OF BRETTON WOODS AGREEMENTS ACT

    Sec. 204.\3\ The provisions of section 4 of the Bretton 
Woods Agreements Act, as amended (59 Stat. 512, 22 U.S.C. 
286b), shall apply with respect to the Corporation to the same 
extent as with respect to the International Bank for 
Reconstruction and Development and the International Monetary 
Fund.\4\
---------------------------------------------------------------------------
    \3\ 22 U.S.C. 283cc.
    \4\ Sec. 541 of the International Development and Finance Act of 
1989 (Public Law 101-240; 103 Stat. 2518) consolidated several 
reporting requirements into new secs. 1701-1703 and titles XVIII and 
XIX of the International Financial Institutions Act and repealed 
duplicative requirements in other legislation. Sec. 541(e)(3) struck 
out the last sentence of this section, which read: ``Reports with 
respect to the Corporation under paragraphs (5) and (6) of subsection 
(b) of section 4 of that Act shall be included in the first and 
subsequent reports made thereunder after the United States accepts 
membership in the Corporation.''.
---------------------------------------------------------------------------

                              RESTRICTIONS

    Sec. 205.\5\ (a) Unless authorized by law, neither the 
President nor any person or agency shall, on behalf of the 
United States--
---------------------------------------------------------------------------
    \5\ 22 U.S.C. 283dd.
---------------------------------------------------------------------------
          (1) subscribe to additional shares of stock of the 
        Corporation;
          (2) vote for or agree to any amendment of the 
        agreement which increases the obligations of the United 
        States, or which changes the purpose or functions of 
        the Corporation; or
          (3) make a loan or provide other financing to the 
        Corporation.

                 FEDERAL RESERVE BANKS AS DEPOSITORIES

    Sec. 206.\6\ Any Federal Reserve bank which is requested to 
do so by the Corporation shall act as its depository or as its 
fiscal agent, and the Board of Governors of the Federal Reserve 
System shall supervise and direct the carrying out of these 
functions by the Federal Reserve banks.
---------------------------------------------------------------------------
    \6\ 22 U.S.C. 283ee.
---------------------------------------------------------------------------

                         SUBSCRIPTION OF STOCK

    Sec. 207.\7\ (a) The Secretary of the Treasury is 
authorized to subscribe on behalf of the United States to five 
thousand one hundred shares of the capital stock of the 
Corporation: Provided, however, That the subscription shall be 
effective only to such extent or in such amounts as are 
provided in advance in appropriations Acts.
---------------------------------------------------------------------------
    \7\ 22 U.S.C. 283ff. Sec. 594 of the Foreign Operations, Export 
Financing, and Related Programs Appropriations Act, 2000, enacted by 
reference in sec. 1000(a)(7) of Public Law 106-113 (113 Stat. 1501A-
122), provided the following:
---------------------------------------------------------------------------

                            ``Authorizations
---------------------------------------------------------------------------
    ``Sec. 594. The Secretary of The Treasury may, to fulfill 
commitments of the United States: (1) effect the United States 
participation in * * * the first general capital increase of the Inter-
American Investment Corporation. * * * The following amounts are 
authorized to be appropriated without fiscal year limitation for 
payment by the Secretary of the Treasury: * * * $125,180,000 for paid-
in capital of the Inter-American Investment Corporation * * *.''.
    Appropriations for the U.S. contribution have been provided in the 
following amounts and Public Laws: fiscal year 2000--$16 million 
(Public Law 106-113); fiscal year 2001--$25 million (Public Law 106-
429).
---------------------------------------------------------------------------
    (b) There is authorized to be appropriated, without fiscal 
year limitation, for payment by the Secretary of the Treasury 
of the subscription of the United States for those shares, 
$51,000,000.\8\
---------------------------------------------------------------------------
    \8\ Appropriations for U.S. payments authorized in sec. 207 have 
been provided in the following amounts and Acts: fiscal year 1985--$10 
million (Public Law 98-473); fiscal year 1985 supplemental--$3 million 
(Public Law 99-88); fiscal year 1986--$11.7 million (Public Law 99-
190), reduced by $0.5 million as a result of sequestration (Public Law 
99-177); fiscal year 1988--$1.3 million (Public Law 100-202); fiscal 
year 1991--$13 million (Public Law 101-513); fiscal year 1992--$12.3 
million (Public Law 102-145, as amended by Public Law 102-266), reduced 
by $4 million as a result of a rescission (Public Law 102-298) 
(However, only $5,000 in undisbursed funds were available to comply 
with the rescission at the time of enactment of Public Law 102-298).
---------------------------------------------------------------------------
    (c) Any payment of dividends made to the United States by 
the corporation shall be deposited into the Treasury as a 
miscellaneous receipt.

                  JURISDICTION OF UNITED STATES COURTS

    Sec. 208.\9\ For the purposes of any civil action which may 
be brought within the United States, its territories or 
possessions, or the Commonwealth of Puerto Rico, by or against 
the Corporation in accordance with the agreement, the 
Corporation shall be deemed to be an inhabitant of the Federal 
judicial district in which its principal office within the 
United States or its agent appointed for the purpose of 
accepting service or notice of service is located, and any such 
action to which the Corporation shall be a party shall be 
deemed to arise under the laws of the United States, and the 
district courts of the United States, including the courts 
enumerated in section 460 of title 28, United States Code, 
shall have original jurisdiction of any such action. When the 
Corporation is a defendant in any action in a State court, it 
may at any time before the trial thereof remove the action into 
the appropriate district court of the United States by 
following the procedure for removal provided in section 1446 of 
title 28, United States Code.
---------------------------------------------------------------------------
    \9\ 22 U.S.C. 283gg.
---------------------------------------------------------------------------

                       EFFECTIVENESS OF AGREEMENT

    Sec. 209.\10\ Article VI, section 4(c), and article VII, 
sections 2 to 9, both inclusive, of the agreement shall have 
full force and effect in the United States, its territories and 
possessions, and the Commonwealth of Puerto Rico, upon 
acceptance of membership by the United States in the 
Corporation.
---------------------------------------------------------------------------
    \10\ 22 U.S.C. 283hh.
---------------------------------------------------------------------------

                  SECURITIES ISSUED BY THE CORPORATION

    Sec. 210.\11\ (a) Any securities issued by the Corporation 
(including any guarantee by the corporation, whether or not 
limited in scope) in connection with the raising of funds for 
inclusion in the Corporation's resources as defined in article 
II, section 2 of the agreement, and any securities guaranteed 
by the Corporation as to both principal and interest to which 
the commitment in article II, section 2(e) of the agreement is 
expressly applicable, shall be deemed to be exempted securities 
within the meaning of section 3(a)(2) of the Securities Act of 
1933 (15 U.S.C. 77c) and section 3(a)(12) of the Securities 
Exchange Act of 1934 (15 U.S.C. 78c). The Corporation shall 
file with the Securities and Exchange Commission such annual 
and other reports with regard to such securities as the 
Commission shall determine to be appropriate in view of the 
special character of the corporation and its operations as 
necessary in the public interest or for the protection of 
investors.
---------------------------------------------------------------------------
    \11\ 22 U.S.C. 283ii.
---------------------------------------------------------------------------
    (b) The Securities and Exchange Commission, acting in 
consultation with such agency or officer as the President \12\ 
shall designate, is authorized to suspend the provisions of 
subsection (a) at any time as to any or all securities issued 
or guaranteed by the Corporation during the period of such 
suspension. The Commission shall include in its annual reports 
to Congress such information as it shall deem advisable with 
regard to the operations and effect of this section and in 
connection therewith shall include any views submitted for such 
purpose by any association of dealers registered with the 
Commission.
---------------------------------------------------------------------------
    \12\ Sec. 2 of Executive Order 12567 (October 2, 1986; 51 F.R. 
35495) delegated the functions vested in the President to the Secretary 
of the Treasury.
---------------------------------------------------------------------------

                          TECHNICAL AMENDMENTS

    Sec. 211. * * *
               c. Asian Development Bank Act, as amended

 Public Law 89-369 [H.R. 12563], 80 Stat. 71, approved March 16, 1966; 
 as amended by Public Law 92-245 [S. 749], 86 Stat. 57, approved March 
 10, 1972; Public Law 93-189 [S. 1443], 87 Stat. 714 at 732, approved 
December 17, 1973; Public Law 93-537 [S. 2193], 88 Stat. 1735, approved 
  December 22, 1974; Public Law 95-118 [H.R. 5262], 91 Stat. 1067 at 
 1068, approved October 3, 1977; Public Law 96-259 [S. 662], 94 Stat. 
 429 at 430, approved June 3, 1980; Public Law 96-465 [Foreign Service 
 Act of 1980; H.R. 6790], 94 Stat. 2071 at 2160, approved October 17, 
1980; Public Law 97-35 [Omnibus Budget Reconciliation Act of 1981; H.R. 
3982], 95 Stat. 357 at 744, approved August 13, 1981; Public Law 98-181 
 [Supplemental Appropriations Act, 1984; [H.R. 3959], 97 Stat. 1153 at 
   1285, approved November 30, 1983; Public Law 100-202 [Continuing 
Appropriations, 1988; H.J. Res. 395], 101 Stat. 1329, approved December 
22, 1987; and by Public Law 102-145 [Further Continuing Appropriations, 
Fiscal Year 1992; H.J. Res. 360, as amended by Public Law 102-266], 105 
          Stat. 968 at 106 Stat. 97, approved October 28, 1991

  AN ACT To provide for the participation of the United States in the 
                        Asian Development Bank.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled, That this 
Act may be cited as the ``Asian Development Bank Act''.

                        ACCEPTANCE OF MEMBERSHIP

    Sec. 2.\1\ The President is hereby authorized to accept 
membership for the United States in the Asian Development Bank 
(hereinafter referred to as the ``Bank'') provided for by the 
agreement establishing the Bank (hereinafter referred to as the 
``agreement'') deposited in the archives of the United Nations.
---------------------------------------------------------------------------
    \1\ 22 U.S.C. 285.
---------------------------------------------------------------------------
    Sec. 3.\2\ The President, by and with the advice and 
consent of the Senate, shall appoint a Governor of the Bank, an 
alternative for the Governor, and a Director of the Bank.
---------------------------------------------------------------------------
    \2\ 22 U.S.C. 285a.
---------------------------------------------------------------------------
    (b) No person shall be entitled to receive any salary or 
other compensation from the United States for services as a 
Governor or Alternate Governor. The Director may, in the 
discretion of the President, receive such compensation, 
allowances, and other benefits as, together with those received 
by him from the Bank, will equal those authorized for a chief 
of mission under the Foreign Service Act of 1980.\3\
---------------------------------------------------------------------------
    \3\ The references to the chief of mission and to the Foreign 
Service Act of 1980 were inserted by sec. 2206(a)(1) of Public Law 96-
465 (94 Stat. 2160), effective Feb. 15, 1981. The references formerly 
pertained to the Chief of Mission, class 2, and to the Foreign Service 
Act of 1946, respectively.
---------------------------------------------------------------------------
    Sec. 4.\4\ The policies and operations of the 
representatives of the United States on the Bank shall be 
coordinated with other United States policies in such manner as 
the President shall direct.
---------------------------------------------------------------------------
    \4\ 22 U.S.C. 285b.
---------------------------------------------------------------------------
    (b) \5\ * * *
---------------------------------------------------------------------------
    \5\ Sec. 541 of the International Development and Finance Act of 
1989 (Public Law 101-240; 103 Stat. 2518) consolidated several 
reporting requirements into new secs. 1701-1703 and titles XVIII and 
XIX of the International Financial Institutions Act and repealed 
duplicative requirements in other legislation. Sec. 541(d)(2) repealed 
subsec. (b), which required an annual report, to be submitted to the 
Congress by a designee of the President, on U.S. participation in the 
Asian Development Bank.
    Sec. 541(f)(3) of that Act also struck out subsec. designation 
``(a)'' as a clerical amendment.
---------------------------------------------------------------------------
    Sec. 5.\6\ Unless the Congress by law authorizes such 
action, neither the President nor any person or agency shall, 
on behalf of the United States, (a) subscribe to additional 
shares of stock of the Bank; (b) vote for or agree to any 
amendment of the agreement which increases the obligations of 
the United States, or which would change the purpose of 
functions of the Bank; or (c) make a loan or provide other 
financing to the Bank, except that funds for technical 
assistance not to exceed $1,000,000 in any one year may be 
provided to the Bank by a United States agency created pursuant 
to an Act of Congress which is authorized by law to provide 
funds to international organizations.
---------------------------------------------------------------------------
    \6\ 22 U.S.C. 285c. The Foreign Operations, Export Financing, and 
Related Programs Appropriations Act, 1998 (Public Law 105-118; 22 Stat. 
2425) provided the following:
---------------------------------------------------------------------------

                 ``INTERNATIONAL FINANCIAL INSTITUTIONS
---------------------------------------------------------------------------
    ``Sec. 560. (a) Authorizations.--The Secretary of the Treasury may, 
to fulfill commitments of the United States: (1) effect the United 
States participation in the first general capital increase of the 
European Bank for Reconstruction and Development, subscribe to and make 
payment for 100,000 additional shares of the capital stock of the Bank 
on behalf of the United States; and (2) contribute on behalf of the 
United States to the eleventh replenishment of the resources of the 
International Development Association, to the sixth replenishment of 
the Asian Development Fund, a special fund of the Asian Development 
Bank. The following amounts are authorized to be appropriated without 
fiscal year limitation for payment by the Secretary of the Treasury: 
(1) $285,772,500 for paid-in capital, and $984,327,500 for callable 
capital of the European Bank for Reconstruction and Development; (2) 
$1,600,000,000 for the International Development Association; (3) 
$400,000,000 for the Asian Development Fund; and (4) $76,832,001 for 
paid-in capital, and $4,511,156,729 for callable capital of the Inter-
American Development Bank in connection with the eighth general 
increase in the resources of that Bank. Each such subscription or 
contribution shall be subject to obtaining the necessary 
appropriations.''
     Public Law 105-118 authorized appropriations for the Asian 
Development Fund in the amount of $400 million which was paid in the 
following amounts and Public Laws: fiscal year 1998--$150 million ($50 
million for contributions previously due) (Public Law 105-118); fiscal 
year 1999--$210 million ($187 million for contributions previously due) 
(Public Law 105-277). fiscal year 2000--$77 million (Public Law 106-
113); and fiscal year 2001--$72 million (Public Law 106-429).
---------------------------------------------------------------------------

                              DEPOSITORIES

    Sec. 6.\7\ Any Federal Reserve bank which is requested to 
do so by the Bank shall act as its depository or as its fiscal 
agent, and the Board of Governors of the Federal Reserve System 
shall supervise and direct the carrying out of these functions 
by the Federal Reserve banks.
---------------------------------------------------------------------------
    \7\ 22 U.S.C. 285d.
---------------------------------------------------------------------------

                        PAYMENT OF SUBSCRIPTIONS

    Sec. 7.\8\ (a) There is hereby authorized to be 
appropriated, without fiscal year limitation, for the purchase 
of twenty thousand shares of capital stock of the Bank, 
$200,000,000.
---------------------------------------------------------------------------
    \8\ 22 U.S.C. 285e.
---------------------------------------------------------------------------
    (b) Any payment made to the United States by the Bank as a 
distribution of net income shall be covered into the Treasury 
as a miscellaneous receipt.\9\
---------------------------------------------------------------------------
    \9\ Appropriations for U.S. payments authorized in sec. 7 have been 
provided in the following amounts and Public Laws: fiscal year 1966--
$140 million ($100 million paid-in capital; $40 million callable 
capital) (Public Law 89-426); fiscal year 1969--$20 million callable 
capital (Public Law 90-581); fiscal year 1970--$20 million callable 
capital (Public Law 91-194); fiscal year 1971--$20 million callable 
capital (Public Law 92-18).
---------------------------------------------------------------------------


                   JURISDICTION AND VENUE OF ACTIONS

    Sec. 8.\10\ For purpose of any civil action which may be 
brought within the United States, its territories or 
possessions, or the Commonwealth of Puerto Rico, by or against 
the Bank in accordance with the agreement, the Bank shall be 
deemed to be an inhabitant of the Federal judicial district in 
which its principal office or agency in the United States is 
located, and any such action to which the Bank shall be a party 
shall be deemed to arise under the laws of the United States, 
and the district courts of the United States, including the 
courts enumerated in title 28, section 460, United States Code, 
shall have original jurisdiction of any such action. When the 
Bank is defendant in any action in a State court, it may, at 
any time before the trial thereof, remove such action into the 
direct court of the United States for the proper district by 
following the procedure for removal of causes otherwise 
provided by law.
---------------------------------------------------------------------------
    \10\ 22 U.S.C. 285f.
---------------------------------------------------------------------------

                   STATUS, IMMUNITIES, AND PRIVILEGES

    Sec. 9.\11\ The agreement, and particularly articles 49 
through 56, shall have full force and effect in the United 
States, its territories and possessions, and the Commonwealth 
of Puerto Rico, upon acceptance of membership by the United 
States in, and the establishment of, the Bank. The President, 
at the time of deposit of the instrument of acceptance of 
membership by the United States in the Bank, shall also deposit 
a declaration that the United States retains for itself and its 
political subdivisions the right to tax salaries and emoluments 
paid by the Bank to its citizens or nationals.
---------------------------------------------------------------------------
    \11\ 22 U.S.C. 285g.
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 SECURITIES ISSUED BY BANK AS INVESTMENT SECURITIES FOR NATIONAL BANKS

    Sec. 10. The last sentence of paragraph 7 of section 5136 
of the Revised Statutes, as amended (12 U.S.C. 24), is amended 
by striking the word ``or'' after the words ``International 
Bank for Reconstruction and Development'' and inserting a comma 
in lieu thereof, and by inserting after the words ``the Inter-
American Development Bank'' the words ``or the Asian 
Development Bank''.

   SECURITIES ISSUED BY BANK AS EXEMPT SECURITIES; REPORT FILED WITH 
                   SECURITIES AND EXCHANGE COMMISSION

    Sec. 11.\12\ (a) Any securities issued by the Bank 
(including any guarantee by the Bank, whether or not limited in 
scope) in connection with raising of funds for inclusion in the 
Bank's ordinary capital resources as defined in article 7 of 
the agreement and any securities guaranteed by the Bank as to 
both principal and interest to which the commitment in article 
6, section 5, of the agreement is expressly applicable, shall 
be deemed to be exempted securities within the meaning of 
paragraph (a)(2) of section 3 of the Act of May 27, 1933, as 
amended (15 U.S.C. 77c), and paragraph (a)(12) of section 3 of 
the Act of June 6, 1934, as amended (15 U.S.C. 78c). The Bank 
shall file with the Securities and Exchange Commission such 
annual and other reports with regard to such securities as the 
Commission shall determine to be appropriate in view of the 
special character of the Bank and its operations and necessary 
in the public interest or for the protection of investors.
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    \12\ 22 U.S.C. 285h.
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    (b) The Securities and Exchange Commission, acting in 
consultation with such agency or officer as the President shall 
designate, is authorized to suspend the provisions of 
subsection (a) at any time as to any or all securities issued 
or guaranteed by the Bank during the period of such suspension. 
The Commission shall include in its annual reports to Congress 
such information as it shall deem advisable with regard to the 
operations and effect of this section and in connection 
therewith shall include any views submitted for such purpose by 
any association of dealers registered with the Commission.
    Sec. 12.\13\ (a) Subject to the provisions of this Act, the 
United States Governor of the Bank is authorized to enter into 
an agreement with the Bank providing for a United States 
contribution of $100,000,000 to the Bank in two annual 
installments of $60,000,000 and $40,000,000, beginning in 
fiscal year 1972. This contribution is referred to hereinafter 
in this Act as the ``United States Special Resources''.
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    \13\ 22 U.S.C. 285i. Public Law 92-245 (86 Stat. 59) added sec. 12.
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    (b) The United States Special Resources shall be made 
available to the Bank pursuant to the provisions of this Act 
and article 19 of the Articles of Agreement of the Bank, and in 
a manner consistent with the Bank's Special Funds Rules and 
Regulations.
    Sec. 13.\14\ (a) The United States Special Resources shall 
be used to finance specific high priority development projects 
and programs in developing member countries of the Bank with 
emphasis on such projects and programs in the Southeast Asia 
region.
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    \14\ 22 U.S.C. 285j. Public Law 92-245 (86 Stat. 59) added sec. 13.
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    (b) The United States Special Resources shall be used by 
the Bank only for--
          (1) making development loans on terms which may be 
        more flexible and bear less heavily on the balance of 
        payments than those established by the Bank for its 
        ordinary operations; and
          (2) providing technical assistance credits on a 
        reimbursable basis.
    (c)(1) The United States Special Resources may be expended 
by the Bank only for procurement in the United States of goods 
produced in, or services supplied from, the United States, 
except that the United States Governor, in consultation with 
the National Advisory Council on International Monetary and 
Financial Policies, may allow eligibility for procurement in 
other member countries from the United States Special Resources 
if he determines that such procurement eligibility would 
materially improve the ability of the Bank to carry out the 
objectives of its special funds resources and would be 
compatible with the international financial position of the 
United States.
    (2) The United States Special Resources may be used to pay 
for administrative expenses arising from the use of the United 
States Special Resources, but only to the extent such expenses 
are not covered from the Bank's service fee or income from use 
of United States Special Resources.
    (d) All financing of programs and projects by the Bank from 
the United States Special Resources shall be repayable to the 
Bank by the borrowers in United States dollars.
    Sec. 14.\15\ (a) The letters of credit provided for in 
section 15 shall be issued to the Bank only to the extent that 
at the time of issuance the cumulative amount of the United 
States Special Resources provided to the Bank (A) constitute a 
minority of all special funds contributions to the Bank, and 
(B) are no greater than the largest cumulative contribution of 
any other single country contributing to the special funds of 
the Bank.
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    \15\ 22 U.S.C. 285k. Public Law 92-245 (86 Stat. 59) added sec. 14.
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    (b) The United States Governor of the Bank shall give due 
regard to the principles of (A) utilizing all special funds 
resources on an equitable basis, and (B) significantly shared 
participation by other contributors in each special fund to 
which United States Special Resources are provided.
    Sec. 15.\16\ The United States Special Resources will be 
provided to the Bank in the form of a nonnegotiable, 
noninterest-bearing, letter of credit which shall be payable to 
the Bank at par value on demand to meet the cost of eligible 
goods and services, and administrative costs authorized 
pursuant to section 13(c) of this Act.
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    \16\ 22 U.S.C. 285l. Public Law 92-245 (86 Stat. 59) added sec. 15.
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    Sec. 16.\17\ The United States shall have the right to 
withdraw all or part of the United States Special Resources and 
any accrued resources derived therefrom under the procedures 
provided for in section 8.03 of the Special Funds Rules and 
Regulations of the Bank.
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    \17\ 22 U.S.C. 285m. Public Law 92-245 (86 Stat. 59) added sec. 16.
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    Sec. 17.\18\ For the purpose of providing United States 
Special Resources to the Bank there is hereby authorized to be 
appropriated $100,000,000 \19\ all of which shall remain 
available until expended.
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    \18\ 22 U.S.C. 285n. Public Law 92-245 (86 Stat. 59) added sec. 17.
    \19\ Sec. 28 of Public Law 93-189 (87 Stat. 732) struck out 
``$60,000,000 for fiscal year 1972 and $40,000,000 for fiscal year 
1973'' and inserted ``$100,000,000''.
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    Sec. 18.\20\ The President shall instruct the United States 
Executive Director of the Asian Development Bank to vote 
against any loan or other utilization of the funds of the Bank 
for the benefit of any country which has--
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    \20\ 22 U.S.C. 285o. Public Law 92-245 (86 Stat. 59) added sec. 18, 
which is popularly referred to as the Gonzalez amendment.
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          (1) nationalized or expropriated or seized ownership 
        or control of property owned by any United States 
        citizen or by any corporation, partnership, or 
        association not less than 50 per centum of which is 
        beneficially owned by United States citizens;
          (2) taken steps to repudiate or nullify existing 
        contracts or agreements with any United States citizen 
        or any corporation, partnership, or association not 
        less than 50 per centum of which is beneficially owned 
        by United States citizens; or
          (3) imposed or enforced discriminatory taxes or other 
        exactions, or restrictive maintenance or operational 
        conditions, or has taken other actions, which have the 
        effect of nationalizing expropriating, or otherwise 
        seizing ownership or control of property so owned;
unless the President determines that (A) an arrangement for 
prompt, adequate, and effective compensation has been made, (B) 
the parties have submitted the dispute to arbitration under the 
rules of the Convention for the Settlement of Investment 
Disputes, or (C) good faith negotiations are in progress aimed 
at providing prompt, adequate, and effective compensation under 
the applicable principles of international law.
    Sec. 19.\21\ The Secretary of the Treasury shall instruct 
the United States Executive Director of the Asian Development 
Bank to vote against any loan or other utilization of the funds 
of the Bank for the benefit of any country with respect to 
which the President has made a determination, and so notified 
the Secretary of the Treasury, that the government of such 
country has failed to take adequate steps to prevent narcotic 
drugs and other controlled substances (as defined by the 
Comprehensive Drug Abuse Prevention and Control Act of 1970) 
produced or processed, in whole or in part in such country, or 
transported through such country, from being sold illegally 
within the jurisdiction of such country to United States 
Government personnel or their dependents, or from entering the 
United States unlawfully. Such instruction shall continue in 
effect until the President determines, and so notified the 
Secretary of the Treasury, that the government of such country 
has taken adequate steps to prevent such sale or entry of 
narcotic drugs and other controlled substances.
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    \21\ 22 U.S.C. 285p. Public Law 92-245 (86 Stat. 59) added sec. 19.
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    Sec. 20.\22\ (a) The United States Governor of the Bank is 
authorized to subscribe on behalf of the United States to 
thirty thousand additional shares of the capital stock of the 
Bank in accordance with and subject to the terms and conditions 
of Resolution Numbered 46 adopted by the Bank's Board of 
Governors on November 30, 1971.
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    \22\ 22 U.S.C. 285q. Public Law 93-537 (88 Stat. 1735) added sec. 
20.
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    (b) In order to pay for the increase in the United States 
subscription to the Bank provided for in this section, there is 
hereby authorized to be appropriated without fiscal year 
limitation $361,904,726 for payment by the Secretary of the 
Treasury.\23\
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    \23\ Appropriations for U.S. payments authorized in sec. 20 have 
been provided in the following amounts and Public Laws: fiscal year 
1975--$130.64 million ($24.13 paid in capital) (Public Law 94-11), 
$96.51 non-appropriated callable capital; fiscal year 1976--$120.64 
million ($24.13 paid-in capital; $96.51 callable capital) (Public Law 
94-330); fiscal year 1977--$130.64 million ($24.13 million paid in 
capital, $66.35 callable capital) (Public Law 94-441), $30.16 non-
appropriated callable capital).
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    Sec. 21.\24\ (a) The United States Governor of the Bank is 
hereby authorized to agree to contribute on behalf of the 
United States $50,000,000 to the special funds of the Bank. 
This contribution shall be made available to the Bank pursuant 
to the provisions of article 19 of the articles of agreement of 
the Bank.
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    \24\ 22 U.S.C. 285r. Public Law 93-537 (88 Stat. 1735) added sec. 
21.
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    (b) In order to pay for the United States contribution to 
the special funds, there is hereby authorized to be 
appropriated without fiscal year limitation $50,000,000 for 
payment by the Secretary of the Treasury.
    Sec. 22.\25\ (a) The United States Governor of the Bank is 
authorized to subscribe on behalf of the United States to 
sixty-seven thousand and five hundred additional shares of the 
capital stock of the Bank: Provided, however, That any 
subscription to additional shares shall be effective only to 
such extent or in such amounts as are provided in advance in 
appropriations Acts.\26\
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    \25\ 22 U.S.C. 285s. Sec. 501 of Public Law 95-118 (91 Stat. 1068) 
added sec. 22.
    \26\ The proviso clause was amended and restated by sec. 1353 of 
Public Law 97-35 (95 Stat. 745). The clause previously read as follows: 
`'That any subscription to additional shares shall be made only after 
the amount required for such subscription has been appropriated.''.
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    (b) In order to pay for the increase in the United States 
subscription to the Bank provided in this section, there are 
hereby authorized to be appropriated without fiscal year 
limitation $814,286,250 for payment by the Secretary of the 
Treasury.\27\
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    \27\ Appropriations for U.S. payments authorized in sec. 22 have 
been provided in the following amounts and Public Laws: fiscal year 
1978--$168 million ($16.8 million paid-in capital; $151.2 million 
callable capital) (Public Law 95-481); fiscal year 1979--$194.5 million 
($19.5 million paid-in capital; $175 million callable capital) (Public 
Law 95-481); fiscal year 1980--$153.7 million ($15.4 million paid-in 
capital; $138.3 million callable capital) (Public Law 96-123); fiscal 
year 1981--$248.4 million ($24.8 million paid-in capital; $223.4 
million callable capital) (Public Law 96-536); fiscal year 1982--$47.3 
million ($4.7 million paid-in capital; $42.6 million callable capital) 
(Public Law 97-121); fiscal year 1983--$2.5 million ($0.2 million paid-
in capital; $2.2 million callable capital) (Public Law 97-377).
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    Sec. 23.\28\ (a) The United States Governor of the Bank is 
hereby authorized to contribute on behalf of the United States 
$180,000,000 to the Asian Development Fund, a special fund of 
the Bank: Provided, however, That any commitment to make such 
contribution shall be made subject to obtaining the necessary 
appropriations.
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    \28\ 22 U.S.C. 285t. Sec. 501 of Public Law 95-118 (91 Stat. 1068) 
added sec. 23.
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    (b) In order to pay for the United States contribution to 
the Asian Development Fund provided for in this section, there 
are hereby authorized to be appropriated without fiscal year 
limitation
$180,000,000 for payment by the Secretary of the Treasury: 
Provided, however, That not more than $14,116,177 may be made 
available for such contribution for the fiscal year 1982.\29\
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    \29\ Sec. 1352(c) of Public Law 97-35 (95 Stat. 745) added the 
proviso clause.
    Appropriations for U.S. payments authorized in sec. 23 have been 
provided in the following amounts and Public Laws: fiscal year 1978--
$49.5 million (Public Law 95-148); fiscal year 1979--$70.5 million 
(Public Law 95-481); fiscal year 1980--$0; fiscal year 1981--$3.5 
million (Public Law 96-536); fiscal year 1982--$7.8 million (Public Law 
97-121); fiscal year 1983--$20.4 million (Public Law 97-377); fiscal 
year 1984--$0; fiscal year 1985--$28.2 million (Public Law 98-473).
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    Sec. 24.\30\ (a) The United States Governor of the Bank is 
authorized to contribute on behalf of the United States 
$378,250,000 to the Asian Development Fund, a special fund of 
the Bank, except that any commitment to make such contribution 
shall be made subject to obtaining the necessary 
appropriations.
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    \30\ 22 U.S.C. 285u. Sec. 201 of Public Law 96-259 (94 Stat. 430) 
added sec. 24.
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    (b) In order to pay for the United States contribution to 
the Asian Development Fund provided for in this section, there 
are authorized to be appropriated, without fiscal year 
limitation, $378,250,000 for payment by the Secretary of the 
Treasury: Provided, however, That not more than $111,250,000 of 
such sum may be made available for the fiscal year 1982, and 
not more than $44,500,000 of such sum may be made available for 
the fiscal year 1983.\31\
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    \31\ Sec. 1352(b) of Public Law 97-35 (95 Stat. 744) added the 
proviso clause.
    Appropriations for U.S. payments authorized in sec. 24 have been 
provided in the following amounts and Public Laws: fiscal year 1980--
$111.3 million (Public Law 96-123); fiscal year 1981--$111.3 million 
(Public Law 96-536); fiscal year 1982--$108.3 million (Public Law 97-
121); fiscal year 1983--$44.5 million (Public Law 97-377); fiscal year 
1984--$3 million (Public Law 98-151).
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    (c) For the purpose of keeping to a minimum the cost to the 
United States, the Secretary of the Treasury--
          (1) shall pay the United States contribution to the 
        Asian Development Fund authorized by this section by 
        letter of credit in four annual installments; and
          (2) shall take the steps necessary to obtain a 
        certification from the Bank that any undisbursed 
        balances resulting from draw-downs on such letter of 
        credit will not exceed at any time the United States 
        share of expected disbursement requirements for the 
        following three-month period.
    Sec. 25.\32\ It is the sense of the Congress that it is the 
policy of the United States that Taiwan (before January 1, 
1979, known as the Republic of China) \33\ shall be permitted 
to retain membership in the Asian Development Bank and that the 
United States Executive Director of the Bank shall notify the 
Bank that a serious review of future United States 
participation, including any future payments to the Asian 
Development Fund, would ensure if Taiwan were expelled from the 
Bank.
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    \32\ 22 U.S.C. 285v. Sec. 501 of Public Law 95-118 (91 Stat. 1068) 
added sec. 25.
    \33\ Sec. 550 of the Foreign Operations, Export Financing, and 
Related Programs Appropriations Act, 1993 (Public Law 102-391; 106 
Stat. 1673) provided the following regarding Taiwan's designation:
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           ``MEMBERSHIP DESIGNATION IN ASIAN DEVELOPMENT BANK
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    ``Sec. 550. It is the sense of the Congress that the United States 
Government should use its influence in the Asian Development Bank to 
secure reconsideration of that institution's decision to designate 
Taiwan (the Republic of China) as `Taipei, China'. It is further the 
sense of the Congress that the Asian Development Bank should resolve 
this dispute in a fashion that is acceptable to Taiwan (the Republic of 
China).''.
    This language was first enacted as sec. 566 of the Foreign 
Operations, Export Financing, and Related Programs Appropriations Act, 
1988.
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    Sec. 26.\34\ (a) The United States Governor of the Bank is 
authorized to contribute on behalf of the United States 
$66,750,000 to the Asian Development Fund, a special fund of 
the Bank: Provided, however, That any commitment to make such 
contribution shall be made subject to obtaining the necessary 
appropriations.
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    \34\ 22 U.S.C. 285w. Sec. 1352(a) of Public Law 97-35 (95 Stat. 
744) added sec. 26.
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    (b) In order to pay for the United States contribution to 
the Asian Development Fund provided for in this section, there 
is authorized to be appropriated, without fiscal year 
limitation, $66,750,000 for payment by the Secretary of the 
Treasury: Provided, however, That no funds may be made 
available for such contribution for the fiscal year 1982.\35\
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    \35\ Sec. 101(b)(1) of the Further Continuing Appropriations Act, 
1983, (Public Law 97-377) provided $66.75 million during fiscal year 
1983 for this authorization.
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    Sec. 27.\36\ (a)(1) The United States Governor of the Bank 
is authorized to subscribe on behalf of the United States to 
one hundred twenty-three thousand three hundred and seventy-
five additional shares of the capital stock of the Bank.
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    \36\ 22 U.S.C. 285x. Sec. 1002 of Public Law 98-181 (97 Stat. 1285) 
added sec. 27.
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    (2) Any subscription to the capital stock of the Bank shall 
be effective only to such extent or in such amounts as are 
provided in advance in appropriation Acts.\37\
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    \37\ Appropriations for U.S. payments authorized in sec. 27 have 
been provided in the following amounts and Public Laws: fiscal year 
1984--$264.6 million ($13.2 million paid-in capital; $251.4 million 
callable capital) (Public Law 98-151); fiscal year 1985--$264.6 million 
($13.2 million paid-in capital; $251.4 million callable capital) 
(Public Law 98-473); fiscal year 1986--$238.1 million ($11.9 million 
paid-in capital; $226.2 million callable capital) (Public Law 99-190), 
reduced by $0.5 million as a result of sequestration (Public Law 99-
177); fiscal year 1987--$264.6 million ($13.2 million paid-in capital; 
$251.4 million callable capital) (Public Law 99-591); fiscal year 
1988--$291.6 million ($15.1 million paid-in capital; $276.5 million 
callable capital) (Public Law 100-202).
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    (b) In order to pay for the increase in the United States 
subscription to the Bank provided for in subsection (a), there 
are authorized to be appropriated, without fiscal year 
limitation, $1,322,999,476 for payment by the Secretary of the 
Treasury.
    (c)(1) The Congress hereby finds that--
          (A) the Republic of China (Taiwan) is a charter 
        member in good standing of the Asian Development Bank;
          (B) the Republic of China has grown from a borrower 
        to a lender in the Asian Development Bank; and
          (C) the Republic of China provides, through its 
        economic success, a model for other nations in Asia.
    (2) It is the sense of the Congress that--
          (A) Taiwan, Republic of China, should remain a full 
        member of the Asian Development Bank, and that its 
        status within that body should remain unaltered no 
        matter how the issue of the People's Republic of 
        China's application for membership is disposed of;
          (B) the President and the Secretary of State should 
        express support of Taiwan, Republic of China, making it 
        clear that the United States will not countenance 
        attempts to expel Taiwan, Republic of China, from the 
        Asian Development Bank; and
          (C) the Secretary of the Senate and Clerk of the 
        House shall transmit a copy of this resolution to the 
        President with the request that he transmit such copy 
        to the Board of Governors of the Asian Development 
        Bank.
    Sec. 28.\38\ (a)(1) The United States Governor of the Bank 
is authorized to contribute on behalf of the United States 
$520,000,000 to the Asian Development Fund, a special fund of 
the Bank.
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    \38\ 22 U.S.C. 285y. Sec. 1002 of Public Law 98-181 (97 Stat. 1286) 
added sec. 28.
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    (2) Any commitment to make the contribution authorized in 
paragraph (1) shall be made subject to obtaining the necessary 
appropriations.
    (b) In order to pay for the United States contribution to 
the Asian Development Fund provided for in this section, there 
are authorized to be appropriated, without fiscal year 
limitation, $520,000,000 for payment by the Secretary of the 
Treasury.\39\
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    \39\ Appropriations for U.S. payments authorized in sec. 28 for the 
Third Replenishment (ADF IV), have been provided in the following 
amounts and Public Laws: fiscal year 1984--$97 million (Public Law 98-
151); fiscal year 1985--$100.0 million (Public Law 98-473); fiscal year 
1985 supplemental--$63 million (Public Law 99-88); fiscal year 1986--
$100 million (Public Law 99-190), reduced by $4.3 million in 
sequestration (Public Law 99-177) ; fiscal year 1987--$91.4 million 
(Public Law 99-591); fiscal year 1988--$28 million (Public Law 100-
202); fiscal year 1989--$44.8 million (Public Law 100-461).
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    Sec. 29.\40\ (a) The United States Governor of the Bank is 
authorized to contribute on behalf of the United States 
$584,280,000 to the Asian Development Fund, a special fund of 
the Bank, except that any commitment to make such contributions 
shall be made subject to obtaining the necessary 
appropriations.
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    \40\ 22 U.S.C. 285z. Sec. 29, authorizing a Fourth ADF 
Replenishment (ADF V), was added by sec. 201 of H.R. 3750, as reported 
by the House Committee on Banking, Finance and Urban Affairs, on 
December 11, 1987, and enacted into law by reference in Title I of the 
Foreign Operations, Export Financing, and Related Programs 
Appropriations Act, 1988 (sec. 101(e) of the Continuing Appropriations, 
1988, Public Law 100-202; 101 Stat. 1329 at 1329-134).
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    (b) In order to pay for the United States contribution 
provided for in subsection (a), there are authorized to be 
appropriated, without fiscal year limitation, $584,280,000 for 
payment by the Secretary of the Treasury.\41\
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    \41\ Appropriations for U.S. payments authorized in sec. 29 have 
been provided in the following amounts and Public Laws: fiscal year 
1989--$107.5 million (Public Law 100-461); fiscal year 1990--$177.2 
million (Public Law 101-167), reduced by $2.2 million in sequestration 
(Public Law 101-239); fiscal year 1991--$126.9 million (Public Law 101-
513), reduced by $2.4 million in sequestration (Public Law 101-508), 
$2.4 million restored (Public Law 102-27); fiscal year 1992--$124.9 
million (Public Law 102-145, as amended by Public Law 102-266); fiscal 
year 1993--$49.98 million (Public Law 102-391).
    The fiscal year 1993 appropriations further required: ``That prior 
to obligating any of the funds appropriated under this heading for the 
Asian Development Fund, the Secretary of the Treasury shall submit a 
certification to the Committee on Appropriations that none of such 
funds will be made available for China.''.
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SEC. 30.\42\ CAPITAL INCREASE.

    (a) Subscription Authorized.--(1) The United States 
Governor of the Bank may subscribe on behalf of the United 
States to 35,230 additional shares of the capital stock of the 
Bank. (2) Any subscription by the United States to the capital 
stock of the Bank shall be effective only to such extent or in 
such amounts as are provided in advance in appropriations Acts.
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    \42\ 22 U.S.C. 285aa. Sec. 30 was added by sec. 125(b) of the 
Further Continuing Appropriations, Fiscal Year 1992 (Public Law 102-
145, as amended by Public Law 102-266; 106 Stat. 97).
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    (b) Limitations on Authorization of Appropriations.--In 
order to pay for the increase in the United States subscription 
to the Bank provided for in subsection (a), there are 
authorized to be appropriated, without fiscal year limitation, 
$213,000,000 for payment by the Secretary of the Treasury.\43\
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    \43\ Appropriations for U.S. payments authorized in sec. 30 have 
been provided in the following amounts and Public Laws: fiscal year 
1992--$0; fiscal year 1993--$316.53 million ($38.01 million paid-in 
capital; $278.52 million callable capital) (Public Law 102-391); fiscal 
year 1994--$108.46 million ($13.03 million paid-in capital; $95.44 
callable capital) (Public Law 103-87).


          Note.--The Foreign Operations, Export Financing, and 
        Related Programs Appropriations Act, 1996 (H.R. 1868, 
        enacted by reference in sec. 301 of Public Law 104-99; 
        enacted again as Public Law 104-107), provided the 
        following:

                        ``ASIAN DEVELOPMENT BANK

          ``Sec. 568. The Secretary of the Treasury may, to 
        fulfill commitments of the United States, subscribe to 
        and make payments for shares of the Asian Development 
        Bank in connection with the fourth general capital 
        increase of the Bank. The amount authorized to be 
        appropriated for paid-in shares of the Bank is limited 
        to $66,614,647; the amount authorized to be 
        appropriated for payment for callable shares of the 
        Bank is limited to $3,264,178,021. The amount to be 
        paid in respect of each subscription is authorized to 
        be appropriated without fiscal year limitation. Any 
        subscription by the United States to the capital stock 
        of the Bank shall be effective only to such extent or 
        in such amounts as are provided in advance in 
        appropriations Acts.''.
          Appropriations for U.S. payments to participate in 
        the fourth general capital increase have been provided 
        in the following amounts and Public Laws: fiscal year 
        1996--$661.08 million ($13.22 paid-in capital; $647.86 
        callable capital) (Public Law 104-107); fiscal year 
        1997--$661.08 million ($13.22 paid-in capital; $647.86 
        callable capital) (Public Law 104-208); fiscal year 
        1998--$661.08 million ($13.22 million paid-in capital, 
        $647.86 callable capital) (Public Law 105-118); fiscal 
        year 1999--$661.08 million ($13.22 million paid-in 
        capital, $647.86 callable capital) (Public Law 105-
        277); fiscal year 2000--$661.08 million ($13.73 million 
        paid-in capital, $672.75 callable capital) (Public Law 
        106-113).


                    d. African Development Bank Act

  Partial text of Public Law 97-35 [H.R. 3982], 95 Stat. 357 at 741, 
approved August 13, 1981, as amended by Public Law 100-202 [Continuing 
Appropriations, 1988; H.J. Res. 395], 101 Stat. 1329, approved December 
22, 1987; Public Law 101-240 [International Development and Finance Act 
of 1989; H.R. 2494], 103 Stat. 2492, approved December 19, 1989; and by 
 Public Law 101(513 [Foreign Operations, Export Financing, and Related 
Programs Appropriations Act, 1991; H.R. 5114], 104 Stat. 1979, approved 
                            November 5, 1990

  AN ACT To provide for reconciliation pursuant to section 301 of the 
  first concurrent resolution on the budget for the fiscal year 1982.

          * * * * * * *

                   TITLE XIII--INTERNATIONAL AFFAIRS

          * * * * * * *

              Subtitle B--International Development Banks

          * * * * * * *

                    PART 3--AFRICAN DEVELOPMENT BANK

                              SHORT TITLE

    Sec. 1331. This part may be cited as the ``African 
Development Bank Act''.

                        ACCEPTANCE OF MEMBERSHIP

    Sec. 1332.\1\ The President is hereby authorized to accept 
membership for the United States in the African Development 
Bank (hereinafter in this part referred to as the ``Bank'') 
provided for by the agreement establishing the Bank 
(hereinafter in this part referred to as the ``agreement'') 
deposited in the archives of the United Nations.
---------------------------------------------------------------------------
    \1\ 22 U.S.C. 290i.
---------------------------------------------------------------------------

                    GOVERNOR AND ALTERNATE GOVERNOR

    Sec. 1333.\2\ (a) The President, by and with the advice and 
consent of the Senate, shall appoint a Governor, an Alternate 
Governor, and a Director \3\ of the Bank. The term of office 
for the Governor and the Alternate Governor shall be five 
years, subject at any time to termination of appointment or to 
reappointment. The Governor and Alternate Governor shall remain 
in office until a successor has been appointed.
---------------------------------------------------------------------------
    \2\ 22 U.S.C. 290i-1.
    \3\ Sec. 562(b)(3) of Public Law 101-513 (104 Stat. 2034) struck 
out ``Governor and an Alternate Governor'' and inserted ``Governor, an 
Alternate Governor, and a Director''.
---------------------------------------------------------------------------
    (b) No person shall be entitled to receive any salary or 
other compensation from the United States for services as a 
Governor or Alternate Governor, except for reasonable expenses 
to attend meetings of the Board of Governors.
    (c) The Governor, or in the Governor's absence the 
Alternate Governor, on the instructions of the President,\4\ 
shall cast the votes of the United States for the Director to 
represent the United States in the Bank.
---------------------------------------------------------------------------
    \4\ Sec. 3 of Executive Order 12403 (Feb. 8, 1983; 48 F.R. 6087) 
delegated this authority vested in the President to the Secretary of 
the Treasury.
---------------------------------------------------------------------------

               DIRECTOR OR ALTERNATE DIRECTOR; ALLOWANCES

    Sec. 1334.\5\ The Director or Alternate Director 
representing the United States, if citizens of the United 
States, may, in the discretion of the President,\4\ receive 
such compensation, allowances, and other benefits as, together 
with those received from the Bank and from the African 
Development fund, may not exceed those authorized for a chief 
of mission under the Foreign Service Act of 1980.
---------------------------------------------------------------------------
    \5\ 22 U.S.C. 290i-2.
---------------------------------------------------------------------------

             APPLICABILITY OF BRETTON WOODS AGREEMENTS ACT

    Sec. 1335.\6\ The provisions of section 4 of the Bretton 
Woods Agreements Act (22 U.S.C. 286b) shall apply with respect 
to the Bank to the same extent as with respect to the 
International Bank for Reconstruction and Development and the 
International Monetary Fund.\7\
---------------------------------------------------------------------------
    \6\ 22 U.S.C. 290i-3.
    \7\ Sec. 541 of the International Development and Finance Act of 
1989 (Public Law 101-240; 103 Stat. 2518) consolidated several 
reporting requirements into new secs. 1701-1703 and titles XVIII and 
XIX of the International Financial Institutions Act and repealed 
duplicative requirements in other legislation. Sec. 541(e)(7) struck 
out the last sentence of this section which read: ``Reports with 
respect to the Bank under paragraphs (5) and (6) of section 4 of that 
Act shall be included in the first and subsequent reports made 
thereunder after the United States accepts membership in the Bank.''.
---------------------------------------------------------------------------

                              RESTRICTIONS

    Sec. 1336.\8\ (a) Unless authorized by law, neither the 
President, nor any person or agency, shall, on behalf of the 
United States--
---------------------------------------------------------------------------
    \8\ 22 U.S.C. 290i-4.
---------------------------------------------------------------------------
          (1) subscribe to additional shares of stock of the 
        Bank;
          (2) vote for or agree to any amendment of the 
        agreement which increases the obligations of the United 
        States, or which changes the purpose or functions of 
        the Bank; or
          (3) make a loan or provide other financing to the 
        Bank, except that funds for technical assistance may be 
        provided to the Bank by a United States agency created 
        pursuant to an Act of Congress which is authorized by 
        law to provide funds to international organizations.

                 FEDERAL RESERVE BANKS AS DEPOSITORIES

    Sec. 1337.\9\ Any Federal Reserve bank which is requested 
to do so by the Bank shall act as its depository or as its 
fiscal agent, and the Board of Governors of the Federal Reserve 
System shall supervise and direct the carrying out of these 
functions by the Federal Reserve banks.
---------------------------------------------------------------------------
    \9\ 22 U.S.C. 290i-5.
---------------------------------------------------------------------------

                         SUBSCRIPTION OF STOCK

    Sec. 1338.\10\ (a) The President \4\ is authorized to agree 
to subscribe on behalf of the United States to twenty-nine 
thousand eight hundred and twenty shares of the capital stock 
of the Bank: Provided, however, That the subscription shall be 
effective only to such extent or in such amounts as are 
provided in advance in appropriations Acts.
---------------------------------------------------------------------------
    \10\ 22 U.S.C. 290i-6.
---------------------------------------------------------------------------
    (b) There is authorized to be appropriated, without fiscal 
year limitation, for payment by the Secretary of the Treasury 
of the initial United States subscription to twenty-nine 
thousand eight hundred and twenty shares of the capital stock 
of the Bank, $359,733,570: Provided, however, That not more 
than $17,986,679 of such sum may be available for paid in 
subscriptions to the Bank for each of the fiscal years 1982, 
1983, and 1984.\11\
---------------------------------------------------------------------------
    \11\ Appropriations for U.S. payments authorized in sec. 1338 have 
been provided in the following amounts and Public Laws: fiscal year 
1981--$72 million ($18 million paid-in capital; $54 million callable 
capital) (Public Law 97-12); fiscal year 1982--$0; fiscal year 1983--
$0; fiscal year 1984--$72 million ($18 million paid-in capital; $54 
million callable capital) (Public Law 98-151); fiscal year 1985--$72 
million ($18 million paid-in capital; $54 million callable capital) 
(Public Law 98-473); fiscal year 1986--$64.8 million ($16.2 million 
paid-in capital; $48.6 million callable capital) (Public Law 99-190), 
reduced by $0.7 million as a result of sequestration (Public Law 99-
177); fiscal year 1987--$55.9 million ($13.9 million paid-in capital; 
$41.9 million callable capital) (Public Law 99-591); fiscal year 1987 
supplemental--$23.9 million ($6.5 million paid-in capital; $17.4 
million callable capital) (Public Law 100-71).
---------------------------------------------------------------------------
    (c) Any payment or distributions of moneys from the Bank to 
the United States shall be covered into the Treasury as a 
miscellaneous receipt.

                  JURISDICTION OF UNITED STATES COURTS

    Sec. 1339.\12\ For the purposes of any civil action which 
may be brought within the United States, its territories or 
possessions, or the Commonwealth of Puerto Rico, by or against 
the Bank in accordance with the agreement, the Bank shall be 
deemed to be an inhabitant of the Federal judicial district in 
which its principal office within the United States or its 
agent appointed for the purpose of accepting service or notice 
of service is located, and any such action to which the Bank 
shall be a party shall be deemed to arise under the laws of the 
United States, and the district courts of the United States, 
including the courts enumerated in section 460 of title 28, 
United States Code, shall have original jurisdiction of any 
such action. When the Bank is defendant in any action in a 
State court, it may at any time before the trial thereof remove 
the action into the appropriate district court of the United 
States by following the procedure for removal provided in 
section 1446 of title 28, United States Code.
---------------------------------------------------------------------------
    \12\ 22 U.S.C. 290i-7.
---------------------------------------------------------------------------

                       EFFECTIVENESS OF AGREEMENT

    Sec. 1340.\13\ Paragraph 5 of article 49, articles 50 
through 59, and the other provisions of the agreement shall 
have full force and effect in the United States, its 
territories and possessions, and the Commonwealth of Puerto 
Rico, upon acceptance of membership by the United States in the 
Bank. The President, at the time of deposit of the instrument 
of acceptance of membership by the United States in the Bank, 
shall also deposit a declaration as provided in article 64, 
paragraph 3, of the agreement that the United States retains 
for itself and its political subdivisions the right to tax 
salaries and emoluments paid by the Bank to United States 
citizens or nationals.
---------------------------------------------------------------------------
    \13\ 22 U.S.C. 290i-8.
---------------------------------------------------------------------------

                     SECURITIES ISSUED BY THE BANK

    Sec. 1341.\14\ (a) Any securities issued by the Bank 
(including any guarantee by the Bank, whether or not limited in 
scope) in connection with the raising of funds for inclusion in 
the Bank's ordinary capital resources as defined in article 9 
of the agreement and any securities guaranteed by the Bank as 
to both principal and interest to which the commitment in 
article 7, paragraph 4(a), of the agreement is expressly 
applicable, shall be deemed to be exempted securities within 
the meaning of section 3(a)(2) of the Securities Act of 1933 
(15 U.S.C. 77c) and section 3(a)(12) of the Securities Exchange 
Act of 1934 (15 U.S.C. 78c). The Bank shall file with the 
Securities and Exchange Commission such annual and other 
reports with regard to such securities as the Commission shall 
determine to be appropriate in view of the special character of 
the Bank and its operations as necessary in the public interest 
or for the protection of investors.
---------------------------------------------------------------------------
    \14\ 22 U.S.C. 290i-9.
---------------------------------------------------------------------------
    (b) The Securities and Exchange Commission, acting in 
consultation with such agency or officer as the President shall 
designate,\4\ is authorized to suspend the provisions of 
subsection (a) at any time as to any or all securities issued 
or guaranteed by the Bank during the period of such suspension. 
The Commission shall include in its annual reports to Congress 
such information as it shall deem advisable with regard to the 
operations and effect of this section and in connection 
therewith shall include any views submitted for such purpose by 
any association of dealers registered with the Commission.

                          TECHNICAL AMENDMENTS

    Sec. 1342. (a) The seventh sentence of paragraph 7 of 
section 5136 of the Revised Statutes of the United States (12 
U.S.C. 24) is amended by striking out ``or'' after ``the Inter-
American Development Bank'' and inserting in lieu thereof a 
comma, and by inserting ``or the African Development Bank'' 
after ``the Asian Development Bank''.
    (b) * * *
    (c) * * *
    (d) Section 51 of Public Law 91-599 (22 U.S.C. 276c-2) is 
amended by striking out ``and'' after ``the Asian Development 
Bank,'' and inserting ``and the African Development Bank,'' 
after ``the African Development Fund,''.
    Sec. 1343.\15\ (a) The United States Governor of the Bank 
is authorized to agree to subscribe on behalf of the United 
States to fifty-nine thousand, six hundred and thirty-two 
shares of the capital stock of the Bank, except that the 
subscription shall be effective only to such extent or in such 
amounts as are provided in advance in appropriations Acts.
---------------------------------------------------------------------------
    \15\ 22 U.S.C. 290i-10. Sec. 1343 was added by title I of the 
Foreign Operations, Export Financing, and Related Programs 
Appropriations Act, 1988 (sec. 101(e) of the Continuing Appropriations, 
1988; Public Law 100-202; 101 Stat. 1329-134), which enacted into law 
the amendment made by sec. 301 of H.R. 3750, as introduced by the House 
Committee on Banking, Finance and Urban Affairs, on December 11, 1987.
---------------------------------------------------------------------------
    (b) In order to pay for the United States subscription 
authorized in subsection (a), there are authorized to be 
appropriated, without fiscal year limitation, $719,370,633, for 
payment by the Secretary of the Treasury.\16\
---------------------------------------------------------------------------
    \16\ Appropriations for the U.S. share of the fourth general 
capital increase as authorized in sec. 1343 have been made in the 
following amounts and Public Laws: fiscal year 1988--$143.9 million ($9 
million paid-in capital; $134.9 million callable capital) (Public Law 
100-202); fiscal year 1989--$142 million ($7.3 million paid-in capital; 
$135.1 million callable capital) (Public Law 100-461); fiscal year 
1990--$144.4 million ($9.6 million paid-in capital; $134.2 million 
callable capital) (Public Law 101-167), reduced by $0.11 million as a 
result of sequestration (Public Law 101-239); fiscal year 1991--$145.5 
million ($10.1 million paid-in capital; $135.4 million callable 
capital), reduced by $0.19 million as a result of sequestration (Public 
Law 101-508), $0.19 restored (Public Law 102-27); fiscal year 1992--
$141.7 million ($8.85 million paid-in capital; $132.8 million callable 
capital) (Public Law 102-145, as amended by Public Law 102-266); fiscal 
year 1993--$0; fiscal year 1994--$0; fiscal year 1995--$2.1 million 
($133,000 paid-in capital, $2.0 million callable capital) (Public Law 
103-306).
    The Foreign Operations, Export Financing, and Related Programs 
Appropriations Act, 2000 (H.R. 3422, enacted by reference in sec. 
1000(a)(7) of Public Law 106-113,113 Stat. 1501), in Sec. 594 (113 
Stat. 1501A-122), provided the following:
---------------------------------------------------------------------------

                            ``Authorizations
---------------------------------------------------------------------------
    ``Sec. 594. The Secretary of the Treasury may, to fulfill 
commitments of the United States (1) effect the United States 
participation in the fifth general capital increase of the African 
Development Bank * * * . The following amounts are authorized to be 
appropriated without fiscal year limitation for payment by the 
Secretary of the Treasury: $40,847,011 for paid-in capital, and 
$639,932,485 for callable capital, of the African Development Bank; * * 
* .''
    Appropriations for the increase were made in the following amounts 
and Public Laws: fiscal year 2000--$68.1 million ($4.1 million paid-in 
capital, $64 million callable capital) (Public Law 106-113); fiscal 
year 2001--$103.6 million ($6.1 million paid-in capital, $97.5 million 
callable capital) (Public Law 106-429).

              e. African Development Fund Act, as amended

 Partial text of Public Law 94-302 [H.R. 9721], 90 Stat. 591, approved 
  May 31, 1976, as amended by Public Law 95-118 [H.R. 5262], 91 Stat. 
1067 at 1069, approved October 3, 1977; Public Law 96-259 [S. 662], 94 
Stat. 429 at 430, approved June 3, 1980; Public Law 96-465 [H.R. 6790], 
  94 Stat. 2071 at 2161, approved October 17, 1980; Public Law 98-181 
 [Supplemental Appropriations Act, 1984; H.R. 3959], 97 Stat. 1153 at 
1286, approved November 30, 1983; Public Law 99-190 [Further Continuing 
Appropriations, 1986; H.J. Res. 465], 99 Stat. 1294, approved December 
19, 1985; H.R. 4645 as enacted into law by Public Law 100-461 [Foreign 
Operations, Export Financing, and Related Programs Appropriations Act, 
1989; H.R. 4637], 102 Stat. 2268, approved October 1, 1988; Public Law 
101-240 [International Development and Finance Act of 1989; H.R. 2494], 
 103 Stat. 2492, approved December 19, 1989; and by Public Law 102-145 
[Further Continuing Appropriations, Fiscal Year 1992; H.J. Res. 360, as 
amended by Public Law 102-266], 105 Stat. 968 at 106 Stat. 98, approved 
                            October 28, 1991

 AN ACT To provide for increased participation by the United States in 
   the Inter-American Development Bank, to provide for the entry of 
 nonregional members and the Bahamas and Guyana in the Inter-American 
Development Bank, to provide for the participation of the United States 
        in the African Development Fund, and for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

          * * * * * * *

                   TITLE II--AFRICAN DEVELOPMENT FUND

    Sec. 201. This title may be cited as the ``African 
Development Fund Act''.
    Sec. 202.\1\ The President is hereby authorized to accept 
participation for the United States in the African Development 
Fund (hereinafter referred to as the ``Fund'') provided for by 
the agreement establishing the Fund (hereinafter referred to as 
the ``agreement'') deposited in the archives of the United 
Nations.
---------------------------------------------------------------------------
    \1\ 22 U.S.C. 290g.
---------------------------------------------------------------------------
    Sec. 203.\2\ (a) The President by and with the advice and 
consent of the Senate, shall appoint a Governor, and an 
Alternate Governor, of the Fund.
---------------------------------------------------------------------------
    \2\ 22 U.S.C. 290g-1.
---------------------------------------------------------------------------
    (b) The Governor, or in his absence the Alternate Governor, 
on the instructions of the President, shall cast the votes of 
the United States for the Director to represent the United 
States in the Fund. The Director representing the United States 
and his Alternate, if they are citizens of the United States, 
may, in the discretion of the President, receive such 
compensation, allowances, and other benefits not exceeding 
those authorized for a chief of mission, under the Foreign 
Service Act of 1980.\3\
---------------------------------------------------------------------------
    \3\ The references to the chief of mission and to the Foreign 
Service Act of 1980 were inserted by Public Law 96-465 (94 Stat. 2161), 
effective Feb. 15, 1981. These references formerly pertained to the 
Chief of Mission, class 2, and to the Foreign Service Act of 1946, 
respectively.
---------------------------------------------------------------------------
    Sec. 204.\4\ The provisions of section 4 of the Bretton 
Woods Agreements Act, as amended (22 U.S.C. 286b), shall apply 
with respect to the Fund to the same extent as with respect to 
the International Bank for Reconstruction and Development and 
the International Monetary Fund.\5\
---------------------------------------------------------------------------
    \4\ 22 U.S.C. 290g-2.
    \5\ Sec. 541 of the International Development and Finance Act of 
1989 (Public Law 101-240; 103 Stat. 2518) consolidated several 
reporting requirements into new secs. 1701-1703 and titles XVIII and 
XIX of the International Financial Institutions Act and repealed 
duplicative requirements in other legislation. Sec. 541(e)(6) struck 
out the last sentence of this section, which read: ``Reports with 
respect to the Fund under paragraphs (5) and (6) of subsection 4 of 
said Act, as amended, shall be included in the first report made 
thereunder after the United States accepts participation in the 
Fund.''.
---------------------------------------------------------------------------
    Sec. 205.\6\ Unless Congress by law authorizes such action, 
neither the President nor any person or agency, shall, on 
behalf of the United States:
---------------------------------------------------------------------------
    \6\ 22 U.S.C. 290g-3.
---------------------------------------------------------------------------
          (a) agree to an increase in the subscription of the 
        United States to the Fund;
          (b) vote for or agree to any amendment of the 
        agreement which increases the obligations of the United 
        States, or which would change the purpose of functions 
        of the Fund; or
          (c) make a loan or provide other financing to the 
        Fund, except that funds for technical assistance may be 
        provided to the Fund by a United States agency created 
        pursuant to an Act of Congress which is authorized by 
        law to provide funds to international organizations.
    Sec. 206.\7\ (a) There is hereby authorized to be 
appropriated without fiscal year limitation, as the United 
States subscription, $25,000,000 to be paid by the Secretary of 
the Treasury to the Fund in three annual installments of 
$9,000,000, $8,000,000, and $8,000,000.
---------------------------------------------------------------------------
    \7\ 22 U.S.C. 290g-4.
---------------------------------------------------------------------------
    (b) Any repayment or distribution of moneys from the Fund 
to the United States shall be covered into the Treasury as a 
miscellaneous receipt.
    Sec. 207.\8\ Any Federal Reserve bank which is requested to 
do so by the President shall act as a depository for the Fund, 
and the Board of Governors of the Federal Reserve System shall 
supervise and direct the carrying out of these functions by the 
Federal Reserve banks.
---------------------------------------------------------------------------
    \8\ 22 U.S.C. 290g-5.
---------------------------------------------------------------------------
    Sec. 208.\9\ For the purpose of any civil action which may 
be brought within the United States, its territories or 
possessions, or the Commonwealth of Puerto Rico, by or against 
the Fund in accordance with the agreement, the Fund shall be 
deemed to be an inhabitant of the Federal judicial district in 
which its principal office or agency appointed for the purpose 
of accepting service or notice of service is located, and any 
such action to which the Fund shall be party shall be deemed to 
arise under the laws of the United States, and the district 
courts of the United States (including the courts enumerated in 
title 28, section 460, United States Code) shall have original 
jurisdiction of any such action. When the Fund is defendant in 
any action in a State court, it may, at any time before the 
trial thereof, remove any such action into the district court 
of the United States for the proper district by following the 
procedure for removal of causes otherwise provided by law.
---------------------------------------------------------------------------
    \9\ 22 U.S.C. 290g-6.
---------------------------------------------------------------------------
    Sec. 209.\10\ The agreement, including without limitation 
articles 41 through 50, shall have full force and effect in the 
United States, its territories and possessions, and the 
Commonwealth of Puerto Rico, upon the acceptance of 
participation by the United States in, and the entry into force 
of, the Fund. The President, at the time of deposit of the 
instrument of acceptance of participation of the United States 
in the Fund, shall also deposit a declaration that the United 
States retains for itself and its political subdivisions the 
right to tax salaries and emoluments paid by the Fund to its 
citizens or nationals and may deposit a declaration providing 
for reservations on other matters set forth in article 58.
---------------------------------------------------------------------------
    \10\ 22 U.S.C. 290g-7.
---------------------------------------------------------------------------
    Sec. 210.\11\ The President shall instruct the United 
States Governor of the Fund to cause the Executive Director 
representing the United States in the Fund to cast the votes of 
the United States against any loan or other utilization of the 
funds of the Fund for the benefit of any country which has--
---------------------------------------------------------------------------
    \11\ 22 U.S.C. 290g-8.
---------------------------------------------------------------------------
          (1) nationalized or expropriated or seized ownership 
        or control of property owned by any United States 
        citizen or by any corporation, partnership, or 
        association not less than 50 per centum of which is 
        beneficially owned by United States citizens;
          (2) taken steps repudiate or nullify existing 
        contracts or agreements with any United States citizen 
        or any corporation, partnership, or association not 
        less than 50 per centum of which is beneficially owned 
        by United States citizens; or
          (3) imposed or enforced discriminatory taxes or other 
        exactions, or restrictive maintenance or operational 
        conditions, or has taken other actions, which have the 
        effect of nationalizing, expropriating, or otherwise 
        seizing ownership or control of property so owned;

unless the President determines that (A) an arrangement for 
prompt, adequate, and effective compensation has been made, (B) 
the parties have submitted the dispute to arbitration under the 
rules of the Convention for the Settlement of Investment 
Disputes,\12\ or (C) good faith negotiations are in progress 
aimed at providing prompt, adequate, and effective compensation 
under the applicable principles of international law.
---------------------------------------------------------------------------
    \12\ See Legislation on Foreign Relations Through 1988, vol. V, for 
text.
---------------------------------------------------------------------------
    Sec. 211.\13\ (a) The United States Governor is hereby 
authorized to contribute on behalf of the United States 
$50,000,000 to the African Development Fund, which would 
represent an additional United States contribution to the first 
replenishment. The Secretary of the Treasury is directed to 
begin discussions with other donor nations to the African 
Development Fund for the purpose of setting amounts and of 
reviewing and possibly changing the voting structure within the 
Fund. Provided, however, That any commitment to make such 
contribution shall be made subject to obtaining the necessary 
appropriations.
---------------------------------------------------------------------------
    \13\ 22 U.S.C. 290g-10. This section, added as sec. 212 by sec. 601 
of Public Law 95-118 (91 Stat. 1069), was redesignated as sec. 211 by 
sec. 301(1) of Public Law 96-259 (94 Stat. 430). The original sec. 211, 
which directed the U.S. Governor of the Fund to vote against any loans 
or assistance to any country engaging in violations of human rights, 
was repealed by sec. 702 of Public Law 95-118 (91 Stat. 1070). For 
references to the African Development Fund and human rights, see title 
VII of Public Law 95-118.
---------------------------------------------------------------------------
    (b) In order to pay for the United States contribution to 
the African Development Fund provided for in this section there 
are authorized to be appropriated without fiscal year 
limitation $50,000,000 for payment by the Secretary of the 
Treasury.\14\
---------------------------------------------------------------------------
    \14\ Appropriations for U.S. payment authorized in sec. 211 (AFDF 
I) were provided in the following amount and Public Law: fiscal year 
1979--$25 million (Public Law 95-481).
---------------------------------------------------------------------------
    Sec. 212.\15\ (a) The United States Governor of the Fund is 
authorized to contribute on behalf of the United States 
$125,000,000 to the Fund as the United States contribution to 
the second replenishment of the resources of the Fund, except 
that any commitment to make such contribution shall be made 
subject to obtaining the necessary appropriations.
---------------------------------------------------------------------------
    \15\ 22 U.S.C. 290g-11. Sec. 301(2) of Public Law 96-259 (94 Stat. 
430) added sec. 212.
---------------------------------------------------------------------------
    (b) In order to pay for the United States contribution 
provided for in this section, there is authorized to be 
appropriated, without fiscal year limitation, $125,000,000 for 
payment by the Secretary of the Treasury.\16\
---------------------------------------------------------------------------
    \16\ Appropriations for U.S. payments authorized in sec. 212 (AFDF 
II) were provided in the following amounts and Public Laws: fiscal year 
1980--$25 million (Public Law 96-123); fiscal year 1981--$41.7 million 
(Public Law 96-536); fiscal year 1982--$58.3 million (Public Law 97-
121).
---------------------------------------------------------------------------
    (c) For the purpose of keeping to a minimum the cost of the 
United States, the Secretary of the Treasury--
          (1) shall pay the United States contribution to the 
        African Development Fund authorized by this section by 
        letter of credit in three annual installments; and
          (2) shall take the steps necessary to obtain a 
        certification from the Fund that any undisbursed 
        balances resulting from drawdowns on such letter of 
        credit will not exceed at any time the United States 
        share of expected disbursement requirements for the 
        following three-month period.
    Sec. 213.\17\ (a)(1) The United States Governor of the Fund 
is authorized to contribute on behalf of the United States 
$150,000,000 to the Fund as the United States contribution to 
the third replenishment of the resources of the Fund.
---------------------------------------------------------------------------
    \17\ 22 U.S.C. 290g-12. Sec. 1003 of Public Law 98-181 (97 Stat. 
1286) added sec. 213.
---------------------------------------------------------------------------
    (2) Any commitment to make the contribution authorized in 
paragraph (1) shall be made subject to obtaining the necessary 
appropriations.
    (b) In order to pay for the United States contribution 
provided for in this section, there are authorized to be 
appropriated, without fiscal year limitation, $150,000,000 for 
payment by the Secretary of the Treasury.\18\
---------------------------------------------------------------------------
    \18\ Appropriations for U.S. payments authorized in sec. 213 (AFDF 
III) were provided in the following amounts and Public Laws: fiscal 
year 1983--$50 million (Public Law 97-377); fiscal year 1984--$50 
million (Public Law 98-151); fiscal year 1985--$50 million (Public Law 
98-473).
---------------------------------------------------------------------------

                       UNITED STATES CONTRIBUTION

    Sec. 214.\19\ (a)(1) The United States Governor of the Fund 
is authorized to contribute $225,000,000 to the fourth 
replenishment of the resources of the Fund.
---------------------------------------------------------------------------
    \19\ 22 U.S.C. 290g-13. Sec. 214 was added by sec. 201 of H.R. 2253 
(the Multilateral Development Bank Act of 1985), enacted into law by 
sec. 101(i) of the Further Continuing Appropriations, 1986 (Public Law 
99-190; 99 Stat. 1294).
---------------------------------------------------------------------------
    (2) Any commitment to make the contribution authorized in 
paragraph (1) shall be made subject to obtaining the necessary 
appropriations.
    (b) In order to pay for the United States contribution 
provided for in this section, there are authorized to be 
appropriated, without fiscal year limitation, $225,000,000 for 
payment by the Secretary of the Treasury.\20\
---------------------------------------------------------------------------
    \20\ Appropriations for U.S. payments authorized in sec. 214 (AFDF 
IV) were provided in the following amounts and Public Laws: fiscal year 
1986--$62.2 million (Public Law 99-190), reduced by $2.7 million as a 
result of sequestration (Public Law 99-177); fiscal year 1987--$53.8 
million (Public Law 99-591); fiscal year 1987 supplemental--$36.6 
million (Public Law 100-71); fiscal year 1988--$75 million (Public Law 
100-202).
---------------------------------------------------------------------------

SEC. 215.\21\ FIFTH REPLENISHMENT.

    (a) Contribution Authorized.--The United States Governor of 
the Fund is authorized to contribute $315,000,000 to the fifth 
replenishment of the resources of the Fund, except that such 
authority shall be effective only to such extent or in such 
amounts as are provided in advance in appropriations Acts.
---------------------------------------------------------------------------
    \21\ 22 U.S.C. 290g-14. Sec. 215 was added by sec. 2 of H.R. 4645, 
as enacted into law by sec. 555 of Public Law 100-461 (102 Stat. 2268).
---------------------------------------------------------------------------
    (b) Authorization of Appropriations.--In order to pay for 
the United States contribution provided for in this section, 
there are authorized to be appropriated, without fiscal year 
limitation, $315,000,000 for payment by the Secretary of the 
Treasury.\22\
---------------------------------------------------------------------------
    \22\ Appropriations for U.S. payments authorized in sec. 215 (AFDF 
V) for the fifth replenishment of the African Development Fund was 
provided in the following amounts and Public Laws: fiscal year 1989--
$105 million (Public Law 100-461); fiscal year 1990--$104.5 million 
(Public Law 101-167); fiscal year 1991--$105.5 million (Public Law 101-
513), reduced by $2 million as a result of sequestration (Public Law 
101-508), further reduced by $2 million as a result of sequestration 
(Public Law 102-27).
---------------------------------------------------------------------------

SEC. 216.\23\ SIXTH REPLENISHMENT.

    (a) Contribution Authorized.--The United States Governor of 
the Fund is authorized to contribute $405,000,000 to the sixth 
replenishment of the resources of the Fund, except that such 
authority shall be effective only to such extent or in such 
amounts as are provided in advance in appropriations Acts.
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    \23\ 22 U.S.C. 290g-15. Sec. 125(c) of the Further Continuing 
Appropriations, Fiscal Year 1992 (Public Law 102-145, as amended by 
Public Law 102-266) added sec. 216.
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    (b) Limitations on Authorization of Appropriations.--In 
order to pay for the United States contribution provided for in 
this section, there are authorized to be appropriated, without 
fiscal year limitation, $135,000,000 for payment by the 
Secretary of the Treasury.\24\
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    \24\ Appropriations for U.S. payments authorized in sec. 216 (AFDF 
VI) for the sixth replenishment of the African Development Fund was 
provided in the following amount and Public Law: fiscal year 1992--
$103.9 million (Public Law 102-145, as amended by Public Law 102-266); 
fiscal year 1993--$103.9 million (Public Law 102-391); fiscal year 
1994--$135 million (Public Law 103-87).
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          Note.--Section 526(c) of the Foreign Operations, 
        Export Financing, and Related Programs Appropriations 
        Act, 1995 (108 Stat. 1632), provided, in part, the 
        following authorization requirement:
          ``(c) The Secretary of the Treasury may, to fulfill 
        commitments of the United States, * * * (2) contribute 
        to * * * the African Development Fund in connection 
        with the seventh general replenishment of its 
        resources, * * *. The amount to be paid in respect of 
        each such contribution or subscription is authorized to 
        be appropriated without fiscal year limitation. Each 
        such subscription or contribution shall be effective 
        only to such extent or in such amounts as are provided 
        in advance in appropriations Acts.''.
          Appropriations for U.S. payments to participate in 
        the seventh general replenishment have been provided in 
        the following amounts and Public Laws: fiscal year 
        1995--$124.23 million and $20.7 million for arrearages 
        (Public Law 103-306); fiscal year 1996--$0; fiscal year 
        1997--$0; fiscal year 1998--$45 million (Public Law 
        105-118); fiscal year 1999--$128 million (Public Law 
        105-277); fiscal year 1999 recission--$1 million (P.L. 
        106-113).





          Section 594 of the Foreign Operations, Export 
        Financing, and Related Programs Appropriations Act, 
        2000 (H.R. 3422, enacted by reference in sec. 
        1000(a)(7) of Public Law 106-113; 113 Stat. 1501A-122), 
        provided the following:

                            ``Authorizations

          ``Sec. 594. The Secretary of The Treasury may, to 
        fulfill commitments of the United States: (1) * * * ; 
        and (2) contribute on behalf of the United States to 
        the eighth replenishment of the resources of the 
        African Development Fund * * * . The following amounts 
        are authorized to be appropriated without fiscal year 
        limitation for payment by the Secretary of the 
        Treasury: * * * $300,000,000 for the African 
        Development Fund * * * .''
          Appropriations for U.S. participation in the eighth 
        replenishment were made in the following amount and 
        Public Law: fiscal year 2001--$99,780 million (Public 
        Law 106-429).


        f. European Bank for Reconstruction and Development Act

     Sec. 562(c) of Public Law 101-513 [Foreign Operations, Export 
 Financing, and Related Programs Appropriations Act, 1991; H.R. 5114], 
           104 Stat. 1979 at 2034, approved November 5, 1990

AN ACT Making appropriations for foreign operations, export financing, 
and related programs for the fiscal year ending September 30, 1991, and 
                          for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled, That the 
following sums are appropriated, out of any money in the 
Treasury not otherwise appropriated, for foreign operations, 
export financing, and related programs for the fiscal year 
ending September 30, 1991, and for other purposes, namely:
          * * * * * * *

                         GENERAL AUTHORIZATIONS

  Sec. 562. General Authorizations.--
          * * * * * * *

                    INTERNATIONAL BANKING PROVISIONS

          * * * * * * *
  (c) European Bank for Reconstruction and Development.--
          (1) \1\ Short title.--This subsection may be cited as 
        the ``European Bank for Reconstruction and Development 
        Act''.
---------------------------------------------------------------------------
    \1\ 22 U.S.C. 290l note.
---------------------------------------------------------------------------
          (2) \2\ Acceptance of membership.--The President is 
        hereby authorized to accept membership for the United 
        States in the European Bank for Reconstruction and 
        Development (in this subsection referred to as the 
        ``Bank'') provided for by the agreement establishing 
        the Bank (in this subsection referred to as the 
        ``Agreement''), signed on May 29, 1990.
---------------------------------------------------------------------------
    \2\ 22 U.S.C. 290l.
---------------------------------------------------------------------------
          (3) \3\ Governor and alternate governor.--
---------------------------------------------------------------------------
    \3\ 22 U.S.C. 290l-1.
---------------------------------------------------------------------------
                  (A) Appointment.--The President, by and with 
                the advice and consent of the Senate, shall 
                appoint a Governor of the Bank, an alternate 
                for the Governor, and a Director of the Bank.
                  (B) Compensation.--Any person who serves as a 
                Governor of the Bank or as an alternate for the 
                Governor may not receive any salary or other 
                compensation from the United States by reason 
                of such service.
          (4) \4\ Applicability of certain provisions of the 
        bretton woods agreements act.--Section 4 of the Bretton 
        Woods Agreements Act shall apply to the Bank in the 
        same manner in which such section applies to the 
        International Bank for Reconstruction and Development 
        and the International Monetary Fund.
---------------------------------------------------------------------------
    \4\ 22 U.S.C. 290l-2.
---------------------------------------------------------------------------
          (5) \5\ Federal reserve banks as depositories.--Any 
        Federal Reserve Bank which is requested to do so by the 
        Bank may act as its depository, or as its fiscal agent, 
        and the Board of Governors of the Federal Reserve 
        System shall exercise general supervision over the 
        carrying out of these functions.
---------------------------------------------------------------------------
    \5\ 22 U.S.C. 290l-3.
---------------------------------------------------------------------------
          (6) \6\ Subscription of stock.--
---------------------------------------------------------------------------
    \6\ 22 U.S.C. 290l-4.
    The Foreign Operations, Export Financing, and Related Programs 
Appropriations Act, 1998 (Public Law 105-118, 22 Stat. 2425), provided 
for participation in the eleventh replenishment, as follows:
---------------------------------------------------------------------------

                 ``INTERNATIONAL FINANCIAL INSTITUTIONS
---------------------------------------------------------------------------
    ``Sec. 560. (a) Authorizations.--The Secretary of the Treasury may, 
to fulfill commitments of the United States: (1) effect the United 
States participation in the first general capital increase of the 
European Bank for Reconstruction and Development, subscribe to and make 
payment for 100,000 additional shares of the capital stock of the Bank 
on behalf of the United States; * * * . The following amounts are 
authorized to be appropriated without fiscal year limitation for 
payment by the Secretary of the Treasury: (1) $285,772,500 for paid-in 
capital, and $984,327,500 for callable capital of the European Bank for 
Reconstruction and Development; * * *. Each such subscription or 
contribution shall be subject to obtaining the necessary 
appropriations.''
    Appropriations for the U.S. contribution have been provided in the 
following amounts and Public Laws: fiscal year 1998--$159 million 
($35.8 million paid-in capital, $123.2 million callable capital) 
(Public Law 105-118); fiscal year 1999--$159 million ($35.8 million 
paid-in capital, $123.2 million callable capital) (Public Law 105-277); 
fiscal year 2000--$159 million ($35.8 million paid-in capital, $123.2 
million callable capital) (Public Law 106-113); fiscal year 2001--
$158.9 million ($35.8 million paid-in capital, $123.2 million callable 
capital minus fiscal year 2000 recission--$0.79 million) (Public Law 
106-429). 
---------------------------------------------------------------------------
                  (A) Subscription authority.--
                          (i) In general.--The Secretary of the 
                        Treasury may subscribe on behalf of the 
                        United States to 100,000 shares of the 
                        capital stock of the Bank.
                          (ii) Effectiveness of subscription 
                        commitment.--Any commitment to make 
                        such subscription shall be effective 
                        only to such extent or in such amounts 
                        as are provided for in advance by 
                        appropriations Acts.
                  (B) Limitations on authorization of 
                appropriations.--For payment by the Secretary 
                of the Treasury of the subscription of the 
                United States for shares described in 
                subparagraph (A), there are authorized to be 
                appropriated $1,167,010,000 without fiscal year 
                limitation.\7\
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    \7\ Appropriations for U.S. subscription authorized in paragraph 
(6) were provided in the following amounts and Public Laws: fiscal year 
1991--$233.4 million ($70 million paid-in capital, $163.38 callable 
capital) (Public Law 101-513), reduced by $1.3 million as a result of 
sequestration (Public Law 101-508), $1.3 million restored (Public Law 
102-27); fiscal year 1992--$230 million ($68.99 million paid-in 
capital, $160.97 callable capital) (Public Law 102-145, as amended by 
Public Law 102-266); fiscal year 1993--$200 million ($60 million paid 
in capital, $140 million callable capital) (Public Law 102-391); fiscal 
year 1994--$0; fiscal year 1995--$230.6 million ($69.18 million paid-in 
capital; $161.42 million callable capital) (Public Law 103-306); fiscal 
year 1996--$233.33 million ($70 million paid-in capital; $163.33 
callable capital) (Public Law 104-107); fiscal year 1997--$39.73 
million ($11.92 million paid-in capital; $27.81 million callable 
capital) (Public Law 104-208).
    Sec. 579 of Public Law 101-513 (104 Stat. 2045), as continued by 
Public Law 102-145, as amended, further provided the following:
---------------------------------------------------------------------------

 ``WITHHOLDING OF OBLIGATIONS FOR THE EUROPEAN BANK FOR RECONSTRUCTION 
                            AND DEVELOPMENT
---------------------------------------------------------------------------
    ``Sec. 579. (a) None of the funds made available by this Act for 
the European Bank for Reconstruction and Development may be obligated 
until the President reaches an agreement or agreements, as necessary, 
with the Polish Government or with other creditors, the authority to 
enter into which he is hereby granted notwithstanding any other 
provision of law, which accurately reflect the real collectability of 
the debts of the Polish Government to the Government of the United 
States and which adjusts the amount of debt and debt service payable by 
the Polish Government to the Government of the United States 
accordingly, subject to the following conditions:
---------------------------------------------------------------------------

          ``(1) an International Monetary Fund agreement is in effect 
        with respect to Poland, and it is clear that it is the intent 
        of the Polish Government to continue full implementation of 
        that program, and
          ``(2) the recent historic change of the Polish Government 
        into a democracy has been maintained, and
          ``(3) the Polish Government is seeking comparable treatment 
        of both public and private external debt.
---------------------------------------------------------------------------
    ``(b) If the President determines that, in order to substantially 
increase the probability of other creditor governments and commercial 
bankers taking actions adjusting or restructuring their Polish debt to 
reflect its real collectability, it is best for the United States to 
use the authority contained in subsection (a), then the President may 
exercise the authority of subsection (a) unilaterally.
    ``(c) Funds may be obligated notwithstanding subsection (a) subject 
to the regular notification procedures of the Committees on 
Appropriations.''.
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                  (C) Disposition of net income distributions 
                by the bank.--Any payment made to the United 
                States by the Bank as a distribution of net 
                income shall be covered into the Treasury as a 
                miscellaneous receipt.
          (7) \8\ Jurisdiction and venue of civil actions by or 
        against the bank.--
---------------------------------------------------------------------------
    \8\ 22 U.S.C. 290l-5.
---------------------------------------------------------------------------
                  (A) Jurisdiction.--The United States district 
                courts shall have original and exclusive 
                jurisdiction of any civil action brought in the 
                United States by or against the Bank.
                  (B) Venue.--For purposes of section 1391(b) 
                of title 28, United States Code, the Bank shall 
                be deemed to be a resident of the judicial 
                district in which the principal office of the 
                Bank in the United States, or its agent 
                appointed for the purpose of accepting service 
                or notice of service, is located.
          (8) \9\ Effectiveness of agreement.--The Agreement 
        shall have full force and effect in the United States, 
        its territories and possessions, and the Commonwealth 
        of Puerto Rico, upon acceptance of membership by the 
        United States in the Bank and the entry into force of 
        the Agreement.
---------------------------------------------------------------------------
    \9\ 22 U.S.C. 290l-6.
---------------------------------------------------------------------------
          (9) \10\ Exemption from securities laws for certain 
        securities issued by the bank; reports required.--
---------------------------------------------------------------------------
    \10\ 22 U.S.C. 290l-7.
---------------------------------------------------------------------------
                  (A) Exemption from securities laws; reports 
                to securities and exchange commission.--Any 
                securities issued by the Bank (including any 
                guaranty by the Bank, whether or not limited in 
                scope) in connection with the raising of funds 
                for inclusion in the Bank's ordinary capital 
                resources as defined in article 7 of the 
                Agreement and any securities guaranteed by the 
                Bank as to both principal and interest to which 
                the commitment in article 6, paragraph 4, of 
                the Agreement is expressly applicable, shall be 
                deemed to be exempted securities within the 
                meaning of section 3(a)(2) of the Securities 
                Act of 1933 and section 3(a)(12) of the 
                Securities Exchange Act of 1934. The Bank shall 
                file with the Securities and Exchange 
                Commission such annual and other reports with 
                regard to such securities as the Commission 
                shall determine to be appropriate in view of 
                the special character of the Bank and its 
                operations and necessary in the public interest 
                or for the protection of investors.
                  (B) Authority of securities and exchange 
                commission to suspend exemption; reports to the 
                congress.--The Securities and Exchange 
                Commission, acting in consultation with such 
                agency or officer as the President shall 
                designate, may suspend the provisions of 
                subparagraph (A) at any time as to any or all 
                securities issued or guaranteed by the Bank 
                during the period of such suspension. The 
                Commission shall include in its annual reports 
                to the Congress such information as it shall 
                deem advisable with regard to the operations 
                and effect of this paragraph.
          (10) Technical amendments.--
                  (A) Annual report required on participation 
                of the united states in the bank.--Section 
                1701(c)(2) of the International Financial 
                Institutions Act (22 U.S.C. 262r(c)(2)) is 
                amended by inserting ``European Bank for 
                Reconstruction and Development,'' before 
                ``International Development Association,''.
                  (B) Exemption from limitations and 
                restrictions on power of national banking 
                associations to deal in and underwrite 
                investment securities of the bank.--The 7th 
                sentence of paragraph 7 of section 5136 of the 
                Revised Statutes of the United States (12 
                U.S.C. 24) is amended by inserting ``the 
                European Bank for Reconstruction and 
                Development,'' before ``the Inter-American 
                Development Bank,''.
                  (C) Benefits for united states citizen-
                representatives to the bank.--Section 51 of the 
                Act entitled ``An Act to authorize United 
                States participation in increases in the 
                resources of certain international financial 
                institutions, to provide for an annual audit of 
                the Exchange Stabilization Fund by the General 
                Accounting Office, and for other purposes.'' 
                (Public Law 91-599; 22 U.S.C. 276c-2) is 
                amended by inserting ``the European Bank for 
                Reconstruction and Development,'' before ``the 
                Inter-American Development Bank,''.
          (11) \11\ Congressional consultations.--During 
        negotiations on the establishment of operational 
        guidelines for the Bank, the Secretary of the Treasury 
        shall--
---------------------------------------------------------------------------
    \11\ 22 U.S.C. 290l-8. Sec. 584 of Public Law 101-513 (104 Stat. 
2046; 22 U.S.C. 290l-8 note), as continued by Public Law 102-145, as 
amended, provided:
---------------------------------------------------------------------------

           ``EUROPEAN BANK FOR RECONSTRUCTION AND DEVELOPMENT
---------------------------------------------------------------------------
    ``Sec. 584. In all negotiations concerning the structure, bylaws, 
and operating procedures of the European Bank for Reconstruction and 
Development (EBRD), the Secretary of the Treasury shall vigorously 
seek--
---------------------------------------------------------------------------

          ``(1) establishment of procedures for environmental 
        assessment of all proposed operations with potentially 
        significant environmental impacts;
          ``(2) establishment of an environmental unit with sufficient 
        staff to review proposed operations, monitor compliance with 
        environmental provisions, and provide overall policy guidance;
          ``(3) establishment of procedures for systematic consultation 
        with and involvement of the public and interested 
        nongovernmental organizations, including an opportunity for 
        comment by local communities which may be affected by EBRD 
        operations and establishment of a system of public notification 
        and comment during the development of EBRD policies and 
        operating procedures; and
          ``(4) agreement that a significant portion of the EBRD's 
        funds shall be devoted to projects focused on environmental 
        restoration and protection.''.
                  (A) consult on a regular and timely basis 
                with the Committee on Banking, Finance and 
                Urban Affairs \12\ and the Committee on 
                Appropriations of the House of Representatives, 
                and the Committee on Foreign Relations and the 
                Committee on Appropriations of the Senate;
---------------------------------------------------------------------------
    \12\ Sec. 1(a)(2) of Public Law 104-14 (109 Stat. 186) provided 
that references to the Committee on Banking, Finance and Urban Affairs 
of the House of Representatives shall be treated as referring to the 
Committee on Banking and Financial Services of the House of 
Representatives.
---------------------------------------------------------------------------
                  (B) seek to ensure that procedures and 
                mechanisms are established, including the 
                creation of specific departments or staffs 
                within the Bank, which will allow the Bank to 
                assess the impact of any loans, guarantees, or 
                other activities on the environment and on 
                internationally recognized human rights in 
                borrower countries; and
                  (C) report, through consultation within 90 
                days after the date of the enactment of this 
                Act, to the Committees specified in 
                subparagraph (A) on the progress of efforts to 
                create such procedures and mechanisms.
                   g. North American Development Bank

Partial text of Public Law 103-182 [North American Free Trade Agreement 
 Implementation Act; H.R. 3450], 107 Stat. 2057, approved December 8, 
                                  1993

      AN ACT To implement the North American Free Trade Agreement.

    Be it enacted by the Senate and House of Representatives of 
the United States of American in Congress assembled,
          * * * * * * *

 TITLE V--NAFTA TRANSITIONAL ADJUSTMENT ASSISTANCE AND OTHER PROVISIONS

          * * * * * * *

      Subtitle D--Implementation of NAFTA Supplemental Agreements

          * * * * * * *

     PART 2--NORTH AMERICAN DEVELOPMENT BANK AND RELATED PROVISIONS

SEC. 541.\1\ NORTH AMERICAN DEVELOPMENT BANK.

    (a) Acceptance of Membership.--The President is hereby 
authorized to accept membership for the United States in the 
North American Development Bank (hereafter in this part 
referred to as the ``Bank'') provided for in Chapter II of the 
Border Environment Cooperation Agreement (hereafter in this 
part referred to as the ``Cooperation Agreement'').
---------------------------------------------------------------------------
    \1\ 22 U.S.C. 290m. See also Executive Order 12916 (May 13, 1994; 
59 F.R. 25779), implementing the agreement between the United States 
and Mexico to establish the NADB.
---------------------------------------------------------------------------
    (b) Subscription of Stock.--
          (1) Subscription authority.--
                  (A) In general.--The Secretary of the 
                Treasury may subscribe on behalf of the United 
                States up to 150,000 shares of the capital 
                stock of the Bank.
                  (B) Effectiveness of subscription.--Except as 
                provided in paragraph (3), any such 
                subscription shall be effective only to such 
                extent or in such amounts as are provided in 
                advance in appropriations Acts.
          (2) Limitations on authorization of appropriations.--
        For payment by the Secretary of the Treasury of the 
        subscription of the United States for shares described 
        in paragraph (1), there are authorized to be 
        appropriated $1,500,000,000 ($225,000,000 of which may 
        be used for paid-in capital and $1,275,000,000 of which 
        may be used for callable capital) without fiscal year 
        limitation.\2\
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    \2\ Appropriations for the U.S. subscription were provided in the 
following amounts and Public Laws: fiscal year 1995--$375 million 
($56.25 million paid-in capital; $318.75 callable capital) (Public Law 
103-182); fiscal year 1996--$375 million ($56.25 million paid-in 
capital; $318.75 million callable capital) (Public Law 104-107); fiscal 
year 1997--$375 million ($56.0 million paid-in capital; $318.75 million 
callable capital) (Public Law 104-208), fiscal year 1998--$375 million 
($56.5 million paid-in capital; $318.75 callable capital) (Public Law 
105-118).
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          (3) Funding; limitation on callable capital 
        subscriptions.--
                  (A) Funding.--For fiscal year 1995, the 
                Secretary of the Treasury shall pay to the Bank 
                out of any sums in the Treasury not otherwise 
                appropriated the sum of $56,250,000 for the 
                paid-in portion of the United States share of 
                the capital stock of the Bank, 10 percent of 
                which may be transferred by the Bank to the 
                President pursuant to section 543 to pay for 
                the cost of direct and guaranteed Federal 
                loans.
                  (B) Limitation on callable capital 
                subscriptions.--For fiscal year 1995, the 
                Secretary of the Treasury shall subscribe to 
                the callable capital portion of the United 
                States share of the capital stock of the Bank 
                in an amount not to exceed $318,750,000.
          (4) Disposition of net income distributed by the 
        facility.--Any payment made to the United States by the 
        Bank as a distribution of net income shall be covered 
        into the Treasury as a miscellaneous receipt.
    (c) Compensation of Board Members.--No person shall be 
entitled to receive any salary or other compensation from the 
Bank or the United States for services as a Board member.
    (d) Applicability of Bretton Woods Agreements Act.--The 
provisions of section 4 of the Bretton Woods Agreements Act 
shall apply with respect to the Bank to the same extent as with 
respect to the International Bank for Reconstruction and 
Development and the International Monetary Fund.
    (e) Restrictions.--Unless authorized by law, neither the 
President nor any person or agency shall, on behalf of the 
United States--
          (1) subscribe to additional shares of stock of the 
        Bank;
          (2) vote for or agree to any amendment of the 
        Cooperation Agreement which increases the obligations 
        of the United States, or which changes the purpose or 
        functions of the Bank; or
          (3) make a loan or provide other financing to the 
        Bank.
    (f) Federal Reserve Banks as Depositories.--Any Federal 
Reserve bank that is requested to do so by the Bank shall act 
as its depository or as its fiscal agent, and the Board of 
Governors of the Federal Reserve System shall supervise and 
direct the carrying out of these functions by the Federal 
Reserve banks.
    (g) Jurisdiction of United States Courts and Enforcement of 
Arbitral Awards.--For the purpose of any civil action which may 
be brought within the United States, its territories or 
possessions, or the Commonwealth of Puerto Rico, by or against 
the Bank in accordance with the Cooperation Agreement, 
including an action brought to enforce an arbitral award 
against the Bank, the Bank shall be deemed to be an inhabitant 
of the Federal judicial district in which its principal office 
within the United States or its agency appointed for the 
purpose of accepting service or notice of service is located, 
and any such action to which the Bank shall be a party shall be 
deemed to arise under the laws of the United States, and the 
district courts of the United States, including the courts 
enumerated in section 460 of title 28, United States Code, 
shall have original jurisdiction of any such action. When the 
Bank is a defendant in any action in a State court, it may at 
any time before trial remove the action into the appropriate 
district court of the United States by following the procedure 
for removal provided in section 1446 of title 28, United States 
Code.
    (h) Exemption From Securities Laws for Certain Securities 
Issued by the Bank; Reports Required.--
          (1) Exemptions from limitations and restrictions on 
        the power of national banking associations to deal in 
        and underwrite investment securities of the bank.--The 
        seventh sentence of the seventh undesignated paragraph 
        of section 5136 of the Revised Statutes of the United 
        States (12 U.S.C. 24), is amended by inserting ``the 
        North American Development Bank,'' after ``Inter-
        American Development Bank,''.
          (2) Exemption from securities laws for certain 
        securities issued by the bank; reports required.--Any 
        securities issued by the Bank (including any guarantee 
        by the Bank, whether or not limited in scope) in 
        connection with the raising of funds for inclusion in 
        the Bank's capital resources as defined in Section 4 of 
        Article II of Chapter II of the Cooperation Agreement, 
        and any securities guaranteed by the Bank as to both 
        the principal and interest to which the commitment in 
        Section 3(d) of Article II of Chapter II of the 
        Cooperation Agreement is expressly applicable, shall be 
        deemed to be exempted securities within the meaning of 
        section 3(a)(2) of the Securities Act of 1933 (15 
        U.S.C. 77c), and section 3(a)(12) of the Securities 
        Exchange Act of 1934 (15 U.S.C. 78c). The Bank shall 
        file with the Securities and Exchange Commission such 
        annual and other reports with regard to such securities 
        as the Commission shall determine to be appropriate in 
        view of the special character of the Bank and its 
        operations and necessary in the public interest or for 
        the protection of investors.
          (3) Authority of securities and exchange commission 
        to suspend exemption; reports to the congress.--The 
        Securities and Exchange Commission, acting in 
        consultation with the National Advisory Council on 
        International Monetary and Financial Problems, is 
        authorized to suspend the provisions of paragraph (2) 
        at any time as to any or all securities issued or 
        guaranteed by the Bank during the period of such 
        suspension. The Commission shall include in its annual 
        reports to Congress such information as it shall deem 
        advisable with regard to the operations and effect of 
        this subsection and in connection therewith shall 
        include any views submitted for such purpose by any 
        association of dealers registered with the Commission.

SEC. 542.\3\ STATUS, IMMUNITIES, AND PRIVILEGES.

    Article VIII of Chapter II of the Cooperation Agreement 
shall have full force and effect in the United States, its 
territories and possessions, and the Commonwealth of Puerto 
Rico, upon entry into force of the Cooperation Agreement.
---------------------------------------------------------------------------
    \3\ 22 U.S.C. 290m-1.
---------------------------------------------------------------------------

SEC. 543.\4\ COMMUNITY ADJUSTMENT AND INVESTMENT PROGRAM.

    (a) The President.--(1) The President may enter into an 
agreement with the Bank that facilitates implementation by the 
President of a program for community adjustment and investment 
in support of the Agreement pursuant to chapter II of the 
Cooperation Agreement (hereafter in this section referred to as 
the ``community adjustment and investment program'').
---------------------------------------------------------------------------
    \4\ 22 U.S.C. 290m-2.
---------------------------------------------------------------------------
    (2) The President may receive from the Bank 10 percent of 
the paid-in capital actually paid to the Bank by the United 
States for the President to carry out, without further 
appropriations, through Federal agencies and their loan and 
loan guarantee programs, the community adjustment and 
investment program, pursuant to an agreement between the 
President and the Bank.
    (3) The President may select one or more Federal agencies 
that make loans or guarantee the repayment of loans to assist 
in carrying out the community adjustment and investment 
program, and may transfer the funds received from the Bank to 
such agency or agencies for the purpose of assisting in 
carrying out the community adjustment and investment program.
    (4)(A) Each Federal agency selected by the President to 
assist in carrying out the community adjustment and investment 
program shall use the funds transferred to it by the President 
from the Bank to pay for the costs of direct and guaranteed 
loans, as defined in section 502 of the Congressional Budget 
Act of 1974, and, as appropriate, other costs associated with 
such loans, all subject to the restrictions and limitations 
that apply to such agency's existing loan or loan guarantee 
program.
    (B) Funds transferred to an agency under subparagraph (A) 
shall be in addition to the amount of funds authorized in any 
appropriations Act to be expended by that agency for its loan 
or loan guarantee program.
    (5) The President shall--
          (A) establish guidelines for the loans and loan 
        guarantees to be made under the community adjustment 
        and investment program;
          (B) endorse the grants made by the Bank for the 
        community adjustment and investment program, as 
        provided in Article I, section 1(b), and Article III, 
        section 11(a), of Chapter II of the Cooperation 
        Agreement; and
          (C) endorse any loans or guarantees made by the Bank 
        for the community adjustment and investment program, as 
        provided in Article I, section 1(b), and Article III, 
        section 6 (a) and (c) of Chapter II of the Cooperation 
        Agreement.
    (b) Advisory Committee.--
          (1) Establishment.--The President shall establish an 
        advisory committee to be known as the Community 
        Adjustment and Investment Program Advisory Committee 
        (in this section referred to as the ``Advisory 
        Committee'') in accordance with the provisions of the 
        Federal Advisory Committee Act.
          (2) Membership.--
                  (A) In general.--The Advisory Committee shall 
                consist of 9 members of the public, appointed 
                by the President, who, collectively, 
                represent--
                          (i) community groups whose 
                        constituencies include low-income 
                        families;
                          (ii) any scientific, professional, 
                        business, nonprofit, or public interest 
                        organization or association which is 
                        neither affiliated with, nor under the 
                        direction of, a government;
                          (iii) for-profit business interests; 
                        and
                          (iv) other appropriate entities with 
                        relevant expertise.
                  (B) Representation.--Each of the categories 
                described in clauses (i) through (iv) of 
                subparagraph (A) shall be represented by no 
                fewer than 1 and no more than 3 members of the 
                Advisory Committee.
          (3) Function.--It shall be the function of the 
        Advisory Committee--
                  (A) to provide advice to the President 
                regarding the implementation of the community 
                adjustment and investment program, including 
                advice on the guidelines to be established by 
                the President for the loans and loan guarantees 
                to be made pursuant to subsection (a)(4), 
                advice on identifying the needs for adjustment 
                assistance and investment in support of the 
                goals and objectives of the Agreement, taking 
                into account economic and geographic 
                considerations, and advice on such other 
                matters as may be requested by the President; 
                and
                  (B) to review on a regular basis the 
                operation of the community adjustment and 
                investment program and provide the President 
                with the conclusions of its review.
          (4) Terms of members.--
                  (A) In general.--Each member of the Advisory 
                Committee shall serve at the pleasure of the 
                President.
                  (B) Chairperson.--The President shall appoint 
                a chairperson from among the members of the 
                Advisory Committee.
                  (C) Meetings.--The Advisory Committee shall 
                meet at least annually and at such other times 
                as requested by the President or the 
                chairperson. A majority of the members of the 
                Advisory Committee shall constitute a quorum.
                  (D) Reimbursement for expenses.--The members 
                of the Advisory Committee may receive 
                reimbursement for travel, per diem, and other 
                necessary expenses incurred in the performance 
                of their duties, in accordance with the Federal 
                Advisory Committee Act.
                  (E) Staff and facilities.--The Advisory 
                Committee may utilize the facilities and 
                services of employees of any Federal agency 
                without cost to the Advisory Committee, and any 
                such agency is authorized to provide services 
                as requested by the Committee.
    (c) Ombudsman.--The President shall appoint an ombudsman to 
provide the public with an opportunity to participate in the 
carrying out of the community adjustment and investment 
program.
          (1) Function.--It shall be the function of the 
        ombudsman--
                  (A) to establish procedures for receiving 
                comments from the general public on the 
                operation of the community adjustment and 
                investment program, to receive such comments, 
                and to provide the President with summaries of 
                the public comments; and
                  (B) to perform an independent inspection and 
                programmatic audit of the operation of the 
                community adjustment and investment program and 
                to provide the President with the conclusions 
                of its investigation and audit.
          (2) Authorization of appropriations.--There are 
        authorized to be appropriated to the President, or such 
        agency as the President may designate, $25,000 for 
        fiscal year 1995 and for each fiscal year thereafter, 
        for the costs of the ombudsman.
    (d) Reporting Requirement.--The President shall submit to 
the appropriate congressional committees an annual report on 
the community adjustment and investment program (if any) that 
is carried out pursuant to this section. Each report shall 
state the amount of the loans made or guaranteed during the 12-
month period ending on the day before the date of the report.

SEC. 544.\5\ DEFINITION.

    For purposes of this part, the term ``Border Environment 
Cooperation Agreement'' (referred to in this part as the 
``Cooperation Agreement'') means the November 1993 Agreement 
Between the Government of the United States of America and the 
Government of the United Mexican States Concerning the 
Establishment of a Border Environment Cooperation Commission 
and a North American Development Bank.
---------------------------------------------------------------------------
    \5\ 22 U.S.C. 290m-3.
---------------------------------------------------------------------------
          * * * * * * *
h. Bank for Economic Cooperation and Development in the Middle East and 
                            North Africa Act

 Title VII of sec. 101(c) of Public Law 104-208 [Omnibus Consolidated 
 Appropriations Act for Fiscal Year 1997; H.R. 3610], 110 Stat. 3009, 
                      approved September 30, 1996

                TITLE VII--MIDDLE EAST DEVELOPMENT BANK

SEC. 701.\1\ SHORT TITLE.

    This title may be cited as the ``Bank for Economic 
Cooperation and Development in the Middle East and North Africa 
Act.''.
---------------------------------------------------------------------------
    \1\ 22 U.S.C. 290o note.
---------------------------------------------------------------------------

SEC. 702.\2\ ACCEPTANCE OF MEMBERSHIP.

    The President is hereby authorized to accept membership for 
the United States in the Bank for Economic Cooperation and 
Development in the Middle East and North Africa (in this title 
referred to as the ``Bank'') provided for by the agreement 
establishing the Bank (in this title referred to as the 
``Agreement''), signed on May 31, 1996.
---------------------------------------------------------------------------
    \2\ 22 U.S.C. 290o.
---------------------------------------------------------------------------

SEC. 703.\3\ GOVERNOR AND ALTERNATE GOVERNOR.

    (a) Appointment.--At the inaugural meeting of the Board of 
Governors of the Bank, the Governor and the alternate for the 
Governor of the International Bank for Reconstruction and 
Development, appointed pursuant to section 3 of the Bretton 
Woods Agreements Act, shall serve ex-officio as a Governor and 
the alternate for the Governor, respectively, of the Bank. The 
President, by and with the advice and consent of the Senate, 
shall appoint a Governor of the Bank and an alternate for the 
Governor.
---------------------------------------------------------------------------
    \3\ 22 U.S.C. 290o-1.
---------------------------------------------------------------------------
    (b) Compensation.--Any person who serves as a Governor of 
the Bank or as an alternate for the Governor may not receive 
any salary or other compensation from the United States by 
reason of such service.

SEC. 704.\4\ APPLICABILITY OF CERTAIN PROVISIONS OF THE BRETTON WOODS 
                    AGREEMENTS ACT.

    Section 4 of the Bretton Woods Agreements Act shall apply 
to the Bank in the same manner in which such section applies to 
the International Bank for Reconstruction and Development and 
the International Monetary Fund.
---------------------------------------------------------------------------
    \4\ 22 U.S.C. 290o-2.
---------------------------------------------------------------------------

SEC. 705.\5\ FEDERAL RESERVE BANKS AS DEPOSITORIES.

    Any Federal Reserve Bank which is requested to do so by the 
Bank may act as its depository, or as its fiscal agent, and the 
Board of Governors of the Federal Reserve System shall exercise 
general supervision over the carrying out of these functions.
---------------------------------------------------------------------------
    \5\ 22 U.S.C. 290o-3.
---------------------------------------------------------------------------

SEC. 706.\6\ SUBSCRIPTION OF STOCK.

    (a) Subscription Authority.--
---------------------------------------------------------------------------
    \6\ 22 U.S.C. 290o-4.
---------------------------------------------------------------------------
          (1) In general.--The Secretary of the Treasury may 
        subscribe on behalf of the United States to not more 
        than 7,011,270 shares of the capital stock of the Bank.
          (2) Effectiveness of subscription commitment.--Any 
        commitment to make such subscription shall be effective 
        only to such extent or in such amounts as are provided 
        for in advance by appropriations Acts.
    (b) Limitations on Authorization of Appropriations.--For 
payment by the Secretary of the Treasury of the subscription of 
the United States for shares described in subsection (a), there 
are authorized to be appropriated $1,050,007,800 without fiscal 
year limitation.
    (c) Limitations on Obligation of Appropriated Amounts for 
Shares of Capital Stock.--
          (1) Paid-in capital stock.--
                  (A) In general.--Not more than $105,000,000 
                of the amounts appropriated pursuant to 
                subsection (b) may be obligated for 
                subscription to shares of paid-in capital 
                stock.
                  (B) Fiscal year 1997.--Not more than 
                $52,500,000 of the amounts appropriated 
                pursuant to subsection (b) for fiscal year 1997 
                may be obligated for subscription to shares of 
                paid-in capital stock.
          (2) Callable capital stock.--Not more than 
        $787,505,852 of the amounts appropriated pursuant to 
        subsection (b) may be obligated for subscription to 
        shares of callable capital stock.
    (d) Disposition of Net Income Distributions by the Bank.--
Any payment made to the United States by the Bank as a 
distribution of net income shall be covered into the Treasury 
as a miscellaneous receipt.

SEC. 707.\7\ JURISDICTION AND VENUE OF CIVIL ACTIONS BY OR AGAINST THE 
                    BANK.

    (a) Jurisdiction.--The United States district courts shall 
have original and exclusive jurisdiction of any civil action 
brought in the United States by or against the Bank.
---------------------------------------------------------------------------
    \7\ 22 U.S.C. 290o-5.
---------------------------------------------------------------------------
    (b) Venue.--For purposes of section 1391(b) of title 28, 
United States Code, the Bank shall be deemed to be a resident 
of the judicial district in which the principal office of the 
Bank in the United States, or its agent appointed for the 
purpose of accepting service or notice of service, is located.

SEC. 708.\8\ EFFECTIVENESS OF AGREEMENT.

    The Agreement shall have full force and effect in the 
United States, its territories and possessions, and the 
Commonwealth of Puerto Rico, upon acceptance of membership by 
the United States in the Bank and the entry into force of the 
Agreement.
---------------------------------------------------------------------------
    \8\ 22 U.S.C. 290o-6.
---------------------------------------------------------------------------

SEC. 709.\9\ EXEMPTION FROM SECURITIES LAWS FOR CERTAIN SECURITIES 
                    ISSUED BY THE BANK; REPORTS REQUIRED.

    (a) Exemption from Securities Laws; Reports to Securities 
and Exchange Commission.--Any securities issued by the Bank 
(including any guaranty by the Bank, whether or not limited in 
scope) in connection with borrowing of funds, or the guarantee 
of securities as to both principal and interest, shall be 
deemed to be exempted securities within the meaning of section 
3(a)(2) of the Securities Act of 1933 and section 3(a)(12) of 
the Securities Exchange Act of 1934. The Bank shall file with 
the Securities and Exchange Commission such annual and other 
reports with regard to such securities as the Commission shall 
determine to be appropriate in view of the special character of 
the Bank and its operations and necessary in the public 
interest or for the protection of investors.
---------------------------------------------------------------------------
    \9\ 22 U.S.C. 290o-7.
---------------------------------------------------------------------------
    (b) Authority of Securities and Exchange Commission to 
Suspend Exemption; Reports to the Congress.--The Securities and 
Exchange Commission, acting in consultation with such agency or 
officer as the President shall designate, may suspend the 
provisions of subsection (a) at any time as to any or all 
securities issued or guaranteed by the Bank during the period 
of such suspension. The Commission shall include in its annual 
reports to the Congress such information as it shall deem 
advisable with regard to the operations and effect of this 
section.

SEC. 710. TECHNICAL AMENDMENTS.

    (a) Annual Report Required on Participation of the United 
States in the Bank.--Section 1701(c)(2) of the International 
Financial Institutions Act (22 U.S.C. 262r(c)(2)) is amended by 
inserting ``Bank for Economic Cooperation and Development in 
the Middle East and North Africa,'' after ``Inter-American 
Development Bank''.
    (b) Exemption from Limitations and Restrictions on Power of 
National, Banking Associations To Deal in and Underwrite 
Investment Securities of the Bank.--The seventh sentence of 
paragraph 7 of section 5136 of the Revised Statutes of the 
United States (12 U.S.C. 24) is amended by inserting ``Bank for 
Economic Cooperation and Development in the Middle East and 
North Africa,'' after ``the Inter-American Development Bank''.
    (c) Benefits for United States Citizen-Representatives to 
the Bank.--Section 51 of Public Law 91-599 (22 U.S.C. 276c-2) 
is amended by inserting ``the Bank for Economic Cooperation and 
Development in the Middle East and North Africa,'' after ``the 
Inter-American Development Bank,''.
           2. Authorization for Increased U.S. Participation

          a. International Development and Finance Act of 1989

    Partial text of Public Law 101-240 [H.R. 2494], 103 Stat. 2492, 
                       approved December 19, 1989


          Note.--This Act consists largely of amendments to 
        Public Laws governing international financial 
        institutions. Such amendments have been incorporated 
        into those Public Laws at the appropriate places.



 AN ACT To reauthorize the Export-Import Bank tied aid credit fund and 
pilot interest subsidy program, to provide for the participation of the 
United States in a replenishment of the Inter-American Development Bank 
and in the Enhanced Structural Adjustment Facility of the International 
Monetary Fund, to improve the safety and soundness of the United States 
 banking system and encourage the reduction of the debt burdens of the 
 highly indebted countries, to encourage the multilateral development 
 banks to engage in environmentally sustainable lending practices and 
 give greater priority to poverty alleviation, and for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

SECTION 1.\1\ SHORT TITLE; TABLE OF CONTENTS.

  (a) Short Title.--This Act may be cited as the 
``International Development and Finance Act of 1989''.
---------------------------------------------------------------------------
    \1\ 22 U.S.C. 2151 note.
---------------------------------------------------------------------------
  (b) Table of Contents.--* * *

               TITLE I--EXPORT-IMPORT BANK ACT AMENDMENTS

SEC. 101. EXPORT-IMPORT BANK ACT AMENDMENTS. * * *

  (e) Report With Respect to Loan Loss Reserves.--Before the 
end of the 6-month period beginning on the date of the 
enactment of this section, the Export-Import Bank of the United 
States shall submit a report to the Congress explaining why the 
Bank has not established a loan loss reserve. In preparing such 
report, the Bank shall--
          (1) determine if the establishment of a loan loss 
        reserve would result in the unproductive 
        characterization of the creditworthiness of certain 
        types of borrowers;
          (2) consult with the appropriate Executive branch 
        entities to determine the budgeting and financial 
        management implications of establishing a loan loss 
        reserve;
          (3) review whether, and the extent to which similar 
        bilateral and multilateral lending institutions make 
        provision against loan losses; and
          (4) report on the steps needed to return the Bank to 
        profitability.
          * * * * * * *

SEC. 103.\2\ EXPORT-IMPORT PROGRAMS TO THE PEOPLE'S REPUBLIC OF CHINA 
                    PROHIBITED UNLESS CERTAIN CONDITIONS ARE MET.

  (a) Notwithstanding any other provision of law and subject to 
the provisions of subsections (b) and (c), the Export-Import 
Bank of the United States shall not finance any trade with, nor 
extend any loan, credit, credit guarantee, insurance or 
reinsurance to the People's Republic of China.
---------------------------------------------------------------------------
    \2\ 12 U.S.C. 635 note.
---------------------------------------------------------------------------
  (b) The prohibitions described in subsection (a) of this 
section shall not apply to food or agricultural commodities.
  (c) The President may waive the prohibitions in subsection 
(a) if he makes a report to Congress either--
          (1) that the Government of the People's Republic of 
        China has made progress on a program of political 
        reform throughout the country, as well as in Tibet, 
        which includes--
                  (A) lifting of martial law;
                  (B) halting of executions and other reprisals 
                against individuals for the nonviolent 
                expression of their political beliefs;
                  (C) release of political prisoners;
                  (D) increased respect for internationally 
                recognized human rights, including freedom of 
                expression, the press, assembly, and 
                association; and
                  (E) permitting a freer flow of information, 
                including an end to the jamming of Voice of 
                America and greater access for foreign 
                journalists; or
          (2) \3\ it is in the national interest of the United 
        States to terminate a suspension under subsection (a).
---------------------------------------------------------------------------
    \3\ On Dec. 19, 1989 (same date as enactment of this Act), the 
President reported to the Speaker of the House of Representatives and 
President of the Senate the following:
    ``Pursuant to the authority vested in me by subsection 103(c)(2) of 
the International Development and Finance Act of 1989 (the `Act'), and 
as President of the United States, I hereby report that it is in the 
national interest of the United States to terminate the suspensions 
under subsection 103(a) of the Act of programs of the Export-Import 
Bank of the United States for the People's Republic of China. I am 
thereby waiving the prohibitions on the Export-Import Bank's financing 
any trade with, and on extending any loan, credit, credit guarantee, 
insurance or reinsurance to the People's Republic of China as provided 
in subsection 103(a).'' [Weekly Compilation of Presidential Documents. 
Dec. 25, 1989, vol. 235, no. 51, p. 1973.]
---------------------------------------------------------------------------

             TITLE II--INTER-AMERICAN DEVELOPMENT BANK \4\

          * * * * * * *
---------------------------------------------------------------------------
    \4\ Secs. 201-204 amended the Inter-American Development Bank Act.
---------------------------------------------------------------------------

SEC. 205. SENSE OF THE CONGRESS THAT INTER-AMERICAN DEVELOPMENT BANK 
                    LOANS SHOULD REDUCE DEPENDENCE ON ILLICIT 
                    NARCOTICS.

  It is the sense of the Congress that, whenever possible and 
appropriate, loans made by the Inter-American Development Bank 
during the 4-year period beginning on January 1, 1990, should 
promote economic development which will reduce the growing 
economic dependence on the production and transit of illicit 
narcotics in certain borrower countries.
          * * * * * * *

              TITLE IV--INTERNATIONAL DEBT PROVISIONS \5\

SEC. 401. SHORT TITLE.

  This title may be cited as the ``Foreign Debt Reserving Act 
of 1989''.
---------------------------------------------------------------------------
    \5\ 12 U.S.C. 3901 note.
---------------------------------------------------------------------------

SEC. 402.\6\ ADDITIONAL RESERVE REQUIREMENTS.

  (a) Findings.--The Congress finds that--
---------------------------------------------------------------------------
    \6\ 12 U.S.C. 3904a note.
---------------------------------------------------------------------------
          (1) since the adoption of the International Lending 
        Supervision Act of 1983, the credit quality of loans by 
        United States banking institutions to highly indebted 
        countries has deteriorated and the prospects for full 
        repayment of such loans have diminished;
          (2) in general during this period, the level of 
        country exposure and transfer risk associated with 
        loans by United States banking institutions to highly 
        indebted countries has not been adequately reflected in 
        the reserve levels established by many individual 
        United States banking institutions or the reserve 
        requirements imposed by Federal banking agencies 
        pursuant to such Act;
          (3) during the last 3 years and particularly in 
        recent months, United States banking institutions have 
        increased their reserves for possible losses from loans 
        to highly indebted countries but such reserves remain, 
        in some cases, significantly lower than reserves 
        established by banking institutions in a number of 
        foreign countries and may not be adequate to deal with 
        potential risks; and
          (4) in order to fulfill the purposes of such Act, the 
        Federal banking agencies should take a more active role 
        in reviewing reserve levels established by United 
        States banking institutions for potential losses from 
        loans to highly indebted countries and in requiring 
        appropriate levels of both special and general reserves 
        to reflect the increased risk of such loans.
  (b) \7\ In General.--* * *
---------------------------------------------------------------------------
    \7\ Sec. 402(b) amended the International Lending Supervision Act 
of 1983 (12 U.S.C. 3901 et seq.) by inserting a new sec. 905A.
---------------------------------------------------------------------------

SEC. 403. REPORT ON MARK TO MARKET ACCOUNTING.

  (a) Report Required.--Before the end of the 90-day period 
beginning on the date of the enactment of this section, the 
Board of Governors of the Federal Reserve System, the Federal 
Deposit Insurance Corporation, and the Comptroller of the 
Currency shall jointly report to the Committee on Banking, 
Finance and Urban Affairs \8\ of the House of Representatives 
and the Committee on Banking, Housing, and Urban Affairs of the 
Senate on the merits of mark to market accounting treatment as 
an appropriate accounting treatment for the sovereign debt of 
highly indebted countries which is held by United States 
commercial banks.
---------------------------------------------------------------------------
    \8\ Sec. 1(a)(2) of Public Law 104-14 (109 Stat. 186) provided that 
references to the Committee on Banking, Finance and Urban Affairs of 
the House of Representatives shall be treated as referring to the 
Committee on Banking and Financial Services of the House of 
Representatives.
---------------------------------------------------------------------------
  (b) Contents of Report.--The report required under subsection 
(a) shall include--
          (1) a discussion of the merits of mark to market 
        accounting treatment as the appropriate accounting 
        treatment for the sovereign debt of highly indebted 
        countries which is held by United States commercial 
        banks; and
          (2) a description of the factors which the Board of 
        Governors of the Federal Reserve System, the Federal 
        Deposit Insurance Corporation, and the Comptroller of 
        the Currency will consider in future assessments of the 
        applicability of mark to market accounting to such 
        debt.

SEC. 404. STUDY ON ELIMINATION OF CAPITAL FLIGHT.

  (a) In General.--The Secretary of the Treasury shall instruct 
the United States Executive Director of the International 
Monetary Fund to propose that the Fund conduct a study on 
multilateral means by which the banking industry might help 
reverse capital flight from countries which are engaged in debt 
restructuring, including--
          (1) the feasibility of disclosing the names of 
        account holders whose accounts may consist of flight 
        capital, and the balances of such accounts;
          (2) the usefulness of such disclosures in deterring 
        the creation and maintenance of such accounts, and how 
        such deterrence would operate or be defeated;
          (3) the extent to which any such information is 
        gathered and to whom such information is made 
        available;
          (4) the receptiveness of such countries to the 
        disclosure of such information;
          (5) the difficulties in, and the cost of, collecting 
        such information and overcoming legal obstacles used to 
        disguise the true ownership of such deposits, including 
        the feasibility of using the threat of confiscatory 
        penalties to prevent the disguising of the ownership of 
        deposits;
          (6) the usefulness of using taxes as a means to 
        encourage the repatriation of flight capital; and
          (7) the applicability (if any) of efforts to 
        facilitate the identification, tracing, seizure, and 
        forfeiture of drug crime proceeds, and to prevent the 
        use of the banking system and of financial institutions 
        for the purpose of money laundering.
  (b) Flight Capital Defined.--As used in subsection (a), the 
term ``flight capital'' means any asset--
          (1)(A) which is deposited in a banking institution 
        for safekeeping or investment purposes; or
          (B) for which a financial institution serves as a 
        conduit, an agent, or a fiduciary in a transaction; and
          (2) the owner of which may be a legal resident of a 
        country other than the country in which the institution 
        is located.
  (c) Report to the Congress.--Not later than the end of the 
180-day period beginning on the date of the enactment of this 
Act, the Secretary of the Treasury shall submit to the Chairman 
of the Committee on Banking, Finance and Urban Affairs \8\ of 
the House of Representatives, and the Committee on Banking, 
Housing, and Urban Affairs of the Senate a report on the 
actions taken and studies completed as required by subsection 
(a).

SEC. 405. FACTORS TO BE TAKEN INTO ACCOUNT IN DEVELOPING UNITED STATES 
                    POLICY TOWARD DEBT REDUCTION FOR CERTAIN HIGHLY 
                    INDEBTED COUNTRIES; REPORT TO THE CONGRESS.

  (a) Factors To Be Taken Into Account.--In developing the 
policy of the United States Government with respect to debt 
reduction for each highly indebted country which has a 
substantial share of the export market for 1 or more 
agricultural commodities the export market for which the United 
States also has a substantial share, the Secretary of the 
Treasury shall consider among other factors the effects of such 
policy on:
          (1) United States exports of such commodities.
          (2) The world price of such commodities.
          (3) Domestic agricultural production and land 
        distribution patterns in such country.
          (4) The volume of exports from such country of 
        agricultural commodities the export market for which 
        such country has a substantial share of.
          (5) Basic nutrition levels in such country.
  (b) Report to the Congress.--Before the end of the 12-month 
period beginning on the date of the enactment of this section, 
the Secretary of the Treasury shall submit a report to the 
Congress on the potential impact of such policy on such factors 
in the highly indebted countries.
  (c) Highly Indebted Country Defined.--As used in this 
section, the term ``highly indebted country'' means any country 
designated as a ``Highly Indebted Country'' in the annual World 
Debt Tables most recently published by the International Bank 
for Reconstruction and Development before the date of the 
enactment of this section.

SEC. 406. SENSE OF THE CONGRESS THAT AGREEMENTS TO REDUCE DEBT BURDEN 
                    SHOULD BE ACCOMPANIED BY TRADE LIBERALIZATION.

  (a) Findings.--The Congress finds that--
          (1) Third World debtor nations have often been forced 
        to raise trade barriers in order to accumulate foreign 
        exchange surpluses to repay debt obligations;
          (2) trade flows between such nations and the United 
        States have lessened due to the debt crisis;
          (3) the reduction of trade barriers would benefit the 
        world economy and promote economic growth; and
          (4) the Brady plan encourages debt reduction 
        agreements on behalf of domestic financial 
        institutions.
  (b) Sense of the Congress.--It is the sense of Congress that 
the Secretary of the Treasury should continue to encourage 
trade liberalization as an element of economic reform programs.

SEC. 407.\9\ LINKAGE OF DEBT REDUCTION LOANS TO REDUCTION IN DRUG 
                    TRAFFICKING; REPORT TO CONGRESS.

  (a) Findings.--The Congress finds that--
---------------------------------------------------------------------------
    \9\ 22 U.S.C. 2291 note.
---------------------------------------------------------------------------
          (1) the Brady Initiative is a positive step, 
        recognizing as it does the need for reducing the debt 
        and debt service burdens of the indebted developing 
        countries;
          (2) the multilateral development banks should, as 
        part of this debt reduction process, encourage such 
        countries to further reform their economies by reducing 
        their dependence on production and trafficking of 
        illicit narcotics; and
          (3) reduction of debt should relieve some of the 
        financial burden on these countries, and thereby enable 
        them to rely on legal income-generating activities.
  (b) Instruction of United States Executive Directors.--The 
Secretary of the Treasury shall instruct the United States 
Executive Director of each multilateral development bank that, 
in voting with respect to loans from the multilateral 
development bank to reduce the debt and debt burden of 
borrowing countries which are major producers, processors, 
traffickers, or exporters of illegal drugs to the United 
States, the Executive Director shall give preference to those 
countries which show marked improvement in reducing the volume 
of cultivation, processing, trafficking, and export to the 
United States of illegal drugs. In making a determination under 
the preceding sentence with respect to a country's improvement, 
the Secretary of the Treasury shall consult with the heads of 
the relevant agencies.
  (c) Report to Congress.--The Secretary of the Treasury shall 
include, in the detailed accounting required by section 2018(c) 
of the International Narcotics Control Act of 1986 (22 U.S.C. 
2191 note), relating to multilateral development bank 
assistance for drug eradication and crop substitution programs, 
an additional discussion of the steps taken and the progress 
made in implementing the goals set forth in subsection (b) of 
this section, and further steps needed to secure the 
achievement of these goals.
  (d) Definitions.--As used in this section--
          (1) the term ``multilateral development bank'' 
        includes the International Bank for Reconstruction and 
        Development, the International Development Association, 
        the International Finance Corporation, the Inter-
        American Development Bank, the Inter-American 
        Investment Corporation, the Asian Development Bank, the 
        African Development Bank, and the African Development 
        Fund; and
          (2) the term ``illegal drugs'' means ``narcotic and 
        psychotropic drugs and other controlled substances'', 
        as defined in section 481(e)(3) \10\ of the Foreign 
        Assistance Act of 1961 (22 U.S.C. 2291(i)(3)).
---------------------------------------------------------------------------
    \10\ Formerly read ``section 481(i)(3)''. Sec. 6 of the 
International Narcotics Control Act of 1992 (Public Law 102-583; 106 
Stat. 4932) provided that: ``Any reference in any provision of law 
enacted before the date of enactment of this Act to section 481(e) or 
481(i) of that Act shall be deemed to be a reference to section 489 or 
section 481(e) * * * respectively''.
---------------------------------------------------------------------------

  TITLE V--ALLEVIATION OF POVERTY; ENVIRONMENTAL PROVISIONS; DEBT-FOR-
       DEVELOPMENT SWAPS; CONSOLIDATION OF REPORTING REQUIREMENTS

                   Subtitle A--Alleviation of Poverty

SEC. 501.\11\ INCREASING THE PRODUCTIVE ECONOMIC PARTICIPATION OF THE 
                    POOR. * * *
---------------------------------------------------------------------------

    \11\ Sec. 501 amended the International Financial Institutions Act, 
redesignating sec. 1613 as 1614 (as added by sec. 206 of this Act), and 
adding a new sec. 1613 (22 U.S.C. 262p-5). Sec. 1614 is further 
redesignated sec. 1617 by sec. 512 of this Act, which also adds new 
secs. 1614-1616.
---------------------------------------------------------------------------

      Subtitle B--International Debt Exchanges and the Environment

SEC. 511. SENSE OF THE CONGRESS RESOLUTION REGARDING ENVIRONMENTAL 
                    POLICY AND INTERNATIONAL DEBT EXCHANGES.

  It is the sense of the Congress that--
          (1) the Secretary of the Treasury should include 
        support for sustainable development and conservation 
        projects when providing a framework for negotiating or 
        facilitating exchanges or reductions of commercial debt 
        of foreign countries; and
          (2) that in assisting or facilitating the reduction 
        of debt of heavily indebted foreign countries, through 
        multilateral institutions such as the International 
        Monetary Fund or the International Bank for 
        Reconstruction and Development, the Secretary of State 
        and the Secretary of the Treasury should--
                  (A) support efforts to provide adequate 
                resources for sustainable development and 
                conservation projects as a component of the 
                restructured commercial bank debt of that 
                country; and
                  (B) in providing such support, seek to assure 
                that--
                          (i) the host government, or a local 
                        nongovernmental organization acting 
                        with the support of the host 
                        government, has identified conservation 
                        or sustainable development projects it 
                        will target for assistance;
                          (ii) there will be in place an 
                        organization, either governmental or 
                        nongovernmental, that will have the 
                        commitment to assure the long-term 
                        viability of the project; and
                          (iii) the allocation of the resources 
                        provided for conservation and 
                        sustainable development projects 
                        through the debt restructuring 
                        agreement is done in a manner that will 
                        not overwhelm or distort economic 
                        conditions in the host country.

SEC. 512.\12\ MULTILATERAL DEVELOPMENT BANKS AND DEBT-FOR-NATURE 
                    EXCHANGES. * * *
---------------------------------------------------------------------------

    \12\ Sec. 512 redesignated sec. 1614 of the International Financial 
Institutions Act (as earlier redesignated by sec. 501 of this Act), as 
sec. 1617, and inserted new secs. 1614-1616.
---------------------------------------------------------------------------

              Subtitle C--Environmental Impact Assessments

SEC. 521.\13\ ASSESSMENT OF ENVIRONMENTAL IMPACT OF PROPOSED 
                    MULTILATERAL DEVELOPMENT BANK ACTIONS. * * *
---------------------------------------------------------------------------

    \13\ Sec. 521 amended title XIII of the International Financial 
Institutions Act by adding a new sec. 1308 (22 U.S.C. 262m-7), 
redesignated as sec. 1307.
---------------------------------------------------------------------------

                 Subtitle D--Debt-for-Development Swaps

SEC. 531.\14\ ENCOURAGEMENT OF DEBT-FOR-DEVELOPMENT SWAPS THROUGH LOCAL 
                    CURRENCY REPAYMENT.

  (a) Statement of Policy.--It is the sense of the Congress 
that--
---------------------------------------------------------------------------
    \14\ 12 U.S.C. 3901 note.
---------------------------------------------------------------------------
          (1) debt-for-development swaps, where payment is made 
        in local currency at the free market rate, serve a 
        useful purpose by providing banking institutions with 
        constructive opportunities for the reduction of the 
        external debt of highly indebted developing countries 
        in a process that involves the participation of 
        private, nonprofit groups in providing a stimulus to 
        the economic and social development of such developing 
        countries;
          (2) debt-for-development swaps provide highly 
        indebted developing countries with a creative method of 
        reducing external debt burdens, while promoting their 
        economic growth and restructuring objectives;
          (3) banking institutions should give careful 
        consideration to engaging in such swaps as one means of 
        strengthening overall loan portfolios through the 
        reduction of high external debt burdens while expanding 
        economic opportunities through private sector 
        initiatives; and
          (4) in order to avoid any bias against such swaps in 
        the regulatory framework applicable to the financial 
        reporting of banking institutions, where payment is 
        made in local currency at the free market rate, 
        appropriate recognition of the fair market exchange 
        value of the currency so received should be made.
  (b) Notification Relating to Local Currency Repayment Through 
Debt-for-Development Swaps.--Before the end of the 6-month 
period beginning on the date of the enactment of this section, 
each appropriate Federal banking agency shall adopt uniform 
guidelines that will effectuate the policy set forth in 
subsection (a) concerning the regulatory framework and 
accounting treatment of debt-for-development swaps involving 
repayment in local currency at the free market rate. For the 
purpose of such guidelines, the impact of such swaps on 
reported loan loss reserves shall be determined by valuing 
currency received in such swaps at fair market exchange value.
  (c) Definitions.--As used in this section:
          (1) Appropriate federal banking agency.--The term 
        ``appropriate Federal banking agency'' has the meaning 
        given such term in section 903(1) of the International 
        Lending Supervision Act of 1983.
          (2) Banking institution.--The term ``banking 
        institution'' has the meaning given such term in 
        section 903(2) of the International Lending Supervision 
        Act of 1983.
          (3) Debt-for-development swap.--The term ``debt-for-
        development swap'' has the meaning given such term in 
        section 1608(b)(2) of the International Financial 
        Institutions Act.
          (4) Highly indebted country.--The term ``highly 
        indebted country'' means any country designated as a 
        ``Highly Indebted Country'' in the annual World Debt 
        Tables most recently published by the International 
        Bank for Reconstruction and Development before the date 
        of the enactment of this section.

      Subtitle E--Consolidation of Certain Reporting Requirements

SEC. 541.\15\ CONSOLIDATION OF CERTAIN REPORTING REQUIREMENTS. * * *
---------------------------------------------------------------------------

    \15\ Sec. 541 amended the International Financial Institutions Act 
by adding new titles XVII, XVIII, and XIX. As these new titles 
consolidate several reporting requirements, sec. 541 also repealed 
duplicative requirements in other legislation relating to international 
financial institutions.
---------------------------------------------------------------------------

                   TITLE VI--MISCELLANEOUS PROVISIONS

SEC. 601. SENSE OF THE CONGRESS THAT THE INTERNATIONAL BANK FOR 
                    RECONSTRUCTION AND DEVELOPMENT AND THE 
                    INTERNATIONAL MONETARY FUND SHOULD EXPEDITIOUSLY 
                    ACT UPON LOAN REQUESTS FROM POLAND.

  It is the sense of the Congress that, based on the 
liberalization of Poland's economic system and the opening of 
its economic system to market forces, the Secretary of the 
Treasury should instruct the United States Executive Directors 
of the International Bank for Reconstruction and Development 
and of the International Monetary Fund to urge upon their 
colleagues that their respective institutions move as 
expeditiously as possible in considering and acting upon loan 
requests from, and in disbursing approved loans to, Poland.

SEC. 602. SENSE OF THE CONGRESS SUPPORTING ASSISTANCE BY MULTILATERAL 
                    LENDING INSTITUTIONS TO ESTABLISH FINANCIAL 
                    INSTITUTIONS IN POLAND.

  It is the sense of the Congress that the Secretary of the 
Treasury should instruct the United States Executive Directors 
of the multilateral development banks (as defined in section 
1617 of the International Financial Institutions Act), of the 
International Finance Corporation, and of the Multilateral 
Investment Guarantee Agency to enter into discussions with the 
other executive directors of such institutions and, in such 
discussions, urge such institutions to consider and act 
promptly upon (and, in the case of the Multilateral Investment 
Guarantee Agency, after Poland becomes a member country of such 
institution) requests by individuals and private businesses in, 
and the Government of, Poland for financial and technical 
assistance in the establishment of financial institutions 
(including institutions such as credit unions, thrift 
institutions, and commercial banks) and businesses involved in 
the provision of credit and financial services.

SEC. 603. SENSE OF THE CONGRESS RELATING TO CONDITIONAL FINANCIAL 
                    ASSISTANCE BY MULTILATERAL LENDING INSTITUTIONS TO 
                    POLAND.

  It is the sense of the Congress that the Secretary of the 
Treasury should instruct the United States Executive Directors 
of the multilateral development banks (as defined in section 
1617 of the International Financial Institutions Act), of the 
International Monetary Fund, of the International Finance 
Corporation, and of the Multilateral Investment Guarantee 
Agency to enter into discussions with the other executive 
directors of such institutions and propose that such 
institutions not provide financial assistance or debt 
forgiveness to Poland until the government of Poland allows and 
facilitates privately owned entities established in foreign 
countries to invest in private commercial ventures in Poland.

SEC. 604. SENSE OF THE CONGRESS OPPOSING THE MAKING OF CERTAIN LOANS OR 
                    THE EXTENSION OF CERTAIN FINANCIAL AND TECHNICAL 
                    ASSISTANCE TO THE PEOPLE'S REPUBLIC OF CHINA.

  (a) Findings.--The Congress finds that--
          (1) the Government of the People's Republic of China 
        ordered the People's Liberation Army to brutally attack 
        peaceful demonstrators who had assembled in Tiananmen 
        Square;
          (2) this attack violated the human rights of the 
        demonstrators;
          (3) several thousand innocent and defenseless 
        protesters were killed in the initial assault;
          (4) these violations of human rights have evolved 
        into a pattern of continuing repression and reprisals 
        against citizens throughout China as evidenced by the 
        beating of alleged dissidents, the order to the army to 
        shoot ``rioters''--the Chinese Government's term for 
        the peaceful demonstrators--on sight, the mass arrest 
        of students and workers, the public declarations by 
        government-controlled media that physicists Fang Lizhi 
        and Li Shuxian (who are being given refuge in the 
        United States Embassy in Beijing) are ``guilty'' before 
        being afforded due process, and the banning of all 
        independent, unofficial prodemocracy organizations;
          (5) the Government of the People's Republic of China 
        is trying to suppress truthful accounts of the actions 
        taken in Beijing and throughout the country, by, among 
        other things, expelling foreign journalists, including 
        the local bureau chief of the Voice of America, from 
        the country;
          (6) the People's Republic of China has received 
        almost $8,000,000,000 in development loans from the 
        International Bank for Reconstruction and Development, 
        and increasing amounts of assistance from the Asian 
        Development Bank;
          (7) it is morally repugnant that, through such 
        multilateral development banks, United States taxpayer 
        dollars are used to support the present policies of the 
        People's Republic of China;
          (8) such development loans cannot be justified on 
        economic grounds because economic development and 
        market reforms cannot be achieved in the environment of 
        repression that now clearly exists there; and
          (9) the People's Republic of China is engaging in ``a 
        pattern of gross violations of internationally 
        recognized human rights . . . such as flagrant denial 
        to life, liberty, and the security of person''.
  (b) Statement of Policy.--It is the sense of the Congress 
that the President should--
          (1) instruct the United States Executive Directors of 
        the International Bank for Reconstruction and 
        Development and the Asian Development Bank to use their 
        voices and votes to oppose the making of any loan or 
        the extension of any financial or technical assistance 
        to the People's Republic of China, in accordance with 
        section 701(f) of the International Financial 
        Institutions Act; and
          (2) consider the People's Republic of China to be a 
        country described in section 701(a)(1) of such Act 
        until the President determines that the repression and 
        reprisals against persons in connection with the 
        prodemocracy demonstrations have ended.

                        TITLE VII--MISCELLANEOUS

SEC. 701.\16\ SHORT TITLE.

  This title may be cited as the ``Global Environmental 
Protection Assistance Act of 1989''.
---------------------------------------------------------------------------
    \16\ 22 U.S.C. 2151 note.
---------------------------------------------------------------------------

              PART A--COMMERCIAL DEBT-FOR-NATURE EXCHANGES

SEC. 711.\17\ AMENDMENT TO THE FOREIGN ASSISTANCE ACT. * * *
---------------------------------------------------------------------------

    \17\ Sec. 711 added a new chapter 7 to part I of the Foreign 
Assistance Act of 1961, titled ``Debt-for-Nature Exchanges''. For text, 
see Legislation on Foreign Relations Through 2002, vol. I-A.
---------------------------------------------------------------------------

          PART B--MULTILATERAL FOREIGN ASSISTANCE COORDINATION

SEC. 721. GENERAL POLICY.

  It is the sense of the Congress that the Secretary of State 
should seek to develop an increased consideration of global 
warming, tropical deforestation, sustainable development, and 
biological diversity among the highest goals of bilateral 
foreign assistance programs of all countries.

SEC. 722. POLICY ON NEGOTIATIONS.

  (a) In General.--The Secretary of State, acting through the 
United States representative to the Development Assistance 
Committee of the Organization for Economic Coordination and 
Development (OECD), should initiate, at the earliest 
practicable date, negotiations among member countries on a 
coordinated approach to global warming, tropical deforestation, 
sustainable development, and biological diversity through 
bilateral assistance programs that would include--
          (1) increased consideration of the impact of 
        developmental projects on global warming, tropical 
        deforestation, and biological diversity;
          (2) reduction or elimination of funding for those 
        projects that exacerbate those problems;
          (3) coordinated research and development of projects 
        that emphasize sustainable use or protection of 
        tropical forests and support for local conservation 
        efforts;
          (4) expanded use of forgiveness of foreign assistance 
        debt in exchange for policy changes or programs that 
        address problems associated with global warming, 
        tropical deforestation, sustainable development, and 
        biological diversity;
          (5) increased use of foreign assistance funds and 
        technical assistance in support of local conservation, 
        restoration, or sustainable development efforts and 
        debt-for-nature exchanges;
          (6) improved exchange of information on energy 
        efficiency and solar and renewable energy sources, and 
        a greater emphasis on the use of those sources of 
        energy in developmental projects; and
          (7) increased use of environmental experts in the 
        field to assess development projects for their impact 
        on global warming, tropical deforestation, and 
        biological diversity.
  (b) Implementation of Agreement.--Negotiations described in 
subsection (a) shall seek to ensure that the recommended 
changes are implemented as quickly as possible by member 
countries of the Development Assistance Committee.

                       TITLE VIII--EFFECTIVE DATE

SEC. 801.\18\ EFFECTIVE DATE.

  Except as otherwise provided in this Act, this Act and the 
amendments made by this Act shall take effect on the date of 
the enactment of this Act.
---------------------------------------------------------------------------
    \18\ 22 U.S.C. 262d note.
b. Providing for U.S. Participation in a Capital Stock Increase for the 
International Bank for Reconstruction and Development and Replenishment 
                    of the African Development Fund

Partial text of H.R. 4645 as passed by the House on September 28, 1988, 
    and enacted into law by sec. 555 of Public Law 100-461 [Foreign 
Operations, Export Financing, and Related Programs Appropriations Act, 
       1989; H.R. 4637], 102 Stat. 2268, approved October 1, 1988

 A BILL To provide for participation by the United States in a capital 
    stock increase of the International Bank for Reconstruction and 
 Development and a replenishment of the African Development Fund, and 
                          for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,
---------------------------------------------------------------------------
    \1\ Sec. 1 amended the Bretton Woods Agreements Act (22 U.S.C. 286 
et seq.).
---------------------------------------------------------------------------

SECTION 1.\1\ * * *

SEC. 2.\2\ * * *

SEC. 3.\3\ POLICY BASED LENDING FOR DEBT REDUCTION.

    (a) Criteria.--The Secretary of the Treasury shall instruct 
the United States Executive Director of the International Bank 
for Reconstruction and Development to initiate discussions with 
other directors of such bank and to advocate and support the 
facilitation of voluntary market-based programs for the 
reduction of sovereign debt and the promotion of sustainable 
economic development, which, if implemented, would--
---------------------------------------------------------------------------
    \2\ Sec. 2 amended the African Development Fund Act (22 U.S.C. 290g 
et seq.).
    \3\ 22 U.S.C. 286hh.
---------------------------------------------------------------------------
          (1) not require any organization or government to 
        participate in such a program;
          (2) result in debt reduction for each participating 
        country tailored to the particular situation of each 
        country;
          (3) provide assistance to participating countries 
        conditioned on the implementation of economic reforms, 
        and the preservation of economic reforms previously 
        implemented, by the country that are consistent with 
        the principles of sustainable development;
          (4) encourage participating countries to make 
        economic adjustments steadily and over a period of time 
        in order to achieve policy reform;
          (5) use debt reduction techniques that would not 
        compensate commercial banks for the reduction in the 
        value of such debt, but would serve as a catalyst for 
        new lending;
          (6) involve such bank in lending for purposes of debt 
        reduction and conversion only where such involvement 
        would not lower the credit rating of such bank;
          (7) not require public sector funding beyond that 
        provided through any capital increase for such bank, 
        and any replenishment for the International Development 
        Association, which is agreed to by the member countries 
        of such institutions; and
          (8) accomplish debt reduction, not as an end, but as 
        a means to greater growth and investment in, and the 
        restoration of voluntary private lending to, 
        participating countries for environmentally and 
        economically sustainable development.
    (b) Policy Based Lending for Debt Reduction and Sustainable 
Growth.--The Secretary of the Treasury shall instruct the 
United States Executive Director of the International Bank for 
Reconstruction and Development to initiate discussions with 
other directors of such bank and to propose that policy based 
loans be made by such bank for, among other reasons, 
facilitating a reduction in the debt service burden of any 
country which is participating in a voluntary market-based 
program for debt reduction described in subsection (c).
    (c) Voluntary Market-Based Program for Debt Reduction and 
Sustainable Growth.--In connection with the discussions 
initiated pursuant to subsection (b), The Secretary shall 
instruct the United States Executive Director of the 
International Bank for Reconstruction and Development to 
propose that a country be considered to be participating in a 
voluntary market-based program of debt reduction for purposes 
of subsection (b) if the creditors of such country agree to 
significantly reduce the debt service of such country through 
forgiveness of a percentage of the interest owed by such 
country on any sovereign debt or through any other means.
    (d) Reports.--Not later than March 1, 1989, March 1, 1991, 
and March 1, 1993, respectively, the Secretary of the Treasury 
shall submit to the Committee on Banking, Finance and Urban 
Affairs \4\ of the House of Representatives and the Committee 
on Foreign Relations of the Senate 3 reports each of which--
---------------------------------------------------------------------------
    \4\ Sec. 1(a)(2) of Public Law 104-14 (109 Stat. 186) provided that 
references to the Committee on Banking, Finance and Urban Affairs of 
the House of Representatives shall be treated as referring to the 
Committee on Banking and Financial Services of the House of 
Representatives.
---------------------------------------------------------------------------
          (1) describes the long term strategy and lending 
        programs of the International Bank for Reconstruction 
        and Development for reducing and managing the debt 
        burden of the countries designated as ``Highly Indebted 
        Countries'' in the 1987-1988 World Debt Tables 
        published by such bank, and summarize the long term 
        strategy and lending programs of such bank for other 
        seriously indebted countries;
          (2) contains an explanation of the measures taken by 
        such bank to facilitate the reduction of the debt 
        burden of the countries designated as ``Highly Indebted 
        Countries'' in the 1987-1988 World Debt Tables 
        published by such bank;
          (3) describes the extent (if any) to which such bank 
        has implemented the measures described in subsections 
        (b) and (c); and
          (4) describes the success each of such countries has 
        had in managing and reducing their debt burdens and 
        achieving sustainable and equitable economic growth as 
        measured by criteria including the ratio of debt 
        service to exports, the ratio of debt to gross national 
        product, net resource flows, and per capita income.
    (e) Review by House Banking Committee.--On receipt of each 
report required to be submitted pursuant to subsection (d), and 
after consultation with the Secretary of the Treasury, the 
Committee on Banking, Finance and Urban Affairs \4\ of the 
House of Representatives shall forward such report to the 
Committee on Appropriations of the House of Representatives 
with an assessment by the Committee on Banking, Finance and 
Urban Affairs \4\ describing the effect on the international 
debt situation of funding the subscription of the United States 
to the shares of capital stock of the International Bank for 
Reconstruction and Development due for payment by the United 
States in the then next fiscal year.

SEC. 4.\5\ LIMITATIONS ON WORLD BANK POLICY BASED LENDING; ACTIONS 
                    REQUIRED TO BE TAKEN TO OPPOSE EXCESSIVE POLICY 
                    BASED LENDING BY WORLD BANK.

    The Secretary of the Treasury shall--
---------------------------------------------------------------------------
    \5\ 22 U.S.C. 286ii.
---------------------------------------------------------------------------
          (1) take all necessary steps to encourage the 
        International Bank for Reconstruction and Development 
        to limit--
                  (A) the aggregate value of the policy based 
                loans made by such bank (other than for the 
                purpose described in section 3(b)) in any 
                fiscal year of such bank beginning after June 
                30, 1989, to 25 percent of the aggregate value 
                of all loans made by such bank in such fiscal 
                year; and
                  (B) the aggregate value of the policy based 
                loans made by such bank to the government of a 
                particular country (other than for the purpose 
                described in section 3(b)) in any fiscal year 
                of such bank beginning after June 30, 1989, and 
                occurring during any period of 3 consecutive 
                fiscal years of such bank (determined after 
                disregarding any such fiscal year in which such 
                bank did not make a policy based loan to such 
                government), to 50 percent of the aggregate 
                value of all loans made by such bank to such 
                government during such 3-year period;
          (2) instruct the United States Executive Director of 
        such bank to propose and actively seek the adoption by 
        the board of Executive Directors of such bank of a 
        resolution establishing as official bank operating 
        policy for fiscal years 1990 through 1995 of such bank 
        the limits specified in paragraph (1); and
          (3) until the resolution described in paragraph (2) 
        is adopted, undertake, in consultation with the 
        Secretary of State, discussions with other member 
        country governments to secure the consent and 
        cooperation of such governments with respect to the 
        adoption of the limits specified in paragraph (1).

SEC. 5.\6\ PARTIAL GUARANTEES IN CONNECTION WITH DEBT REDUCTION FOR 
                    BORROWER COUNTRIES.

    The Secretary of the Treasury shall instruct the United 
States Executive Director of the International Bank for 
Reconstruction and Development to initiate discussion with 
other directors of such bank and to propose that such bank 
establish criteria under which such bank would provide partial 
guarantees on debt service payments by borrower countries to 
private creditors when such guarantees would serve a catalytic 
role in facilitating final agreement on financing packages 
which involve significant debt reduction.
---------------------------------------------------------------------------
    \6\ 22 U.S.C. 286jj.
---------------------------------------------------------------------------
          * * * * * * *

SEC. 12. SENSE OF CONGRESS REGARDING IMPROVING ACCESS OF SMALL 
                    BUSINESSES TO WORLD BANK PROCUREMENT.

    It is the sense of the Congress that the Secretary of the 
Treasury should--
          (1) attach a high priority to facilitating the 
        efforts of small businesses to gain access to the 
        process for bidding on contracts offered by the 
        International Bank for Reconstruction and Development 
        for--
                  (A) the procurement of goods and services 
                associated with projects financed by such bank; 
                and
                  (B) consulting services required in the 
                operation of such bank;
          (2) coordinate the efforts of the Department of the 
        Treasury with the efforts of other appropriate agencies 
        of the United States Government, particularly with 
        regard to the dissemination of information on specific 
        opportunities offered by such bank to assist small 
        businesses located in the United States; and
          (3) encourage the United States Executive Director of 
        such bank to work with the management of such bank in 
        developing programs within such bank designed to 
        improve opportunities for small businesses located in 
        member countries of such bank to bid successfully for 
        contracts described in paragraph (1).
          * * * * * * *
 c. Providing for Increased Participation by the United States in the 
 Inter-American Development Bank, the Asian Development Bank, and the 
                        African Development Fund

Partial text of Public Law 96-259 [S. 662], 94 Stat. 429, approved June 
    3, 1980; as amended by Public Law 97-375 [Congressional Reports 
 Elimination Act of 1982; H.R. 6005], 99 Stat. 1821, approved December 
  21, 1982; and by Public Law 101-240 [International Development and 
Finance Act of 1989; H.R. 2494], 103 Stat. 2492, approved December 19, 
                                  1989

 AN ACT To provide for increased participation by the United States in 
 the Inter-American Development Bank, the Asian Development Bank, and 
                     the African Development Fund.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,


          Note.--Except for the provisions included below, this 
        Act consisted of amendments to the Inter-American 
        Development Bank Act, the Asian Development Bank Act, 
        the African Development Fund Act, and the Act of 
        October 3, 1977. These amendments have been 
        incorporated at the appropriate places.



          * * * * * * *

       TITLE VI--USE OF RENEWABLE RESOURCES FOR ENERGY PRODUCTION

    Sec. 601.\1\ The Congress finds that--
---------------------------------------------------------------------------
    \1\ 22 U.S.C. 262j note.
---------------------------------------------------------------------------
          (1) without an adequate supply of energy at 
        affordable prices the world's poor will continue to be 
        deprived of jobs, food, water, shelter, and clothing, 
        and poor countries will continue to be economically and 
        politically unstable;
          (2) dependence on increasingly expensive fossil fuel 
        resources consumes too much of the capital available to 
        poor countries with the result that funds are not 
        available to meet the basic needs of poor people;
          (3) in many developing countries the cost of large 
        central generators and long distance electrical 
        distribution makes it unlikely that rural energy by 
        means of a national grid will contribute to meeting the 
        needs of poor people;
          (4) only one of eight rural inhabitants lives in an 
        area which has access to electricity and even fewer 
        rural inhabitants actually have or can afford 
        electricity;
          (5) wood, animal and agricultural waste, and other 
        ``noncommercial'' fuels still supply about half the 
        total energy in developing countries and all but a 
        seventh in rural sectors;
          (6) growing dependence of the world's poor on wood 
        for heating and cooking has forced the overcutting of 
        forests and as a consequence erosion and loss of 
        available agricultural land; and
          (7) recent initiatives by the international financial 
        institution to develop and utilize decentralized solar, 
        hydro, biomass, geothermal, and wind energy should be 
        significantly expanded to make renewable energy 
        resources increasingly available to the world's poor on 
        a wide scale.
    Sec. 602.\2\ (a) The United States Government, in 
connection with its voice and vote in the Inter-American 
Development Bank, the African Development Fund, and the Asian 
Development Bank, shall encourage such institutions--
---------------------------------------------------------------------------
    \2\ 22 U.S.C. 262j.
---------------------------------------------------------------------------
          (1) to promote the decentralized production of 
        renewable energy;
          (2) to identify renewable resources to produce energy 
        in rural development projects and determine the 
        feasibility of substituting them for systems using 
        fossil fuel;
          (3) to train personnel in developing technologies for 
        getting energy from renewable resources;
          (4) to support research into the use of renewable 
        resources, including hydropower, biomass, solar 
        photovoltaic, and solar thermal;
          (5) to support an information network to make 
        available to policymakers the full range of energy 
        choices;
          (6) to broaden their energy planning, analyses, and 
        assessments to include consideration of the supply of, 
        demand for, and possible uses of renewable resources; 
        and
          (7) to coordinate with the Agency for International 
        Development and other aid organizations in supporting 
        effective rural energy programs.
    (b) For purposes of this section, the term ``renewable 
resource'' means an energy resource which--
          (1) meets the needs of rural communities;
          (2) saves capital without wasting labor;
          (3) is modest in scale and simple to install and 
        maintain and which can be managed by local individuals;
          (4) is acceptable and affordable; and
          (5) does not damage the environment.
    (c) \3\ * * * [Repealed--1982]
---------------------------------------------------------------------------
    \3\ Public Law 97-375 (99 Stat. 1821) repealed sec. 602(c), which 
previously read as follows:
    ``(c) The Secretary of the Treasury, in consultation with the 
Director of the United States International Development Cooperation 
Agency, shall report to the Congress not later than six months after 
the date of enactment of this Act and annually thereafter on the 
progress toward achieving the goals set forth in this title.''.
 3. Other Legislation Relating to International Financial Institutions

              a. International Financial Institutions Act

Partial text of Public Law 95-118 [H.R. 5262], 91 Stat. 1067, approved 
October 3, 1977; as amended by Public Law 96-259 [S. 662], 94 Stat. 429 
 at 431, approved June 3, 1980; Public Law 97-35 [H.R. 3982], 95 Stat. 
    357 at 743 and 745, approved August 13, 1981; Public Law 97-375 
 [Congressional Reports Elimination Act of 1982; H.R. 6005], 96 Stat. 
      1819 at 1826, approved December 21, 1982; Public Law 98-181 
 [Supplemental Appropriations Act, 1984; H.R. 3959], 97 Stat. 1153 at 
   1286, approved November 30, 1983; Public Law 100-202 [Continuing 
Appropriations, 1988; H.J. Res. 395], 101 Stat. 1329, approved December 
 22, 1987; H.R. 4645 as passed by the House on September 28, 1988, and 
  enacted into law by Public Law 100-461 [Foreign Operations, Export 
 Financing, and Related Programs Appropriations Act, 1989; H.R. 4637], 
     102 Stat. 2268, approved October 1, 1988; Public Law 101-240 
[International Development and Finance Act; H.R. 2494], 103 Stat. 2492, 
  approved December 19, 1989; Public Law 101-513 [Foreign Operations, 
 Export Financing, and Related Programs Appropriations Act, 1991; H.R. 
 5114], 104 Stat. 1979, approved November 5, 1990; Public Law 102-511 
 [FREEDOM Support Act, S. 2532], 106 Stat. 3320, approved October 24, 
 1992; Public Law 103-236 [Foreign Relations Authorization Act, Fiscal 
  Years 1994 and 1995; H.R. 2333], 107 Stat. 382, approved April 30, 
  1994; Public Law 103-306 [Foreign Operations, Export Financing, and 
Related Programs Appropriations Act, 1995; H.R. 4426], 108 Stat. 1608, 
    approved August 23, 1994; Public Law 104-132 [Antiterrorism and 
Effective Death Penalty Act of 1996; S. 735], 110 Stat. 1214, approved 
April 24, 1996; Public Law 104-188 [Small Business Job Protection Act; 
 H.R. 3448], 110 Stat. 1755, approved August 20, 1996; Public Law 104-
208 [Omnibus Consolidated Appropriations Act for Fiscal Year 1997; H.R. 
3610], 110 Stat. 3009, approved September 30, 1996; Public Law 105-118 
      [Foreign Operations, Export Financing, and Related Programs 
Appropriations Act, 1998; H.R. 2159], 111 Stat. 2386, approved November 
 26, 1997; Public Law 105-277 [Omnibus Consolidated Appropriations Act 
for Fiscal Year 1999; H.R. 4328], 112 Stat. 2681, approved October 21, 
1998; Public Law 105-292 [International Religious Freedom Act of 1998; 
H.R. 2431] 112 Stat. 2787, approved October 27, 1998; Public Law 106-31 
 [1999 Emergency Supplemental Appropriations Act; H.R. 1141] 113 Stat 
 57, approved May 21, 1999; Public Law 106-36 [Miscellaneous Trade and 
 Technical Corrections Act of 1999, H.R. 435], 113 Stat. 127, approved 
   June 15, 1999; Public Law 106-113 [Fiscal Year 2000 Consolidated 
 Appropriations Act; H.R. 3194], 113 Stat. 1501, approved November 29, 
1999; Public Law 106-200 [Trade and Development Act of 2000, H.R. 434], 
 approved May 18, 2000; and by Public Law 106-429 [Foreign Operations, 
 Export Financing and Related Programs Appropriations Act, 2001], 114 
                 Stat. 1900, approved November 6, 2000

      


          Note.--Except for the provisions noted below, this 
        Act consists of amendments to the Bretton Woods 
        Agreements Act, International Finance Corporation Act, 
        International Development Association Act, Asian 
        Development Bank Act, African Development Fund Act, and 
        the Inter-American Development Bank Act.



 AN ACT To provide for increased participation by the United States in 
    the International Bank for Reconstruction and Development, the 
   International Development Association, the International Finance 
Corporation, the Asian Development Bank and the Asian Development Fund, 
                        and for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

                              SHORT TITLE

    Section 1.\1\ This Act may be cited as the International 
Financial Institutions Act.
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    \1\ Sec. 1361(a) of Public Law 97-35 (95 Stat. 745) added sec. 1.
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  TITLE I--PURPOSE AND POLICY; DECLARATION OF CONGRESSIONAL INTENT IN 
 RESPECT TO CONTINUED PARTICIPATION OF THE UNITED STATES GOVERNMENT IN 
INTERNATIONAL FINANCIAL INSTITUTIONS FOSTERING ECONOMIC DEVELOPMENT IN 
                        LESS DEVELOPED COUNTRIES

    Sec. 101.\2\ (a) It is the sense of Congress that--
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    \2\ 22 U.S.C. 262c.
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          (1) for humanitarian, economic, and political 
        reasons, it is in the national interest of the United 
        States to assist in fostering economic development in 
        the less developed countries of this world;
          (2) the development-oriented international financial 
        institutions have proved themselves capable of playing 
        a significant role in assisting economic development by 
        providing to less developed countries access to capital 
        and technical assistance and soliciting from them 
        maximum self-help and mutual cooperation;
          (3) this has been achieved with minimal risk of 
        financial loss to contributing countries;
          (4) such institutions have proved to be an effective 
        mechanism for sharing the burden among developed 
        countries of stimulating economic development in the 
        less developed world; and
          (5) although continued United States participation in 
        the international financial institutions is an 
        important part of efforts by the United States to 
        assist less developed countries, more of this burden 
        should be shared by other developed countries. As a 
        step in that direction, in future negotiations, the 
        United States should work toward aggregate 
        contributions to future replenishments to international 
        financial institutions covered by this Act not to 
        exceed 25 per centum.
    (b) The Congress recognizes that economic development is a 
long-term process needing funding commitments to international 
financial institutions. It also notes that the availability of 
funds for the United States contribution to international 
financial institutions is subject to the appropriations 
process.
          * * * * * * *

                        TITLE VII--HUMAN RIGHTS

    Sec. 701.\3\, \4\ (a) \5\ The United States 
Government, in connection with its voice and vote in the 
International Bank for Reconstruction and Development, the 
International Development Association, the International 
Finance Corporation, the Inter-American Development Bank, the 
African Development Fund, the Asian Development Bank, the 
African Development Bank, the European Bank for Reconstruction 
and Development, and the International Monetary Fund,\6\ shall 
advance the cause of human rights, including by seeking to 
channel assistance toward countries other than those whose 
governments engage in--
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    \3\ 22 U.S.C. 262d.
    \4\ Sec. 701 was invoked in sec. 586G(a)(5) of the Iraq Sanctions 
Act of 1990, as contained in the Foreign Operations, Export Financing, 
and Related Programs Appropriations Act, 1991 (Public Law 101-513; 104 
Stat. 2052).
    See also secs. 564, 573, 588, and 594 of the Foreign Operations, 
Export Financing, and Related Programs Appropriations Act, 2001 (H.R. 
5526), enacted by reference in Public Law 106-429 (114 Stat. 1900, et. 
seq.).
    See also sec. 1621 of this Act.
    \5\ Sec. 823(a) of the Foreign Relations Authorization Act, Fiscal 
Years 1994 and 1995 (Public Law 103-236; 108 Stat. 512), provided the 
following:
    ``(a) In General.--The Secretary of the Treasury shall instruct the 
United States executive director to each of the international financial 
institutions described in section 701(a) of the International Financial 
Institutions Act (22 U.S.C. 262d(a)) to use the voice and vote of the 
United States to oppose any use of the institution's funds to promote 
the acquisition of unsafeguarded special nuclear material or the 
development, stockpiling, or use of any nuclear explosive device by any 
non-nuclear-weapon state.''.
    See also amendment and note at subsec. (b)(3) of this section.
    \6\ Sec. 1342(b) of Public Law 97-35 (95 Stat. 743) added the 
reference to the African Development Bank. Sec. 1008(a) of the FREEDOM 
Support Act (Public Law 102-511; 106 Stat. 3361) added the reference to 
the European Bank for Reconstruction and Development and the 
International Monetary Fund.
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          (1) a \7\ pattern of gross violations of 
        internationally recognized human rights, such as 
        torture or cruel, inhumane, or degrading treatment or 
        punishment, prolonged detention without charges, or 
        other flagrant denial to life, liberty, and the 
        security of person; or
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    \7\ Sec. 1004(1) of Public Law 98-181 (97 Stat. 1286) struck out 
the word ``consistent'' which previously appeared at this point.
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          (2) provide refuge to individuals committing acts of 
        international terrorism by hijacking aircraft.
    (b) Further, the Secretary of the Treasury shall instruct 
each Executive Director of the above institutions to consider 
in carrying out his duties:
          (1) specific actions by either the executive branch 
        or the Congress as a whole on individual bilateral 
        assistance programs because of human rights 
        considerations;
          (2) the extent to which the economic assistance 
        provided by the above institutions directly benefit the 
        needy people in the recipient country;
          (3) \8\ whether the recipient country--
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    \8\ Sec. 823(b) of the Foreign Relations Authorization Act, Fiscal 
Years 1994 and 1995 (Public Law 103-236; 108 Stat. 512), amended and 
restated paragraph (3) of subsec. (b). It formerly read as follows:
    ``(3) whether the recipient country has detonated a nuclear device 
or is not a State Party to the Treaty on Non-Proliferation of Nuclear 
Weapons or both; and''.
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                  (A) is seeking to acquire unsafeguarded 
                special nuclear material (as defined in section 
                830(8) of the Nuclear Proliferation Prevention 
                Act of 1994) or a nuclear explosive device (as 
                defined in section 830(4) of that Act);
                  (B) is not a State Party to the Treaty on the 
                Non-Proliferation of Nuclear Weapons; or
                  (C) has detonated a nuclear explosive device; 
                and
          (4) in relation to assistance for the Socialist 
        Republic of Vietnam, the People's Democratic Republic 
        of Laos, Russia and the other independent states of the 
        former Soviet Union (as defined in section 3 of the 
        Freedom for Russia and Emerging Eurasian Democracies 
        and Open Markets Support Act of 1992),\9\ and 
        Democratic Kampuchea (Cambodia), the responsiveness of 
        the governments of such countries in providing a more 
        substantial accounting of Americans missing in action.
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    \9\ Sec. 1008(b) of the FREEDOM Support Act (Public Law 102-511; 
106 Stat. 3362) inserted ``Russia and the other independent states of 
the former Soviet Union (as defined in section 3 of the Freedom for 
Russia and Emerging Eurasian Democracies and Open Markets Support Act 
of 1992),'' after ``Laos,''.
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  (c) \10\ (1) The Secretary of the Treasury shall report 
annually on all loans considered by the Boards of Executive 
Directors of the institutions listed in subsection (a) to the 
Chairman and ranking minority member of the Committee on 
Banking, Finance and Urban Affairs \11\ of the House of 
Representatives, or the designees of such Chairman and ranking 
minority member, and the Chairman and ranking minority member 
of the Committee on Foreign Relations of the Senate.
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    \10\ Sec. 541(c) of the International Development and Finance Act 
of 1989 (Public Law 101-240; 103 Stat. 2517) amended and restated 
subsec. (c).
    Subsec. (c) was further amended sec. 1103 (g) of Public Law 106-569 
(114 Stat. 2944 at 3031) by striking ``Not later than 30 days after the 
end of each calendar quarter, the Secretary of the Treasury shall 
report quarterly'' and inserting ``The Secretary of the Treasury shall 
report annually.''
    \11\ Sec. 1(a)(2) of Public Law 104-14 (109 Stat. 186) provided 
that references to the Committee on Banking, Finance and Urban Affairs 
of the House of Representatives shall be treated as referring to the 
Committee on Banking and Financial Services of the House of 
Representatives.
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  (2) Each report required by paragraph (1) shall--
          (A) include a list of all loans considered by the 
        Board of Executive Directors of the institutions listed 
        in subsection (a) and shall specify with respect to 
        each such loan--
                  (i) the institution involved;
                  (ii) the date of final action;
                  (iii) the borrower;
                  (iv) the amount;
                  (v) the project or program;
                  (vi) the vote of the United States 
                Government;
                  (vii) the reason for United States Government 
                opposition, if any;
                  (viii) the final disposition of the loan; and
                  (ix) if the United States Government opposed 
                the loan, whether the loan meets basic human 
                needs;
          (B) indicate whether the United States has opposed 
        any loan, financial assistance, or technical assistance 
        to a country on human rights grounds;
          (C) indicate whether the United States has voted in 
        favor of a loan, financial assistance, or technical 
        assistance to a country with respect to which the 
        United States had, in the preceding 2 years, opposed a 
        loan, financial assistance, or technical assistance on 
        human rights grounds; and
          (D) in cases where the United States changed its 
        voting position from opposition to support or from 
        support to opposition, on human rights grounds--
                  (i) indicate the policy considerations that 
                were taken into account in the development of 
                the United States voting position;
                  (ii) describe human rights conditions in the 
                country involved;
                  (iii) indicate how the United States voted on 
                all other loans, financial assistance, and 
                technical assistance to such country during the 
                preceding 2 years; and
                  (iv) contain information as to how the United 
                States voting position relates to the overall 
                United States Government policy on human rights 
                in such country.
    (d) The United States Government, in connection with its 
voice and vote in the institutions listed in subsection (a), 
shall seek to channel assistance to projects which address 
basic human needs of the people of the recipient country.\12\
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    \12\ Sec. 541 of the International Development and Finance Act of 
1989 (Public Law 101-240; 103 Stat. 2518) consolidated several 
reporting requirements into new secs. 1701-1703 and titles XVIII and 
XIX of the International Financial Institutions Act and repealed 
duplicative requirements in other legislation. Sec. 541(e)(8) repealed 
the last sentence of this subsection.
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    (e) In determining whether a country is in gross violation 
of internationally recognized human rights standards, as 
defined by the provisions of subsection (a), the United States 
Government shall give consideration to the extent of 
cooperation of such country in permitting an unimpeded 
investigation of alleged violations of internationally 
recognized human rights by appropriate international 
organizations including, but not limited to, the International 
Committee of the Red Cross, Amnesty International, the 
International Commission of Jurists, and groups or persons 
acting under the authority of the United Nations or the 
Organization of American States.
    (f) The United States Executive Directors of the 
institutions listed in subsection (a) are authorized and 
instructed to oppose any loan, any extension of financial 
assistance, or any technical assistance to any country 
described in subsection (a) (1) or (2), unless such assistance 
is directed specifically to programs which serve the basic 
human needs of the citizens of such country.
    The \13\ Secretary of the Treasury or his delegate shall 
consult frequently and in a timely manner with the chairmen and 
ranking minority members of the Committee on Banking, Finance 
and Urban Affairs \11\ of the House of Representatives and of 
the Committee on Foreign Relations of the Senate \14\ to inform 
them regarding any prospective changes in policy direction 
toward counties which have or recently have had poor human 
rights records.
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    \13\ This sentence was enacted as paragraph (2) of subsec. (g) by 
sec. 501(b) of Public Law 96-259 (94 Stat. 432). Sec. 541 of the 
International Development and Finance Act of 1989 (Public Law 101-240; 
103 Stat. 2518) consolidated several reporting requirements into new 
secs. 1701-1703 and titles XVIII and XIX of the International Financial 
Institutions Act and repealed duplicative requirements in other 
legislation. Sec. 541(d)(4) repealed subsec. (g)(1). Sec. 562(b)(2) of 
Public Law 101-513 (104 Stat. 2034) subsequently struck out paragraph 
designation ``(2)'' at the beginning of this paragraph.
    \14\ Sec. 562(b)(2) of Public Law 101-513 (104 Stat. 2034) struck 
out ``specified in paragraph (1)'' and inserted ``of the Committee on 
Banking, Finance and Urban Affairs of the House of Representatives and 
of the Committee on Foreign Relations of the Senate''. See also note 
11.
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    (g)\15\ In determining whether the government of a country 
engages in a pattern of gross violations of internationally 
recognized human rights, as described in subsection (a), the 
President shall give particular consideration to whether a 
foreign government--
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    \15\ Sec. 422 of Public Law 105-292 (112 Stat. 2787 at 2810), the 
International Religious Freedom Act of 1998, added subsec. (g).
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          (1) has engaged in or tolerated particularly severe 
        violations of religious freedom, as defined in section 
        3 of the International Religious Freedom Act of 1998; 
        or
          (2) has failed to undertake serious and sustained 
        efforts to combat particularly severe violations of 
        religious freedom when such efforts could have been 
        reasonably undertaken.
    Sec. 702. Section 28 of the Inter-American Development Bank 
Act, as amended (22 U.S.C. 283y), section 211 of the Act of May 
31, 1976 (22 U.S.C. 290g-9), and section 15 of the 
International Development Association Act, as amended (22 
U.S.C. 284m), are repealed.
    Sec. 703.\16\ (a) The Secretary of State and the Secretary 
of the Treasury shall initiate a wide consultation designed to 
develop a viable standard for the meeting of basic human needs 
and the protection of human rights and a mechanism for acting 
together to insure that the rewards of international economic 
cooperation are especially available to those who subscribe to 
such standards and are seen to be moving toward making them 
effective in their own system of governance.
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    \16\ 22 U.S.C. 262c note.
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    (b) Not later than one year after the date of enactment of 
this Act, the Secretary of State and the Secretary of the 
Treasury shall report to the President of the Senate and the 
Speaker of the House of Representatives on the progress made in 
carrying out this section.
    Sec. 704.\17\ The President shall direct the United States 
Executive Directors of such international financial 
institutions to take all appropriate actions to keep the 
salaries and benefits of the employees of such institutions to 
levels comparable to salaries and benefits of employees of 
private business and the United States Government in comparable 
positions.
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    \17\ 22 U.S.C. 262e. Sec. 533 (114 Stat. 1900A-34) of the Foreign 
Operations, Export Financing, and Related Programs Appropriations Act, 
2001 (H.R. 5526), enacted by reference in Public Law 106-429, provided 
the following:
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 ``COMPENSATION FOR UNITED STATES EXECUTIVE DIRECTORS TO INTERNATIONAL 
                         FINANCIAL INSTITUTIONS
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    ``Sec. 532. (a) No funds appropriated by this Act may be made as 
payment to any international financial institution while the United 
States Executive Director to such institution is compensated by the 
institution at a rate which, together with whatever compensation such 
Director receives from the United States, is in excess of the rate 
provided for an individual occupying a position at level IV of the 
Executive Schedule under section 5315 of title 5, United States Code, 
or while any alternate United States Director to such institution is 
compensated by the institution at a rate in excess of the rate provided 
for an individual occupying a position at level V of the Executive 
Schedule under section 5316 of title 5, United States Code.
    ``(b) For purposes of this section, `international financial 
institutions' are: the International Bank for Reconstruction and 
Development, the Inter-American Development Bank, the Asian Development 
Bank, the Asian Development Fund, the African Development Bank, the 
African Development Fund, the International Monetary Fund, the North 
American Development Bank, and the European Bank for Reconstruction and 
Development.''.
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    Sec. 705.\18\ The President shall direct the United States 
Governor of the International Bank for Reconstruction and 
Development, the United States Governor of the International 
Finance Corporation, the United States Governor of the 
International Development Association, the United States 
Governor of the Inter-American Development Bank, the United 
States Governor of the Asian Development Bank, and the United 
States Governor of the African Development Fund, to consult 
with the other Governors of those institutions concerning 
adoption of an amendment to the Articles of Agreement of their 
respective institutions to establish human rights standards to 
be considered in connection with each application for 
assistance.
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    \18\ 22 U.S.C. 262d note. Sec. 501(c) of Public Law 96-259 (94 
Stat. 432) added sec. 705.
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                  TITLE VIII--LIGHT CAPITAL TECHNOLOGY

    Sec. 801.\19\ The United States Government, in connection 
with its voice and vote in the International Bank for 
Reconstruction and Development, the International Development 
Association, the International Finance Corporation, the Inter-
American Development Bank, the African Development Fund, the 
Asian Development Bank, and the African Development Bank,\20\ 
shall promote the development and utilization of light capital 
technologies, otherwise known as intermediate, appropriate, or 
village technologies, by such international institutions as 
major facets of their development strategies, with major 
emphasis on the production and conservation of energy through 
light capital technologies.\21\
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    \19\ 22 U.S.C. 262f.
    \20\ Sec. 1342(c) of Public Law 97-35 (95 Stat. 743) added the 
reference to the African Development Bank.
    \21\ Subsec. (b), which previously appeared at this point and had 
required an annual report on the goals expressed in this title, was 
struck out by sec. 1371(b) of Public Law 97-35 (95 Stat. 746).
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           TITLE IX--HUMAN NUTRITION IN DEVELOPING COUNTRIES

    Sec. 901.\22\ The Congress declares it to be the policy of 
the United States, in connection with its voice and vote in the 
International Bank for Reconstruction and Development, the 
International Development Association, the International 
Finance Corporation, the Inter-American Development Bank, the 
African Development Fund, the Asian Development Fund, and the 
Asian Development Bank, to combat hunger and malnutrition and 
to encourage economic development in the developing countries, 
with emphasis on assistance to those countries that are 
determined to improve their own agricultural production, by 
seeking to channel assistance for agriculturally related 
development to projects that would aid in fulfilling domestic 
food and nutrition needs and in alleviating hunger and 
malnutrition in the recipient country. The United States 
representatives to the institutions named in this section shall 
oppose any loan or other financial assistance for establishing 
or expanding production for export of palm oil, sugar, or 
citrus crops if such loan or assistance will cause injury to 
United States producers of the same, similar, or competing 
agricultural commodity.\21\
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    \22\ 22 U.S.C. 262g.
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                        TITLE X--EFFECTIVE DATE

    Sec. 1001.\23\ This Act shall take effect on the date of 
its enactment, except that no funds authorized to be 
appropriated by any amendment contained in title II, III, IV, 
V, or VI may be available for use or obligation prior to 
October 1, 1977.
---------------------------------------------------------------------------
    \23\ 22 U.S.C. 282r note.
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            TITLE XI--TARGETING ASSISTANCE TO THE NEEDY \24\

    Sec. 1101.\25\ (a) The Congress finds that there is a need 
for concerted international efforts to deal with the problems 
of malnutrition, low life expectancy, childhood disease, 
underemployment, and low productivity in developing countries.
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    \24\ Sec. 1361(b) of Public Law 97-35 (95 Stat. 745) added titles 
XI and XII.
    \25\ 22 U.S.C. 262g-1.
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    (b) The Congress notes with approval that the Inter-
American Development Bank, under the terms of its Fifth 
Replenishment, has adopted the target that 50 percent of its 
lending benefit the poorest groups and has developed a usable 
methodology for determining the proportion of its lending which 
benefits such groups.
    Sec. 1102.\26\ (a) The Secretary of the Treasury shall 
consult with representatives of other member countries of the 
International Bank for Reconstruction and Development, the 
International Development Association, the Asian Development 
Bank, the African Development Fund, and the African Development 
Bank (if the United States becomes a member of that Bank), for 
the purpose of establishing guidelines within each of those 
institutions which specify that, in a manner consistent with 
the purposes and charters of those institutions, a specified 
proportion of the annual lending by each institution shall be 
designed to benefit needy people, primarily by financing sound, 
efficient, productive, self-sustaining projects designed to 
benefit needy people in developing countries, thus helping poor 
people improve their conditions of life.
---------------------------------------------------------------------------
    \26\ 22 U.S.C. 262g-2.
---------------------------------------------------------------------------
    (b) The Congress finds that projects to construct basic 
infrastructure, to expand productive capacity (including 
private enterprise), and to address social problems can all 
meet the objectives of this section if they are designed and 
implemented properly. For the purposes of this title, ``needy 
people'' means those people living in ``absolute'' or 
``relative'' poverty as determined under the standards employed 
by the International Bank for Reconstruction and Development 
and the International Development Association.
    Sec. 1103.\27\ * * * [Repealed--1989]
---------------------------------------------------------------------------
    \27\ Sec. 541 of the International Development and Finance Act of 
1989 (Public Law 101-240; 103 Stat. 2518) consolidated several 
reporting requirements into new secs. 1701-1703 and titles XVIII and 
XIX of the International Financial Institutions Act and repealed 
duplicative requirements in other legislation. Sec. 541(d)(4) repealed 
sec. 1103.
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              TITLE XII--CONGRESSIONAL CONSULTATIONS \24\

    Sec. 1201.\28\ The Secretary of the Treasury or his 
designee shall consult with the Chairman and the Ranking 
Minority Member of--
---------------------------------------------------------------------------
    \28\ 22 U.S.C. 262g-3.
---------------------------------------------------------------------------
          (1) the Committee on Banking, Finance and Urban 
        Affairs \11\ of the House of Representatives, the 
        Committee on Appropriations of the House of 
        Representatives, and the appropriate subcommittee of 
        each such committee, and
          (2) the Committee on Foreign Relations of the Senate, 
        the Committee on Appropriations of the Senate, and the 
        appropriate subcommittee of each such committee,
for the purpose of discussing the position of the executive 
branch and the views of the Congress with respect to any 
international negotiations being held to consider future 
replenishments or capital expansions of any multilateral 
development bank which may involve an increased contribution or 
subscription by the United States. Such consultation shall be 
made (A) not later than 30 days before the initiation of such 
international negotiations, (B) during the period in which such 
negotiations are being held, in a frequent and timely manner, 
and (C) before a session of such negotiations is held at which 
the United States representatives may agree to such a 
replenishment or capital expansion.

                    TITLE XIII--THE ENVIRONMENT \29\

    Sec. 1301.\30\ The Congress finds that--
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    \29\ Titles XIII through XVI were added by sec. 701 of H.R. 3750, 
as introduced by the House Committee on Banking, Finance and Urban 
Affairs, on Dec. 11, 1987, and enacted into law by Title I of the 
Foreign Operations, Export Financing, and Related Programs 
Appropriations Act, 1988, (sec. 101(e) of the Continuing 
Appropriations, 1988; Public Law 100-202; 101 Stat. 1329 at 1329-134).
    See also sec. 533 of the Foreign Operations, Export Financing, and 
Related Programs Appropriations Act, 1991 (Public Law 101-513; 104 
Stat. 2013; 22 U.S.C. 262l), and sec. 532 of the Foreign Operations, 
Export Financing, and Related Programs Appropriations Act, 1993 (Public 
Law 102-391; 106 Stat. 1666; 22 U.S.C. 262l), relating to environment 
and global warming, in Legislation on Foreign Relations Through 2002, 
vol. I-A.
    \30\ 22 U.S.C. 262m.
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          (1) United States assistance to the multilateral 
        development banks should promote sustainable use of 
        natural resources and the protection of the 
        environment, public health, and the status of 
        indigenous peoples in developing countries;
          (2) multilateral development bank projects, policies, 
        and loans have failed in some cases to provide adequate 
        safeguards for the environment, public health, natural 
        resources, and indigenous peoples;
          (3) many development efforts of the multilateral 
        development banks are more enduring and less costly if 
        based on consultations with directly affected 
        population groups and communities;
          (4) developing country governments sometimes do not 
        ensure that appropriate policies and procedures are in 
        place to use natural resources sustainably or consult 
        with affected population groups and communities, where 
        costs could be reduced or benefits made more enduring; 
        and
          (5) in general, the multilateral development banks do 
        not yet provide systematic and adequate assistance to 
        their borrowers to encourage sustainable resource use 
        and consultation with affected communities, where costs 
        could be reduced or benefits made more enduring.
    Sec. 1302.\31\ The Secretary of the Treasury and the 
Secretary of State, in cooperation with the Administrator of 
the Agency for International Development, shall vigorously 
promote mechanisms to strengthen the environmental performance 
of these banks. These mechanisms shall include strengthening 
organizational, administrative, and procedural arrangements 
within the banks which will substantially improve management of 
assistance programs necessary to ensure the sustainable use of 
natural resources and the protection of indigenous peoples.
---------------------------------------------------------------------------
    \31\ 22 U.S.C. 262m-1.
---------------------------------------------------------------------------
    Sec. 1303.\32\ (a)(1) In the course of reviewing assistance 
proposals of the multilateral development banks, the 
Administrator of the Agency for International Development, in 
consultation with the Secretary of the Treasury and the 
Secretary of State, shall ensure that other agencies and 
appropriate United States embassies and overseas missions of 
the Agency for International Development are instructed to 
analyze, where feasible, the environmental impacts of 
multilateral development loans well in advance of such loans' 
approval by the relevant institutions to determine whether the 
proposals will contribute to the sustainable development of the 
borrowing country.
---------------------------------------------------------------------------
    \32\ 22 U.S.C. 262m-2.
---------------------------------------------------------------------------
          (2) To the extent possible, such reviews shall 
        address the economic viability of the project, adverse 
        impacts on the environment, natural resources, public 
        health, and indigenous peoples, and recommendations as 
        to measures, including alternatives, that could 
        eliminate or mitigate adverse impacts.
          (3) If there is reason to believe that any such loan 
        is particularly likely to have substantial adverse 
        impacts, the Administrator of the Agency for 
        International Development, in consultation with the 
        Secretary of the Treasury and the Secretary of State, 
        shall ensure that an affirmative investigation of such 
        impacts is undertaken in consultation with relevant 
        Federal agencies. If not classified under the national 
        security system of classification, the information 
        collected pursuant to this paragraph shall be made 
        available to the public.
          (b) The Secretary of the Treasury shall instruct the 
        Executive Directors representing the United States at 
        the International Bank for Reconstruction and 
        Development, the Inter-American Development Bank, the 
        Asian Development Bank, and the African Development 
        Bank to urge the management and other directors of each 
        such bank, to provide sufficient time between the 
        circulation of assistance proposals and bank action on 
        those proposals, in order to permit their evaluation by 
        major shareholder governments.
          (c) Based on the information obtained during the 
        evaluation referred to in subsection (a) and other 
        available information, the Administrator of the Agency 
        for International Development, in consultation with the 
        Secretary of the Treasury and the Secretary of State, 
        shall identify those assistance proposals likely to 
        have adverse impacts on the environment, natural 
        resources, public health, or indigenous peoples. The 
        proposals so identified shall be transmitted to the 
        Committee on Appropriations and the Committee on 
        Banking, Finance and Urban Affairs of the House of 
        Representatives and the Committee on Appropriations and 
        the Committee on Foreign Relations of the Senate, not 
        later than June 30 and December 31 of each year 
        following the date of enactment of this title.
          (d) The Secretary of the Treasury shall forward 
        reports concerning information received under 
        subsection (a) to the Executive Director representing 
        the United States in the appropriate bank with 
        instructions to seek to eliminate or mitigate adverse 
        impacts which may result from the proposal.
    Sec. 1304.\33\ The Secretary of the Treasury, in 
consultation with the Secretary of State and the Administrator 
of the Agency for International Development, shall create a 
system for cooperative exchange of information with other 
interested member countries on assistance proposals of the 
multilateral development banks.
---------------------------------------------------------------------------
    \33\ 22 U.S.C. 262m-3.
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    Sec. 1305.\34\ The Secretary of the Treasury shall instruct 
the United States Executive Directors of the multilateral 
development banks to support the strengthening of educational 
programs within each multilateral development bank to improve 
the capacity of mid-level managers to initiate and manage 
environmental aspects of development activities, and to train 
officials of borrowing countries in the conduct of 
environmental analyses.
---------------------------------------------------------------------------
    \34\ 22 U.S.C. 262m-4.
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    Sec. 1306.\35\ (a) The Secretary of the Treasury shall 
instruct the United States Executive Director of each 
multilateral development bank to vigorously and continuously 
urge that each bank identify and develop methods and procedures 
to insure that in addition to economic and technical 
considerations, unquantified environmental values be given 
appropriate consideration in decisionmaking, and include in the 
documents circulated to the Board of Executive Directors 
concerning each assistance proposal a detailed statement, to 
include assessment of the benefits and costs of environmental 
impacts and possible mitigating measures, on the environmental 
impact of the proposed action, any adverse environmental 
effects which cannot be avoided if the proposal is implemented, 
and alternatives to the proposed action.
---------------------------------------------------------------------------
    \35\ 22 U.S.C. 262m-5.
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          (b) The Secretary of the Treasury shall instruct the 
        United States Executive Director of each multilateral 
        development bank to vigorously and continuously 
        promote--
          (1) increases in the proportion of loans supporting 
        environmentally beneficial policies, projects, and 
        project components;
          (2) the establishment of environmental programs in 
        appropriate policy-based loans for the purpose of 
        improving natural resource management, environmental 
        quality, and protection of biological diversity;
          (3) increases in the proportion of staff with 
        professional training and experience in ecology and 
        related areas and in the areas of anthropological and 
        sociological impact analysis to ensure systematic 
        appraisal and monitoring of environmental and 
        sociocultural impacts of projects and policies;
          (4) active and systematic encouragement of 
        participation by borrowing countries nongovernmental 
        environmental, community and indigenous peoples' 
        organizations at all stages of preparations for country 
        lending strategies, policy based loans, and loans that 
        may have adverse environmental or sociocultural 
        impacts; and
          (5) full availability to concerned or affected non-
        governmental and community organization, early in the 
        preparation phase and at all subsequent stages of 
        planning of full documentary information concerning 
        details of design and potential environmental and 
        sociocultural impacts of proposed loans.

SEC. 1307.\36\ ASSESSMENT OF ENVIRONMENTAL IMPACT OF PROPOSED 
                    MULTILATERAL DEVELOPMENT BANK ACTIONS.

    (a) Assessment Required Before Favorable Vote on Action.--
---------------------------------------------------------------------------
    \36\ 22 U.S.C. 262m-7. Popularly referred to as the Pelosi 
amendment. Added by sec. 521 of the International Development and 
Finance Act of 1989 (Public Law 101-240; 103 Stat. 2511), as sec. 1308. 
The same Act repealed the standing sec. 1307 and redesignated this sec. 
as sec. 1307. The repealed sec. 1307 (formerly at 22 U.S.C. 262m-6) had 
required an annual report be submitted by Secretary of the Treasury, 
with consultation from others in the Administration, to several 
committees on progress being made to implement the objectives of title 
XIII.
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          (1) In general.--Beginning 2 years after the date of 
        the enactment of this section, the Secretary of the 
        Treasury shall instruct the United States Executive 
        Director of each multilateral development bank not to 
        vote in favor of any action proposed to be taken by the 
        respective bank which would have a significant effect 
        on the human environment, unless for at least 120 days 
        before the date of the vote--
                  (A) an assessment analyzing the environmental 
                impacts of the proposed action and of 
                alternatives to the proposed action has been 
                completed by the borrower \37\ or the 
                institution, and been made available to the 
                board of directors of the institution; and
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    \37\ Sec. 560(b)(1) ofthe Foreign Operations, Export Financing, and 
Related Programs Appropriations Act, 1998 (Public Law 105-118; 111 
Stat. 2426), struck out ``borrowing country'' and inserted 
``borrower''.
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                  (B) except as provided in paragraph (2), such 
                assessment or a comprehensive summary of such 
                assessment has been made available to the 
                multilateral development bank, affected groups, 
                and local nongovernmental organizations.
          (2) Exceptions and reports.--
                  (A) Exceptions.--The requirement of paragraph 
                (1)(B) shall not apply where the Secretary 
                finds compelling reasons to believe that 
                disclosure in any case described in paragraph 
                (1) would jeopardize the confidential 
                relationship between the borrower \38\ and the 
                respective bank.
---------------------------------------------------------------------------
    \38\ Sec. 560(b)(2) of the Foreign Operations, Export Financing, 
and Related Programs Appropriations Act, 1998 (Public Law 105-118; 111 
Stat. 2426), struck out ``country'' after ``borrower''.
---------------------------------------------------------------------------
                  (B) Reports by secretary.--The Secretary 
                shall submit a quarterly report in writing to 
                the Committees specified in subsection (f)(1) 
                of the findings described in subparagraph (A).
      (b) Access to Assessments in All Member Countries.--The 
Secretary of the Treasury shall seek the adoption of policies 
and procedures, through discussions and negotiations with the 
other member countries of the multilateral development banks 
and with the management of such banks, which result in access 
by governmental agencies and interested members of the public 
of such member countries, to environmental assessments or 
documentary information containing comprehensive summaries of 
such assessments which discuss the environmental impact of 
prospective projects and programs being considered by such 
banks. Such assessments or summaries should be made available 
to such governmental agencies and interested members of the 
public at least 120 days before scheduled board action, and 
public participation in review of the relevant environmental 
information should be encouraged.
      (c) Consideration of Assessment.--The Secretary of the 
Treasury shall--
          (1) ensure that an environmental impact assessment or 
        comprehensive summary of such assessment described in 
        subsection (a) accompanies loan proposals through the 
        agency review process; and
          (2) take into consideration recommendations from all 
        other interested Federal agencies and interested 
        members of the public.
      (d) Development of Procedures for Systematic 
Environmental Assessment.--The Secretary of the Treasury, in 
consultation with other Federal agencies, including the 
Environmental Protection Agency, the Department of State, and 
the Council on Environmental Quality, shall--
          (1) instruct the United States Executive Director of 
        each multilateral development bank to initiate 
        discussions with the other executive directors of the 
        respective bank and to propose that the respective bank 
        develop and make available to member governments of, 
        and borrowers from, the respective bank, within 18 
        months after the date of the enactment of this section, 
        a procedure for the systematic environmental assessment 
        of development projects for which the respective bank 
        provides financial assistance, taking into 
        consideration the Guidelines and Principles for 
        Environmental Impact Assessment promulgated by the 
        United Nations Environmental Programme and other 
        bilateral or multilateral assessment procedures; and
          (2) in determining the position of the United States 
        on any action proposed to be taken by a multilateral 
        development bank, develop and prescribe procedures for 
        the consideration of, among other things--
                  (A) the environmental impact assessment of 
                the action described in subsection (a);
                  (B) interagency and public review of such 
                assessment; and
                  (C) other environmental review and 
                consultation of such action that is required by 
                other law.
      (e) Use of United States Personnel.--The Secretary of the 
Treasury, in consultation with the Secretary of State, the 
Secretary of the Interior, the Administrator of the 
Environmental Protection Agency, the Chairman of the Council on 
Environmental Quality, the Administrator of the Agency for 
International Development, and the Administrator of the 
National Oceanic and Atmospheric Administration, shall--
          (1) make available to the multilateral development 
        banks, without charge, appropriate United States 
        Government personnel to assist in--
                  (A) training bank staff in environmental 
                impact assessment procedures;
                  (B) providing advice on environmental issues;
                  (C) preparing environmental studies for 
                projects with potentially significant 
                environmental impacts; and
                  (D) preparing documents for public release, 
                and developing procedures to provide for the 
                inclusion of interested nongovernmental 
                organizations in the environmental review 
                process; and
          (2) encourage other member countries of such banks to 
        provide similar assistance.
      (f) Reports.--
          (1) In general.--The Secretary of the Treasury shall 
        submit to the Committees on Foreign Relations and 
        Environment and Public Works of the Senate and the 
        Committee on Banking, Finance and Urban Affairs \11\ of 
        the House of Representatives--
                  (A) not later than the end of the 1-year 
                period beginning on the date of the enactment 
                of this section, a progress report on the 
                efficacy of efforts by the United States to 
                encourage consistent and timely environmental 
                impact assessment of actions proposed to be 
                taken by the multilateral development banks and 
                on the progress made by the multilateral 
                development banks in developing and instituting 
                environmental assessment policies and 
                procedures; and
                  (B) not later than January 1, 1993, a 
                detailed report on the matters described in 
                subparagraph (A).
          (2) Availability of reports.--The reports required by 
        paragraph (1) shall be made available to the member 
        governments of, and the borrowers from, the 
        multilateral development banks, and to the public.
    (g) \39\ For purposes of this section, the term 
``multilateral development bank'' means any of the institutions 
named in section 1303(b) of this Act, and the International 
Finance Corporation.
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    \39\ Sec. 560(b)(3) of the Foreign Operations, Export Financing, 
and Related Programs Appropriations Act, 1998 (Public Law 105-118; 111 
Stat. 2426), added subsec. (g).
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         TITLE XIV--AGRICULTURAL AND COMMODITY PRODUCTION \29\

    Sec. 1401.\40\ The Congress hereby finds the following:
---------------------------------------------------------------------------
    \40\ 22 U.S.C. 262n.
---------------------------------------------------------------------------
          (1) The financing of certain programs and projects by 
        multilateral development banks has been of great 
        concern insofar as the programs and projects have been 
        detrimental to the interests of American farmers and 
        the agribusiness sector.
          (2) an increase in rural income in developing 
        countries will generally result in an increase in 
        exports of United States agricultural and food 
        products.
    Sec. 1402.\41\ The Secretary of the Treasury, after 
consultations with the Secretary of Agriculture and the 
Secretary of the Interior (to the extent appropriate) on 
markets and prices for commodities, shall periodically instruct 
the United States Executive Director of each multilateral 
development bank to work with other executive directors of the 
respective bank to continue to--
---------------------------------------------------------------------------
    \41\ 22 U.S.C. 262n-1.
---------------------------------------------------------------------------
          (1) support activities which result in broad 
        increases in income and employment and enhance 
        purchasing power in developing countries, particularly 
        among the rural poor; and
          (2) encourage diversification away from single crop 
        or product economies in developing countries to help 
        reduce wide fluctuations in commodity prices and the 
        adverse impact of abrupt changes in the terms of trade.
    Sec. 1403.\42\ (a) The Secretary of the Treasury shall take 
all appropriate steps to discourage multilateral development 
banks from financing projects which will result in the 
production of commodities, products, or minerals for export 
that will be in surplus in world markets at the time such 
production begins.
---------------------------------------------------------------------------
    \42\ 22 U.S.C. 262n-2.
---------------------------------------------------------------------------
    (b) The Secretary of the Treasury shall instruct the United 
States Executive Directors of the multilateral development 
banks to use the voice and vote of the United States in the 
respective banks--
          (1) to oppose financing by the respective bank of 
        projects which produce, or will produce, commodities, 
        products, or minerals for export if--
                  (A) the commodity, product, or mineral is 
                subsidized in a manner which is inconsistent 
                with Article XVI.3 of the GATT 1994 as defined 
                in section 2(1)(B) of the Uruguay Round 
                Agreements Act, or article 3.1(a) of the 
                Agreement on Subsidies and Countervailing 
                Measures referred to in section 101(d)(12) of 
                that Act; \43\
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    \43\ Sec. 1102(b)(1) of the Miscellaneous Trade and Technical 
Corrections Act of 1999 (Public Law 106-36; 113 Stat. 133) struck out 
``General Agreement on Tariffs and Trade or Article 10 of the 
Agreements on Interpretation and Application of Articles VI, XVI, and 
XXIII of the General Agreement on Tariffs and Trade'' and inserted 
``GATT 1994 as defined in section 2(1)(B) of the Uruguay Round 
Agreements Act, or article 3.1(a) of the Agreement on Subsidies and 
Countervailing Measures referred to in section 101(d)(12) of that 
Act.''
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                  (B) support from financial sources other than 
                multilateral development banks does not 
                accompany such financing; and
          (2) to oppose financing by the respective bank for 
        production of a commodity, product, or mineral for 
        export which--
                  (A) is likely to be in surplus on world 
                markets at the time such production begins; and
                  (B) when exported, is likely to cause injury 
                to United States producers within the meaning 
                of Article 15 of the Agreement on Subsidies and 
                Countervailing Measures referred to in 
                subparagraph (A).\44\
---------------------------------------------------------------------------
    \44\ Sec. 1102(b)(1) of the Miscellaneous Trade and Technical 
Corrections Act of 1999, (Public Law 106-36; 113 Stat. 133) struck out 
``Article 6 of the Agreement on Interpretation and Application of 
Articles VI, XVI, and XXIII of the General Agreement on Tariffs and 
Trade'' and inserted ``Article 15 of the Agreement on Subsidies and 
Countervailing Measures referred to in subparagraph (A).''
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SEC. 1404.\45\ REDUCTION OF BARRIERS TO INTERNATIONAL TRADE.
---------------------------------------------------------------------------

    \45\ 22 U.S.C. 262n-3. Added by sec. 611 of the Foreign Operations, 
Export Financing, and Related Programs Appropriations Act, 1999, Public 
Law 105-277 (division A, sec. 101(d)) (112 Stat. 2681-228).
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    The Secretary of the Treasury shall instruct the United 
States Executive Director at the International Monetary Fund to 
use aggressively the voice and vote of the United States to 
vigorously promote policies to encourage the opening of markets 
for agricultural commodities and products by requiring 
recipient countries to make efforts to reduce trade barriers.

                     TITLE XV--OTHER POLICIES \29\

    Sec. 1501.\46\ (a) In any negotiations concerning 
replenishment or an increase in capital for any multilateral 
development bank, the Secretary of the Treasury shall propose, 
as a principal point for negotiations, the following 
institutional reforms:
---------------------------------------------------------------------------
    \46\ 22 U.S.C. 262o.
---------------------------------------------------------------------------
          (1) The establishment of a unified program within 
        each multilateral development bank to assess the extent 
        to which bank lending benefits the least advantaged 
        members of society, particularly women and the poor, 
        and to increase the extent to which such members 
        benefit from future bank lending.
          (2) The establishment of an office or other 
        administrative procedures within each multilateral 
        development bank to--
                  (A) provide in-country liaison services for 
                nongovernmental organizations operating at the 
                community level;
                  (B) monitor the impact of project and 
                nonproject lending on local populations; and
                  (C) ensure compliance with loan 
                conditionalities, especially loan 
                conditionalities relating to the protection of 
                the quality of life of the poor and the rights 
                of aboriginal minorities.
          (3) A major increase in the number of members of the 
        professional staff of each regional multilateral 
        development bank with training in environmental or 
        social impact analysis or natural science, including--
                  (A) recruitment of additional permanent 
                professional staff; and
                  (B) training programs for existing staff 
                members in these subject areas.
          (4) With respect to the International Bank for 
        Reconstruction and Development, the establishment of a 
        program for policy-based lending to promote the 
        sustainable use of renewable resources and the 
        protection of the environment in borrowing countries.
          (5) An increase in the length of any review period 
        established by any multilateral development bank for 
        board review of staff recommendations by such time as 
        would be sufficient to allow the governments of member 
        countries to review and comment on the staff 
        recommendations before any action is taken by the board 
        of directors of such bank on the recommendations.
    (b) The Secretary of the Treasury shall instruct the United 
States Executive Director of each multilateral development bank 
to request the management of such bank to prepare an annual 
report which identifies and describes the most exemplary 
lending practices or loan components implemented during the 
preceding year with respect to each of the following lending 
policy goals for each major borrowing country or country group:
          (1) Benefit to the poor.
          (2) Involvement of nongovernmental organizations and 
        local and indigenous populations in loan design, 
        implementation, planning, and monitoring.
          (3) Integration of, consideration of, and concern for 
        environmental quality and the sustainable use of 
        natural resources into loan design, implementation, 
        planning, and monitoring.
          (4) Recognition of and support for the economic and 
        social development of women.

SEC. 1502.\47\ MILITARY SPENDING BY RECIPIENT COUNTRIES; MILITARY 
                    INVOLVEMENT IN THE ECONOMIES OF RECIPIENT 
                    COUNTRIES.

    (a) Consideration of Commitment To Achieving Certain 
Goals.--
---------------------------------------------------------------------------
    \47\ 22 U.S.C. 262o-1. Sec. 526(d) of the Foreign Operations, 
Export Financing, and Related Programs Appropriations Act, 1995 (Public 
Law 103-306; 108 Stat. 1633) added sec. 1502.
---------------------------------------------------------------------------
          (1) In general.--The Secretary of the Treasury shall 
        instruct the United States Executive Directors of the 
        international financial institutions (as defined in 
        section 1701(c)(2)) to promote growth in the 
        international economy by taking into account, when 
        considering whether to support or oppose loan proposals 
        at these institutions, the extent to which the 
        recipient government has demonstrated a commitment to 
        achieving the following goals:
                  (A) to provide accurate and complete data on 
                the annual expenditures and receipts of the 
                armed forces;
                  (B) to establish good and publicly 
                accountable governance, including an end to 
                excessive military involvement in the economy; 
                and
                  (C) to make substantial reductions in 
                excessive military spending and forces.
    (b) Steps To Achieve Goals Required.--The Secretary of the 
Treasury shall instruct the United States Executive Directors 
of the international financial institutions (as so defined) to 
promote a policy at each institution under which--
          (1) the respective institution monitors closely and, 
        through regular policy consultations with recipient 
        governments, seeks to influence the composition of 
        public expenditure in favor of funding growth and 
        development priorities and away from unproductive 
        expenditure, including excessive military expenditures;
          (2) the respective institution supports lending 
        operations which assist efforts of recipient 
        governments to promote good governance, including 
        public participation, and reduce military expenditures; 
        and
          (3) the allocation of resources and the extension of 
        credit by the respective institution takes into account 
        the performance of recipient governments in the areas 
        of good governance, ending excessive military 
        involvement in the economy and reducing excessive 
        military expenditures.

SEC. 1503.\48\ ADVOCACY OF POLICIES TO ENHANCE THE GENERAL 
                    EFFECTIVENESS OF THE INTERNATIONAL MONETARY FUND.
---------------------------------------------------------------------------

    \48\ 22 U.S.C. 262o-2. Added by sec. 610(a) (112 Stat. 2681-224) of 
the Foreign Operations, Export Financing, and Related Programs 
Appropriations Act, 1999, Public Law 105-277 (division A, sec. 101(d)).
    Sec. 504 (113 Stat. 1501A-317) of the Foreign Operations, Export 
Financing, and Related Programs Appropriations Act, 2000, Appendix B, 
sec. 1000(a)(5) of Public Law 106-113, further provided the following:
---------------------------------------------------------------------------

``SEC. 504. ADDITIONAL PROVISIONS
---------------------------------------------------------------------------
    ``(a) Publication of IMF Operational Budgets.--The Secretary of the 
Treasury shall instruct the United States Executive Director at the 
International Monetary Fund to use the voice, vote, and influence of 
the United States to urge vigorously the International Monetary Fund to 
publish the operational budgets of the International Monetary Fund, on 
a quarterly basis, not later than one year after the end of the period 
covered by the budget.
    ``(b) Report to the Congress Showing Costs of United States 
Participation in the International Monetary Fund.--The Secretary of the 
Treasury shall prepare and transmit to the Committees on Banking and 
Financial Services, on Appropriations, and on International Relations 
of the House of Representatives and the Committees on Banking, Housing, 
and Urban Affairs, on Foreign Relations, and on Appropriations of the 
Senate a quarterly report, which shall be made readily available to the 
public, on the costs or benefits of United States participation in the 
International Monetary Fund and which shall detail the costs and 
benefits to the United States, as well as valuation gains or losses on 
the United States reserve position in the International Monetary Fund.
    ``(c) Continuation of Forgoing of Reimbursement of IMF for Expenses 
of Administering ESAF.--The Secretary of the Treasury shall instruct 
the United States Executive Director at the International Monetary Fund 
to use the voice, vote, and influence of the United States to urge 
vigorously the International Monetary Fund to continue to forgo 
reimbursements of the expenses incurred by the International Monetary 
Fund in administering the Enhanced Structural Adjustment Facility, 
until the Heavily Indebted Poor Countries Initiative (as defined in 
section 1623 of the International Financial Institutions Act) is 
terminated.
    ``(d) No Gold Sales by International Monetary Fund Without Prior 
Authorization by the Congress.--(1) The first sentence of section 5 of 
the Bretton Woods Agreements Act (22 U.S.C. 286c) is amended in clause 
(g) by striking ``approve either the disposition of more than 25 
million ounces of Fund gold for the benefit of the Trust Fund 
established by the Fund on May 6, 1976, or the establishment of any 
additional trust fund whereby resources of the International Monetary 
Fund would be used for the special benefit of a single member, or of a 
particular segment of the membership, of the Fund.'' and inserting 
``approve any disposition of Fund gold, unless the Secretary certifies 
to the Congress that such disposition is necessary for the Fund to 
restitute gold to its members, or for the Fund to provide liquidity 
that will enable the Fund to meet member country claims on the Fund or 
to meet threats to the systemic stability of the international 
financial system.''.
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          ``(2) Not less than 30 days prior to the entrance by the 
        United States into international negotiations for the purpose 
        of reaching agreement on the disposition of Fund gold whereby 
        resources of the Fund would be used for the special benefit of 
        a single member, or of a particular segment of the membership 
        of the Fund, the Secretary of the Treasury shall consult with 
        the Committees on Banking and Financial Services, on 
        Appropriations, and on International Relations of the House of 
        Representatives and the Committees on Foreign Relations, on 
        Appropriations, and on Banking, Housing and Urban Affairs of 
        the Senate.
---------------------------------------------------------------------------
    ``(e) Annual Report by GAO on Consistency of IMF Practices With 
Statutory Policies.--The Comptroller General of the United States shall 
annually prepare and submit to the Congress of the United States a 
written report on the extent to which the practices of the 
International Monetary Fund are consistent with the policies of the 
United States, as expressly contained in Federal law applicable to the 
International Monetary Fund.''.
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    (a) In General.--The Secretary of the Treasury shall 
instruct the United States Executive Director of the 
International Monetary Fund to use aggressively the voice and 
vote of the Executive Director to do the following:
          (1) Vigorously promote policies to increase the 
        effectiveness of the International Monetary Fund in 
        structuring programs and assistance so as to promote 
        policies and actions that will contribute to exchange 
        rate stability and avoid competitive devaluations that 
        will further destabilize the international financial 
        and trading systems.
        (2) Vigorously promote policies to increase the 
        effectiveness of the International Monetary Fund in 
        promoting market-oriented reform, trade liberalization, 
        economic growth, democratic governance, and social 
        stability through--
                  (A) establishing an independent monetary 
                authority, with full power to conduct monetary 
                policy, that provides for a non-inflationary 
                domestic currency that is fully convertible in 
                foreign exchange markets;
                  (B) opening domestic markets to fair and open 
                internal competition among domestic enterprises 
                by eliminating inappropriate favoritism for 
                small or large businesses, eliminating elite 
                monopolies, creating and effectively 
                implementing anti-trust and anti-monopoly laws 
                to protect free competition, and establishing 
                fair and accessible legal procedures for 
                dispute settlement among domestic enterprises;
                  (C) privatizing industry in a fair and 
                equitable manner that provides economic 
                opportunities to a broad spectrum of the 
                population, eliminating government and elite 
                monopolies, closing loss-making enterprises, 
                and reducing government control over the 
                factors of production;
                  (D) economic deregulation by eliminating 
                inefficient and overly burdensome regulations 
                and strengthening the legal framework 
                supporting private contract and intellectual 
                property rights;
                  (E) establishing or strengthening key 
                elements of a social safety net to cushion the 
                effects on workers of unemployment and 
                dislocation; and
                  (F) encouraging the opening of markets for 
                agricultural commodities and products by 
                requiring recipient countries to reduce trade 
                barriers.
          (3) Vigorously promote policies to increase the 
        effectiveness of the International Monetary Fund, in 
        concert with appropriate international authorities and 
        other international financial institutions (as defined 
        in section 1701(c)(2)), in strengthening financial 
        systems in developing countries, and encouraging the 
        adoption of sound banking principles and practices, 
        including the development of laws and regulations that 
        will help to ensure that domestic financial 
        institutions meet strong standards regarding capital 
        reserves, regulatory oversight, and transparency.
          (4) Vigorously promote policies to increase the 
        effectiveness of the International Monetary Fund, in 
        concert with appropriate international authorities and 
        other international financial institutions (as defined 
        in section 1701(c)(2)), in facilitating the development 
        and implementation of internationally acceptable 
        domestic bankruptcy laws and regulations in developing 
        countries, including the provision of technical 
        assistance as appropriate.
          (5) Vigorously promote policies that aim at 
        appropriate burden-sharing by the private sector so 
        that investors and creditors bear more fully the 
        consequences of their decisions, and accordingly 
        advocate policies which include--
                  (A) strengthening crisis prevention and early 
                warning signals through improved and more 
                effective surveillance of the national economic 
                policies and financial market development of 
                countries (including monitoring of the 
                structure and volume of capital flows to 
                identify problematic imbalances in the inflow 
                of short and medium term investment capital, 
                potentially destabilizing inflows of offshore 
                lending and foreign investment, or problems 
                with the maturity profiles of capital to 
                provide warnings of imminent economic 
                instability), and fuller disclosure of such 
                information to market participants;
                  (B) accelerating work on strengthening 
                financial systems in emerging market economies 
                so as to reduce the risk of financial crises;
                  (C) consideration of provisions in debt 
                contracts that would foster dialogue and 
                consultation between a sovereign debtor and its 
                private creditors, and among those creditors;
                  (D) consideration of extending the scope of 
                the International Monetary Fund's policy on 
                lending to members in arrears and of other 
                policies so as to foster the dialogue and 
                consultation referred to in subparagraph (C);
                  (E) intensified consideration of mechanisms 
                to facilitate orderly workout mechanisms for 
                countries experiencing debt or liquidity 
                crises;
                  (F) consideration of establishing ad hoc or 
                formal linkages between the provision of 
                official financing to countries experiencing a 
                financial crisis and the willingness of market 
                participants to meaningfully participate in any 
                stabilization effort led by the International 
                Monetary Fund;
                  (G) using the International Monetary Fund to 
                facilitate discussions between debtors and 
                private creditors to help ensure that financial 
                difficulties are resolved without inappropriate 
                resort to public resources; and
                  (H) the International Monetary Fund 
                accompanying the provision of funding to 
                countries experiencing a financial crisis 
                resulting from imprudent borrowing with efforts 
                to achieve a significant contribution by the 
                private creditors, investors, and banks which 
                had extended such credits.
          (6) Vigorously promote policies that would make the 
        International Monetary Fund a more effective mechanism, 
        in concert with appropriate international authorities 
        an other international financial institutions (as 
        defined in section 1701(c)(2)), for promoting good 
        governance principles within recipient countries by 
        fostering structural reforms, including procurement 
        reform, that reduce opportunities for corruption and 
        bribery, and drug-related money laundering.
          (7) Vigorously promote the design of International 
        Monetary Fund programs and assistance so that 
        governments that draw on the International Monetary 
        Fund channel public funds away from unproductive 
        purposes, including large ``show case'' projects and 
        excessive military spending, and toward investment in 
        human and physical capital as well as social programs 
        to protect the neediest and promote social equity.
          (8) Work with the International Monetary Fund to 
        foster economic prescriptions that are appropriate to 
        the individual economic circumstances of each recipient 
        country, recognizing that inappropriate stabilization 
        programs may only serve to further destabilize the 
        economy and create unnecessary economic, social, and 
        political dislocation.
          (9) Structure the International Monetary Fund 
        programs and assistance so that the maintenance and 
        improvement of core labor standards are routinely 
        incorporated as an integral goal in the policy dialogue 
        with recipient countries, so that--
                  (A) recipient governments commit to affording 
                workers the right to exercise internationally 
                recognized core worker rights, including the 
                right of free association and collective 
                bargaining through unions of their own 
                choosing;
                  (B) measures designed to facilitate labor 
                market flexibility are consistent with such 
                core worker rights; and
                  (C) the staff of the International Monetary 
                Fund surveys the labor market policies and 
                practices of recipient countries and recommends 
                policy initiatives that will help to ensure the 
                maintenance or improvement of core labor 
                standards.
          (10) Vigorously promote International Monetary Fund 
        programs and assistance that are structured to the 
        maximum extent feasible to discourage practices which 
        may promote ethnic or social strife in a recipient 
        country.
          (11) Vigorously promote recognition by the 
        International Monetary Fund that macroeconomic 
        developments and policies can affect and be affected by 
        environmental conditions and policies, and urge the 
        International Monetary Fund to encourage member 
        countries to pursue macroeconomic stability while 
        promoting environmental protection.
          (12) Facilitate greater International Monetary Fund 
        transparency, including by enhancing accessibility of 
        the International Monetary Fund and its staff, 
        fostering a more open release policy toward working 
        papers, past evaluations, and other International 
        Monetary Fund documents, seeking to publish all Letters 
        of Intent to the International Monetary Fund and Policy 
        Framework Papers, and establishing a more open release 
        policy regarding Article IV consultations.
          (13) Facilitate greater International Monetary Fund 
        accountability and enhance International Monetary Fund 
        self-evaluation by vigorously promoting review of the 
        effectiveness of the Office of Internal Audit and 
        Inspection and the Executive Board's external 
        evaluation pilot program and, if necessary, the 
        establishment of an operations evaluation department 
        modeled on the experience of the International Bank for 
        Reconstruction and Development, guided by such key 
        principles as usefulness, credibility, transparency, 
        and independence.
          (14) Vigorously promote coordination with the 
        International Bank for Reconstruction and Development 
        and other international financial institutions (as 
        defined in section 1701(c)(2)) in promoting structural 
        reforms which facilitate the provision of credit to 
        small businesses, including microenterprise lending, 
        especially in the world's poorest, heavily indebted 
        countries.
    (b) Coordination With Other Executive Departments.--To the 
extent that it would assist in achieving the goals described in 
subsection (a), the Secretary of the Treasury shall pursue the 
goals in coordination with the Secretary of State, the 
Secretary of Labor, the Secretary of Commerce, the 
Administrator of the Environmental Protection Agency, the 
Administrator of the Agency for International Development, and 
the United States Trade Representative.

                     TITLE XVI--HUMAN WELFARE \29\

    Sec. 1601.\49\ (a) The Secretary of the Treasury shall 
instruct the United States Executive Director of the 
International Bank for Reconstruction and Development and the 
International Development Association to initiate discussions 
with other directors of the respective institutions and to 
propose that--
---------------------------------------------------------------------------
    \49\ 22 U.S.C. 262p.
---------------------------------------------------------------------------
          (1) guidelines be established which reflect clear and 
        tangible concern for the impact adjustment lending 
        programs, and the activities in support of which such 
        lending is made, have and will have on human welfare; 
        and
          (2) impact statements be required which assess the 
        effect an adjustment lending program, and the 
        activities in support of which such lending is made, 
        will have on the poor of the country to which such 
        lending is made.
    (b) In the discussions referred to in subsection (a) with 
respect to the impact statement described in paragraph (2) of 
such subsection, the United States Executive Director should 
propose that such impact statements--
          (1) specify what the projected effects of the 
        adjustment loan will be on the poor;
          (2) explain what procedures have been or will be 
        taken to strengthen the in-country capacity of the 
        borrower to--
                  (A) monitor nutrition levels in a timely 
                manner; and
                  (B) measure the impact an adjustment loan, 
                and the policies and activities in support of 
                which such loan is made, has on the living 
                standards of the country's population, 
                especially the poorest; and
          (3) indicate specifically what steps the borrower 
        will take to--
                  (A) mitigate any adverse effect the policies 
                and activities in support of which an 
                adjustment loan is made are expected to have on 
                the living standards of the poor (including the 
                use of the proceeds of any adjustment loan, 
                project aid, or other compensatory measure to 
                mitigate such effect); and
                  (B) maximize the extent of the participation 
                of the poor in the economic benefits resulting 
                from an adjustment loan.
    (c) The Secretary of the Treasury shall instruct the United 
States Executive Director of the International Bank for 
Reconstruction and Development and the International 
Development Association to request the management of the 
respective institutions to prepare a report for distribution to 
member governments no later than June 30, 1988, that--
          (1) assesses the impact on the poor of structural 
        adjustment in countries to which structural adjustment 
        lending has been made; and
          (2) specifies the steps that have been or will be 
        taken by the respective institution to--
                  (A) mitigate any adverse effect of adjustment 
                lending, and the activities in support of which 
                such lending is made, on the living standards 
                of the poor in the countries to which such 
                loans are made; and
                  (B) ensure the participation of the poor in 
                the economic benefits resulting from adjustment 
                lending and the activities in support of which 
                such lending is made.
    (d) For purposes of this section and section 1302, the term 
``adjustment lending'' means nonproject lending in support of 
structural macroeconomic reforms or sectoral economic reform.
    Sec. 1602.\50\ (a) The Secretary of the Treasury shall 
instruct the United States Executive Director of the 
International Bank for Reconstruction and Development and the 
International Development Association to initiate discussions 
with other directors of such institutions and to propose the 
establishment of a Grassroots Collaboration Program to develop 
improved mechanisms for involving, directly or indirectly, 
nongovernmental organizations in the design, implementation, 
and monitoring of development projects financed by, or 
development policies established by, such bank or association 
in order to alleviate poverty and promote environmental 
protection, including--
---------------------------------------------------------------------------
    \50\ 22 U.S.C. 262p-1.
---------------------------------------------------------------------------
          (1) encouraging nongovernmental organizations in 
        borrowing countries to participate in all stages of 
        project planning and country strategy activities to--
                  (A) minimize any adverse impact of such 
                projects or activities on the poor people of 
                such country;
                  (B) minimize any adverse impact of such 
                projects or activities on the environment of 
                such country; and
                  (C) maximize the extent to which such 
                projects or activities will benefit the poor 
                people of such country;
          (2) increasing the direct involvement of 
        nongovernmental organizations in project design, 
        implementation, or monitoring whenever such 
        organizations have a distinct comparative advantage 
        over other entities in providing such services by 
        virtue of their grassroots involvement with poor 
        people, especially women, in a borrowing country;
          (3) providing microenterprise credit for small scale 
        economic activities through nongovernmental 
        organizations;
          (4) supporting the enhancement of the institutional 
        capacity of nongovernmental organizations in borrowing 
        countries as development practitioners; and
          (5) establishing or supporting jointly funded 
        intermediary mechanisms with nongovernmental 
        organizations to facilitate increased collaboration 
        between such bank or association and nongovernmental 
        organizations in borrowing countries.
    (b) It is the sense of the Congress that the Grassroots 
Collaboration Program described in subsection (a) should be 
implemented and financed as part of the normal operations of 
the International Bank for Reconstruction and Development and 
the International Development Association.
    (c) To the extent the activities under the Grassroots 
Collaboration Program described in subsection (a) need more 
flexible financing, it is the sense of the Congress that--
          (1) such activities could be funded through a grant 
        from the net income of the International Bank for 
        Reconstruction and Development; and
          (2) an initial grant of not less than $50,000,000 
        should be made for such activities with subsequent 
        annual allocations of such additional amounts as may be 
        necessary to allow the Grassroots Collaboration Program 
        to maximize collaboration with nongovernmental 
        organizations in the alleviation of poverty and the 
        protection of the environment.
    (d) \51\ * * * [Repealed--1989]
---------------------------------------------------------------------------
    \51\ Sec. 541 of the International Development and Finance Act of 
1989 (Public Law 101-240; 103 Stat. 2518) consolidated several 
reporting requirements into new secs. 1701-1703 and titles XVIII and 
XIX of the International Financial Institutions Act and repealed 
duplicative requirements in other legislation. Sec. 541(d)(4) repealed 
subsec. (d).
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    (e) Each annual report to the Congress by the National 
Advisory Council on International Monetary and Financial 
Policies shall describe the status of the establishment and 
operation of the Grassroots Collaboration Program described in 
subsection (a), the activities undertaken by the Program, and 
the sum of the amounts expended by the Program.
    Sec. 1603.\52\ (a) The Secretary of the Treasury shall 
instruct the United States Executive Directory of the 
International Bank for Reconstruction and Development and the 
International Development Association to initiate discussions 
with other directors of such Bank or Association to propose 
that--
---------------------------------------------------------------------------
    \52\ 22 U.S.C. 262p-2.
---------------------------------------------------------------------------
          (1) in carrying on the activities of the Bank or 
        Association, the Bank or Association take such steps as 
        may be necessary to increase access for the poor people 
        of a borrowing country to formal sources of credit; and
          (2) the Bank or Association include a requirement in 
        all appropriate project and nonproject agreements, as a 
        condition for assistance under such agreements, that 
        the borrowing country identify and remove unreasonable 
        legal and regulatory barriers to--
                  (A) the establishment or operation of 
                organizations which extend credit; and
                  (B) the provision of credit to 
                microenterprises for small scale economic 
                activities.
    (b) The Secretary of the Treasury shall instruct the United 
States Executive Directors of the African Development Bank and 
the Asian Development Bank to initiate discussions with other 
directors of the respective banks and to propose that each such 
bank--
          (1) examine the Program for the Financing of Small 
        Projects of the Inter-American Development Bank and the 
        steps taken by such bank to link the Program to the 
        mainstream operation of the bank; and
          (2) explore ways and means to establish similar 
        program within the respective banks to provide credit 
        to microenterprises for small scale economic 
        activities.
    (c) Each annual report to the Congress by the National 
Advisory Council on International Monetary and Financial 
Policies shall describe the status of the microenterprise 
credit promotion activities of each of the institutions 
referred to in subsection (a) or (b).
    Sec. 1604.\53\ (a) Congress hereby declares that it is the 
policy of the United States that multilateral development banks 
should--
---------------------------------------------------------------------------
    \53\ 22 U.S.C. 262p-3.
---------------------------------------------------------------------------
          (1) fully involve women in borrowing countries in the 
        identification, planning, implementation, and 
        evaluation of mainstream development activities 
        financed by such banks;
          (2) recognize and support women's direct and indirect 
        roles in the economic development of their countries 
        and communities;
          (3) recognize and support women's direct and indirect 
        roles in the education and social development of, the 
        maintenance of the health of, and in the provision of 
        adequate nutrition for, family members and communities, 
        especially children;
          (4) work to remove legal and customary barriers which 
        impede the full participation of women in economic and 
        social development, such as lack of access to credit, 
        property rights, education, health care, and government 
        services; and
          (5) involve women's groups in borrowing countries in 
        project identification and preparation in order to 
        factor their assessments of women's economic and social 
        needs into project design.
    (b) The Secretary of the Treasury shall instruct--
          (1) the United States Executive Director of the 
        International Bank for Reconstruction and Development 
        and the International Development Association to 
        support attempts to strengthen the role of the Women in 
        Development division in policy development, project 
        design and implementation, and evaluation; and
          (2) the United States Executive Directors of the 
        regional and multilateral development banks to support 
        exploring the establishment of a mechanism, or the 
        strengthening of any existing mechanism, within each of 
        the respective banks, to advise, advocate, and promote 
        the full integration of women in the planning, design, 
        implementation, and evaluation of lending activities 
        both in borrowing countries and within the banks.
    (c) Each annual report to the Congress by the National 
Advisory Council on International Monetary and Financial 
Policies shall describe the actions taken by the multilateral 
development banks to implement the policies established under 
this section.
    Sec. 1605.\54\ The Secretary of the Treasury shall instruct 
the United States Executive Director of each multilateral 
development bank to initiate discussions with other executive 
directors of the respective bank and to propose that the bank 
take such steps as may be necessary--
---------------------------------------------------------------------------
    \54\ 22 U.S.C. 262p-4.
---------------------------------------------------------------------------
          (1) to determine, at the time an initial feasibility 
        study is conducted with respect to a proposed project 
        and to the fullest extent possible, the impact such 
        project would have on indigenous people in the 
        borrowing country;
          (2) to ensure compliance with loan conditionalities 
        relating to the protection of the rights of indigenous 
        people to lands and resources; and
          (3) to consult with indigenous people, and 
        nongovernmental organizations representing indigenous 
        people, at every phase of loan design, planning, 
        implementation, and monitoring.

SEC. 1606.\55\ LOAN PROGRAMS TO REDUCE ECONOMIC DEPENDENCE ON ILLICIT 
                    NARCOTICS.

    (a) Findings.--The Congress finds that--
---------------------------------------------------------------------------
    \55\ 22 U.S.C. 262p-4a. Sec 1606 was added by sec. 6 of H.R. 4645 
as enacted into law by sec. 555 of Public Law 100-461 (102 Stat. 2268). 
The sec. 1606 previously appearing at this point was redesignated as 
sec. 1612.
---------------------------------------------------------------------------
          (1) the illicit narcotics epidemic currently 
        afflicting the United States represents a direct threat 
        to the well-being of every United States citizen;
          (2) every effective means must be pursued to reduce 
        the foreign production and subsequent importation into 
        the United States of illicit narcotics;
          (3) the multilateral development banks can play an 
        integral role in efforts to control the production of 
        illicit narcotics;
          (4) producer country narcotics eradication programs 
        will not be effective unless such programs provide an 
        economic alternative to the production of narcotics;
          (5) efforts to address the illicit narcotics epidemic 
        through production control are doomed to failure unless 
        greater effort is applied to curb use of and demand for 
        illicit narcotics; and
          (6) the appropriate role for the multilateral 
        development banks in the ``War Against Drugs'' is 
        through coordinating and financing alternative economic 
        opportunities in producer and trafficking countries.
    (b) Loan Programs to Reduce Economic Dependence on Illicit 
Narcotics.--The Secretary of the Treasury shall instruct the 
United States Executive Director of the International Bank for 
Reconstruction and Development and the United States Executive 
Director of the Inter-American Development Bank to initiate 
discussion with other executive directors of such institutions 
and to advocate and support the creation, within such 
institutions, of specific country lending programs and policies 
(including crop substitution, creation of roads conducive to 
the expansion of markets for licit goods, other infrastructure 
development measures such as development projects generating 
employment, agricultural extension assistance, and region-
specific development plans) which are particularly oriented to 
reducing or eliminating the economic dependence of regions of 
borrowing countries known to be areas in which illicit 
narcotics are produced or trafficked, on such production and 
trafficking.
    (c) Coordination Among Assistance Programs Designed to 
Reduce Economic Dependency on Illicit Narcotics.--In addition, 
the Secretary of the Treasury should instruct the United States 
Executive Director of the International Bank for Reconstruction 
and Development and the United States Executive Director of the 
Inter-American Development Bank to encourage such institutions 
to provide coordination among other multilateral and bilateral 
assistance programs designed to reduce the economic dependence 
of regions of borrowing countries known to be areas in which 
illicit narcotics are produced or trafficked, on such 
production and trafficking.

SEC. 1607.\56\ DIRECTIVES REGARDING GOVERNMENT-OWNED ENTERPRISES IN 
                    COUNTRIES RECEIVING WORLD BANK LOANS.

    (a) Finding.--The Congress finds that a principal focus of 
United States Government policy in the multilateral development 
banks has been and should be to foster greater development of 
the private sector in member borrowing countries of such banks.
---------------------------------------------------------------------------
    \56\ 22 U.S.C. 262p-4b. Sec. 1607 was added by sec. 7 of H.R. 4645 
as enacted into law by sec. 555 of Public Law 100-461 (102 Stat. 2268).
---------------------------------------------------------------------------
    (b) Technical Assistance to Transform Government-Owned 
Enterprises Into Privately Owned Enterprises.--In order to 
assist and strengthen the advancement of ongoing efforts to 
have the International Bank for Reconstruction and Development 
play a key role in building a viable private sector in member 
borrowing countries of such bank, and to further assist such 
bank in its determination to facilitate the transfer of 
government-owned enterprises in such countries to private 
ownership, the Secretary of the Treasury shall instruct the 
United States Executive Director of such bank to vigorously 
encourage the provision of technical assistance to such 
countries (relying, where appropriate, on the expertise of the 
International Finance Corporation or the Multilateral 
Investment Guarantee Agency) to transform enterprises owned, in 
whole or part, by the governments of such countries into 
privately owned, self-sufficient enterprises. Such technical 
assistance may involve the valuation of the assets of such 
government-owned enterprises, the assessment of tender offers, 
and the creation or strengthening of market-based mechanisms to 
facilitate such a transfer of ownership.
    (c) Reports.--
          (1) In general.--The United States Executive Director 
        of the International Bank for Reconstruction and 
        Development shall submit 3 reports to the Congress on--
                  (A) the progress made in transforming 
                government owned enterprises into privately 
                owned enterprises as described in subsection 
                (b);
                  (B) the performance of the privately owned 
                enterprises resulting from such transformation; 
                and
                  (C) the contributions of development finance 
                companies toward strengthening the private 
                sector in member borrowing countries.
    (2) Timing.--The United States Executive Director of the 
International bank for Reconstruction and Development shall 
submit to the Congress the first report required by paragraph 
(2) within 1 year after the date of the enactment of this 
section, and shall submit additional reports 12 months, and 24 
months, after the date the first report is submitted.

SEC. 1608.\57\ INITIATION OF DISCUSSIONS TO FACILITATE DEBT-FOR-
                    DEVELOPMENT SWAPS FOR HUMAN WELFARE AND 
                    ENVIRONMENTAL CONSERVATION.

    (a) Findings.--The Congress finds that--
---------------------------------------------------------------------------
    \57\ 22 U.S.C. 262p-4c. Sec. 1608 was added by sec. 8 of H.R. 4645 
as enacted into law by sec. 555 of Public Law 100-461 (102 Stat. 2268).
---------------------------------------------------------------------------
          (1) voluntary debt-for-development swaps in heavily 
        indebted developing nations can simultaneously 
        facilitate reduction of the burden of external 
        indebtedness and increase the resources available 
        within the country for charitable, educational, and 
        scientific purposes, including environmental 
        conservation, educational, and scientific purposes, 
        including environmental conservation, education, human 
        welfare, health, agricultural research and development, 
        microenterprise credit, and development of indigenous 
        nonprofit organizations; and
          (2) heavily indebted developing countries may desire 
        to facilitate such swaps to the maximum extent 
        consistent with sound domestic economic management and 
        minimization of inflationary impact.
    (b) Initiation of Discussions to Facilitate Debt-For-
Development Swaps for Human Welfare and Environmental 
Conservation.--
          (1) In general.--The Secretary of the Treasury shall 
        instruct the United States Executive Director of the 
        International Bank for Reconstruction and Development 
        to initiate discussions with the directors of such 
        bank, the International Development Association, and 
        the International Finance Corporation and propose that 
        such institutions provide advice and assistance, as 
        appropriate, to borrowing country governments desiring 
        to facilitate debt-for-development swaps, on mechanisms 
        (including trust funds) to accomplish this purpose, 
        particularly in the context of debt rescheduling, which 
        mechanisms result in sound management of the 
        macroeconomic impact of such swaps on such countries, 
        and preserve the value of the capital obtained through 
        such swaps.
          (2) Definitions.--As used in this section:
                  (A) Debt-for-development swap.--The term 
                ``debt-for-development swap'' means the 
                purchase of qualified debt by, or the donation 
                of such debt to, an organization described in 
                section 501(c)(3) of the Internal Revenue Code 
                of 1986 which is exempt from taxation under 
                section 501(a) of such Code, and the subsequent 
                transfer of such debt to an organization 
                located in such foreign country in exchange for 
                an undertaking by such tax-exempt organization, 
                such foreign government, or such foreign 
                organization to engage in a charitable, 
                educational, or scientific activity.
                  (B) Qualified debt.--The term ``qualified 
                debt'' means--
                          (i) sovereign debt issued by a 
                        foreign government;
                          (ii) debt owed by private 
                        institutions in the country governed by 
                        such foreign government; and
                          (iii) debt owed by institutions in 
                        the country governed by such foreign 
                        government, which are owned, in part, 
                        by private persons and, in part, by 
                        public institutions.

SEC. 1609.\58\ INITIATION OF DISCUSSIONS TO FACILITATE FINANCING OF 
                    HUMAN WELFARE AND NATURAL RESOURCE PROGRAMS IN SUB-
                    SAHARAN AFRICA IN CONNECTION WITH DEBT REDUCTION 
                    AND CONVERSION.

    (a) Finding.--The Congress finds that--
---------------------------------------------------------------------------
    \58\ 22 U.S.C. 262p-4d. Added by sec. 9 of H.R. 4645 as passed by 
the House on Sept. 28, 1988, and enacted into law by sec. 555 of Public 
Law 100-461 (102 Stat. 2268).
---------------------------------------------------------------------------
          (1) the heavy burden of debt borne by sub-Saharan 
        governments undermines efforts by such governments to 
        finance projects and programs designed to promote 
        charitable, educational, and scientific purposes, 
        including education, human welfare, health, 
        agricultural research and development, and 
        conservation, restoration and enhancement of the 
        natural resource base; and
          (2) the financing of programs to promote such 
        charitable, educational, and scientific purposes should 
        be facilitated in the context of reducing and 
        converting sovereign debt of sub-Saharan governments, 
        as encouraged in the final communique of the June 1988 
        economic summit conference in Toronto, Canada, through 
        such means as--
                  (A) concessional interest rates;
                  (B) extended repayment periods; or
                  (C) partial or complete write-offs of debt 
                service obligations.
    (b) Initiation of Discussions To Facilitate Financing of 
Human Welfare and Natural Resource Programs in Sub-Saharan 
Africa in Connection With Debt Reduction and Conversion.--The 
Secretary of the Treasury shall instruct the United States 
Executive Director of the African Development Bank and the 
African Development Fund to initiate discussions with the 
directors of such institutions and propose that such 
institutions, jointly with the International Bank for 
Reconstruction and Development, International Development 
Association, and the International Finance Corporation, as 
appropriate, provide advice and assistance to government 
creditors holding sovereign debt of any sub-Saharan government, 
and to sub-Saharan governments which desire to finance programs 
with local currencies obtained through debt reduction and 
conversion to promote charitable, educational, and scientific 
(including conservation and restoration of natural resources) 
purposes, as a condition of reducing or converting such 
sovereign debt.

SEC. 1610.\59\ EXTENT TO WHICH BORROWING COUNTRY GOVERNMENTS HAVE 
                    HONORED DEBT-FOR-DEVELOPMENT SWAP AGREEMENTS TO BE 
                    CONSIDERED AS FACTOR IN MAKING LOANS TO SUCH 
                    BORROWERS.

    (a) In General.--The Secretary of the Treasury shall 
instruct the United States Executive Director of the 
International Bank for Reconstruction and Development to 
initiate discussions with the directors of such bank and 
propose that such bank consider, as an important factor in 
making loans to borrowing country governments, the history of 
compliance by such governments with, and the extent to which 
such governments have honored, agreements entered into by such 
governments as part of any debt-for-development swap which 
requires such governments to set aside or otherwise limit the 
use of real property to conservation purposes.
---------------------------------------------------------------------------
    \59\ 22 U.S.C. 262p-4e. Sec. 1610 was added by sec. 10 of H.R. 4645 
as passed by the House on Sept. 28, 1988, and enacted into law by sec. 
555 of Public Law 100-461 (102 Stat. 2268).
---------------------------------------------------------------------------
    (b) Definitions.--As used in this section:
          (1) Debt-for-development swap.--The term ``debt-for-
        development swap'' means the purchase of qualified debt 
        by, or the donation of such debt to, an organization 
        described in section 501(c)(3) of the Internal Revenue 
        code of 1986 which is exempt from taxation under 
        section 501(a) of such Code, and the subsequent 
        transfer of such debt to an organization located in 
        such foreign country in exchange for an undertaking by 
        such tax-exempt organization, such foreign government, 
        or such foreign organization to engage in a charitable, 
        educational, or scientific activity.
          (2) Qualified debt.--The term ``qualified debt'' 
        means--
                  (A) sovereign debt issued by a foreign 
                government;
                  (B) debt owed by private institutions in the 
                country governed by such foreign government; 
                and
                  (C) debt owed by institutions in the country 
                governed by such foreign government which are 
                owned, in part, by private persons and, in 
                part, by public institutions.

SEC. 1611.\60\ ASSISTANCE TO COUNTRIES TO DEVELOP STATISTICAL 
                    ASSESSMENT OF THE WELL-BEING OF THE POOR.

    (a) Finding.--The Congress finds that--
---------------------------------------------------------------------------
    \60\ 22 U.S.C. 262p-4f. Added by sec. 11 of H.R. 4645 as passed by 
the House on Sept. 28, 1988, and enacted into law by sec. 555 of Public 
Law 100-461 (102 Stat. 2268).
---------------------------------------------------------------------------
          (1) improvements in the capacity of developing 
        countries to measure and monitor regularly the 
        nutritional and physical well-being of the poorest 40 
        percent of the population of each of such countries is 
        essential to the development of policies to reduce 
        absolute poverty;
          (2) internationally accepted statistical indicators 
        that measure reliably the extent of absolute poverty 
        and identify the location and characteristics of the 
        poor are being developed and refined to guide policy 
        formulation and target assistance to the poor;
          (3) such guidance by indicators is, however, not able 
        to be used in some developing countries, especially the 
        poorest countries, due to the woeful unavailability of 
        statistical data;
          (4) the International Bank for Reconstruction and 
        Development and the International Development 
        Association have the technical and financial capability 
        to assist borrowing country governments to develop such 
        statistical measurement capabilities for social 
        indicators necessary for the design and monitoring of 
        poverty-reduction policies for such governments;
          (5) availability of social indicator data is also 
        essential to the work of such institutions, 
        particularly in monitoring the impact of structural 
        adjustment lending on the poor; and
          (6) availability of such indicators will also 
        facilitate the measurement of progress in the 
        alleviation of poverty by other donor agencies, public 
        and private.
    (b) Assistance to Countries to Develop Statistical 
Assessment of the Well-Being of the Poor.--The Secretary of the 
treasury shall instruct the United States Executive Director of 
the International Bank for Reconstruction and Development and 
the International Development Association to advocate and 
support, as an immediate priority, assistance by such 
institutions to borrowing country governments to develop 
appropriate statistical measures for assessing the physical 
well-being of the poor, by sex and age, by using such 
indicators as mortality, health, education, and nutrition, as 
well as wealth and income, and maintain and publish such 
indicators on an ongoing basis.

SEC. 1612.\61\ DIRECTIVES REGARDING GOVERNMENT-OWNED ENTERPRISES IN 
                    COUNTRIES RECEIVING IADB LOANS.

    (a) Finding.--The Congress finds that a principal focus of 
United States Government policy in the multilateral development 
banks has been and should be to foster greater development of 
the private sector in member borrowing countries of such banks.
---------------------------------------------------------------------------
    \61\ 22 U.S.C. 262p-4g. Sec. 206 of the International Development 
and Finance Act of 1989 (Public Law 101-240; 103 Stat. 2499), 
redesignated sec. 1612 as 1613, and added sec. 1612.
---------------------------------------------------------------------------
  (b) Technical Assistance to Transform Government-Owned 
Enterprises Into Privately Owned Enterprises.--In order to 
assist and strengthen the advancement of ongoing efforts to 
have the Inter-American Development Bank play a key role in 
building a viable private sector in member borrowing countries 
of such bank, and to further assist such bank in its 
determination to facilitate the transfer of government-owned 
enterprises in such countries to private ownership, the 
Secretary of the Treasury shall instruct the United States 
Executive Director of such bank to vigorously encourage the 
provision of technical assistance to such countries to 
transform enterprises owned, in whole or in part, by the 
governments of such countries into privately owned, self-
sufficient enterprises. Such technical assistance may involve 
the valuation of the assets of such government-owned 
enterprises, the assessment of tender offers, and the creation 
or strengthening of market-based mechanisms to facilitate such 
a transfer of ownership.

SEC. 1613.\62\ DISCUSSIONS TO INCREASE THE PRODUCTIVE ECONOMIC 
                    PARTICIPATION OF THE POOR; REPORTS.

    (a) In General.--The Secretary of the Treasury shall 
instruct the United States Executive Director for each 
multilateral development bank to vigorously and continually 
advocate, in all replenishment negotiations and in discussion 
with other directors of such bank and with such bank, the 
following:
---------------------------------------------------------------------------
    \62\ 22 U.S.C. 262p-4h. Sec. 501 of the International Development 
and Finance Act of 1989 (Public Law 101-240; 103 Stat. 2505) added sec. 
1613.
---------------------------------------------------------------------------
          (1) A major objective of such bank's operations and 
        financing in each borrowing country, as a long term 
        priority, should be to increase the productive role of 
        the poor in the economy of such country.
          (2) Such bank should encourage and assist each 
        borrowing country to develop sustainable national plans 
        and strategies to eliminate the causes and alleviate 
        the manifestations of poverty which keep the poor from 
        leading economically and socially productive lives. 
        Such plans and strategies should give attention to--
                  (A) the enhancement of human resources, 
                including programs for basic nutrition, primary 
                health services, basic education, and safe 
                water and basic sanitation;
                  (B) access to income-generating activities, 
                employment, and productive assets such as land 
                and credit; and
                  (C) consultation with public sector social 
                agencies and local non-governmental 
                organizations.
          (3) As an integral element of ongoing policy dialogue 
        with each borrowing country to design structural 
        adjustment plans and project lending programs, such 
        bank should provide assistance consistent with 
        achieving the objectives of the country's national plan 
        for increasing the productive economic participation of 
        the poor. Such dialogue should be conducted with 
        government agencies working in social and economic 
        sectors and with non-governmental groups in the 
        borrowing country, especially those that have 
        grassroots involvement with poor people.
          (4) In an annual review document, such bank should 
        describe the extent to which the goal of increasing the 
        productive economic participation of the poor is being 
        advanced or retarded and the steps that are being taken 
        to overcome obstacles to its fulfillment. Such review 
        should be based on information contained in the bank's 
        country implementation review documents and in the 
        country strategy documents for each borrowing country. 
        Such country strategy documents should describe the 
        national strategy for productive economic participation 
        of the poor and the steps the bank plans to take to 
        assist the borrowing country during the period covered 
        by the country strategy document.
          (5) Such bank should assist countries in assessing 
        and monitoring progress in achieving poverty 
        alleviation goals and targets through measurement by 
        appropriate social indicators.
          (6) Such bank should adopt procedures and budgetary 
        allocations for administrative purposes, and establish 
        appropriate staffing levels, to ensure that adequate 
        resources are available to implement the bank's program 
        for enhancing the productive economic participation of 
        the poor, in consultation with non-governmental groups.
          (7) Such bank should adopt, as a separate and major 
        criterion in the allocation of concessional financing 
        resources, a preferential allocation to each country 
        which undertakes significant efforts to enhance the 
        productive economic participation of the poor.
          (8) Such bank should require each country which 
        receives structural adjustment assistance to have in 
        place, after a reasonable phase-in period, a strategy 
        to enhance the productive economic participation of the 
        poor.
  (b) Progress Report.--Before the end of the 1-year period 
beginning on the date of the enactment of this section, the 
Secretary of the Treasury shall submit to the Committee on 
Banking, Finance and Urban Affairs \11\ and the Committee on 
Appropriations of the House of Representatives, and the 
Committee on Foreign Relations and the Committee on 
Appropriations of the Senate, a report on the following:
          (1) The status of advocacy and progress being made to 
        implement the objectives of subsection (a), describing 
        the success to date, the obstacles encountered, and 
        future expectations of progress.
          (2) A description of the progress to date in 
        achieving the purposes of section 1611, including the 
        institutional capacity and effort devoted to assisting 
        in the development of statistical measures to assess 
        the well-being of the poor.
          (3) A description and evaluation of the progress to 
        date in developing effective mechanisms for involving 
        non-governmental organizations, directly or indirectly, 
        in the design, implementation, and monitoring of 
        development projects, programs, and policies of the 
        multilateral development banks.

SEC. 1614.\63\ MULTILATERAL DEVELOPMENT BANKS AND DEBT-FOR-NATURE 
                    EXCHANGES.

    (a) Directions to the United States Executive Directors.--
The Secretary of the Treasury shall direct the United States 
Executive Directors of the multilateral development banks to--
---------------------------------------------------------------------------
    \63\ 22 U.S.C. 262p-4i. Sec. 512 of the International Development 
and Finance Act of 1989 (Public Law 101-240; 103 Stat. 2508) added 
secs. 1614-1616.
---------------------------------------------------------------------------
          (1) negotiate for the creation in each respective 
        multilateral development bank, except where the 
        Secretary of the Treasury determines that the 
        provisions of this subsection have previously been met, 
        of a department that will--
                  (A) be responsible for environmental 
                protection and resource conservation, including 
                support for restoration, protection, and 
                sustainable use policies;
                  (B) develop and monitor strict environmental 
                guidelines and policies to govern lending 
                activities; and
                  (C) actively promote, coordinate and 
                facilitate debt-for-nature exchanges and the 
                restoration, protection, and sustainable use of 
                tropical forests, renewable natural resources, 
                endangered ecosystems and species in debtor 
                countries;
          (2) support and encourage the approval of 
        multilateral development bank loans which include 
        provisions that foster and facilitate the 
        implementation of a sound and effective environmental 
        policy in the borrowing country;
          (3) encourage the banks to assist such countries in 
        reducing and restructuring private debt through the use 
        of a portion of a project or policy based environmental 
        loan in ways which will enable such countries to buy 
        back private debt at a rate of discount available for 
        such debt, at auction in the secondary market or 
        through negotiations with creditors holding such debt;
          (4) seek to ensure that staff of each bank facilitate 
        debtor countries' collaboration with local and 
        international non-governmental or private organizations 
        in implementing debt-for-nature exchanges; and
          (5) seek to ensure that each bank adopts policy 
        guidelines which to the maximum extent possible provide 
        for--
                  (A) the inclusion of sustainable use policies 
                in loan agreements negotiated with borrower 
                members;
                  (B) the adoption of economic programs to 
                foster sound environmental policies; and
                  (C) the provision of debtor countries' policy 
                changes or significant increases in financial 
                resources for use in at least 1 of the 
                following--
                          (i) restoration, protection, or 
                        sustainable use of the world's oceans 
                        and atmosphere;
                          (ii) restoration, protection, or 
                        sustainable use of diverse animal and 
                        plant species;
                          (iii) establishment, restoration, 
                        protection, and maintenance of parks 
                        and reserves;
                          (iv) development and implementation 
                        of sound systems of natural resource 
                        management;
                          (v) development and support of local 
                        conservation programs;
                          (vi) training programs to strengthen 
                        conservation institutions and increase 
                        scientific, technical, and managerial 
                        capabilities of individuals and 
                        organizations involved in conservation 
                        efforts;
                          (vii) efforts to generate knowledge, 
                        increase understanding, and enhance 
                        public commitment to conservation;
                          (viii) design and implementation of 
                        sound programs of land and ecosystem 
                        management; and
                          (ix) promotion of regenerative 
                        approaches in farming, forestry, and 
                        watershed management.
  (b) Negotiation of Guidelines for Restoration, Protection, or 
Sustainable Use Policies.--The United States Executive 
Directors of the multilateral development banks shall seek to 
negotiate with the other executive directors to provide 
guidelines for restoration, protection, or sustainable use 
policies. Pending the outcome of such negotiations, the United 
States Executive Directors shall consider restoration, 
protection, or sustainable use policies to be those which--
          (1) support development that maintains and restores 
        the renewable natural resource base so that present and 
        future needs of debtor countries' populations can be 
        met, while not impairing critical ecosystems and not 
        exacerbating global environmental problems;
          (2) are environmentally sustainable in that resources 
        are conserved and managed in an effort to remove 
        pressure on the natural resource base and to make 
        judicious use of the land so as to sustain growth and 
        the availability of all natural resources;
          (3) support development that does not exceed the 
        limits imposed by local hydrological cycles, soil, 
        climate, vegetation, and human cultural practices;
          (4) promote the maintenance and restoration of soils, 
        vegetation, hydrological cycles, wildlife, critical 
        ecosystems (tropical forests, wetlands, and coastal 
        marine resources), biological diversity and other 
        natural resources essential to economic growth and 
        human well-being and shall, when using natural 
        resources, be implemented to minimize the depletion of 
        such natural resources; and
          (5) take steps, wherever feasible, to prevent 
        pollution that threatens human health and important 
        biotic systems and to achieve patterns of energy 
        consumption that meet human needs and relies on 
        renewable resources.
  (c) Inclusion of Certain Items in Guidelines.--The United 
States Executive Directors shall endeavor to include the 
provisions of paragraphs (1) through (5) of subsection (b) in 
the guidelines developed through the negotiations specified in 
this section.

SEC. 1615.\64\ PROMOTION OF LENDING FOR THE ENVIRONMENT.

    The Secretary of the Treasury shall instruct the United 
States Executive Director of the International Bank for 
Reconstruction and Development to initiate discussions with the 
other executive directors of such bank and the management of 
such bank and propose that, in order to reduce the future need 
for bank lending for reforestation and restoration of 
environmentally degraded areas, the bank establish a project 
and policy based environmental lending program (including a 
loan a portion of which could be used to reduce and restructure 
private debt), to be made available to interested countries 
with a demonstrated commitment to natural resource 
conservation, which would be based on--
---------------------------------------------------------------------------
    \64\ 22 U.S.C. 262p-4j. Sec. 512 of the International Development 
and Finance Act of 1989 (Public Law 101-240; 103 Stat. 2508) added sec. 
1615.
---------------------------------------------------------------------------
          (1) the estimated long-term economic return which 
        could be expected from the sustainable use and 
        protection of tropical forests, including the value of 
        tropical forests for indigenous people and for science;
          (2) the value derived from such services as--
                  (A) watershed management;
                  (B) soil erosion control;
                  (C) the maintenance and improvement of--
                          (i) fisheries;
                          (ii) water supply regulation for 
                        industrial development;
                          (iii) food;
                          (iv) fuel;
                          (v) fodder; and
                          (vi) building materials for local 
                        communities;
                  (D) the extraction of naturally occurring 
                products from locally controlled protected 
                areas; and
                  (E) indigenous knowledge of the management 
                and use of natural resources; and
          (3) the long-term benefits expected to be derived 
        from maintaining biological diversity and climate 
        stabilization.

SEC. 1616.\65\ PROMOTION OF INSTITUTION-BUILDING FOR NONGOVERNMENTAL 
                    ORGANIZATIONS CONCERNED WITH THE ENVIRONMENT.

    The Secretary of the Treasury shall instruct the United 
States Executive Directors of the multilateral development 
banks to vigorously promote the adoption of policies and 
procedures which seek to--
---------------------------------------------------------------------------
    \65\ 22 U.S.C. 262p-4k. Sec. 512 of the International Development 
and Finance Act of 1989 (Public Law 101-240; 103 Stat. 2510) added sec. 
1616.
---------------------------------------------------------------------------
          (1) increase collaboration with, and, where 
        necessary, strengthen, nongovernmental organizations in 
        such countries which are concerned with environmental 
        protection by providing appropriate assistance and 
        support for programs and activities on environmental 
        protection; and
          (2) encourage international collaboration for 
        information exchange and project enhancement with 
        nongovernmental organizations in developing countries 
        which are concerned with environmental protection and 
        government agencies and private voluntary organizations 
        in developed countries which are concerned with 
        environmental protection.

SEC. 1617.\66\ IMPROVEMENT OF INTERACTION BETWEEN INTERNATIONAL BANK 
                    FOR RECONSTRUCTION AND DEVELOPMENT AND 
                    NONGOVERNMENTAL ORGANIZATIONS.

  (a) In General.--The Secretary of the Treasury shall instruct 
the United States Executive Director of the International Bank 
for Reconstruction and Development to propose, and urge the 
Executive Board and the management of the bank to develop and 
implement specific mechanisms designed to--
---------------------------------------------------------------------------
    \66\ 22 U.S.C. 262p-4l. Added by sec. 562(a)(2) of Public Law 101-
513 (104 Stat. 2032). The former sec. 1617 was redesignated as sec. 
1620, and subsequently redesignated as sec. 1622 by Public Law 103-306.
---------------------------------------------------------------------------
          (1) substantially improve the ability of the staff of 
        the bank to interact with nongovernmental organizations 
        and other local groups that are affected by loans made 
        by the bank to borrower countries; and
          (2) delegate to the field offices of the bank in 
        borrowing countries greater responsibility for 
        decisions with respect to proposals for projects in 
        such countries that are to be financed by the bank.
  (b) Certain Mechanisms Urged.--The mechanisms described in 
subsection (a) shall include, at a minimum, the following 
measures:
          (1) An instruction to the management of the bank to 
        undertake efforts to appropriately train and 
        significantly increase the number of bank professional 
        staff (based in Washington, District of Columbia, as of 
        the date of the enactment of this section) assigned, on 
        a rotating basis, to field offices of the bank in 
        borrower countries.
          (2) The assignment to at least 1 professional in each 
        field office of the bank in a borrower country of 
        responsibility for relations with local nongovernmental 
        organizations, and for the preparation and submission 
        to appropriate staff of the bank of a report on the 
        impact of project loans to be made by the bank to the 
        country, based on views solicited from local people who 
        will be affected by such loans, which shall be included 
        as part of the project appraisal report.
          (3) The establishment of the Grassroots Collaboration 
        Program described in section 1602(a).
          (4) Before a project loan is made to a borrower 
        country, the country is to be required to hold open 
        hearings on the proposed project during project 
        identification and project preparation.
          (5) The establishment of assessment procedures which 
        allow affected parties and nongovernmental 
        organizations to review information describing a 
        prospective project or policy loan design, in a timely 
        manner, before the loan is submitted to the Executive 
        Board for approval.

SEC. 1618.\67\ POPULATION, HEALTH, AND NUTRITION PROGRAMS.

  The Secretary of the Treasury shall instruct the United 
States Executive Director of the International Bank for 
Reconstruction and Development to urge the bank to support an 
increase in the amount the bank lends annually to support 
population, health, and nutrition programs of the borrower 
countries.
---------------------------------------------------------------------------
    \67\ 22 U.S.C. 262p-4m. Sec. 562(a)(2) of Public Law 101-513 (104 
Stat. 2032) added sec. 1618.
---------------------------------------------------------------------------

SEC. 1619.\68\ EQUAL EMPLOYMENT OPPORTUNITIES.

  The Secretary of the Treasury shall instruct the United 
States Executive Directors of the multilateral development 
banks and of the International Monetary Fund to use the voices 
and votes of the Executive Directors to urge their respective 
banks and the Fund to adopt a policy which provides, and 
implement procedures which ensure, that such banks and the 
Fund, and the affiliates of such banks and of the Fund, shall 
not discriminate against any person on the basis of race, 
ethnicity, gender, color, or religious affiliation in any 
determination related to employment.
---------------------------------------------------------------------------
    \68\ 22 U.S.C. 262p-4n. Sec. 562(b)(1) of Public Law 101-513 (104 
Stat. 2032) added sec. 1619.
---------------------------------------------------------------------------

SEC. 1620.\69\ RESPECT FOR INDIGENOUS PEOPLES.

    The Secretary of the Treasury shall direct the United 
States Executive Directors of the international financial 
institutions (as defined in section 1701(c)(2)) and the United 
States representative to the council of the Global Environment 
Facility administered by the International Bank for 
Reconstruction and Development to use the voice and vote of the 
United States to bring about the creation and full 
implementation of policies designed to promote respect for and 
full protection of the territorial rights, traditional 
economies, cultural integrity, traditional knowledge and human 
rights of indigenous peoples.
---------------------------------------------------------------------------
    \69\ 22 U.S.C. 262p-4o. Sec. 526(e) of Public Law 103-306 (108 
Stat. 1633) added sec. 1620.
---------------------------------------------------------------------------

SEC. 1621.\70\ OPPOSITION TO ASSISTANCE BY INTERNATIONAL FINANCIAL 
                    INSTITUTIONS TO TERRORIST STATES.

    (a) In General.--The then Secretary of the Treasury shall 
instruct the United States executive director of each 
international financial institution to use the voice and vote 
of the United States to oppose any loan or other use of the 
funds of the respective institution to or for a country for 
which the Secretary of State has made a determination under 
section 6(j) of the Export Administration Act of 1979 (50 
U.S.C. App. 2405(j)) or section 620A of the Foreign Assistance 
Act of 1961 (22 U.S.C. 2371).
---------------------------------------------------------------------------
    \70\ 22 U.S.C. 262p-4q. Added by sec. 327 of the Antiterrorism and 
Effective Death Penalty Act of 1996 (Public Law 104-132; 110 Stat. 
1257), resulting in two ``Sec. 1621''.
    Similar language had previously been adopted in annual foreign 
assistance appropriations acts since fiscal year 1988.
---------------------------------------------------------------------------
    (b) Definition.--For purposes of this section, the term 
``international financial institution'' includes--
          (1) the International Bank for Reconstruction and 
        Development, the International Development Association, 
        and the International Monetary Fund;
          (2) wherever applicable, the Inter-American Bank, the 
        Asian Development Bank, the European Bank for 
        Reconstruction and Development, the African Development 
        Bank, and the African Development Fund; and
          (3) any similar institution established after the 
        date of enactment of this section.

SEC. 1621.\71\ ENCOURAGEMENT OF FAIR LABOR PRACTICES.

    (a) The Secretary of the Treasury shall direct the United 
States Executive Directors of the international financial 
institutions (as defined in section 1701(c)(2)) to use the 
voice and vote of the United States to urge the respective 
institution--
---------------------------------------------------------------------------
    \71\ 22 U.S.C. 262p-4p. Added by sec. 526(e) of Public Law 103-306 
(108 Stat. 1633).
---------------------------------------------------------------------------
          (1) to adopt policies to encourage borrowing 
        countries to guarantee internationally recognized 
        worker rights (within the meaning of section 507(4) 
        \72\ of the Trade Act of 1974) and to include the 
        status of such rights as an integral part of the 
        institution's policy dialogue with each borrowing 
        country;
---------------------------------------------------------------------------
    \72\ Sec. 1954(b)(4) of Public Law 104-188 (110 Stat. 1928) struck 
out ``502(a)(4)'' and inserted ``507(4)''.
---------------------------------------------------------------------------
          (2) in developing the policies referred to in 
        paragraph (1), to use the relevant conventions of the 
        International Labor Organization, which have set forth, 
        among other things, the right of association, the right 
        to organize and bargain collectively, a prohibition on 
        the use of any form of forced or compulsory labor, and 
        certain minimum labor standards that take into account 
        differences in development levels among nations 
        including a minimum age for the employment of children, 
        acceptable conditions of work with respect to minimum 
        wages, hours of work, and occupational safety and 
        health; and
          (3) to establish formal procedures to screen projects 
        and programs funded by the institution for any negative 
        impact in a borrowing country on the rights referred to 
        in paragraph (1).
    (b) The Secretary of the Treasury shall submit to the 
Committee on Banking, Finance and Urban Affairs \11\ of the 
House of Representatives and the Committee on Foreign Relations 
of the Senate by the end of each fiscal year a report on the 
extent to which each borrowing country guarantees 
internationally recognized worker rights to its labor force and 
on progress toward achieving each of the goals described in 
subsection (a).
    Sec. 1622.\73\ For purposes of this title and titles XIV 
and XV--
---------------------------------------------------------------------------
    \73\ 22 U.S.C. 262p-5. Sec. 1622, originally added as sec. 1605 by 
Public Law 100-202 (101 Stat. 1329 at 1329-134), was redesignated as 
sec. 1612 by sec. 6 of H.R. 4645 as enacted into law by Public Law 100-
461 (102 Stat. 2268). This section was redesignated as sec. 1613 by 
sec. 206 of Public Law 101-240 (103 Stat. 2499), further redesignated 
as sec. 1614 by sec. 501 of that Act, and further redesignated as sec. 
1617 by that Act. Sec. 562(a)(2) of Public Law 101-513 (104 Stat. 2032) 
redesignated as sec. 1619 and added new secs. 1617 and 1618. This 
section was further redesignated as sec. 1620 by sec. 562(b)(1) of 
Public Law 101-513 (104 Stat. 2033), which added a new sec. 1619. The 
section was further redesignated as sec. 1622 by sec. 526(e) of Public 
Law 103-306 (108 Stat. 1633), which added new secs. 1620 and 1621.
---------------------------------------------------------------------------
          (1) the term ``multilateral development bank'' means 
        the International Bank for Reconstruction and 
        Development, the International Development Association, 
        and the regional multilateral development banks; and
          (2) the term ``regional multilateral development 
        bank'' means the Inter-American Development Bank, the 
        African Development Bank, the African Development Fund, 
        and the Asian Development Bank.

SEC. 1623.\74\ IMPROVEMENT OF THE HEAVILY INDEBTED POOR COUNTRIES 
                    INITIATIVE.
---------------------------------------------------------------------------

    \74\22 U.S.C. 262p-6. Added by sec. 502 (113 Stat. 1501A-313) of 
the Foreign Operations, Export Financing, and Related Programs 
Appropriations Act, 2000, Appendix B (H.R. 3422) of Public Law 106-113.
---------------------------------------------------------------------------
    (a) Improvement of the HIPC Initiative.--In order to 
accelerate multilateral debt relief and promote human and 
economic development and poverty alleviation in heavily 
indebted poor countries, the Congress urges the President to 
commence immediately efforts, with the Paris Club of Official 
Creditors, as well as the International Monetary Fund (IMF), 
the International Bank for Reconstruction and Development 
(World Bank), and other appropriate multilateral development 
institutions to accomplish the following modifications to the 
Heavily Indebted Poor Countries Initiative:
          (1) Focus on poverty reduction, good governance, 
        transparency, and participation of citizens.--A country 
        which is otherwise eligible to receive cancellation of 
        debt under the modified Heavily Indebted Poor Countries 
        Initiative may receive such cancellation only if the 
        country has committed, in connection with social and 
        economic reform programs that are jointly developed, 
        financed, and administered by the World Bank and the 
        IMF--
                  (A) to enable, facilitate, or encourage the 
                implementation of policy changes and 
                institutional reforms under economic reform 
                programs, in a manner that ensures that such 
                policy changes and institutional reforms are 
                designed and adopted through transparent and 
                participatory processes;
                  (B) to adopt an integrated development 
                strategy to support poverty reduction through 
                economic growth, that includes monitorable 
                poverty reduction goals;
                  (C) to take steps so that the financial 
                benefits of debt relief are applied to programs 
                to combat poverty (in particular through 
                concrete measures to improve economic 
                infrastructure, basic services in education, 
                nutrition, and health, particularly treatment 
                and prevention of the leading causes of 
                mortality) and to redress environmental 
                degradation;
                  (D) to take steps to strengthen and expand 
                the private sector, encourage increased trade 
                and investment, support the development of free 
                markets, and promote broad-scale economic 
                growth;
                  (E) to implement transparent policy making 
                and budget procedures, good governance, and 
                effective anticorruption measures;
                  (F) to broaden public participation and 
                popular understanding of the principles and 
                goals of poverty reduction, particularly 
                through economic growth, and good governance; 
                and
                  (G) to promote the participation of citizens 
                and nongovernmental organizations in the 
                economic policy choices of the government.
          (2) Faster debt relief.--The Secretary of the 
        Treasury should urge the IMF and the World Bank to 
        complete a debt sustainability analysis by December 31, 
        2000, and determine eligibility for debt relief, for as 
        many of the countries under the modified Heavily 
        Indebted Poor Countries Initiative as possible.
    (b) Heavily Indebted Poor Countries Review.--The Secretary 
of the Treasury, after consulting with the Committees on 
Banking and Financial Services and International Relations of 
the House of Representatives, and the Committees on Foreign 
Relations and Banking, Housing, and Urban Affairs of the 
Senate, shall make every effort (including instructing the 
United States Directors at the IMF and World Bank) to ensure 
that an external assessment of the modified Heavily Indebted 
Poor Countries Initiative, including the reformed Enhanced 
Structural Adjustment Facility program as it relates to that 
Initiative, takes place by December 31, 2001, incorporating the 
views of debtor governments and civil society, and that such 
assessment be made public.
    (c) Definition.--The term `modified Heavily Indebted Poor 
Countries Initiative' means the multilateral debt initiative 
presented in the Report of G-7 Finance Ministers on the Koln 
Debt Initiative to the Koln Economic Summit, Cologne, Germany, 
held from June 18-20, 1999.

SEC. 1624.\75\ REFORM OF THE ENHANCED STRUCTURAL ADJUSTMENT FACILITY.

    The Secretary of the Treasury shall instruct the United 
States Executive Directors at the International Bank for 
Reconstruction and Development (World Bank) and the 
International Monetary Fund (IMF) to use the voice and vote of 
the United States to promote the establishment of poverty 
reduction strategy policies and procedures at the World Bank 
and the IMF that support countries' efforts under programs 
developed and jointly administered by the World Bank and the 
IMF that have the following components:
---------------------------------------------------------------------------
    \75\ 22 U.S.C. 262p-7. Added by sec. 502 (113 Stat. 1501A-313) of 
the Foreign Operations, Export Financing, and Related Programs 
Appropriations Act, 2000, Appendix B (H.R. 3422) of Public Law 106-113.
---------------------------------------------------------------------------
          (1) The development of country-specific poverty 
        reduction strategies (Poverty Reduction Strategies) 
        under the leadership of such countries that--
                  (A) will be set out in poverty reduction 
                strategy papers (PRSPs) that provide the basis 
                for the lending operations of the International 
                Development Association (IDA) and the reformed 
                Enhanced Structural Adjustment Facility (ESAF);
                  (B) will reflect the World Bank's role in 
                poverty reduction and the IMF's role in 
                macroeconomic issues;
                  (C) will make the IMF's and the World Bank's 
                advice and operations fully consistent with the 
                objectives of poverty reduction through broad-
                based economic growth; and
                  (D) should include--
                          (i) implementation of transparent 
                        budgetary procedures and mechanisms to 
                        help ensure that the financial benefits 
                        of debt relief under the modified 
                        Heavily Indebted Poor Countries 
                        Initiative (as defined in section 1623) 
                        are applied to programs that combat 
                        poverty; and
                          (ii) monitorable indicators of 
                        progress in poverty reduction.
          (2) The adoption of procedures for periodic 
        comprehensive reviews of reformed ESAF and IDA programs 
        to help ensure progress toward longer-term poverty 
        goals outlined in the Poverty Reduction Strategies and 
        to allow adjustments in such programs.
          (3) The publication of the PRSPs prior to Executive 
        Board review of related programs under IDA and the 
        reformed ESAF.
          (4) The establishment of a standing evaluation unit 
        at the IMF, similar to the Operations Evaluation 
        Department of the World Bank, that would report 
        directly to the Executive Board of the IMF and that 
        would undertake periodic reviews of IMF operations, 
        including the operations of the reformed ESAF, 
        including--
                  (A) assessments of experience under the 
                reformed ESAF programs in the areas of poverty 
                reduction, economic growth, and access to basic 
                social services;
                  (B) assessments of the extent and quality of 
                participation in program design by citizens;
                  (C) verifications that reformed ESAF programs 
                are designed in a manner consistent with the 
                Poverty Reduction Strategies; and
                  (D) prompt release to the public of all 
                reviews by the standing evaluation unit.
          (5) The promotion of clearer conditionality in IDA 
        and reformed ESAF programs that focuses on reforms most 
        likely to support poverty reduction through broad-based 
        economic growth.
          (6) The adoption by the IMF of policies aimed at 
        reforming ESAF so that reformed ESAF programs are 
        consistent with the Poverty Reduction Strategies.
          (7) The adoption by the World Bank of policies to 
        help ensure that its lending operations in countries 
        eligible for debt relief under the modified Heavily 
        Indebted Poor Countries Initiative are consistent with 
        the Poverty Reduction Strategies.
          (8) Strengthening the linkage between borrower 
        country performance and lending operations by IDA and 
        the reformed ESAF on the basis of clear and monitorable 
        indictors.
          (9) Full public disclosure of the proposed objectives 
        and financial organization of the successor to the ESAF 
        at least 90 days before any decision by the Executive 
        Board of the IMF to consider its adoption.

          TITLE XVII--CONSOLIDATED REPORTING REQUIREMENTS \76\

SEC. 1701.\77\ ANNUAL REPORT BY CHAIRMAN OF THE NATIONAL ADVISORY 
                    COUNCIL ON INTERNATIONAL MONETARY AND FINANCIAL 
                    POLICIES.

    (a) In General.--The Chairman shall report annually to the 
Speaker of the House of Representatives, the President of the 
Senate, and to the President of the United States on the 
participation of the United States in the international 
financial institutions. The Chairman shall present such report 
to the Speaker of the House of Representatives and the 
President of the Senate not later than April 1 of each year 
following the close of the fiscal year covered by such report, 
except that the report for fiscal year 1989 shall be submitted 
not later than June 1, 1990.
---------------------------------------------------------------------------
    \76\ Sec. 541(a) of the International Development and Finance Act 
of 1989 (Public Law 101-240; 103 Stat. 2514 et seq.) added titles XVII, 
XVIII, and XIX.
    \77\ 22 U.S.C. 262r. Sec. 583 of the Foreign Operations, Export 
Financing, and Related Appropriations Act, 1999, Public Law 105-277 
(division A, sec. 101(d)) (112 Stat. 2681-202) further provided the 
following:
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     ``national advisory council on international monetary policies
---------------------------------------------------------------------------
    ``Sec. 583. (a) Notwithstanding any other provision of law, each 
annual report required by subsection 1701 (a) of the International 
Financial Institutions Act, as amended (Public Law 95-118, U.S.C. 
262r), shall comprise--
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          ``(1) an assessment of the effectiveness of the major 
        policies and operations of the international financial 
        institutions;
          ``(2) the major issues affecting United States participation;
          ``(3) the major developments in the past year;
          ``(4) the prospects for the coming year;
          ``(5) the progress made and steps taken to achieve United 
        States policy goals (including major policy goals embodied in 
        current law) with respect to the international financial 
        institutions; and
          ``(6) such data and explanations concerning the 
        effectiveness, operations, and policies of the international 
        financial institutions, and other such data and material as the 
        Chairman may deem appropriate.
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    ``(b) The requirements of Sections 1602(e), 1603(c), 1604(c), and 
1701(b) of the International Financial Institutions Act, as amended 
(Public Law 95-118, 22 U.S.C. 262p-1, 262p-2, 262p-3 and 262(r)), 
Section 2018(c) of the International Narcotics Control Act of 1986, as 
amended (Public Law 99-570, 22 U.S.C. 2291 note), Section 407(c) of the 
Foreign Debt Reserving Act of 1989 (Public Law 101-240, 22 U.S.C. 2291 
note), Section 14(c) of the Inter-American Development Bank Act, as 
amended (Public Law 86-147, 22 U.S.C. 283j-1(c)), and Section 1102 of 
the Freedom for Russia and Emerging Eurasian Democracies and Open 
Markets Support Act of 1992 (Public Law 102-511)(22 U.S.C. 286ll(b)) 
shall no longer apply to the contents of such annual reports.''
    See also secs. 603, 606, and 607 of the Foreign Operations, Export 
Financing, and Related Programs Appropriations Act, 1999, Public Law 
105-277 (division A, sec. 101(d)) (112 Stat. 2681-220) as found in 
Legislaton on Foreign Relations Through 2000 Volume I-A, page 863-866.
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(b) Contents of Reports.--Each annual report required by 
subsection (a) shall contain--
          (1) such data and explanations concerning the 
        effectiveness, operations, and policies of the 
        international financial institutions, such 
        recommendations concerning the international financial 
        institutions, and such other data and material as the 
        Chairman may deem appropriate;
          (2) the reports on each specific issue and topic 
        which is required by any other provision of law to be 
        included in the report of the National Advisory Council 
        on International Monetary and Financial Policies 
        required by section 4(b)(5) of the Bretton Woods 
        Agreements Act, as in effect immediately before the 
        date of the enactment of this section;
          (3) a description of each loan or other form of 
        financial assistance approved by any international 
        financial institution during the fiscal year covered by 
        such report, and a discussion of how such loan or 
        financial assistance will benefit the people, 
        particularly the poor people, of the recipient country;
          (4) a review of the success achieved through the 
        multilateral development banks in reducing or 
        eliminating import restrictions and unfair export 
        subsidies which--
                  (A) have been determined to be consistent 
                with international agreements; and
                  (B) have a serious adverse impact on the 
                United States;
          (5) a description of the actions taken and the 
        progress made in carrying out subsections (a) and (b) 
        of section 45 of the Bretton Woods Agreements Act;
          (6) the report required by section 2018(c) of the 
        International Narcotics Act of 1986 (title II of Public 
        Law 99-570), discussing the actions taken and progress 
        made in encouraging the multilateral development banks 
        to finance drug eradication and crop substitution 
        programs;
          (7) a description of the progress made by the United 
        States Executive Director of the International Monetary 
        Fund with respect to the goals of section 55 of the 
        Bretton Woods Agreements Act;
          (8) a description of the status of procedures in the 
        multilateral development banks specifically designed to 
        increase the productive role of the poor in the 
        economies of the nations which are borrowers from such 
        banks;
          (9) in consultation with the Secretary of State, a 
        report on the progress toward achieving the goals of 
        title VII (other than section 704), including the 
        information required to be reported pursuant to section 
        701(c), and, for the fiscal year 1990, the report 
        described in section 1613;
          (10) in consultation with the Secretary of State and 
        the Administrator of the Agency for International 
        Development, an assessment of the progress being made 
        to implement the objectives of title XIII; and
          (11) a report on--
                  (A) the progress made in transforming 
                government-owned enterprises into privately 
                owned enterprises as described in section 
                1612(b);
                  (B) the performance of the privately owned 
                enterprises resulting from such transformation; 
                and
                  (C) the contributions of development finance 
                companies toward strengthening the private 
                sector in member borrowing countries.
  (c) Definitions.--As used in this title, title XVIII, and 
title XIX:
          (1) Chairman.--The term ``Chairman'' means the 
        Chairman of the National Advisory Council on 
        International Monetary and Financial Policies.
          (2) International financial institutions.--The term 
        ``international financial institutions'' means the 
        International Monetary Fund, International Bank for 
        Reconstruction and Development, European Bank for 
        Reconstruction and Development,\78\ International 
        Development Association, International Finance 
        Corporation, Multilateral Investment Guarantee Agency, 
        African Development Bank, African Development Fund, 
        Asian Development Bank, Inter-American Development 
        Bank, Bank for Economic Cooperation and Development in 
        the Middle East and North Africa,\79\ and Inter-
        American Investment Corporation.
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    \78\ Sec. 562(c)(10)(A) of Public Law 101-513 (104 Stat. 2036) 
inserted ``European Bank for Reconstruction and Development''.
    \79\ Sec. 710(a) of sec. 101(c) of title I of Public Law 104-208 
(110 Stat. 3009) inserted ``Bank for Economic Cooperation and 
Development in the Middle East and North Africa,''.
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          (3) Multilateral development institutions.--The term 
        ``multilateral development institutions'' means the 
        international financial institutions other than the 
        International Monetary Fund.
          (4) Multilateral development banks.--The term 
        ``multilateral development banks'' means the 
        multilateral development institutions other than the 
        Multilateral Investment Guarantee Agency.
  (d) Testimony Required.--Upon request of the Committee on 
Banking, Finance and Urban Affairs \68\ of the House of 
Representatives, the Chairman shall testify before the 
Committee to support and explain each annual report required by 
subsection (a). If the President has delegated to a person or 
persons other than the Chairman the authority to manage United 
States participation in the international financial 
institutions which was vested in the President by section 1(b) 
of the Reorganization Plan No. 4 of 1965, such person or 
persons shall, upon request of the Committee, accompany the 
Chairman and testify before the Committee with regard to such 
report. The Chairman and such other person or persons shall 
assess, in their testimony, the effectiveness of the 
international financial institutions, the major issues 
affecting United States participation, the major developments 
in the past year, the prospects for the coming year, United 
States policy goals with respect to the international financial 
institutions, and any specific issues addressed to them by any 
member of the Committee.
    (e) \80\ Advisory Committee on IMF Policy.--
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    \80\Added by sec. 610(b) of the Foreign Operations, Export 
Financing, and Related Appropriations Act, 1999, Public Law 105-277 
(division A, sec. 101(d)) (112 Stat. 2681-228).
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          (1) In General.-- The Secretary of the Treasury 
        should establish an International Monetary Fund 
        Advisory Committee (in this subsection referred to as 
        ``The Advisory Committee'').
          (2) Membership-- The Advisory Committee should 
        consist of members appointed by the Secretary of the 
        Treasury, after appropriate consultations with the 
        relevant organizations. Such members should include 
        representatives from industry, representatives from 
        agriculture, representatives from organized labor, 
        representatives from banking and financial services, 
        and representatives from nongovernmental environmental 
        and human rights organizations.

SEC. 1702.\81\ TRANSMISSION TO THE CONGRESS OF OPERATING SUMMARIES OF 
                    THE MULTILATERAL DEVELOPMENT BANKS.
    The Secretary of the Treasury shall transmit to the 
Congress, on a monthly basis, current copies of the Monthly 
Operating Summary of the International Bank for Reconstruction 
and Development, showing the loan proposals or appraisal 
reports under consideration and the status of those loan 
proposals or appraisal reports within the Bank. The Secretary 
of the Treasury shall also transmit to the Congress, at such 
times as may be appropriate, comparable documents prepared by 
the other multilateral development banks which show the loans 
or credits under consideration in the other multilateral 
development banks.
---------------------------------------------------------------------------
    \81\ 22 U.S.C. 262r-1.
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SEC. 1703.\82\ COMBINED REPORT ON EFFECT OF PENDING MULTILATERAL 
                    DEVELOPMENT BANK LOANS ON ENVIRONMENT, NATURAL 
                    RESOURCES, PUBLIC HEALTH, AND INDIGENOUS PEOPLES.
    Not later than April 1 and October 1 of each year, the 
Administrator of the Agency for International Development, in 
consultation with the Secretary of the Treasury and the 
Secretary of State, shall submit to the Committee on 
Appropriations and the Committee on Banking, Finance and Urban 
Affairs \68\ of the House of Representatives, and the Committee 
on Appropriations and the Committee on Foreign Relations of the 
Senate, as a combined report, the reports required by section 
1303(c) of this Act and by section 537(h)(2) of the Foreign 
Operations, Export Financing, and Related Programs 
Appropriations Act, 1988 (sec. 1(e) of Public Law 100-202).
---------------------------------------------------------------------------
    \82\ 22 U.S.C. 262r-2.
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SEC. 1704.\83\ REPORTS ON FINANCIAL STABILIZATION PROGRAMS LED BY THE 
                    INTERNATIONAL MONETARY FUND IN CONJUNCTION WITH 
                    FINANCING FROM THE EXCHANGE STABILIZATION FUND.
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    \83\ 22 U.S.C. 262r-3. Added by sec. 612, of the Foreign 
Operations, Export Financing, and Related Programs Appropriations Act, 
Public Law 105-277 (division A, sec. 101(d)) (112 Stat. 2681-228).
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    (a) In General.--The Secretary of the Treasury, in 
consultation with the Secretary of Commerce and other 
appropriate Federal agencies, shall prepare reports on the 
implementation of financial stabilization programs (and any 
material terms and conditions thereof) led by the International 
Monetary Fund in countries in connection with which the United 
States has made a commitment to provide, or has provided 
financing from the stabilization fund established under section 
5302 of title 31, United States Code. The reports should 
include the following:
          (1) A description of the condition of the economies 
        of countries requiring the financial stabilization 
        programs, including the monetary, fiscal, and exchange 
        rate policies of the countries.
          (2) A description of the degree to which the 
        countries requiring the financial stabilization 
        programs have fully implemented financial sector 
        restructuring and reform measures required by the 
        International Monetary Fund, including--
                  (A) ensuring full respect for the commercial 
                orientation of commercial bank lending;
                  (B) ensuring that governments will not 
                intervene in bank management and lending 
                decisions (except in regard to prudential 
                supervision);
                  (C) the enactment and implementation of 
                appropriate financial reform legislation;
                  (D) strengthening the domestic financial 
                system and improving transparency and 
                supervision; and
                  (E) the opening of domestic capital markets.
          (3) A description of the degree to which the 
        countries requiring the financial stabilization 
        programs have fully implemented reforms required by the 
        International Monetary Fund that are directed at 
        corporate governance and corporate structure, 
        including--
                  (A) making nontransparent conglomerate 
                practices more transparent through the 
                application of internationally accepted 
                accounting practices, independent external 
                audits, full disclosure, and provision of 
                consolidated statements; and
                  (B) ensuring that no government subsidized 
                support or tax privileges will be provided to 
                bail out individual corporations, particularly 
                in the semiconductor, steel, and paper 
                industries.
          (4) A description of the implementation of reform 
        measures required by the International Monetary Fund to 
        deregulate and privatize economic activity by ending 
        domestic monopolies, undertaking trade liberalization, 
        and opening up restricted areas of the economy to 
        foreign investment and competition.
          (5) A detailed description of the trade policies of 
        the countries, including any unfair trade practices or 
        adverse effects of the trade policies on the United 
        States.
          (6) A description of the extent to which the 
        financial stabilization programs have resulted in 
        appropriate burden-sharing among private sector 
        creditors, including rescheduling of outstanding loans 
        by lengthening maturities, agreements of debt 
        reduction, and the extension of new credit.
          (7) A description of the extent to which the economic 
        adjustment policies of the International Monetary Fund 
        and the policies of the government of the country 
        adequately balance the need for financial 
        stabilization, economic growth, environmental 
        protection, social stability, and equity for all 
        elements of the society.
          (8) Whether International Monetary Fund involvement 
        in labor market flexibility measures has had a negative 
        effect on core worker rights, particularly the rights 
        of free association and collective bargaining.
          (9) A description of any pattern of abuses of core 
        worker rights in recipient countries.
          (10) The amount, rate of interest, and disbursement 
        and repayment schedules of any funds disbursed from the 
        stabilization fund established under section 5302 of 
        title 31, United States Code, in the form of loans, 
        guarantees, or swaps, in support of the financial 
        stabilization programs.
          (11) The amount, rate of interest, and disbursement 
        and repayment schedules of any funds disbursed by the 
        International Monetary Fund to the countries in support 
        of the financial stabilization programs.
    (b) \84\ Timing.--Not later than March 15, 1999, and 
semiannually thereafter, the Secretary of the Treasury shall 
submit to the Committees on Banking and Financial Services and 
International Relations of the House of Representatives and the 
Committees on Foreign Relations, and Banking, Housing, and 
Urban Affairs of the Senate, a report on the matters described 
in subsection (a).
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    \84\ Added by sec. 404 (b) of the Trade and Development Act of 2000 
(Public Law 106-200; 114 Stat. 292).
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SEC. 1705.\85\ ANNUAL REPORT AND TESTIMONY ON THE STATE OF THE 
                    INTERNATIONAL FINANCIAL SYSTEM, IMF REFORM, AND 
                    COMPLIANCE WITH IMF AGREEMENTS
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    \85\ 22 U.S.C. 262r-4. Added by sec. 613 of The Foreign Operations, 
Export Financing, and Related Programs Appropriations Act, 1999, Public 
Law 105-277 (division A, sec. 101(d)) (112 Stat. 2681-230).
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    (a) Access to Materials.--Not later than October 1 of each 
year, the Secretary of the Treasury shall submit to the 
Committees on Banking and Financial Services \11\ and on Ways 
and Means of the House of Representatives and the Committees on 
Finance and on Foreign Relations of the Senate \86\ a written 
report on
---------------------------------------------------------------------------
    \86\ Sec. 404(c) of the Trade and Development Act of 2000 (Public 
Law 106-200; 114 Stat. 292) struck out ``Committee on Banking and 
Financial Services of the House of Representatives and the Committee on 
Foreign Relations'' and inserted ``Committees on Banking and Financial 
Services and on Ways and Means of the House of Representatives and the 
Committees on Finance and on Foreign Relations of the Senate.''
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          (1)\87\ the progress (if any) made by the United 
        States Executive Director at the International Monetary 
        Fund to adopt the policies and reform its internal 
        procedures in the manner described in section 1503, and
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    \87\ Sec. 803(c)(1) and (2) of the Foreign Operations, Export 
Financing, and Related Programs Appropriations, 2001, enacted by 
reference in sec. 101(b) of Public Law 106-429 (114 Stat. 1900A-67) 
inserted ``(1)'' before ``the progress'' and added clause (2).
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          (2) the progress made by the International Monetary 
        Fund in adopting and implementing the policies 
        described in section 801(c)(1)(B) of the Foreign 
        Operations, Export Financing, and Related 
        Appropriations Act, 2001.
    (b) Testimony.--After submitting the report required by 
subsection (a) but not later than March 1 of each year, the 
Secretary of the Treasury shall appear before the Committee on 
Banking and Financial Services of the House of Representatives 
and the Committee on Foreign Relations of the Senate and 
present testimony on--
          (1) any progress made in reforming the International 
        Monetary Fund;
          (2) the status of efforts to reform the international 
        financial system; and
          (3) the compliance of countries which have received 
        assistance from the International Monetary Fund with 
        agreements made as a condition of receiving the 
        assistance.

SEC. 1706.\88\ * * * [Repealed--2000]

                  TITLE XVIII--EXPORT ENHANCEMENT \76\

SEC. 1801.\89\ MULTILATERAL DEVELOPMENT BANK PROCUREMENT.
    (a) Executive Directors.--The Secretary of the Treasury 
shall instruct the United States Executive Director of each 
multilateral development bank to attach a high priority to 
promoting opportunities for exports for goods and services from 
the United States and, in carrying out this function, to 
investigate thoroughly any complaints from United States 
bidders about the awarding of procurement contracts by the 
multilateral development banks to ensure that all contract 
procedures and rules of the banks are observed and that United 
States firms are treated fairly.
---------------------------------------------------------------------------
    \88\ 22 U.S.C. 262r-5. This section, added by sec. 614 of the 
Foreign Operations, Export Financing, and Related Programs 
Appropriations Act, 1999, Public Law 105-277 (division A, sec. 101(d)) 
(112 Stat. 2681-230), was subsequently repealed by sec. 592 of the 
Foreign Operations, Export Financing, and Related Programs 
Appropriations Act, 2001, enacted by reference in sec. 101(a) of Public 
Law 106-429. The section read as follows:
---------------------------------------------------------------------------

``SEC. 1706. AUDITS OF THE INTERNATIONAL MONETARY FUND
---------------------------------------------------------------------------
    ``(a) Access to Materials.--Not later than 30 days after the date 
of the enactment of this section, the Secretary of the Treasury shall 
certify to the Committees on Banking and Financial Services and Ways 
and Means of the House of Representatives and the Committees on Finance 
and on Foreign Relations of the Senate that the Secretary has 
instructed the United States Executive Director at the International 
Monetary Fund to facilitate timely access by the General Accounting 
Office to information and documents of the International Monetary Fund 
needed by the Office to perform financial reviews of the International 
Monetary Fund that will facilitate the conduct of United States Policy 
with respect to the Fund.
    ``(b) Reports.--Not later than September 30, 1999, and annually 
thereafter, the Comptroller General of the United States shall prepare 
and submit to the committees specified in subsection (a), the Committee 
on Appropriations of the House of Representatives, and the Committee on 
Appropriations of the Senate a report on the financial operations of 
the Fund during the preceding year, which shall include--
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          ``(1) the current financial condition of the International 
        Monetary Fund;
          ``(2) the amount, rate of interest, disbursement schedule, 
        and repayment schedule for any loans that were initiated or 
        outstanding during the preceding calendar year, and with 
        respect to disbursement schedules, the report shall identify 
        and discuss in detail any conditions required to be fulfilled 
        by a borrower country before a disbursement is made;
          ``(3) a detailed description of whether the trade policies of 
        borrower countries permit free and open trade by the United 
        States and other foreign countries in the borrower countries;
          ``(4) a detailed description of the export policies of 
        borrower countries and whether the policies may result in 
        increased export of their products, goods, or services to the 
        United States which may have significant adverse effects on, or 
        result in unfair trade practices against or affecting United 
        States companies, farmers, or communities;
          ``(5) a detailed description of any conditions of 
        International Monetary Fund loans which have not been met by 
        borrower countries, including a discussion of the reasons why 
        such conditions were not met, and the actions taken by the 
        International Monetary Fund due to the borrower country's 
        noncompliance;
          ``(6) an identification of any borrower country and loan on 
        which any loan terms or conditions were renegotiated in the 
        preceding calendar year, including a discussion of the reasons 
        for the renegotiation and any new loan terms and conditions; 
        and
          ``(7) a specification of the total number of loans made by 
        the International Monetary Fund from its inception through the 
        end of the period covered by the report, the number and 
        percentage (by number) of such loans that are in default or 
        arrears, and the identity of the countries in default or 
        arrears, and the number of such loans that are outstanding as 
        of the end of period covered by the report and the aggregate 
        amount of the outstanding loans and the average yield (weighted 
        by loan principal) of the historical and outstanding loan 
        portfolios of the International Monetary Fund.''
---------------------------------------------------------------------------
    Sec. 1706 was first revised by sec. 404(d) of the Trade and 
Development Act, 2000 (Public Law 106-200; 114 Stat. 292) which amended 
the section by striking ``Committee on Banking and Financial Services 
of the House of Representatives and the Committee on Foreign Relations 
of the Senate'' and inserting ``Committees on Banking and Financial 
Services and Ways and Means of the House of Representatives and the 
Committees on Finance and on Foreign Relations of the Senate'', and by 
sec. 5003 of the 1999 Emergency Supplemental Appropriations Act (Public 
Law 106-31; 113 Stat. 110) which struck ``June 30'' and added 
``September 30''.
    \89\ 22 U.S.C. 262s. Originally enacted as sec. 3202 of the Omnibus 
Trade and Competitiveness Act of 1988 (Public Law 100-418; 102 Stat. 
1107), sec. 541(b)(1) of the International Development and Finance Act 
of 1989 (Public Law 101-240; 103 Stat. 2517) transferred text to this 
Act and redesignated such as sec. 1801.
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  (b) Officer of Procurement.--
          (1) Establishment.--The Secretary of the Treasury 
        shall designate, within the Office of International 
        Affairs in the Department of the Treasury, an officer 
        of multilateral development bank procurement.
          (2) Function.--The officer shall act as the liaison 
        between the Department of the Treasury, the Department 
        of Commerce, and the United States Executive Directors' 
        offices in the multilateral development banks, in 
        carrying out this section. The officer shall cooperate 
        with the Department of Commerce in efforts to improve 
        opportunities for multilateral development bank 
        procurement by United States companies.
  (b) Multilateral Development Bank Defined.--As used in this 
section, the term ``multilateral development bank'' includes 
the International Bank for Reconstruction and Development, the 
International Development Association, the International 
Finance Corporation, the Inter-American Development Bank, the 
Inter-American Investment Corporation, the Asian Development 
Bank, the African Development Bank, and the African Development 
Fund.

SEC. 1802.\90\ PROCUREMENT OPPORTUNITIES FOR UNITED STATES FIRMS.

    The Secretary of the Treasury shall instruct the United 
States Executive Directors of the multilateral development 
institutions to take all possible steps to ensure that 
information relating to potential procurement opportunities for 
United States firms is expeditiously communicated to the 
Secretary of the Treasury, the Secretary of State, and the 
Secretary of Commerce, and is disseminated as widely as 
possible to large and small businesses.
---------------------------------------------------------------------------
    \90\ 22 U.S.C. 262s-1.
---------------------------------------------------------------------------

SEC. 1803.\91\ COMMERCIAL SERVICE OFFICERS AND MULTILATERAL DEVELOPMENT 
                    BANK PROCUREMENT.

    (a) Appointment of Commercial Service Officers To Serve 
with Executive Directors.--The Secretary of Commerce, in 
consultation with the Secretary of the Treasury, shall appoint 
a procurement officer, who is a representative of the 
International Trade Administration or a Commercial Service 
Officer of the United States and Foreign Commercial Service, to 
serve, on a full-time or part-time basis, with each of the 
Executive Directors of the multilateral development banks in 
which the United States participates.
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    \91\ 22 U.S.C. 262s-2. Originally enacted as sec. 2302 of the 
Omnibus Trade and Competitiveness Act of 1988 and codified at 15 U.S.C. 
4722. Sec. 541(b)(2) of the International Development and Finance Act 
of 1989 (Public Law 101-240; 103 Stat. 2517) transferred sec. 2302 to 
this Act and redesignated it as sec. 1803. Sec. 541(b)(2) also struck 
out subsec. (c), which provided definitions for ``multilateral 
development bank''; see sec. 1701(c) of this Act.
    Sec. 501 of the Jobs Through Exports Act of 1992 (Public Law 102-
549; 106 Stat. 3663; 22 U.S.C. 262s-2 note) provided the following:
---------------------------------------------------------------------------

``SEC. 501. ADDITIONAL PROCUREMENT OFFERS.
---------------------------------------------------------------------------
    ``(a) Appointment.--The Secretary of Commerce, in consultation with 
the Secretary of the Treasury, shall appoint one or more full-time 
additional procurement officers, for each multilateral development 
bank, to promote exports of goods and services from the United States 
by doing the following:
---------------------------------------------------------------------------

          ``(1) Acting as the liaison between the business community 
        and one or more multilateral development banks, whether or not 
        the banks have offices in the United States. The Secretary of 
        Commerce shall ensure that the procurement officer has access 
        to, and disseminates to United States businesses, information 
        relating to projects which are being proposed by the 
        multilateral development bank involved, and bid specifications 
        and deadlines for projects about to be developed by the bank. 
        The procurement officer shall make special efforts to 
        disseminate such information to small- and medium-sized 
        businesses interested in participating in such projects. The 
        procurement officer shall explore opportunities for 
        disseminating such information through private sector, 
        nonprofit organizations.
          ``(2) Taking actions to assure that United States businesses 
        are fully informed of bidding opportunities for projects for 
        which loans have been made by the multilateral development bank 
        involved.
          ``(3) Taking actions to assure that United States businesses 
        can focus on projects in which they have a particular interest 
        or competitive advantage, and to permit them to compete and 
        have an equal opportunity in submitting timely and conforming 
        bidding documents.
---------------------------------------------------------------------------
    ``(b) Definition.--As used in this section, the term `multilateral 
development bank' has the meaning given that term in section 1701(c) of 
the International Financial Institutions Act (22 U.S.C. 262r(c)).
    ``(c) Authorization of Appropriations.--There are authorized to be 
appropriated to the Secretary of Commerce $1,000,000 for each of the 
fiscal years 1993 and 1994 to carry out this section. Amounts 
appropriated pursuant to this subsection shall be available only for 
the purpose of making the appointment of additional procurement 
officers required by subsection (a).''.
---------------------------------------------------------------------------
  (b) Functions of Officers.--Each procurement officer 
appointed under subsection (a) shall assist the United States 
Executive Director with respect to whom such officer is 
appointed in promoting opportunities for exports of goods and 
services from the United States by doing the following:
          (1) Acting as the liaison between the business 
        community and the multilateral development bank 
        involved, whether or not the bank has offices in the 
        United States. The Secretary of Commerce shall ensure 
        that the procurement officer has access to, and 
        disseminates to United States businesses, information 
        relating to projects which are being proposed by the 
        multilateral development bank, and bid specifications 
        and deadlines for projects about to be developed by the 
        bank. The procurement officer shall make special 
        efforts to disseminate such information to small and 
        medium-sized businesses interested in participating in 
        such projects. The procurement officer shall explore 
        opportunities for disseminating such information 
        through private sector, nonprofit organizations.
          (2) Taking actions to assure that United States 
        businesses are fully informed of bidding opportunities 
        for projects for which loans have been made by the 
        multilateral development bank involved.
          (3) Taking actions to assure that United States 
        businesses can focus on projects in which they have a 
        particular interest or competitive advantage, and to 
        permit them to compete and have an equal opportunity in 
        submitting timely and conforming bidding documents.

                  TITLE XIX--PERSONNEL PRACTICES \52\

SEC. 1901.\92\ PERSONNEL PRACTICES.

    (a) Statement of Policy.--It shall be the policy of the 
United States that no initiatives, discussions, or 
recommendations concerning the placement or removal of any 
personnel employed by the international financial institutions 
shall be based on the political philosophy or activity of the 
individual under consideration.
---------------------------------------------------------------------------
    \92\ 22 U.S.C. 262t.
---------------------------------------------------------------------------
  (b) Consultation.--The Secretary of the Treasury shall 
consult with the Chairman and the ranking minority member of 
the Committee on Banking, Finance and Urban Affairs \11\ of the 
House of Representatives and the Committee on Foreign Relations 
of the Senate before any discussion or recommendations by any 
official of the United States Government concerning the 
placement or removal of any principal officer of any 
international financial institutions.

                 b. Mexican Debt Disclosure Act of 1995

Title IV of Public Law 104-6 [Emergency Supplemental Appropriations and 
   Rescissions for the Department of Defense to Preserve and Enhance 
Military Readiness Act of 1995; H.R. 889], 109 Stat. 73, approved April 
                                10, 1995

AN ACT Making emergency supplemental appropriations and rescissions to 
   preserve and enhance the military readiness of the Department of 
 Defense for the fiscal year ending September 30, 1995, and for other 
                               purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,
          * * * * * * *

             TITLE IV--MEXICAN DEBT DISCLOSURE ACT OF 1995

SEC. 401.\1\ SHORT TITLE.

    This title may be cited as the ``Mexican Debt Disclosure 
Act of 1995''.
---------------------------------------------------------------------------
    \1\ 31 U.S.C. 5302 note.
---------------------------------------------------------------------------

SEC. 402. FINDINGS.

    The Congress finds that--
          (1) Mexico is an important neighbor and trading 
        partner of the United States;
          (2) on January 31, 1995, the President approved a 
        program of assistance to Mexico, in the form of swap 
        facilities and securities guarantees in the amount of 
        $20,000,000,000, using the exchange stabilization fund;
          (3) the program of assistance involves the 
        participation of the Board of Governors of the Federal 
        Reserve System, the International Monetary Fund, the 
        Bank for International Settlements, the International 
        Bank for Reconstruction and Development, the Inter-
        American Development Bank, the Bank of Canada, and 
        several Latin American countries;
          (4) the involvement of the exchange stabilization 
        fund and the Board of Governors of the Federal Reserve 
        System means that United States taxpayer funds will be 
        used in the assistance effort to Mexico;
          (5) assistance provided by the International Monetary 
        Fund, the International Bank for Reconstruction and 
        Development, and the Inter-American Development Bank 
        may require additional United States contributions of 
        taxpayer funds to those entities;
          (6) the immediate use of taxpayer funds and the 
        potential requirement for additional future United 
        States contributions of taxpayer funds necessitates 
        congressional oversight of the disbursement of funds; 
        and
          (7) the efficacy of the assistance to Mexico is 
        contingent on the pursuit of sound economic policy by 
        the Government of Mexico.

SEC. 403.\2\ PRESIDENTIAL REPORTS.

    (a) Reporting Requirement.--Not later than June 30, 1995, 
and every 6 months thereafter, the President shall transmit to 
the appropriate congressional committees a report concerning 
all guarantees issued to, and short-term and long-term currency 
swaps with, the Government of Mexico by the United States 
Government, including the Board of Governors of the Federal 
Reserve System.
---------------------------------------------------------------------------
    \2\ In memoranda of April 14, 1995 (60 F.R. 19485), May 17, 1995 
(60 F.R. 27395), and June 29, 1995 (60 F.R. 35113), the President 
delegated to the Secretary of the Treasury reporting requirements in 
secs. 403 and 406 of this Act.
---------------------------------------------------------------------------
     (b) Contents of Reports.--Each report described in 
subsection (a) shall contain a description of the following 
actions taken, or economic situations existing, during the 
preceding 6-month period or, in the case of the initial report, 
during the period beginning on the date of enactment of this 
Act:
          (1) Changes in wage, price, and credit controls in 
        the Mexican economy.
          (2) Changes in taxation policy of the Government of 
        Mexico.
          (3) Specific actions taken by the Government of 
        Mexico to further privatize the economy of Mexico.
          (4) Actions taken by the Government of Mexico in the 
        development of regulatory policy that significantly 
        affected the performance of the Mexican economy.
          (5) Consultations concerning the program approved by 
        the President, including advice on economic, monetary, 
        and fiscal policy, held between the Government of 
        Mexico and the Secretary of the Treasury (including any 
        designee of the Secretary) and the conclusions 
        resulting from any periodic reviews undertaken by the 
        International Monetary Fund pursuant to the Fund's loan 
        agreements with Mexico.
          (6) All outstanding loans, credits, and guarantees 
        provided to the Government of Mexico, by the United 
        States Government, including the Board of Governors of 
        the Federal Reserve System, set forth by category of 
        financing.
          (7) The progress the Government of Mexico has made in 
        stabilizing the peso and establishing an independent 
        central bank or currency board.
    (c) Summary of Treasury Department Reports.--In addition to 
the information required to be included under subsection (b), 
each report required under this section shall contain a summary 
of the information contained in all reports submitted under 
section 404 during the period covered by the report required 
under this section.

SEC. 404. REPORTS BY THE SECRETARY OF THE TREASURY.

    (a) Reporting Requirement.--Beginning on the last day of 
the first month which begins after the date of enactment of 
this Act, and on the last day of every month thereafter, the 
Secretary of the Treasury shall submit to the appropriate 
congressional committees a report concerning all guarantees 
issued to, and short-term and long-term currency swaps with, 
the Government of Mexico by the United States Government, 
including the Board of Governors of the Federal Reserve System.
    (b) Contents of Reports.--Each report described in 
subsection (a) shall include a description of the following 
actions taken, or economic situations existing, during the 
month in which the report is required to be submitted:
          (1) The current condition of the Mexican economy.
          (2) The reserve positions of the central bank of 
        Mexico and data relating to the functioning of Mexican 
        monetary policy.
          (3) The amount of any funds disbursed from the 
        exchange stabilization fund pursuant to the program of 
        assistance to the Government of Mexico approved by the 
        President on January 31, 1995.
          (4) The amount of any funds disbursed by the Board of 
        Governors of the Federal Reserve System pursuant to the 
        program of assistance referred to in paragraph (3).
          (5) Financial transactions, both inside and outside 
        of Mexico, made during the reporting period involving 
        funds disbursed to Mexico from the exchange 
        stabilization fund or proceeds of Mexican Government 
        securities guaranteed by the exchange stabilization 
        fund.
          (6) All outstanding guarantees issued to, and short-
        term and medium-term currency swaps with, the 
        Government of Mexico by the Secretary of the Treasury, 
        set forth by category of financing.
          (7) All outstanding currency swaps with the central 
        bank of Mexico by the Board of Governors of the Federal 
        Reserve System and the rationale for, and any expected 
        costs of, such transactions.
          (8) The amount of payments made by customers of 
        Mexican petroleum companies that have been deposited in 
        the account at the Federal Reserve Bank of New York 
        established to ensure repayment of any payment by the 
        United States Government, including the Board of 
        Governors of the Federal Reserve System, in connection 
        with any guarantee issued to, or any swap with, the 
        Government of Mexico.
          (9) Any setoff by the Federal Reserve Bank of New 
        York against funds in the account described in 
        paragraph (8).
          (10) To the extent such information is available, 
        once there has been a setoff by the Federal Reserve 
        Bank of New York, any interruption in deliveries of 
        petroleum products to existing customers whose payments 
        were setoff.
          (11) The interest rates and fees charged to 
        compensate the Secretary of the Treasury for the risk 
        of providing financing.

SEC. 405. TERMINATION OF REPORTING REQUIREMENTS.

    The requirements of sections 403 and 404 shall terminate on 
the date that the Government of Mexico has paid all obligations 
with respect to swap facilities and guarantees of securities 
made available under the program approved by the President on 
January 31, 1995.

SEC. 406.\3\ PRESIDENTIAL CERTIFICATION REGARDING SWAP OF CURRENCIES TO 
                    MEXICO THROUGH EXCHANGE STABILIZATION FUND OR 
                    FEDERAL RESERVE.

    (a) In General.--Notwithstanding any other provision of 
law, no loan, credit, guarantee, or arrangement for a swap of 
currencies to Mexico through the exchange stabilization fund or 
by the Board of Governors of the Federal Reserve System may be 
extended or (if already extended) further utilized, unless and 
until the President submits to the appropriate congressional 
committees a certification that--
---------------------------------------------------------------------------
    \3\ The President issued certifications as required by subsec. (a) 
in a memorandum for the Secretary of the Treasury on April 14, 1995 (60 
F.R. 19485), May 17, 1995 (60 F.R. 27395), and June 29, 1995 (60 F.R. 
35113). The memoranda, furthermore, delegated to the Secretary of the 
Treasury, reporting requirements in secs. 403 and 406 of this Act.
---------------------------------------------------------------------------
          (1) there is no projected cost (as defined in the 
        Credit Reform Act of 1990) to the United States from 
        the proposed loan, credit, guarantee, or currency swap;
          (2) all loans, credits, guarantees, and currency 
        swaps are adequately backed to ensure that all United 
        States funds are repaid;
          (3) the Government of Mexico is making progress in 
        ensuring an independent central bank or an independent 
        currency control mechanism;
          (4) Mexico has in effect a significant economic 
        reform effort; and
          (5) the President has provided the documents 
        described in paragraphs (1) through (28) of House 
        Resolution 80, adopted March 1, 1995.\4\
---------------------------------------------------------------------------
    \4\ For text of H. Res. 80 as adopted by the House on March 1, 
1995, see Congressional Record, p. H2444-5.
---------------------------------------------------------------------------
    (b) Treatment of Classified or Privileged Material.--For 
purposes of the certification required by subsection (a)(5), 
the President shall specify, in the case of any document that 
is classified or subject to applicable privileges, that, while 
such document may not have been produced to the House of 
Representatives, in lieu thereof it has been produced to 
specified Members of Congress or their designees by mutual 
agreement among the President, the Speaker of the House, and 
the chairmen and ranking members of the Committee on Banking 
and Financial Services, the Committee on International 
Relations, and the Permanent Select Committee on Intelligence 
of the House.

SEC. 407. DEFINITIONS.

    For purposes of this title, the following definitions shall 
apply:
          (1) Appropriate congressional committees.--The term 
        ``appropriate congressional committees'' means the 
        Committees on International Relations and Banking and 
        Financial Services of the House of Representatives, the 
        Committees on Foreign Relations and Banking, Housing, 
        and Urban Affairs of the Senate, and the Committees on 
        Appropriations of the House of Representatives and the 
        Senate.
          (2) Exchange stabilization fund.--The term ``exchange 
        stabilization fund'' means the stabilization fund 
        referred to in section 5302(a)(1) of title 31, United 
        States Code.
                     c. FREEDOM Support Act of 1992

Partial text of Public Law 102-511 [S. 2532], 106 Stat. 3320, approved 
                            October 24, 1992

AN ACT To support freedom and open markets in the independent states of 
            the former Soviet Union, and for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

SECTION 1. SHORT TITLES.

    This Act may be cited as the ``Freedom for Russia and 
Emerging Eurasian Democracies and Open Markets Support Act of 
1992'' or the ``FREEDOM Support Act''.
          * * * * * * *

             TITLE X--INTERNATIONAL FINANCIAL INSTITUTIONS


          Note.--Title X amendments to the Bretton Woods 
        Agreements Act, International Finance Corporation Act, 
        and the International Financial Institutions Act have 
        been incorporated into those Acts at the appropriate 
        places.



          * * * * * * *

SEC. 1004.\1\ SUPPORT FOR MACROECONOMIC STABILIZATION IN THE 
                    INDEPENDENT STATES OF THE FORMER SOVIET UNION.

    (a) In General.--In order to promote macroeconomic 
stabilization and the integration of the independent states of 
the former Soviet Union into the international financial 
system, enhance the opportunities for trade, improve the 
climate for foreign investment, and strengthen the process of 
transformation of the former socialist economies into free 
enterprise systems and thereby progressively enhance the well-
being of the citizens of these states, the United States should 
in appropriate circumstances take a leading role in organizing 
and supporting multilateral efforts at macroeconomic 
stabilization and debt rescheduling, conditioned on the 
appropriate development and implementation of comprehensive 
economic reform programs.
---------------------------------------------------------------------------
    \1\ 22 U.S.C. 5812 note.
---------------------------------------------------------------------------
    (b) Currency Stabilization.--In furtherance of the purposes 
and consistent with the conditions described in subsection (a), 
the Congress expresses its support for United States 
participation, in sums of up to $3,000,000,000, in a currency 
stabilization fund or funds for the independent states of the 
former Soviet Union.
    (c) Study of the Need for and Feasibility of a Currency 
Stabilization Fund for Ukraine.--The Secretary of the Treasury 
shall instruct the United States Executive Director of the 
International Monetary Fund to use the voice and vote of the 
United States to urge the Fund to conduct a study of the need 
for and feasibility of a currency stabilization fund for 
Ukraine, and, if it is found that such a fund is needed and is 
feasible, which considers and makes recommendations with 
respect to the economic and policy conditions required for the 
success of such a fund.
          * * * * * * *

SEC. 1007.\1\ REPORT ON DEBT OF THE FORMER SOVIET UNION HELD BY 
                    COMMERCIAL FINANCIAL INSTITUTIONS.

    The Secretary of the Treasury, using information available 
from the International Monetary Fund, the International Bank 
for Reconstruction and Development, and other appropriate 
international financial institutions, shall report to the 
Congress, not later than one year after the date of enactment 
of this Act, on the debt incurred by the former Soviet Union 
that is held by commercial financial institutions outside the 
independent states of the former Soviet Union that are 
obligated on such debt.
          * * * * * * *

SEC. 1009. MULTILATERAL INVESTMENT GUARANTEES FOR THE INDEPENDENT 
                    STATES OF THE FORMER SOVIET UNION.

    Not later than 60 days after the date of enactment of this 
Act, the United States Director of the Multilateral Investment 
Guarantee Agency shall transmit to the Congress a report 
analyzing--
          (1) the investments in the independent states of the 
        former Soviet Union which have been guaranteed by the 
        Agency; and
          (2) the demand for investment guarantees of the type 
        provided by the Agency for investments in the 
        independent states.

                        d. IFI Funding for Mines

  Partial text of Public Law 99-88 [Supplemental Appropriations Act, 
 1985; H.R. 2577], 99 Stat. 293, approved August 15, 1985; amended by 
Public Law 102-285 [National Geologic Mapping Act of 1992, H.R. 2763], 
                  106 Stat. 166, approved May 18, 1992

 AN ACT Making supplemental appropriations for the fiscal year ending 
              September 30, 1985, and for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

                                TITLE I

          * * * * * * *

                               CHAPTER V

          * * * * * * *

                          DEPARTMENT OF STATE

          * * * * * * *

                           General Provisions

    Sec. 501.\1\ The Secretary of the Treasury shall instruct 
the United States Executive Directors of the International Bank 
for Reconstruction and Development, the International 
Development Association, the International Finance Corporation, 
the Inter-American Development Bank, the International Monetary 
Fund, the Asian Development Bank, the Inter-American Investment 
Corporation, the African Development Bank, and the African 
Development Fund to use the voice and vote of the United States 
to oppose any assistance by these institutions, using funds 
appropriated or made available pursuant to this Act or any 
other Act, for the production of any copper commodity for 
export or for the financing of the expansion, improvement, or 
modernization of copper mining, smelting, and refining 
capacity.
---------------------------------------------------------------------------
    \1\ 22 U.S.C. 262k note.
---------------------------------------------------------------------------
    Sec. 502.\2\ (a) United States active participation in 
international financial institution activity is based on our 
national objective of furthering the economic and social 
development of the nations of the world, in particular the 
developing nations. The attainment of this national objective 
is most effectively realized through a world economic and 
financial system which is both free and stable. Therefore, it 
is the intent of the United States Congress that United States 
financial assistance to the international financial 
institutions should be primarily directed to those projects 
that would not generate excess commodity supplies in world 
markets, displace private investment initiatives or foster 
departures from a market-oriented economy.
---------------------------------------------------------------------------
    \2\ 22 U.S.C. 262k.
---------------------------------------------------------------------------
    (b) The Secretary of the Treasury shall instruct the 
representatives of the United States to the international 
financial institutions described in subsection (d) to take into 
account in their review of loans, credits, or other utilization 
of the resources of their respective institutions, the effect 
that country adjustment programs would have upon individual 
industry sectors and international commodity markets in order 
to--
          (1) minimize any projected adverse impacts on such 
        sector or markets of making such loans, credits, or 
        utilization of resources; and
          (2) avoid whenever possible government subsidization 
        of production and exports of international commodities 
        without regard to economic conditions in the markets 
        for such commodities.
    (c) More specifically, the following criteria should be 
considered as a basis for a vote by the respective United 
States Executive Director to each of the international 
financial institutions described in subsection (d) against a 
project proposal involving the creation of new capacity or the 
expansion, improvement, or modification of mining, smelting, 
refining, and fabricating of minerals and metal products:
          (1) analysis shows that the risks, returns, and 
        incentives of a project are such that it could be 
        financed at reasonable terms by commercial lending 
        services.
          (2) Analysis by the United States Bureau of Mines \3\ 
        indicates that surplus capacity in the industry for the 
        primary product of the defined project would exist over 
        half the period of the economic life of the project 
        because of projected world demand and capacity 
        conditions.
---------------------------------------------------------------------------
    \3\ Sec. 10(b) of Public Law 102-285 (106 Stat. 172) changed the 
name of the Bureau of Mines to the United States Bureau of Mines, 
effective May 18, 1992.
---------------------------------------------------------------------------
          (3) United States imports of the commodity constitute 
        less than 50 percent of the domestic production of the 
        primary product in those cases where the United States 
        is the substantial producer of such commodities.
    (d) The international financial institutions referred to in 
subsections (a) and (b) are the International Monetary Fund, 
the International Bank for Reconstruction and Development, the 
International Development Association, the Inter-American 
Development Bank, the Asian Development Bank, and the African 
Development Bank.
          * * * * * * *

  e. Foreign Operations Appropriations Instructions, Fiscal Year 2001

    Partial text of Public Law 106-429 [Foreign Operations, Export 
 Financing, and Related Programs Appropriations Act, 2001, H.R. 5526, 
 enacted by reference in sec. 101(a) of Public Law 106-429], 114 Stat. 
                    1900, approved November 6, 2000.

AN ACT making appropriations for foreign operations, export financing, 
and related programs for the fiscal year ending September 30, 2001, and 
                          for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,
    Section 101. (a) The provisions of H.R. 5526 of the 106th 
Congress, as introduced on October 24, 2000, are hereby enacted 
into law.
    (b) * * *
          * * * * * * *

                      TITLE V--GENERAL PROVISIONS

          * * * * * * *

    PROHIBITION OF FUNDING FOR INTERNATIONAL FINANCIAL INSTITUTIONS

    Sec. 502. Notwithstanding section 614 of the Foreign 
Assistance Act of 1961, none of the funds contained in title II 
of this Act may be used to carry out the provisions of section 
209(d) of the Foreign Assistance Act of 1961: Provided, That 
none of the funds appropriated by title II of this Act may be 
transferred by the Agency for International Development 
directly to an international financial institution (as defined 
in section 533 of this Act) for the purpose of repaying a 
foreign country's loan obligations to such institution.
          * * * * * * *

                          SURPLUS COMMODITIES

    Sec. 514. The Secretary of the Treasury shall instruct the 
United States Executive Directors of the International Bank for 
Reconstruction and Development, the International Development 
Association, the International Finance Corporation, the Inter-
American Development Bank, the International Monetary Fund, the 
Asian Development Bank, the Inter-American Investment 
Corporation, the North American Development Bank, the European 
Bank for Reconstruction and Development, the African 
Development Bank, and the African Development Fund to use the 
voice and vote of the United States to oppose any assistance by 
these institutions, using funds appropriated or made available 
pursuant to this Act, for the production or extraction of any 
commodity or mineral for export, if it is in surplus on world 
markets and if the assistance will cause substantial injury to 
United States producers of the same, similar, or competing 
commodity.
          * * * * * * *

  COMPENSATION FOR UNITED STATES EXECUTIVE DIRECTORS TO INTERNATIONAL 
                         FINANCIAL INSTITUTIONS

    Sec. 533. (a) No funds appropriated by this Act may be made 
as payment to any international financial institution while the 
United States Executive Director to such institution is 
compensated by the institution at a rate which, together with 
whatever compensation suchDirector receives from the United 
States, is in excess of the rate provided for an individual 
occupying a position at level IV of the Executive Schedule 
under section 5315 of title 5, United States Code, or while any 
alternate United States Director to such institution is 
compensated by the institution at a rate in excess of the rate 
provided for an individual occupying a position at level V of 
the Executive Schedule under section 5316 of title 5, United 
States Code.
    (b) For purposes of this section, ``international financial 
institutions'' are: the International Bank for Reconstruction 
and Development, the Inter-American Development Bank, the Asian 
Development Bank, the Asian Development Fund, the African 
Development Bank, the African Development Fund, the 
International Monetary Fund, the North American Development 
Bank, and the European Bank for Reconstruction and Development.
          * * * * * * *

                  SPECIAL DEBT RELIEF FOR THE POOREST

    Sec. 556. (a) Authority To Reduce Debt.--The President may 
reduce amounts owed to the United States (or any agency of the 
United States) by an eligible country as a result of--
          (1) guarantees issued under sections 221 and 222 of 
        the Foreign Assistance Act of 1961;
          (2) credits extended or guarantees issued under the 
        Arms Export Control Act; or
           (3) any obligation or portion of such obligation, to 
        pay for purchases of United States agricultural 
        commodities guaranteed by the Commodity Credit 
        Corporation under export credit guarantee programs 
        authorized pursuant to section 5(f) of the Commodity 
        Credit Corporation Charter Act of June 29, 1948, as 
        amended, section 4(b) of the Food for Peace Act of 
        1966, as amended (Public Law 89-808), or section 202 of 
        the Agricultural Trade Act of 1978, as amended (Public 
        Law 95-501).
    (b) Limitations.--
          (1) The authority provided by subsection (a) may be 
        exercised only to implement multilateral official debt 
        relief and referendum agreements, commonly referred to 
        as ``Paris Club Agreed Minutes''.
          (2) The authority provided by subsection (a) may be 
        exercised only in such amounts or to such extent as is 
        provided in advance by appropriations Acts.
          (3) The authority provided by subsection (a) may be 
        exercised only with respect to countries with heavy 
        debt burdens that are eligible to borrow from the 
        International Development Association, but not from the 
        International Bank for Reconstruction and Development, 
        commonly referred to as ``IDA-only'' countries.
    (c) Conditions.--The authority provided by subsection (a) 
may be exercised only with respect to a country whose 
government--
          (1) does not have an excessive level of military 
        expenditures;
          (2) has not repeatedly provided support for acts of 
        international terrorism;
          (3) is not failing to cooperate on international 
        narcotics control matters;
          (4) (including its military or other security forces) 
        does not engage in a consistent pattern of gross 
        violations of internationally recognized human rights; 
        and
          (5) is not ineligible for assistance because of the 
        application of section 527 of the Foreign Relations 
        Authorization Act, Fiscal Years 1994 and 1995.
    (d) Availability of Funds.--The authority provided by 
subsection (a) may be used only with regard to funds 
appropriated by this Act under the heading ``Debt 
Restructuring''.
    (e) Certain Prohibitions Inapplicable.--A reduction of debt 
pursuant to subsection (a) shall not be considered assistance 
for purposes of any provision of law limiting assistance to a 
country. The authority provided by subsection (a) may be 
exercised notwithstanding section 620(r) of the Foreign 
Assistance Act of 1961 or section 321 of the International 
Development and Food Assistance Act of 1975.
          * * * * * * *

RESTRICTIONS ON ASSISTANCE TO COUNTRIES PROVIDING SANCTUARY TO INDICTED 
                             WAR CRIMINALS

    Sec. 564. (a) Bilateral Assistance.--None of the funds made 
available by this or any prior Act making appropriations for 
foreign operations, export financing and related programs, may 
be provided for any country, entity or municipality described 
in subsection (e).
    (b) Multilateral Assistance.--
          (1) Prohibition.--The Secretary of the Treasury shall 
        instruct the United States executive directors of the 
        international financial institutions to work in 
        opposition to, and vote against, any extension by such 
        institutions of any financial or technical assistance 
        or grants of any kind to any country or entity 
        described in subsection (e).
          (2) Notification.--Not less than 15 days before any 
        vote in an international financial institution 
        regarding the extension of financial or technical 
        assistance or grants to any country or entity described 
        in subsection (e), the Secretary of the Treasury, in 
        consultation with the Secretary of State, shall provide 
        to the Committee on Appropriations and the Committee on 
        Foreign Relations of the Senate and the Committee on 
        Appropriations and the Committee on Banking and 
        Financial Services of the House of Representatives a 
        written justification for the proposed assistance, 
        including an explanation of the United States position 
        regarding any such vote, as well as a description of 
        the location of the proposed assistance by 
        municipality, its purpose, and its intended 
        beneficiaries.
          (3) Definition.--The term ``international financial 
        institution'' includes the International Monetary Fund, 
        the International Bank for Reconstruction and 
        Development, the International Development Association, 
        the International Finance Corporation, the Multilateral 
        Investment Guaranty Agency, and the European Bank for 
        Reconstruction and Development.
    (c) Exceptions.--
          (1) In general.--Subject to paragraph (2), 
        subsections (a) and (b) shall not apply to the 
        provision of--
                  (A) humanitarian assistance;
                  (B) democratization assistance;
                  (C) assistance for cross border physical 
                infrastructure projects involving activities in 
                both a sanctioned country, entity, or 
                municipality and a nonsanctioned contiguous 
                country, entity, or municipality, if the 
                project is primarily located in and primarily 
                benefits the nonsanctioned country, entity, or 
                municipality and if the portion of the project 
                located in the sanctioned country, entity, or 
                municipality is necessary only to complete the 
                project;
                  (D) small-scale assistance projects or 
                activities requested by United States Armed 
                Forces that promote good relations between such 
                forces and the officials and citizens of the 
                areas in the United States SFOR sector of 
                Bosnia;
                  (E) implementation of the Brcko Arbitral 
                Decision;
                  (F) lending by the international financial 
                institutions to a country or entity to support 
                common monetary and fiscal policies at the 
                national level as contemplated by the Dayton 
                Agreement;
                  (G) direct lending to a non-sanctioned 
                entity, or lending passed on by the national 
                government to a non-sanctioned entity; or
                  (H) assistance to the International Police 
                Task Force for the training of a civilian 
                police force.
                  (I) assistance to refugees and internally 
                displaced persons returning to their homes in 
                Bosnia from which they had been forced to leave 
                on the basis of their ethnicity.
          (2) Notification.--Every 60 days the Secretary of 
        State, in consultation with the Administrator of the 
        Agency for International Development, shall publish in 
        the Federal Register and/or in a comparable publicly 
        accessible document or Internet site, a listing and 
        justification of any assistance that is obligated 
        within that period of time for any country, entity, or 
        municipality described in subsection (e), including a 
        description of the purpose of the assistance, project 
        and its location, by municipality.
    (d) Further Limitations.--Notwithstanding subsection (c)--
          (1) no assistance may be made available by this Act, 
        or any prior Act making appropriations for foreign 
        operations, export financing and related programs, in 
        any country, entity, or municipality described in 
        subsection (e), for a program, project, or activity in 
        which a publicly indicted war criminal is known to have 
        any financial or material interest; and
          (2) no assistance (other than emergency foods or 
        medical assistance or demining assistance) may be made 
        available by this Act, or any prior Act making 
        appropriations for foreign operations, export financing 
        and related programs for any program, project, or 
        activity in any sanctioned country, entity, or 
        municipality described in subsection (e) in which a 
        person publicly indicted by the Tribunal is in 
        residence or is engaged in extended activity and 
        competent local authorities have failed to notify the 
        Tribunal or failed to take necessary and significant 
        steps to apprehend and transfer such persons to the 
        Tribunal or in which competent local authorities have 
        obstructed the work of the Tribunal.
    (e) Sanctioned Country, Entity, or Municipality.--A 
sanctioned country, entity, or municipality described in this 
section is one whose competent authorities have failed, as 
determined by the Secretary of State, to take necessary and 
significant steps to apprehend and transfer to the Tribunal all 
persons who have been publicly indicted by the Tribunal.
    (f) Special Rule.--Subject to subsection (d), subsections 
(a) and (b) shall not apply to the provision of assistance to 
an entity that is not a sanctioned entity, notwithstanding that 
such entity may be within a sanctioned country, if the 
Secretary of State determines and so reports to the appropriate 
congressional committees that providing assistance to that 
entity would promote peace and internationally recognized human 
rights by encouraging that entity to cooperate fully with the 
Tribunal.
    (g) * * *
    (h) Waiver.--
          (1) In General.--The Secretary of State may waive the 
        application of subsection (a) or subsection (b) with 
        respect to specified bilateral programs or 
        international financial institution projects or 
        programs in a sanctioned country, entity or 
        municipality upon providing a written determination to 
        the Committee on Appropriations and the Committee on 
        Foreign Relations of the Senate and the Committee on 
        Appropriations and the Committee on International 
        Relations of the House of Representatives that such 
        assistance directly supports the implementation of the 
        Dayton Agreement and its Annexes, which include the 
        obligation to apprehend and transfer indicted war 
        criminals to the Tribunal.
          (2) Report.--Not later than 15 days after the date of 
        any written determination under paragraph (1) the 
        Secretary of State shall submit a report to the 
        Committees on Appropriations and Foreign Relations and 
        the Select Committee on Intelligence of the Senate and 
        the Committees on Appropriations and International 
        Relations and the Permanent Select Committee on 
        Intelligence of the House of Representatives regarding 
        the status of efforts to secure the voluntary surrender 
        or apprehension and transfer of persons indicted by the 
        Tribunal, in accordance with the Dayton Agreement, and 
        outlining obstacles to achieving this goal.
          (3) Assistance programs and projects affected.--Any 
        waiver made pursuant to this subsection shall be 
        effective only with respect to a specified bilateral 
        program or multilateral assistance project or program 
        identified in the determination of the Secretary of 
        State to Congress.
    (i) Termination of Sanctions.--The sanctions imposed 
pursuant to subsections (a) and (b) with respect to a country 
or entity shall cease to apply only if the Secretary of State 
determines and certifies to Congress that the authorities of 
that country, entity, or municipality have apprehended and 
transferred to the Tribunal all persons who have been publicly 
indicted by the Tribunal.
    (j) Definitions.--As used in this section--
          (1) Country.--The term ``country'' means Bosnia-
        Herzegovina, Croatia, and Serbia.
          (2) Entity.--The term ``entity'' refers to the 
        Federation of Bosnia and Herzegovina, Kosova, 
        Montenegro, and the Republika Srpska.
          (3) Dayton agreement.--The term ``Dayton Agreement'' 
        means the General Framework Agreement for Peace in 
        Bosnia and Herzegovina, together with annexes relating 
        thereto, done at Dayton, November 10 through 16, 1995.
          (4) Tribunal.--The term ``Tribunal'' means the 
        International Criminal Tribunal for the Former 
        Yugoslavia.
    (k) Role of Human Rights Organizations and Government 
Agencies.--In carrying out this section, the Secretary of 
State, the Administrator of the Agency for International 
Development, and the executive directors of the international 
financial institutions shall consult with representatives of 
human rights organizations and all government agencies with 
relevant information to help prevent publicly indicted war 
criminals from benefiting from any financial or technical 
assistance or grants provided to any country or entity 
described in subsection (e).
          * * * * * * *

              PROCUREMENT AND FINANCIAL MANAGEMENT REFORM

    Sec. 588. (a) Funding Conditions.--Of the funds made 
available under the heading ``International Financial 
Institutions'' in this Act, 10 percent of the United States 
portion or payment to such International Financial Institution 
shall be withheld by the Secretary of the Treasury, until the 
Secretary certifies to the Committees on Appropriations that, 
to the extent pertinent to its lending programs, the 
institution is--
          (1) Implementing procedures for conducting annual 
        audits by qualified independent auditors for all new 
        investment lending;
          (2) Implementing procedures for annual independent 
        external audits of central bank financial statements 
        for countries making use of International Monetary Fund 
        resources under new arrangements or agreements with the 
        Fund;
          (3) Taking steps to establish an independent fraud 
        and corruption investigative organization or office;
          (4) Implementing a process to assess a recipient 
        country's procurement and financial management 
        capabilities including an analysis of the risks of 
        corruption prior to initiating new investment lending; 
        and
          (5) Taking steps to fund and implement programs and 
        policies to improve transparency and anti-corruption 
        programs and procurement and financial management 
        controls in recipient countries.
    (b) Report.--The Secretary of the Treasury shall report on 
March 1, 2001 to the Committees on Appropriations on progress 
made by each International Financial Institution, and, to the 
extent pertinent to its lending programs, the International 
Monetary Fund, to fulfill the objectives identified in 
subsection (a) and on progress of the International Monetary 
Fund to implement procedures for annual independent external 
audits of central bank financial statements for countries 
making use of Fund resources under all new arrangements with 
the Fund.
    (c) Definitions.--The term ``International Financial 
Institutions'' means the International Bank for Reconstruction 
and Development, the International Development Association, the 
International Finance Corporation, the Inter-American 
Development Bank, the Inter-American Investment Corporation, 
the Enterprise for the Americas Multilateral Investment Fund, 
the Asian Development Bank, the Asian Development Fund, the 
African Development Bank, the African Development Fund, the 
European Bank for Reconstruction and Development, and the 
International Monetary Fund.

            TITLE VI--EMERGENCY SUPPLEMENTAL APPROPRIATIONS

          * * * * * * *

                       TITLE VII--DEBT REDUCTION

          * * * * * * *

TITLE VIII--INTERNATIONAL DEBT FORGIVENESS AND INTERNATIONAL FINANCIAL 
                          INSTITUTIONS REFORM

SEC. 801. DEBT RELIEF UNDER THE HEAVILY INDEBTED POOR COUNTRIES (HIPC) 
                    INITIATIVE

    (a) Repeal of Limitation on Availability of Earnings on 
Profits of Nonpublic Gold Sales.--* * *
    (b) Contributions to HIPC Trust Fund.--
          (1) Authorization of appropriations for 
        contributions.-- There is authorized to be appropriated 
        for the period beginning October 1, 2000, and ending 
        September 30, 2003, $435,000,000 for purposes of United 
        States contributions to the Heavily Indebted Poor 
        Countries (HIPC) Trust Fund administered by the Bank.
          (2) Availability of amounts.--Amounts appropriated 
        pursuant to the authorization of appropriations in 
        paragraph (1) shall remain available until expended.
    (c) Certification Required.--
          (1) In general.--Except as provided in paragraph (2), 
        not later than 30 days after the date of enactment of 
        this Act, the Secretary shall certify to the 
        appropriate congressional committees that the following 
        requirements are satisfied:
                  (A) Implementation by the bank of certain 
                policies.--The Bank is implementing--
                          (i) policies providing for the 
                        suspension of a loan if funds are being 
                        diverted for purposes other than the 
                        purpose for which the loan was 
                        intended;
                          (ii) policies seeking to prevent 
                        loans from displacing private sector 
                        financing;
                          (iii) policies requiring that loans 
                        other than project loans must be 
                        disbursed
                                  (I) on the basis of specific 
                                prior reforms; or
                                  (II) incrementally upon 
                                implementation of specific 
                                reforms after initial 
                                disbursement;
                          (iv) policies seeking to minimize the 
                        number of projects receiving financing 
                        that would displace a population 
                        involuntarily or be to the detriment of 
                        the people or culture of the area into 
                        which the displaced population is to be 
                        moved;
                          (v) policies vigorously promoting 
                        open markets and liberalization of 
                        trade in goods and services;
                          (vi) policies providing that 
                        financing by the Bank concentrates 
                        chiefly on projects and programs that 
                        promote economic and social progress 
                        rather than short-term liquidity 
                        financing; and
                          (vii) policies providing for the 
                        establishment of appropriate 
                        qualitative and quantitative indicators 
                        to measure progress toward graduation 
                        from receiving financing on 
                        concessionary terms, including an 
                        estimated timetable by which countries 
                        may graduate over the next 15 years.
                  (B) Implementation by the fund of certain 
                policies.--The Fund is implementing--
                          (i) policies providing for the 
                        suspension of a financing if funds are 
                        being diverted for purposes other than 
                        the purpose for which the financing was 
                        intended;
                          (ii) policies seeking to ensure that 
                        financing by the Fund normally serves 
                        as a catalyst for private sector 
                        financing and does not displace such 
                        financing;
                          (iii) policies requiring that 
                        financing must be disbursed--
                                  (I) on the basis of specific 
                                prior reforms; or
                                  (II) incrementally upon 
                                implementation of specific 
                                reforms after initial 
                                disbursement;
                          (iv) policies vigorously promoting 
                        open markets and liberalization of 
                        trade in goods and services;
                          (v) policies providing that financing 
                        by the Fund concentrates chiefly on 
                        short-term balance of payments 
                        financing; and
                          (vi) policies providing for the use, 
                        in conjunction with the Bank, of 
                        appropriate qualitative and 
                        quantitative indicators to measure 
                        progress toward graduation from 
                        receiving financing on concessionary 
                        terms, including an estimated timetable 
                        by which countries may graduate over 
                        the next 15 years.
          (2) Exception.--In the event that the Secretary 
        cannot certify that a policy described in paragraph 
        (1)(A) or (1)(B) is being implemented, the Secretary 
        shall, not later than 30 days after the date of 
        enactment of this Act, submit a report to the 
        appropriate congressional committees on the progress, 
        if any, made by the Bank or the Fund in adopting and 
        implementing such policy, as the case may be.

SEC. 802. STRENGTHENING PROCEDURES FOR MONITORING USE OF FUNDS BY 
                    MULTILATERAL DEVELOPMENT BANKS

    (a) In General.--The Secretary shall instruct the United 
States Executive Director of each multilateral development bank 
to exert the influence of the United States to strengthen the 
bank's procedures and management controls intended to ensure 
that funds disbursed by the bank to borrowing countries are 
used as intended and in a manner that complies with the 
conditions of the bank's loan to that country.
    (b) Progress Evaluation.--Not later than 180 days after the 
date of enactment of this Act, the Secretary shall submit to 
the appropriate congressional committees a report evaluating 
the progress made toward achieving the objectives of subsection 
(a), including a description of--
          (1) any progress made in improving the supervision, 
        monitoring, and auditing of programs and projects 
        supported by each multilateral development bank, in 
        order to identify and reduce bribery and corruption;
          (2) any progress made in developing each multilateral 
        development bank's priorities for allocating 
        anticorruption assistance;
          (3) country-specific anticorruption programs 
        supported by each multilateral development bank;
          (4) actions taken to identify and discipline 
        multilateral development bank employees suspected of 
        knowingly being involved in corrupt activities; and
          (5) the outcome of efforts to harmonize procurement 
        practices across all multilateral development banks.

SEC. 803. REPORTS ON POLICIES, OPERATIONS, AND MANAGEMENT OF 
                    INTERNATIONAL FINANCIAL INSTITUTIONS

    (a) Annual Report on Financial Operations.--Beginning 180 
days after the date of enactment of this Act, or October 31, 
2000, whichever is later, and on October 31 of each year 
thereafter, the Comptroller General of the United States shall 
submit to the appropriate congressional committees a report on 
the sufficiency of audits of the financial operations of each 
multilateral development bank conducted by persons or entities 
outside such bank.
    (b) Annual Report on United States Supported Policies.--
Beginning 180 days after the date of enactment of this Act, or 
October 31, 2000, whichever is later, and on October 31 of each 
year thereafter, the Secretary shall submit a report to the 
appropriate congressional committees on--
          (1) the actions taken by recipient countries, as a 
        result of the assistance allocated to them by the 
        multilateral development banks under programs referred 
        to in section 802(b), to strengthen governance and 
        reduce the opportunity for bribery and corruption; and
          (2) how International Development Association-
        financed projects contribute to the eventual graduation 
        of a representative sample of countries from reliance 
        on financing on concessionary terms and international 
        development assistance.
      (c) * * *
      (d) Report on Debt Relief.--Not later than 90 days after 
the date of enactment of this Act, the Secretary shall submit a 
report to the appropriate congressional committees on the 
history of debt relief programs led by, or coordinated with, 
international financial institutions, including but not limited 
to--
          (1) the extent to which poor countries and the 
        poorest-of-the-poor benefit from debt relief, including 
        measurable evidence of any such benefits; and
          (2) the extent to which debt relief contributes to 
        the graduation of a country from reliance on financing 
        on concessionary terms and international development 
        assistance.
          * * * * * * *

SEC. 806. DEFINITIONS

    In this title:
          (1) Appropriate congressional committees.--The term 
        ``appropriate congressional committees'' means the 
        Committee on Foreign Relations and the Committee on 
        Appropriations of the Senate, and the Committee on 
        Banking and Financial Services and the Committee on 
        Appropriations of the House of Representatives.
          (2) Bank.--The term ``Bank'' means the International 
        Bank for Reconstruction and Development.
          (3) Fund.--The term ``Fund'' means the International 
        Monetary Fund.
          (4) International financial institutions.--The term 
        ``international financial institutions'' means the 
        multilateral development banks and the International 
        Monetary Fund.
          (5) Multilateral development banks.--The term 
        ``international financial institutions'' means the 
        International Bank for Reconstruction and Development, 
        the International Finance Corporation, the Inter-
        American Development Bank, the Asian Development Bank, 
        the Inter-American Investment Corporation, the African 
        Development Bank, the African Development Fund, the 
        European Bank for Reconstruction and Development, and 
        the Multilateral Investment Guarantee Agency.
          (6) Secretary.--The term ``Secretary'' means the 
        Secretary of the Treasury.
    This Act may be cited as the ``Foreign Operations, Export 
Financing, and Related Programs Appropriations Act, 2001''.

            f. International Lending Supervision Act of 1983

  Partial text of Public Law 98-181 [Supplemental Appropriations Act, 
1984; H.R. 3959], 97 Stat. 1153 at 1278, approved November 30, 1983; as 
amended by Public Law 100-418 [Omnibus Trade and Competitiveness Act of 
1988; H.R. 4848], 102 Stat. 1107, approved August 23, 1988; Public Law 
101-240 [International Development and Finance Act of 1989; H.R. 2494], 
 103 Stat. 2492, approved December 19, 1989; and by Public Law 104-208 
[Economic Growth and Regulatory Paperwork Reduction Act of 1996, title 
II of the Omnibus Consolidated Appropriations Act for Fiscal Year 1997; 
        H.R. 3610], 110 Stat. 3009, approved September 30, 1996

 AN ACT Making supplemental appropriations for the fiscal year ending 
              September 30, 1984, and for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,
          * * * * * * *

              TITLE IX--INTERNATIONAL LENDING SUPERVISION

                              SHORT TITLE

    Sec. 901. This title may be cited as the ``International 
Lending Supervision Act of 1983''.

                         DECLARATION OF POLICY

    Sec. 902.\1\ (a)(1) It is the policy of the Congress to 
assure that the economic health and stability of the United 
States and the other nations of the world shall not be 
adversely affected or threatened in the future by imprudent 
leading practices or inadequate supervision.
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    \1\ 12 U.S.C. 3901.
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    (2) This shall be achieved by strengthening the bank 
regulatory framework to encourage prudent private 
decisionmaking and by enhancing international coordination 
among bank regulatory authorities.
    (b) The Federal banking agencies shall consult with the 
banking supervisory authorities of other countries to reach 
understandings aimed at achieving the adoption of effective and 
consistent supervisory policies and practices with respect to 
international lending.

                              DEFINITIONS

    Sec. 903.\2\ For purposes of this title--
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    \2\ 12 U.S.C. 3902.
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          (1) the term ``appropriate Federal banking agency'' 
        has the same meaning given such term in section 3(q) of 
        the Federal Deposit Insurance Act, except that for 
        purposes of this title such term means the Board of 
        Governors of the Federal Reserve System for--
                  (A) bank holding companies and any nonbank 
                subsidiary thereof;
                  (B) Edge Act corporations organized under 
                section 25(a) of the Federal Reserve Act; and
                  (C) Agreement Corporations operating under 
                section 25 of the Federal Reserve Act; and
          (2) the term ``banking institution'' means--
                  (A)(i) an insured bank as defined in section 
                3(h) of the Federal Deposit Insurance Act or 
                any subsidiary of an insured bank;
                  (ii) an Edge Act corporation organized under 
                section 25(a) of the Federal Reserve Act; and
                  (iii) an Agreement Corporation operating 
                under section 25 of the Federal Reserve Act; 
                and
                  (B) to the extent determined by the 
                appropriate Federal banking agency, any agency 
                or branch of a foreign bank, and any commercial 
                lending company owned or controlled by one or 
                more foreign banks or companies that control a 
                foreign bank as those terms are defined in the 
                International Banking Act of 1978. The term 
                ``banking institution'' shall not include a 
                foreign bank.

           STRENGTHENED SUPERVISION OF INTERNATIONAL LENDING

    Sec. 904.\3\ (a) Each appropriate Federal banking agency 
shall evaluate banking institution foreign country exposure and 
transfer risk for use in banking institution examination and 
supervision.
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    \3\ 12 U.S.C. 3903.
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    (b) Each such agency shall establish examination and 
supervisory procedures to assure that factors such as foreign 
country exposure and transfer risk are taken into account in 
evaluating the adequacy of the capital of banking institutions.

                                RESERVES

    Sec. 905.\4\ (a)(1) Each appropriate Federal banking agency 
shall require a banking institution to establish and maintain a 
special reserve whenever, in the judgment of such appropriate 
Federal banking agency--
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    \4\ 12 U.S.C. 3904.
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          (A) the quality of such banking institution's assets 
        has been impaired by a protracted inability of public 
        or private borrowers in a foreign country to make 
        payments on their external indebtedness as indicated by 
        such factors, among others, as--
                  (i) a failure by such public or private 
                borrowers to make full interest payments on 
                external indebtedness.
                  (ii) a failure to comply with the terms of 
                any restructured indebtedness; or
                  (iii) a failure by the foreign country to 
                comply with any International Monetary Fund or 
                other suitable adjustment program; or
          (B) no definite prospects exist for the orderly 
        restoration of debt service.
    (2) Such reserves shall be charged against current income 
and shall not be considered as part of capital and surplus or 
allowances for possible loan losses for regulatory, 
supervisory, or disclosure purposes.
    (b) The appropriate Federal banking agencies shall analyze 
the results of foreign loan rescheduling negotiations, assess 
the loan loss risk reflected in rescheduling agreements, and, 
using the powers set forth in section 908 (regarding capital 
adequacy), ensure that the capital and reserve positions of 
United States banks are adequate to accommodate potential 
losses on their foreign loans.
    (c) The appropriate Federal banking agencies shall 
promulgate regulations or orders necessary to implement this 
section within 120 days after the date of the enactment of this 
title.

                    ADDITIONAL RESERVE REQUIREMENTS

    Sec. 905A.\5\ (a) In General.--Each appropriate Federal 
banking agency shall review the exposure to risk of United 
States banking institutions arising from the medium- and long-
term loans made by such institutions that are outstanding to 
any highly indebted country. Each agency shall provide 
direction to such institutions regarding additions to general 
reserves maintained by each banking institution for potential 
loan losses and special reserves required by such agency 
arising from such review.
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    \5\ 12 U.S.C. 3904a. Sec. 402(b) of the International Development 
and Finance Act of 1989 (Public Law 101-240; 103 Stat. 2501) added sec. 
905A. Sec. 402(a) of that Act also provided the following, titled 
``Additional Reserve Requirements'':
    (a) Findings.--The Congress finds that--
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          ``(1) since the adoption of the International Lending 
        Supervision Act of 1983, the credit quality of loans by United 
        States banking institutions to highly indebted countries has 
        deteriorated and the prospects for full repayment of such loans 
        have diminished;
          ``(2) in general during this period, the level of country 
        exposure and transfer risk associated with loans by United 
        States banking institutions to highly indebted countries has 
        not been adequately reflected in the reserve levels established 
        by many individual United States banking institutions or the 
        reserve requirements imposed by Federal banking agencies 
        pursuant to such Act;
          ``(3) during the last 3 years and particularly in recent 
        months, United States banking institutions have increased their 
        reserves for possible losses from loans to highly indebted 
        countries but such reserves remain, in some cases, 
        significantly lower than reserves established by banking 
        institutions in a number of foreign countries and may not be 
        adequate to deal with potential risks; and
          ``(4) in order to fulfill the purposes of such Act, the 
        Federal banking agencies should take a more active role in 
        reviewing reserve levels established by United States banking 
        institutions for potential losses from loans to highly indebted 
        countries and in requiring appropriate levels of both special 
        and general reserves to reflect the increased risk of such 
        loans.''.
  (b) Determination of Institutional Exposure to Risk.--In 
determining the exposure of an institution to risk for purposes 
of subsection (a), the appropriate Federal banking agency--
          (1) shall determine whether any country exposure that 
        is, and has been for at least 2 years, rated in the 
        category ``Other Transfer Risk Problems'' or the 
        category ``Substandard'' by the Interagency Country 
        Exposure Review Committee should be reevaluated;
          (2) may exempt, in full or in part, from reserve 
        requirements established pursuant to subsection (a), 
        any loan--
                  (A) to a country that enters into a debt 
                reduction, debt service reduction, or financing 
                program with its bank creditors that is 
                supported by the International Bank for 
                Reconstruction and Development or the 
                International Monetary Fund; or
                  (B) secured, in whole or in part, by 
                appropriate collateral for payment of interest 
                or principal;
          (3) take into account any other factors which bear on 
        such exposure and the particular circumstances of the 
        institution; and
          (4) shall consider as indicators of risk, where 
        appropriate, the average reserve levels maintained by 
        or required of banking institutions in foreign 
        countries and secondary market prices for such loans.
  (c) Timing and Report.--
          (1) Determined by agency.--Except as provided in 
        paragraph (3), each appropriate Federal banking agency 
        shall determine the timing of any addition to reserves 
        required by subsection (a).
          (2) Report.--Each appropriate Federal banking agency 
        shall include in each report required to be made under 
        section 913(d) after 1989 a report on the actions taken 
        pursuant to this section.
          (3) Deadline.--Each Federal agency required to 
        undertake a review described in subsection (a) shall 
        complete the review not later than December 31, 1990.
  (d) Highly Indebted Country Defined.--As used in this 
section, the term ``highly indebted country'' means any country 
designated as a ``Highly Indebted Country'' in the annual World 
Debt Tables most recently published by the International Bank 
for Reconstruction and Development before the date of the 
enactment of this section.

               ACCOUNTING FOR FEES ON INTERNATIONAL LOANS

    Sec. 906.\6\ (a)(1) In order to avoid excessive debt 
service burdens on debtor countries, no banking institution 
shall charge, in connection with the restructuring of an 
international loan, any fee exceeding the administrative cost 
of the restructuring unless it amortizes such fee over the 
effective life of each such loan.
---------------------------------------------------------------------------
    \6\ 12 U.S.C. 3905.
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    (2)(A) Each appropriate Federal banking agency shall 
promulgate such regulations as are necessary to further carry 
out the provisions of this subsection.
    (B) The requirement of paragraph (1) shall take effect on 
the date of the enactment of this section.
    (b)(1) Subject to subsection (a), the appropriate Federal 
banking agencies shall promulgate regulations for accounting 
for agency, commitment, management and other fees charged by a 
banking institution in connection with an international loan.
    (2) Such regulations shall establish the accounting 
treatment of such fees for regulatory, supervisory, and 
disclosure purposes to assure that the appropriate portion of 
such fees is accrued in income over the effective life of each 
such loan.
    (3) The appropriate Federal banking agencies shall 
promulgate regulations or orders necessary to implement this 
subsection within 120 days after the date of the enactment of 
this title.

    COLLECTION AND DISCLOSURE OF CERTAIN INTERNATIONAL LENDING DATA

    Sec. 907.\7\ (a) Each appropriate Federal banking agency 
shall require, by regulation, each banking institution with 
foreign country exposure to submit, no fewer than four times 
each calendar year, information regarding such exposure in a 
format prescribed by such regulations.
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    \7\ 12 U.S.C. 3906.
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    (b) Each appropriate Federal banking agency shall require, 
by regulation, banking institutions to disclose to the public 
information regarding material foreign country exposure in 
relation to assets and to capital.
    (c) The appropriate Federal banking agencies shall 
promulgate regulations or orders necessary to implement this 
section within 120 days after the date of the enactment of this 
title.

                            CAPITAL ADEQUACY

    Sec. 908.\8\ (a)(1) Each appropriate Federal banking agency 
shall cause banking institutions to achieve and maintain 
adequate capital by establishing minimum levels of capital for 
such banking institutions and by using such other methods as 
the appropriate Federal banking agency deems appropriate.
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    \8\ 12 U.S.C. 3907.
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    (2) Each appropriate Federal banking agency shall have the 
authority to establish such minimum level of capital for a 
banking institution as the appropriate Federal banking agency, 
in its discretion, deems to be necessary or appropriate in 
light of the particular circumstances of the banking 
institution.
    (b)(1) Failure of a banking institution to maintain capital 
at or above its minimum level as established pursuant to 
subsection (a) may be deemed by the appropriate Federal banking 
agency, in its discretion, to constitute an unsafe and unsound 
practice within the meaning of section 8 of the Federal Deposit 
Insurance Act.
    (2)(A) In addition to, or in lieu of, any other action 
authorized by law, including paragraph (1), the appropriate 
Federal banking agency may issue a directive to a banking 
institution that fails to maintain capital at or above its 
required level as established pursuant to subsection (a).
    (B)(i) Such directive may require the banking institution 
to submit and adhere to a plan acceptable to the appropriate 
Federal banking agency describing the means and timing by which 
the banking institution shall achieve its required capital 
level.
    (ii) Any such directive issued pursuant to this paragraph, 
including plans submitted pursuant thereto, shall be 
enforceable under the provisions of section 8(i) of the Federal 
Deposit Insurance Act to the same extent as an effective and 
outstanding order issued pursuant to section 8(b) of the 
Federal Deposit Insurance Act which has become final.
    (3)(A) Each appropriate Federal banking agency may consider 
such banking institution's progress in adhering to any plan 
required under this subsection whenever such banking 
institution, or an affiliate thereof, or the holding company 
which controls such banking institution, seeks the requisite 
approval of such appropriate Federal banking agency for any 
proposal which would divert earnings, diminish capital, or 
otherwise impede such banking institution's progress in 
achieving its minimum capital level.
    (B) Such appropriate Federal banking agency may deny such 
approval where it determines that such proposal would adversely 
affect the ability of the banking institution to comply with 
such plan.
    (C) The Chairman of the Board of Governors of the Federal 
Reserve System and the Secretary of the Treasury shall 
encourage governments, central banks, and regulatory 
authorities of other major banking countries to work toward 
maintaining and, where appropriate, strengthening the capital 
bases of banking institutions involved in international 
lending.

                        FOREIGN LOAN EVALUATIONS

    Sec. 909.\9\ (a)(1) In any case in which one or more 
banking institutions extend credit, whether by loan, lease, 
guarantee, or otherwise, which individually or in the aggregate 
exceeds $20,000,000, to finance any project which has as a 
major objective the construction or operation of any mining 
operation, any metal or mineral primary processing operation, 
any fabricating facility or operation, or any metal-making 
operations (semi and finished) located outside the United 
States or its territories and possessions, a written economic 
feasibility evaluation of such foreign project shall be 
prepared and approved in writing by a senior official of the 
banking institution, or, if more than one banking institution 
is involved, the lead banking institution, prior to the 
extension of such credit.
---------------------------------------------------------------------------
    \9\ 12 U.S.C. 3908.
---------------------------------------------------------------------------
    (2) Such evaluation shall--
          (A) take into account the profit potential of the 
        project, the impact of the project on world markets, 
        the inherent competitive advantages and disadvantages 
        of the project over the entire life of the project, and 
        the likely effect of the project upon the overall long-
        term economic development of the country in which the 
        project is located; and
          (B) consider whether the extension of credit can 
        reasonably be expected to be repaid from revenues 
        generated by such foreign project without regard to any 
        subsidy, as defined in international agreements, 
        provided by the government involved or any 
        instrumentality of any country.
    (b) Such economy feasibility evaluations shall be reviewed 
by representatives of the appropriate Federal banking agencies 
whenever an examination by such appropriate Federal banking 
agency is conducted.
    (c)(1) The authorities of the Federal banking agencies 
contained in section 8 of the Federal Deposit Insurance Act and 
in section 910 of this Act, except those contained in section 
910(d), shall be applicable to this section.
    (2) No private right of action or claim for relief may be 
predicated upon this section.

                          GENERAL AUTHORITIES

    Sec. 910.\10\ (a)(1) The appropriate Federal banking 
agencies are authorized to interpret and define the terms used 
in this title, and each appropriate Federal banking agency 
shall prescribe rules or regulations or issue orders as 
necessary to effectuate the purposes of this title and to 
prevent evasions thereof.
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    \10\ 12 U.S.C. 3909.
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    (2) The appropriate Federal banking agency is authorized to 
apply the provisions of this title to any affiliate of an 
insured bank, but only to affiliates for which it is the 
appropriate Federal banking agency, in order to promote uniform 
application of this title or to prevent evasions thereof.
    (3) For purposes of this section, the term ``affiliate'' 
shall have the same meaning as in section 23A of the Federal 
Reserve Act, except that the term ``member bank'' in such 
section shall be deemed to refer to an ``insured bank'', as 
such term is used in section 3(h) of the Federal Deposit 
Insurance Act.
    (b) The appropriate Federal banking agencies shall 
establish uniform systems to implement the authorities provided 
under this title.
    (c)(1) The powers and authorities granted in this title 
shall be supplemental to and shall not be deemed in any manner 
to derogate from or restrict the authority of each appropriate 
Federal banking agency under section 8 of the Federal Deposit 
Insurance Act or any other law including the authority to 
require additional capital or reserves.
    (2) Any such authority may be used by any appropriate 
Federal banking agency to ensure compliance by a banking 
institution with the provisions of this title and all rules, 
regulations, or orders issued pursuant thereto.
    (d)(1) Any banking institution which violates, or any 
officer, director, employee, agent, or other person 
participating in the conduct of the affairs of such banking 
institution, who violates any provision of this title or any 
rule, regulation, or order, issued under this title, shall 
forfeit and pay a civil penalty of not more than $1,000 per day 
for each day during which such violation continues.
    (2) Such violations shall be deemed to be a violation of a 
final order under section 8(i)(2) of the Federal Deposit 
Insurance Act and the penalty shall be assessed and collected 
by the appropriate Federal banking agency under the procedures 
established by, and subject to the rights afforded to parties 
in, such section.

                          GAO AUDIT AUTHORITY

    Sec. 911.\11\ (a)(1) Under regulations of the Comptroller 
General, the Comptroller General shall audit the appropriate 
Federal banking agencies (as defined in section 903 of this 
title), but may carry out an on site examination of an open 
insured bank or bank holding company only if the appropriate 
Federal banking agency has consented in writing.
---------------------------------------------------------------------------
    \11\ 12 U.S.C. 3910.
---------------------------------------------------------------------------
    (2) An audit under this subsection may include a review or 
evaluation of the international regulation, supervision, and 
examination activities of the appropriate Federal banking 
agency, including the coordination of such activities with 
similar activities of regulatory authorities of a foreign 
government or international organization.
    (3) Audits of the Federal Reserve Board and Federal Reserve 
banks may not include--
          (A) transactions for, or with, a foreign central 
        bank, government of a foreign country, or nonprivate 
        international financing organization;
          (B) deliberations, decisions, or actions on monetary 
        policy matters, including discount window operations, 
        reserves of member banks, securities credit, interests 
        on deposits, or open market operations;
          (C) transactions made under the direction of the 
        Federal Open Market Committee; or
          (D) a part of a discussion or communication among or 
        between members of the Board of Governors of the 
        Federal Reserve System and officers and employees of 
        the Federal Reserve System related to subparagraphs (A) 
        through (C) of this paragraph.
    (b)(1)(A) Except as provided in this subsection, an officer 
or employee of the General Accounting Office may not disclose 
information identifying an open bank, an open bank holding 
company, or a customer of an open or closed bank or bank 
holding company.
    (B) The Comptroller General may disclose information 
related to the affairs of a closed bank or closed bank holding 
company identifying a customer of the closed bank or closed 
bank holding company only if the Comptroller General believes 
the customer had a controlling influence in the management of 
the closed bank or closed bank holding company or was related 
to or affiliated with a person or group having a controlling 
influence.
    (2) An officer or employee of the General Accounting Office 
may discuss a customer, bank, or bank holding company with an 
official of an appropriate Federal banking agency and may 
report an apparent criminal violation to an appropriate law 
enforcement authority of the United States Government or a 
State.
    (3) This subsection does not authorize an officer or 
employee of an appropriate Federal banking agency to withhold 
information from a committee of the Congress authorized to have 
the information.
    (c)(1)(A) To carry out this section, all records and 
property of or used by an appropriate Federal banking agency, 
including samples of reports of examinations of a bank or bank 
holding company the Comptroller General considers statistically 
meaningful and workpapers and correspondence related to the 
reports shall be made available to the Comptroller General, 
including such records and property pertaining to the 
coordination of international regulation, supervision and 
examination activities of an appropriate Federal banking 
agency.
    (B) The Comptroller General shall give each appropriate 
Federal banking agency a current list of officers and employees 
to whom, with proper identification, records and property may 
be made available, and who may make notes or copies necessary 
to carry out an audit.
    (C) Each appropriate Federal banking agency shall give the 
Comptroller General suitable and lockable offices and 
furniture, telephones, and access to copying facilities.
    (2) Except for the temporary removal of workpapers of the 
Comptroller General that do not identify a customer of a open 
or closed bank or bank holding company, an open bank, or an 
open bank holding company, all workpapers of the Comptroller 
General and records and property of or used by an appropriate 
Federal banking agency that the Comptroller General possesses 
during an audit, shall remain in such agency. The Comptroller 
General shall prevent unauthorized access to records or 
property.

   EQUAL REPRESENTATION FOR THE FEDERAL DEPOSIT INSURANCE CORPORATION

    Sec. 912.\12\ As one of the three Federal bank regulatory 
and supervisory agencies, and as the insurer of the United 
States banks involved in international lending, the Federal 
Deposit Insurance Corporation shall be given equal 
representation with the Board of Governors of the Federal 
Reserve System and the Office of the Comptroller of the 
Currency on the Committee on Banking Regulations and 
Supervisory Practices of the Group of Ten Countries and 
Switzerland.
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    \12\ 12 U.S.C. 3911.
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    Sec. 913.\13\ * * * [Repealed--1996]
---------------------------------------------------------------------------
    \13\ Formerly at 12 U.S.C. 3912. Sec. 2224(c) of title II of Public 
Law 104-208 (110 Stat. 3009) repealed sec. 913, which had required the 
Treasury Department to issue reports to Congress on international 
lending operations of banking institutions.

          g. Multilateral Development Banks--Sense of Congress

  Partial text of Public Law 98-181 [Supplemental Appropriations Act, 
  1984; H.R. 3959], 97 Stat. 1153 at 1286, approved November 30, 1983


          Note.--Except for the provisions included below, 
        title X of this Act consists of amendments to the 
        Inter-American Development Bank Act, the Asian 
        Development Bank Act, and the African Development Fund 
        Act. These amendments have been incorporated at the 
        appropriate places in the text.



 AN ACT Making supplemental appropriations for the fiscal year ending 
              September 30, 1984, and for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,
          * * * * * * *

                TITLE X--MULTILATERAL DEVELOPMENT BANKS

          * * * * * * *

                                 STUDY

    Sec. 1005. (a) It is the sense of Congress that--
          (1) the multilateral development institutions serve 
        an invaluable role in promoting developing abroad;
          (2) foreign direct investment, trade, and commercial 
        lending make a contribution at least equal to that of 
        development assistance in promoting development;
          (3) United States economic interests are vitally 
        affected by conditions in developing countries; and
          (4) the multilateral development banks already play 
        an important, although indirect, role in encouraging 
        private investment flows.
    (b)(1)(A) The Secretary of the Treasury shall conduct a 
study of how the multilateral development institutions could 
more actively encourage foreign direct investment and 
commercial capital flows and channel such investment and 
capital flows to developing countries for sound and productive 
development projects through the International Finance 
Corporation in cooperation with the multilateral development 
institutions or through a new investment banking facility at 
one or more of these institutions.
    (B) In addition, such study shall evaluate whether the 
multilateral development institutions could help increase 
foreign direct investment and commercial capital flows by 
insuring that the interests of investors and host governments 
are adequately protected.
    (2) The Secretary of the Treasury shall solicit comments on 
such study from the multilateral development institutions and 
shall incorporate such comments with the study in a report to 
be transmitted to both Houses of the Congress within one 
hundred and eighty days of the date of the enactment of this 
section.

                          PERSONNEL PRACTICES

    Sec. 1006. (a) \1\ It shall be the policy of the United 
States that no initiatives, discussions or recommendations 
concerning the placement or removal of any Inter-American 
Development Bank, Asian Development Bank, or African 
Development Bank personnel shall be based on the political 
philosophy or activity of the individual under consideration.
---------------------------------------------------------------------------
    \1\ 22 U.S.C. 276e-3.
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    (b) The Secretary of the Treasury shall consult with the 
Chairman and ranking minority member of the Committee on 
Banking, Finance and Urban Affairs \2\ of the House of 
Representatives and the Committee on Foreign Relations of the 
Senate and the relevant subcommittees prior to any discussions 
or recommendations by any official of the United States 
Government concerning the placement or removal of any principal 
officer of the Inter-American Development Bank, Asian 
Development Bank, or African Development Bank management.
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    \2\ Sec. 1(a)(2) of Public Law 104-14 (109 Stat. 186) provided that 
references to the Committee on Banking, Finance and Urban Affairs of 
the House of Representatives shall be treated as referring to the 
Committee on Banking and Financial Services of the House of 
Representatives.

                      h. Foreign Currency Reports

 Added to 31 United States Code by Public Law 93-110 [An Act To Amend 
  the Par Value Modification Act; H.R. 6912], 87 Stat. 352, approved 
 September 21, 1973; amended by Public Law 98-473 [Comprehensive Crime 
 Control Act of 1984, H.J. Res. 648], 98 Stat. 1837, approved October 
 12, 1984; Public Law 99-570 [Anti-Drug Abuse Act of 1986, H.R. 5484], 
  100 Stat. 3207, approved October 27, 1986; Public Law 100-690 [Anti-
 Drug Abuse Act of 1988, H.R. 5210], 102 Stat. 4181, approved November 
18, 1988; Public Law 102-550 [Housing and Community Development Act of 
1992, H.R. 5334], 106 Stat. 3672, approved October 28, 1992; Public Law 
 103-322 [Violent Crime Control and Law Enforcement Act of 1994; H.R. 
3355], 108 Stat. 1796, approved September 13, 1994; Public Law 103-325 
 [Riegle Community Development and Regulatory Improvement Act of 1994; 
H.R. 3474], 108 Stat. 2160, approved September 23, 1994; and by Public 
  Law 104-208 [Omnibus Consolidated Appropriations Act for 1997; H.R. 
           3610], 110 Stat. 3009, approved September 30, 1996

                          TITLE 31, U.S.C.\1\

Sec. 5315. Reports on foreign currency transactions

    (a) Congress finds that--
---------------------------------------------------------------------------
    \1\ These provisions were originally enacted as title II of Public 
Law 93-110 and codified at 31 U.S.C. 1151. That text provided a 
congressional statement of findings, granted the Secretary of the 
Treasury the authority to prescribe regulations, and established 
enforcement provisions. Public Law 97-258 amended and recodified title 
31, U.S.C., and incorporated an amended text of title II into the 
revised title 31.
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          (1) moving mobile capital can have a significant 
        impact on the proper functioning of the international 
        monetary system;
          (2) it is important to have the most feasible current 
        and complete information on the kind and source of 
        capital flows, including transactions by large United 
        States businesses and their foreign affiliates; and
          (3) additional authority should be provided to 
        collect information on capital flows under section 5(b) 
        of the Trading With the Enemy Act (50 App. U.S.C. 5(b)) 
        and section 8 of the Bretton Woods Agreement Act (22 
        U.S.C. 286f).
    (b) In this section, ``United States person'' and ``foreign 
person controlled by a United States person'' have the same 
meanings given those terms in section 7(f) (A) and (C), 
respectively, of the Securities and Exchange Act of 1934 (15 
U.S.C. 78g(f)(2)(A), (C)).
    (c) The Secretary of the Treasury shall prescribe 
regulations consistent with subsection (a) of this section 
requiring reports on foreign currency transactions conducted by 
a United States person or a foreign person controlled by a 
United States person. The regulations shall require that a 
report contain information and be submitted at the time and in 
the way, with reasonable exceptions and classifications, 
necessary to carry out this section.
          * * * * * * *

Sec. 5320. Injunctions

    When the Secretary of the Treasury believes a person has 
violated, is violating, or will violate this subchapter, or a 
regulation prescribed or order issued under this subchapter, 
the Secretary may bring a civil action in the appropriate 
district court of the United States or appropriate United 
States court of a territory or possession of the United States 
to enjoin the violation or to enforce compliance with the 
subchapter, regulation, or order. An injunction or temporary 
restraining order shall be issued without bond.

Sec. 5321. Civil penalties

    (a)(1) A domestic financial institution, and a partner, 
director, officer, or employee of a domestic financial 
institution, willfully violating this subchapter or a 
regulation prescribed under this subchapter (except sections 
5314 and 5315 of this title or a regulation prescribed under 
sections 5314 and 5315) is liable to the United States 
Government for a civil penalty of not more than the greater of 
the amount (not to exceed $100,000) \2\ involved in the 
transaction (if any) \3\ or $25,000. For a violation of section 
5318(a)(2) of this title or a regulation prescribed under 
section 5318(a)(2), a separate violation occurs for each day 
the violation continues and at each office, branch, or place of 
business at which a violation occurs or continues.
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    \2\ Originally enacted as ''$1,000''. Sec. 901(a) of Public Law 98-
473 (98 Stat. 2135) substituted $10,000 for $1,000; subsequently the 
penalty was raised to $100,000 by sec. 1357(b) of Public Law 99-570 
(100 Stat. 3207-24).
    \3\ Sec. 6185(g)(2) of Public Law 100-690 (102 Stat. 4357) added 
``(if any)''.
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    (2) The Secretary of the Treasury may impose an additional 
civil penalty on a person not filing a report, or filing a 
report containing a material omission or misstatement, under 
section 5316 of this title or a regulation prescribed under 
section 5316. A civil penalty under this paragraph may not be 
more than the amount of the monetary instrument for which the 
report was required. A civil penalty under this paragraph is 
reduced by an amount forfeited under section 5317(b) of this 
title.
    (3) \4\ A person not filing a report under a regulation 
prescribed under section 5315 of this title or not complying 
with an injunction under section 5320 of this title enjoining a 
violation of, or enforcing compliance with, section 5315 or a 
regulation prescribed under section 5315, is liable to the 
Government for a civil penalty of not more than $10,000.
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    \4\ Sec. 1357 of Public Law 99-570 (100 Stat. 3207-24) added paras. 
(4) through (6).
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    (4) Structured transaction violation.--
          (A) Penalty authorized.--The Secretary of the 
        Treasury may impose a civil money penalty on any person 
        who \5\ violates any provision of section 5324.
---------------------------------------------------------------------------
    \5\ Sec. 411(b) of Public Law 103-325 (108 Stat. 2253) struck out 
``willfully'' following ``who''.
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          (B) Maximum amount limitation.--The amount of any 
        civil money penalty imposed under subparagraph (A) 
        shall not exceed the amount of the coins and currency 
        (or such other monetary instruments as the Secretary 
        may prescribe) involved in the transaction with respect 
        to which such penalty is imposed.
          (C) Coordination with forfeiture provision.--The 
        amount of any civil money penalty imposed by the 
        Secretary under subparagraph (A) shall be reduced by 
        the amount of any forfeiture to the United States \6\ 
        in connection with the transaction with respect to 
        which such penalty is imposed.
---------------------------------------------------------------------------
    \6\ Sec. 1525(b) of Public Law 102-550 (106 Stat. 4065) struck out 
``under section 5317(d)'' from this point.
---------------------------------------------------------------------------
    (5) \4\ Foreign financial agency transaction violation.--
          (A) Penalty authorized.--The Secretary of the 
        Treasury may impose a civil money penalty on any person 
        who willfully violates or any person willfully causing 
        \7\ any violation of \8\ any provision of section 5314.
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    \7\ Sec. 1535(a)(2) of Public Law 102-550 (106 Stat. 4066) inserted 
``or any person willfully causing'' after ``willfully violates''.
    \8\ Sec. 330017(a)(1) of Public Law 103-322 (108 Stat. 2149) 
inserted ``any violation of'' after ``causing''. Sec. 413(a)(1) of 
Public Law 103-325 (108 Stat. 2254) made an identical amendment.
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          (B) Maximum amount limitation.--The amount of any 
        civil money penalty imposed under subparagraph (A) 
        shall not exceed--
                  (i) in the case of violation of such section 
                involving a transaction, the greater of--
                          (I) the amount (not to exceed 
                        $100,000) of the transaction; or
                          (II) $25,000; and
                  (ii) in the case of violation of such section 
                involving a failure to report the existence of 
                an account or any identifying information 
                required to be provided with respect to such 
                account, the greater of--
                          (I) an amount (not to exceed 
                        $100,000) equal to the balance in the 
                        account at the time of the violation; 
                        or
                          (II) $25,000.
    (6) \9\ Negligence.--
---------------------------------------------------------------------------
    \9\ Sec. 1357 of Public Law 99-570 (100 Stat. 3207-24) added para. 
(6). Para. (6) was amended and restated by sec. 1561(a) of Public Law 
102-550 (106 Stat. 4071), effective with respect to violations 
committed after Oct. 28, 1992.
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          (A) In general.--The Secretary of the Treasury may 
        impose a civil money penalty of not more than $500 on 
        any financial institution which negligently violates 
        any provision of this subchapter or any regulation 
        prescribed under this subchapter.
          (B) Patterns of negligent activity.--If any financial 
        institution engages in a pattern of negligent 
        violations of any provision of this subchapter or any 
        regulation prescribed under this subchapter, the 
        Secretary of the Treasury may, in addition to any 
        penalty imposed under subparagraph (A) with respect to 
        any such violation, impose a civil money penalty of not 
        more than $50,000 on the financial institution.
    (7) \10\ * * * [Repealed--1996]
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    \10\ Sec. 2223((3) of title II of Public Law 104-208 (110 Stat. 
3009) struck out para. (7), which had authorized the Secretary of the 
Treasury to impose civil money penalties on those found to be in 
violation of reporting requirements in 31 U.S.C. 5327. Public Law 104-
208 also repealed 31 U.S.C. 5327. Para. (7) was originally added to 
this section by sec. 1511(b) of Public Law 102-550 (106 Stat. 4056).
---------------------------------------------------------------------------
    (b) \11\ Time Limitations for Assessments and Commencement 
of Civil Actions.--
---------------------------------------------------------------------------
    \11\ Sec. 1357(e) of Public Law 99-570 (100 Stat. 3207-24) amended 
and restated subsec. (b).
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          (1) Assessments.--The Secretary of the Treasury may 
        assess a civil penalty under subsection (a) at any time 
        before the end of the 6-year period beginning on the 
        date of the transaction with respect to which the 
        penalty is assessed.
          (2) Civil actions.--The Secretary may commence a 
        civil action to recover a civil penalty assessed under 
        subsection (a) at any time before the end of the 2-year 
        period beginning on the later of--
                  (A) the date the penalty was assessed; or
                  (B) the date any judgment becomes final in 
                any criminal action under section 5322 in 
                connection with the same transaction with 
                respect to which the penalty is assessed.
    (c) The Secretary may remit any part of a forfeiture under 
subsection (c) or (d) of section 5317 \12\ of this title or 
civil penalty under subsection (a)(2) of this section.
---------------------------------------------------------------------------
    \12\ Sec. 1357(h) of Public Law 99-570 struck ``section 5317(d)'' 
and inserted ``subsection (c) or (d) of section 5317''.
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    (d) \13\ Criminal Penalty Not Exclusive of Civil Penalty.--
A civil money penalty may be imposed under subsection (a) with 
respect to any violation of this subchapter notwithstanding the 
fact that a criminal penalty is imposed with respect to the 
same violation.
---------------------------------------------------------------------------
    \13\ Sec. 1357(f) of Public Law 99-570 added subsec. (d).
---------------------------------------------------------------------------
    (e) \14\ Delegation of Assessment Authority to Banking 
Agencies.--
---------------------------------------------------------------------------
    \14\ Sec. 406 of Public Law 103-325 (108 Stat. 2247) added subsec. 
(e).
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          (1) In general.--The Secretary of the Treasury shall 
        delegate, in accordance with section 5318(a)(1) and 
        subject to such terms and conditions as the Secretary 
        may impose in accordance with paragraph (3), any 
        authority of the Secretary to assess a civil money 
        penalty under this section on depository institutions 
        (as defined in section 3 of the Federal Deposit 
        Insurance Act) to the appropriate Federal banking 
        agencies (as defined in such section 3).
          (2) Authority of agencies.--Subject to any term or 
        condition imposed by the Secretary of the Treasury 
        under paragraph (3), the provisions of this section 
        shall apply to an appropriate Federal banking agency to 
        which is delegated any authority of the Secretary under 
        this section in the same manner such provisions apply 
        to the Secretary.
          (3) Terms and conditions.--
                  (A) In general.--The Secretary of the 
                Treasury shall prescribe by regulation the 
                terms and conditions which shall apply to any 
                delegation under paragraph (1).
                  (B) Maximum dollar amount.--The terms and 
                conditions authorized under subparagraph (A) 
                may include, in the Secretary's sole 
                discretion, a limitation on the amount of any 
                civil penalty which may be assessed by an 
                appropriate Federal banking agency pursuant to 
                a delegation under paragraph (1).
               i. Par Value Modification Act, as amended

Public Law 92-268 [S. 3160], 86 Stat. 116, approved March 31, 1972; as 
   amended by Public Law 93-110 [H.R. 6912], 87 Stat. 532, approved 
  September 21, 1973; Public Law 94-564 [H.R. 13955], 90 Stat. 2660, 
  approved October 19, 1976; and by Public Law 97-258 [H.R. 6128], 97 
             Stat. 877 at 992, approved September 13, 1982

 AN ACT To provide for a modification in the par value of the dollar, 
                        and for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,
    Section 1. This Act may be cited as the ``Par Value 
Modification Act''.
    Sec. 2.\1\ * * * [Repealed--1978]
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    \1\ Upon entry into force on Apr. 1, 1978, of the amendments to the 
Articles of Agreement of the IMF, sec. 2 was repealed, as provided for 
by sec. 6 of Public Law 94-564. Sec. 2 previously read as follows:
    ``Sec. 2. The Secretary of the Treasury is hereby authorized and 
directed to take the steps necessary to establish a new par value of 
the dollar of $1 equals 0.828948 Special Drawing Right or, the 
equivalent in terms of gold, of forty-two and two-ninths dollars per 
fine troy ounce of gold. When established such par value shall be the 
legal standard for defining the relationship of the dollar to gold for 
the purpose of issuing gold certificates pursuant to section 14(c) of 
the Gold Reserve Act of 1934 (31 U.S.C. 405b).''.
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    Sec. 3.\2\ The Secretary of the Treasury shall maintain the 
value in terms of gold of the holdings of United States money 
of the International Bank for Reconstruction and Development, 
the Inter-American Development Bank, the International 
Development Association, and the Asian Development Bank to the 
extent provided in the articles of agreement of those 
institutions. Amounts necessary to maintain the value may be 
appropriated. Amounts appropriated under this section remain 
available until expended.
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    \2\ 31 U.S.C. 5152. Public Law 97-258 recodified title 31, United 
States Code. Pursuant to that Act, sec. 3, which had originally been 
codified as 31 U.S.C. 449a, was amended and restated, and recodified as 
31 U.S.C. 5152.
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    Sec. 4.\3\ * * * [Repealed--1982]
---------------------------------------------------------------------------
    \3\ Public Law 97-258 amended and recodified title 31, U.S.C. and 
omitted sec. 4 as an obsolete provision from the revised text of title 
31. Sec. 4, which had been codified as 31 U.S.C. 449b, previously read 
as follows:
    ``Sec. 4. The increase in the value of the gold held by the United 
States (including the gold held as security for gold certificates) 
resulting from the change in the par value of the dollar authorized by 
section 2 of this Act shall be covered into the Treasury as a 
miscellaneous receipt.''.
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    Sec. 5.\4\ * * * [Repealed--1982]
---------------------------------------------------------------------------
    \4\ Public Law 97-258 amended and recodified title 31, U.S.C., and 
omitted sec. 5 as an executed provision from the revised text of title 
31. Sec. 5, which had been added by sec. 2 of Public Law 93-110 (87 
Stat. 352) and codified as 31 U.S.C. 449c, previously read as follows:
    ``Sec. 5. It is the sense of the Congress that the President shall 
take all appropriate action to expedite realization of the 
international monetary reform noted at the Smithsonian on December 18, 
1971.''.

               j. Special Drawing Rights Act, as amended

 Public Law 90-349 [H.R. 16911], 82 Stat. 188, approved June 19, 1968; 
 as amended by Public Law 91-599 [H.R. 18306], 84 Stat, 1657, approved 
   December 30, 1970; Public Law 94-564 [H.R. 13955], 90 Stat. 2660, 
   approved October 18, 1976; and by Public Law 98-181 [Supplemental 
 Appropriations Act, 1984; H.R. 3959], 97 Stat. 1153 at 1270, approved 
                           November 30, 1983

AN ACT To provide for United States participation in the facility based 
 on Special Drawing Rights in the International Monetary Fund, and for 
                            other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled, That this 
Act may be cited as the ``Special Drawing Rights Act''.
    Sec. 2.\1\ The President is hereby authorized (a) to accept 
the amendment to the articles of agreement of the International 
Monetary Fund (hereinafter referred to as the ``Fund''), 
attached to the April 1968 report by the Executive Directors to 
the Board of Governors of the Fund, for the purpose of (i) 
establishing a facility based on Special Drawing Rights in the 
Fund and (ii) giving effect to certain modifications in the 
present rules and practices of the Fund, and (b) to participate 
in the special drawing account established by the amendment.
---------------------------------------------------------------------------
    \1\ 22 U.S.C. 286n.
---------------------------------------------------------------------------
    Sec. 3.\2\ (a) Special Drawing Rights allocated to the 
United States pursuant to article XVIII \3\ of the Articles of 
Agreement of the Fund, and Special Drawing Rights otherwise 
acquired by the United States, shall be credited to the account 
of, and administered as part of, the Exchange Stabilization 
Fund established by section 10 of the Gold Reserve Act of 1934, 
as amended (31 U.S.C. 822a).
---------------------------------------------------------------------------
    \2\ 22 U.S.C. 286o.
    \3\ Upon entry into force on Apr. 1, 1978, of the amendments to the 
Articles of Agreement of the IMF, certain technical changes regarding 
references to articles in secs. 3, 6, and 7 became effective, as 
provided for by sec. 5 of Public Law 94-564.
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    (b) The proceeds resulting from the use of Special Drawing 
Rights by the United States, and payments of interest to the 
United States Articles of Agreement of the Fund, shall be 
deposited in the Exchange Stabilization Fund. Currency payments 
by the United States in return for Special Drawing Rights, and 
payments of charges or assessments pursuant to article XX, 
article XXIV, and article XXV \3\ of the Articles of Agreement 
of the Fund, shall be made from the resources of the Exchange 
Stabilization Fund.
    Sec. 4.\4\ (a) The Secretary of the Treasury is authorized 
to issue to the Federal Reserve banks, and such banks shall 
purchase, Special Drawing Right certificates in such form and 
in such denominations as he may determine, against any Special 
Drawing Rights held to the credit of the Exchange Stabilization 
Fund. Such certificates shall be issued and remain outstanding 
only for the purpose of financing the acquisition of Special 
Drawing Rights or for financing exchange stabilization 
operations. The amount of special Drawing Right certificates 
issued and outstanding shall at no time exceed the value of the 
Special Drawing Rights held against the Special Drawing Right 
certificates. The proceeds resulting from the issuance of 
Special Drawing Right certificates shall be covered into the 
Exchange Stabilization Fund.
---------------------------------------------------------------------------
    \4\ 22 U.S.C. 286p.
---------------------------------------------------------------------------
    (b) Special Drawing Right certificates owned by the Federal 
Reserve banks shall be redeemed from the resources of the 
Exchange Stabilization Fund at such times and in such amounts 
as the Secretary of the Treasury may determine.
    Sec. 5.\5\ * * *
---------------------------------------------------------------------------
    \5\ Sec. 5 made conforming amendments at 12 U.S.C. 412, 12 U.S.C. 
415, 12 U.S.C. 417, and 12 U.S.C. 467.
---------------------------------------------------------------------------
    Sec. 6.\6\ (a) \7\ Unless Congress by law authorizes such 
action, neither the President nor any person or agency shall on 
behalf of the United States vote to allocate in each basic 
period Special Drawing Rights under article XVIII,\3\ sections 
2 and 3, of the Articles of Agreement of the Fund so that 
allocations to the United States in that period exceed an 
amount equal to the United States quota in the Fund as 
authorized under the Bretton Woods Agreements Act.
---------------------------------------------------------------------------
    \6\ 22 U.S.C. 286q. Amended and restated by sec. 2 of Public Law 
91-599 (84 Stat. 1657).
    \7\ Sec. 803 of Public Law 98-181 (97 Stat. 1270) added the subsec. 
designation ``(a)'' and a new subsec. (b).
---------------------------------------------------------------------------
    (b)(1) Neither the President nor any person or agency shall 
on behalf of the United States vote to allocate Special Drawing 
Rights under article XVIII, sections 2 and 3, of the Articles 
of Agreement of the Fund without consultations by the Secretary 
of the Treasury at least 90 days prior to any such vote, with 
the Chairman and ranking minority members of the Committee on 
Foreign Relations and the Committee on Banking, Housing, and 
Urban Affairs of the Senate and the Committee on Banking, 
Finance and Urban Affairs \8\ of the House of Representatives, 
and the appropriate subcommittees thereof.
---------------------------------------------------------------------------
    \8\ Sec. 1(a)(2) of Public Law 104-14 (109 Stat. 186) provided that 
references to the Committee on Banking, Finance and Urban Affairs of 
the House of Representatives shall be treated as referring to the 
Committee on Banking and Financial Services of the House of 
Representatives.
---------------------------------------------------------------------------
    (2) Such consultations shall include an explanation of the 
consistency of such proposal to allocate with the requirements 
of the Articles of Agreement of the Fund, in particular the 
requirement that in all its decisions with respect to 
allocation of Special Drawing Rights, the Fund shall ``seek to 
meet the long-term global need, as and when it arises, to 
supplement existing reserve assets in such manner as will 
promote the attainment of its purposes and will avoid economic 
stagnation and deflation as well as excess demand and inflation 
in the world''.
    Sec. 7.\9\ The provisions of article XXI(b) \3\ of the 
Articles of Agreement of the Fund shall have full force and 
effect in the United States and its territories and possessions 
when the United States becomes a participant in the special 
drawing account.
---------------------------------------------------------------------------
    \9\ 22 U.S.C. 286r.
   k. Convention on the Settlement of Investment Disputes Act of 1966

  Public Law 89-532 [S. 3498], 80 Stat. 344, approved August 11, 1966

AN ACT To facilitate the carrying out of the obligations of the United 
 States under the Convention of the Settlement of Investment Disputes 
  Between States and Nationals of Other States, signed on August 27, 
                     1965, and for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled, That this 
Act may be cited as the ``Convention on the Settlement of 
Investment Disputes Act of 1966''.
    Sec. 2.\1\ The President may make such appointments of 
representatives and panel members as may be provided for under 
the convention.
---------------------------------------------------------------------------
    \1\ 22 U.S.C. 1650.
---------------------------------------------------------------------------
    Sec. 3.\2\ (a) An award of an arbitral tribunal rendered 
pursuant to chapter IV of the convention shall create a right 
arising under a treaty of the United States. The pecuniary 
obligations imposed by such an award shall be enforced and 
shall be given the same full faith and credit as if the award 
were a final judgment of a court of general jurisdiction of one 
of the several States. The Federal Arbitration Act (9 U.S.C. 1 
et seq.) shall not apply to enforcement of awards rendered 
pursuant to the convention.
---------------------------------------------------------------------------
    \2\ 22 U.S.C. 1650a.
---------------------------------------------------------------------------
    (b) The district courts of the United States (including the 
courts enumerated in title 28, United States Code, section 460) 
shall have exclusive jurisdiction over actions and proceedings 
under paragraph (a) of this section, regardless of the amount 
in controversy.

 l. National Advisory Council on International Monetary and Financial 
                                Policies

Executive Order 11269,\1\ February 14, 1966, 31 F.R. 2813, 3 CFR, 1966-
 70 Comp., p. 534; as amended by Executive Order 11334, March 7, 1967, 
  32 F.R. 3933, 3 CFR, 1966-70 Comp., p. 627; Executive Order 11808, 
  September 30, 1974, 39 F.R. 35563; Executive Order 11977, March 14, 
1977, 42 F.R. 14671; Executive Order 12164, September 29, 1979, 44 F.R. 
 56681; Executive Order 12188, January 2, 1980, 45 F.R. 989; Executive 
  Order 12403, February 8, 1983, 48 F.R. 6087; Executive Order 12567, 
October 2, 1986, 51 F.R. 35495; Executive Order 12647, August 2, 1988, 
53 F.R. 29323; Executive Order 12766, June 18, 1991, 56 F.R. 28463; and 
        by Executive Order 13188, March 31, 1999, 64 F.R. 16595

    By virtue of the authority vested in me by Reorganization 
Plan No. 4 of 1965 (30 F.R. 9353), and as President of the 
United States, it is ordered as follows:
---------------------------------------------------------------------------
    \1\ 22 U.S.C. 286b note.
---------------------------------------------------------------------------
    Section 1. Establishment of Council. (a) There is hereby 
established the National Advisory Council on International 
Monetary and Financial Policies, hereinafter referred to as the 
council.
    (b) The Council shall be composed of the following members: 
the Secretary of the Treasury, who shall be the Chairman of the 
Council, the Assistant to the President for Economic Affairs, 
who shall be Deputy Chairman of the Council,\2\ the Secretary 
of State, the United States Trade Representative,\3\ the 
Secretary of Commerce, the Chairman of the Board of Governors 
of the Federal Reserve System, the Administrator of the United 
States Agency for International Development\4\, and the 
President of the Export-Import Bank of the United States.\5\
---------------------------------------------------------------------------
    \2\ Sec. 6(c) of Executive Order 11808 (Sept. 30, 1974; 39 F.R. 
35563) added the Assistant to the President for Economic Affairs.
    \3\ Sec. 1-105(a) of Executive Order 12188 added The United States 
Trade Representative.
    \4\Executive Order 13118 (Mar. 31, 1999; 64 F.R. 16595) struck out 
``Director of the International Development Cooperation Agency'' 
(previously added by E.O. 12164) and inserted ``Administrator of the 
United States Agency for International Development''.
    \5\ Public Law 90-276 (82 Stat. 47) changed ``Export-Import Bank of 
Washington'' to ``Export-Import Bank of the United States''.
---------------------------------------------------------------------------
    (c) Whenever matters within the jurisdiction of the Council 
may be of interest to Federal agencies not represented on the 
Council under Section 1(b) of this order, the Chairman of the 
Council may consult with such agencies and may invite them to 
designate representatives to participate in meetings and 
deliberations of the Council.
    Sec. 2. Functions of the Council. (a) Exclusive of the 
functions delegated by the provisions of Section 3, below, and 
subject to the limitations contained in subsection (b) of this 
Section, all of the functions which are now vested in the 
President in consequence of their transfer to him effected by 
the provisions of Section 1(b) of Reorganization Plan No. 4 of 
1965 are hereby delegated to the Council.
    (b) The functions under Sections 4(a) and 4(b)(3) of the 
Bretton Woods Agreements Act, including those made applicable 
to the International Finance Corporation, the Inter-American 
Development Bank, and the International Development Association 
(22 U.S.C. 286b (a) and (b)(3); 282b; 283b; 284b), to the 
extent that such functions consist of coordination of policies, 
are hereby delegated to the Council. The functions so delegated 
shall be deemed to include the authority to review proposed 
individual loan, financial, exchange, or monetary transactions 
to the extent necessary or desirable to effectuate the 
coordination of policies.
    (c) \6\ The Council shall perform with respect to the Asian 
Development Bank, African Development Fund, African Development 
Bank, Inter-American Investment Corporation, Multilateral 
Investment Guarantee Agency, and European Bank for 
Reconstruction and Development \7\ the same functions as those 
delegated to it by subsections (a) and (b) of this section with 
respect to other international financial institutions.
---------------------------------------------------------------------------
    \6\ Executive Order 11334 (Mar. 7, 1967; 32 F.R. 3933) added secs. 
2(c) and 3(d).
    \7\ The African Development Fund was added by E.O. 11977 (Mar. 14, 
1977; 42 F.R. 14671). The African Development Bank was added by sec. 2 
of E.O. 12403 (Feb. 8, 1983; 48 F.R. 6087). The Inter-American 
Investment Corporation was added by sec. 5 of E.O. 12567 (Oct. 2, 1986; 
51 F.R. 35495). The Multilateral Investment Guarantee Agency was added 
by sec. 2 of E.O. 12647 (Aug. 2, 1988; 53 F.R. 29323). The European 
Bank for Reconstruction and Development was added by sec. 2 of E.0. 
12766 (June 18, 1991; 56 F.R. 28463).
---------------------------------------------------------------------------
    Sec. 3. Functions of the Secretary of the Treasury. (a) 
Functions which are now vested in the President in consequence 
of their transfer to him effected by the provisions of Section 
1(b) of Reorganization Plan No. 4 of 1965 are hereby delegated 
to the Secretary of the Treasury to the extent of the 
following:
          (1) Authority, subject to the provisions of Section 7 
        of this Order,\8\ to instruct representatives of the 
        United States to international financial organizations.
---------------------------------------------------------------------------
    \8\ Executive Order 12164 inserted the reference to sec. 7.
---------------------------------------------------------------------------
          (2) Authority provided for in Section 4(b)(4) of the 
        Bretton Woods Agreements Act (22 U.S.C. 286b(b)(4)). 
        Such authority, insofar as it relates to the 
        development aspects of the policies, programs, or 
        projects of the International Bank for Reconstruction 
        and Development shall be exercised subject to the 
        provisions of Section 7 of this Order.\9\
---------------------------------------------------------------------------
    \9\ Executive Order 12164 inserted this sentence.
---------------------------------------------------------------------------
    (b) In carrying out the functions delegated to him by 
subsection (a) of this Section the Secretary shall consult with 
the Council.
    (c) Nothing in this order shall be deemed to derogate from 
the responsibilities of the Secretary of State with respect to 
the foreign policy of the United States.
    (d) \6\ The Secretary of the Treasury shall perform, with 
respect to the Asian Development Bank, African Development 
Fund, African Development Bank, Inter-American Investment 
Corporation, Multilateral Investment Guarantee Agency, and 
European Bank for Reconstruction and Development \7\ the same 
functions as those delegated to him by subsections (a) and (b) 
of this section with respect to other international financial 
institutions.
    (e) \10\ The Secretary of the Treasury is hereby delegated 
the functions conferred upon the President by Section 203(b) 
and Section 207 of the Act of May 31, 1976 (90 Stat. 593 and 
594, 22 U.S.C. 290g-1 and 290g-5), subject to the provisions of 
Section 7 of this Order.\8\
---------------------------------------------------------------------------
    \10\ Sec. 4 of Executive Order 11977 (Mar. 14, 1977; 42 F.R. 14671) 
added subsec. (e).
---------------------------------------------------------------------------
    Sec. 4. Information. (a) All agencies and officers of the 
Government, including representatives of the United States to 
the international financial organizations, (1) shall keep the 
Council or the Secretary of the Treasury, as the case may be, 
fully informed concerning the foreign loan, financial, 
exchange, and monetary transactions in which they engage or may 
engage or with respect to which they have other responsibility, 
and (2) shall provide the Council, the Secretary of State,\11\ 
and the Secretary with such further information or data in 
their possession as the Council or the Secretary, as the case 
may be, may deem necessary to the appropriate discharge of the 
responsibilities of the Council, the Secretary of State,\11\ 
and Secretary under Sections 2 and 3 of this order, 
respectively.
---------------------------------------------------------------------------
    \11\ Executive Order 13118 (March 31, 1999; 64 F.R. 16595) struck 
out ``Director of the International Development Cooperation Agency'' 
(added by Executive Order 12164) in both places it appeared in sec. 
4(a), and inserted ``Secretary of State''.
---------------------------------------------------------------------------
    (b) The Council shall from time to time transmit to all 
appropriate agencies and officers of the Government statements 
of the policies of the Council under this order and such other 
information relating to the above-mentioned transactions or to 
the functions of the Council hereunder as the Council shall 
deem desirable.
    Sec. 5. Executive Order No. 10033. Section 2(a) of 
Executive Order No. 10033 of February 8, 1949, is hereby 
amended by substituting for the name ``National Advisory 
Council on International Monetary and Financial Problems'' the 
following: ``National Advisory Council on International 
Monetary and Financial Policies.''
    Sec. 6. Effective date. The provisions of this order shall 
be effective as of January 1, 1966.
    Sec. 7.\12\ Functions of the Secretary of State. the 
Secretary of State \13\ shall advise both the Secretary of the 
Treasury and the appropriate United States representatives to 
the International Bank for Reconstruction and Development, the 
International Development Association, the International 
Finance Corporation, the Inter-American Development Bank, the 
Asian Development Bank, African Development Fund, the African 
Development Bank, Inter-American Investment Corporation, 
Multilateral Investment Guarantee Agency, and European Bank for 
Reconstruction and Development \14\ on the development aspects 
of matters relating to those institutions and their activities.
---------------------------------------------------------------------------
    \12\ Executive Order 12164, (Sept. 29, 1979; 44 F.R. 56681, 
effective date Oct. 1, 1979) added sec. 7.
    \13\ Executive Order 13118 (March 31, 1999; 64 F.R. 16595) struck 
out ``Functions of the Director of the International Development 
Cooperation Agency. As the principal international development advisor 
to the President,The Director of the International Development 
Cooperation Agency'' (previously added by E.O. 12164) and inserted in 
lieu thereof ``Functions of the Secretary of State. The Secretary of 
State''.
    \14\ Sec. 2 of Executive Order 12403 (Feb. 8, 1983; 48 F.R. 6087), 
added the African Development Bank. Sec. 5 of Executive Order 12567 
(Oct. 2, 1986; 51 F.R. 35495) added the Inter-American Investment 
Corporation. Sec. 2 of Executive Order 12647 (Aug. 2, 1988; 53 F.R. 
29323) added the Multilateral Investment Guarantee Agency. Sec. 2 of 
Executive Order 12766 (June 18, 1991; 56 F.R. 28463) added the European 
Bank for Reconstruction and Development.
---------------------------------------------------------------------------
=======================================================================




           J. FOREIGN ECONOMIC POLICY: TARIFF AND TRADE LAWS

                                CONTENTS

                                                                   Page

 1. Trade Legislation and Related Documents......................   233
    a.  General Trade Laws.......................................   233
         (1) Omnibus Trade and Competitiveness Act of 1988 
            (Public Law 100-418) (partial text)..................   233
         (2) Uruguay Round Agreements Act (Public Law 103-465) 
            (partial text).......................................   327
         (3) Trade Act of 1974, as amended (Public Law 93-618) 
            (partial text).......................................   332
         (4) Trade Agreements Act of 1979 (Public Law 96-39) 
            (partial text).......................................   485
         (5) Trade Expansion Act of 1962, as amended (Public Law 
            87-794)..............................................   531
         (6) Tariff Act of 1930, as amended (Public Law 71-361) 
            (partial text).......................................   544
         (7) Trade and Development Act of 2000 (Public Law 106-
            200) (partial text)..................................   735
         (8) Clarification of Normal Trade Relations (Public Law 
            105-206) (partial text)..............................   758
         (9) World Trade Organization Transparency (Public Law 
            105-174) (partial text)..............................   760
        (10) Trade Deficit Review Commission Act (sec. 127 of 
            Public Law 105-277)..................................   761
        (11) Steel Imports Into the United States (sec. 111 of 
            Public Law 105-277)..................................   767
        (12) Tariffs, Trade Barriers, and the Internet (Public 
            Law 105-277) (partial text)..........................   769
        (13) Jobs Through Exports Act of 1992 (Public Law 102-
            549) (partial text)..................................   770
        (14) Federal Triangle Development Act (Public Law 100-113 
            (partial text).......................................   778
        (15) Customs and Miscellaneous Amendments (Title II of 
            Public Law 98-573) (partial text)....................   785
        (16) International Trade and Investment Act (Title III of 
            Public Law 98-573) (partial text)....................   790
        (17) Trade Law Reform (Title VI of Public Law 98-573) 
            (partial text).......................................   795
        (18) Steel Import Stabilization Act (Title VIII of Public 
            Law 98-573)..........................................   797
        (19) Wine Equity and Export Expansion Act of 1984 (Title 
            IX of Public Law 98-573).............................   804
        (20) Export Trading Company Act of 1982 (Public Law 97-
            290).................................................   808
        (21) International Trade Functions in Reorganization Plan 
            No. 3 of 1979........................................   819
        (22) Designated Beneficiary Developing Countries for 
            Purposes of the Generalized System of Preferences, 
            the Caribbean Basin Economic Recovery Act, and the 
            Andean Trade Preference Act (Harmonized Tariff 
            Schedule) (partial text).............................   824
        (23) Implementing the Omnibus Trade and Competitiveness 
            Act of 1988 and Related International Trade Matters 
            (Executive Order 12661)..............................   836
        (24) International Trade Functions (Executive Order 
            12188)...............................................   840
        (25) Administration of the Trade Agreements Program 
            (Executive Order 11846)..............................   845
        (26) Identification of Trade Expansion Priorities 
            (Executive Order 12901)..............................   850
        (27) Trade and Environment Policy Advisory Committee 
            (Executive Order 12905)..............................   852
        (28) Identification of Trade Expansion Priorities and 
            Discriminatory Procurement Practices (Executive Order 
            13116)...............................................   854
        (29) Prohibition of Acquisition of Products Produced by 
            Forced or Indentured Child Labor (Executive Order 
            13126)...............................................   858
        (30) Environmental Review of Trade Agreements (Executive 
            Order 13141).........................................   861
        (31) Access to HIV/AIDS Pharmaceuticals and Medical 
            Technologies (Executive Order 13155).................   863
    b.  U.S. Trade With Canada, Latin America, and the Caribbean.   866
         (1) U.S.-Caribbean Trade Partnership Act (Public Law 
            106-200) (partial text)..............................   866
         (2) North American Free Trade Agreement Implementation 
            Act (Public Law 103-182) (partial text)..............   869
         (3) Andean Trade Preference Act (Title II of Public Law 
            102-182).............................................   882
         (4) Caribbean Basin Economic Recovery Expansion Act of 
            1990 (Title II of Public Law 101-382)................   893
         (5) U.S.-Canada Free Trade Agreement Implementation Act 
            of 1988 (Public Law 100-449) (partial text)..........   899
         (6) Caribbean Basin Economic Recovery Act (Public Law 
            98-67) (partial text)................................   935
         (7) Tariff Treatment of Cuban Products (Public Law 87-
            456) (partial text)..................................   963
         (8) Implementing the United States-Canada Free-Trade 
            Agreement Implementation Act (Executive Order 12662).   964
         (9) Implementation of the North American Free Trade 
            Agreement (Executive Order 12889)....................   965
        (10) Federal Implementation of the North American 
            Agreement on Environmental Cooperation (Executive 
            Order 12915).........................................   969
        (11) Implementation of the Border Environment Cooperation 
            Commission and the North American Development Bank 
            (Executive Order 12916)..............................   973
        (12) Interagency Task Force on the Economic Development 
            of the Southwest Border (Executive Order 13122)......   976
        (13)  Implementation of Article VIII of the Agreement 
            Establishing the World Trade Organization (Executive 
            Order 13042).........................................   978
    c.  Implementation of Agreement With the European Community 
        on Government Procurement (Executive Order 12849)........   980
    d.  U.S. Trade With Israel...................................   983
         (1) Trade with Israel (Title IV of Public Law 98-573) 
            (partial text).......................................   983
         (2) United States-Israel Free Trade Area Implementation 
            Act of 1985 (Public Law 99-47) (partial text)........   987
         (3) Exemption of Israeli Products From Certain User Fees 
            (Public Law 101-382) (partial text)..................   993
    e.  U.S. Trade With Asia and Pacific.........................   994
         (1) United States-China Relations Act of 2000 (Public 
            Law 106-286) (partial text)..........................   994
         (2) United States-Hong Kong Policy Act of 1992 (Public 
            Law 102-383).........................................  1011
         (3) Commission on United States-Pacific Trade and 
            Investment Policy (Executive Order 12964)............  1019
    f.  Normal Trade Relations (Most-Favored-Nation) Extensions, 
        Suspensions, Terminations................................  1020
         (1) Georgia (Public Law 106-476) (partial text).........  1020
         (2) China (Public Law 106-286) (partial text)...........  1022
         (3) Albania, Kyrgyzstan (Title III of Public Law 106-
            200).................................................  1024
         (4) Extension of Nondiscriminatory Treatment (Normal 
            Trade Relations Treatment) to the Products of 
            Mongolia (Public Law 106-36) (partial text)..........  1027
         (5) Cambodia (Public Law 104-203).......................  1029
         (6) Romania (Public Law 104-171)........................  1031
         (7) Bulgaria--Extension of MFN and Pending Termination 
            of Title IV Application (Public Law 104-162).........  1033
         (8) Conditions for Renewal of Most-Favored-Nation Status 
            for the People's Republic of China in 1994 (Executive 
            Order 12850).........................................  1035
         (9) Withdrawal of Most Favored Nation Status From Serbia 
            and Montenegro (Public Law 102-420)..................  1037
        (10) Albania (Public Law 102-363)........................  1038
        (11) Union of Soviet Socialist Republics (Public Law 102-
            197).................................................  1039
        (12) Czech and Slovakia, Hungary, Estonia, Latvia, and 
            Lithuania (Public Law 102-182) (partial text)........  1040
        (13) Mongolia (Public Law 102-157).......................  1044
        (14) East Germany (Public Law 101-382) (partial text)....  1045
    g.  Trade Act of 1974--Waivers...............................  1047
         (1) Waiver Under the Trade Act of 1974 With Respect to 
            Tajikistan and Turkmenistan (Executive Order 12811)..  1047
         (2) Waiver Under the Trade Act of 1974 With Respect to 
            Albania, Azerbaijan, Georgia, Kazakhstan, Moldova, 
            Ukraine, and Uzbekistan (Executive Order 12809)......  1048
         (3) Waiver Under the Trade Act of 1974 With Respect to 
            the Republic of Byelarus, the Republic of Kyrgyzstan, 
            and the Russian Federation (Executive Order 12802)...  1049
         (4) Waiver Under the Trade Act of 1974 With Respect to 
            Armenia (Executive Order 12798)......................  1050
         (5) Waiver Under the Trade Act of 1974 With Respect to 
            Romania (Executive Order 12772)......................  1051
         (6) Waiver Under the Trade Act of 1974 With Respect to 
            Mongolia (Executive Order 12746).....................  1052
         (7) Waiver Under the Trade Act of 1974 With Respect to 
            Bulgaria (Executive Order 12745).....................  1053
         (8) Waiver Under the Trade Act of 1974 With Respect to 
            the Soviet Union (Executive Order 12740).............  1054
         (9) Waiver Under the Trade Act of 1974 With Respect to 
            the German Democratic Republic (Executive Order 
            12726)...............................................  1055
        (10) Waiver Under the Trade Act of 1974 With Respect to 
            Czechoslovakia (Executive Order 12702)...............  1056
        (11) Waiver Under the Trade Act of 1974 With Respect to 
            the People's Republic of China (Executive Order 
            12167)...............................................  1057
        (12) Waiver Under the Trade Act of 1974 With Respect to 
            the Hungarian People's Republic (Executive Order 
            12051)...............................................  1058
        (13) Waiver Under the Trade Act of 1974 With Respect to 
            the Socialist Republic of Romania (Executive Order 
            11854)...............................................  1059
 2. Export-Import Bank...........................................  1060
    a.  Export-Import Bank Act of 1945, as amended (Public Law 
        79-173)..................................................  1060
    b.  Export Expansion/Export Enhancement......................  1104
         (1) Export Enhancement Act of 1999 (Public Law 106-158) 
            (partial text).......................................  1104
         (2) Fair Trade in Automotive Parts Act of 1998 (Title 
            XXXVIII of Public Law 105-261).......................  1105
         (3) Export Enhancement Act of 1992 (Public Law 102-429) 
            (partial text).......................................  1108
         (4) Export Enhancement Act of 1988 (Title II of Public 
            Law 100-418).........................................  1114
    c.  Expansion of Business Capital Assistance Programs (Public 
        Law 101-510) (partial text)..............................  1146
    d.  Export-Import Bank and Tied Aid Credit Amendments (Title 
        III of Public Law 100-418) (partial text)................  1149
    e.  Export-Import Bank Act Amendments of 1986 (Public Law 99-
        472) (partial text)......................................  1151
    f.  Trade and Development Enhancement Act of 1983 (Title VI 
        of Public Law 98-181) (partial text).....................  1153
    g.  Export-Import Bank Act Amendments of 1978 (Public Law 95-
        630) (partial text)......................................  1159
    h.  Export-Import Bank (Executive Order 12166)...............  1162
    i.  Trade Promotion Coordinating Committee (Executive Order 
        12870)...................................................  1163
 3. Export Expansion.............................................  1166
    a.  Improving the U.S. Balance of Payments (Public Law 90-
        390).....................................................  1166
    b.  Establishing the Export Expansion Advisory Committee 
        (Executive Order 11420)..................................  1168
 4. Export Administration........................................  1170
    a.  Export Administration Act of 1979 (Public Law 96-72).....  1170
    b.  China Satellite Provision (Public Law 106-553) (partial 
        text)....................................................  1259
    c.  Export Controls on High Performance Computers (Public Law 
        105-85) (partial text)...................................  1260
    d.  Export Administration Amendments Act of 1985 (Public Law 
        99-64) (partial text)....................................  1265
    e.  Offsets in Military-Related Exports: Annual Report (50 
        U.S.C. 2099).............................................  1270
    f.  Declaration and Report on Offset Policy (Public Law 102-
        558) (partial text)......................................  1272
    g.  Export Administration Amendments Act of 1981 (Public Law 
        97-145) (partial text)...................................  1274
    h.  Administration of Export Controls on Encryption Products 
        (Executive Order 13026)..................................  1275
    i.  Administration of Export Controls (Executive Order 12981)  1277
    j.  Continuation of Export Control Regulations (Executive 
        Order 13222).............................................  1284
    k.  Administration of the Export Administration Act of 1979 
        (Executive Order 12214)..................................  1286
    l.  The President's Export Council (Executive Order 12131)...  1287
    m.  Administration of the Export Administration Act of 1969, 
        as amended (Executive Order 12002).......................  1290
 5. International Economic Sanctions.............................  1292
    a.  Trading With the Enemy Act, as amended (Public Law 65-91) 
        (partial text)...........................................  1292
    b.  International Emergency Economic Powers Act, as amended 
        (Public Law 95-223) (partial text).......................  1299
    c.  National Emergencies Act, as amended (Public Law 94-412).  1306
    d.  Denial of Foreign Tax Credit, etc., with Respect to 
        Certain Foreign Countries (Public Law 83-736, as amended) 
        (partial text)...........................................  1311
    e.  Trade Sanctions Reform and Export Enhancement (Public Law 
        106-387) (partial text)..................................  1314
    f.  Economic Relations with Narcotics Traffickers............  1321
         (1) Foreign Narcotics Kingpin Designation Act (Public 
            Law 106-120) (partial text)..........................  1321
         (2) Blocking Assets and Prohibiting Transactions With 
            Significant Narcotics Traffickers (Executive Order 
            12978)...............................................  1332
    g.  Prohibiting Transactions With Terrorists Who Threaten To 
        Disrupt the Middle East Peace Process (Executive Order 
        12947)...................................................  1335
    h.  Economic Relations With Cuba.............................  1338
         (1) Cuban Liberty and Democratic Solidarity (LIBERTAD) 
            Act of 1996 (Public Law 104-114).....................  1338
         (2) Declaration of a National Emergency and Invocation 
            of Emergency Authority Relating to the Regulation of 
            the Anchorage and Movement of Vessels (Presidential 
            Proclamation 6867)...................................  1377
         (3) Cuban Democracy Act of 1992 (Public Law 102-484) 
            (partial text).......................................  1379
         (4) Implementation of the Cuban Democracy Act (Executive 
            Order 12854).........................................  1388
    i.  Economic Relations With Iraq.............................  1389
         (1) Iraq Sanctions Act of 1990 (Public Law 101-513) 
            (partial text).......................................  1389
         (2) Prohibition on Supercomputer Licensing With End-User 
            Designated as Iraq (Public Law 101-515) (partial 
            text)................................................  1399
         (3) Economic Sanctions Against the Republic of Iraq 
            (Public Law 101-510) (partial text)..................  1400
         (4) Blocking Iraqi Government Property and Prohibiting 
            Transactions With Iraq (Executive Order 12724).......  1401
         (5) Transfer of Certain Iraqi Government Assets Held By 
            Domestic Banks (Executive Order 12817)...............  1404
    j.  Economic Relations With Iran.............................  1406
         (1) Iran and Libya Sanctions Act of 1996 (Public Law 
            104-172).............................................  1406
         (2) Blocking Iranian Government Property (Executive 
            Order 12170).........................................  1417
         (3) Prohibiting Imports From Iran (Executive Order 
            12613)...............................................  1419
         (4) Prohibiting Certain Transactions With Respect to the 
            Development of Iranian Petroleum Resources (Executive 
            Order 12957).........................................  1420
         (5) Prohibiting Certain Transactions With Respect to 
            Iran (Executive Order 12959).........................  1422
         (6) Prohibiting Certain Transactions With Respect to 
            Iran--Consolidation (Executive Order 13059)..........  1425
    k.  South African Democratic Transition Support Act of 1993 
        (Public Law 103-149).....................................  1429
    l.  Prohibiting Trade and Certain Other Transactions 
        Involving Libya..........................................  1436
         (1) Imports of Refined Petroleum Products From Libya 
            (Executive Order 12538)..............................  1436
         (2) Prohibiting Trade and Certain Transactions Involving 
            Libya (Executive Order 12543)........................  1437
         (3) Blocking Libyan Government Property in the United 
            States or Held by U.S. Persons (Executive Order 
            12544)...............................................  1439
         (4) Barring Overflight, Takeoff, and Landing of Aircraft 
            Flying To or From Libya (Executive Order 12801)......  1440
    m.  Prohibiting Certain Transactions Involving Angola........  1442
         (1) Policy Toward United States Business Transactions in 
            Angola (Public Law 99-472) (partial text)............  1442
         (2) Prohibiting Certain Transactions Involving UNITA 
            (Executive Order 12865)..............................  1444
         (3) Prohibiting Certain Transactions Involving UNITA 
            (Executive Order 13098)..............................  1446
    n.  Prohibiting Certain Transactions with Afghanistan........  1449
         (1) Authority to Deny Most-Favored-Nation Treatment to 
            the Products of Afghanistan (Public Law 99-190) 
            (partial text).......................................  1449
         (2) Blocking Property and Prohibiting Transactions with 
            the Taliban (Executive Order 13129)..................  1451
    o.  Prohibiting Certain Transactions with and Investment in 
        Burma....................................................  1454
         (1) Prohibiting New Investment in Burma (Executive Order 
            13047)...............................................  1454
         (2) Policy Toward Burma--Sanctions (Public Law 104-208) 
            (partial text).......................................  1457
         (3) Economic Sanctions Against Products of Burma (Public 
            Law 101-382) (partial text)..........................  1460
    p.  Prohibiting Certain Transactions with [Former] Yugoslavia  1462
         (1) Compliance with United Nations Sanctions Against 
            Iraq, Serbia, and Montenegro (Public Law 104-208) 
            (partial text).......................................  1462
         (2) Sanctions Against Serbia (Public Law 106-113) 
            (partial text).......................................  1463
         (3) Blocking ``Yugoslav Government'' Property and 
            Property of the Governments of Serbia and Montenegro 
            (Executive Order 12808)..............................  1465
         (4) Blocking Property of and Prohibiting Transactions 
            With the Federal Republic of Yugoslavia (Serbia and 
            Montenegro) (Executive Order 12810)..................  1467
         (5) Additional Measures With Respect to the Federal 
            Republic of Yugoslavia (Serbia and Montenegro) 
            (Executive Order 12831)..............................  1471
         (6) Additional Measures With Respect to the Federal 
            Republic of Yugoslavia (Serbia and Montenegro) 
            (Executive Order 12846)..............................  1473
         (7) Blocking Property and Additional Measures With 
            Respect to the Bosnian Serb-Controlled Areas of the 
            Republic of Bosnia and Herzegovina (Executive Order 
            12934)...............................................  1476
         (8) Blocking Property of the Governments of the Federal 
            Republic of Yugoslavia (Serbia and Montenegro), the 
            Republic of Serbia, and the Republic of Montenegro, 
            and Prohibiting New Investment in the Republic of 
            Serbia in Response to the Situation in Kosovo 
            (Executive Order 13088)..............................  1479
         (9) Blocking Property of the Governments of the Federal 
            Republic of Yugoslavia (Serbia and Montenegro), the 
            Republic of Serbia, and the Republic of Montenegro, 
            and Prohibiting Trade Transactions Involving the 
            Federal Republic of Yugoslavia (Serbia and 
            Montenegro) in Response to the Situation in Kosovo 
            (Executive Order 13121)..............................  1483
        (10) Lifting and Modifying Measures With Respect to the 
            Federal Republic of Yugoslavia (Serbia and 
            Montenegro) (Executive Order 13192)..................  1484
    q.  Prohibiting Certain Transactions With Respect to Rwanda 
        and Delegating Authority With Respect to Other United 
        Nations Arms Embargoes (Executive Order 12918)...........  1486
    r.  Prohibiting Certain Transactions with Sudan..............  1488
         (1) Importation of Gum Arabic from Sudan (Public Law 
            106-476) (partial text)..............................  1488
         (2) Blocking Sudanese Government Property and 
            Prohibiting Transactions with Sudan (Executive Order 
            13067)...............................................  1490
    s.  Blocking Property of the Government of the Russian 
        Federation Relating to the Disposition of Highly Enriched 
        Uranium Extracted from Nuclear Weapons (Executive Order 
        13159)...................................................  1493
    t.  Prohibiting the Importation of Rough Diamonds from Sierra 
        Leone (Executive Order 13194)............................  1496
 6. Johnson Act--Financial Transactions With Foreign Governments 
    (Public Law 80-772) (partial text)...........................  1498
 7. Foreign Investment in the United States......................  1499
    a.  Foreign Investment Study Act of 1974 (Public Law 93-479).  1499
    b.  International Investment and Trade in Services Survey Act 
        (Public Law 94-472)......................................  1504
    c.  Foreign Direct Investment and International Financial 
        Data Improvements Act of 1990 (Public Law 101-533).......  1514
    d.  International Investment and Trade in Services (Executive 
        Order 11961).............................................  1521
    e.  Committee on Foreign Investment in the United States 
        (Executive Order 11858)..................................  1522
 8. Collection and Publication of Foreign Commerce and Trade 
    Statistics (Public Law 87-826) (partial text)................  1525
 9. Materials and Commodities....................................  1530
    a.  Opposition of Use of Multilateral Assistance To Produce 
        or Extract Foreign Surplus Commodities and Minerals for 
        Export (Public Law 99-472) (partial text)................  1530
    b.  National Critical Materials Act of 1984 (Title II of 
        Public Law 98-373).......................................  1531
    c.  International Coffee Agreement Act of 1980 (Public Law 
        96-599)..................................................  1539
    d.  International Natural Rubber Agreement Appropriation 
        Authorization (Public Law 96-271)........................  1541
    e.  International Sugar Agreement, 1977, Implementation 
        (Public Law 96-236)......................................  1542
    f.  Strategic and Critical Materials Transaction 
        Authorization Act of 1979 (Public Law 96-175)............  1544
10. Foreign Corrupt Practices....................................  1545
    a.  Foreign Corrupt Practices Act of 1977 (Public Law 95-213) 
        (partial text)...........................................  1545
    b.  Foreign Corrupt Practices Act Amendments of 1988 (Title V 
        of Public Law 100-418) (partial text)....................  1556

=======================================================================

      
               1. Trade Legislation and Related Documents

                         a. General Trade Laws

           (1) Omnibus Trade and Competitiveness Act of 1988

    Partial text of Public Law 100-418 [H.R. 4848], 102 Stat. 1107, 
 approved August 23, 1988; as amended by Public Law 100-647 [Technical 
  and Miscellaneous Revenue Act of 1988; H.R. 4333], 102 Stat. 3342, 
     approved November 10, 1988; Public Law 101-240 [International 
   Development and Finance Act of 1989; H.R. 2494], 103 Stat. 2492, 
 approved December 19, 1989; Public Law 101-382 [Customs and Trade Act 
 of 1990; H.R. 1594], 104 Stat. 629, approved August 20, 1990; Public 
  Law 102-429 [Export Enhancement Act of 1992; H.R. 5739], 106 Stat. 
   2186, approved October 21, 1992; Public Law 102-549 [Jobs Through 
 Exports Act of 1992; H.R. 4996], 106 Stat. 3651, approved October 28, 
 1992; Public Law 103-49 [H.R. 1876], 107 Stat. 239, approved July 2, 
 1993; Public Law 103-199 [FRIENDSHIP Act; H.R. 3000], 107 Stat. 2317, 
   approved December 17, 1993; Public Law 103-236 [Foreign Relations 
 Authorization Act, Fiscal Years 1994 and 1995; H.R. 2333], 108 Stat. 
 382, approved April 30, 1994; Public Law 103-382 [Improving America's 
  Schools Act of 1994; H.R. 6], 108 Stat. 3518, approved October 20, 
  1994; Public Law 103-392 [Jobs Through Trade Expansion Act of 1994; 
 H.R. 4950], 108 Stat. 4098, approved October 22, 1994; Public Law 103-
465 [Uruguay Round Agreements Act; H.R. 5110], 108 Stat. 4809, approved 
 December 8, 1994; Public Law 104-65 [Lobbying Disclosure Act of 1995; 
S. 1060], 109 Stat. 691, approved December 19, 1995; Public Law 104-66 
[Federal Reports Elimination and Sunset Act of 1995; S. 790], 109 Stat. 
707, approved December 21, 1995; Public Law 104-188 [Small Business Job 
Protection Act of 1996; H.R. 3448], 110 Stat. 1755, approved August 20, 
 1996; Public Law 104-288 [United States National Tourism Organization 
  Act of 1996; H.R. 2579], 110 Stat. 3402, approved October 11, 1996; 
 Public Law 104-295 [Miscellaneous Trade and Technical Corrections Act 
of 1996; H.R. 3815], 110 Stat. 3514, approved October 11, 1996; Public 
Law 105-258 [Ocean Shipping Reform Act of 1998; S. 414],112 Stat. 1902, 
     approved October 14, 1998; and by Public Law 106-158 [Export 
Enhancement Act of 1999; H.R. 3381], 113 Stat. 1745, approved December 
                                9, 1999


          Note.--The Omnibus Trade and Competitiveness Act of 
        1988 consists of amendments to several Public Laws 
        relating to tariff and trade. Amendments have been 
        incorporated at the appropriate places. Freestanding 
        provisions are presented here, or it is noted where 
        such provisions appear elsewhere in this compilation.



  AN ACT To enhance the competitiveness of American industry, and for 
                            other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

SECTION 1. SHORT TITLE AND TABLE OF CONTENTS.

  (a) \1\ Short Title.--This Act may be cited as the ``Omnibus 
Trade and Competitiveness Act of 1988''.
---------------------------------------------------------------------------
    \1\ 19 U.S.C. 2901 note.
---------------------------------------------------------------------------
  (b) Table of Contents.--
                                                                   Page

Sec. 1. Short title and table of contents........................   234
Sec. 2. Legislative history of H.R. 3 applicable.................   239

                TITLE I--TRADE, CUSTOMS, AND TARIFF LAWS

Sec. 1001. Findings and purposes.................................   239

               Subtitle A--United States Trade Agreements
       Part 1--negotiation and implementation of trade agreements

Sec. 1101. Overall and principal trade negotiating objectives of 
  the United States..............................................   240
Sec. 1102. Trade agreement negotiating authority.................   245
Sec. 1103. Implementation of trade agreements....................   249
Sec. 1105. Termination and reservation authority; reciprocal 
  nondiscriminatory treatment....................................   253
Sec. 1106. Accession of state trading regimes to the General 
  Agreement on Tariffs and Trade or the WTO......................   254
Sec. 1107. Definitions and conforming amendments.................   255

        Part 3--other trade agreement and negotiation provisions

Sec. 1121. Implementation of Nairobi Protocol....................   256
Sec. 1122. Implementation of United States-EC Agreement on citrus 
  and pasta......................................................   258
Sec. 1123. Extension of International Coffee Agreement Act of 
  1980...........................................................   259
Sec. 1124. Negotiations on currency exchange rates...............   259
Sec. 1125. Reports on negotiations to eliminate wine trade 
  barriers.......................................................   259

      Subtitle B--Implementation of the Harmonized Tariff Schedule

Sec. 1201. Purposes..............................................   260
Sec. 1202. Definitions...........................................   260
Sec. 1203. Congressional approval of United States accession to 
  the Convention.................................................   260
Sec. 1204. Enactment of the Harmonized Tariff Schedule...........   261
Sec. 1205. Commission review of, and recommendations regarding, 
  the Harmonized Tariff Schedule.................................   263
Sec. 1206. Presidential action on Commission recommendations.....   264
Sec. 1207. Publication of the Harmonized Tariff Schedule.........   264
Sec. 1208. Import and export statistics..........................   265
Sec. 1209. Coordination of trade policy and the Convention.......   265
Sec. 1210. United States participation on the Customs Cooperation 
  Council regarding the Convention...............................   265
Sec. 1211. Transition to the Harmonized Tariff Schedule..........   266
Sec. 1212. Reference to the Harmonized Tariff Schedule...........   268
Sec. 1216. Commission report on operation of subtitle............   269
Sec. 1217. Effective dates.......................................   269

      Subtitle C--Response to Unfair International Trade Practices
Part 1--enforcement of united states rights under trade agreements and 
              response to certain foreign trade practices

Sec. 1303. Identification of countries that deny adequate and 
  effective protection of intellectual property rights...........   269
Sec. 1305. Investigation of barriers in Japan to certain United 
  States services................................................   270
Sec. 1306. Trade and economic relations with Japan...............   270
Sec. 1307. Supercomputer trade dispute...........................   271

     Part 2--improvement in the enforcement of the antidumping and 
                        countervailing duty laws

Sec. 1311. Reference to title VII of the Tariff Act of 1930......   272
Sec. 1317. Third-country dumping.................................   272
Sec. 1336. Studies...............................................   273

           Part 3--protection of intellectual property rights

Sec. 1341. Congressional findings and purposes...................   274
Sec. 1342. Protection under the Tariff Act of 1930...............   274

                    Part 4--telecommunications trade

Sec. 1371. Short title...........................................   275
Sec. 1372. Findings and purposes.................................   275
Sec. 1373. Definitions...........................................   276
Sec. 1374. Investigation of foreign telecommunications trade 
  barriers.......................................................   276
Sec. 1375. Negotiations in response to investigation.............   277
Sec. 1376. Actions to be taken if no agreement obtained..........   279
Sec. 1377. Review of trade agreement implementation by Trade 
  Representative.................................................   281
Sec. 1378. Compensation authority................................   282
Sec. 1379. Consultations.........................................   282
Sec. 1380. Submission of data; action to ensure compliance.......   283
Sec. 1381. Study on telecommunications competitiveness in the 
  United States..................................................   283
Sec. 1382. International obligations.............................   284

              Subtitle D--Adjustment to Import Competition
                  Part 3--trade adjustment assistance

Sec. 1428. Imposition of small uniform fee on all imports........   284
Sec. 1429. Study of certification methods........................   285
Sec. 1430. Effective dates.......................................   285

                     Subtitle E--National Security

Sec. 1501. Imports that threaten national security...............   287

         Subtitle H--Miscellaneous Customs and Trade Provisions
                       part 1--customs provisions

Sec. 1908. Duty-free sales enterprises...........................   288
Sec. 1909. Caribbean Basin Initiative............................   288
Sec. 1910. Ethyl alcohol and mixtures for fuel use...............   289
Sec. 1911. Enforcement of restrictions on imports from Cuba......   289

                 Part 2--miscellaneous trade provisions

Sec. 1933. Coal exports to Japan.................................   290
Sec. 1934. Purchases of United States-made automotive parts by 
  Japan..........................................................   290
Sec. 1935. Effect of imports on crude oil production and refining 
  capacity in the United States..................................   291
Sec. 1936. Study of trade barriers established by auto producing 
  countries to auto imports and the impact on the United States 
  market.........................................................   291
Sec. 1937. Lamb meat imports.....................................   291

                    TITLE II--EXPORT ENHANCEMENT \2\

Sec. 2001. Short title...........................................  1114

----------
\2\ Title II, The Export Enhancement Act of 1988, is found in this 
volume on page 1114.

                  Subtitle A--Trade and Foreign Policy
                Part i--relations with certain countries

Sec. 2101. United States-Mexico Framework Agreement on Trade and 
  Investment.....................................................  1114
Sec. 2102. Relations with countries providing offensive weaponry 
  to belligerent countries in the Persian Gulf region............  1115

                   Part ii--fair trade in auto parts

Sec. 2121. Short title...........................................  1115
Sec. 2122. Definition............................................  1115
Sec. 2123. Establishment of initiative on auto parts sales to 
  Japan..........................................................  1115
Sec. 2124. Establishment of special advisory committee on auto 
  parts sales in Japan...........................................  1116
Sec. 2125. Expiration date.......................................  1116

                     Subtitle B--Export Enhancement
                       Part i--general provisions

Sec. 2201. Commercial personnel at the American Institute of 
  Taiwan.........................................................  1117
Sec. 2202. Country reports on economic policy and trade practices  1117
Sec. 2203. Overseas Private Investment Corporation...............  1118
Sec. 2204. Trade and Development Agency..........................  1118
Sec. 2205. Barter and countertrade...............................  1120
Sec. 2206. Protection of United States intellectual property.....  1121
Sec. 2207. Report on worker rights...............................  1122
Sec. 2208. Japanese importation of manufactured goods from less 
  developed countries............................................  1122
Sec. 2209. Japan and the Arab boycott of Israel..................  1122
Sec. 2210. Facilitation of jewelry trade.........................  1122

                     Part ii--assistance to poland
     [See Legislation on Foreign Relations Through 2002, vol. I-B]
                      Subtitle C--Export Promotion

Sec. 2301. United States and Foreign Commercial Service..........  1123
Sec. 2302. Commercial Service officers and multilateral 
  development bank procurement [transferred to the International 
  Financial Institutions Act]
Sec. 2303. Market development cooperator program.................  1127
Sec. 2304. Trade shows...........................................  1128
Sec. 2305. Authorization of appropriations for export promotion 
  programs.......................................................  1129
Sec. 2306. United States and Foreign Commercial Service Pacific 
  Rim initiative.................................................  1129
Sec. 2307. Indian tribes export promotion........................  1130
Sec. 2311. Report on export trading companies....................  1131
Sec. 2312. Trade Promotion Coordinating Committee................  1131
Sec. 2313. Environmental trade promotion.........................  1133
Sec. 2314. Report on export policy...............................  1139

                      Subtitle D--Export Controls
                   Part i--export controls generally

Sec. 2424. Exports of domestically produced crude oil............  1140
Sec. 2425. Procedures for license applications...................  1141
Sec. 2432. Monitoring of wood exports............................  1142
Sec. 2433. Study on national security export controls............  1142

            Part ii--multilateral export control enhancement

Sec. 2441. Short title...........................................  1143
Sec. 2442. Findings..............................................  1143
Sec. 2443. Mandatory sanctions against Toshiba and Kongsberg.....  1144

                  Subtitle E--Miscellaneous Provisions

Sec. 2503. Budget Act............................................  1145

               TITLE III--INTERNATIONAL FINANCIAL POLICY
     Subtitle A--Exchange Rates and International Economic Policy 
                              Coordination

Sec. 3001. Short title...........................................   292
Sec. 3002. Findings..............................................   292
Sec. 3003. Statement of policy...................................   293
Sec. 3004. International negotiations on exchange rate and 
  economic policies..............................................   293
Sec. 3005. Reporting requirements................................   294
Sec. 3006. Definitions...........................................   295

                     Subtitle B--International Debt
          Part i--findings, purposes, and statement of policy

Sec. 3101. Short title...........................................   295
Sec. 3102. Findings..............................................   295
Sec. 3103. Purposes..............................................   296
Sec. 3104. Statement of policy...................................   296

          Part ii--the international debt management authority

Sec. 3111. International initiative..............................   297
Sec. 3112. Actions to facilitate creation of the authority.......   298
Sec. 3113. IMF-World Bank review.................................   299

      Part iii--regulatory provisions affecting international debt

Sec. 3121. Provisions relating to the regulation of depository 
  institutions...................................................   299
Sec. 3122. Studies relating to the regulation of depository 
  institutions...................................................   300
Sec. 3123. Limited purpose special drawing rights for the poorest 
  heavily indebted countries.....................................   301

               Subtitle C--Multilateral Development Banks
[Subtitle C was transferred to the International Financial Institutions 
                                  Act]
                      [See this volume, page 182]
     Subtitle D--Export-Import Bank and Tied Aid Credit Amendments
                   [Subtitle D is found on page 1149]
                      Subtitle F--Primary Dealers

Sec. 3501. Short title...........................................   302
Sec. 3502. Requirement of national treatment in underwriting 
  Government debt instruments....................................   302

                     Subtitle G--Financial Reports

Sec. 3601. Short title...........................................   303
Sec. 3602. Quadrennial reports on foreign treatment of United 
  States financial institutions..................................   304
Sec. 3603. Fair trade in financial services......................   304
Sec. 3604. Banks loan loss reserves..............................   305

                      TITLE IV--AGRICULTURAL TRADE
     [See Legislation on Foreign Relations Through 2002, vol. I-B]
    TITLE V--FOREIGN CORRUPT PRACTICES AMENDMENTS; INVESTMENT; AND 
                               TECHNOLOGY
Subtitle A--Foreign Corrupt Practices Act Amendments; Review of Certain 
                              Acquisitions
            Part i--foreign corrupt practices act amendments
           [Part I amended the Foreign Corrupt Practices Act]
                        [See page 1545 for text]
             Subtitle C--Competitiveness Policy Council Act

Sec. 5201. Short title...........................................   305
Sec. 5202. Findings and purposes.................................   305
Sec. 5203. Council established...................................   306
Sec. 5204. Duties of the Council.................................   307
Sec. 5205. Membership............................................   308
Sec. 5206. Executive Director and staff..........................   310
Sec. 5207. Powers of the Council.................................   311
Sec. 5208. Annual report.........................................   312
Sec. 5209. Authorization of appropriations.......................   313
Sec. 5210. Definitions...........................................   313

              Subtitle E--Trade Data, Impact, and Studies
                    Part i--national trade data bank

Sec. 5401. Definitions...........................................   314
Sec. 5402. Interagency Trade Data Advisory Committee.............   314
Sec. 5403. Functions of the Committee............................   314
Sec. 5404. Consultation with the private sector and Government 
  officials......................................................   315
Sec. 5405. Cooperation among Executive agencies..................   315
Sec. 5406. Establishment of the Data Bank........................   315
Sec. 5407. Operation of the Data Bank............................   317
Sec. 5408. Information on the service sector.....................   317
Sec. 5409. Exclusion of information..............................   318
Sec. 5410. Nonduplication........................................   318
Sec. 5411. Collection of data....................................   318
Sec. 5412. Fees and access.......................................   318
Sec. 5413. Report to Congress....................................   318

                 Part ii--impact statements and studies

Sec. 5421. Competitiveness impact statements.....................   319
Sec. 5422. Study and report by the Advisory Council on Federal 
  Participation in Sematech......................................   319
Sec. 5423. Impact of national defense expenditures on 
  international competitiveness..................................   320

                       TITLE VIII--SMALL BUSINESS

Sec. 8001. Short title...........................................   321
Sec. 8009. Globalization of production...........................   321
Sec. 8010. Small business trade remedy assistance................   321
Sec. 8011. National Seminar on Small Business Exports............   322
Sec. 8012. Trade negotiations....................................   322
Sec. 8013. Promulgation of regulations...........................   323
Sec. 8014. Effective date........................................   323

                 TITLE X--OCEAN AND AIR TRANSPORTATION
                 Subtitle A--Foreign Shipping Practices

Sec. 10001. Short title..........................................   323
Sec. 10002. Foreign laws and practices...........................   323

SEC. 2. LEGISLATIVE HISTORY OF H.R. 3 APPLICABLE.

  (a) In General.--Except as provided in subsection (b), the 
legislative history of a title, subtitle, part, subpart, 
chapter, subchapter, section, or other provision of the 
conference report to accompany H.R. 3 of the 100th Congress (H. 
Rept. 100-576) shall be treated (along with any other 
legislative history developed by reason of this Act) as being 
the legislative history of the provision of this Act that has 
the same numerical or alphabetical designation as the provision 
of the conference report.
  (b) Exceptions.--
          (1) Subsection (a) does not apply to section 2424(a) 
        of this Act.
          (2) The legislative history for subtitle F of title 
        VI of the conference report to accompany H.R. 3 shall 
        be treated as the legislative history for subtitle E of 
        title VI of this Act.

                TITLE I--TRADE, CUSTOMS, AND TARIFF LAWS

SEC. 1001.\3\ FINDINGS AND PURPOSES.

  (a) Findings.--The Congress finds that--
---------------------------------------------------------------------------
    \3\ 19 U.S.C. 2901 note.
---------------------------------------------------------------------------
          (1) in the last 10 years there has arisen a new 
        global economy in which trade, technological 
        development, investment, and services form an 
        integrated system; and in this system these activities 
        affect each other and the health of the United States 
        economy;
          (2) the United States is confronted with a 
        fundamental disequilibrium in its trade and current 
        account balances and a rapid increase in its net 
        external debt;
          (3) such disequilibrium and increase are a result of 
        numerous factors, including
                  (A) disparities between the macroeconomic 
                policies of the major trading nations,
                  (B) the large United States budget deficit,
                  (C) instabilities and structural defects in 
                the world monetary system,
                  (D) the growth of debt throughout the 
                developing world,
                  (E) structural defects in the world trading 
                system and inadequate enforcement of trade 
                agreement obligations,
                  (F) governmental distortions and barriers,
                  (G) serious shortcomings in United States 
                trade policy, and
                  (H) inadequate growth in the productivity and 
                competitiveness of United States firms and 
                industries relative to their overseas 
                competition;
          (4) it is essential, and should be the highest 
        priority of the United States Government, to pursue a 
        broad array of domestic and international policies--
                  (A) to prevent future declines in the United 
                States economy and standards of living,
                  (B) to ensure future stability in external 
                trade of the United States, and
                  (C) to guarantee the continued vitality of 
                the technological, industrial, and agricultural 
                base of the United States;
          (5) the President should be authorized and encouraged 
        to negotiate trade agreements and related investment, 
        financial, intellectual property, and services 
        agreements that meet the standards set forth in this 
        title; and
          (6) while the United States is not in a position to 
        dictate economic policy to the rest of the world, the 
        United States is in a position to lead the world and it 
        is in the national interest for the United States to do 
        so.
  (b) Purposes.--The purposes of this title are to--
          (1) authorize the negotiation of reciprocal trade 
        agreements;
          (2) strengthen United States trade laws;
          (3) improve the development and management of United 
        States trade strategy; and
          (4) through these actions, improve standards of 
        living in the world.

               Subtitle A--United States Trade Agreements

       PART 1--NEGOTIATION AND IMPLEMENTATION OF TRADE AGREEMENTS

SEC. 1101.\4\ OVERALL AND PRINCIPAL TRADE NEGOTIATING OBJECTIVES OF THE 
                    UNITED STATES.

    (a) Overall Trade Negotiating Objectives.--The overall 
trade negotiating objectives of the United States are to 
obtain--
---------------------------------------------------------------------------
    \4\ 19 U.S.C. 2901.
---------------------------------------------------------------------------
          (1) more open, equitable, and reciprocal market 
        access;
          (2) the reduction or elimination of barriers and 
        other trade-distorting policies and practices; and
          (3) a more effective system of international trading 
        disciplines and procedures.
  (b) Principal Trade Negotiating Objectives.--
          (1) Dispute settlement.--The principal negotiating 
        objectives of the United States with respect to dispute 
        settlement are--
                  (A) to provide for more effective and 
                expeditious dispute settlement mechanisms and 
                procedures; and
                  (B) to ensure that such mechanisms within the 
                GATT and GATT agreements provide for more 
                effective and expeditious resolution of 
                disputes and enable better enforcement of 
                United States rights.
          (2) Improvement of the gatt and multilateral trade 
        negotiation agreements.--The principal negotiating 
        objectives of the United States regarding the 
        improvement of GATT and multilateral trade negotiation 
        agreements are--
                  (A) to enhance the status of the GATT;
                  (B) to improve the operation and extend the 
                coverage of the GATT and such agreements and 
                arrangements to products, sectors, and 
                conditions of trade not adequately covered; and
                  (C) to expand country participation in 
                particular agreements or arrangements, where 
                appropriate.
          (3) Transparency.--The principal negotiating 
        objective of the United States regarding transparency 
        is to obtain broader application of the principle of 
        transparency and clarification of the costs and 
        benefits of trade policy actions through the observance 
        of open and equitable procedures in trade matters by 
        Contracting Parties to the GATT.
          (4) Developing countries.--The principal negotiating 
        objectives of the United States regarding developing 
        countries are--
                  (A) to ensure that developing countries 
                promote economic development by assuming the 
                fullest possible measure of responsibility for 
                achieving and maintaining an open international 
                trading system by providing reciprocal benefits 
                and assuming equivalent obligations with 
                respect to their import and export practices; 
                and
                  (B) to establish procedures for reducing 
                nonreciprocal trade benefits for the more 
                advanced developing countries.
          (5) Current account surpluses.--The principal 
        negotiating objective of the United States regarding 
        current account surpluses is to develop rules to 
        address large and persistent global current account 
        imbalances of countries, including imbalances which 
        threaten the stability of the international trading 
        system, by imposing greater responsibility on such 
        countries to undertake policy changes aimed at 
        restoring current account equilibrium, including 
        expedited implementation of trade agreements where 
        feasible and appropriate.
          (6) Trade and monetary coordination.--The principal 
        negotiating objective of the United States regarding 
        trade and monetary coordination is to develop 
        mechanisms to assure greater coordination, consistency, 
        and cooperation between international trade and 
        monetary systems and institutions.
          (7) Agriculture.--The principal negotiating 
        objectives of the United States with respect to 
        agriculture are to achieve, on an expedited basis to 
        the maximum extent feasible, more open and fair 
        conditions of trade in agricultural commodities by--
                  (A) developing, strengthening, and clarifying 
                rules for agricultural trade, including 
                disciplines on restrictive or trade-distorting 
                import and export practices;
                  (B) increasing United States agricultural 
                exports by eliminating barriers to trade 
                (including transparent and nontransparent 
                barriers) and reducing or eliminating the 
                subsidization of agricultural production 
                consistent with the United States policy of 
                agricultural stabilization in cyclical and 
                unpredictable markets;
                  (C) creating a free and more open world 
                agricultural trading system by resolving 
                questions pertaining to export and other trade-
                distorting subsidies, market pricing and market 
                access and eliminating and reducing 
                substantially other specific constraints to 
                fair trade and more open market access, such as 
                tariffs, quotas, and other nontariff practices, 
                including unjustified phytosanitary and 
                sanitary restrictions; and
                  (D) seeking agreements by which the major 
                agricultural exporting nations agree to pursue 
                policies to reduce excessive production of 
                agricultural commodities during periods of 
                oversupply, with due regard for the fact that 
                the United States already undertakes such 
                policies, and without recourse to arbitrary 
                schemes to divide market shares among major 
                exporting countries.
          (8) Unfair trade practices.--The principal 
        negotiating objectives of the United States with 
        respect to unfair trade practices are--
                  (A) to improve the provisions of the GATT and 
                nontariff measure agreements in order to 
                define, deter, discourage the persistent use 
                of, and otherwise discipline unfair trade 
                practices having adverse trade effects, 
                including forms of subsidy and dumping and 
                other practices not adequately covered such as 
                resource input subsidies, diversionary dumping, 
                dumped or subsidized inputs, and export 
                targeting practices;
                  (B) to obtain the application of similar 
                rules to the treatment of primary and 
                nonprimary products in the Agreement on 
                Interpretation and Application of Articles VI, 
                XVI, and XXIII of the GATT (relating to 
                subsidies and countervailing measures); and
                  (C) to obtain the enforcement of GATT rules 
                against--
                          (i) state trading enterprises, and
                          (ii) the acts, practices, or policies 
                        of any foreign government which, as a 
                        practical matter, unreasonably require 
                        that--
                                  (I) substantial direct 
                                investment in the foreign 
                                country be made,
                                  (II) intellectual property be 
                                licensed to the foreign country 
                                or to any firm of the foreign 
                                country, or
                                  (III) other collateral 
                                concessions be made,
                        as a condition for the importation of 
                        any product or service of the United 
                        States into the foreign country or as a 
                        condition for carrying on business in 
                        the foreign country.
          (9) Trade in services.--
                  (A) The principal negotiating objectives of 
                the United States regarding trade in services 
                are--
                          (i) to reduce or to eliminate 
                        barriers to, or other distortions of, 
                        international trade in services, 
                        including barriers that deny national 
                        treatment and restrictions on 
                        establishment and operation in such 
                        markets; and
                          (ii) to develop internationally 
                        agreed rules, including dispute 
                        settlement procedures, which--
                                  (I) are consistent with the 
                                commercial policies of the 
                                United States, and
                                  (II) will reduce or eliminate 
                                such barriers or distortions, 
                                and help ensure fair, equitable 
                                opportunities for foreign 
                                markets.
                  (B) In pursuing the negotiating objectives 
                described in subparagraph (A), United States 
                negotiators shall take into account legitimate 
                United States domestic objectives including, 
                but not limited to, the protection of 
                legitimate health or safety, essential 
                security, environmental, consumer or employment 
                opportunity interests and the law and 
                regulations related thereto.
          (10) Intellectual property.--The principal 
        negotiating objectives of the United States regarding 
        intellectual property are--
                  (A) to seek the enactment and effective 
                enforcement by foreign countries of laws 
                which--
                          (i) recognize and adequately protect 
                        intellectual property, including 
                        copyrights, patents, trademarks, 
                        semiconductor chip layout designs, and 
                        trade secrets, and
                          (ii) provide protection against 
                        unfair competition,
                  (B) to establish in the GATT obligations--
                          (i) to implement adequate substantive 
                        standards based on--
                                  (I) the standards in existing 
                                international agreements that 
                                provide adequate protection, 
                                and
                                  (II) the standards in 
                                national laws if international 
                                agreement standards are 
                                inadequate or do not exist,
                          (ii) to establish effective 
                        procedures to enforce, both internally 
                        and at the border, the standards 
                        implemented under clause (i), and
                          (iii) to implement effective dispute 
                        settlement procedures that improve on 
                        existing GATT procedures;
                  (C) to recognize that the inclusion in the 
                GATT of--
                          (i) adequate and effective 
                        substantive norms and standards for the 
                        protection and enforcement of 
                        intellectual property rights, and
                          (ii) dispute settlement provisions 
                        and enforcement procedures,
                is without prejudice to other complementary 
                initiatives undertaken in other international 
                organizations; and
                  (D) to supplement and strengthen standards 
                for protection and enforcement in existing 
                international intellectual property conventions 
                administered by other international 
                organizations, including their expansion to 
                cover new and emerging technologies and 
                elimination of discrimination or unreasonable 
                exceptions or preconditions to protection.
          (11) Foreign direct investment.--
                  (A) The principal negotiating objectives of 
                the United States regarding foreign direct 
                investment are--
                          (i) to reduce or to eliminate 
                        artificial or trade-distorting barriers 
                        to foreign direct investment, to expand 
                        the principle of national treatment, 
                        and to reduce unreasonable barriers to 
                        establishment; and
                          (ii) to develop internationally 
                        agreed rules, including dispute 
                        settlement procedures, which--
                                  (I) will help ensure a free 
                                flow of foreign direct 
                                investment, and
                                  (II) will reduce or eliminate 
                                the trade distortive effects of 
                                certain trade-related 
                                investment measures.
                  (B) In pursuing the negotiating objectives 
                described in subparagraph (A), United States 
                negotiators shall take into account legitimate 
                United States domestic objectives including, 
                but not limited to, the protection of 
                legitimate health or safety, essential 
                security, environmental, consumer or employment 
                opportunity interests and the law and 
                regulations related thereto.
          (12) Safeguards.--The principal negotiating 
        objectives of the United States regarding safeguards 
        are--
                  (A) to improve and expand rules and 
                procedures covering safeguard measures;
                  (B) to ensure that safeguard measures are--
                          (i) transparent,
                          (ii) temporary,
                          (iii) degressive, and
                          (iv) subject to review and 
                        termination when no longer necessary to 
                        remedy injury and to facilitate 
                        adjustment; and
                  (C) to require notification of, and to 
                monitor the use by, GATT Contracting Parties of 
                import relief actions for their domestic 
                industries.
          (13) Specific barriers.--The principal negotiating 
        objective of the United States regarding specific 
        barriers is to obtain competitive opportunities for 
        United States exports in foreign markets substantially 
        equivalent to the competitive opportunities afforded 
        foreign exports to United States markets, including the 
        reduction or elimination of specific tariff and 
        nontariff trade barriers, particularly--
                  (A) measures identified in the annual report 
                prepared under section 181 of the Trade Act of 
                1974 (19 U.S.C. 2241); and
                  (B) foreign tariffs and nontariff barriers on 
                competitive United States exports when like or 
                similar products enter the United States at low 
                rates of duty or are duty-free, and other 
                tariff disparities that impede access to 
                particular export markets.
          (14) Worker rights.--The principal negotiating 
        objectives of the United States regarding worker rights 
        are--
                  (A) to promote respect for worker rights;
                  (B) to secure a review of the relationship of 
                worker rights to GATT articles, objectives, and 
                related instruments with a view to ensuring 
                that the benefits of the trading system are 
                available to all workers; and
                  (C) to adopt, as a principle of the GATT, 
                that the denial of worker rights should not be 
                a means for a country or its industries to gain 
                competitive advantage in international trade.
          (15) Access to high technology.--
                  (A) The principal negotiating objective of 
                the United States regarding access to high 
                technology is to obtain the elimination or 
                reduction of foreign barriers to, and acts, 
                policies, or practices by foreign governments 
                which limit, equitable access by United States 
                persons to foreign-developed technology, 
                including barriers, acts, policies, or 
                practices which have the effect of--
                          (i) restricting the participation of 
                        United States persons in government-
                        supported research and development 
                        projects;
                          (ii) denying equitable access by 
                        United States persons to government-
                        held patents;
                          (iii) requiring the approval or 
                        agreement of government entities, or 
                        imposing other forms of government 
                        interventions, as a condition for the 
                        granting of licenses to United States 
                        persons by foreign persons (except for 
                        approval or agreement which may be 
                        necessary for national security 
                        purposes to control the export of 
                        critical military technology); and
                          (iv) otherwise denying equitable 
                        access by United States persons to 
                        foreign-developed technology or 
                        contributing to the inequitable flow of 
                        technology between the United States 
                        and its trading partners.
                  (B) In pursuing the negotiating objective 
                described in subparagraph (A), the United 
                States negotiators shall take into account 
                United States Government policies in licensing 
                or otherwise making available to foreign 
                persons technology and other information 
                developed by United States laboratories.
          (16) Border taxes.--The principal negotiating 
        objective of the United States regarding border taxes 
        is to obtain a revision of the GATT with respect to the 
        treatment of border adjustments for internal taxes to 
        redress the disadvantage to countries relying primarily 
        for revenue on direct taxes rather than indirect taxes.

SEC. 1102.\5\ TRADE AGREEMENT NEGOTIATING AUTHORITY.

    (a) Agreements Regarding Tariff Barriers.--
---------------------------------------------------------------------------
    \5\ 19 U.S.C. 2902.
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          (1) Whenever the President determines that one or 
        more existing duties or other import restrictions of 
        any foreign country or the United States are unduly 
        burdening and restricting the foreign trade of the 
        United States and that the purposes, policies, and 
        objectives of this title will be promoted thereby, the 
        President--
                  (A) before June 1, 1993, may enter into trade 
                agreements with foreign countries; and
                  (B) may, subject to paragraphs (2) through 
                (5), proclaim--
                          (i) such modification or continuance 
                        of any existing duty,
                          (ii) such continuance of existing 
                        duty-free or excise treatment, or
                          (iii) such additional duties;
                as he determines to be required or appropriate 
                to carry out any such trade agreement.
          (2) No proclamation may be made under subsection (a) 
        that--
                  (A) reduces any rate of duty (other than a 
                rate of duty that does not exceed 5 percent ad 
                valorem on the date of enactment of this Act) 
                to a rate which is less than 50 percent of the 
                rate of such duty that applies on such date of 
                enactment; or
                  (B) increases any rate of duty above the rate 
                that applies on such date of enactment.
          (3)(A) Except as provided in subparagraph (B), the 
        aggregate reduction in the rate of duty on any article 
        which is in effect on any day pursuant to a trade 
        agreement entered into under paragraph (1) shall not 
        exceed the aggregate reduction which would have been in 
        effect on such day if a reduction of 3 percent ad 
        valorem or a reduction of one-tenth of the total 
        reduction, whichever is greater, had taken effect on 
        the effective date of the first reduction proclaimed in 
        paragraph (1) to carry out such agreement with respect 
        to such article.
          (B) No staging under subparagraph (A) is required 
        with respect to a rate reduction that is proclaimed 
        under paragraph (1) for an article of a kind that is 
        not produced in the United States. The United States 
        International Trade Commission shall advise the 
        President of the identity of articles that may be 
        exempted from staging under this subparagraph.
          (4) If the President determines that such action will 
        simplify the computation of reductions under paragraph 
        (3), the President may round an annual reduction by the 
        lesser of--
                  (A) the difference between the reduction 
                without regard to this paragraph and the next 
                lower whole number; or
                  (B) one-half of 1 percent ad valorem.
          (5) No reduction in a rate of duty under a trade 
        agreement entered into under subsection (a) on any 
        article may take effect more than 10 years after the 
        effective date of the first reduction under paragraph 
        (1) that is proclaimed to carry out the trade agreement 
        with respect to such article.
          (6) A rate of duty reduction or increase that may not 
        be proclaimed by reason of paragraph (2) may take 
        effect only if a provision authorizing such reduction 
        or increase is included within an implementing bill 
        provided for under section 1103 and that bill is 
        enacted into law.
  (b) Agreements Regarding Nontariff Barriers.--
          (1) Whenever the President determines that any 
        barrier to, or other distortion of, international 
        trade--
                  (A) unduly burdens or restricts the foreign 
                trade of the United States or adversely affects 
                the United States economy; or
                  (B) the imposition of any such barrier or 
                distortion is likely to result in such a 
                burden, restriction, or effect;
        and that the purposes, policies, and objectives of this 
        title will be promoted thereby, the President may, 
        before June 1, 1993, enter into a trade agreement with 
        foreign countries providing for--
                  (i) the reduction or elimination of such 
                barrier or other distortion; or
                  (ii) the prohibition of, or limitations on 
                the imposition of, such barrier or other 
                distortion.
          (2) A trade agreement may be entered into under this 
        subsection only if such agreement makes progress in 
        meeting the applicable objectives described in section 
        1101.
  (c) Bilateral Agreements Regarding Tariff and Nontariff 
Barriers.--
          (1) Before June 1, 1993, the President may enter into 
        bilateral trade agreements with foreign countries that 
        provide for the elimination or reduction of any duty 
        imposed by the United States. A trade agreement entered 
        into under this paragraph may also provide for the 
        reduction or elimination of barriers to, or other 
        distortions of, the international trade of the foreign 
        country or the United States.
          (2) Notwithstanding any other provision of law, no 
        trade benefit shall be extended to any country by 
        reason of the extension of any trade benefit to another 
        country under a trade agreement entered into under 
        paragraph (1) with such other country.
          (3) A trade agreement may be entered into under 
        paragraph (1) with any foreign country only if--
                  (A) the agreement makes progress in meeting 
                the applicable objectives described in section 
                1101;
                  (B) such foreign country requests the 
                negotiation of such an agreement; and
                  (C) the President, at least 60 days before 
                the date notice is provided under section 
                1103(a)(1)(A)--
                          (i) provides written notice of such 
                        negotiations to the Committee on 
                        Finance of the Senate and the Committee 
                        on Ways and Means of the House of 
                        Representatives, and
                          (ii) consults with such committees 
                        regarding the negotiation of such 
                        agreement.
          (4) The 60-day period of time described in paragraph 
        (3)(C) \6\ shall be computed in accordance with section 
        1103(e).\6\
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    \6\ Sec. 139(b) of the Customs and Trade Act of 1990 (Public Law 
101-382; 104 Stat. 653) struck out ``paragraph (3)(B)'' and inserted in 
lieu thereof ``paragraph (3)(C)''; and struck out ``1103(f)'' and 
inserted in lieu thereof ``1103(e)''.
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          (5) In any case in which there is an inconsistency 
        between any provision of this Act and any bilateral 
        free trade area agreement that entered into force and 
        effect with respect to the United States before January 
        1, 1987, the provision shall not apply with respect to 
        the foreign country that is party to that agreement.
  (d) Consultation With Congress Before Agreements Entered 
Into.--
          (1) Before the President enters into any trade 
        agreement under subsection (b) or (c), the President 
        shall consult with--
                  (A) the Committee on Ways and Means of the 
                House of Representatives and the Committee on 
                Finance of the Senate; and
                  (B) each other committee of the House and the 
                Senate, and each joint committee of the 
                Congress, which has jurisdiction over 
                legislation involving subject matters which 
                would be affected by the trade agreement.
          (2) The consultation under paragraph (1) shall 
        include--
                  (A) the nature of the agreement;
                  (B) how and to what extent the agreement will 
                achieve the applicable purposes, policies, and 
                objectives of this title; and
                  (C) all matters relating to the 
                implementation of the agreement under section 
                1103.
          (3) If it is proposed to implement two or more trade 
        agreements in a single implementing bill under section 
        1103, the consultation under paragraph (1) shall 
        include the desirability and feasibility of such 
        proposed implementation.
    (e) \7\ Special Provisions Regarding Uruguay Round Trade 
Negotiations.--
---------------------------------------------------------------------------
    \7\ Sec. 1 of Public Law 103-49 (107 Stat. 239) added subsec. (e).
---------------------------------------------------------------------------
          (1) In general.--Notwithstanding the time limitations 
        in subsections (a) and (b), if the Uruguay Round of 
        multilateral trade negotiations under the auspices of 
        the General Agreement on Tariffs and Trade has not 
        resulted in trade agreements by May 31, 1993, the 
        President may, during the period after May 31, 1993, 
        and before April 16, 1994, enter into, under 
        subsections (a) and (b), trade agreements resulting 
        from such negotiations.
          (2) Application of tariff proclamation authority.--No 
        proclamation under subsection (a) to carry out the 
        provisions regarding tariff barriers of a trade 
        agreement that is entered into pursuant to paragraph 
        (1) may take effect before the effective date of a bill 
        that implements the provisions regarding nontariff 
        barriers of a trade agreement that is entered into 
        under such paragraph.
          (3) Application of implementing and ``fast track'' 
        procedures.--Section 1103 applies to any trade 
        agreement negotiated under subsection (b) pursuant to 
        paragraph (1), except that--
                  (A) in applying subsection (a)(1)(A) of 
                section 1103 to any such agreement, the phrase 
                ``at least 120 calendar days before the day on 
                which he enters into the trade agreement (but 
                not later than December 15, 1993),'' shall be 
                substituted for the phrase ``at least 90 
                calendar days before the day on which he enters 
                into the trade agreement,''; and
                  (B) no provision of subsection (b) of section 
                1103 other than paragraph (1)(A) applies to any 
                such agreement and in applying such paragraph, 
                ``April 16, 1994;'' shall be substituted for 
                ``June 1, 1991;''.
          (4) Advisory committee reports.--The report required 
        under section 135(e)(1) of the Trade Act of 1974 
        regarding any trade agreement provided for under 
        paragraph (1) shall be provided to the President, the 
        Congress, and the United States Trade Representative 
        not later than 30 days after the date on which the 
        President notifies the Congress under section 
        1103(a)(1)(A) of his intention to enter into the 
        agreement (but before January 15, 1994).

SEC. 1103.\8\ IMPLEMENTATION OF TRADE AGREEMENTS.

    (a) In General.--
---------------------------------------------------------------------------
    \8\ 19 U.S.C. 2903. In a notice of September 18, 1992, the 
President notified Congress of his intention to enter into a North 
American Free Trade Agreement with the Government of Canada and the 
Government of Mexico (57 F.R. 43603).
---------------------------------------------------------------------------
          (1) Any agreement entered into under section 1102 (b) 
        or (c) shall enter into force with respect to the 
        United States if (and only if)--
                  (A) the President, at least 90 calendar days 
                before the day on which he enters into the 
                trade agreement, notifies the House of 
                Representatives and the Senate of his intention 
                to enter into the agreement, and promptly 
                thereafter publishes notice of such intention 
                in the Federal Register;
                  (B) after entering into the agreement, the 
                President submits a document to the House of 
                Representatives and to the Senate containing a 
                copy of the final legal text of the agreement, 
                together with--
                          (i) a draft of an implementing bill,
                          (ii) a statement of any 
                        administrative action proposed to 
                        implement the trade agreement, and
                          (iii) the supporting information 
                        described in paragraph (2); and
                  (C) the implementing bill is enacted into 
                law.
          (2) The supporting information required under 
        paragraph (1)(B)(iii) consists of--
                  (A) an explanation as to how the implementing 
                bill and proposed administrative action will 
                change or affect existing law; and
                  (B) a statement--
                          (i) asserting that the agreement 
                        makes progress in achieving the 
                        applicable purposes, policies, and 
                        objectives of this title,
                          (ii) setting forth the reasons of the 
                        President regarding--
                                  (I) how and to what extent 
                                the agreement makes progress in 
                                achieving the applicable 
                                purposes, policies, and 
                                objectives referred to in 
                                clause (i), and why and to what 
                                extent the agreement does not 
                                achieve other applicable 
                                purposes, policies, and 
                                objectives,
                                  (II) how the agreement serves 
                                the interests of United States 
                                commerce, and
                                  (III) why the implementing 
                                bill and proposed 
                                administrative action is 
                                required or appropriate to 
                                carry out the agreement;
                          (iii) describing the efforts made by 
                        the President to obtain international 
                        exchange rate equilibrium and any 
                        effect the agreement may have regarding 
                        increased international monetary 
                        stability; and
                          (iv) describing the extent, if any, 
                        to which--
                                  (I) each foreign country that 
                                is a party to the agreement 
                                maintains non-commercial state 
                                trading enterprises that may 
                                adversely affect, nullify, or 
                                impair the benefits to the 
                                United States under the 
                                agreement, and
                                  (II) the agreement applies to 
                                or affects purchases and sales 
                                by such enterprises.
          (3) To ensure that a foreign country which receives 
        benefits under a trade agreement entered into under 
        section 1102 (b) or (c) is subject to the obligations 
        imposed by such agreement, the President shall 
        recommend to Congress in the implementing bill and 
        statement of administrative action submitted with 
        respect to such agreement that the benefits and 
        obligations of such agreement apply solely to the 
        parties to such agreement, if such application is 
        consistent with the terms of such agreement. The 
        President may also recommend with respect to any such 
        agreement that the benefits and obligations of such 
        agreement not apply uniformly to all parties to such 
        agreement, if such application is consistent with the 
        terms of such agreement.
  (b) Application of Congressional ``Fast Track'' Procedures to 
Implementing Bills.--
          (1) Except as provided in subsection (c)--
                  (A) the provisions of section 151 of the 
                Trade Act of 1974 (19 U.S.C. 2191) (hereinafter 
                in this section referred to as ``fast track 
                procedures'') apply to implementing bills 
                submitted with respect to trade agreements 
                entered into under section 1102 (b) or (c) 
                before June 1, 1991; and
                  (B) such fast track procedures shall be 
                extended to implementing bills submitted with 
                respect to trade agreements entered into under 
                section 1102 (b) or (c) after May 31, 1991, and 
                before June 1, 1993, if (and only if)--
                          (i) the President requests such 
                        extension under paragraph (2); and
                          (ii) neither House of the Congress 
                        adopts an extension disapproval 
                        resolution under paragraph (5) before 
                        June 1, 1991.
          (2) If the President is of the opinion that the fast 
        track procedures should be extended to implementing 
        bills described in paragraph (1)(B), the President must 
        submit to the Congress, no later than March 1, 1991, a 
        written report that contains a request for such 
        extension, together with--
                  (A) a description of all trade agreements 
                that have been negotiated under section 1102 
                (b) or (c) and the anticipated schedule for 
                submitting such agreements to the Congress for 
                approval;
                  (B) a description of the progress that has 
                been made in multilateral and bilateral 
                negotiations to achieve the purposes, policies, 
                and objectives of this title, and a statement 
                that such progress justifies the continuation 
                of negotiations; and
                  (C) a statement of the reasons why the 
                extension is needed to complete the 
                negotiations.
          (3) The President shall promptly inform the Advisory 
        Committee for Trade Policy and Negotiations established 
        under section 135 of the Trade Act of 1974 (19 U.S.C. 
        2155) of his decision to submit a report to Congress 
        under paragraph (2). The Advisory Committee shall 
        submit to the Congress as soon as practicable, but no 
        later than March 1, 1991, a written report that 
        contains--
                  (A) its views regarding the progress that has 
                been made in multilateral and bilateral 
                negotiations to achieve the purposes, policies, 
                and objectives of this title; and
                  (B) a statement of its views, and the reasons 
                therefor, regarding whether the extension 
                requested under paragraph (2) should be 
                approved or disapproved.
          (4) The reports submitted to the Congress under 
        paragraphs (2) and (3), or any portion of the reports, 
        may be classified to the extent the President 
        determines appropriate.
          (5)(A) For purposes of this subsection, the term 
        ``extension disapproval resolution'' means a resolution 
        of either House of the Congress, the sole matter after 
        the resolving clause of which is as follows: ``That the 
                     disapproves the request of the President 
        for the extension, under section 1103(b)(1)(B)(i) of 
        the Omnibus Trade and Competitiveness Act of 1988, of 
        the provisions of section 151 of the Trade Act of 1974 
        to any implementing bill submitted with respect to any 
        trade agreement entered into under section 1102 (b) or 
        (c) of such Act after May 31, 1991, because sufficient 
        tangible progress has not been made in trade 
        negotiations.'', with the blank space being filled with 
        the name of the resolving House of the Congress.
          (B) Extension disapproval resolutions--
                  (i) may be introduced in either House of the 
                Congress by any member of such House; and
                  (ii) shall be jointly referred, in the House 
                of Representatives, to the Committee on Ways 
                and Means and the Committee on Rules.
          (C) The provisions of section 152 (d) and (e) of the 
        Trade Act of 1974 (19 U.S.C. 2192 (d) and (e)) 
        (relating to the floor consideration of certain 
        resolutions in the House and Senate) apply to extension 
        disapproval resolutions.
          (D) It is not in order for--
                  (i) the Senate to consider any extension 
                disapproval resolution not reported by the 
                Committee on Finance;
                  (ii) the House of Representatives to consider 
                any extension disapproval resolution not 
                reported by the Committee on Ways and Means and 
                the Committee on Rules; or
                  (iii) either House of the Congress to 
                consider an extension disapproval resolution 
                that is reported to such House after May 15, 
                1991.
  (c) Limitations on Use of ``Fast Track'' Procedures.--
          (1)(A) The fast track procedures shall not apply to 
        any implementing bill submitted with respect to a trade 
        agreement entered into under section 1102 (b) or (c) if 
        both Houses of the Congress separately agree to 
        procedural disapproval resolutions within any 60-day 
        period.
          (B) Procedural disapproval resolutions--
                  (i) in the House of Representatives--
                          (I) shall be introduced by the 
                        chairman or ranking minority member of 
                        the Committee on Ways and Means or the 
                        chairman or ranking minority member of 
                        the Committee on Rules,
                          (II) shall be jointly referred to the 
                        Committee on Ways and Means and the 
                        Committee on Rules, and
                          (III) may not be amended by either 
                        Committee; and
                  (ii) in the Senate shall be original 
                resolutions of the Committee on Finance.
          (C) The provisions of section 152 (d) and (e) of the 
        Trade Act of 1974 (19 U.S.C. 2192 (d) and (e)) 
        (relating to the floor consideration of certain 
        resolutions in the House and Senate) apply to 
        procedural disapproval resolutions.
          (D) It is not in order for the House of 
        Representatives to consider any procedural disapproval 
        resolution not reported by the Committee on Ways and 
        Means and the Committee on Rules.
          (E) For purposes of this subsection, the term 
        ``procedural disapproval resolution'' means a 
        resolution of either House of the Congress, the sole 
        matter after the resolving clause of which is as 
        follows: ``That the President has failed or refused to 
        consult with Congress on trade negotiations and trade 
        agreements in accordance with the provisions of the 
        Omnibus Trade and Competitiveness Act of 1988, and, 
        therefore, the provisions of section 151 of the Trade 
        Act of 1974 shall not apply to any implementing bill 
        submitted with respect to any trade agreement entered 
        into under section 1102 (b) or (c) of such Act of 1988, 
        if, during the 60-day period beginning on the date on 
        which this resolution is agreed to by the            , 
        the              agrees to a procedural disapproval 
        resolution (within the meaning of section 1103(c)(1)(E) 
        of such Act of 1988).'', with the first blank space 
        being filled with the name of the resolving House of 
        the Congress and the second blank space being filled 
        with the name of the other House of the Congress.
          (2) The fast track procedures shall not apply to any 
        implementing bill that contains a provision approving 
        of any trade agreement which is entered into under 
        section 1102(c) with any foreign country if either--
                  (A) the requirements of section 1102(c)(3) 
                are not met with respect to the negotiation of 
                such agreement; or
                  (B) the Committee on Finance of the Senate or 
                the Committee on Ways and Means of the House of 
                Representatives disapproves of the negotiation 
                of such agreement before the close of the 60-
                day period which begins on the date notice is 
                provided under section 1102(c)(3)(C)(i) with 
                respect to the negotiation of such agreement.
  (d) Rules of House of Representatives and Senate.--
Subsections (b) and (c) are enacted by the Congress--
          (1) as an exercise of the rulemaking power of the 
        House of Representatives and the Senate, respectively, 
        and as such is deemed a part of the rules of each 
        House, respectively, and such procedures supersede 
        other rules only to the extent that they are 
        inconsistent with such other rules; and
          (2) 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.
  (e) Computation of Certain Periods of Time.--Each period of 
time described in subsection (c)(1) (A) and (E) and (2) of this 
section shall be computed without regard to--
          (1) the days on which either House of Congress is not 
        in session because of an adjournment of more than 3 
        days to a day certain or an adjournment of the Congress 
        sine die; and
          (2) any Saturday and Sunday, not excluded under 
        paragraph (1), when either House of the Congress is not 
        in session.
          * * * * * * *

SEC. 1105.\9\ TERMINATION AND RESERVATION AUTHORITY; RECIPROCAL 
                    NONDISCRIMINATORY TREATMENT.

    (a) In General.--For purposes of applying sections 125, 
126(a), and 127 of the Trade Act of 1974 (19 U.S.C. 2135, 
2136(a), and 2137)--
---------------------------------------------------------------------------
    \9\ 19 U.S.C. 2904.
---------------------------------------------------------------------------
          (1) any trade agreement entered into under section 
        1102 shall be treated as an agreement entered into 
        under section 101 or 102, as appropriate, of the Trade 
        Act of 1974 (19 U.S.C. 2111 or 2112); and
          (2) any proclamation or Executive order issued 
        pursuant to a trade agreement entered into under 
        section 1102 shall be treated as a proclamation or 
        Executive order issued pursuant to a trade agreement 
        entered into under section 102 of the Trade Act of 
        1974.
  (b) Reciprocal Nondiscriminatory Treatment.--
          (1) The President shall determine, before June 1, 
        1993, whether any major industrial country has failed 
        to make concessions under trade agreements entered into 
        under section 1102 (a) and (b) which provide 
        competitive opportunities for the commerce of the 
        United States in such country substantially equivalent 
        to the competitive opportunities, provided by 
        concessions made by the United States under trade 
        agreements entered into under section 1102 (a) and (b), 
        for the commerce of such country in the United States.
          (2) If the President determines under paragraph (1) 
        that a major industrial country has not made 
        concessions under trade agreements entered into under 
        section 1102 (a) and (b) which provide substantially 
        equivalent competitive opportunities for the commerce 
        of the United States, the President shall, either 
        generally with respect to such country or by article 
        produced by such country, in order to restore 
        equivalence of competitive opportunities, recommend to 
        the Congress--
                  (A) legislation providing for the termination 
                or denial of the benefits of concessions of 
                trade agreements entered into under section 
                1102 (a) and (b) that have been made with 
                respect to rates of duty or other import 
                restrictions imposed by the United States, and
                  (B) legislation providing that any law 
                necessary to carry out any trade agreement 
                under section 1102 (a) or (b) not apply to such 
                country.
          (3) For purposes of this subsection, the term ``major 
        industrial country'' means Canada, the European 
        Communities, the individual member countries of the 
        European Communities, Japan, and any other foreign 
        country designated by the President for purposes of 
        this subsection.

SEC. 1106.\10\ ACCESSION OF STATE TRADING REGIMES TO THE GENERAL 
                    AGREEMENT ON TARIFFS AND TRADE OR THE WTO.

    (a) In General.--Before any major foreign country accedes, 
after the date of enactment of this Act, to the GATT 1947, or 
to the WTO Agreement \11\ the President shall determine--
---------------------------------------------------------------------------
    \10\ 19 U.S.C. 2905. Sec. 621(a)(4)(D) of Public Law 103-465 (108 
Stat. 4993) added ``for the WTO'' to the section heading. Subsequently, 
sec. 20(f)(3) of Public Law 104-295 (110 Stat. 3529) changed ``for'' to 
``or''.
    \11\ Sec. 621(a)(4)(A) of Public Law 103-465 (108 Stat. 4993) 
struck out ``the GATT'' and inserted ``the GATT 1947, or to the WTO 
Agreement''.
---------------------------------------------------------------------------
          (1) whether state trading enterprises account for a 
        significant share of--
                  (A) the exports of such major foreign 
                country, or
                  (B) the goods of such major foreign country 
                that are subject to competition from goods 
                imported into such foreign country; and
          (2) whether such state trading enterprises--
                  (A) unduly burden and restrict, or adversely 
                affect, the foreign trade of the United States 
                or the United States economy, or
                  (B) are likely to result in such a burden, 
                restriction, or effect.
  (b) Effects of Affirmative Determination.--If both of the 
determinations made under paragraphs (1) and (2) of subsection 
(a) with respect to a major foreign country are affirmative--
          (1) the President shall reserve the right of the 
        United States to withhold extension of the application 
        of the GATT 1947 or the WTO Agreement,\12\ between the 
        United States and such major foreign country, and
---------------------------------------------------------------------------
    \12\ Sec. 621(a)(4)(B) of Public Law 103-465 (108 Stat. 4993) 
inserted ``1947 or the WTO Agreement'' after ``the GATT'' throughout 
subsecs. (b) and (c).
---------------------------------------------------------------------------
          (2) the GATT 1947 or the WTO Agreement \12\ shall not 
        apply between the United States and such major foreign 
        country until--
                  (A) such foreign country enters into an 
                agreement with the United States providing that 
                the state trading enterprises of such foreign 
                country--
                          (i) will--
                                  (I) make purchases which are 
                                not for the use of such foreign 
                                country, and
                                  (II) make sales in 
                                international trade,
                        in accordance with commercial 
                        considerations (including price, 
                        quality, availability, marketability, 
                        and transportation), and
                          (ii) will afford United States 
                        business firms adequate opportunity, in 
                        accordance with customary practice, to 
                        compete for participation in such 
                        purchases or sales; or
                  (B) a bill submitted under subsection (c) 
                which approves of the extension of the 
                application of the GATT 1947 or the WTO 
                Agreement \12\ between the United States and 
                such major foreign country is enacted into law.
  (c) Expedited Consideration of Bill To Approve Extension.--
          (1) The President may submit to the Congress any 
        draft of a bill which approves of the extension of the 
        application of the GATT 1947 or the WTO Agreement \12\ 
        between the United States and a major foreign country.
          (2) Any draft of a bill described in paragraph (1) 
        that is submitted by the President to the Congress 
        shall--
                  (A) be introduced by the majority leader of 
                each House of the Congress (by request) on the 
                first day on which such House is in session 
                after the date such draft is submitted to the 
                Congress; and
                  (B) shall be treated as an implementing bill 
                for purposes of subsections (d), (e), (f), and 
                (g) of section 151 of the Trade Act of 1974.
  (d) Publication.--The President shall publish in the Federal 
Register each determination made under subsection (a).
    (e) \13\ Definitions.--For purposes of this section:
---------------------------------------------------------------------------
    \13\ Sec. 621(a)(4)(C) of Public Law 103-465 (108 Stat. 4993) added 
subsec. (e).
---------------------------------------------------------------------------
          (1) The term ``GATT 1947'' has the meaning given that 
        term in section 2(1)(A) of the Uruguay Round Agreements 
        Act.
          (2) the term ``WTO Agreement'' means the Agreement 
        Establishing the World Trade Organization entered into 
        on April 15, 1994 and the multilateral trade agreements 
        (as such term is defined in section 2(4) of the Uruguay 
        Round Agreements Act).

SEC. 1107. DEFINITIONS AND CONFORMING AMENDMENTS.

  (a) \14\ Definitions.--For purposes of this part:
---------------------------------------------------------------------------
    \14\ 19 U.S.C. 2906.
---------------------------------------------------------------------------
          (1) The term ``distortion'' includes, but is not 
        limited to, a subsidy.
          (2) The term ``foreign country'' includes any foreign 
        instrumentality. Any territory or possession of a 
        foreign country that is administered separately for 
        customs purposes, shall be treated as a separate 
        foreign country.
          (3) The term ``GATT'' means the GATT 1947 (as defined 
        in section 2(1)(A) of the Uruguay Round Agreements 
        Act).\15\
---------------------------------------------------------------------------
    \15\ Sec. 621(a)(5) of Public Law 103-465 (108 Stat. 4993) struck 
out ``General Agreement on Tariffs and Trade'' and inserted in lieu 
thereof ``GATT 1947 (as defined in section 2(1)(A) of the Uruguay Round 
Agreements Act)''.
---------------------------------------------------------------------------
          (4) The term ``implementing bill'' has the meaning 
        given such term in section 151(b)(1) of the Trade Act 
        of 1974 (19 U.S.C. 2191(b)(1)).
          (5) The term ``international trade'' includes, but is 
        not limited to--
                  (A) trade in both goods and services, and
                  (B) foreign direct investment by United 
                States persons, especially if such investment 
                has implications for trade in goods and 
                services.
          (6) The term ``state trading enterprise'' means--
                  (A) any agency, instrumentality, or 
                administrative unit of a foreign country 
                which--
                          (i) purchases goods or services in 
                        international trade for any purpose 
                        other than the use of such goods or 
                        services by such agency, 
                        instrumentality, administrative unit, 
                        or foreign country, or
                          (ii) sells goods or services in 
                        international trade; or
                  (B) any business firm which--
                          (i) is substantially owned or 
                        controlled by a foreign country or any 
                        agency, instrumentality, or 
                        administrative unit thereof,
                          (ii) is granted (formally or 
                        informally) any special or exclusive 
                        privilege by such foreign country, 
                        agency, instrumentality, or 
                        administrative unit, and
                          (iii) purchases goods or services in 
                        international trade for any purpose 
                        other than the use of such goods or 
                        services by such foreign country, 
                        agency, instrumentality, or 
                        administrative unit, or which sells 
                        goods or services in international 
                        trade.
  (b) \16\ * * *
---------------------------------------------------------------------------
    \16\ Sec. 1107(b) and Part 2 amended the Trade Act of 1974.
---------------------------------------------------------------------------

        PART 2--HEARINGS AND ADVICE CONCERNING NEGOTIATIONS \16\

          * * * * * * *

        PART 3--OTHER TRADE AGREEMENT AND NEGOTIATION PROVISIONS

          * * * * * * *

SEC. 1121. IMPLEMENTATION OF NAIROBI PROTOCOL.

  (a) Purpose and Reference.--
          (1) The purpose of this section is--
                  (A) to provide for the implementation by the 
                United States of the Protocol (S. Treaty Doc. 
                97-2, 9; hereafter referred to in this section 
                as the ``Nairobi Protocol'') to the Agreement 
                on the Importation of Educational, Scientific, 
                and Cultural Materials (17 UST (pt. 2) 1835; 
                commonly known as the ``Florence Agreement'');
                  (B) to clarify or modify the duty-free 
                treatment accorded under the Educational, 
                Scientific, and Cultural Materials Importation 
                Act of 1982 (Public Law 97-446, 96 Stat. 2346-
                2349), the Educational, Scientific, and 
                Cultural Materials Importation Act of 1966 
                (Public Law 89-65, 80 Stat. 897 et seq.), and 
                Public Law 89-634 (80 Stat. 879); and
                  (C) to continue the safeguard provisions 
                concerning certain imported articles provided 
                for in the Educational, Scientific, and 
                Cultural Materials Importation Act of 1982.
          (2) Whenever an amendment or repeal in this section 
        is expressed in terms of an amendment to, or repeal of, 
        an item, headnote, Appendix, or other provision, the 
        reference shall be considered to be made to an item, 
        headnote, Appendix, or other provision of the Tariff 
        Schedules of the United States.
  (b) Repeal of the Educational, Scientific, and Cultural 
Materials Importation Act of 1982.--The Educational, 
Scientific, and Cultural Materials Importation Act of 1982 is 
hereby repealed.
          * * * * * * *
  (g) Authority to Limit Certain Duty-Free Treatment.--
          (1)(A) The President may proclaim changes in the 
        Tariff Schedules of the United States to narrow the 
        scope of, place conditions upon, or otherwise eliminate 
        the duty-free treatment accorded by reason of the 
        amendments made by subsection (e) or (f) with respect 
        to any type of article the duty-free treatment of which 
        has significant adverse impact on a domestic industry 
        (or portion thereof) manufacturing or producing a like 
        or directly competitive article, if the effect of such 
        change is consistent with the provisions of the 
        relevant annexes of the Florence Agreement or the 
        Nairobi Protocol.
          (B) If the President proclaims changes to the Tariff 
        Schedules of the United States under subparagraph (A), 
        the rate of duty thereafter applicable to any article 
        which is--
                  (i) affected by such action, and
                  (ii) imported from any source,
        shall be the rate determined and proclaimed by the 
        President as the rate which would then be applicable to 
        such article from such source if this section had not 
        been enacted.
          (2) If the President determines that any duty-free 
        treatment which is no longer in effect because of 
        action taken under paragraph (1) could be restored, in 
        whole or in part, without a resumption of significant 
        adverse impact on a domestic industry or portion 
        thereof, the President may proclaim changes to the 
        Tariff Schedules of the United States to resume such 
        duty-free treatment.
          (3) Before taking any action under paragraph (1) or 
        (2), the President shall afford an opportunity for 
        interested Government agencies and private persons to 
        present their views concerning the proposed action.
          (4) Any action in effect or any proceeding in 
        progress under section 166 of the Educational, 
        Scientific, and Cultural Materials Importation Act of 
        1982 on the day that Act is repealed shall be 
        considered as an action or proceeding under this 
        section and shall be continued or resumed under this 
        section.
  (h) Authority To Expand Certain Duty-Free Treatment Accorded 
by Reason of Subsection (d).--
          (1) If the President determines such action to be in 
        the interest of the United States, the President may 
        proclaim changes to the Tariff Schedules of the United 
        States in order to remove or modify any condition or 
        restriction imposed under headnote 1 to part 7 of 
        schedule 8 (as amended by subsection (d) of this 
        section) of such Schedules, on the importation of 
        articles provided for in items 870.30 through 870.35, 
        inclusive (except as to articles entered under the 
        terms of headnote 1(a)(i) to part 7 of schedule 8) of 
        such Schedules, in order to implement the provisions of 
        annex C-1 of the Nairobi Protocol.
          (2) Any change to the Tariff Schedules of the United 
        States proclaimed under paragraph (1) shall be 
        effective with respect to articles entered, or 
        withdrawn from warehouse, for consumption on or after 
        the date that is 15 days after the date on which the 
        President proclaims such change.
  (i) Statistical Information.--In order to implement 
effectively the provisions of subsection (g), the Secretary of 
the Treasury, in conjunction with the Secretary of Commerce, 
shall take such actions as are necessary to obtain adequate 
statistical information with respect to articles to which 
amendments made by subsection (f) \17\ apply, in such detail 
and for such period as the Secretaries consider necessary.
---------------------------------------------------------------------------
    \17\ Sec. 9001(a)(15) of Public Law 100-647 (Technical and 
Miscellaneous Revenue Act of 1988; 102 Stat. 3342) inserted the 
reference to (f) in lieu of (c).
---------------------------------------------------------------------------
  (j) Effective Date.--
          (1) The provisions of this section, and the repeal 
        and amendments made by this section, shall apply with 
        respect to articles entered, or withdrawn from 
        warehouse, for consumption on or after the later of--
                  (A) October 1, 1988, or
                  (B) the date that is 15 days after the 
                deposit of the United States ratification of 
                the Nairobi Protocol.
          (2) Notwithstanding section 514 of the Tariff Act of 
        1930 or any other provision of law, upon request filed 
        with the appropriate customs officer on or before the 
        date that is 180 days after the later of the dates 
        described in subparagraphs (A) and (B) of paragraph 
        (1), any entry, or withdrawal from warehouse, of any 
        article--
                  (A) which was made on or after August 12, 
                1985, and before such later date, and
                  (B) with respect to which there would have 
                been no duty if the provisions of this section, 
                or any amendments made by this section, applied 
                to such entry or withdrawal,
        shall be liquidated or reliquidated as though such 
        entry or withdrawal had been made on or after such 
        later date.

SEC. 1122. IMPLEMENTATION OF UNITED STATES-EC AGREEMENT ON CITRUS AND 
                    PASTA.

  (a) Purpose.--The purpose of this section is to provide for 
the implementation of tariff reductions agreed to by the United 
States in the Agreement between the European Communities and 
the United States, concluded February 24, 1987, with respect to 
citrus and pasta.
  (b) Proclamation Authority.--
          (1) The amendments made by subsection (c) shall apply 
        with respect to articles entered, or withdrawn from 
        warehouse for consumption, on or after a date occurring 
        after September 30, 1988, that is proclaimed by the 
        President as being appropriate to carry out the 
        Agreement referred to in subsection (a).
          (2) The President is authorized at any time to modify 
        or terminate by proclamation any provision of law 
        enacted by the amendments made by subsection (c).
          (3) The rates of duty in column numbered 1 of the 
        Tariff Schedules of the United States that are enacted 
        by the amendments made by subsection (c) shall be 
        treated--
                  (A) as not having the status of statutory 
                provisions enacted by the Congress; but
                  (B) as having been proclaimed by the 
                President as being required to carry out a 
                foreign trade agreement to which the United 
                States is a party.
  (c) * * *
  (d) Report.--The Trade Representative shall include in the 
semiannual report submitted under section 309(3) of the Trade 
Act of 1974 an assessment of whether the European Communities 
are in compliance with the agreement referred to in subsection 
(a).

SEC. 1123. EXTENSION OF INTERNATIONAL COFFEE AGREEMENT ACT OF 1980.

  (a) Extension.--Section 2 of the International Coffee 
Agreement Act of 1980 (19 U.S.C. 1356k) is amended by striking 
out ``October 1, 1986'' and inserting ``October 1, 1989''.
  (b) Effective Date.--The amendment made by subsection (a) 
shall take effect January 1, 1987.

SEC. 1124.\18\ NEGOTIATIONS ON CURRENCY EXCHANGE RATES.

  (a) Findings.--The Congress finds that--
---------------------------------------------------------------------------
    \18\ 22 U.S.C. 5304 note.
---------------------------------------------------------------------------
          (1) the benefit of trade concessions can be adversely 
        affected by misalignments in currency, and
          (2) misalignments in currency caused by government 
        policies intended to maintain an unfair trade advantage 
        tend to nullify and impair trade concessions.
  (b) Negotiations.--Whenever, in the course of negotiating a 
trade agreement under this subtitle, the President is advised 
by the Secretary of the Treasury that a foreign country that is 
a party to the negotiations satisfies the criteria for 
initiating bilateral currency negotiations listed in section 
3004(b) of this Act, the Secretary of the Treasury shall take 
action to initiate bilateral currency negotiations on an 
expedited basis with such foreign country.

SEC. 1125.\19\ REPORTS ON NEGOTIATIONS TO ELIMINATE WINE TRADE 
                    BARRIERS.

  Before the close of the 13-month period beginning on the date 
of the enactment of this Act, the President shall update each 
report that the President submitted to the Committee on Ways 
and Means and the Committee on Finance under section 905(b) of 
the Wine Equity and Export Expansion Act of 1984 (19 U.S.C. 
2804) and submit the updated report to both of such committees. 
Each updated report shall contain, with respect to the major 
wine trading country concerned--
---------------------------------------------------------------------------
    \19\ 19 U.S.C. 2804 note.
---------------------------------------------------------------------------
          (1) a description of each tariff or nontariff barrier 
        to (or other distortion of) trade in United States wine 
        of that country with respect to which the United States 
        Trade Representative has carried out consultations 
        since the report required under such section 905(b) was 
        submitted;
          (2) the status of the consultations described under 
        paragraph (1); and
          (3) information, explanations, and recommendations of 
        the kind referred to in paragraph (1) (C), (D), and (E) 
        of such section 905(b) that are based on developments 
        (including the taking of relevant actions, if any, of a 
        kind not contemplated at the time of the enactment of 
        such 1984 Act) since the submission of the report 
        required under such section.

      Subtitle B--Implementation of the Harmonized Tariff Schedule

SEC. 1201.\20\ PURPOSES.

  The purposes of this subtitle are--
---------------------------------------------------------------------------
    \20\ 19 U.S.C. 3001.
---------------------------------------------------------------------------
          (1) to approve the International Convention on the 
        Harmonized Commodity Description and Coding System;
          (2) to implement in United States law the 
        nomenclature established internationally by the 
        Convention; and
          (3) to provide that the Convention shall be treated 
        as a trade agreement obligation of the United States.

SEC. 1202.\21\ DEFINITIONS.

  As used in this subtitle:
---------------------------------------------------------------------------
    \21\ 19 U.S.C. 3002.
---------------------------------------------------------------------------
          (1) The term ``Commission'' means the United States 
        International Trade Commission.
          (2) The term ``Convention'' means the International 
        Convention on the Harmonized Commodity Description and 
        Coding System, done at Brussels on June 14, 1983, and 
        the Protocol thereto, done at Brussels on June 24, 
        1986, submitted to the Congress on June 15, 1987.
          (3) The term ``entered'' means entered, or withdrawn 
        from warehouse for consumption, in the customs 
        territory of the United States.
          (4) The term ``Federal agency'' means any 
        establishment in the executive branch of the United 
        States Government.
          (5) The term ``old Schedules'' means title I of the 
        Tariff Act of 1930 (19 U.S.C. 1202) as in effect on the 
        day before the effective date of the amendment to such 
        title under section 1204(a).
          (6) The term ``technical rectifications'' means 
        rectifications of an editorial character or minor 
        technical or clerical changes which do not affect the 
        substance or meaning of the text, such as--
                  (A) errors in spelling, numbering, or 
                punctuation;
                  (B) errors in indentation;
                  (C) errors (including inadvertent omissions) 
                in cross-references to headings or subheadings 
                or notes; and
                  (D) other clerical or typographical errors.

SEC. 1203.\22\ CONGRESSIONAL APPROVAL OF UNITED STATES ACCESSION TO THE 
                    CONVENTION.

    (a) Congressional Approval.--The Congress approves the 
accession by the United States of America to the Convention.
---------------------------------------------------------------------------
    \22\ 19 U.S.C. 3003.
---------------------------------------------------------------------------
  (b) Acceptance of the Final Legal Text of the Convention by 
the President.--The President may accept for the United States 
the final legal instruments embodying the Convention. The 
President shall submit a copy of each final instrument to the 
Congress on the date it becomes available.
  (c) Unspecified Private Remedies Not Created.--Neither the 
entry into force with respect to the United States of the 
Convention nor the enactment of this subtitle may be construed 
as creating any private right of action or remedy for which 
provision is not explicitly made under this subtitle or under 
other laws of the United States.
  (d) Termination.--The provisions of section 125(a) of the 
Trade Act of 1974 (19 U.S.C. 2135(a)) do not apply to the 
Convention.

SEC. 1204.\23\ ENACTMENT OF THE HARMONIZED TARIFF SCHEDULE.

    (a) In General.--The Tariff Act of 1930 is amended by 
striking out title I and inserting a new title I entitled 
``Title I--Harmonized Tariff Schedule of the United States'' 
(hereinafter in this subtitle referred to as the ``Harmonized 
Tariff Schedule'') which--
---------------------------------------------------------------------------
    \23\ 19 U.S.C. 3004.
---------------------------------------------------------------------------
          (1) consists of--
                  (A) the General Notes;
                  (B) the General Rules of Interpretation;
                  (C) the Additional U.S. Rules of 
                Interpretation;
                  (D) sections I to XXII, inclusive 
                (encompassing chapters 1 to 99, and including 
                all section and chapter notes, article 
                provisions, and tariff and other treatment 
                accorded thereto); and
                  (E) the Chemical Appendix to the Harmonized 
                Tariff Schedule;
        all conforming to the nomenclature of the Convention 
        and as set forth in Publication No. 2030 of the 
        Commission entitled ``Harmonized Tariff Schedule of the 
        United States Annotated for Statistical Reporting 
        Purposes'' and Supplement No. 1 thereto; but
          (2) does not include the statistical annotations, 
        notes, annexes, suffixes, check digits, units of 
        quantity, and other matters formulated under section 
        484(e) of the Tariff Act of 1930 (19 U.S.C. 1484(e)), 
        nor the table of contents, footnotes, index, and other 
        matters inserted for ease of reference, that are 
        included in such Publication No. 2030 or Supplement No. 
        1. thereto.
  (b) Modifications to the Harmonized Tariff Schedule.--At the 
earliest practicable date after the date of the enactment of 
the Omnibus Trade and Competitiveness Act of 1988, the 
President shall--
          (1) proclaim such modifications to the Harmonized 
        Tariff Schedule as are consistent with the standards 
        applied in converting the old Schedules into the format 
        of the Convention, as reflected in such Publication No. 
        2030 and Supplement No. 1. thereto, and as are 
        necessary or appropriate to implement--
                  (A) the future outstanding staged rate 
                reductions authorized by the Congress in--
                          (i) the Trade Act of 1974 (19 U.S.C. 
                        2101 et seq.) and the Trade Agreements 
                        Act of 1979 (19 U.S.C. 2501 et seq.) to 
                        reflect the tariff reductions that 
                        resulted from the Tokyo Round of 
                        multilateral trade negotiations, and
                          (ii) the United States-Israel Free 
                        Trade Area Implementation Act of 1985 
                        (19 U.S.C. 1202 note) to reflect the 
                        tariff reduction resulting from the 
                        United States-Israel Free Trade Area 
                        Agreement,
                  (B) the applicable provisions of--
                          (i) statutes enacted,
                          (ii) executive actions taken, and
                          (iii) final judicial decisions 
                        rendered,
                after January 1, 1988, and before the effective 
                date of the Harmonized Tariff Schedule, and
                  (C) such technical rectifications as the 
                President considers necessary; and
          (2) take such action as the President considers 
        necessary to bring trade agreements to which the United 
        States is a party into conformity with the Harmonized 
        Tariff Schedule.
  (c) Status of the Harmonized Tariff Schedule.--
          (1) The following shall be considered to be statutory 
        provisions of law for all purposes:
                  (A) The provisions of the Harmonized Tariff 
                Schedule as enacted by this subtitle.
                  (B) Each statutory amendment to the 
                Harmonized Tariff Schedule.
                  (C) Each modification or change made to the 
                Harmonized Tariff Schedule by the President 
                under authority of law (including section 604 
                of the Trade Act of 1974).
          (2) Neither the enactment of this subtitle nor the 
        subsequent enactment of any amendment to the Harmonized 
        Tariff Schedule, unless such subsequent enactment 
        otherwise provides, may be construed as limiting the 
        authority of the President--
                  (A) to effect the import treatment necessary 
                or appropriate to carry out, modify, withdraw, 
                suspend, or terminate, in whole or in part, 
                trade agreements; or
                  (B) to take such other actions through the 
                modification, continuance, or imposition of any 
                rate of duty or other import restriction as may 
                be necessary or appropriate under the authority 
                of the President.
          (3) If a rate of duty established in column 1 by the 
        President by proclamation or Executive order is higher 
        than the existing rate of duty in column 2, the 
        President may by proclamation or Executive order 
        increase such existing rate to the higher rate.
          (4) If a rate of duty is suspended or terminated by 
        the President by proclamation or Executive order and 
        the proclamation or Executive order does not specify 
        the rate that is to apply in lieu of the suspended or 
        terminated rate, the last rate of duty that applied 
        prior to the suspended or terminated rate shall be the 
        effective rate of duty.
  (d) Interim Informational Use of Harmonized Tariff Schedule 
Classifications.--Each--
          (1) proclamation issued by the President;
          (2) public notice issued by the Commission or other 
        Federal agency; and
          (3) finding, determination, order, recommendation, or 
        other decision made by the Commission or other Federal 
        agency;
during the period between the date of the enactment of the 
Omnibus Trade and Competitiveness Act of 1988 and the effective 
date of the Harmonized Tariff Schedule shall, if the 
proclamation, notice, or decision contains a reference to the 
tariff classification of any article, include, for 
informational purposes, a reference to the classification of 
that article under the Harmonized Tariff Schedule.

SEC. 1205.\24\ COMMISSION REVIEW OF, AND RECOMMENDATIONS REGARDING, THE 
                    HARMONIZED TARIFF SCHEDULE.

    (a) In General.--The Commission shall keep the Harmonized 
Tariff Schedule under continuous review and periodically, at 
such time as amendments to the Convention are recommended by 
the Customs Cooperation Council for adoption, and as other 
circumstances warrant, shall recommend to the President such 
modifications in the Harmonized Tariff Schedule as the 
Commission considers necessary or appropriate--
---------------------------------------------------------------------------
    \24\ 19 U.S.C. 3005.
---------------------------------------------------------------------------
          (1) to conform the Harmonized Tariff Schedule with 
        amendments made to the Convention;
          (2) to promote the uniform application of the 
        Convention and particularly the Annex thereto;
          (3) to ensure that the Harmonized Tariff Schedule is 
        kept up-to-date in light of changes in technology or in 
        patterns of international trade;
          (4) to alleviate unnecessary administrative burdens; 
        and
          (5) to make technical rectifications.
  (b) Agency and Public Views Regarding Recommendations.--In 
formulating recommendations under subsection (a), the 
Commission shall solicit, and give consideration to, the views 
of interested Federal agencies and the public. For purposes of 
obtaining public views, the Commission--
          (1) shall give notice of the proposed recommendations 
        and afford reasonable opportunity for interested 
        parties to present their views in writing; and
          (2) may provide for a public hearing.
  (c) Submission of Recommendations.--The Commission shall 
submit recommendations under this section to the President in 
the form of a report that shall include a summary of the 
information on which the recommendations were based, together 
with a statement of the probable economic effect of each 
recommended change on any industry in the United States. The 
report also shall include a copy of all written views submitted 
by interested Federal agencies and a copy or summary, prepared 
by the Commission, of the views of all other interested 
parties.
  (d) Requirements Regarding Recommendations.--The Commission 
may not recommend any modification to the Harmonized Tariff 
Schedule unless the modification meets the following 
requirements:
          (1) The modification must--
                  (A) be consistent with the Convention or any 
                amendment thereto recommended for adoption;
                  (B) be consistent with sound nomenclature 
                principles; and
                  (C) ensure substantial rate neutrality.
          (2) Any change to a rate of duty must be consequent 
        to, or necessitated by, nomenclature modifications that 
        are recommended under this section.
          (3) The modification must not alter existing 
        conditions of competition for the affected United 
        States industry, labor, or trade.

SEC. 1206.\25\ PRESIDENTIAL ACTION ON COMMISSION RECOMMENDATIONS.

    (a) In General.--The President may proclaim modifications, 
based on the recommendations by the Commission under section 
1205, to the Harmonized Tariff Schedule if the President 
determines that the modifications--
---------------------------------------------------------------------------
    \25\ 19 U.S.C. 3006.
---------------------------------------------------------------------------
          (1) are in conformity with United States obligations 
        under the Convention; and
          (2) do not run counter to the national economic 
        interest of the United States.
  (b) \26\ Lay-Over Period.--
---------------------------------------------------------------------------
    \26\ Reporting requirements vested in the President in subsec. (b) 
were delegated to the U.S. Trade Representative in a Presidential 
memorandum of Dec. 12, 1991 (56 F.R. 65413; Dec. 16, 1991).
---------------------------------------------------------------------------
          (1) The President may proclaim a modification under 
        subsection (a) only after the expiration of the 60-day 
        period beginning on the date on which the President 
        submits a report to the Committee on Ways and Means of 
        the House of Representatives and the Committee on 
        Finance of the Senate that sets forth the proposed 
        modification and the reasons therefor.
          (2) The 60-day period referred to in paragraph (1) 
        shall be computed by excluding--
                  (A) the days on which either House is not in 
                session because of an adjournment of more than 
                3 days to a day certain or an adjournment of 
                the Congress sine die; and
                  (B) any Saturday and Sunday, not excluded 
                under subparagraph (A), when either House is 
                not in session.
  (c) Effective Date of Modifications.--Modifications 
proclaimed by the President under subsection (a) may not take 
effect before the 15th day after the date on which the text of 
the proclamation is published in the Federal Register.

SEC. 1207.\27\ PUBLICATION OF THE HARMONIZED TARIFF SCHEDULE.

    (a) In General.--The Commission shall compile and publish, 
at appropriate intervals, and keep up to date the Harmonized 
Tariff Schedule and related information in the form of printed 
copy; and, if, in its judgment, such format would serve the 
public interest and convenience--
---------------------------------------------------------------------------
    \27\ 19 U.S.C. 3007.
---------------------------------------------------------------------------
          (1) in the form of microfilm images; or
          (2) in the form of electronic media.
  (b) Content.--Publications under subsection (a), in whatever 
format, shall contain--
          (1) the then current Harmonized Tariff Schedule;
          (2) statistical annotations and related statistical 
        information formulated under section 484(f) of the 
        Tariff Act of 1930 (19 U.S.C. 1484(f)); and \28\
---------------------------------------------------------------------------
    \28\ Sec. 21(e)(10) of Public Law 104-295 (110 Stat. 3531) struck 
out ``484(e)'' and ``1484(e)'' and inserted in lieu thereof ``484(f)'' 
and ``1484(f)''.
---------------------------------------------------------------------------
          (3) such other matters as the Commission considers to 
        be necessary or appropriate to carry out the purposes 
        enumerated in the Preamble to the Convention.

SEC. 1208.\29\ IMPORT AND EXPORT STATISTICS.

  The Secretary of Commerce shall compile, and make publicly 
available, the import and export trade statistics of the United 
States. Such statistics shall be conformed to the nomenclature 
of the Convention.
---------------------------------------------------------------------------
    \29\ 19 U.S.C. 3008.
---------------------------------------------------------------------------

SEC. 1209.\30\ COORDINATION OF TRADE POLICY AND THE CONVENTION.

  The United States Trade Representative is responsible for 
coordination of United States trade policy in relation to the 
Convention. Before formulating any United States position with 
respect to the Convention, including any proposed amendments 
thereto, the United States Trade Representative shall seek, and 
consider, information and advice from interested parties in the 
private sector (including a functional advisory committee) and 
from interested Federal agencies.
---------------------------------------------------------------------------
    \30\ 19 U.S.C. 3009.
---------------------------------------------------------------------------

SEC. 1210.\31\ UNITED STATES PARTICIPATION ON THE CUSTOMS COOPERATION 
                    COUNCIL REGARDING THE CONVENTION.

    (a) Principal United States Agencies.--
---------------------------------------------------------------------------
    \31\ 19 U.S.C. 3010.
---------------------------------------------------------------------------
          (1) Subject to the policy direction of the Office of 
        the United States Trade Representative under section 
        1209, the Department of the Treasury, the Department of 
        Commerce, and the Commission shall, with respect to the 
        activities of the Customs Cooperation Council relating 
        to the Convention--
                  (A) be primarily responsible for formulating 
                United States Government positions on technical 
                and procedural issues; and
                  (B) represent the United States Government.
          (2) The Department of Agriculture and other 
        interested Federal agencies shall provide to the 
        Department of the Treasury, the Department of Commerce, 
        and the Commission technical advice and assistance 
        relating to the functions referred to in paragraph (1).
  (b) Development of Technical Proposals.--
          (1) In connection with responsibilities arising from 
        the implementation of the Convention and under section 
        484(f) of the Tariff Act of 1930 (19 U.S.C. 1484(f)) 
        \32\ regarding United States programs for the 
        development of adequate and comparable statistical 
        information on merchandise trade, the Secretary of the 
        Treasury, the Secretary of Commerce, and the Commission 
        shall prepare technical proposals that are appropriate 
        or required to assure that the United States 
        contribution to the development of the Convention 
        recognizes the needs of the United States business 
        community for a Convention which reflects sound 
        principles of commodity identification, modern 
        producing methods, and current trading patterns and 
        practices.
---------------------------------------------------------------------------
    \32\ Sec. 21(e)(10) of Public Law 104-295 (110 Stat. 3531) struck 
out ``484(e)'' and ``1484(e)'' and inserted in lieu thereof ``484(f)'' 
and ``1484(f)''.
---------------------------------------------------------------------------
          (2) In carrying out this subsection, the Secretary of 
        the Treasury, the Secretary of Commerce, and the 
        Commission shall--
                  (A) solicit and consider the views of 
                interested parties in the private sector 
                (including a functional advisory committee) and 
                of interested Federal agencies;
                  (B) establish procedures for reviewing, and 
                developing appropriate responses to, inquiries 
                and complaints from interested parties 
                concerning articles produced in and exported 
                from the United States; and
                  (C) where appropriate, establish procedures 
                for--
                          (i) ensuring that the dispute 
                        settlement provisions and other 
                        relevant procedures available under the 
                        Convention are utilized to promote 
                        United States export interests, and
                          (ii) submitting classification 
                        questions to the Harmonized System 
                        Committee of the Customs Cooperation 
                        Council.
  (c) Availability of Customs Cooperation Council 
Publications.--As soon as practicable after the date of the 
enactment of the Omnibus Trade and Competitiveness Act of 1988, 
and periodically thereafter as appropriate, the Commission 
shall see to the publication of--
          (1) summary records of the Harmonized System 
        Committee of the Customs Cooperation Council; and
          (2) subject to applicable copyright laws, the 
        Explanatory Notes, Classification Opinions, and other 
        instruments of the Customs Cooperation Council relating 
        to the Convention.

SEC. 1211.\33\ TRANSITION TO THE HARMONIZED TARIFF SCHEDULE.

    (a) Existing Executive Actions.--
---------------------------------------------------------------------------
    \33\ 19 U.S.C. 3011.
---------------------------------------------------------------------------
          (1) The appropriate officers of the United States 
        Government shall take whatever actions are necessary to 
        conform, to the fullest extent practicable, with the 
        tariff classification system of the Harmonized Tariff 
        Schedule all proclamations, regulations, rulings, 
        notices, findings, determinations, orders, 
        recommendations, and other written actions that--
                  (A) are in effect on the day before the 
                effective date of the Harmonized Tariff 
                Schedule; and
                  (B) contain references to the tariff 
                classification of articles under the old 
                Schedules.
          (2) Neither the repeal of the old Schedules, nor the 
        failure of any officer of the United States Government 
        to make the conforming changes required under paragraph 
        (1), shall affect to any extent the validity or effect 
        of the proclamation, regulation, ruling, notice, 
        finding, determination, order, recommendation, or other 
        action referred to in paragraph (1).
  (b) Generalized System of Preferences Conversion.--
          (1) The review of the proposed conversion of the 
        Generalized System of Preferences program to the 
        Convention tariff nomenclature, initiated by the Office 
        of the United States Trade Representative by notice 
        published in the Federal Register on December 8, 1986 
        (at page 44,163 of volume 51 thereof), shall be treated 
        as satisfying the requirements of sections 503(a) and 
        504(c)(3) of the Trade Act of 1974 (as in effect on 
        July 31, 1995).\34\
---------------------------------------------------------------------------
    \34\ Sec. 1954(a)(1)(A) of Public Law 104-188 (110 Stat. 1927) 
struck out ``(19 U.S.C. 2463(a), 2464(c)(3))'' and inserted in lieu 
thereof ``(as in effect on July 31, 1995)''.
---------------------------------------------------------------------------
          (2) In applying section 504(c)(1) of the Trade Act of 
        1974 (as in effect on July 31, 1995) \35\ for calendar 
        year 1989, the reference in such section to July 1 
        shall be treated as a reference to September 1.
---------------------------------------------------------------------------
    \35\ Sec. 1954(a)(1)(A) of Public Law 104-188 (110 Stat. 1927) 
struck out ``(19 U.S.C. 2464(c)(1))'' and inserted in lieu thereof 
``(as in effect on July 31, 1995)''.
---------------------------------------------------------------------------
  (c) Import Restrictions Under the Agricultural Adjustment 
Act.--
          (1) Whenever the President determines that the 
        conversion of an import restriction proclaimed under 
        section 22 of the Agricultural Adjustment Act (7 U.S.C. 
        624) from part 3 of the Appendix to the old Schedules 
        to subchapter IV of chapter 99 of the Harmonized Tariff 
        Schedule results in--
                  (A) an article that was previously subject to 
                the restriction being excluded from the 
                restriction; or
                  (B) an article not previously subject to the 
                restriction being included within the 
                restriction;
        the President may proclaim changes in subchapter IV of 
        chapter 99 of the Harmonized Tariff Schedule to conform 
        that subchapter to the fullest extent possible to part 
        3 of the Appendix to the old Schedules.
          (2) Whenever the President determines that the 
        conversion from headnote 2 of subpart A of part 10 of 
        schedule 1 of the old Schedules to Additional U.S. Note 
        2, chapter 17, of the Harmonized Tariff Schedule 
        results in--
                  (A) an article that was previously covered by 
                such headnote being excluded from coverage; or
                  (B) an article not previously covered by such 
                headnote being included in coverage;
        the President may proclaim changes in Additional U.S. 
        Note 2, chapter 17 of the Harmonized Tariff Schedule to 
        conform that note to the fullest extent possible to 
        headnote 2 of subpart A of part 10 of schedule 1 of the 
        old Schedules.
          (3) No change to the Harmonized Tariff Schedule may 
        be proclaimed under paragraph (1) or (2) after June 30, 
        1990.
  (d) Certain Protests and Petitions Under the Customs Law.--
          (1)(A) This subtitle may not be considered to divest 
        the courts of jurisdiction over--
                  (i) any protest filed under section 514 of 
                the Tariff Act of 1930 (19 U.S.C. 1514); or
                  (ii) any petition by an American 
                manufacturer, producer, or wholesaler under 
                section 516 of such Act (19 U.S.C. 1516);
        covering articles entered before the effective date of 
        the Harmonized Tariff Schedule.
          (B) Nothing in this subtitle shall affect the 
        jurisdiction of the courts with respect to articles 
        entered after the effective date of the Harmonized 
        Tariff Schedule.
          (2)(A) If any protest or petition referred to in 
        paragraph (1)(A) is sustained in whole or in part by a 
        final judicial decision, the entries subject to that 
        protest or petition and made before the effective date 
        of the Harmonized Tariff Schedule shall be liquidated 
        or reliquidated, as appropriate, in accordance with 
        such final judicial decision under the old Schedules.
          (B) At the earliest practicable date after the 
        effective date of the Harmonized Tariff Schedule, the 
        Commission shall initiate an investigation under 
        section 332 of the Tariff Act of 1930 (19 U.S.C. 1332) 
        of those final judicial decisions referred to in 
        subparagraph (A) that--
                  (i) are published during the 2-year period 
                beginning on February 1, 1988; and
                  (ii) would have affected tariff treatment if 
                they had been published during the period of 
                the conversion of the old Schedules into the 
                format of the Convention.
        No later than September 1, 1990, the Commission shall 
        report the results of the investigation to the 
        President, the Committee on Ways and Means, and the 
        Committee on Finance, and shall recommend those changes 
        to the Harmonized Tariff Schedule that the Commission 
        would have recommended if the final decisions concerned 
        had been made before the conversion into the format of 
        the Convention occurred.
          (3) The President shall review all changes 
        recommended by the Commission under paragraph (2)(B) 
        and shall, as soon as practicable, proclaim such of 
        those changes, if any, which he decides are necessary 
        or appropriate to conform such Schedule to the final 
        judicial decisions. Any such change shall be effective 
        with respect to--
                  (A) entries made on or after the date of such 
                proclamation; and
                  (B) entries made on or after the effective 
                date of the Harmonized Tariff Schedule if, 
                notwithstanding section 514 of the Tariff Act 
                of 1930 (19 U.S.C. 1514), application for 
                liquidation or reliquidation thereof is made by 
                the importer to the customs officer concerned 
                within 180 days after the effective date of 
                such proclamation.
          (4) If any protest or petition referred to in 
        paragraph (1)(A) is not sustained in whole or in part 
        by a final judicial decision, the entries subject to 
        that petition or protest and made before the effective 
        date of the Harmonized Tariff Schedule shall be 
        liquidated or reliquidated, as appropriate, in 
        accordance with the final judicial decision under the 
        old Schedules.

SEC. 1212.\36\ REFERENCE TO THE HARMONIZED TARIFF SCHEDULE.

  Any reference in any law to the ``Tariff Schedules of the 
United States'', ``the Tariff Schedules'', ``such Schedules'', 
and any other general reference that clearly refers to the old 
Schedules shall be treated as a reference to the Harmonized 
Tariff Schedule.
---------------------------------------------------------------------------
    \36\ 19 U.S.C. 3012.
---------------------------------------------------------------------------
          * * * * * * *

SEC. 1216.\37\ COMMISSION REPORT ON OPERATION OF SUBTITLE.

  The Commission, in consultation with other appropriate 
Federal agencies, shall prepare, and submit to the Congress and 
to the President, a report regarding the operation of this 
subtitle during the 12-month period commencing on the effective 
date of the Harmonized Tariff Schedule. The report shall be 
submitted to the Congress and to the President before the close 
of the 6-month period beginning on the day after the last day 
of such 12-month period.
---------------------------------------------------------------------------
    \37\ 19 U.S.C. 3005 note.
---------------------------------------------------------------------------

SEC. 1217.\38\ EFFECTIVE DATES.

    (a) Accession to Convention and Provisions Other Than the 
Implementation of the Harmonized Tariff Schedule.--Except as 
provided in subsection (b), the provisions of this subtitle 
take effect on the date of the enactment of the Omnibus Trade 
and Competitiveness Act of 1988.
---------------------------------------------------------------------------
    \38\ 19 U.S.C. 3001 note.
---------------------------------------------------------------------------
  (b) Implementation of the Harmonized Tariff Schedule.--The 
effective date of the Harmonized Tariff Schedule is January 1, 
1989. On such date--
          (1) the amendments made by sections 1204(a), 1213, 
        1214, and 1215 take effect and apply with respect to 
        articles entered on or after such date; and
          (2) sections 1204(c), 1211, and 1212 take effect.

      Subtitle C--Response to Unfair International Trade Practices

PART 1--ENFORCEMENT OF UNITED STATES RIGHTS UNDER TRADE AGREEMENTS AND 
              RESPONSE TO CERTAIN FOREIGN TRADE PRACTICES

          * * * * * * *

SEC. 1303. IDENTIFICATION OF COUNTRIES THAT DENY ADEQUATE AND EFFECTIVE 
                    PROTECTION OF INTELLECTUAL PROPERTY RIGHTS.

  (a) Findings and Purpose.--
          (1) The Congress finds that--
                  (A) international protection of intellectual 
                property rights is vital to the international 
                competitiveness of United States persons that 
                rely on protection of intellectual property 
                rights; and
                  (B) the absence of adequate and effective 
                protection of United States intellectual 
                property rights, and the denial of fair and 
                equitable market access, seriously impede the 
                ability of the United States persons that rely 
                on protection of intellectual property rights 
                to export and operate overseas, thereby harming 
                the economic interests of the United States.
          (2) The purpose of this section is to provide for the 
        development of an overall strategy to ensure adequate 
        and effective protection of intellectual property 
        rights and fair and equitable market access for United 
        States persons that rely on protection of intellectual 
        property rights.
    (b) \39\ * * *
---------------------------------------------------------------------------
    \39\ Subsec. (b) added a new sec. 182 to chapter 8 of title I of 
the Trade Act of 1974 (Public Law 93-618; 19 U.S.C. 2242).
---------------------------------------------------------------------------
          * * * * * * *

SEC. 1305. INVESTIGATION OF BARRIERS IN JAPAN TO CERTAIN UNITED STATES 
                    SERVICES.

  The United States Trade Representative shall, within 90 days 
after the date of enactment of this Act, initiate an 
investigation under section 302 of the Trade Act of 1974 
regarding those acts, policies, and practices of the Government 
of Japan, and of entities owned, financed, or otherwise 
controlled by the Government of Japan, that are barriers in 
Japan to the offering or performance by United States persons 
of architectural, engineering, construction, and consulting 
services in Japan.

SEC. 1306. TRADE AND ECONOMIC RELATIONS WITH JAPAN.

  (a) Findings.--The Congress finds that--
          (1) the United States is at a critical juncture in 
        bilateral relations with Japan;
          (2) the balance of trade between the United States 
        and Japan has deteriorated steadily from an already 
        large United States deficit of $10,400,000,000 in 1980 
        to an unprecedented United States deficit of 
        $57,700,000,000 in 1987, a magnitude that is simply 
        untenable;
          (3) approximately 90 percent of the increase in total 
        trade between the United States and Japan since 1980 
        has been in Japanese exports to the United States;
          (4) United States exports to Japan have not 
        significantly benefited from appreciation of the yen;
          (5) the United States deficit in the balance of trade 
        in manufactured goods is growing: in 1987 Japan 
        exported $82,500,000,000 of manufactured goods to the 
        United States, while the United States exported 
        $14,600,000,000 in manufactured goods;
          (6) Japan accounts for 49 percent of the worldwide 
        deficit of the United States in the balance of trade in 
        manufactured goods, calculated on a customs basis;
          (7) our trade and economic relations with Japan are 
        complex and cannot be effectively resolved through 
        narrow sector-by-sector negotiations;
          (8) a major problem between the United States and 
        Japan is the absence of a political will in Japan to 
        import; and
          (9) meaningful negotiations must take place at the 
        highest level, at a special summit of political leaders 
        from both countries.
  (b) Sense of the Congress.--
          (1) It is the sense of the Congress that the 
        President should propose to the Japanese Prime Minister 
        that a special summit be held between the leaders of 
        the United States and Japan for the purpose of--
                  (A) addressing trade and economic issues, and
                  (B) establishing--
                          (i) an agreement that provides 
                        objectives for improvement in trade and 
                        economic relations, and
                          (ii) targets for achieving these 
                        objectives.
          (2) The delegation of the United States to the summit 
        meeting described in subsection (a) should include--
                  (A) Members of Congress from both political 
                parties, and
                  (B) appropriate officers of the executive 
                branch of the United States Government.
          (3) The delegation of Japan to the summit meeting 
        described in subsection (a) should include--
                  (A) representatives of all political parties 
                in Japan, and
                  (B) appropriate officers of the Government of 
                Japan.

SEC. 1307. SUPERCOMPUTER TRADE DISPUTE.

  (a) Findings.--The Congress finds that--
          (1) United States manufacturers of supercomputers 
        have encountered significant obstacles in selling 
        supercomputers in Japan, particularly to government 
        agencies and universities;
          (2) Japanese government procurement policies and 
        pricing practices have denied United States 
        manufacturers access to the Japanese supercomputer 
        market;
          (3) it has been reported that officials of the 
        Ministry of International Trade and Industry of Japan 
        have told United States Government officials that 
        Japanese government agencies and universities do not 
        intend to purchase supercomputers from United States 
        manufacturers, or take steps to improve access for 
        United States manufacturers;
          (4) the United States Government in August 1987 
        signed an agreement with the Government of Japan 
        establishing procedures for the procurement of United 
        States supercomputers by the Government of Japan;
          (5) concern remains as to implementation of the 
        procurement agreement by the Government of Japan;
          (6) there have been allegations that Japanese 
        manufacturers of supercomputers have been offering 
        supercomputers at drastically discounted prices in the 
        markets of the United States, Japan, and other 
        countries;
          (7) deep price discounting raises the concern that 
        Japan's large-scale vertically integrated manufacturers 
        of supercomputers have targeted the supercomputer 
        industry with the objective of eventual domination of 
        the global computer market; and
          (8) the supercomputer industry plays a central role 
        in the technological competitiveness and national 
        security of the United States.
  (b) Sense of Congress.--It is the sense of the Congress that 
the United States Trade Representative and other appropriate 
officials of the United States Government should--
          (1) give the highest priority to concluding and 
        enforcing agreements with the Government of Japan which 
        achieve improved market access for United States 
        manufacturers of supercomputers and end any predatory 
        pricing activities of Japanese companies in the United 
        States, Japan, and other countries; and
          (2) continue to monitor the efforts of United States 
        manufacturers of supercomputers to gain access to the 
        Japanese market, recognizing that the Government of 
        Japan may continue to manipulate the government 
        procurement process to maintain the market dominance of 
        Japanese manufacturers.

     PART 2--IMPROVEMENT IN THE ENFORCEMENT OF THE ANTIDUMPING AND 
                        COUNTERVAILING DUTY LAWS

SEC. 1311. REFERENCE TO TITLE VII OF THE TARIFF ACT OF 1930.

  Unless otherwise provided, whenever in this part an amendment 
or repeal is expressed in terms of an amendment to, or repeal 
of, a subtitle, section, subsection, or other provision, the 
reference shall be considered to be made to a subtitle, 
section, subsection, or other provision of title VII of the 
Tariff Act of 1930 (19 U.S.C. 1671 et seq.).
          * * * * * * *

SEC. 1317.\40\ THIRD-COUNTRY DUMPING.

    (a) Definitions.--For purposes of this section:
---------------------------------------------------------------------------
    \40\ 19 U.S.C. 1677k.
---------------------------------------------------------------------------
          (1)(A) \41\ The term ``Agreement'' means the 
        Agreement on Implementation of Article VI of the GATT 
        1994 (relating to antidumping measures).
---------------------------------------------------------------------------
    \41\ Sec. 621(a)(1) of Public Law 103-465 (108 Stat. 4992) inserted 
``(A)'' after ``(1)'', struck out ``General Agreement of Tariffs and 
Trade'' and inserted in lieu thereof ``GATT 1994'', and added subpara. 
(B).
---------------------------------------------------------------------------
          (B) \41\ the term ``GATT 1994'' has the meaning given 
        that term in section 2(1)(B) of the Uruguay Round 
        Agreements Act.
          (2) The term ``Agreement country'' means a foreign 
        country that has accepted the Agreement.
          (3) The term ``Trade Representative'' means the 
        United States Trade Representative.
  (b) Petition by Domestic Industry.--
          (1) A domestic industry that produces a product that 
        is like or directly competitive with merchandise 
        produced by a foreign country (whether or not an 
        Agreement country) may, if it has reason to believe 
        that--
                  (A) such merchandise is being dumped in an 
                Agreement country; and
                  (B) such domestic industry is being 
                materially injured, or threatened with material 
                injury, by reason of such dumping;
        submit a petition to the Trade Representative that 
        alleges the elements referred to in subparagraphs (A) 
        and (B) and requests the Trade Representative to take 
        action under subsection (c) on behalf of the domestic 
        industry.
          (2) A petition submitted under paragraph (1) shall 
        contain such detailed information as the Trade 
        Representative may require in support of the 
        allegations in the petition.
  (c) Application for Antidumping Action on Behalf of the 
Domestic Industry.--
          (1) If the Trade Representative, on the basis of the 
        information contained in a petition submitted under 
        paragraph (1), determines that there is a reasonable 
        basis for the allegations in the petition, the Trade 
        Representative shall submit to the appropriate 
        authority of the Agreement country where the alleged 
        dumping is occurring an application pursuant to Article 
        12 of the Agreement which requests that appropriate 
        antidumping action under the law of that country be 
        taken, on behalf of the United States, with respect to 
        imports into that country of the merchandise concerned.
          (2) At the request of the Trade Representative, the 
        appropriate officers of the Department of Commerce and 
        the United States International Trade Commission shall 
        assist the Trade Representative in preparing the 
        application under paragraph (1).
  (d) Consultation After Submission of Application.--After 
submitting an application under subsection (c)(1), the Trade 
Representative shall seek consultations with the appropriate 
authority of the Agreement country regarding the request for 
antidumping action.
  (e) Action Upon Refusal of Agreement Country to Act.--If the 
appropriate authority of an Agreement country refuses to 
undertake antidumping measures in response to a request made 
therefor by the Trade Representative under subsection (c), the 
Trade Representative shall promptly consult with the domestic 
industry on whether action under any other law of the United 
States is appropriate.
          * * * * * * *

SEC. 1336. STUDIES.

  (a) Study of Market Orientation of China.--The Secretary of 
Commerce, in consultation with the heads of other appropriate 
Federal agencies, shall undertake a study regarding the new 
market orientation of the People's Republic of China. The study 
shall address, but not be limited to--
          (1) the effect of the new orientation on Chinese 
        market policies and price structure, and the 
        relationship between domestic Chinese prices and world 
        prices;
          (2) the extent to which United States trade law 
        practices can accommodate the increased market 
        orientation of the Chinese economy; and
          (3) the possible need for changes in United States 
        antidumping laws as they apply to foreign countries, 
        such as China, which are in transition to a more 
        market-oriented economy.
The Secretary of Commerce shall submit to the Congress within 1 
year after the date of the enactment of this Act a report on 
the study required under this subsection.
  (b) Subsidies Code Commitments.--Within 90 days after the 
date of the enactment of this Act, the United States Trade 
Representative shall initiate a review of all bilateral subsidy 
commitments that have been entered into by foreign governments 
with the United States. The review shall include--
          (1) an evaluation of the extent to which the 
        commitments have been complied with;
          (2) with respect to those commitments found under 
        paragraph (1) not to have been complied with, an 
        estimate regarding when compliance is likely; and
          (3) recommendations regarding how compliance can be 
        improved.
The United States Trade Representative shall complete the 
review required under this subsection and submit a report 
thereon to the Committee on Ways and Means of the House of 
Representatives and the Committee on Finance of the Senate 
within 180 days after the date of the enactment of this Act.
          * * * * * * *

           PART 3--PROTECTION OF INTELLECTUAL PROPERTY RIGHTS

SEC. 1341.\42\ CONGRESSIONAL FINDINGS AND PURPOSES.

  (a) Findings.--The Congress finds that--
---------------------------------------------------------------------------
    \42\ 19 U.S.C. 1337 note.
---------------------------------------------------------------------------
          (1) United States persons that rely on protection of 
        intellectual property rights are among the most 
        advanced and competitive in the world; and
          (2) the existing protection under section 337 of the 
        Tariff Act of 1930 against unfair trade practices is 
        cumbersome and costly and has not provided United 
        States owners of intellectual property rights with 
        adequate protection against foreign companies violating 
        such rights.
  (b) Purpose.--The purpose of this part is to amend section 
337 of the Tariff Act of 1930 to make it a more effective 
remedy for the protection of United States intellectual 
property rights.

SEC. 1342. PROTECTION UNDER THE TARIFF ACT OF 1930.

  (a) * * *
  (b) * * *
  (c) Conforming Amendment.--The Act entitled ``An Act to limit 
the importation of products made, produced, processed, or mined 
under process covered by unexpired valid United States patents, 
and for other purposes'', approved July 2, 1940 (54 Stat. 724, 
19 U.S.C. 1337a), is repealed.
  (d) Effective Date.--
          (1)(A) Subject to subparagraph (B), the amendments 
        made by this section shall take effect on the date of 
        the enactment of this Act.
          (B) The United States International Trade Commission 
        is not required to apply the provision in section 
        337(e)(2) of the Tariff Act of 1930 (as amended by 
        subsection (a)(3) of this section) relating to the 
        posting of bonds until the earlier of--
                  (i) the 90th day after such date of 
                enactment; or
                  (ii) the day on which the Commission issues 
                interim regulations setting forth the 
                procedures relating to such posting.
          (2) Notwithstanding any provision of section 337 of 
        the Tariff Act of 1930, the United States International 
        Trade Commission may extend, by not more than 90 days, 
        the period within which the Commission is required to 
        make a determination in an investigation conducted 
        under such section 337 if--
                  (A) the Commission would, but for this 
                paragraph, be required to make such 
                determination before the 180th day after the 
                date of enactment of this Act; and
                  (B) the Commission finds that the 
                investigation is complicated.

                    PART 4--TELECOMMUNICATIONS TRADE

SEC. 1371.\43\ SHORT TITLE.

  This part may be cited as the ``Telecommunications Trade Act 
of 1988''.
---------------------------------------------------------------------------
    \43\ 19 U.S.C. 3101 note.
---------------------------------------------------------------------------

SEC. 1372.\44\ FINDINGS AND PURPOSES.

    (a) Findings.--The Congress finds that--
---------------------------------------------------------------------------
    \44\ 19 U.S.C. 3101.
---------------------------------------------------------------------------
          (1) rapid growth in the world market for 
        telecommunications products and services is likely to 
        continue for several decades;
          (2) the United States can improve prospects for--
                  (A) the growth of--
                          (i) United States exports of 
                        telecommunications products and 
                        services, and
                          (ii) export-related employment and 
                        consumer services in the United States, 
                        and
                  (B) the continuance of the technological 
                leadership of the United States,
        by undertaking a program to achieve an open world 
        market for trade in telecommunications products, 
        services, and investment;
          (3) most foreign markets for telecommunications 
        products, services, and investment are characterized by 
        extensive government intervention (including 
        restrictive import practices and discriminatory 
        procurement practices) which adversely affect United 
        States exports of telecommunications products and 
        services and United States investment in 
        telecommunications;
          (4) the open nature of the United States 
        telecommunications market, accruing from the 
        liberalization and restructuring of such market, has 
        contributed, and will continue to contribute, to an 
        increase in imports of telecommunications products and 
        a growing imbalance in competitive opportunities for 
        trade in telecommunications;
          (5) unless this imbalance is corrected through the 
        achievement of mutually advantageous market 
        opportunities for trade in telecommunications products 
        and services between the United States and foreign 
        countries, the United States should avoid granting 
        continued open access to the telecommunications 
        products and services of such foreign countries in the 
        United States market; and
          (6) the unique business conditions in the worldwide 
        market for telecommunications products and services 
        caused by the combination of deregulation and 
        divestiture in the United States, which represents a 
        unilateral liberalization of United States trade with 
        the rest of the world, and continuing government 
        intervention in the domestic industries of many other 
        countries create a need to make an exception in the 
        case of telecommunications products and services that 
        should not necessarily be a precedent for legislating 
        specific sectoral priorities in combating the closed 
        markets or unfair foreign trade practices of other 
        countries.
  (b) Purposes.--The purposes of this part are--
          (1) to foster the economic and technological growth 
        of, and employment in, the United States 
        telecommunications industry;
          (2) to secure a high quality telecommunications 
        network for the benefit of the people of the United 
        States;
          (3) to develop an international consensus in favor of 
        open trade and competition in telecommunications 
        products and services;
          (4) to ensure that countries which have made 
        commitments to open telecommunications trade fully 
        abide by those commitments; and
          (5) to achieve a more open world trading system for 
        telecommunications products and services through 
        negotiation and provision of mutually advantageous 
        market opportunities for United States 
        telecommunications exporters and their subsidiaries in 
        those markets in which barriers exist to free 
        international trade.

SEC. 1373.\45\ DEFINITIONS.

  For purposes of this part--
---------------------------------------------------------------------------
    \45\ 19 U.S.C. 3102.
---------------------------------------------------------------------------
          (1) The term ``Trade Representative'' means the 
        United States Trade Representative.
          (2) The term ``telecommunications product'' means--
                  (A) any paging devices provided for under 
                item 685.65 of such Schedules, and
                  (B) any article classified under any of the 
                following item numbers of such Schedules:

                    684.57      684.67      685.28      685.39
                    684.58      684.80      685.30      685.48
                    684.59      685.16      685.31      688.17
                    684.65      685.24      685.33      688.41
                    684.66      685.25      685.34      707.90.

SEC. 1374.\46\ INVESTIGATION OF FOREIGN TELECOMMUNICATIONS TRADE 
                    BARRIERS.

    (a) In General.--The Trade Representative shall conduct an 
investigation to identify priority foreign countries. Such 
investigation shall be concluded by no later than the date that 
is 5 months after the date of enactment of this Act.
---------------------------------------------------------------------------
    \46\ 19 U.S.C. 3103.
---------------------------------------------------------------------------
  (b) Factors To Be Taken Into Account.--In identifying 
priority foreign countries under subsection (a), the Trade 
Representative shall take into account, among other relevant 
factors--
          (1) the nature and significance of the acts, 
        policies, and practices that deny mutually advantageous 
        market opportunities to telecommunications products and 
        services of United States firms;
          (2) the economic benefits (actual and potential) 
        accruing to foreign firms from open access to the 
        United States market;
          (3) the potential size of the market of a foreign 
        country for telecommunications products and services of 
        United States firms;
          (4) the potential to increase United States exports 
        of telecommunications products and services, either 
        directly or through the establishment of a beneficial 
        precedent; and
          (5) measurable progress being made to eliminate the 
        objectionable acts, policies, or practices.
  (c) Revocations and Additional Identifications.--
          (1) The Trade Representative may at any time, after 
        taking into account the factors described in subsection 
        (b)--
                  (A) revoke the identification of any priority 
                foreign country that was made under this 
                section, or
                  (B) identify any foreign country as a 
                priority foreign country under this section,
        if information available to the Trade Representative 
        indicates that such action is appropriate.
          (2) The Trade Representative shall include in the 
        semiannual report submitted to the Congress under 
        section 309(3) of the Trade Act of 1974 a detailed 
        explanation of the reasons for the revocation under 
        paragraph (1) of this subsection of any identification 
        of any foreign country as a priority foreign country.
  (d) Report to Congress.--By no later than the date that is 30 
days after the date on which the investigation conducted under 
subsection (a) is completed, the United States Trade 
Representative shall submit a report on the investigation to 
the President and to appropriate committees of the Congress.

SEC. 1375.\47\ NEGOTIATIONS IN RESPONSE TO INVESTIGATION.

    (a) In General.--Upon--
---------------------------------------------------------------------------
    \47\ 19 U.S.C. 3104.
---------------------------------------------------------------------------
          (1) the date that is 30 days after the date on which 
        any foreign country is identified in the investigation 
        conducted under section 1374(a) as a priority foreign 
        country, and
          (2) the date on which any foreign country is 
        identified under section 1374(c)(1)(B) as a priority 
        foreign country,
the President shall enter into negotiations with such priority 
foreign country for the purpose of entering into a bilateral or 
multilateral trade agreement under part 1 of subtitle A which 
meets the specific negotiating objectives established by the 
President under subsection (b) for such priority foreign 
country.
  (b) Establishment of Specific Negotiating Objectives for Each 
Foreign Priority Country.--
          (1) The President shall establish such relevant 
        specific negotiating objectives on a country-by-country 
        basis as are necessary to meet the general negotiating 
        objectives of the United States under this section.
          (2)(A) The President may refine or modify specific 
        negotiating objectives for particular negotiations in 
        order to respond to circumstances arising during the 
        negotiating period, including--
                  (i) changed practices by the priority foreign 
                country,
                  (ii) tangible substantive developments in 
                multilateral negotiations,
                  (iii) changes in competitive positions, 
                technological developments, or
                  (iv) other relevant factors.
          (B) By no later than the date that is 30 days after 
        the date on which the President makes any modifications 
        or refinements to specific negotiating objectives under 
        subparagraph (A), the President shall submit to 
        appropriate committees of the Congress a statement 
        describing such modifications or refinements and the 
        reasons for such modifications or refinements.
  (c) General Negotiating Objectives.--The general negotiating 
objectives of the United States under this section are--
          (1) to obtain multilateral or bilateral agreements 
        (or the modification of existing agreements) that 
        provide mutually advantageous market opportunities for 
        trade in telecommunications products and services 
        between the United States and foreign countries;
          (2) to correct the imbalances in market opportunities 
        accruing from reductions in barriers to the access of 
        telecommunications products and services of foreign 
        firms to the United States market; and
          (3) to facilitate the increase in United States 
        exports of telecommunications products and services to 
        a level of exports that reflects the competitiveness of 
        the United States telecommunications industry.
  (d) Specific Negotiating Objectives.--The specific 
negotiating objectives of the United States under this section 
regarding telecommunications products and services are to 
obtain--
          (1) national treatment for telecommunications 
        products and services that are provided by United 
        States firms;
          (2) most-favored-nation treatment for such products 
        and services;
          (3) nondiscriminatory procurement policies with 
        respect to such products and services and the inclusion 
        under the Agreement on Government Procurement of the 
        procurement (by sale or lease by government-owned or 
        controlled entities) of all telecommunications products 
        and services;
          (4) the reduction or elimination of customs duties on 
        telecommunications products;
          (5) the elimination of subsidies, violations of 
        intellectual property rights, and other unfair trade 
        practices that distort international trade in 
        telecommunications products and services;
          (6) the elimination of investment barriers that 
        restrict the establishment of foreign-owned business 
        entities which market such products and services;
          (7) assurances that any requirement for the 
        registration of telecommunications products, which are 
        to be located on customer premises, for the purposes 
        of--
                  (A) attachment to a telecommunications 
                network in a foreign country, and
                  (B) the marketing of the products in a 
                foreign country,
        be limited to the certification by the manufacturer 
        that the products meet the standards established by the 
        foreign country for preventing harm to the network or 
        network personnel;
          (8) transparency of, and open participation in, the 
        standards-setting processes used in foreign countries 
        with respect to telecommunications products;
          (9) the ability to have telecommunications products, 
        which are to be located on customer premises, approved 
        and registered by type, and, if appropriate, the 
        establishment of procedures between the United States 
        and foreign countries for the mutual recognition of 
        type approvals;
          (10) access to the basic telecommunications network 
        in foreign countries on reasonable and 
        nondiscriminatory terms and conditions (including 
        nondiscriminatory prices) for the provision of value-
        added services by United States suppliers;
          (11) the nondiscriminatory procurement of 
        telecommunications products and services by foreign 
        entities that provide local exchange telecommunications 
        services which are owned, controlled, or, if 
        appropriate, regulated by foreign governments; and
          (12) monitoring and effective dispute settlement 
        mechanisms to facilitate compliance with matters 
        referred to in the preceding paragraphs of this 
        subsection.

SEC. 1376.\48\ ACTIONS TO BE TAKEN IF NO AGREEMENT OBTAINED.

    (a) In General.--
---------------------------------------------------------------------------
    \48\ 19 U.S.C. 3105.
---------------------------------------------------------------------------
          (1) If the President is unable, before the close of 
        the negotiating period, to enter into an agreement 
        under subtitle A with any priority foreign country 
        identified under section 1374 which achieves the 
        general negotiating objectives described in section 
        1375(b) as defined by the specific objectives 
        established by the President for that country, the 
        President shall take whatever actions authorized under 
        subsection (b) that are appropriate and most likely to 
        achieve such general negotiating objectives.
          (2) In taking actions under paragraph (1), the 
        President shall first take those actions which most 
        directly affect trade in telecommunications products 
        and services with the priority foreign country referred 
        to in paragraph (1), unless the President determines 
        that actions against other economic sectors would be 
        more effective in achieving the general negotiating 
        objectives referred to in paragraph (1).
  (b) Actions Authorized.--
          (1) The President is authorized to take any of the 
        following actions under subsection (a) with respect to 
        any priority foreign country:
                  (A) termination, withdrawal, or suspension of 
                any portion of any trade agreement entered into 
                with such country under--
                          (i) the Trade Act of 1974,
                          (ii) section 201 of the Trade 
                        Expansion Act of 1962, or
                          (iii) section 350 of the Tariff Act 
                        of 1930,
                with respect to any duty or import restriction 
                imposed by the United States on any 
                telecommunications product;
                  (B) actions described in section 301 of the 
                Trade Act of 1974;
                  (C) prohibition of purchases by the Federal 
                Government of telecommunications products of 
                such country;
                  (D) increases in domestic preferences under 
                title III of the Act of March 3, 1933 (41 
                U.S.C. 10a, et seq.) for purchases by the 
                Federal Government of telecommunications 
                products of such country;
                  (E) suspension of any waiver of domestic 
                preferences under title III of the Act of March 
                3, 1933 (41 U.S.C. 10a, et seq.) which may have 
                been extended to such country pursuant to the 
                Trade Agreements Act of 1979 with respect to 
                telecommunications products or any other 
                products;
                  (F) issuance of orders to appropriate 
                officers and employees of the Federal 
                Government to deny Federal funds or Federal 
                credits for purchases of the telecommunications 
                products of such country; and
                  (G) suspension, in whole or in part, of 
                benefits accorded articles of such country 
                under title V of the Trade Act of 1974 (19 
                U.S.C. 2461, et seq.).
          (2) Notwithstanding section 125 of the Trade Act of 
        1974 and any other provision of law, if any portion of 
        a trade agreement described in paragraph (1)(A) is 
        terminated, withdrawn, or suspended under paragraph (1) 
        with respect to any duty imposed by the United States 
        on the products of a foreign country, the rate of such 
        duty that shall apply to such products entered, or 
        withdrawn from warehouse for consumption, after the 
        date on which such termination, withdrawal, or 
        suspension takes effect shall be a rate determined by 
        the President.
  (c) Negotiating Period.--
          (1) For purposes of this section, the term 
        ``negotiating period'' means--
                  (A) with respect to a priority foreign 
                country identified in the investigation 
                conducted under section 1374(a), the 18-month 
                period beginning on the date of the enactment 
                of this Act, and
                  (B) with respect to any foreign country 
                identified as a priority foreign country after 
                the conclusion of such investigation, the 1-
                year period beginning on the date on which such 
                identification is made.
          (2)(A) The negotiating period with respect to a 
        priority foreign country may be extended for not more 
        than two 1-year periods.
          (B) By no later than the date that is 15 days after 
        the date on which the President extends the negotiating 
        period with respect to any priority foreign country, 
        the President shall submit to appropriate committees of 
        the Congress a report on the status of negotiations 
        with such country that includes--
                  (i) a finding by the President that 
                substantial progress is being made in 
                negotiations with such country, and
                  (ii) a statement detailing the reasons why an 
                extension of such negotiating period is 
                necessary.
  (d) Modification and Termination Authority.--The President 
may modify or terminate any action taken under subsection (a) 
if, after taking into consideration the factors described in 
section 1374(b), the President determines that changed 
circumstances warrant such modification or termination.
  (e) Report.--The President shall promptly inform the 
appropriate committees of the Congress of any action taken 
under subsection (a) or of the modification or termination of 
any such action under subsection (d).

SEC. 1377.\49\ REVIEW OF TRADE AGREEMENT IMPLEMENTATION BY TRADE 
                    REPRESENTATIVE.

    (a) In General.--
---------------------------------------------------------------------------
    \49\ 19 U.S.C. 3106.
---------------------------------------------------------------------------
          (1) In conducting the annual analysis under section 
        181(a) of the Trade Act of 1974 (19 U.S.C. 2241), the 
        Trade Representative shall review the operation and 
        effectiveness of--
                  (A) each trade agreement negotiated by reason 
                of this part that is in force with respect to 
                the United States; and
                  (B) every other trade agreement regarding 
                telecommunications products or services that is 
                in force with respect to the United States.
          (2) In each review conducted under paragraph (1), the 
        Trade Representative shall determine whether any act, 
        policy, or practice of the foreign country that has 
        entered into the agreement described in paragraph (1)--
                  (A) is not in compliance with the terms of 
                such agreement, or
                  (B) otherwise denies, within the context of 
                the terms of such agreement, to 
                telecommunications products and services of 
                United States firms mutually advantageous 
                market opportunities in that foreign country.
  (b) Review Factors.--
          (1) In conducting reviews under subsection (a), the 
        Trade Representative shall consider any evidence of 
        actual patterns of trade (including United States 
        exports to a foreign country of telecommunications 
        products and services, including sales and services 
        related to those products) that do not reflect patterns 
        of trade which would reasonably be anticipated to flow 
        from the concessions or commitments of such country 
        based on the international competitive position and 
        export potential of such products and services.
          (2) The Trade Representative shall consult with the 
        United States International Trade Commission with 
        regard to the actual patterns of trade described in 
        paragraph (1).
  (c) Action in Response to Affirmative Determination.--
          (1) Any affirmative determination made by the Trade 
        Representative under subsection (a)(2) with respect to 
        any act, policy, or practice of a foreign country 
        shall, for purposes of chapter 1 of title III of the 
        Trade Act of 1974, be treated as an affirmative 
        determination under section 304(a)(1)(A) of such Act 
        that such act, policy, or practice violates a trade 
        agreement.
          (2) In taking actions under section 301 by reason of 
        paragraph (1), the Trade Representative shall first 
        take those actions which most directly affect trade in 
        telecommunications products and services with the 
        priority foreign country referred to in paragraph (1), 
        unless the Trade Representative determines that actions 
        against other economic sectors would be more effective 
        in achieving compliance by the foreign country with the 
        trade agreement that is the subject of the affirmative 
        determination made under subsection (a)(2).

SEC. 1378.\50\ COMPENSATION AUTHORITY.

  If--
---------------------------------------------------------------------------
    \50\ 19 U.S.C. 3107.
---------------------------------------------------------------------------
          (1) the President has taken action under section 
        1376(a) with respect to any foreign country, and
          (2) such action is found to be inconsistent with the 
        international obligations of the United States, 
        including the WTO Agreement and the multilateral trade 
        agreements (as such terms are defined in paragraphs (9) 
        and (4), respectively, of section 2 of the Uruguay 
        Round Agreements Act),\51\
---------------------------------------------------------------------------
    \51\ Sec. 621(a)(6) of Public Law 103-465 (108 Stat. 4993) struck 
out ``the General Agreement on Tariffs and Trade'' and inserted in lieu 
thereof ``the WTO Agreement and the multilateral trade agreements (as 
such terms are defined in paragraphs (9) and (4), respectively, of 
section 2 of the Uruguay Round Agreements Act)''.
---------------------------------------------------------------------------
the President may enter into trade agreements with such foreign 
country for the purpose of granting new concessions as 
compensation for such action in order to maintain the general 
level of reciprocal and mutually advantageous concessions.

SEC. 1379.\52\ CONSULTATIONS.

    (a) Advice From Departments and Agencies.--Prior to taking 
any action under this part, the President shall seek 
information and advice from the interagency trade organization 
established under section 242(a) of the Trade Expansion Act of 
1962 (19 U.S.C. 1872).
---------------------------------------------------------------------------
    \52\ 19 U.S.C. 3108.
---------------------------------------------------------------------------
  (b) Advice From the Private Sector.--Before--
          (1) the Trade Representative concludes the 
        investigation conducted under section 1374(a) or takes 
        action under section 1374(c),
          (2) the President establishes specific negotiating 
        objectives under section 1375(b) with respect to any 
        foreign country, or
          (3) the President takes action under section 1376,
the Trade Representative shall provide an opportunity for the 
presentation of views by any interested party with respect to 
such investigation, objectives, or action, including 
appropriate committees established pursuant to section 135 of 
the Trade Act of 1974 (19 U.S.C. 2155).
  (c) Consultations With Congress and Official Advisors.--For 
purposes of conducting negotiations under section 1375(a), the 
Trade Representative shall keep appropriate committees of the 
Congress, as well as appropriate committees established 
pursuant to section 135 of the Trade Act of 1974, currently 
informed with respect to--
          (1) the negotiating priorities and objectives for 
        each priority foreign country;
          (2) the assessment of negotiating prospects, both 
        bilateral and multilateral; and
          (3) any United States concessions which might be 
        included in negotiations to achieve the objectives 
        described in subsections (c) and (d) of section 1375.
  (d) Modification of Specific Negotiating Objectives.--Before 
the President takes any action under section 1375(b)(2)(A) to 
refine or modify specific negotiating objectives, the President 
shall consult with the Congress and with members of the 
industry, and representatives of labor, affected by the 
proposed refinement or modification.

SEC. 1380.\53\ SUBMISSION OF DATA; ACTION TO ENSURE COMPLIANCE.

    (a) Submission of Data.--The Federal Communications 
Commission (hereafter in this section referred to as the 
``Commission'') shall periodically submit to appropriate 
committees of the House of Representatives and of the Senate 
any data collected and otherwise made public under Report No. 
DC-1105, ``Information Reporting Requirements Established for 
Common Carriers'', adopted February 25, 1988, relating to FCC 
Docket No. 86-494, adopted December 23, 1987.
---------------------------------------------------------------------------
    \53\ 19 U.S.C. 3109.
---------------------------------------------------------------------------
  (b) Action to Ensure Compliance.--
          (1)(A) Any product of a foreign country that is 
        subject to registration or approval by the Commission 
        may be entered only if--
                  (i) such product conforms with all applicable 
                rules and regulations of the Commission, and
                  (ii) the information which is required on 
                Federal Communications Commission Form 740 on 
                the date of enactment of this Act is provided 
                to the appropriate customs officer at the time 
                of such entry in such form and manner as the 
                Secretary of the Treasury may prescribe.
          (B) For purposes of this paragraph, the term 
        ``entered'' means entered, or withdrawn from warehouse 
        for consumption, in the customs territory of the United 
        States.
          (2) The Commission, the Secretary of Commerce, and 
        the Trade Representative shall provide such assistance 
        in the enforcement of paragraph (1) as the Secretary of 
        the Treasury may request.
          (3) The Secretary of the Treasury shall compile the 
        information collected under paragraph (1)(A)(ii) into a 
        summary and shall annually submit such summary to the 
        Congress until the authority to negotiate trade 
        agreements under part 1 of subtitle A expires. Such 
        information shall also be made available to the public.

SEC. 1381.\54\ STUDY ON TELECOMMUNICATIONS COMPETITIVENESS IN THE 
                    UNITED STATES.

    (a) In General.--The Secretary of Commerce, in consultation 
with the Federal Communications Commission and the United 
States Trade Representative, shall conduct a study of the 
competitiveness of the United States telecommunications 
industry and the effects of foreign telecommunications policies 
and practices on such industry in order to assist the Congress 
and the President in determining what actions might be 
necessary to preserve the competitiveness of the United States 
telecommunications industry.
---------------------------------------------------------------------------
    \54\ 19 U.S.C. 3110.
---------------------------------------------------------------------------
  (b) Public Comment.--The Secretary of Commerce may, as 
appropriate, provide notice and reasonable opportunity for 
public comment as part of the study conducted under subsection 
(a).
  (c) Report.--The Secretary of Commerce shall, by no later 
than the date that is 1 year after the date of enactment of 
this Act, submit to the Congress and the President a report on 
the findings and recommendations reached by the Secretary of 
Commerce as a result of the study conducted under subsection 
(a). Such report shall be referred to the appropriate 
committees of the House of Representatives and of the Senate.

SEC. 1382.\55\ INTERNATIONAL OBLIGATIONS.

  Nothing in this part may be construed to require actions 
inconsistent with the international obligations of the United 
States, including the WTO Agreement and the multilateral trade 
agreements (as such terms are defined in paragraphs (9) and 
(4), respectively, of section 2 of the Uruguay Round Agreements 
Act).\56\
---------------------------------------------------------------------------
    \55\ 19 U.S.C. 3111.
    \56\ Sec. 621(a)(7) of Public Law 103-465 (108 Stat. 4993) struck 
out ``the General Agreement on Tariffs and Trade'' and inserted in lieu 
thereof ``the WTO Agreement and the multilateral trade agreements (as 
such terms are defined in paragraphs (9) and (4), respectively, of 
section 2 of the Uruguay Round Agreements Act)''.
---------------------------------------------------------------------------

              Subtitle D--Adjustment to Import Competition

          * * * * * * *

                  PART 3--TRADE ADJUSTMENT ASSISTANCE

          * * * * * * *

SEC. 1428.\57\ IMPOSITION OF SMALL UNIFORM FEE ON ALL IMPORTS.

  (a) Negotiations.--
---------------------------------------------------------------------------
    \57\ 19 U.S.C. 2397 note.
---------------------------------------------------------------------------
          (1) The President shall--
                  (A) undertake negotiations necessary to 
                achieve changes in the General Agreement on 
                Tariffs and Trade that would allow any country 
                to impose a small uniform fee of not more than 
                0.15 percent on all imports to such country for 
                the purpose of using the revenue from such fee 
                to fund programs which directly assist 
                adjustment to import competition, and
                  (B) undertake negotiations with any foreign 
                country that has entered into a free trade 
                agreement with the United States under subtitle 
                A or under section 102 of the Trade Act of 1974 
                to obtain the consent of such country to the 
                imposition of such a fee by the United States.
          (2) In the report that is submitted under section 163 
        of the Trade Act of 1974 for 1989 and 1990, the 
        President shall include a statement on the progress of 
        negotiations conducted under paragraph (1).
          (3)(A) On the first day after the date of enactment 
        of this Act on which the General Agreement on Tariffs 
        and Trade allows any country to impose a fee described 
        in paragraph (1), the President shall submit to the 
        Congress, and publish in the Federal Register, a 
        written statement certifying such allowance.
          (B) On the first day after the date of enactment of 
        this Act on which any foreign country described in 
        paragraph (1)(B) consents to the imposition of such a 
        fee by the United States, the President shall submit to 
        the Congress, and publish in the Federal Register, a 
        written statement certifying such consent.
          (4) If--
                  (A) the President does not submit to the 
                Congress the written statement described in 
                paragraph (3)(A) before the date that is 2 
                years after the date of enactment of this Act, 
                and
                  (B) the President determines on such date 
                that the fee imposed by the amendment made by 
                subsection (b) is not in the national economic 
                interest,
        the President shall submit to the Congress, and publish 
        in the Federal Register, written notice of such 
        determination on such date.\58\
---------------------------------------------------------------------------
    \58\ In Presidential Determination No. 90-34 of Aug. 23, 1990 (55 
F.R. 34889), directed to the United States Trade Representative, the 
President determined ``that it is not in the national economic interest 
to impose the fee described under subsection (b)''.
---------------------------------------------------------------------------
          (5)(A) Any disapproval resolution that is introduced 
        in the Senate or House of Representatives within the 
        90-day period beginning on the date that is 2 years 
        after the date of enactment of this Act shall, for 
        purposes of section 152 of the Trade Act of 1974 (19 
        U.S.C. 2192), be treated as a joint resolution 
        described in section 152(a)(1)(A) of such Act.
          (B) For purposes of this part, the term ``disapproval 
        resolution'' means a joint resolution of the two Houses 
        of the Congress, the matter after the resolving clause 
        of which is as follows: ``That the Congress disapproves 
        of the determination made by the President under 
        section 1428(a)(4)(A) of the Omnibus Trade and 
        Competitiveness Act of 1988.''.
  (b) * * *

SEC. 1429. STUDY OF CERTIFICATION METHODS.

  (a) In General.--The Secretary of Labor, in consultation with 
the Secretary of Commerce, shall conduct a study of the methods 
(including, but not limited to, industry-wide certification) 
that could be used to expedite the certification of workers 
under subchapter A of chapter 2 of title II of the Trade Act of 
1974.
  (b) Report.--By no later than the date that is 6 months after 
the date of enactment of this Act, the Secretary of Labor shall 
submit to the Congress a report on the study conducted under 
subsection (a). The report shall include the recommendations of 
the Secretary of Labor regarding the methods that are the 
subject of the study conducted under subsection (a).

SEC. 1430.\59\ EFFECTIVE DATES.

  (a) In General.--Except as otherwise provided by this 
section, the amendments made by this part shall take effect on 
the date of enactment of this Act.
---------------------------------------------------------------------------
    \59\ 19 U.S.C. 2397 note.
---------------------------------------------------------------------------
  (b) Additional Fee.--
          (1) Except as otherwise provided in this subsection, 
        the amendment made by section 1428(b) shall apply (if 
        at all) to any article entered, or withdrawn from 
        warehouse for consumption, after the date that is 30 
        days after the earlier of--
                  (A) the date on which the President submits 
                to the Congress the written statement described 
                in section 1428(a)(3)(A),
                  (B) the date that is 2 years after the date 
                of enactment of this Act, or
                  (C) the date of the enactment of a 
                disapproval resolution that passes both Houses 
                of the Congress within the 90-day period 
                beginning on the date that is 2 years after the 
                date of enactment of this Act.
          (2) If the President determines on the date that is 2 
        years after the date of enactment of this Act that the 
        fee imposed by the amendment made by section 1428(b) is 
        not in the national economic interest, subparagraph (B) 
        of paragraph (1) shall not be taken into account in 
        applying the provisions of paragraph (1).
          (3) The amendment made by section 1428(b) shall apply 
        (if at all) to the products of any foreign country 
        described in section 1428(a)(1)(B) that are entered, or 
        withdrawn from warehouse for consumption, after the 
        later of--
                  (A) the first date on which the fee imposed 
                by such amendment applies with respect to 
                products of foreign countries that are not 
                described in section 1428(a)(1)(B), or
                  (B) the date on which the President submits 
                to the Congress the written statement described 
                in section 1428(a)(3)(B) certifying the consent 
                of such foreign country to the imposition of 
                the fee.
  (c) Trust Fund.--The amendments made by section 1427 shall 
take effect on the first date on which the amendment made by 
section 1428(b) applies with respect to any articles.
  (d) Eligibility of Workers and Firms.--The amendments made by 
sections 1421(b) and 1424(b) shall take effect on the date that 
is 1 year after the first date on which the amendment made by 
section 1428(b) applies with respect to any articles.
  (e) Notification Requirements.--The amendments made by 
section 1422 shall take effect on the date that is 30 days 
after the date of enactment of this Act.
  (f) Training Requirement.--The amendments made by subsections 
(a), (b)(2), and (c)(2) of section 1423 and by paragraphs (2) 
and (3) of section 1424(c) shall take effect on the date that 
is 90 days after the date of enactment of this Act.
  (g) Limitation on Period for Which Trade Readjustment 
Allowances May Be Made.--The amendment made by section 1425(a) 
shall not apply \60\ with respect to any total separation of a 
worker from adversely affected employment (within the meaning 
of section 247 of such Act) that occurs before the date of 
enactment of this Act if the application of such amendment with 
respect to such total separation would reduce the period for 
which such worker would (but for such amendment) be allowed to 
receive trade readjustment allowances under part I of 
subchapter B of chapter 2 of title II of the Trade Act of 1974.
---------------------------------------------------------------------------
    \60\ Sec. 9001(a)(21) of Public Law 100-647 (Technical and 
Miscellaneous Revenue Act of 1988; 102 Stat. 3342) struck out the word 
``to'' previously appearing at this point.
---------------------------------------------------------------------------

                     Subtitle E--National Security

SEC. 1501. IMPORTS THAT THREATEN NATIONAL SECURITY.

  (a) * * *
  (b) * * *
  (c) Enforcement of Machine Tool Import Arrangements.--
          (1) The Secretary of Commerce is authorized to 
        request the Secretary of the Treasury to carry out such 
        actions as may be necessary or appropriate to ensure 
        the attainment of the objectives of the machine tool 
        decision of the President on May 20, 1986, and to 
        enforce any quantitative limitation, restriction, or 
        other terms contained in related bilateral 
        arrangements. Such actions may include, but are not 
        limited to, requirements that valid export licenses or 
        other documentation issued by a foreign government be 
        presented as a condition for the entry into the United 
        States of assembled and unassembled machine tool 
        products.
          (2) For purposes of this subsection, the term 
        ``related bilateral arrangement'' means any 
        arrangement, agreement, or understanding entered into 
        or undertaken, or previously entered into or 
        undertaken, by the United States and any foreign 
        country or customs union containing such quantitative 
        limitations, restrictions, or other terms relating to 
        the importation into, or exportation to, the United 
        States of categories of assembled and unassembled 
        machine tool products as may be necessary to implement 
        such machine tool decision of May 20, 1986.
  (d) \61\ Application of Amendments.--
---------------------------------------------------------------------------
    \61\ 19 U.S.C. 1862 note.
---------------------------------------------------------------------------
          (1) Except as otherwise provided under this 
        subsection, the amendments made by this section shall 
        apply with respect to investigations initiated under 
        section 232(b) of the Trade Expansion Act of 1962 on or 
        after the date of enactment of this Act.
          (2) The provisions of subsection (c) of section 232 
        of the Trade Expansion Act of 1962, as amended by this 
        section, shall apply with respect to any report 
        submitted by the Secretary of Commerce to the President 
        under section 232(b) of such Act after the date of 
        enactment of this Act.
          (3) By no later than the date that is 90 days after 
        the date of enactment of this Act, the President shall 
        make the determinations described in section 
        232(c)(1)(A) of the Trade Expansion Act of 1962, as 
        amended by this section, with respect to any report--
                  (A) which was submitted by the Secretary of 
                Commerce to the President under section 232(b) 
                of such Act before the date of enactment of 
                this Act, and
                  (B) with respect to which no action has been 
                taken by the President before the date of 
                enactment of this Act.
          * * * * * * *

     Subtitle H--Miscellaneous Customs, Trade, and Other Provisions

                       PART 1--CUSTOMS PROVISIONS

          * * * * * * *

SEC. 1906.\62\ * * * [Repealed--1993]
---------------------------------------------------------------------------

    \62\ Formerly at 19 U.S.C. 1307 note. Stated a sense of the 
Congress requesting the President to instruct the Secretary of the 
Treasury to enforce sec. 307 of the Tariff Act of 1930 (relating to the 
importation of goods produced by forced labor) without delay.
---------------------------------------------------------------------------
          * * * * * * *

SEC. 1908.\63\ DUTY-FREE SALES ENTERPRISES.

  (a) Findings.--The Congress finds that--
---------------------------------------------------------------------------
    \63\ 19 U.S.C. 1555 note.
---------------------------------------------------------------------------
          (1) duty-free sales enterprises play a significant 
        role in attracting international passengers to the 
        United States and thereby their operations favorably 
        affect our balance of payments;
          (2) concession fees derived from the operations of 
        authorized duty-free sales enterprises constitute an 
        important source of revenue for the State, local and 
        other governmental authorities that collect such fees;
          (3) there is inadequate statutory and regulatory 
        recognition of, and guidelines for the operation of, 
        duty-free sales enterprises; and
          (4) there is a need to encourage uniformity and 
        consistency of regulation of duty-free sales 
        enterprises.
  (b) * * *
  (c) * * *

SEC. 1909.\64\ CARIBBEAN BASIN INITIATIVE.

  (a) Findings.--The Congress finds that--
---------------------------------------------------------------------------
    \64\ 19 U.S.C. 2702 note.
---------------------------------------------------------------------------
          (1) Caribbean and Central American countries 
        historically have had close economic, political, and 
        cultural ties to the United States;
          (2) promoting economic and political stability in the 
        Caribbean and Central America is in the national 
        security interests of the United States;
          (3) the economic and political stability of the 
        nations of the Caribbean and Central America can be 
        strengthened significantly by the attraction of foreign 
        and domestic investment specifically devoted to 
        employment generation; and
          (4) the diversification of the economies and 
        expansion of exports, particularly those of a non-
        traditional nature, of the nations of the Caribbean and 
        Central America is linked directly to fair access to 
        the markets of the United States.
  (b) Intent of the Congress.--The Congress hereby expresses 
its intention to ensure that--
          (1) the trade elements of the Caribbean Basin 
        Initiative be strengthened in a manner consistent with 
        the promotion of economic and political stability in 
        the Caribbean and Central America;
          (2) to the extent that Congress imposes changes that 
        are intended to improve the competitive environment for 
        United States industry and workers, such changes do not 
        unduly affect the unilateral duty-free trade system 
        available to the beneficiary countries designated under 
        the Caribbean Basin Economic Recovery Act; and
          (3) generic changes in the trade laws of the United 
        States do not discriminate against imports from 
        designated beneficiary countries in relation to imports 
        from other United States trading partners.
  (c) * * *

SEC. 1910. ETHYL ALCOHOL AND MIXTURES FOR FUEL USE.

  (a) * * *
  (b) Studies.--
          (1) The United States International Trade Commission 
        and the Comptroller General of the United States shall 
        each immediately undertake a study regarding whether 
        the definition of indigenous ethyl alcohol or mixtures 
        thereof used in applying section 423 of the Tax Reform 
        Act of 1986 is consistent with, and will contribute to 
        the achievement of, the stated policy of Congress to 
        encourage the economic development of the beneficiary 
        countries under the Caribbean Basin Economic Recovery 
        Act and the insular possessions of the United States 
        through the maximum utilization of the natural 
        resources of those countries and possessions. Each 
        study shall specifically include--
                  (A) an assessment regarding whether the 
                indigenous product percentage requirements set 
                forth in subsection (c)(2)(B) of such section 
                423 are economically feasible for ethyl alcohol 
                producers; and
                  (B) if the assessment under subparagraph (A) 
                is negative, recommended modifications to the 
                indigenous product percentage requirements 
                that--
                          (i) will ensure meaningful production 
                        and employment in the region,
                          (ii) will discourage pass-through 
                        operations, and
                          (iii) will not result in harm to 
                        producers of ethyl alcohol, or mixtures 
                        thereof, in the United States; and
                  (C) an assessment of the effects of imports 
                of ethyl alcohol, and mixtures thereof, from 
                such beneficiary countries and possessions on 
                producers of ethyl alcohol, and mixtures 
                thereof, in the United States.
          (2) The United States International Trade Commission 
        and the Comptroller General of the United States shall 
        each submit a report containing the findings and 
        conclusions of the study carried out under this 
        subsection to the Committee on Ways and Means of the 
        House of Representatives and the Committee on Finance 
        of the Senate before the 180th day after the date of 
        the enactment of this Act.

SEC. 1911. ENFORCEMENT OF RESTRICTIONS ON IMPORTS FROM CUBA.

  The United States Trade Representative shall request that all 
relevant agencies prepare appropriate recommendations for 
improving the enforcement of restrictions on the importation of 
articles from Cuba. Such recommendations should include, but 
not be limited to, appropriate measures to prevent indirect 
shipments or other means of circumvention. The United States 
Trade Representative shall, after considering such 
recommendations, report to the Congress, within 90 days after 
the date of enactment of this Act, on any administrative 
measures or proposed legislation which the United States Trade 
Representative considers necessary and appropriate to enforce 
restrictions on imports from Cuba.
          * * * * * * *

                 PART 2--MISCELLANEOUS TRADE PROVISIONS

          * * * * * * *

SEC. 1933. COAL EXPORTS TO JAPAN.

  It is the sense of the Congress that--
          (1) the objectives of the November 1983 Joint Policy 
        Statement on Energy Cooperation, as it relates to 
        United States exports of coal to Japan, have not been 
        achieved;
          (2) the President should seek to establish 
        reciprocity with Japan with respect to metallurgical 
        coal exports and steel product imports and should 
        encourage increased purchases by Japan of United States 
        steam coal;
          (3) the President should direct the United States 
        Trade Representative, in negotiating a Steel Trade 
        Arrangement with Japan, to take into consideration, 
        consistent with the President's steel program, the 
        amount of coal that Japan purchases from the United 
        States in determining the level of steel, semi-finished 
        steel and fabricated structured steel products that can 
        be imported into the United States; and
          (4) the President should report to the Congress by 
        November 1, 1988 regarding the results of the outcome 
        of any negotiation undertaken in response to this 
        section.

SEC. 1934. PURCHASES OF UNITED STATES-MADE AUTOMOTIVE PARTS BY JAPAN.

  (a) Findings.--The Congress finds that--
          (1) the United States merchandise trade deficit 
        reached the unprecedented level of $170,000,000,000 in 
        1986;
          (2) the United States trade deficit with Japan, which 
        reached $59,000,000,000 in 1986, accounted for 
        approximately one-third of the total deficit;
          (3) approximately one-half of the United States trade 
        deficit with Japan was in motor vehicles and equipment;
          (4) while Japanese automobile firms based in Japan 
        produced 7,800,000 passenger cars in 1986 and exported 
        2,300,000 cars to the United States, United States 
        exports of auto parts to Japan were only about 
        $300,000,000 in 1986;
          (5) United States automotive parts producers meet 
        increasingly rigorous requirements for quality, just-
        in-time supply, and competitive pricing in the United 
        States market; and
          (6) the market-oriented sector specific (MOSS) talks 
        on auto parts are aimed at overcoming substantial 
        market access barriers and increasing the access of 
        United States auto parts producers to the original and 
        replacement parts market represented by Japanese 
        automobiles produced in Japan, the United States, and 
        third countries.
  (b) Sense of Congress.--The Congress--
          (1) strongly supports efforts being made by United 
        States negotiators to expand significantly the 
        opportunities for United States automotive parts 
        producers to supply original and replacement parts for 
        Japanese automobiles, wherever those automobiles may be 
        produced; and
          (2) determines that success of the MOSS talks will be 
        measured by a significant increase in sales by United 
        States auto parts companies to Japanese vehicle 
        companies and the initiation of long-term sourcing 
        relationships between such companies.
  (c) Report on Outcome.--The United States Trade 
Representative and the Secretary of Commerce shall report to 
Congress at the conclusion of the MOSS talks on the outcome of 
the talks and on any agreements reached with Japan with respect 
to purchases by Japanese firms of United States automotive 
parts.

SEC. 1935. EFFECT OF IMPORTS ON CRUDE OIL PRODUCTION AND REFINING 
                    CAPACITY IN THE UNITED STATES.

  The Secretary of Energy shall send to the Secretary of 
Commerce the results of the study conducted under section 3102 
of the Omnibus Budget Reconciliation Act of 1986. Within 180 
days of the receipt of the results of such study, the Secretary 
of Commerce shall report to the President and the Congress 
recommendations for actions which may be appropriate to address 
any impact of imports of crude oil and petroleum products on 
domestic crude oil exploration and production and the domestic 
petroleum refining capacity.

SEC. 1936. STUDY OF TRADE BARRIERS ESTABLISHED BY AUTO PRODUCING 
                    COUNTRIES TO AUTO IMPORTS AND THE IMPACT ON THE 
                    UNITED STATES MARKET.

  (a) Study.--The United States Trade Representative shall 
conduct a study of formal and informal barriers which auto 
producing countries have established toward automobile imports 
and the impact of such barriers on diverting automobile imports 
into the United States. The study shall consider the impact of 
such barriers on automobile imports into the United States in 
the presence of, and in the absence of, voluntary restraint 
agreements between the United States and Japan.
  (b) Report.--The United States Trade Representative shall 
include the findings of the study conducted under subsection 
(a) in the first report that is submitted under section 181(b) 
of the Trade Act of 1974 (19 U.S.C. 2241) after the date of 
enactment of this Act.

SEC. 1937. LAMB MEAT IMPORTS.

  Within 15 days after the date of the enactment of this Act, 
the United States International Trade Commission, pursuant to 
section 332(g) of the Tariff Act of 1930 (19 U.S.C. 1332(g)), 
shall monitor and investigate for a period of 2 years the 
importation into the United States of articles provided for in 
item 106.30 of the Tariff Schedules of the United States (19 
U.S.C. 1202) (relating to fresh, chilled, and frozen lamb 
meat). For purposes of any request made under subsection (d) of 
section 202 of the Trade Act of 1974 (as amended by section 
1401 of this Act) within such 2-year period for provisional 
relief with respect to imports of such articles, the monitoring 
and investigation required under this section shall be treated 
as having been requested by the United States Trade 
Representative under paragraph (1)(B) of such subsection.
          * * * * * * *

                   TITLE II--EXPORT ENHANCEMENT \65\

          * * * * * * *
---------------------------------------------------------------------------
    \65\ Title II of Public Law 100-418 (102 Stat. 1325), the Export 
Enhancement Act of 1988, is found in this volume on page 1114.
---------------------------------------------------------------------------

               TITLE III--INTERNATIONAL FINANCIAL POLICY

     Subtitle A--Exchange Rates and International Economic Policy 
                              Coordination

SEC. 3001.\66\ SHORT TITLE.

  This subtitle may be cited as the ``Exchange Rates and 
International Economic Policy Coordination Act of 1988''.
---------------------------------------------------------------------------
    \66\ 22 U.S.C. 5301.
---------------------------------------------------------------------------

SEC. 3002.\67\ FINDINGS.

  The Congress finds that--
---------------------------------------------------------------------------
    \67\ 22 U.S.C. 5302.
---------------------------------------------------------------------------
          (1) the macroeconomic policies, including the 
        exchange rate policies, of the leading industrialized 
        nations require improved coordination and are not 
        consistent with long-term economic growth and financial 
        stability;
          (2) currency values have a major role in determining 
        the patterns of production and trade in the world 
        economy;
          (3) the rise in the value of the dollar in the early 
        1980's contributed substantially to our current trade 
        deficit;
          (4) exchange rates among major trading nations have 
        become increasingly volatile and a pattern of exchange 
        rates has at times developed which contribute to 
        substantial and persistent imbalances in the flow of 
        goods and services between nations, imposing serious 
        strains on the world trading system and frustrating 
        both business and government planning;
          (5) capital flows between nations have become very 
        large compared to trade flows, respond at times quickly 
        and dramatically to policy and economic changes, and, 
        for these reasons, contribute significantly to 
        uncertainty in financial markets, the volatility of 
        exchange rates, and the development of exchange rates 
        which produce imbalances in the flow of goods and 
        services between nations;
          (6) policy initiatives by some major trading nations 
        that manipulate the value of their currencies in 
        relation to the United States dollar to gain 
        competitive advantage continue to create serious 
        competitive problems for United States industries;
          (7) a more stable exchange rate for the dollar at a 
        level consistent with a more appropriate and 
        sustainable balance in the United States current 
        account should be a major focus of national economic 
        policy;
          (8) procedures for improving the coordination of 
        macroeconomic policy need to be strengthened 
        considerably; and
          (9) under appropriate circumstances, intervention by 
        the United States in foreign exchange markets as part 
        of a coordinated international strategic intervention 
        effort could produce more orderly adjustment of foreign 
        exchange markets and, in combination with necessary 
        macroeconomic policy changes, assist adjustment toward 
        a more appropriate and sustainable balance in current 
        accounts.

SEC. 3003.\68\ STATEMENT OF POLICY.

  It is the policy of the United States that--
---------------------------------------------------------------------------
    \68\ 22 U.S.C. 5303.
---------------------------------------------------------------------------
          (1) the United States and the other major 
        industrialized countries should take steps to continue 
        the process of coordinating monetary, fiscal, and 
        structural policies initiated in the Plaza Agreement of 
        September 1985;
          (2) the goal of the United States in international 
        economic negotiations should be to achieve 
        macroeconomic policies and exchange rates consistent 
        with more appropriate and sustainable balances in trade 
        and capital flows and to foster price stability in 
        conjunction with economic growth;
          (3) the United States, in close coordination with the 
        other major industrialized countries should, where 
        appropriate, participate in international currency 
        markets with the objective of producing more orderly 
        adjustment of foreign exchange markets and, in 
        combination with necessary macroeconomic policy 
        changes, assisting adjustment toward a more appropriate 
        and sustainable balance in current accounts; and
          (4) the accountability of the President for the 
        impact of economic policies and exchange rates on trade 
        competitiveness should be increased.

SEC. 3004.\69\ INTERNATIONAL NEGOTIATIONS ON EXCHANGE RATE AND ECONOMIC 
                    POLICIES.

  (a) Multilateral Negotiations.--The President shall seek to 
confer and negotiate with other countries--
---------------------------------------------------------------------------
    \69\ 22 U.S.C. 5304.
---------------------------------------------------------------------------
          (1) to achieve--
                  (A) better coordination of macroeconomic 
                policies of the major industrialized nations; 
                and
                  (B) more appropriate and sustainable levels 
                of trade and current account balances, and 
                exchange rates of the dollar and other 
                currencies consistent with such balances; and
          (2) to develop a program for improving existing 
        mechanisms for coordination and improving the 
        functioning of the exchange rate system to provide for 
        long-term exchange rate stability consistent with more 
        appropriate and sustainable current account balances.
  (b) Bilateral Negotiations.--The Secretary of the Treasury 
shall analyze on an annual basis the exchange rate policies of 
foreign countries, in consultation with the International 
Monetary Fund, and consider whether countries manipulate the 
rate of exchange between their currency and the United States 
dollar for purposes of preventing effective balance of payments 
adjustments or gaining unfair competitive advantage in 
international trade. If the Secretary considers that such 
manipulation is occurring with respect to countries that (1) 
have material global current account surpluses; and (2) have 
significant bilateral trade surpluses with the United States, 
the Secretary of the Treasury shall take action to initiate 
negotiations with such foreign countries on an expedited basis, 
in the International Monetary Fund or bilaterally, for the 
purpose of ensuring that such countries regularly and promptly 
adjust the rate of exchange between their currencies and the 
United States dollar to permit effective balance of payments 
adjustments and to eliminate the unfair advantage. The 
Secretary shall not be required to initiate negotiations in 
cases where such negotiations would have a serious detrimental 
impact on vital national economic and security interests; in 
such cases, the Secretary shall inform the chairman and the 
ranking minority member of the Committee on Banking, Housing, 
and Urban Affairs of the Senate and of the Committee on 
Banking, Finance and Urban Affairs \113\ of the House of 
Representatives of his determination.
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    \70\ Sec. 1(a)(2) of Public Law 104-14 (109 Stat. 186) provided 
that references to the Committee on Banking, Finance and Urban Affairs 
of the House of Representatives should be treated as referring to the 
Committee on Banking and Financial Services of the House of 
Representatives.
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SEC. 3005.\70\ REPORTING REQUIREMENTS.

  (a) Reports Required.--In furtherance of the purpose of this 
title, the Secretary, after consultation with the Chairman of 
the Board, shall submit to the Committee on Banking, Finance 
and Urban Affairs \71\ of the House of Representatives and the 
Committee on Banking, Housing, and Urban Affairs of the Senate, 
on or before October 15 of each year, a written report on 
international economic policy, including exchange rate policy. 
The Secretary shall provide a written update of developments 
six months after the initial report. In addition, the Secretary 
shall appear, if requested, before both committees to provide 
testimony on these reports.
---------------------------------------------------------------------------
    \71\ 22 U.S.C. 5305.
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  (b) Contents of Report.--Each report submitted under 
subsection (a) shall contain--
          (1) an analysis of currency market developments and 
        the relationship between the United States dollar and 
        the currencies of our major trade competitors;
          (2) an evaluation of the factors in the United States 
        and other economies that underlie conditions in the 
        currency markets, including developments in bilateral 
        trade and capital flows;
          (3) a description of currency intervention or other 
        actions undertaken to adjust the actual exchange rate 
        of the dollar;
          (4) an assessment of the impact of the exchange rate 
        of the United States dollar on--
                  (A) the ability of the United States to 
                maintain a more appropriate and sustainable 
                balance in its current account and merchandise 
                trade account;
                  (B) production, employment, and 
                noninflationary growth in the United States;
                  (C) the international competitive performance 
                of United States industries and the external 
                indebtedness of the United States;
          (5) recommendations for any changes necessary in 
        United States economic policy to attain a more 
        appropriate and sustainable balance in the current 
        account;
          (6) the results of negotiations conducted pursuant to 
        section 3004;
          (7) key issues in United States policies arising from 
        the most recent consultation requested by the 
        International Monetary Fund under article IV of the 
        Fund's Articles of Agreement; and
          (8) a report on the size and composition of 
        international capital flows, and the factors 
        contributing to such flows, including, where possible, 
        an assessment of the impact of such flows on exchange 
        rates and trade flows.
  (c) * * *

SEC. 3006.\72\ DEFINITIONS.

  As used in this subtitle:
---------------------------------------------------------------------------
    \72\ 22 U.S.C. 5306.
---------------------------------------------------------------------------
          (1) Secretary.--The term ``Secretary'' means the 
        Secretary of the Treasury.
          (2) Board.--The term ``Board'' means the Board of 
        Governors of the Federal Reserve System.

                     Subtitle B--International Debt

          PART I--FINDINGS, PURPOSES, AND STATEMENT OF POLICY

SEC. 3101.\73\ SHORT TITLE.

  This subtitle may be cited as the ``International Debt 
Management Act of 1988''.
---------------------------------------------------------------------------
    \73\ 22 U.S.C. 5321.
---------------------------------------------------------------------------

SEC. 3102.\74\ FINDINGS.

  The Congress finds that--
---------------------------------------------------------------------------
    \74\ 22 U.S.C. 5322.
---------------------------------------------------------------------------
          (1) the international debt problem threatens the 
        safety and soundness of the international financial 
        system, the stability of the international trading 
        system, and the economic development of the debtor 
        countries;
          (2) orderly reduction of international trade 
        imbalances requires very substantial growth in all 
        parts of the world economy, particularly in the 
        developing countries;
          (3) growth in developing countries with substantial 
        external debts has been significantly constrained over 
        the last several years by a combination of high debt 
        service obligations and insufficient new flows of 
        financial resources to these countries;
          (4) substantial interest payment outflows from debtor 
        countries, combined with inadequate net new capital 
        inflows, have produced a significant net transfer of 
        financial resources from debtor to creditor countries;
          (5) negative resource transfers at present levels 
        severely depress both investment and growth in the 
        debtor countries, and force debtor countries to reduce 
        imports and expand exports in order to meet their debt 
        service obligations;
          (6) current adjustment policies in debtor countries, 
        which depress domestic demand and increase production 
        for export, help to depress world commodity prices and 
        limit the growth of export markets for United States 
        industries;
          (7) the United States has borne a disproportionate 
        share of the burden of absorbing increased exports from 
        debtor countries, while other industrialized countries 
        have increased their imports from developing countries 
        only slightly;
          (8) current approaches to the debt problem should not 
        rely solely on new lending as a solution to the debt 
        problem, and should focus on other financing 
        alternatives including a reduction in current debt 
        service obligations;
          (9) new international mechanisms to improve the 
        management of the debt problem and to expand the range 
        of financing options available to developing countries 
        should be explored; and
          (10) industrial countries with strong current account 
        surpluses have a disproportionate share of the world's 
        capital resources, and bear an additional 
        responsibility for contributing to a viable long-term 
        solution to the debt problem.

SEC. 3103.\75\ PURPOSES.

  The purposes of this subtitle are--
---------------------------------------------------------------------------
    \75\ 22 U.S.C. 5323.
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          (1) to expand the world trading system and raise the 
        level of exports from the United States to the 
        developing countries in order to reduce the United 
        States trade deficit and foster economic expansion and 
        an increase in the standard of living throughout the 
        world;
          (2) to alleviate the current international debt 
        problem in order to make the debt situation of 
        developing countries more manageable and permit the 
        resumption of sustained growth in those countries; and
          (3) to increase the stability of the world financial 
        system and ensure the safety and soundness of United 
        States depository institutions.

SEC. 3104.\76\ STATEMENT OF POLICY.

  It is the policy of the United States that--
---------------------------------------------------------------------------
    \76\ 22 U.S.C. 5324.
---------------------------------------------------------------------------
          (1) increasing growth in the developing world is a 
        major goal of international economic policy;
          (2) it is necessary to broaden the range of options 
        in dealing with the debt problem to include improved 
        mechanisms to restructure existing debt;
          (3) active consideration of a new multilateral 
        authority to improve the management of the debt problem 
        and to share the burdens of adjustment more equitably 
        must be undertaken; and
          (4) countries with strong current account surpluses 
        bear a major responsibility for providing the financial 
        resources needed for growth in the developing world.

          PART II--THE INTERNATIONAL DEBT MANAGEMENT AUTHORITY

SEC. 3111.\77\ INTERNATIONAL INITIATIVE.

  (a) Directive.--
---------------------------------------------------------------------------
    \77\ 22 U.S.C. 5331.
---------------------------------------------------------------------------
          (1) Study.--The Secretary of the Treasury shall study 
        the feasibility and advisability of establishing the 
        International Debt Management Authority described in 
        this section.
          (2) Explanation of determinations.--If the Secretary 
        of the Treasury determines that initiation of 
        international discussions with regard to such authority 
        would (A) result in material increase in the discount 
        at which sovereign debt is sold, (B) materially 
        increase the probability of default on such debt, or 
        (C) materially enhance the likelihood of debt service 
        failure or disruption, the Secretary shall include in 
        his interim reports to the Congress an explanation in 
        detail of the reasons for such determination.
          (3) Initiation of discussions.--Unless such a 
        determination is made, the Secretary of the Treasury 
        shall initiate discussions with such industrialized and 
        developing countries as the Secretary may determine to 
        be appropriate with the intent to negotiate the 
        establishment of the International Debt Management 
        Authority, which would undertake to--
                  (A) purchase sovereign debt of less developed 
                countries from private creditors at an 
                appropriate discount;
                  (B) enter into negotiations with the debtor 
                countries for the purpose of restructuring the 
                debt in order to--
                          (i) ease the current debt service 
                        burden on the debtor countries; and
                          (ii) provide additional opportunities 
                        for economic growth in both debtor and 
                        industrialized countries; and
                  (C) assist the creditor banks in the 
                voluntary disposition of their Third World loan 
                portfolio.
  (b) Objectives.--In any discussions initiated under 
subsection (a), the Secretary should include the following 
specific proposals:
          (1) That any loan restructuring assistance provided 
        by such an authority to any debtor nation should 
        involve substantial commitments by the debtor to (A) 
        economic policies designed to improve resource 
        utilization and minimize capital flight, and (B) 
        preparation of an economic management plan calculated 
        to provide sustained economic growth and to allow the 
        debtor to meet its restructured debt obligations.
          (2) That support for such an authority should come 
        from industrialized countries, and that greater support 
        should be expected from countries with strong current 
        account surpluses.
          (3) That such an authority should have a clearly 
        defined close working relationship with the 
        International Monetary Fund and the International Bank 
        for Reconstruction and Development and the various 
        regional development banks.
          (4) That such an authority should be designed to 
        operate as a self-supporting entity, requiring no 
        routine appropriation of resources from any member 
        government, and to function subject to the prohibitions 
        contained in the first sentence of section 3112(a).
          (5) That such an authority should have a defined 
        termination date and a clear proposal for the 
        restoration of creditworthiness to debtor countries 
        within this timeframe.
  (c) Interim Reports.--At the end of the 6-month period 
beginning on the date of enactment of this Act and at the end 
of the 12-month period beginning on such date of enactment, the 
Secretary of the Treasury shall submit a report on the progress 
being made on the study or in discussions described in 
subsection (a) to the Committee on Banking, Finance and Urban 
Affairs of the House of Representatives \78\ and the Committee 
on Banking, Housing, and Urban Affairs and the Committee on 
Foreign Relations of the Senate, and shall consult with such 
committees after submitting each such report.
---------------------------------------------------------------------------
    \78\ Sec. 1(a)(2) of Public Law 104-14 (109 Stat. 186) provided 
that references to the Committee on Banking, Finance and Urban Affairs 
of the House of Representatives should be treated as referring to the 
Committee on Banking and Financial Services of the House of 
Representatives.
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  (d) Final Report.--On the conclusion of the study or of 
discussions described in subsection (a), the Secretary shall 
transmit a report containing a detailed description thereof to 
the Committee on Banking, Finance and Urban Affairs \121\ of 
the House of Representatives and the Committee on Banking, 
Housing, and Urban Affairs and the Committee on Foreign 
Relations of the Senate, together with such recommendations for 
legislation which the Secretary may determine to be necessary 
or appropriate for the establishment of the International Debt 
Management Authority.

SEC. 3112.\79\ ACTIONS TO FACILITATE CREATION OF THE AUTHORITY.

  (a) In General.--No funds, appropriations, contributions, 
callable capital, financial guarantee, or any other financial 
support or obligation or contingent support or obligation on 
the part of the United States Government may be used for the 
creation, operation, or support of the International Debt 
Management Authority specified in section 3111, without the 
express approval of the Congress through subsequent law, nor 
shall any expenses associated with such authority, either 
directly or indirectly, accrue to any United States person 
without the consent of such person. Except as restricted in the 
preceding sentence, the Secretary of the Treasury shall review 
all potential resources available to the multilateral financial 
institutions which could be used to support the creation of the 
International Debt Management Authority. In the course of this 
review, the Secretary shall direct--
---------------------------------------------------------------------------
    \79\ 22 U.S.C. 5332.
---------------------------------------------------------------------------
          (1) the United States Executive Director of the 
        International Monetary Fund to determine the amount of, 
        and alternative methods by which, gold stock of the 
        Fund which, subject to action by its Board of 
        Governors, could be pledged as collateral to obtain 
        financing for the activities of the authority specified 
        in section 3111; and
          (2) the United States Executive Director to the 
        International Bank for Reconstruction and Development 
        to determine the amount of, and alternative methods by 
        which, liquid assets controlled by such Bank and not 
        currently committed to any loan program which, subject 
        to action by its Board of Governors, could be pledged 
        as collateral for obtaining financing for the 
        activities of the authority specified in section 3111.
The Secretary of the Treasury shall include a report on the 
results of the review in the first report submitted under 
section 3111(c).
  (b) Construction of Section.--Subsection (a) shall not be 
construed to affect any provision of the Articles of Agreement 
of the International Monetary Fund or of the International Bank 
for Reconstruction and Development or any agreement entered 
into under either of such Agreements.

SEC. 3113.\80\ IMF-WORLD BANK REVIEW.

  (a) IMF Review.--The United States Executive Director of the 
International Monetary Fund shall request the management of the 
International Monetary Fund to prepare a review and analysis of 
the debt burden of the developing countries, with particular 
attention to alternatives for dealing with the debt problem 
including new lending instruments, rescheduling and refinancing 
of existing debt, securitization and debt conversion 
techniques, discounted debt repurchases, and the International 
Debt Management Authority described in section 3111 no later 
than 1 year after the date of the enactment of this Act.
---------------------------------------------------------------------------
    \80\ 22 U.S.C. 5333.
---------------------------------------------------------------------------
  (b) World Bank Review.--The United States Executive Director 
to the International Bank for Reconstruction and Development 
shall request the management of the International Bank for 
Reconstruction and Development to prepare a review and analysis 
of the debt burden of the developing countries, with particular 
attention to alternatives for dealing with the debt problem 
including new lending instruments, rescheduling and refinancing 
of existing debt, securitization and debt conversion 
techniques, discounted debt repurchases, and the International 
Debt Management Authority described in section 3111 no later 
than 1 year after the date of the enactment of this Act.

      PART III--REGULATORY PROVISIONS AFFECTING INTERNATIONAL DEBT

SEC. 3121. PROVISIONS RELATING TO THE REGULATION OF DEPOSITORY 
                    INSTITUTIONS.

  (a) Regulatory Objectives.--It is the sense of the Congress 
that regulations prescribed by Federal banking regulatory 
agencies which affect the international assets of United States 
commercial banks should grant the widest possible latitude to 
the banks for negotiating principal and interest reductions 
with respect to obligations of heavily indebted sovereign 
borrowers.
  (b) Flexibility in Debt Restructuring.--It is the intent of 
the Congress that, in applying generally accepted accounting 
standards, Federal agencies which regulate and oversee the 
operations of depository institutions (within the meaning given 
to such term by clauses (i) through (vi) of section 19(b)(1)(A) 
of the Federal Reserve Act) apply to such institutions maximum 
flexibility in determining the asset value of restructured 
loans to heavily indebted sovereign borrowers and in accounting 
for the effects of such restructuring prospectively.
  (c) Recapitalization.--It is the intent of the Congress that 
Federal agencies which regulate and oversee the operations of 
depository institutions (within the meaning given to such term 
by clauses (i) through (vi) of section 19(b)(1)(A) of the 
Federal Reserve Act) should require depository institutions 
with substantial amounts of loans to heavily indebted sovereign 
borrowers to seek, as appropriate, expanded recapitalization 
through equity financing to ensure that prudent institutional 
capital-to-total asset ratios are established and maintained.
  (d) Reserves for Loan Losses.--It is the intent of the 
Congress that Federal agencies which regulate and oversee the 
operations of depository institutions (within the meaning given 
to such term by clauses (i) through (vi) of section 19(b)(1)(A) 
of the Federal Reserve Act) should seek to ensure that 
appropriate levels of reserves be established by depository 
institutions engaged in substantial lending to heavily indebted 
sovereign borrowers in accordance with both the credit and 
country risks associated with such lending.
  (e) \81\ * * *
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    \81\ Subsec. (e) amended sec. 913 of the International Lending 
Supervision Act of 1983.
---------------------------------------------------------------------------

SEC. 3122. STUDIES RELATING TO THE REGULATION OF DEPOSITORY 
                    INSTITUTIONS.

  (a) Regulatory Study Required.--The Comptroller of the 
Currency, the Board of Governors of the Federal Reserve System, 
and the Federal Deposit Insurance Corporation shall conduct a 
study to determine the extent of any regulatory obstacle to 
negotiated reductions in the debt service obligations 
associated with foreign debt.
  (b) Specific Factors To Be Studied.--The study required by 
subsection (a) shall include an analysis of regulatory and 
accounting obstacles to various forms of debt restructuring, 
including negotiated interest reduction, the amortization of 
loan losses, securitization and debt conversion techniques, and 
discounted debt repurchases, as well as an analysis of the 
profitability of commercial bank lending to developing 
countries during the 10-year period ending on December 31, 
1986. The analysis should include an assessment of the impact 
of the various forms of debt restructuring on the development 
of a secondary market in developing country debt and on the 
safety and soundness of the United States banking system.
  (c) Report Required.--Within 6 months after the date of the 
enactment of this Act, the Comptroller of the Currency, the 
Board of Governors of the Federal Reserve System, and the 
Federal Deposit Insurance Corporation shall transmit to the 
Congress a report containing the findings and conclusions of 
such agencies with respect to the study required under 
subsection (a), together with any recommendations concerning 
legislation which such agencies determine to be necessary or 
appropriate to remove regulatory obstacles to negotiated 
reductions in the debt service obligations associated with 
sovereign debt.

SEC. 3123. LIMITED PURPOSE SPECIAL DRAWING RIGHTS FOR THE POOREST 
                    HEAVILY INDEBTED COUNTRIES.

  (a) Study Required.--
          (1) In general.--The Secretary of the Treasury, in 
        consultation with the directors and staff of the 
        International Monetary Fund and such other interested 
        parties as the Secretary may determine to be 
        appropriate, shall conduct a study of the feasibility 
        and the efficacy of reducing the international debt of 
        the poorest of the heavily indebted countries through a 
        one-time allocation by the International Monetary Fund 
        of limited purpose Special Drawing Rights to such 
        countries in accordance with a plan which provides 
        that--
                  (A) the allocation be made without regard to 
                the quota established for any such country 
                under the Articles of Agreement of the Fund;
                  (B) limited purpose Special Drawing Rights be 
                used only to repay official debt of any such 
                country;
                  (C) the allocation of limited purpose Special 
                Drawing Rights to any such country not be 
                treated as an allocation on which such country 
                must pay interest to the Fund; and
                  (D) the use of limited purpose Special 
                Drawing Rights by any such country to repay 
                official debt shall be treated as an allocation 
                of regular Special Drawing Rights to the 
                creditor.
          (2) Additional factors to be studied.--The study 
        required under paragraph (1) shall include the 
        following:
                  (A) To the extent the creation and allocation 
                of the limited purpose Special Drawing Rights 
                described in paragraph (1) would require an 
                amendment of the Articles of Agreement of the 
                International Monetary Fund, an assessment of 
                the period of time within which such amendment 
                could be ratified by the member nations, based 
                on discussions with the major members of the 
                Fund.
                  (B) An assessment of other means for 
                achieving the objectives of principal and 
                interest reduction on official debt of the 
                poorest heavily indebted countries through the 
                use of Special Drawing Rights.
                  (C) A comparative evaluation of proposals of 
                other members of the International Monetary 
                Fund, the directors and staff of the Fund, and 
                other interested parties.
                  (D) An analysis of the effect the 
                implementation of the provisions in paragraph 
                (1) would have on bilateral and multilateral 
                lenders, the international monetary system, and 
                such other provisions of this Act as may be 
                appropriate.
                  (E) A comparative analysis of the available 
                alternatives identified under subparagraph (B) 
                or (C).
  (b) Report Required.--Within 3 months after the date of the 
enactment of this Act, the Secretary of the Treasury shall 
submit a report to the Committee on Banking, Finance and Urban 
Affairs \121\ of the House of Representatives and the Committee 
on Banking, Housing, and Urban Affairs and the Committee on 
Foreign Relations of the Senate containing the findings and 
conclusions of the Secretary pursuant to the study required 
under subsection (a), together with--
          (1) the recommendation of the Secretary as to which, 
        of all the alternatives for providing relief for the 
        poorest of the heavily indebted countries which were 
        assessed in connection with such study, represents the 
        best available option; and
          (2) recommendations for such legislation and 
        administrative action as the Secretary determines to be 
        necessary and appropriate to implement such option.

            Subtitle C--Multilateral Development Banks \82\

          * * * * * * *
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    \82\ Subtitle C, ``Multilateral Development Banks Procurement Act 
of 1988'', was transferred to the International Financial Institutions 
Act by sec. 541(b)(1) of the International Development and Finance Act 
of 1989 (Public Law 101-240; 103 Stat. 2517), redesignated as sec. 1801 
and recodified as 22 U.S.C. 262q. See this volume, page 182.
---------------------------------------------------------------------------

   Subtitle D--Export-Import Bank and Tied Aid Credit Amendments \83\

                      Subtitle F--Primary Dealers

SEC. 3501.\84\ SHORT TITLE.

  This subtitle may be cited as the ``Primary Dealers Act of 
1988''.
---------------------------------------------------------------------------
    \83\ Subtitle D, cited as the ``Export-Import Bank and Tied Aid 
Credit Amendments Act of 1988'', can be found on page 1149.
    \84\ 22 U.S.C. 5341.
---------------------------------------------------------------------------

SEC. 3502.\85\ REQUIREMENT OF NATIONAL TREATMENT IN UNDERWRITING 
                    GOVERNMENT DEBT INSTRUMENTS.

  (a) Findings.--The Congress finds that--
---------------------------------------------------------------------------
    \85\ 22 U.S.C. 5342.
---------------------------------------------------------------------------
          (1) United States companies can successfully compete 
        in foreign markets if they are given fair access to 
        such markets;
          (2) a trade surplus in services could offset the 
        deficit in manufactured goods and help lower the 
        overall trade deficit significantly;
          (3) in contrast to the barriers faced by United 
        States firms in Japan, Japanese firms generally have 
        enjoyed access to United States financial markets on 
        the same terms as United States firms; and
          (4) United States firms seeking to compete in Japan 
        face or have faced a variety of discriminatory barriers 
        effectively precluding such firms from fairly competing 
        for Japanese business, including--
                  (A) limitations on membership on the Tokyo 
                Stock Exchange;
                  (B) high fixed commission rates (ranging as 
                high as 80 percent) which must be paid to 
                members of the exchange by nonmembers for 
                executing trades;
                  (C) unequal opportunities to participate in 
                and act as lead manager for equity and bond 
                underwritings;
                  (D) restrictions on access to automated 
                teller machines;
                  (E) arbitrarily applied employment 
                requirements for opening branch offices;
                  (F) long delays in processing applications 
                and granting approvals for licenses to operate; 
                and
                  (G) restrictions on foreign institutions' 
                participation in Ministry of Finance policy 
                advisory councils.
  (b) Designation of Certain Persons as Primary Dealers 
Prohibited.--
          (1) General rule.--Neither the Board of Governors of 
        the Federal Reserve System nor the Federal Reserve Bank 
        of New York may designate, or permit the continuation 
        of any prior designation of, any person of a foreign 
        country as a primary dealer in government debt 
        instruments if such foreign country does not accord to 
        United States companies the same competitive 
        opportunities in the underwriting and distribution of 
        government debt instruments issued by such country as 
        such country accords to domestic companies of such 
        country.
          (2) Certain prior acquisitions excepted.--Paragraph 
        (1) shall not apply to the continuation of the prior 
        designation of a company as a primary dealer in 
        government debt instruments if--
                  (A) such designation occurred before July 31, 
                1987; and
                  (B) before July 31, 1987--
                          (i) control of such company was 
                        acquired from a person (other than a 
                        person of a foreign country) by a 
                        person of a foreign country; or
                          (ii) in conjunction with a person of 
                        a foreign country, such company 
                        informed the Federal Reserve Bank of 
                        New York of the intention of such 
                        person to acquire control of such 
                        company.
  (c) Exception for Countries Having or Negotiating Bilateral 
Agreements With the United States.--Subsection (b) shall not 
apply to any person of a foreign country if--
          (1) that country, as of January 1, 1987, was 
        negotiating a bilateral agreement with the United 
        States under the authority of section 102(b)(4)(A) of 
        the Trade Act of 1974 (19 U.S.C. 2112(b)(4)(A)); or
          (2) that country has a bilateral free trade area 
        agreement with the United States which entered into 
        force before January 1, 1987.
  (d) Person of a Foreign Country Defined.--For purposes of 
this section, a person is a ``person of a foreign country'' if 
that person, or any other person which directly or indirectly 
owns or controls that person, is a resident of that country, is 
organized under the laws of that country, or has its principal 
place of business in that country.
  (e) Effective Date.--This section shall take effect 12 months 
after the date of the enactment of this Act.

                     Subtitle G--Financial Reports

SEC. 3601.\86\ SHORT TITLE.

  This subtitle may be cited as the ``Financial Reports Act of 
1988''.
---------------------------------------------------------------------------
    \86\ 22 U.S.C. 5351.
---------------------------------------------------------------------------

SEC. 3602.\87\ QUADRENNIAL REPORTS ON FOREIGN TREATMENT OF UNITED 
                    STATES FINANCIAL INSTITUTIONS.

  Not less frequently than every 4 years, beginning December 1, 
1990, the Secretary of the Treasury, in conjunction with the 
Secretary of State, the Board of Governors of the Federal 
Reserve System, the Comptroller of the Currency, the Federal 
Deposit Insurance Corporation, the Securities and Exchange 
Commission, and the Department of Commerce, shall report to the 
Congress on (1) the foreign countries from which foreign 
financial services institutions have entered into the business 
of providing financial services in the United States, (2) the 
kinds of financial services which are being offered, (3) the 
extent to which foreign countries deny national treatment to 
United States banking organizations and securities companies, 
and (4) the efforts undertaken by the United States to 
eliminate such discrimination. The report shall focus on those 
countries in which there are significant denials of national 
treatment which impact United States financial firms. The 
report shall also describe the progress of discussions pursuant 
to section 3603.
---------------------------------------------------------------------------
    \87\ 22 U.S.C. 5352.
---------------------------------------------------------------------------

SEC. 3603.\88\ FAIR TRADE IN FINANCIAL SERVICES.

  (a) Discussions.--When advantageous the President or his 
designee shall conduct discussions with the governments of 
countries that are major financial centers, aimed at:
---------------------------------------------------------------------------
    \88\ 22 U.S.C. 5353.
---------------------------------------------------------------------------
          (1) ensuring that United States banking organizations 
        and securities companies have access to foreign markets 
        and receive national treatment in those markets;
          (2) reducing or eliminating barriers to, and other 
        distortions of, international trade in financial 
        services;
          (3) achieving reasonable comparability in the types 
        of financial services permissible for financial service 
        companies; and
          (4) developing uniform supervisory standards for 
        banking organizations and securities companies, 
        including uniform capital standards.
  (b) Consultation Before Discussions.--Before entering into 
those discussions, the President or his designee shall consult 
with the committees of jurisdiction in the Senate and the House 
of Representatives.
  (c) Recommendations.--After completing those discussions and 
after consultation with the committees of jurisdiction, the 
President shall transmit to the Congress any recommendations 
that have emerged from those discussions. Any recommendations 
for changes in United States financial laws or practices shall 
be accompanied by a description of the changes in foreign 
financial laws or practices that would accompany action by the 
Congress, and by an explanation of the benefits that would 
accrue to the United States from adoption of the 
recommendations.
  (d) Construction of Section.--Nothing in this section may be 
construed as prior approval of any legislation which may be 
necessary to implement any recommendations resulting from 
discussions under this section.

SEC. 3604.\89\ BANKS LOAN LOSS RESERVES.

  The Federal Reserve Board shall submit to the Committee on 
Banking, Housing, and Urban Affairs of the Senate and the 
Committee on Banking, Finance and Urban Affairs of the House of 
Representatives \90\ a report on the issues raised by including 
loan loss reserves as part of banks' primary capital for 
regulatory purposes by March 31, 1989. Such report shall 
include a review of the treatment of loan loss reserves and the 
composition of primary capital of banks in other major 
industrialized countries, and shall include an analysis as to 
whether loan loss reserves should continue to be counted as 
primary capital for regulatory purposes.
---------------------------------------------------------------------------
    \89\ 22 U.S.C. 5354.
    \90\ Sec. 1(a)(2) of Public Law 104-14 (109 Stat. 186) provided 
that references to the Committee on Banking, Finance and Urban Affairs 
of the House of Representatives should be treated as referring to the 
Committee on Banking and Financial Services of the House of 
Representatives.
---------------------------------------------------------------------------

                   TITLE IV--AGRICULTURAL TRADE \91\

          * * * * * * *
---------------------------------------------------------------------------
    \91\ Title IV, cited as the ``Agricultural Competitiveness and 
Trade Act of 1988'', may be found in Legislation on Foreign Relations 
Through 2002, vol. I-B.
---------------------------------------------------------------------------

           Subtitle G--Pesticide Monitoring Improvements \92\

          * * * * * * *
---------------------------------------------------------------------------
    \92\ Subtitle G, the ``Pesticide Monitoring Improvements Act of 
1988'', may be found in Legislation on Foreign Relations Through 2002, 
vol. I-B.
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    TITLE V--FOREIGN CORRUPT PRACTICES AMENDMENTS; INVESTMENT; AND 
                               TECHNOLOGY

Subtitle A--Foreign Corrupt Practices Act Amendments; Review of Certain 
                              Acquisitions

          * * * * * * *

         PART I--FOREIGN CORRUPT PRACTICES ACT AMENDMENTS \93\

          * * * * * * *
---------------------------------------------------------------------------
    \93\ Part I, the ``Foreign Corrupt Practices Act Amendments of 
1988'', amended sec. 104 of the Foreign Corrupt Practices Act of 1977 
(15 U.S.C. 78dd-2). The text of the amendment may be found at page 
1545. The freestanding provisions in Part I may be found at page 1556.
---------------------------------------------------------------------------

             Subtitle C--Competitiveness Policy Council Act

SEC. 5201.\94\ SHORT TITLE.

  This subtitle may be cited as the ``Competitiveness Policy 
Council Act''.
---------------------------------------------------------------------------
    \94\ 15 U.S.C. 4801 note.
---------------------------------------------------------------------------

SEC. 5202.\95\ FINDINGS AND PURPOSES.

  (a) Findings.--The Congress finds that--
---------------------------------------------------------------------------
    \95\ 15 U.S.C. 4801.
---------------------------------------------------------------------------
          (1) efforts to reverse the decline of United States 
        industry has been hindered by--
                  (A) a serious erosion in the institutions and 
                policies which foster United States 
                competitiveness including a lack of high 
                quality domestic and international economic and 
                scientific data needed to--
                          (i) reveal sectoral strengths and 
                        weaknesses;
                          (ii) identify potential new markets 
                        and future technological and economic 
                        trends; and
                          (iii) provide necessary information 
                        regarding the competitive strategies of 
                        foreign competitors;
                  (B) the lack of a coherent and consistent 
                government competitiveness policy, including 
                policies with respect to--
                          (i) international trade, finance, and 
                        investment,
                          (ii) research, science, and 
                        technology,
                          (iii) education, labor retraining, 
                        and adjustment,
                          (iv) macroeconomic and budgetary 
                        issues,
                          (v) antitrust and regulation, and
                          (vi) government procurement;
          (2) the United States economy benefits when business, 
        labor, government, academia, and public interest groups 
        work together cooperatively;
          (3) the decline of United States economic 
        competitiveness endangers the ability of the United 
        States to maintain the defense industrial base which is 
        necessary to the national security of the United 
        States;
          (4) the world is moving rapidly toward the creation 
        of an integrated and interdependent economy, a world 
        economy in which the policies of one nation have a 
        major impact on other nations;
          (5) integrated solutions to such issues as trade and 
        investment research, science, and technology, 
        education, and labor retraining and adjustments help 
        the United States compete more effectively in the world 
        economy; and
          (6) government, business, labor, academia, and public 
        interest groups shall cooperate to develop and 
        coordinate long-range strategies to help assure the 
        international competitiveness of the United States 
        economy.
  (b) Purpose.--It is the purpose of this subtitle--
          (1) to develop recommendations for long-range 
        strategies for promoting the international 
        competitiveness of the United States industries; and
          (2) to establish the Competitiveness Policy Council 
        which shall--
                  (A) analyze information regarding the 
                competitiveness of United States industries and 
                business and trade policy;
                  (B) create an institutional forum where 
                national leaders with experience and background 
                in business, labor, government, academia, and 
                public interest activities shall--
                          (i) identify economic problems 
                        inhibiting the competitiveness of 
                        United States agriculture, business, 
                        and industry;
                          (ii) develop long-term strategies to 
                        address such problem; and
                  (C) make recommendations on issues crucial to 
                the development of coordinated competitiveness 
                strategies;
                  (D) publish analysis in the form of periodic 
                reports and recommendations concerning the 
                United States business and trade policy.

SEC. 5203.\96\ COUNCIL ESTABLISHED.

  There is established the Competitiveness Policy Council 
(hereafter in this subtitle referred to as the ``Council''), an 
advisory committee under the provisions of the Federal Advisory 
Committee Act (5 U.S.C. App.).
---------------------------------------------------------------------------
    \96\ 15 U.S.C. 4802.
---------------------------------------------------------------------------

SEC. 5204.\97\ DUTIES OF THE COUNCIL.

  The Council shall--
---------------------------------------------------------------------------
    \97\ 15 U.S.C. 4803.
---------------------------------------------------------------------------
          (1) develop recommendations for national strategies 
        and on specific policies intended to enhance the 
        productivity and international competitiveness of 
        United States industries;
          (2) provide comments, when appropriate, and through 
        any existing comment procedure, on--
                  (A) private sector requests for governmental 
                assistance or relief, specifically as to 
                whether the applicant is likely, by receiving 
                the assistance or relief, to become 
                internationally competitive; and
                  (B) what actions should be taken by the 
                applicant as a condition of such assistance or 
                relief to ensure that the applicant is likely 
                to become internationally competitive;
          (3) analyze information concerning current and future 
        United States economic competitiveness useful to 
        decision making in government and industry;
          (4) create a forum where national leaders with 
        experience and background in business, labor, academia, 
        public interest activities, and government shall 
        identify and develop recommendations to address 
        problems affecting the economic competitiveness of the 
        United States;
          (5) evaluate Federal policies, regulations, and 
        unclassified international agreement on trade, science, 
        and technology to which the United States is a party 
        with respect to the impact on United States 
        competitiveness;
          (6) provide policy recommendations to the Congress, 
        the President, and the Federal departments and agencies 
        regarding specific issues concerning competitiveness 
        strategies;
          (7) monitor the changing nature of research, science, 
        and technology in the United States and the changing 
        nature of the United States economy and its capacity--
                  (A) to provide marketable, high quality goods 
                and services in domestic and international 
                markets; and
                  (B) to respond to international competition;
          (8) identify--
                  (A) Federal and private sector resources 
                devoted to increased competitiveness; and
                  (B) State and local government programs 
                devised to enhance competitiveness, including 
                joint ventures between universities and 
                corporations;
          (9) establish, when appropriate, subcouncils of 
        public and private leaders to develop recommendations 
        on long-term strategies for sectors of the economy and 
        for specific competitiveness issues;
          (10) review policy recommendations developed by the 
        subcouncils and transmit such recommendations to the 
        Federal agencies responsible for the implementation of 
        such recommendations;
          (11) prepare, publish, and distribute reports 
        containing the recommendations of the Council; and
          (12) publish their analysis and recommendations in 
        the form of an annual report to the President and the 
        Congress which also comments on the overall 
        competitiveness of the American economy.

SEC. 5205.\98\ MEMBERSHIP.

  (a) Composition and Representation.--
---------------------------------------------------------------------------
    \98\ 15 U.S.C. 4804.
---------------------------------------------------------------------------
          (1) The Council shall consist of 12 members, of 
        whom--
                  (A) four members shall be appointed by the 
                President, of whom--
                          (i) one shall be a national leader 
                        with experience and background in 
                        business;
                          (ii) one shall be a national leader 
                        with experience and background in the 
                        labor community;
                          (iii) one shall be a national leader 
                        who has been active in public interest 
                        activities; and
                          (iv) one shall be a head of a Federal 
                        department or agency;
                  (B) four members shall be appointed by the 
                majority leader and the minority leader of the 
                Senate, acting jointly, of whom--
                          (i) one shall be a national leader 
                        with experience or background in 
                        business;
                          (ii) one shall be a national leader 
                        with experience and background in the 
                        labor community;
                          (iii) one shall be a national leader 
                        with experience and background in the 
                        academic community; and
                          (iv) one shall be a representative of 
                        State or local government; and
                  (C) four members shall be appointed by the 
                Speaker, the minority leader of the House of 
                Representatives, acting jointly, of whom--
                          (i) one shall be a national leader 
                        with experience and background in 
                        business;
                          (ii) one shall be a national leader 
                        with experience and background in the 
                        labor community;
                          (iii) one shall be a national leader 
                        with experience and background in the 
                        academic community; and
                          (iv) one shall be a representative of 
                        State or local government.
          (2) In addition to the head of a Federal department 
        or agency appointed in accordance with subsection 
        (a)(1)(A)(iv), other Federal officials may participate 
        on an ex-officio basis as requested by the Council.
          (3) All members of the Council shall be individuals 
        who have a broad understanding of the United States 
        economy and the United States competitive position 
        internationally.
          (4) Not more than 6 members of the Council shall be 
        members of the same political party.
  (b) Initial Appointments.--The initial members of the Council 
shall be appointed within 30 days after the date of the 
enactment of the Customs and Trade Act of 1990.\99\
---------------------------------------------------------------------------
    \99\ Sec. 133(a)(1) of the Customs and Trade Act of 1990 (Public 
Law 101-382; 104 Stat. 648) struck out ``January 21, 1989'' and 
inserted in lieu thereof ``the date of the enactment of the Customs and 
Trade Act of 1990'' [Aug. 20, 1990].
---------------------------------------------------------------------------
  (c) Vacancies.--
          (1) A vacancy on the Council shall be filled in the 
        same manner in which the original appointment was made.
          (2) Any member appointed to fill a vacancy on the 
        Council occurring before the expiration of the term for 
        which the predecessor of such member was appointed 
        shall be appointed only for the remainder of such term.
          (3) A member of the Council may serve after the 
        expiration of the term of such member until the 
        successor of such member has taken office.
  (d) Removal.--Members of the Council may be removed only for 
malfeasance in office.
  (e) \100\ Conflict of Interest.--A member of the Council 
shall not serve as an agent for a foreign principal or a 
lobbyist for a foreign entity (as the terms ``lobbyist'' and 
``foreign entity'' are defined under section 3 of the Lobbying 
Disclosure Act of 1995).\101\
---------------------------------------------------------------------------
    \100\ Sec. 133(a)(2) of the Customs and Trade Act of 1990 (Public 
Law 101-382; 104 Stat. 648) struck out subsecs. (e) and (f) and 
inserted new subsecs. (e) and (f). These subsections previously read as 
follows:
    ``(e) Conflict of Interest.--
---------------------------------------------------------------------------

          ``(1) A member of the Council may not serve as an agent for a 
        foreign principal.
          ``(2) Members of the Council shall be required to file a 
        financial disclosure report under title II of the Ethics in 
        Government Act of 1978 (Public Law 95-521), except that such 
        reports shall be held confidential and exempt from any law 
        otherwise requiring their public disclosure.
          ``(3) Members of the Council shall be deemed to be special 
        Government employees, as defined in section 202 of title 18, 
        United States Code, for purposes of sections 201, 202, 203, 
        205, and 208 of such title.
---------------------------------------------------------------------------
    ``(f) Compensation.--
---------------------------------------------------------------------------

          ``(1) Each member of the Council who is not employed by the 
        Federal Government or any State or local government--

                  ``(A) shall be compensated at a rate equal to the 
                daily equivalent of the rate for GS-18 of the General 
                Schedule pursuant to section 5332 of title 5, United 
                States Code, for each day such member is engaged in 
                duties as a member of the Council; and
                  ``(B) shall be paid actual travel expenses, and per 
                diem in lieu of subsistence expenses when away from the 
                usual place of residence of such member, in accordance 
                with section 5703 of such title.

          ``(2) Each member of the Council who is employed by the 
        Federal Government or any State or local government shall serve 
        on the Council without additional compensation, but while 
        engaged in duties as a member of the Council shall be paid 
        actual travel expenses, and per diem in lieu of subsistence 
        expenses when away from the usual place of residence of such 
        member, in accordance with subchapter I of chapter 57 of title 
        5, United States Code.''.
---------------------------------------------------------------------------
    \101\ Sec. 12(a) of Public Law 104-65 (109 Stat. 701) added ``or a 
lobbyist for a foreign entity (as the terms ``lobbyist'' and ``foreign 
entity'' are defined under section 3 of the Lobbying Disclosure Act of 
1995)'' after ``an agent for a foreign principal''. Public Law 104-65 
amends sec. 5206(e) but also refers to 15 U.S.C. 4804(e) to be amended. 
It is interpreted that the amendment is to be applied to sec. 5205(e) 
(15 U.S.C. 4804(e)).
---------------------------------------------------------------------------
  (f) Expenses.--Each member of the Council, while engaged in 
duties as a member of the Council, shall be paid actual travel 
expenses, and per diem in lieu of subsistence expenses when 
away from the usual place of residence of such member, in 
accordance with subchapter I of chapter 57 of title 5, United 
States Code.
  (g) Quorum.--
          (1) In general.--Seven members of the Council 
        constitute a quorum, except that a lesser number may 
        hold hearings if such action is approved by a two-
        thirds vote of the entire Council.
          (2) Initial organization.--The Council shall not 
        commence its duties until all the nongovernmental 
        members have been appointed and have qualified.
  (h) Chairperson.--The Council shall elect, by a two-thirds 
vote of the entire Council, a chairperson from among the 
nongovernmental members.
  (i) Meetings.--The Council shall meet at the call of the 
chairperson or a majority of the members.
  (j) Policy Actions.--Except as provided in subsection (g), no 
action establishing policy shall be taken by the Council unless 
approved by two-thirds of the entire membership of the Council.
  (k) \102\ Alternate Members.--
---------------------------------------------------------------------------
    \102\ Sec. 133(a)(3) of the Customs and Trade Act of 1990 (Public 
Law 101-382; 104 Stat. 648) struck out subsecs. (l) and (m) following 
this section. These subsections previously read as follows:
    ``(l) Experts and Consultants.--The Council may procure temporary 
and intermittent services under section 3109(b) of title 5, United 
States Code, but at rates for individuals not to exceed the daily 
equivalent of the maximum annual rate of basic pay for GS-16 of the 
General Schedule.
    ``(m) Details.--Upon request of the Council, the head of any other 
Federal agency is authorized to detail, on a reimbursable basis, any of 
the personnel of such agency to the Council to assist the Council in 
carrying out its duties under this subtitle.''.
---------------------------------------------------------------------------
          (1) Each member of the Council shall designate one 
        alternate representative to attend any meeting that 
        such member is unable to attend.
          (2) In the course of attending any such meeting, an 
        alternate representative shall be considered a member 
        of the Council for all purposes, except for voting.

SEC. 5206.\103\ EXECUTIVE DIRECTOR AND STAFF.

  (a) Executive Director.--
---------------------------------------------------------------------------
    \103\ 15 U.S.C. 4805.
---------------------------------------------------------------------------
          (1) The principal administrative officer of the 
        Council shall be an Executive Director, who shall be 
        appointed by the Council and who shall be paid at a 
        rate not to exceed GS-18 of the General Schedule.
          (2) The Executive Director shall serve on a full-time 
        basis.
  (b) Staff.--(1) Within the limitations of appropriations to 
the Council, the Executive Director may appoint a staff for the 
Council in accordance with the Federal civil service and 
classification laws.
  (2) The staff of the Council shall be deemed to be special 
government employees as defined in section 202 of title 18, 
United States Code, for purposes of title II of the Ethics in 
Government Act of 1978 and sections 201, 202, 203, 205, 207, 
and 208 of title 18, United States Code.
    (c) \104\ Experts and Consultants.--The council may procure 
temporary and intermittent services under section 3109(b) of 
title 5, United States Code, but at rates for individuals not 
to exceed the daily equivalent of the maximum annual rate of 
basic pay for GS-16 of the General Schedule.
---------------------------------------------------------------------------
    \104\ Sec. 133(b) of the Customs and Trade Act of 1990 (Public Law 
101-382; 104 Stat. 648) added subsecs. (c) and (d).
---------------------------------------------------------------------------
    (d) \104\ Details.--Upon request of the Council, the head 
of any other Federal agency is authorized to detail, on a 
reimbursable basis, any of the personnel of such agency to the 
Council to assist the Council in carrying out its duties under 
this subtitle.

SEC. 5207.\105\ POWERS OF THE COUNCIL.

  (a) Hearings.--The Council may, for the purpose of carrying 
out the provisions of this subtitle, hold such hearings, sit 
and act at such times and places, take such testimony, and 
receive such evidence, as the Council considers appropriate. 
The Council may administer oaths or affirmations to witnesses 
appearing before the Council.
---------------------------------------------------------------------------
    \105\ 15 U.S.C. 4806.
---------------------------------------------------------------------------
  (b) Information.--
          (1)(A) Except as provided in subparagraph (B), the 
        Council may secure directly from any Federal agency 
        information necessary to enable the Council to carry 
        out the provisions of this subtitle. Upon request of 
        the chairman of the Council, the head of such agency 
        shall promptly furnish such information to the Council.
          (B) Subparagraph (A) does not apply to matters that 
        are specifically authorized under criteria established 
        by an Executive order to be kept secret in the interest 
        of national defense or foreign policy and are in fact 
        properly classified pursuant to such Executive order.
          (2) In any case in which the Council receives any 
        information from a Federal agency, the Council shall 
        not disclose such information to the public unless such 
        agency is authorized to disclose such information 
        pursuant to Federal law.
  (c) \106\ Consultation With the President and the Congress.--
No later than 120 \107\ days after the initial members are 
appointed to the Council, the Council shall submit a report to 
the President, the Senate Governmental Affairs Committee, and 
the appropriate committees of the House of Representatives and 
of the Senate, that proposes the type and scope of activities 
the Council shall undertake, including the extent to which the 
Council will coordinate activities with other advisory 
committees relating to trade and competitiveness in order to 
maximize the effectiveness of the Council.
---------------------------------------------------------------------------
    \106\ Sec. 133(c)(1) of the Customs and Trade Act of 1990 (Public 
Law 101-382; 104 Stat. 649) redesignated subsecs. (d) through (i) as 
(c) through (h), respectively. The original legislation contained no 
subsec. (c).
    \107\ Sec. 133(c)(2) of the Customs and Trade Act of 1990 (Public 
Law 101-382; 104 Stat. 649) struck out ``60'' and inserted in lieu 
thereof ``120''.
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  (d) \108\ Gifts.--The Council may accept, use, and dispose of 
gifts or donations of services or property.
  (e) \108\ Use of the Mails.--The Council may use the United 
States mails in the same manner and under the same conditions 
as other Federal agencies.
  (f) \149\ Administrative and Support Services.--The 
Administrator of General Services shall provide to the Council, 
on a reimbursable basis, such administrative and support 
services as the Council may request.
  (g) \149\ Subcouncils.--
          (1) The Council may establish, for such period of 
        time as the Council determines appropriate, subcouncils 
        of public and private leaders to analyze specific 
        competitive issues.
          (2) Any such subcouncil shall include representatives 
        of business, labor, government, and other individuals 
        or representatives of groups whose participation is 
        considered by the Council to be important to developing 
        a full understanding of the subject with which the 
        subcouncil is concerned.
          (3) Any such subcouncil shall include a 
        representative of the Federal Government.
          (4) Any such subcouncil shall assess the actual or 
        potential competitiveness problems facing the industry 
        or the specific policy issues with which the subcouncil 
        is concerned and shall formulate specific 
        recommendations for responses by business, government, 
        and labor--
                  (A) to encourage adjustment and modernization 
                of the industry involved;
                  (B) to monitor and facilitate industry 
                responsiveness to opportunities identified 
                under section 5208(b)(1)(B);
                  (C) to encourage the ability of the industry 
                involved to compete in markets identified under 
                section 5208(b)(1)(C); or
                  (D) to alleviate the problems in a specific 
                policy area facing more than one industry.
          (5) Any discussion held by any subcouncil shall not 
        be considered to violate any Federal or State antitrust 
        law.
          (6) Any discussion held by any subcouncil shall not 
        be subject to the provisions of the Federal Advisory 
        Committee Act, except that a Federal representative 
        shall attend all subcouncil meetings.
          (7) Any subcouncil shall terminate 30 days after 
        making recommendations, unless the Council specifically 
        requests that the subcouncil continue in operation.
  (h) \149\ Applicability of Advisory Committee Act.--The 
provisions of subsections (e) and (f) of section 10, of the 
Federal Advisory Committee Act shall not apply to the Council.

SEC. 5208.\108\ ANNUAL REPORT.

  (a) Submission of Report.--The Council shall annually on 
March 1 \109\ submit to the President, the Senate Governmental 
Affairs Committee, and the appropriate Committees of the House 
of Representatives and the Senate a report setting forth--
---------------------------------------------------------------------------
    \108\ 15 U.S.C. 4807.
    \109\ Sec. 133(d) of the Customs and Trade Act of 1990 (Public Law 
101-382; 104 Stat. 649) struck out ``prepare and'' and inserted in lieu 
thereof ``on March 1''.
---------------------------------------------------------------------------
          (1) the goals to achieve a more competitive United 
        States economy;
          (2) the policies needed to meet such goals;
          (3) a summary of existing policies of the Federal 
        Government or State and local governments significantly 
        affecting the competitiveness of the United States 
        economy; and
          (4) a summary of significant economic and 
        technological developments, in the United States and 
        abroad, affecting the competitive position of United 
        States industries.
  (b) Contents of Report.--The report submitted under 
subsection (a) shall--
          (1) identify and describe actual or foreseeable 
        developments, in the United States and abroad, which--
                  (A) create a significant likelihood of a 
                competitive challenge to, or of substantial 
                dislocation in, an established United States 
                industry;
                  (B) present significant opportunities for 
                United States industries to compete in new 
                geographical markets or product markets, or to 
                expand the position of such industries in 
                established markets; or
                  (C) create a significant risk that United 
                States industries shall be unable to compete 
                successfully in significant markets;
          (2) specify the industry sectors affected by the 
        developments described in the report under paragraph 
        (1); and
          (3) contain a statement of the findings and 
        recommendations of the Council during the previous 
        fiscal year, including any recommendations of the 
        Council for (a) such legislative or administrative 
        actions as the Council considers appropriate, and (b) 
        including the elimination, consolidation, 
        reorganization of government agencies especially such 
        agencies that specifically deal with research, science, 
        technology, and international trade.
  (c) Report by Congressional Committees.--The Council shall 
consult with each committee to which a report is submitted 
under this section and after such consultation, each such 
committee shall submit to its respective House a report setting 
forth the views and recommendations of such committee with 
respect to the report of the Council.

SEC. 5209.\110\ AUTHORIZATION OF APPROPRIATIONS.

  There are authorized to be appropriated for each of the 
fiscal years 1991 and 1992 \111\ such sums as may be necessary 
not to exceed $5,000,000 to carry out the provisions of this 
subtitle.
---------------------------------------------------------------------------
    \110\ 15 U.S.C. 4808.
    \111\ Sec. 133(e) of the Customs and Trade Act of 1990 (Public Law 
101-382; 104 Stat. 649) struck out ``1989 and 1990'' and inserted in 
lieu thereof ``1991 and 1992''.
---------------------------------------------------------------------------

SEC. 5210.\112\ DEFINITIONS.

  For purposes of this subtitle--
---------------------------------------------------------------------------
    \112\ 15 U.S.C. 4809.
---------------------------------------------------------------------------
          (1) the term ``Council'' means the Competitiveness 
        Policy Council established under section 5203;
          (2) the term ``member'' means a member of the 
        Competitiveness Policy Council;
          (3) the term ``United States'' means each of the 
        several States, the District of Columbia, the 
        Commonwealth of Puerto Rico, Guam, the Virgin Islands, 
        the Commonwealth of the Northern Mariana Islands, 
        American Samoa, and any other territory or possession 
        of the United States; and
          (4) the term ``agent of a foreign principal'' is 
        defined as such term is defined under subsection (d) of 
        the first section of the Foreign Agents Registration 
        Act of 1938 (22 U.S.C. 611) subject to the provisions 
        of section 3 of such Act (22 U.S.C. 613).
          * * * * * * *

                   Subtitle E--Trade Data and Studies

                    PART I--NATIONAL TRADE DATA BANK

SEC. 5401.\113\ DEFINITIONS.

  For purposes of this subtitle--
---------------------------------------------------------------------------
    \113\ 15 U.S.C. 4901.
---------------------------------------------------------------------------
          (1) the term ``Committee'' means the Interagency 
        Trade Data Advisory Committee;
          (2) the term ``Data Bank'' means the National Trade 
        Data Bank;
          (3) the term ``Executive agency'' has the same 
        meaning as in section 105 of title 5, United States 
        Code;
          (4) the term ``export promotion data system'' means 
        the data system known as the Commercial Information 
        Management System which is maintained and operated by 
        the United States and Foreign Commercial Service and is 
        established as part of the Data Bank under section 
        3816;
          (5) the term ``international economic data system'' 
        means the data system established as part of the Data 
        Bank under section 5406 which contains data useful to 
        policymakers and analysis concerned with international 
        economics; and
          (6) the term ``Secretary'' means the Secretary of 
        Commerce.

SEC. 5402.\114\ INTERAGENCY TRADE DATA ADVISORY COMMITTEE.

  (a) Establishment.--There is established the Interagency 
Trade Data Advisory Committee.
---------------------------------------------------------------------------
    \114\ 15 U.S.C. 4902.
---------------------------------------------------------------------------
  (b) Membership.--The Committee shall consist of--
          (1) the United States Trade Representative;
          (2) the Secretary of Agriculture;
          (3) the Secretary of Defense;
          (4) the Secretary of Commerce;
          (5) the Secretary of Labor;
          (6) the Secretary of the Treasury;
          (7) the Secretary of State;
          (8) the Director of the Office of Management and 
        Budget;
          (9) the Director of Central Intelligence;
          (10) the Chairman of the Federal Reserve Board;
          (11) the Chairman of the International Trade 
        Commission;
          (12) the President of the Export-Import Bank;
          (13) the President of the Overseas Private Investment 
        Corporation; and
          (14) such other members as may be appointed by the 
        President from full-time officers or employees of the 
        Federal Government.
  (c) Chairman.--The Secretary of Commerce shall be Chairman of 
the Committee.
  (d) Designees.--Any member of the Committee may appoint a 
designee to serve in place of such member on the Committee.

SEC. 5403.\115\ FUNCTIONS OF THE COMMITTEE.

  The Committee shall advise the Secretary of Commerce, as 
appropriate, on the establishment, structure, contents, and 
operation of a National Trade Data Bank in accordance with 
section 5406 in order to assure the timely collection of 
accurate data and to provide the private sector and government 
officials efficient access to economic and trade data collected 
by the Federal Government for purposes of policymaking and 
export promotion.
---------------------------------------------------------------------------
    \115\ 15 U.S.C. 4903.
---------------------------------------------------------------------------

SEC. 5404.\116\ CONSULTATION WITH THE PRIVATE SECTOR AND GOVERNMENT 
                    OFFICIALS.

  The Secretary shall regularly consult with representatives of 
the private sector and officials of State and local governments 
to assess the adequacy of United States trade information. The 
Secretary shall seek recommendations on how trade information 
can be made more accessible, understandable, and relevant. The 
Secretary shall seek recommendations as to what data should be 
included in the export promotion data system in the Data Bank.
---------------------------------------------------------------------------
    \116\ 15 U.S.C. 4904.
---------------------------------------------------------------------------

SEC. 5405.\117\ COOPERATION AMONG EXECUTIVE AGENCIES.

  Each executive agency shall furnish to the Secretary such 
information for inclusion in the National Trade Data Bank as 
the Secretary, in consultation with the Advisory Committee, 
considers necessary to the operation of the Data Bank.
---------------------------------------------------------------------------
    \117\ 15 U.S.C. 4905.
---------------------------------------------------------------------------

SEC. 5406.\118\ ESTABLISHMENT OF THE DATA BANK.

  (a) Establishment.--Within 2 years after the date of the 
enactment of this Act, the Secretary of Commerce shall 
establish the Data Bank. The Secretary shall manage the Data 
Bank. The Data Bank shall consist of two data systems, to be 
designated the International Economic Data System, as described 
in subsection (b) and the Export Promotion Data System, as 
described in subsection (c).
---------------------------------------------------------------------------
    \118\ 15 U.S.C. 4905.
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  (b) International Economic Data System.--The International 
Economic Data System shall include current and historical 
information determined by the Secretary to be useful (after the 
consultation required by section 5404) to policymakers and 
analysts concerned with international economics and trade and 
which shall include data compiled or obtained by appropriate 
executive agencies. Such information shall not identify parties 
to transactions. Such information may include data for the 
United States and countries with which the United States has 
important economic relations including--
          (1) data on imports and exports, including--
                  (A) aggregate import and export data for the 
                United States and for each foreign country;
                  (B) industry-specific import and export data 
                for each foreign country;
                  (C) product and service specific import and 
                export data for the United States;
                  (D) market penetration information; and
                  (E) foreign destinations for exports of the 
                United States;
          (2) data on international service transactions;
          (3) information on international capital markets, 
        including--
                  (A) interest rates; and
                  (B) average exchange rates;
          (4) information on foreign direct investment in the 
        United States economy;
          (5) international labor market information, 
        including--
                  (A) wage rates for major industries;
                  (B) international unemployment rates; and
                  (C) trends in international labor 
                productivity;
          (6) information on foreign government policies 
        affecting trade, including--
                  (A) trade barriers; and
                  (B) export financing policies;
          (7) import and export data for the United States on a 
        State-by-State basis aggregated at the product level 
        including--
                  (A) data concerning the country shipping the 
                import, the State of first destination, and the 
                original part of entry for imports of goods 
                and, to the extent possible, services; and
                  (B) data concerning the State of the 
                exporter, the port of departure, and the 
                country of first destination for export of 
                goods and, to the extent possible, services; 
                and
          (8) any other economic and trade data collected by 
        the Federal Government that the Secretary determines to 
        be useful in carrying out the purposes of this 
        subtitle.
  (c) Export Promotion Data System.--The export promotion data 
system shall include data and information collected by the 
Federal Government on the industrial sectors and markets of 
foreign countries which are determined by the Secretary (after 
consultation required by section 5404) to be of the greatest 
interest to United States business firms that are engaged in 
export-related activities and to Federal and State agencies 
that promote exports, while providing for the confidentiality 
of proprietary business information, and shall be designed to 
use the most effective means of disseminating data and 
information electronically through the Department, or 
Department-designated offices, or through other available data 
bases in an accurate and timely manner. Such data system shall 
monitor, organize, and disseminate selected information on--
          (1) specific business opportunities in foreign 
        countries;
          (2) specific industrial sectors within foreign 
        countries with high export potential such as--
                  (A) size of the market;
                  (B) distribution of products;
                  (C) competition;
                  (D) significant applicable laws, regulations, 
                specifications, and standards;
                  (E) appropriate government officials; and
                  (F) trade associations and other contact 
                points; and
          (3) foreign countries generally, such as--
                  (A) the general economic conditions;
                  (B) common business practices;
                  (C) significant tariff and trade barriers; 
                and
                  (D) other significant laws and regulations 
                regarding imports, licensing, and the 
                protection of intellectual property;
          (4) export financing information, including the 
        availability, through public sources of funds for 
        United States exporters and foreign competitors;
          (5) transactions involving barter and countertrade; 
        and
          (6) any other similar information, that the Secretary 
        determines to be useful in carrying out the purposes of 
        this subtitle.

SEC. 5407.\119\ OPERATION OF THE DATA BANK.

  The Secretary shall manage the Data Bank to provide the most 
appropriate data retrieval system or systems possible. Such 
system or systems shall--
---------------------------------------------------------------------------
    \119\ 15 U.S.C. 4907.
---------------------------------------------------------------------------
          (1) be designed to utilize data processing and 
        retrieval technology in monitoring, organizing, 
        analyzing, and disseminating the data and information 
        contained in the Data Bank;
          (2) use the most effective and meaningful means of 
        organizing and making such information available to--
                  (A) United States Government policymakers;
                  (B) United States business firms;
                  (C) United States workers;
                  (D) United States industry associations;
                  (E) United States agricultural interests;
                  (F) State and local economic development 
                agencies; and
                  (G) other interested United States persons 
                who could benefit from such information;
          (3) be of such quality and timeliness and in such 
        form as to assist coordinated trade strategies for the 
        United States; and
          (4) facilitate dissemination of information through 
        nonprofit organizations with significant outreach 
        programs which complement the regional outreach 
        programs of the United States and Foreign Commercial 
        Service.

SEC. 5408.\120\ INFORMATION ON THE SERVICE SECTOR.

  (a) Service Sector Information.--The Secretary shall ensure 
that, to the extent possible, there is included in the Data 
Bank information on service sector economic activity that is as 
complete and timely as information on economic activity in the 
merchandise sector.
---------------------------------------------------------------------------
    \120\ 15 U.S.C. 4908.
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  (b) Survey.--The Secretary shall undertake a new benchmark 
survey of service transactions, including transactions with 
respect to--
          (1) banking services;
          (2) information services, including computer software 
        services;
          (3) brokerage services;
          (4) transportation services;
          (5) travel services;
          (6) engineering services;
          (7) construction services; and
          (8) health services.
  (c) General Information and Index of Leading Indicators.--The 
Secretary shall provide--
          (1) not less than once a year, comprehensive 
        information on the service sector of the economy; and
          (2) an index of leading indicators which includes the 
        measurement of service sector activity in direct 
        proportion to the contribution of the service sector to 
        the gross national product of the United States.

SEC. 5409.\121\ EXCLUSION OF INFORMATION.

  The Data Bank shall not include any information--
---------------------------------------------------------------------------
    \121\ 15 U.S.C. 4909.
---------------------------------------------------------------------------
          (1) the disclosure of which to the public is 
        prohibited under any other provision of law or 
        otherwise authorized to be withheld under other 
        provision of law; or
          (2) that is specifically authorized under criteria 
        established by statute or an Executive order not to be 
        disclosed in the interest of national defense or 
        foreign policy and are in fact properly classified 
        pursuant to such Executive order.

SEC. 5410.\122\ NONDUPLICATION.

  The Secretary shall ensure that information systems created 
or developed pursuant to this subtitle do not unnecessarily 
duplicate information systems available from other Federal 
agencies or from the private sector.
---------------------------------------------------------------------------
    \122\ 15 U.S.C. 4910.
---------------------------------------------------------------------------

SEC. 5411.\123\ COLLECTION OF DATA.

  Except as provided in section 5408, nothing in this subtitle 
shall be considered to grant independent authority to the 
Federal Government to collect any data or information from 
individuals or entities outside of the Federal Government.
---------------------------------------------------------------------------
    \123\ 15 U.S.C. 4911.
---------------------------------------------------------------------------

SEC. 5412.\124\ FEES AND ACCESS.

  The Secretary shall provide reasonable public services and 
access (including electronic access) to any information 
maintained as part of the Data Bank and may charge reasonable 
fees consistent with section 552 of title 5, United States 
Code.
---------------------------------------------------------------------------
    \124\ 15 U.S.C. 4912.
---------------------------------------------------------------------------

SEC. 5413.\125\ REPORT TO CONGRESS.

  (a) Interim Report.--Not more than 1 year after the date of 
enactment of this Act, the Secretary after consultation with 
the Advisory Committee shall submit a report to the 
Governmental Affairs Committee and the Banking, Housing, and 
Urban Affairs Committee of the Senate, other appropriate 
committees of the Senate, and the House of Representatives 
describing actions taken pursuant to this subtitle, 
particularly--
---------------------------------------------------------------------------
    \125\ 15 U.S.C. 4913.
---------------------------------------------------------------------------
          (1) actions taken to provide the information on 
        services described in section 5408; and
          (2) actions taken to provide State-by-State 
        information as described in section 5406(b)(7).
  (b) Final Report.--Not more than 3 years after the date of 
enactment of this Act, the Secretary after consultation with 
the Advisory Committee shall submit a report to the 
Governmental Affairs Committee and the Banking, Housing, and 
Urban Affairs Committee of the Senate, other appropriate 
committees of the Senate, and the House of Representatives--
          (1) assessing the current quality and 
        comprehensiveness of, and the ability of the public and 
        of private entities to obtain access to trade data;
          (2) describing all other actions taken and planned to 
        be taken pursuant to this subtitle;
          (3) including comments by the private sector and by 
        State agencies that promote exports on the 
        implementation of the Data Bank;
          (4) describing the extent to which the systems within 
        the Data Bank are being used and any recommendations 
        with regard to the operation of the system; and
          (5) describing the extent to which United States 
        citizens and firms have access to the data banks of 
        foreign countries that is similar to the access 
        provided to foreign citizens and firms.

                            PART II--STUDIES

SEC. 5421.\126\ COMPETITIVENESS IMPACT STATEMENTS.

  (a) The President or the head of the appropriate department 
or agency of the Federal Government shall include in every 
recommendation or report made to the Congress on legislation 
which may affect the ability of United States firms to compete 
in domestic and international commerce a statement of the 
impact of such legislation on--
---------------------------------------------------------------------------
    \126\ 2 U.S.C. 194b.
---------------------------------------------------------------------------
          (1) the international trade and public interest of 
        the United States, and
          (2) the ability of United States firms engaged in the 
        manufacture, sale, distribution, or provision of goods 
        or services to compete in foreign or domestic markets.
  (b) This section provides no private right of action as to 
the need for or adequacy of the statement required by 
subsection (a).
  (c) This section shall cease to be effective six years from 
the date of enactment.

SEC. 5422.\127\ STUDY AND REPORT BY THE ADVISORY COUNCIL ON FEDERAL 
                    PARTICIPATION IN SEMATECH.

  (a) Study and Report.--Not later than February 1, 1989, and 
annually thereafter for each fiscal year in which appropriated 
funds are expended for Sematech the Advisory Council on Federal 
Participation in Sematech established under section 273(a) of 
the National Defense Authorization Act for fiscal years 1988 
and 1989 (15 U.S.C. 4603(a); Public Law 100-180) shall conduct 
a study and submit a report to the Governmental Affairs 
Committee and the Armed Services Committee of the Senate and to 
appropriate committees of the House of Representatives 
concerning Federal participation in Sematech. The study and 
report shall be conducted under the direction of the Under 
Secretary of Commerce for Economic Affairs.
---------------------------------------------------------------------------
    \127\ 15 U.S.C. 4603a.
---------------------------------------------------------------------------
  (b) Council Recommendations and Report.--The Council shall 
include in the report submitted under subsection (a) the 
following:
          (1) identification of potential sources of Federal 
        funding from department and agency budgets for Sematech 
        and recommendations concerning methods and terms of 
        Federal financial participation in Sematech, including 
        grants, loans, loan guarantees, and contributions in 
        kind. The feasibility of methods of Federal recoupment 
        shall also be considered;
          (2) definition and assessment of continued Federal 
        participation in Sematech including, but not limited 
        to, issues of technology research and development, 
        civilian and defense industrial base objectives and 
        initiatives, and commercialization. The report shall 
        include a summary of the most recent plans, milestones, 
        and cost estimates for Sematech, including any changes 
        and alterations, and shall comment on Sematech's 
        accomplishments and shortfalls in the preceding fiscal 
        year;
          (3) coordination of inter-agency participation, 
        including all matters pertaining to Federal funding and 
        decisionmaking, and other issues regarding Federal 
        participation in Sematech; and
          (4) any other issues and questions the Council deems 
        appropriate shall be considered.

SEC. 5423. IMPACT OF NATIONAL DEFENSE EXPENDITURES ON INTERNATIONAL 
                    COMPETITIVENESS.

  (a) Findings.--The Congress finds that the ability of United 
States industries to compete in world markets may be adversely 
affected by the following factors:
          (1) The allocation of intellectual resources between 
        the private and public sectors.
          (2) The distribution of innovative research and 
        development between commercial and noncommercial 
        applications.
          (3) The number of scientific advances which are 
        ultimately commercialized.
          (4) The cost of capital which is affected by many 
        factors including the budget deficit and defense 
        spending.
  (b) Sense of Congress.--It is the sense of Congress that the 
President should evaluate the impact on United States 
competitiveness of--
          (1) the defense spending by foreign countries, 
        particularly Japan's expenditure of 1 percent of its 
        gross national product for defense compared to the 
        expenditure of the United States of 6 percent of its 
        gross national product, and
          (2) the other factors listed in subsection (a).
          * * * * * * *

    TITLE VI--EDUCATION AND TRAINING FOR AMERICAN COMPETITIVENESS--
                         [Repealed--1994] \128\
---------------------------------------------------------------------------

    \128\ Title VI, the ``Education and Training for a Competitive 
America Act of 1988'', was repealed by sec. 391(i) of Public Law 103-
382 (108 Stat. 4023).
---------------------------------------------------------------------------
          * * * * * * *

               TITLE VII--BUY AMERICAN ACT OF 1988 \129\

          * * * * * * *
---------------------------------------------------------------------------
    \129\ Title VII amended the Buy American Act (41 U.S.C. 10A-10d).
---------------------------------------------------------------------------

                    TITLE VIII--SMALL BUSINESS \130\

SEC. 8001.\131\ SHORT TITLE.

    This title may be cited as the ``Small Business 
International Trade and Competitiveness Act''.
---------------------------------------------------------------------------
    \130\ Title VIII, the ``Small Business International Trade and 
Competitiveness Act'', amended the Small Business Act (15 U.S.C. 631). 
The freestanding provisions are reproduced here.
    \131\ 15 U.S.C. 631 note.
---------------------------------------------------------------------------
          * * * * * * *

SEC. 8009.\131\ GLOBALIZATION OF PRODUCTION.

  Within one year after the date of enactment of this Act, the 
Administrator of the Small Business Administration shall submit 
a written report to the Committees on Small Business of the 
House of Representatives and the Senate, prepared by the 
Administration in conjunction with the Bureau of Census and in 
cooperation with other relevant agencies, that would--
          (1) analyze to the extent possible the effect of 
        increased outsourcing and other shifts in production 
        arrangements on small firms, particularly manufacturing 
        firms, within the United States subcontractor tier and 
        to the extent that such data is not available determine 
        methods by which such data may be collected;
          (2) assess the impact of specific economic policies, 
        including, but not limited to, procurement, tax and 
        trade policies, in facilitating outsourcing and other 
        international production arrangements; and
          (3) make recommendations as to changes in Government 
        policy that would improve the competitive position of 
        smaller United States subcontractors, including 
        recommendations as to incentives which could be 
        provided to larger corporations to maximize their use 
        of United States subcontractors and assist these 
        subcontractors in changing production and marketing 
        strategies and in obtaining new business in domestic 
        and foreign markets.

SEC. 8010.\131\ SMALL BUSINESS TRADE REMEDY ASSISTANCE.

  Not later than December 1, 1988, the Comptroller General of 
the United States shall conduct a study and submit a report to 
the Committee on Governmental Affairs and the Committee on 
Small Business of the Senate, as well as to other appropriate 
committees of the Senate, and to the Committee on Small 
Business and the Committee on Ways and Means of the House of 
Representatives on the costs incurred by small businesses in 
pursuing rights and remedies under the trade laws. Such report 
shall include an analysis of--
          (1) the costs incurred by small businesses (and trade 
        associations whose membership is primarily small 
        business) in pursuing investigations under the trade 
        remedy laws, including--
                  (A) antidumping investigations and 
                proceedings under title VII of the Tariff Act 
                of 1930;
                  (B) countervailing duty investigations and 
                proceedings under section 303 or title VII of 
                the Tariff Act of 1930;
                  (C) unfair trade practice investigations 
                under section 337 of the Tariff Act of 1930;
                  (D) investigations under chapter 1 of title 
                III of the Tariff Act of 1974;
                  (E) import relief investigations under 
                chapter 1 of title II of the Trade Act of 1974;
                  (F) market disruption investigations under 
                section 406 of the Trade Act of 1974; and
                  (G) national security relief investigations 
                under section 232 of the Trade Expansion Act of 
                1962;
          (2) the extent of assistance and information provided 
        by the Trade Remedy Assistance Office of the United 
        States International Trade Commission;
          (3) the ability of small businesses to generate the 
        information and resources needed for such 
        investigations; and
          (4) the costs and benefits to the Federal Government 
        of either--
                  (A) providing reimbursement to small 
                businesses for legal expenses incurred in 
                pursuing trade remedies; or
                  (B) providing direct legal assistance to 
                small businesses.

SEC. 8011.\131\ NATIONAL SEMINAR ON SMALL BUSINESS EXPORTS.

  (a) Seminar.--The Administration shall conduct a National 
Seminar on Small Business Exports within one year following 
enactment of this Act in order to develop recommendations 
designed to stimulate exports from small companies. The Seminar 
shall build upon the information collected by the 
Administration through previously conducted regional small 
business trade conferences.
  (b) Assistance by Experts.--For the purpose of ascertaining 
facts and developing policy recommendations concerning the 
expansion of United States exports from small companies the 
Seminar shall bring together individuals who are experts in the 
fields of international trade and small business development 
and representatives of small businesses, associations, the 
labor community, academic institutions, and Federal, State and 
local governments.
  (c) Recommendations Concerning Utility of International 
Conference.--The Seminar shall specifically consider the 
utility of, and make recommendations regarding, a subsequent 
International Conference on Small Business and Trade that 
would--
          (1) help establish linkages between United States 
        small business owners and small business owners in 
        foreign countries;
          (2) enable United States small business owners to 
        learn how others organize themselves for exporting; and
          (3) foster greater consideration of small business 
        concerns in the GATT.

SEC. 8012.\131\ TRADE NEGOTIATIONS.

  It is the sense of the Congress that the interests of the 
small business community have not been adequately represented 
in trade policy formulation and in trade negotiations. 
Therefore, it is the sense of the Congress that the 
Administrator of the Small Business Administration should be 
appointed as a member of the Trade Policy Committee and that 
the United States Trade Representative should consult with the 
Small Business Administration and its Office of Advocacy in 
trade policy formulation and in trade negotiations.
  Further, it is the sense of the Congress that the United 
States Trade Representative would better serve the needs of the 
small business community with full-time staff assistance with 
responsibilities for small business trade issues.
  Further, it is the sense of the Congress that the United 
States Trade Representative should appoint a special trade 
assistant for small business.

SEC. 8013.\131\ PROMULGATION OF REGULATIONS.

  Notwithstanding any law, rule, or regulation, the Small 
Business Administration shall promulgate final regulations to 
carry out the provisions of this title within six months after 
the date of enactment of this title.

SEC. 8014.\131\ EFFECTIVE DATE.

  This title shall become effective on the date of its 
enactment.
          * * * * * * *

                 TITLE X--OCEAN AND AIR TRANSPORTATION

                 Subtitle A--Foreign Shipping Practices

SEC. 10001.\132\ SHORT TITLE.

  This subtitle may be cited as the ``Foreign Shipping 
Practices Act of 1988''.
---------------------------------------------------------------------------
    \132\ 46 U.S.C. app. 1701 note.
---------------------------------------------------------------------------

SEC. 10002.\133\ FOREIGN LAWS AND PRACTICES.

  (a) Definitions.--For purposes of this section--
---------------------------------------------------------------------------
    \133\ 46 U.S.C. app. 1710a.
---------------------------------------------------------------------------
          (1) ``common carrier'', ``marine terminal operator'', 
        ``ocean transportation intermediary'',\134\ ``ocean 
        common carrier'', ``person'', ``shipper'', ``shippers' 
        association'', and ``United States'' have the meanings 
        given each such term, respectively, in section 3 of the 
        Shipping Act of 1984 (46 App. U.S.C. 1702);
---------------------------------------------------------------------------
    \134\ Sec. 111(1) of Public Law 105-258 (112 Stat 1911), the Ocean 
Shipping Reform Act of 1998, struck out ``non-vessel-operating-common-
carrier'' and inserted in lieu thereof ``ocean transportation 
intermediary''.
---------------------------------------------------------------------------
          (2) ``foreign carrier'' means an ocean common carrier 
        a majority of whose vessels are documented under the 
        laws of a country other than the United States;
          (3) ``maritime services'' means port-to-port carriage 
        of cargo by the vessels operated by ocean common 
        carriers;
          (4) ``maritime-related services'' means intermodal 
        operations, terminal operations, cargo 
        solicitation\135\, agency services, ocean 
        transportation intermediary services\136\ and 
        operations, and all other activities and services 
        integral to total transportation systems of ocean 
        common carriers and their foreign domiciled affiliates 
        on their own and others' behalf;
---------------------------------------------------------------------------
    \135\ Sec. 111(2) of Public Law 105-258 (112 Stat. 1911) struck out 
the words ``forwarding and.''
    \136\ Sec. 111(3) of Public Law 105-258 (112 Stat. 1911) struck out 
``non-vessel-operating common carrier'' and inserted in lieu thereof 
``ocean transportation intermediary''.
---------------------------------------------------------------------------
          (5) ``United States carrier'' means an ocean common 
        carrier which operates vessels documented under the 
        laws of the United States; and
          (6) ``United States oceanborne trade'' means the 
        carriage of cargo between the United States and a 
        foreign country, whether direct or indirect, by an 
        ocean common carrier.
  (b) Authority To Conduct Investigations.--The Federal 
Maritime Commission shall investigate whether any laws, rules, 
regulations, policies, or practices of foreign governments, or 
any practices of foreign carriers or other persons providing 
maritime or maritime-related services in a foreign country 
result in the existence of conditions that--
          (1) adversely affect the operations of United States 
        carriers in United States oceanborne trade; and
          (2) do not exist for foreign carriers of that country 
        in the United States under the laws of the United 
        States or as a result of acts of United States carriers 
        or other persons providing maritime or maritime-related 
        services in the United States.
  (c) Investigations.--(1) Investigations under subsection (b) 
of this section may be initiated by the Commission on its own 
motion or on the petition of any person, including any common 
carrier, shipper, shippers' association, ocean transportation 
intermediary,\137\ or marine terminal operator, or any branch, 
department, agency, or other component of the Government of the 
United States.
---------------------------------------------------------------------------
    \137\ Sec. 111(4) of Public Law 105-258, the Ocean Shipping Reform 
Act of 1998 (112 Stat. 1911) struck out ``freight forwarder'' and 
inserted in lieu thereof ``transportation intermediary''.
---------------------------------------------------------------------------
  (2) The Commission shall complete any such investigation and 
render a decision within 120 days after it is initiated, except 
that the Commission may extend such 120-day period for an 
additional 90 days if the Commission is unable to obtain 
sufficient information to determine whether a condition 
specified in subsection (b) of this section exists. Any notice 
providing such an extension shall clearly state the reasons for 
such extension.
  (d) Information Requests.--(1) In order to further the 
purposes of subsection (b) of this section, the Commission may, 
by order, require any person (including any common carrier, 
shipper, shippers' association, ocean freight forwarder, or 
marine terminal operator, or any officer, receiver, trustee, 
lessee, agent or employee thereof) to file with the Commission 
any periodic or special report, answers to questions, 
documentary material, or other information which the Commission 
considers necessary or appropriate. The Commission may require 
that the response to any such order shall be made under oath. 
Such response shall be furnished in the form and within the 
time prescribed by the Commission.
  (2) In an investigation under subsection (b) of this section, 
the Commission may issue subpoenas to compel the attendance and 
testimony of witnesses and the production of records or other 
evidence.
  (3) Notwithstanding any other provision of law, the 
Commission may, in its discretion, determine that any 
information submitted to it in response to a request under this 
subsection, or otherwise, shall not be disclosed to the public.
  (e) Action Against Foreign Carriers.--(1) Whenever, after 
notice and opportunity for comment or hearing, the Commission 
determines that the conditions specified in subsection (b) of 
this section exist, the Commission shall take such action as it 
considers necessary and appropriate against any foreign carrier 
that is a contributing cause to, or whose government is a 
contributing cause to, such conditions, in order to offset such 
conditions. Such action may include--
          (A) limitations on sailings to and from United States 
        ports or on the amount or type of cargo carried;
          (B) suspension, in whole or in part, of any or all 
        tariffs and service contracts\138\, including the right 
        of an ocean common carrier to use any or all tariffs 
        and service contracts\138\ of conferences in United 
        States trades of which it is a member for such period 
        as the Commission specifies;
---------------------------------------------------------------------------
    \138\ Sec. 111(6) of Public Law 105-258, the Ocean Shipping Reform 
Act of 1998 (112 Stat. 1911) struck out ``filed with the Commission'' 
and inserted ``and service contracts'' after ``tariffs''.
---------------------------------------------------------------------------
          (C) suspension, in whole or in part, of the right of 
        an ocean common carrier to operate under any agreement 
        filed with the Commission, including agreements 
        authorizing preferential treatment at terminals, 
        preferential terminal leases, space chartering, or 
        pooling of cargo or revenues with other ocean common 
        carriers; and
          (D) a fee, not to exceed $1,000,000 per voyage.
  (2) The Commission may consult with, seek the cooperation of, 
or make recommendations to other appropriate Government 
agencies prior to taking any action under this subsection.
  (3) Before a determination under this subsection becomes 
effective or a request is made under subsection (f) of this 
section, the determination shall be submitted immediately to 
the President who may, within 10 days after receiving such 
determination, disapprove the determination in writing, setting 
forth the reasons for the disapproval, if the President finds 
that disapproval is required for reasons of the national 
defense or the foreign policy of the United States.
  (f) Actions Upon Request of the Commission.--Whenever the 
conditions specified in subsection (b) of this section are 
found by the Commission to exist, upon the request of the 
Commission--
          (1) the collector of customs at any port or place of 
        destination in the United States shall refuse the 
        clearance required by section 4197 of the Revised 
        Statutes (46 App. U.S.C. 91) to any vessel of a foreign 
        carrier that is identified by the Commission under 
        subsection (e) of this section; and
          (2) the Secretary of the department in which the 
        Coast Guard is operating shall deny entry, for purposes 
        of oceanborne trade, of any vessel of a foreign carrier 
        that is identified by the Commission under subsection 
        (e) of this section to any port or place in the United 
        States or the navigable waters of the United States, or 
        shall detain any such vessel at the port or place in 
        the United States from which it is about to depart for 
        any other port or place in the United States.
  (g) Report.--The Commission shall include in its annual 
report to Congress--
          (1) a list of the twenty foreign countries which 
        generated the largest volume of oceanborne liner cargo 
        for the most recent calendar year in bilateral trade 
        with the United States;
          (2) an analysis of conditions described in subsection 
        (b) of this section being investigated or found to 
        exist in foreign countries;
          (3) any actions being taken by the Commission to 
        offset such conditions;
          (4) any recommendations for additional legislation to 
        offset such conditions; and
          (5) a list of petitions filed under subsection (c) of 
        this section that the Commission rejected, and the 
        reasons for each such rejection.
  (h) The actions against foreign carriers authorized in 
subsections (e) and (f) of this section may be used in the 
administration and enforcement of section 13(b)(6)\139\ of the 
Shipping Act of 1984 (46 App. U.S.C. 1712(b)(5)) or section 
19(1)(b) of the Merchant Marine Act, 1920 (46 App. U.S.C. 876).
---------------------------------------------------------------------------
    \139\ Sec. 111(7) of Public Law 105-258, the Ocean Shipping Reform 
Act of 1998 (112 Stat. 1911) struck out ``(b)(5)'' and inserted in lieu 
thereof ``(b)(6)''.
---------------------------------------------------------------------------
  (i) Any rule, regulation or final order of the Commission 
issued under this section shall be reviewable exclusively in 
the same forum and in the same manner as provided in section 
2342(3)(B) of title 28, United States Code.
          * * * * * * *
                    (2) Uruguay Round Agreements Act

    Partial text of Public Law 103-465 [H.R. 5110], 108 Stat. 4809, 
   approved December 8, 1994; amended by Public Law 104-127 [Federal 
 Agriculture Improvement and Reform Act of 1996; H.R. 2854], 110 Stat. 
  888, approved April 4, 1996; Public Law 104-188 [Small Business Job 
Protection Act of 1996; H.R. 3448], 110 Stat. 1755, approved August 20, 
  1996; and by Public Law 104-295 [Miscellaneous Trade and Technical 
 Corrections Act of 1996; H.R. 3815], 110 Stat. 3514, approved October 
                                11, 1996

 AN ACT To approve and implement the trade agreements concluded in the 
           Uruguay Round of multilateral trade negotiations.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

SECTION 1.\1\ SHORT TITLE AND TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Uruguay 
Round Agreements Act''.
---------------------------------------------------------------------------
    \1\ 19 U.S.C. 3501 note.
---------------------------------------------------------------------------
    (b) Table of Contents.--* * *

SEC. 2.\2\ DEFINITIONS.

    For purposes of this Act:
---------------------------------------------------------------------------
    \2\ 19 U.S.C. 3501.
---------------------------------------------------------------------------
          (1) GATT 1947; gatt 1994.--
                  (A) GATT 1947.--The term ``GATT 1947'' means 
                the General Agreement on Tariffs and Trade, 
                dated October 30, 1947, annexed to the Final 
                Act Adopted at the Conclusion of the Second 
                Session of the Preparatory Committee of the 
                United Nations Conference on Trade and 
                Employment, as subsequently rectified, amended, 
                or modified by the terms of legal instruments 
                which have entered into force before the date 
                of entry into force of the WTO Agreement.
                  (B) GATT 1994.--The term ``GATT 1994'' means 
                the General Agreement on Tariffs and Trade 
                annexed to the WTO Agreement.
          (2) HTS.--The term ``HTS'' means the Harmonized 
        Tariff Schedule of the United States.
          (3) International trade commission.--The term 
        ``International Trade Commission'' means the United 
        States International Trade Commission.
          (4) Multilateral trade agreement.--The term 
        ``multilateral trade agreement'' means an agreement 
        described in section 101(d) of this Act (other than an 
        agreement described in paragraph (17) or (18) of such 
        section).
          (5) Schedule xx.--The term ``Schedule XX'' means 
        Schedule XX--United States of America annexed to the 
        Marrakesh Protocol to the GATT 1994.
          (6) Trade representative.--The term ``Trade 
        Representative'' means the United States Trade 
        Representative.
          (7) Uruguay round agreements.--The term ``Uruguay 
        Round Agreements'' means the agreements approved by the 
        Congress under section 101(a)(1).
          (8) World trade organization and wto.--The terms 
        ``World Trade Organization'' and ``WTO'' mean the 
        organization established pursuant to the WTO Agreement.
          (9) WTO agreement.--The term ``WTO Agreement'' means 
        the Agreement Establishing the World Trade Organization 
        entered into on April 15, 1994.
          (10) WTO members and wto member country.--The terms 
        ``WTO member'' and ``WTO member country'' means a 
        state, or separate customs territory (within the 
        meaning of Article XII of the WTO Agreement), with 
        respect to which the United States applies the WTO 
        Agreement.

 TITLE I--APPROVAL OF, AND GENERAL PROVISIONS RELATING TO, THE URUGUAY 
                            ROUND AGREEMENTS

       Subtitle A--Approval of Agreements and Related Provisions

SEC. 101.\3\ APPROVAL AND ENTRY INTO FORCE OF THE URUGUAY ROUND 
                    AGREEMENTS.

    (a) Approval of Agreements and Statement of Administrative 
Action.--Pursuant to section 1103 of the Omnibus Trade and 
Competitiveness Act of 1988 (19 U.S.C. 2903) and section 151 of 
the Trade Act of 1974 (19 U.S.C. 2191), the Congress approves--
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    \3\ 19 U.S.C. 3511.
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          (1) the trade agreements described in subsection (d) 
        resulting from the Uruguay Round of multilateral trade 
        negotiations under the auspices of the General 
        Agreement on Tariffs and Trade, entered into on April 
        15, 1994, and submitted to the Congress on September 
        27, 1994; and
          (2) the statement of administrative action proposed 
        to implement the agreements that was submitted to the 
        Congress on September 27, 1994.
    (b) \4\ Entry Into Force.--At such time as the President 
determines that a sufficient number of foreign countries are 
accepting the obligations of the Uruguay Round Agreements, in 
accordance with article XIV of the WTO Agreement, to ensure the 
effective operation of, and adequate benefits for the United 
States under, those Agreements, the President may accept the 
Uruguay Round Agreements and implement article VIII of the WTO 
Agreement.
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    \4\ In a memorandum for the USTR, the President, on Dec. 23, 1994, 
determined that, with the commitment of Canada, the European Community, 
Mexico, Japan, and other major trading countries, a sufficient number 
of foreign countries had accepted the obligations of the Agreement 
Establishing the World Trade Organization, and so directed the USTR or 
his designee to accept the Uruguay Round Agreements on behalf of the 
United States (60 F.R. 1003).
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    (c) Authorization of Appropriations.--There are authorized 
to be appropriated annually such sums as may be necessary for 
the payment by the United States of its share of the expenses 
of the WTO.
    (d) Trade Agreements to Which This Act Applies.--Subsection 
(a) applies to the WTO Agreement and to the following 
agreements annexed to that Agreement:
          (1) The General Agreement on Tariffs and Trade 1994.
          (2) The Agreement on Agriculture.
          (3) The Agreement on the Application of Sanitary and 
        Phytosanitary Measures.
          (4) The Agreement on Textiles and Clothing.
          (5) The Agreement on Technical Barriers to trade.
          (6) The Agreement on Trade-Related Investment 
        Measures.
          (7) The Agreement on Implementation of Article VI of 
        the General Agreement on Tariffs and Trade 1994.
          (8) The Agreement on Implementation of Article VII of 
        the General Agreement on Tariffs and Trade 1994.
          (9) The Agreement on Preshipment Inspection.
          (10) The Agreement on Rules of Origin.
          (11) The Agreement on Import Licensing Procedures.
          (12) The Agreement on Subsidies and Countervailing 
        Measures.
          (13) The Agreement on Safeguards.
          (14) The General Agreement on Trade in Services.
          (15) The Agreement on Trade-Related Aspects of 
        Intellectual Property Rights.
          (16) The Understanding on Rules and Procedures 
        Governing the Settlement of Disputes.
          (17) The Agreement on Government Procurement.
          (18) The International Bovine Meat Agreement.

SEC. 102.\5\ RELATIONSHIP OF THE AGREEMENTS TO UNITED STATES LAW AND 
                    STATE LAW.

    (a) Relationship of Agreements to United States Law.--
          (1) United states law to prevail in conflict.--No 
        provision of any of the Uruguay Round agreements, nor 
        the application of any such provision to any person or 
        circumstance, that is inconsistent with any law of the 
        United States shall have effect.
---------------------------------------------------------------------------
    \5\ 19 U.S.C. 3512.
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          (2) Construction.--Nothing in this Act shall be 
        construed--
                  (A) to amend or modify any law of the United 
                States, including any law relating to--
                          (i) the protection of human, animal, 
                        or plant life or health,
                          (ii) the protection of the 
                        environment, or
                          (iii) worker safety, or
                  (B) to limit any authority conferred under 
                any law of the United States, including section 
                301 of the Trade Act of 1974,
        unless specifically provided for in this Act.
    (b)-(d) * * *

SEC. 103.\6\ IMPLEMENTING ACTIONS IN ANTICIPATION OF ENTRY INTO FORCE; 
                    REGULATIONS.

    (a) Implementing Actions.--After that date of the enactment 
of this Act--
---------------------------------------------------------------------------
    \6\ 19 U.S.C. 3513.
---------------------------------------------------------------------------
          (1) the President may proclaim such actions, and
          (2) other appropriate officers of the United States 
        Government may issue such regulations,
as may be necessary to ensure that any provision of this Act, 
or amendment made by this Act, that takes effect on the date 
any of the Uruguay Round Agreements enters into force with 
respect to the United States is appropriately implemented on 
such date. Such proclamation or regulation may not have an 
effective date earlier than the date of entry into force with 
respect to the United States of the agreement to which the 
proclamation or regulation relates.
    (b) Regulations.--Any interim regulation necessary or 
appropriate to carry out any action proposed in the statement 
of administrative action approved under section 101(a) to 
implement an agreement described in section 101(d) (7), (12), 
or (13) shall be issued not later than 1 year after the date on 
which the agreement enters into force with respect to the 
United States.
          * * * * * * *

                     Subtitle D--Related Provisions

SEC. 131.\7\ WORKING PARTY ON WORKER RIGHTS.

    (a) In General.--The President shall seek the establishment 
in the GATT 1947, and, upon entry into force of the WTO 
Agreement with respect to the United States, in the WTO, of a 
working party to examine the relationship of internationally 
recognized worker rights, as defined in section 507(4) \8\ of 
the Trade Act of 1974, to the articles, objectives, and related 
instruments of the GATT 1947 and of the WTO, respectively.
---------------------------------------------------------------------------
    \7\ 19 U.S.C. 3551.
    \8\ Sec. 1954(a)(6) of Public Law 104-188 (110 Stat. 1928) struck 
out ``504(a)(7)'' and inserted in lieu thereof ``507(4)''.
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    (b) Objectives of Working Party.--The objectives of the 
United States for the working party described in subsection (a) 
are to--
          (1) explore the linkage between international trade 
        and internationally recognized worker rights, as 
        defined in section 507(4) \8\ of the Trade Act of 1974, 
        taking into account differences in the level of 
        development among countries;
          (2) examine the effects on international trade of the 
        systematic denial of such rights;
          (3) consider ways to address such effects; and
          (4) develop methods to coordinate the work program of 
        the working party with the International Labor 
        Organization.
    (c) Report to Congress.--The President shall report to the 
Congress, not later than 1 year after the date of the enactment 
of this Act, on the progress made in establishing the working 
party under this section, and on United States objectives with 
respect to the working party's work program.

SEC. 132.\9\ IMPLEMENTATION OF RULES OF ORIGIN WORK PROGRAM.

    If the President enters into an agreement developed under 
the work program described in Article 9 of the Agreement on 
Rules of Origin referred to in section 101(d)(10), the 
President may implement United States obligations under such an 
agreement under United States law only pursuant to authority 
granted to the President for that purpose by law enacted after 
the effective date of this section.\10\
---------------------------------------------------------------------------
    \9\ 19 U.S.C. 3552.
    \10\ Sec. 20(a)(2) of Public Law 104-295 (110 Stat. 3527) struck 
out ``title'' and inserted in lieu thereof ``section''.
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SEC. 133.\11\ MEMBERSHIP IN WTO OF BOYCOTTING COUNTRIES.

    It is the sense of the Congress that the Trade 
Representative should vigorously oppose the admission into the 
World Trade Organization of any country which, through its 
laws, regulations, official policies, or governmental 
practices, fosters, imposes, complies with, furthers, or 
supports any boycott described in section 8(a) of the Export 
Administration Act of 1979 (50 U.S.C. App. 2407(a)) (as in 
effect on August 20, 1994), including requiring or encouraging 
entities within that country to refuse to do business with 
persons who do not comply with requests to take any action 
prohibited under that section.
---------------------------------------------------------------------------
    \11\ 19 U.S.C. 3553.
---------------------------------------------------------------------------

SEC. 134.\12\ AFRICA TRADE AND DEVELOPMENT POLICY.

    (a) Development of Policy.--The President should develop 
and implement a comprehensive trade and development policy for 
the countries of Africa.
---------------------------------------------------------------------------
    \12\ 19 U.S.C. 3554.
---------------------------------------------------------------------------
    (b) Reports to Congress.--The President shall, not later 
than 12 months after the date of the enactment of this Act and 
annually thereafter for a period of 4 years, submit to the 
Committee on Ways and Means and the Committee on Foreign 
Affairs \13\ of the House of Representatives, the Committee on 
Finance and the Committee on Foreign Relations of the Senate, 
and other appropriate committees of the Congress, a report on 
the steps taken to carry out subsection (a).
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    \13\ Sec. 1(a)(5) of Public Law 104-14 (109 Stat. 186) provided 
that references to the Committee on Foreign Affairs of the House of 
Representatives should be treated as referring to the Committee on 
International Relations of the House of Representatives.
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          * * * * * * *

                TITLE IV--AGRICULTURE-RELATED PROVISIONS

                        Subtitle A--Agriculture

          * * * * * * *

                            Part II--Exports

SEC. 411.\14\ EXPORT PROGRAMS.

    (a) Export Enhancement Program.--
          (1) Short title.--This subsection may be cited as the 
        ``Export Enhancement Program Amendments of 1994''.
---------------------------------------------------------------------------
    \14\ 7 U.S.C. 5601 note.
---------------------------------------------------------------------------
          (2)-(4) * * *
    (b)-(d) * * *
    (e) \15\ * * * [Repealed--1996]
---------------------------------------------------------------------------
    \15\ Formerly at 19 U.S.C. 3611. Sec. 201(b) of the Federal 
Agriculture Improvement and Reform Act (Public Law 104-127; 110 Stat. 
951) repealed sec. 411 after inserting nearly identical language into 
sec. 3 of the Agricultural Trade Development and Assistance Act of 1954 
(7 U.S.C. 1691a; see Legislation on Foreign Relations Through 2002, 
vol. I-B).
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          * * * * * * *
                   (3) Trade Act of 1974, as amended

Partial text of Public Law 93-618 [H.R. 10710], 88 Stat. 1978, approved 
    January 3, 1975; as amended by Public Law 94-455 [Tax Reform Act of 
    1976; H.R. 10612], 90 Stat. 1520 at 1763, approved October 4, 1976; 
    Public Law 96-39 [Trade Agreements Act of 1979; H.R. 4537], 93 
    Stat. 144, approved July 26, 1979; Public Law 96-417 [Customs 
    Courts Act of 1980; S. 1654], 94 Stat. 1727 at 1746, approved 
    October 10, 1980; Public Law 97-35 [Omnibus Budget Reconciliation 
    Act of 1981; H.R. 3982], 95 Stat. 357 at 881-893, approved August 
    13, 1981; Public Law 97-164 [Federal Courts Improvement Act of 
    1982; H.R. 4482], 96 Stat. 49, approved April 2, 1982; Public Law 
    97-456 [H.R. 6094], 96 Stat. 2503, approved January 12, 1983; 
    Public Law 98-120 [H.R. 3813], 97 Stat. 809, approved October 12, 
    1983; Public Law 98-369 [Deficit Reduction Act of 1984; H.R. 4170], 
    98 Stat. 494 at 1172, approved July 18, 1984; Public Law 98-573 
    [Trade and Tariff Act of 1984; H.R. 3398], 98 Stat. 2948, approved 
    October 30, 1984; Public Law 99-47 [United States-Israel Free Trade 
    Area Implementation Act of 1985; H.R. 2268], 99 Stat. 85, approved 
    June 11, 1985; Public Law 99-107 [Emergency Extension Act of 1985; 
    H.R. 3452], 99 Stat. 479, approved September 30, 1985; Public Law 
    99-155 [H.R. 3721], 99 Stat. 814, approved November 14, 1985; 
    Public Law 99-189 [H.R. 3981], 99 Stat. 1184, approved December 18, 
    1985; Public Law 99-272 [Comprehensive Omnibus Budget 
    Reconciliation Act of 1986; H.R. 3128], 100 Stat. 82, approved 
    April 7, 1986; Public Law 99-514 [Tax Reform Act of 1986; H.R. 
    3838], 100 Stat. 2085 at 2923, approved October 26, 1986; Public 
    Law 99-570 [Anti-Drug Abuse Act of 1986; H.R. 5484], 100 Stat. 
    3207, approved October 27, 1986; Public Law 100-203 [Omnibus Budget 
    Reconciliation Act of 1987; H.R. 3545], 101 Stat. 1330-382, 
    approved December 22, 1987; Public Law 100-204 [Foreign Relations 
    Authorization Act, Fiscal Year 1988 and 1989; H.R. 1777], 101 Stat. 
    1331, approved December 22, 1987; Public Law 100-418 [Omnibus Trade 
    and Competitiveness Act of 1988; H.R. 4848], 102 Stat. 1107, 
    approved August 23, 1988; Public Law 100-647 [Technical and 
    Miscellaneous Revenue Act of 1988; H.R. 4333], 102 Stat. 3342, 
    approved November 10, 1988; Public Law 100-690 [Anti-Drug Abuse Act 
    of 1988; H.R. 5210], 102 Stat. 4181, approved November 18, 1988; 
    Public Law 101-179 [Support for East European Democracy (SEED) Act 
    of 1989; H.R. 3402], 103 Stat. 1298, approved November 28, 1989; 
    Public Law 101-207 [S. 1164], 103 Stat. 1833, approved December 7, 
    1989; Public Law 101-231 [International Narcotics Control Act of 
    1989; H.R. 3611], 103 Stat. 1954, approved December 13, 1989; 
    Public Law 101-382 [Customs and Trade Act of 1990; H.R. 1594], 104 
    Stat. 629, approved August 20, 1990; Public Law 102-145 [Further 
    Continuing Appropriations, Fiscal Year 1992; H.J.Res. 360, as 
    amended by Public Law 102-266], 105 Stat. 968 at 106 Stat. 95, 
    approved October 28, 1991; Public Law 102-583 [International 
    Narcotics Control Act of 1992; H.R. 6187], 106 Stat. 4914, approved 
    November 2, 1992; Public Law 103-66 [Omnibus Budget Reconciliation 
    Act of 1993; H.R. 2264], 107 Stat. 312, approved August 10, 1993; 
    Public Law 103-149 [South African Democratic Transition Support Act 
    of 1993; H.R. 3225], 107 Stat. 1503, approved November 23, 1993; 
    Public Law 103-182 [North American Free Trade Agreement 
    Implementation Act; H.R. 3450], 107 Stat. 2057, approved December 
    8, 1993; Public Law 103-465 [Uruguay Round Agreements Act; H.R. 
    5110], 108 Stat. 4809, approved December 8, 1994; Public Law 104-65 
    [Lobbying Disclosure Act of 1995; S. 1060], 109 Stat. 691, approved 
    December 19, 1995; Public Law 104-188 [Small Business Job 
    Protection Act of 1996; H.R. 3448], 110 Stat. 1755, approved August 
    20, 1996; by Public Law 104-295 [Miscellaneous Trade and Technical 
    Corrections Act of 1996; H.R. 3815], 110 Stat. 3514, approved 
    October 11, 1996; Public Law 105-206 [Internal Revenue Service 
    Restructuring and Reform Act of 1998; H.R. 2676] 112 Stat. 685, 
    approved July 22, 1998; Public Law 105-220 [Workforce Investment 
    Act of 1998; H.R. 1385] 112 Stat. 936, approved August 7, 1998; 
    Public Law 105-277 [Omnibus Consolidated and Emergency Supplemental 
    Appropriations Act, 1999; H.R. 4328] 112 Stat. 2681, approved 
    October 21, 1998; Public Law 106-36 [Miscellaneous Trade and 
    Technical Corrections Act of 1999; H.R. 435] 113 Stat 127, approved 
    June 25, 1999; Public Law 106-113 [Consolidated Appropriations Act, 
    2000; H.R. 3194] 113 Stat. 1501, approved November 29, 1999; Public 
    Law 106-200 [Trade and Development Act of 2000; H.R. 434] 114 Stat. 
    251, approved May 18, 2000; and by Public Law 106-286 [H.R. 4444] 
    114 Stat. 880, approved October 10, 2000

 AN ACT To promote the development of an open, nondiscriminatory, and 
  fair world economic system, to stimulate fair and free competition 
 between the United States and foreign nations, to foster the economic 
  growth of, and full employment in, the United States, and for other 
                               purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled, That this 
Act, with the following table of contents, may be cited as the 
``Trade Act of 1974''.\1\
---------------------------------------------------------------------------
    \1\ 19 U.S.C. 2101.
---------------------------------------------------------------------------

SEC. 2.\2\ STATEMENT OF PURPOSES.

    The purposes of this Act are, through trade agreements 
affording mutual benefits--
---------------------------------------------------------------------------
    \2\ 19 U.S.C. 2102.
---------------------------------------------------------------------------
          (1) to foster the economic growth of and full 
        employment in the United States and to strengthen 
        economic relations between the United States and 
        foreign countries through open and nondiscriminatory 
        world trade;
          (2) to harmonize, reduce, and eliminate barriers to 
        trade on a basis which assures substantially equivalent 
        competitive opportunities for the commerce of the 
        United States;
          (3) to establish fairness and equity in international 
        trading relations, including reform of the General 
        Agreement on Tariffs and Trade;
          (4) to provide adequate procedures to safeguard 
        American industry and labor against unfair or injurious 
        import competition, and to assist industries, firms, 
        workers, and communities to adjust to changes in 
        international trade flows;
          (5) to open up market opportunities for United States 
        commerce in nonmarket economies; and
          (6) to provide fair and reasonable access to products 
        of less developed countries in the United States 
        market.

                TITLE I--NEGOTIATING AND OTHER AUTHORITY

           Chapter 1--Rates of Duty and Other Trade Barriers

SEC. 101.\3\ BASIC AUTHORITY FOR TRADE AGREEMENTS.

    (a) Whenever the President determines that any existing 
duties or other import restrictions of any foreign country or 
the United States are unduly burdening and restricting the 
foreign trade of the United States and that the purposes of 
this Act will be promoted thereby, the President--
---------------------------------------------------------------------------
    \3\ 19 U.S.C. 2111. Sec. 224 of the Trade Agreements Act of 1979 
(Public Law 96-39; 93 Stat. 235) provided that for purposes of this 
section, ``the rates of duty appearing in rate column numbered 1 of the 
amendments, if any, made under this subtitle shall be considered to be 
the rates of duty existing or in effect on January 1, 1975.''. Sec. 
502(c) of the same Act (93 Stat. 251) further provided that for 
purposes of this section, ``the rates of duty in the rate column 
numbered 1 or 2 as the result of the amendments, if any, made under 
sections 505, 506, 509, 510, 511, and 514 shall be considered to be the 
rates of duty existing or in effect on January 1, 1975.''.
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          (1) during the 5-year period beginning on the date of 
        the enactment of this Act, may enter into trade 
        agreements with foreign countries or instrumentalities 
        thereof; and
          (2) may proclaim such modification or continuance of 
        any existing duty, such continuance of existing duty-
        free or excise treatment, or such additional duties, as 
        he determines to be required or appropriate to carry 
        out any such trade agreement.
    (b)(1) \4\ Except as provided in paragraph (2), no 
proclamation pursuant to subsection (a)(2) shall be made 
decreasing a rate of duty to a rate below 40 percent of the 
rate existing on January 1, 1975.
---------------------------------------------------------------------------
    \4\ However, sec. 507 of the Trade Agreements Act of 1979 (Public 
Law 96-39; 93 Stat. 258) stated that notwithstanding this provision, 
the President may proclaim under sec. 101 ``a reduction to 5 cents per 
bushel of 56 pounds in the rate of duty applicable to yellow dent corn 
under the rate column numbered 1 of the Tariff Schedules of the United 
States, currently classified under item 130.35.''.
---------------------------------------------------------------------------
    (2) Paragraph (1) shall not apply in the case of any 
article for which the rate of duty existing on January 1, 1975, 
is not more than 5 percent ad valorem.
    (c) No proclamation shall be made pursuant to subsection 
(a)(2) increasing any rate of duty to, or imposing a rate 
above, the higher of the following:
          (1) the rate which is 50 percent above the rate set 
        forth in rate column numbered 2 of the Tariff Schedules 
        of the United States as in effect on January 1, 1975, 
        or
          (2) the rate which is 20 percent ad valorem above the 
        rate existing on January 1, 1975.

SEC. 102.\5\ BARRIERS TO AND OTHER DISTORTIONS OF TRADE.\6\

    (a) The Congress finds that barriers to (and other 
distortions of) international trade are reducing the growth of 
foreign markets for the products of United States agriculture, 
industry, mining, and commerce, diminishing the intended mutual 
benefits of reciprocal trade concessions, adversely affecting 
the United States economy, preventing fair and equitable access 
to supplies, and preventing the development of open and 
nondiscriminatory trade among nations. The President is urged 
to take all appropriate and feasible steps within his power 
(including the full exercise of the rights of the United States 
under international agreements) to harmonize, reduce, or 
eliminate such barriers to (and other distortions of) 
international trade. The President is further urged to utilize 
the authority granted by subsection (b) to negotiate trade 
agreements with other countries and instrumentalities providing 
on a basis of mutuality for the harmonization, reduction, or 
elimination of such barriers to (and other distortions of) 
international trade. Nothing in this subsection shall be 
construed as prior approval of any legislation which may be 
necessary to implement an agreement concerning barriers to (or 
other distortions of) international trade.
---------------------------------------------------------------------------
    \5\ 19 U.S.C. 2112. Sec. 1105(a) of the Omnibus Trade and 
Competitiveness Act of 1988 (Public Law 100-418; 102 Stat. 1132) stated 
that any proclamation or Executive order issued pursuant to a trade 
agreement entered into under sec. 1102 [of Public Law 100-418] shall be 
treated as a proclamation or Executive order issued pursuant to a trade 
agreement entered into under sec. 102 of this Act.
    \6\ Sec. 401(c)(1) of Public Law 98-573 (98 Stat. 3015) struck out 
the word ``Nontariff'' which had been the first word of the section 
title.
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    (b)(1) \7\ Whenever the President determines that any 
barriers to (or other distortions of) international trade of 
any foreign country or the United States unduly burden and 
restrict the foreign trade of the United States or adversely 
affect the United States economy, or that the imposition of 
such barriers is likely to result in such a burden, 
restriction, or effect, and that the purposes of this Act will 
be promoted thereby, the President, during the 13-year period 
\8\ beginning on the date of the enactment of this Act, may 
enter into trade agreements with foreign countries or 
instrumentalities providing for the harmonization, reduction or 
elimination of such barriers (or other distortions) or 
providing for the prohibition of or limitations on the 
imposition of such barriers (or other distortions).
---------------------------------------------------------------------------
    \7\ Sec. 401(a) of Public Law 98-573 (98 Stat. 3013) inserted the 
para. designation ``(1)'' and added new paras. (2)-(4). See also the 
freestanding sections of title IV of Public Law 98-573 regarding trade 
agreements entered into with Israel under para. (1).
    \8\ This time period was extended from a duration of 5 years to 13 
years by sec. 1101 of Trade Agreements Act of 1979 (Public Law 96-39; 
93 Stat. 307), until Jan. 3, 1988.
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    (2) \7\ (A) Trade agreements that provide for the 
elimination or reduction of any duty imposed by the United 
States may be entered into under paragraph (1) only with 
Israel.
    (B) The negotiation of any trade agreement entered into 
under paragraph (1) with Israel that provides for the 
elimination or reduction of any duty imposed by the United 
States shall take fully into account any product that benefits 
from a discriminatory preferential tariff arrangement between 
Israel and a third country if the tariff preference on such 
product had been the subject of a challenge by the United 
States Government under the authority of section 301 of the 
Trade Act of 1974 and the General Agreement on Tariffs and 
Trade.
    (C) Notwithstanding any other provision of this section, 
the requirements of subsections (c) and (e)(1) shall not apply 
to any trade agreement entered into under paragraph (1) with 
Israel that provides for the elimination or reduction of any 
duty imposed by the United States.
    (3) \7\ Notwithstanding any other provision of law, no 
trade benefit shall be extended to any country by reason of the 
extension of any trade benefit to another country under a trade 
agreement entered into under paragraph (1) with such other 
country \9\ that provides for the elimination or reduction of 
any duty imposed by the United States.
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    \9\ The text beginning at this point to the end of the sentence was 
added by sec. 8(b)(1) of the United States-Israel Free Trade Area 
Implementation Act of 1985 (Public Law 99-47; 99 Stat. 85).
---------------------------------------------------------------------------
    (4) \7\ (A) Notwithstanding paragraph (2), a trade 
agreement that provides for the elimination or reduction of any 
duty imposed by the United States may be entered into under 
paragraph (1) with any country other than Israel if--
          (i) such country requested the negotiation of such an 
        agreement, and
          (ii) the President, at least 60 days prior to the 
        date notice is provided under subsection (e)(1)--
                  (I) provides written notice of such 
                negotiations to the Committee on Finance of the 
                Senate and the Committee on Ways and Means of 
                the House of Representatives, and
                  (II) consults with such committees regarding 
                the negotiation of such agreement.
    (B) The provisions of section 151 shall not apply to an 
implementing bill (within the meaning of section 151(b) if--
          (i) such implementing bill contains a provision 
        approving of any trade agreement which--
                  (I) is entered into under this section with 
                any country other than Israel, and
                  (II) provides for the elimination of 
                reduction of any duty imposed by the United 
                States, and
          (ii) either--
                  (I) the requirements of subparagraph (A) were 
                not met with respect to the negotiation of such 
                agreement, or
                  (II) the Committee on Finance of the Senate 
                or the Committee on Ways and Means of the House 
                of Representatives disapproved of the 
                negotiation of such agreement before the close 
                of the 60-day period which begins on the date 
                notice is provided under subparagraph \10\ 
                (A)(ii)(I) with respect to the negotiation of 
                such agreement.
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    \10\ Sec. 1887(a) of Public Law 99-514 (100 Stat. 2923) substituted 
``subparagraph'' in lieu of ``subsection''.
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    (C) The 60-day period described in subparagraphs (A)(ii) 
and (B)(ii)(II) shall be computed without regard to--
          (i) the days on which either House of Congress is not 
        in session because of an adjournment of more than 3 
        days to a day certain or an adjournment of the Congress 
        sine die, and
          (ii) any Saturday and Sunday, not excluded under 
        clause (i), which either House of Congress is not in 
        session.
    (c) Before the President enters into any trade agreement 
under this section providing for the harmonization, reduction, 
or elimination of a barrier to (or other distortion of) 
international trade, he shall consult with the Committee on 
Ways and Means of the House of Representatives, the Committee 
on Finance of the Senate, and with each committee of the House 
and the Senate and each joint committee of the Congress which 
has jurisdiction over legislation involving subject matters 
which would be affected by such trade agreement. Such 
consultation shall include all matters relating to the 
implementation of such trade agreement as provided in 
subsections (d) and (e). If it is proposed to implement such 
trade agreement, together with one or more other trade 
agreements entered into under this section, in a single 
implementing bill, such consultation shall include the 
desirability and feasibility of such proposed implementation.
    (d) Whenever the President enters into a trade agreement 
under this section providing for the harmonization, reduction, 
or elimination of a barrier to (or other distortion of) 
international trade, he shall submit such agreement, together 
with a draft of an implementing bill (described in section 
151(b)) and a statement of any administrative action proposed 
to implement such agreement, to the Congress as provided in 
subsection (e), and such agreement shall enter into force with 
respect to the United States only if the provisions of 
subsection (e) are complied with and the implementing bill 
submitted by the President is enacted into law.
    (e) Each trade agreement submitted to the Congress under 
this subsection shall enter into force with respect to the 
United States if (and only if)--
          (1) The President, not less than 90 days before the 
        day on which he enters into such trade agreement, 
        notifies the House of Representatives and the Senate of 
        his intention to enter into such an agreement, and 
        promptly thereafter publishes notice of such intention 
        in the Federal Register:
          (2) after entering into the agreement, the President 
        transmits a document to the House of Representatives 
        and to the Senate containing a copy of the final legal 
        text of such agreement \11\ together with--
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    \11\ The words ``copy of the final legal text of such agreement'' 
were substituted in lieu of ``copy of such agreement'' by sec. 
1106(c)(1) of the Trade Agreements Act of 1979 (Public Law 96-39; 93 
Stat. 311).
---------------------------------------------------------------------------
                  (A) a draft of an implementing bill and a 
                statement of any administrative action proposed 
                to implement such agreement, and an explanation 
                as to how the implementing bill and proposed 
                administrative action change or affect existing 
                law, and
                  (B) a statement of his reasons as to how the 
                agreement serves the interest of United States 
                commerce and as to why the implementing bill 
                and proposed administrative action is required 
                or appropriate to carry out the agreement; and
          (3) the implementing bill is enacted into law.
    (f) To insure that a foreign country or instrumentality 
which receives benefits under a trade agreement entered into 
under this section is subject to the obligations imposed by 
such agreement, the President may recommend to Congress in the 
implementing bill and statement of administrative action 
submitted with respect to such agreement that the benefits and 
obligations of such agreement apply solely to the parties to 
such agreement, if such application is consistent with the 
terms of such agreement. The President may also recommend with 
respect to any such agreement that the benefits and obligations 
of such agreement not apply uniformly to all parties to such 
agreement, if such application is consistent with the terms of 
such agreement.
    (g) For purposes of this section--
          (1) \12\ the term ``barrier'' includes--
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    \12\ Sec. 401(b) of Public Law 98-573 (98 Stat. 3015) amended and 
restated para. (1). Previously, the definition of barrier included only 
the text found in subpara. (A).
---------------------------------------------------------------------------
                  (A) the American selling price basis of 
                customs evaluation as defined in section 402 or 
                402a of the Tariff Act of 1930, as appropriate, 
                and
                  (B) any duty or other import restriction;
          (2) the term ``distortion'' includes a subsidy; and
          (3) \13\ the term ``international trade'' includes--
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    \13\ Sec. 307(a) of the International Trade and Investment Act 
(title III of Public Law 98-573; 98 Stat. 3012) amended and restated 
para. (3). Previously, the term ``international trade'' had been 
defined as including only goods and services.
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                  (A) trade in both goods and services, and
                  (B) foreign direct investment by United 
                States persons, especially if such investment 
                has implications for trade in goods and 
                services.

SEC. 103.\14\ OVERALL NEGOTIATING OBJECTIVE.

    The overall United States negotiating objective under 
sections 101 and 102 shall be to obtain more open and equitable 
market access and the harmonization, reduction, or elimination 
of devices which distort trade or commerce. To the maximum 
extent feasible, the harmonization, reduction, or elimination 
of agricultural trade barriers and distortions shall be 
undertaken in conjunction with the harmonization, reduction, or 
elimination of industrial trade barriers and distortions.
---------------------------------------------------------------------------
    \14\ 19 U.S.C. 2113.
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SEC. 104.\15\ SECTOR NEGOTIATING OBJECTIVE.

    (a) A principal United States negotiating objective under 
sections 101 and 102 shall be to obtain, to the maximum extent 
feasible, with respect to appropriate product sectors of 
manufacturing, and with respect to the agricultural sector, 
competitive opportunities for United States exports to the 
developed countries of the world equivalent to the competitive 
opportunities afforded in United States markets to the 
importation of like or similar products, taking into account 
all barriers (including tariffs) to and other distortions of 
international trade affecting that sector.
---------------------------------------------------------------------------
    \15\ 19 U.S.C. 2114.
---------------------------------------------------------------------------
    (b) As a means of achieving the negotiating objective set 
forth in subsection (a), to the extent consistent with the 
objective of maximizing overall economic benefit to the United 
States (through maintaining and enlarging foreign markets for 
products of United States agriculture, industry, mining, and 
commerce, through the development of fair and equitable market 
opportunities, and through open and discriminatory world 
trade), negotiations shall, to the extent feasible, be 
conducted on the basis of appropriate product sectors of 
manufacturing.
    (c) For the purposes of this section and section 135, the 
United States Trade Representative \16\ together with the 
Secretary of Commerce, Agriculture, or Labor, as appropriate, 
shall, after consultation with the Advisory Committee for Trade 
Negotiations established under section 135 and after 
consultation with interested private or non-Federal 
governmental \17\ organizations, identify appropriate product 
sectors of manufacturing.
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    \16\ This position, formerly entitled the Special Representative 
for Trade Negotiations, was redesignated as the United States Trade 
Representative pursuant to sec. 1(b)(1) of Reorganization Plan No. 3 of 
1979.
    \17\ Sec. 306(c)(2)(C)(i) of the International Trade and Investment 
Act (title III of Public Law 98-573; 98 Stat. 3012) added the words 
``or non-Federal governmental''.
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    (d) If the President determines that competitive 
opportunities in one or more product sectors will be 
significantly affected by a trade agreement concluded under 
sections 101 or 102, he shall submit to the Congress with each 
such agreement an analysis of the extent to which the 
negotiating objective set forth in subsection (a) is achieved 
by such agreement in each product sector or product sectors.

SEC. 104A.\18\ NEGOTIATING OBJECTIVES WITH RESPECT TO TRADE IN 
                    SERVICES, FOREIGN DIRECT INVESTMENT, AND HIGH 
                    TECHNOLOGY PRODUCTS.

    (a) Trade in Services.--
---------------------------------------------------------------------------
    \18\ 19 U.S.C. 2114a. Sec. 305(a) of the International Trade and 
Investment Act (title III of Public Law 98-573; 98 Stat. 3006) added 
sec. 104A. Sec. 308(a) of such Act further states that the President 
may enter into bilateral or multilateral agreements as may be necessary 
to achieve the objectives of sec. 104A(c).
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          (1) In general--Principal United States negotiating 
        objectives under section 102 shall be--
                  (A) to reduce or to eliminate barriers to, or 
                other distortions of, international trade in 
                services (particularly United States service 
                sector trade in foreign markets), including 
                barriers that deny national treatment and 
                restrictions on the establishment and operation 
                in such markets; and
                  (B) to develop internationally agreed rules, 
                including dispute settlement procedures, 
                which--
                          (i) are consistent with the 
                        commercial policies of the United 
                        States, and
                          (ii) will reduce or eliminate such 
                        barriers or distortions and help ensure 
                        open international trade in services.
          (2) Domestic objectives.--In pursuing the objectives 
        described in paragraph (1), United States negotiations 
        shall take into account legitimate United States 
        domestic objectives including, but not limited to, the 
        protection of legitimate health or safety, essential 
        security, environmental, consumer or employment 
        opportunity interests and the laws and regulations 
        related thereto.
    (b) Foreign Direct Investment.--
          (1) In general--Principal United States negotiating 
        objectives under section 102 shall be--
                  (A) to reduce or to eliminate artificial or 
                trade-distorting barriers to foreign direct 
                investment, to expand the principle of national 
                treatment, and to reduce unreasonable barriers 
                to establishment; and
                  (B) to develop internationally agreed rules, 
                including dispute settlement procedures, 
                which--
                          (i) will help ensure a free flow of 
                        foreign direct investment, and
                          (ii) will reduce or eliminate the 
                        trade distortive effects of certain 
                        investment related measures.
          (2) Domestic objectives.--In pursuing the objectives 
        described in paragraph (1), United States negotiators 
        shall take into account legitimate United States 
        domestic objectives including, but not limited to, the 
        protection of legitimate health or safety, essential 
        security, environmental, consumer or employment 
        opportunity interests and the laws and regulations 
        related thereto.
    (c) High Technology Products.--Principal United States 
negotiating objectives shall be--
          (1) to obtain and preserve the maximum openness with 
        respect to international trade and investment in high 
        technology products and related services;
          (2) to obtain the elimination or reduction of, or 
        compensation for, the significantly distorting effects 
        of foreign government acts, policies, or practices 
        identified in section 181, with particular 
        consideration given to the nature and extent of foreign 
        government intervention affecting United States exports 
        of high technology products or investments in high 
        technology industries, including--
                  (A) foreign industrial policies which distort 
                international trade or investment;
                  (B) measures which deny national treatment or 
                otherwise discriminate in favor of domestic 
                high technology industries;
                  (C) measures which fail to provide adequate 
                and effective means for foreign nationals to 
                secure, exercise, and enforce exclusive rights 
                in intellectual property (including trademarks, 
                patents, and copyrights);
                  (D) measures which impair access to domestic 
                markets for key commodity products; and
                  (E) measures which facilitate or encourage 
                anticompetitive market practices or structures;
          (3) to obtain commitments that official policy of 
        foreign countries or instrumentalities will not 
        discourage government or private procurement of foreign 
        high technology products and related services;
          (4) to obtain the reduction or elimination of all 
        tariffs on, and other barriers to, United States 
        exports of high technology products and related 
        services;
          (5) to obtain commitments to foster national 
        treatment;
          (6) to obtain commitments to--
                  (A) foster the pursuit of joint scientific 
                cooperation between companies, institutions or 
                governmental entities of the United States and 
                those of the trading partners of the United 
                States in areas of mutual interest through such 
                measures as financial participation and 
                technical and personnel exchanges, and
                  (B) ensure that access by all participants to 
                the results of any such cooperative efforts 
                should not be impaired; and
          (7) to provide effective minimum safeguards for the 
        acquisition and enforcement of intellectual property 
        rights and the property value of proprietary data.
    (d) Definition of Barriers and Other Distortions.--For 
purposes of subsection (a), the term barriers to, or other 
distortions of, international trade in services' includes, but 
is not limited to--
          (1) barriers to establishment in foreign markets, and
          (2) restrictions on the operation of enterprises in 
        foreign markets, including--
                  (A) direct or indirect restrictions on the 
                transfer of information into, or out of, the 
                country or instrumentality concerned, and
                  (B) restrictions on the use of data 
                processing facilities within or outside of such 
                country or instrumentality.

SEC. 105.\19\ BILATERAL TRADE AGREEMENTS.

    If the President determines that bilateral trade agreements 
will more effectively promote the economic growth of, and full 
employment in, the United States, then, in such cases, a 
negotiating objective under sections 101 and 102 shall be to 
enter into bilateral trade agreements. Each such trade 
agreement shall provide for mutually advantageous economic 
benefits.
---------------------------------------------------------------------------
    \19\ 19 U.S.C. 2115.
---------------------------------------------------------------------------

SEC. 106.\20\ AGREEMENTS WITH DEVELOPING COUNTRIES.

    A United States negotiating objective under sections 101 
and 102 shall be to enter into trade agreements which promote 
the economic growth of both developing countries and the United 
States and the mutual expansion of market opportunities.
---------------------------------------------------------------------------
    \20\ 19 U.S.C. 2116.
---------------------------------------------------------------------------

SEC. 107.\21\ INTERNATIONAL SAFEGUARD PROCEDURES.

    (a) A principal United States negotiating objective under 
section 102 shall be to obtain internationally agreed upon 
rules and procedures, in the context of the harmonization, 
reduction, or elimination of barriers to, and other distortions 
of, international trade, which permit the use of temporary 
measures to ease adjustment to changes occurring in competitive 
conditions in the domestic markets of the parties to an 
agreement resulting from such negotiations due to the expansion 
of international trade.
---------------------------------------------------------------------------
    \21\ 19 U.S.C. 2117.
---------------------------------------------------------------------------
    (b) Any agreement entered into under section 102 may 
include provisions establishing procedures for--
          (1) notification of affected exporting countries,
          (2) international consultations,
          (3) international review of changes in trade flows,
          (4) making adjustments in trade flows as the result 
        of such changes, and
          (5) international mediation.
    Such agreements may also include provisions which--
                  (A) exclude, under specified conditions, the 
                parties thereto from compensation obligations 
                and retaliation, and
                  (B) permit domestic public procedures through 
                which interested parties have the right to 
                participate.

SEC. 108.\22\ ACCESS SUPPLIES.

    (a) A principal United States negotiating objective under 
section 102 shall be to enter into trade agreements with 
foreign countries and instrumentalities to assure the United 
States of fair and equitable access at reasonable prices to 
supplies of articles of commerce which are important to the 
economic requirements of the United States and for which the 
United States does not have, or cannot easily develop, the 
necessary domestic productive capacity to supply its own 
requirements.
---------------------------------------------------------------------------
    \22\ 19 U.S.C. 2118.
---------------------------------------------------------------------------
    (b) Any agreement entered into under section 102 may 
include provisions which--
          (1) assure to the United States the continued 
        availability of important articles at reasonable 
        prices, and
          (2) provide reciprocal concessions or comparable 
        trade obligations, or both, by the United States.

SEC. 109.\23\ STAGING REQUIREMENTS AND ROUNDING AUTHORITY.

    (a) Except as otherwise provided in this section, the 
aggregate reduction in the rate of duty on any article which is 
in effect on any day pursuant to a trade agreement under 
section 101 shall not exceed the aggregate reduction which 
would have been in effect on such day if--
---------------------------------------------------------------------------
    \23\ 19 U.S.C. 2119.
---------------------------------------------------------------------------
          (1) A reduction of 3 percent ad valorem or a 
        reduction of one tenth of the total reduction, 
        whichever is greater, had taken effect on the effective 
        date of the first reduction proclaimed pursuant to 
        section 101(a)(2) to carry out such agreement with 
        respect to such article, and
          (2) a reduction equal to the amount applicable under 
        paragraph (1) had taken effect at 1-year intervals 
        after the effective date of such first reduction.\24\
---------------------------------------------------------------------------
    \24\ Sec. 503 of the Trade Agreements Act of 1979 (Public Law 96-
39; 93 Stat. 251) listed items for which the aggregate reduction in the 
rate of duty may exceed the limitation contained in sec. 109(a).
---------------------------------------------------------------------------
This subsection shall not apply in any case where the total 
reduction in the rate of duty does not exceed 10 percent of the 
rate before the reduction.
    (b) If the President determines that such action will 
simplify the computation of the amount of duty imposed with 
respect to an article, he may exceed the limitation provided by 
section 101(b) or subsection (a) of this section by not more 
than whichever of the following is lesser:
          (1) the difference between the limitation and the 
        next lower whole number, or
          (2) one-half of 1 percent ad valorem.
    (c)(1) No reduction in the rate of duty on any article 
pursuant to a trade agreement under section 101 shall take 
effect more than 10 years after the effective date of the first 
reduction proclaimed to carry out such trade agreement with 
respect to such article.
    (2) If any part of a reduction takes effect, then any time 
thereafter during which any \25\ part of the reduction is not 
in effect by reason of legislation of the United States or 
action thereunder, the effect of which is to maintain or 
increase the rate of duty on an article, shall be excluded in 
determining--
---------------------------------------------------------------------------
    \25\ The word ``any'' was substituted in lieu of ``such'' by sec. 
1106(c)(3) of the Trade Agreements Act of 1979 (Public Law 96-39; 93 
Stat. 312).
---------------------------------------------------------------------------
          (A) the 1-year intervals referred to in subsection 
        (a)(2), and
          (B) the expiration of the 10-year period referred to 
        in paragraph (1) of this subsection.

                       Chapter 2--Other Authority

SEC. 121.\26\ STEPS TO BE TAKEN TOWARD GATT REVISION; AUTHORIZATION OF 
                    APPROPRIATIONS FOR GATT.

    There are \27\ authorized to be appropriated annually such 
sums as may be necessary for the payments by the United States 
of its share of the expenses of the Contracting Parties to the 
General Agreement on Tariffs and Trade. This authorization does 
not imply approval or disapproval by the Congress of all 
articles of the General Agreement on Tariffs and Trade.
---------------------------------------------------------------------------
    \26\ 19 U.S.C. 2131. Subsecs. (a), (b), and (c) of sec. 121--
listing actions the President shall take to bring trade agreements into 
conformity with principles promoting the development of open, 
nondiscriminatory, and fair world economic systems--were struck out by 
sec. 1107(b)(2) of the Omnibus Trade and Competitiveness Act of 1988 
(Public Law 100-418; 102 Stat. 1135).
    \27\ Sec. 9001(a) of the Technical and Miscellaneous Revenue Act of 
1988 (Public Law 100-647; 102 Stat. 3342), substituted ``There are'' in 
lieu of ``(d) There are''.
---------------------------------------------------------------------------

SEC. 122.\28\ BALANCE-OF-PAYMENTS AUTHORITY.

    (a) Whenever fundamental international payments problems 
require special import measures to restrict imports--
---------------------------------------------------------------------------
    \28\ 19 U.S.C. 2132.
---------------------------------------------------------------------------
          (1) to deal with large and serious United States 
        balance-of-payments deficits,
          (2) to prevent an imminent and significant 
        depreciation of the dollar in foreign exchange markets, 
        or
          (3) to cooperate with other countries in correcting 
        an international balance-of-payments disequilibrium, 
        the President shall proclaim, for a period not 
        exceeding 150 days (unless such period is extended by 
        Act of Congress)--
                  (A) a temporary import surcharge, not to 
                exceed 15 percent ad valorem, in the form of 
                duties (in addition to those already imposed, 
                if any) on articles imported into the United 
                States;
                  (B) temporary limitations through the use of 
                quotas on the importation of articles into the 
                United States; or
                  (C) both a temporary import surcharge 
                described in subparagraph (A) and temporary 
                limitations described in subparagraph (B).
The authority delegated under subparagraph (B) (and so much of 
subparagraph (C) as relates to subparagraph (B)) may be 
exercised (i) only if international trade or monetary 
agreements to which the United States is a party permit the 
imposition of quotas as a balance-of-payments measure, and (ii) 
only to the extent that the fundamental imbalance cannot be 
dealt with effectively by a surcharge proclaimed pursuant to 
subparagraph (A) or (C). Any temporary import surcharge 
proclaimed pursuant to subparagraph (A) or (C) shall be treated 
as a regular customs duty.
    (b) If the President determines that the imposition of 
import restrictions under subsection (a) will be contrary to 
the national interest of the United States, then he may refrain 
from proclaiming such restrictions and he shall--
          (1) immediately inform Congress of his determination, 
        and
          (2) immediately convene the group of congressional 
        official advisers designated under section 161(a) and 
        consult with them as to the reasons for such 
        determination.
  (c) Whenever the President determines that fundamental 
international payments problems require special import measures 
to increase imports--
          (1) to deal with large and persistent United States 
        balance-of-trade surpluses, as determined on the basis 
        of the cost-insurance-freight value of imports as 
        reported by the Bureau of the Census, or
          (2) to prevent significant appreciation of the dollar 
        in foreign exchange markets,
the President is authorized to proclaim, for a period of 150 
days (unless such period is extended by Act of Congress)--
          (A) a temporary reduction (of not more than 5 percent 
        ad valorem) in the rate of duty on any article; and
          (B) a temporary increase in the value of quantity of 
        articles which may be imported under any import 
        restriction, or a temporary suspension of any import 
        restriction.
Import liberalizing actions proclaimed pursuant to this 
subsection shall be of broad and uniform application with 
respect to product coverage except that the President shall not 
proclaim measures under this subsection with respect to those 
articles where in his judgment such action will cause or 
contribute to material injury to firms or workers in any 
domestic industry, including agriculture, mining, fishing, or 
commerce, or to impairment of the national security, or will 
otherwise be contrary to the national interest.
    (d)(1) Import restricting actions proclaimed pursuant to 
subsection (a) shall be applied consistently with the principle 
of nondiscriminatory treatment. In addition, any quota 
proclaimed pursuant to subparagraph (B) of subsection (a) shall 
be applied on a basis which aims at a distribution of trade 
with the United States approaching as closely as possible that 
which various foreign countries might have expected to obtain 
in the absence of such restrictions.
    (2) Notwithstanding paragraph (1), if the President 
determines that the purposes of this section will best be 
served by action against one or more countries having large or 
persistent balance-of-payments surpluses, he may exempt all 
other countries from such action.
    (3) After such time when there enters into force for the 
United States new rules regarding the application of surcharges 
as part of a reform of internationally agreed balance-of-
payments adjustments procedures, the exemption authority 
contained in paragraph (2) shall be applied consistently with 
such new international rules.
    (4) It is the sense of Congress that the President seek 
modifications in international agreements aimed at allowing the 
use of surcharges in place of quantitative restrictions (and 
providing rules to govern the use of such surcharges) as a 
balance-of-payments adjustment measure within the context of 
arrangements for an equitable sharing of balance-of-payments 
adjustment responsibility among deficit and surplus countries.
    (e) Import restricting actions proclaimed pursuant to 
subsection (a) shall be of broad and uniform application with 
respect to product coverage except where the President 
determines, consistently with the purposes of this section, 
that certain articles should not be subject to import 
restricting actions because of the needs of the United States 
economy. Such exceptions shall be limited to the unavailability 
of domestic supply at reasonable prices, the necessary 
importation of raw materials, avoiding serious dislocations in 
the supply of imported goods, and other similar factors. In 
addition, uniform exceptions may be made where import 
restricting actions will be unnecessary or ineffective in 
carrying out the purposes of this action, such as with respect 
to articles already subject to import restrictions, goods in 
transit, or goods under binding contract. Neither the 
authorization of import restricting actions nor the 
determination of exceptions with respect to product coverage 
shall be made for the purpose of protecting individual domestic 
industries from import competition.
    (f) Any quantitative limitation proclaimed pursuant to 
subparagraph (B) or (C) of subsection (a) on the quantity or 
value, or both, of an article--
          (1) shall permit the importation of a quantity or 
        value which is not less than the quantity or value of 
        such article imported into the United States from the 
        foreign countries to which such limitation applies 
        during the most recent period which the President 
        determines is representative of imports of such 
        article, and
          (2) shall take into account any increase since the 
        end of such representative period in domestic 
        consumption of such article and like or similar 
        articles of domestic manufacture or production.
    (g) The President may at any time, consistent with the 
provisions of this section, suspend, modify, or terminate, in 
whole or in part, any proclamation under this section either 
during the initial 150-day period of effectiveness or as 
extended by subsequent Act of Congress.
    (h) No provision of law authorizing the termination of 
tariff concessions shall be used to impose a surcharge on 
imports into the United States.

SEC. 123.\29\ COMPENSATION AUTHORITY.

    (a) Whenever--
---------------------------------------------------------------------------
    \29\ 19 U.S.C. 2133.
---------------------------------------------------------------------------
          (1) any action taken under chapter 1 of title II or 
        chapter 1 of title III, or under chapter 2 of title IV 
        of the Trade Act of 1974; \30\ or
---------------------------------------------------------------------------
    \30\ Sec. 104 of Public Law 106-286 (114 Stat. 891) inserted ``, or 
under chapter 2 of title IV of the Trade Act of 1974''.
---------------------------------------------------------------------------
          (2) any judicial or administrative tariff 
        reclassification that becomes final after the date of 
        the enactment of the Omnibus Trade and Competitiveness 
        Act of 1988;
increases or imposes any duty or other import restriction, the 
President--
          (A) may enter into trade agreements with foreign 
        countries or instrumentalities for the purpose of 
        granting new concessions as compensation in order to 
        maintain the general level of reciprocal and mutually 
        advantageous concessions; and
          (B) may proclaim such modification or continuance of 
        any existing duty, or such continuance of existing 
        duty-free or excise treatment, as he determines to be 
        required or appropriate to carry out any such 
        agreement.\31\
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    \31\ Sec. 1104 of Public Law 100-418 (102 Stat. 1132) amended and 
restated subsec. (a), which previously read as follows:
    ``(a) Whenever any action has been taken under section 203 to 
increase or impose any duty or other import restriction, the 
President--
---------------------------------------------------------------------------

          ``(1) may enter into trade agreements with foreign countries 
        or instrumentalities for the purpose of granting new 
        concessions as compensation in order to maintain the general 
        level of reciprocal and mutually advantageous concessions; and
          ``(2) may proclaim such modification or continuance of any 
        existing duty, or such continuance of existing duty-free or 
        excise treatment, as he determines to be required or 
        appropriate to carry out any such agreement.''.
    (b)(1) No proclamation shall be made pursuant to subsection 
(a) decreasing any rate of duty to a rate which is less than 70 
percent of the existing rate of duty.
    (2) Where the rate of duty in effect at any time is an 
intermediate stage under section 1102(a) of the Omnibus Trade 
and Competitiveness Act of 1988,\32\ the proclamation made 
pursuant to subsection (a) may provide for the reduction of 
each rate of duty at each such stage proclaimed under such 
section 1102(a) \32\ by not more than 30 percent of such rate 
of duty, and may provide for a final rate of duty which is not 
less than 70 percent of the rate of duty proclaimed as the 
final stage under such section 1102(a).\32\
---------------------------------------------------------------------------
    \32\ Sec. 1104(2) of Public Law 100-418 (102 Stat. 1132) 
substituted ``section 1102(a) of the Omnibus Trade and Competitiveness 
Act of 1988'', in lieu of ``section 109'', and ``such section 1102(a)'' 
in lieu of ``section 101''.
---------------------------------------------------------------------------
    (3) If the President determines that such action will 
simplify the computation of the amount of duty imposed with 
respect to an article he may exceed the limitations provided by 
paragraphs (1) and (2) of this subsection by not more than the 
lesser of--
          (A) the difference between such limitation and the 
        next lower whole number, or
          (B) one-half of 1 percent ad valorem.
    (4) Any concessions granted under subsection (a)(1) shall 
be reduced and terminated according to substantially the same 
time schedule for reduction applicable to the relevant action 
under sections 203(e) and 204.\33\
---------------------------------------------------------------------------
    \33\ Sec. 1401(b)(1)(A) of Public Law 100-418 (102 Stat. 1239), 
substituted ``action under sections 203(e) and 204'' for ``import 
relief under section 203(h)''.
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    (c) Before entering into any trade agreement under this 
section with any foreign country or instrumentality, the 
President shall consider whether such country or 
instrumentality has violated trade concessions of benefit to 
the United States and such violation has not been adequately 
offset by the action of the United States or by such country or 
instrumentality.
    (d) Notwithstanding the provisions of subsection (a), the 
authority delegated under section 1102(a) of the Omnibus Trade 
and Competitiveness Act of 1988,\31\ shall be used for the 
purpose of granting new concessions as compensation within the 
meaning of this section until such authority terminates.
    (e) \34\ The provisions of this section shall apply by 
reason of action taken under chapter 1 of title III only if the 
President determines that action authorized under this section 
is necessary or appropriate to meet the international 
obligations of the United States.
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    \34\ Sec. 1104 of Public Law 100-418 (102 Stat. 1132) added subsec. 
(e).
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SEC. 124.\35\ TWO-YEAR RESIDUAL AUTHORITY TO NEGOTIATE DUTIES.

    (a) Whenever the President determines that any existing 
duties or other import restrictions of any foreign country or 
the United States are unduly burdening and restricting the 
foreign trade of the United States and that the purposes of 
this Act will be promoted thereby, the President--
---------------------------------------------------------------------------
    \35\ 19 U.S.C. 2134.
---------------------------------------------------------------------------
          (1) may enter into trade agreements with foreign 
        countries or instrumentalities thereof, and
          (2) may proclaim such modification or continuance of 
        any existing duty, such continuance of existing duty-
        free or excise treatment, or such additional duties, as 
        he determines to be required or appropriate to carry 
        out any such trade agreement.
    (b) Agreements entered into under this section in any 1-
year period shall not provide for the reduction of duties, or 
the continuance of duty-free or excise treatment, for articles 
which account for more than 2 percent of the value of the 
United States imports for the most recent 12-month period for 
which import statistics are available.
    (c)(1) No proclamation shall be made pursuant to subsection 
(a) decreasing any rate of duty to a rate which is less than 80 
percent of the existing rate of duty.
    (2) No proclamation shall be made pursuant to subsection 
(a) decreasing or increasing any rate of duty to a rate which 
is lower or higher than the corresponding rate which would have 
resulted if the maximum authority granted by section such 
section 1102(a) with respect to such article had been 
exercised.
    (3) Where the rate of duty in effect at any time is an 
intermediate stage under section 109, the proclamation made 
pursuant to subsection (a) may provide for the reduction of 
each rate of duty at each such stage proclaimed under section 
such section 1102(a) by not more than 20 percent of such rate 
of duty, and, subject to the limitation in paragraph (2), may 
provide for a final rate of duty which is not less than 80 
percent of the rate of duty proclaimed as the final stage under 
section such section 1102(a).
    (4) If the President determines that such action will 
simplify the computation of the amount of duty imposed with 
respect to an article, he may exceed the limitations provided 
by paragraphs (1) and (2) of this subsection by not more than 
the lesser of--
          (A) the difference between such limitation and the 
        next lower whole number, or
          (B) one-half of 1 percent ad valorem.
    (d) Agreements may be entered into under this section only 
during the 2-year period which immediately follows the close of 
the period during which agreements may be entered into under 
section such section 1102(a).

SEC. 125.\36\ TERMINATION AND WITHDRAWAL AUTHORITY.

    (a) Every trade agreement entered into under this Act shall 
be subject to termination in whole or in part, or withdrawal, 
upon due notice, at the end of a period specified in the 
agreement. Such period shall be not more than 3 years from the 
date on which the agreement becomes effective. If the agreement 
is not terminated or withdrawn from at the end of the period so 
specified, it shall be subject to termination or withdrawal 
thereafter upon not more than 6 months' notice.
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    \36\ 19 U.S.C. 2135. Secs. 502(b), 601(b), and 855(b) of the Trade 
Agreements Act of 1979 (Public Law 96-39) stated that for purposes of 
sec. 125 of this Act, amendments made by specified sections of Public 
Law 96-39 shall be considered to be trade agreement obligations entered 
into under the Trade Act of 1974, of benefit to foreign countries or 
instrumentalities. Sec. 1105(a) of the Omnibus Trade and 
Competitiveness Act of 1988 (Public Law 100-418; 102 Stat. 1132) stated 
that for purposes of applying secs. 125, 126(a), and 127 of this Act, 
any trade agreement entered into under sec. 1102 (of Public Law 100-
418) shall be treated as an agreement entered into under secs. 101 or 
102, as appropriate, of the Trade Act of 1974 (19 U.S.C. 2111 or 2112).
---------------------------------------------------------------------------
    (b) The President may at any time terminate in whole or in 
part, any proclamation made under this Act.
    (c) \37\ Whenever the United States, acting in pursuance of 
any of its right or obligations under any trade agreement 
entered into pursuant to this Act, section 201 of the Trade 
Expansion Act of 1962 \38\ or section 350 of the Tariff Act of 
1930,\39\ withdraws, suspends, or modifies any obligation with 
respect to the trade of any foreign country or instrumentality 
thereof, the President is authorized to proclaim increased 
duties or other import restrictions, to the extent, at such 
times, and for such periods as he deems necessary or 
appropriate, in order to exercise the rights or fulfill the 
obligations of the United States. No proclamation shall be made 
under this subsection increasing any existing duty to a rate 
more than 50 percent above the rate set forth in rate column 
numbered 2 of the Tariff Schedules of the United States, as in 
effect on January 1, 1975, or 20 percent ad valorem above the 
rate existing on January 1, 1975, whichever is higher.
---------------------------------------------------------------------------
    \37\ Sec. 421 of Public Law 103-465 (109 Stat. 4964) provided the 
following:
---------------------------------------------------------------------------
``SEC. 421. AUTHORITY FOR CERTAIN ACTIONS UNDER ARTICLE XXVIII.
---------------------------------------------------------------------------
    ``(a) In General.--In the application of section 125(c) of the 
Trade Act of 1974 (19 U.S.C. 2135) with respect to any item provided 
for in subheadings 2401.10.60, 2401.20.30, 2401.20.80, 2401.30.30, 
2401.30.60, 2401.30.90, 2403.10.00, 2403.91.40, or 2403.99.00 of the 
HTS, `350' shall be substituted for `20' where it appears in such 
section.''.
    \38\ 19 U.S.C. 1821.
    \39\ 19 U.S.C. 1351.
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    (d) Whenever any foreign country or instrumentality 
withdraws, suspends, or modifies the application of trade 
agreement obligations of benefit to the United States without 
granting adequate compensation therefor, the President, in 
pursuance of rights granted to the United States under any 
trade agreement and to the extent necessary to protect United 
States economic interests (including United States balance of 
payments), may--
          (1) withdraw, suspend, or modify the application of 
        substantially equivalent trade agreement obligations of 
        benefit to such foreign country or instrumentality, and
          (2) proclaim under subsection (c) such increased 
        duties or other import restrictions as are appropriate 
        to effect adequate compensation from such foreign 
        country or instrumentality.
    (e) Duties or other import restrictions required or 
appropriate to carry out any trade agreement entered into 
pursuant to this Act, section 201 of the Trade Expansion Act of 
1962,\37\ or section 350 of the Tariff Act of 1930 \38\ shall 
not be affected by any termination, in whole or in part, of 
such agreement or by the withdrawal of the United States for 
such agreement and shall remain in effect after the date of 
such termination or withdrawal for 1 year, unless the President 
by proclamation provides that such rates shall be restored to 
the level at which they would be but for the agreement. Within 
60 days after the date of any such termination or withdrawal, 
the President shall transmit to the Congress his 
recommendations as to the appropriate rates of duty for all 
articles which were affected by the termination or withdrawal 
or would have been so affected but for the preceding sentence.
    (f) Before taking any action pursuant to subsection (b), 
(c), or (d), the President shall provide for a public hearing 
during the course of which interested persons shall be given a 
reasonable opportunity to be present, to produce evidence, and 
to be heard, unless he determines that such prior hearings will 
be contrary to the national interest because of the need for 
expeditious action, in which case he shall provide for a public 
hearing promptly after such action.

SEC. 126.\40\ RECIPROCAL NONDISCRIMINATORY TREATMENT.

    (a) Except as otherwise provided in this Act or in any 
other provision of law, any duty or other import restriction or 
duty-free treatment proclaimed in carrying out any trade 
agreement under this title shall apply to products of all 
foreign countries, whether imported directly or indirectly.
---------------------------------------------------------------------------
    \40\ 19 U.S.C. 2136.
---------------------------------------------------------------------------
    (b) The President shall determine, after the conclusion of 
all negotiations entered into under this Act or at the end of 
the 5-year period beginning on the date of enactment of this 
Act, whichever is earlier, whether any major industrial country 
has failed to make concessions under trade agreements entered 
into under this Act which provide competitive opportunities for 
the commerce of the United States in such country substantially 
equivalent to the competitive opportunities, provided by 
concessions made by the United States under trade agreements 
entered into under this Act, for the commerce of such country 
in the United States.\41\
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    \41\ Public Law 105-362 (112 Stat. 3280 at 3294) repealed subsec. 
(c) and redesignated subsec. (d) as subsec. (c). Subsec. (c) previously 
read as follows:
    ``(c) If the President determines under subsection (b) that a major 
industrial country has not made concessions under trade agreements 
entered into under this Act which provide substantially equivalent 
competitive opportunities for the commerce of the United States, he 
shall, either generally with respect to such country or by article 
produced by such country, in order to restore equivalence of 
competitive opportunities, recommend to the Congress--
---------------------------------------------------------------------------

          ``(1) legislation providing for the termination or denial of 
        the benefits of concessions of trade agreements entered into 
        under this Act made with respect to rates of duty or other 
        import restrictions by the United States; and
          ``(2) that any legislation necessary to carry out any trade 
        agreement under section 102 shall not apply to such country.''
    (c) For purposes of this section, ``major industrial 
country'' means Canada, the European Economic Community, the 
individual member countries of such Community, Japan, and any 
other foreign country designated by the President for purposes 
of this subsection.

SEC. 127.\42\ RESERVATION OF ARTICLES FOR NATIONAL SECURITY OR OTHER 
                    REASONS.

    (a) No proclamation shall be made pursuant to the 
provisions of this Act reducing or eliminating the duty or 
other import restriction on any article if the President 
determines that such reduction or elimination would threaten or 
impair the national security.
---------------------------------------------------------------------------
    \42\ 19 U.S.C. 2137.
---------------------------------------------------------------------------
    (b) While there is in effect with respect to any article 
any action taken under section 203 of this Act, or section 232 
or 351 of the Trade Expansion Act of 1962 (19 U.S.C. 1862 or 
1981), the President shall reserve such article from 
negotiations under this title (and from any action under 
section 122(c)) contemplating reduction or elimination of--
          (A) any duty on such article,
          (B) any import restriction imposed under such 
        section, or
          (C) any other import restriction, the removal of 
        which will be likely to undermine the effect of the 
        import restrictions referred to in subparagraph (B).
In addition, the President shall also so reserve any other 
article which he determines to be appropriate, taking into 
consideration information and advice available pursuant to and 
with respect to the matters covered by sections 131, 132, and 
133, where applicable.
    (c) \43\ * * * [Repealed--1988]
---------------------------------------------------------------------------
    \43\ Sec. 1501(b)(2) of Public Law 100-418 (102 Stat. 1259) 
repealed sec. 127(c) which required the President to submit to Congress 
``an annual report on section 232 of the Trade Expansion Act of 1962. 
Within 60 days after he takes any action under such section 232, the 
President shall report to the Congress the action taken and the reasons 
therefor.''.
---------------------------------------------------------------------------
    (d) \44\ * * *
---------------------------------------------------------------------------
    \44\ Subsec. (d) amended sec. 232 of the Trade Expansion Act of 
1962 (19 U.S.C. 1863).
---------------------------------------------------------------------------

SEC. 128.\45\ MODIFICATION AND CONTINUANCE OF TREATMENT WITH RESPECT TO 
                    DUTIES ON HIGH TECHNOLOGY PRODUCTS.

    (a) In order to carry out any agreement concluded as a 
result of the negotiating objectives under section 104A(c), the 
President may proclaim, subject to the provisions of chapter 
3--
---------------------------------------------------------------------------
    \45\ 19 U.S.C. 2138. Sec. 308(b)(1) of the International Trade and 
Investment Act (title III of Public Law 98-573; 98 Stat. 3013) added 
sec. 128.
---------------------------------------------------------------------------
          (1) such modification, elimination, or continuance of 
        any existing duty, duty-free, or excise treatment, or
          (2) such additional duties,
as he deems appropriate.
  (b) \46\ The President shall exercise his authority under 
subsection (a) of this section only with respect to the 
following subheadings listed in the Harmonized Tariff Schedule 
of the United States--
---------------------------------------------------------------------------
    \46\ Sec. 1214(j)(1) of the Omnibus Trade and Competitiveness Act 
of 1988 (Public Law 100-418; 102 Stat. 1157) restated and amended 
subsec. (b).
---------------------------------------------------------------------------
          (1) transistors (provided for in subheadings 
        8541.21.00, 8541.29.00, and 8541.40.70);
          (2) diodes and rectifiers (provided for in 
        subheadings 8541.10.00, 8541.30.00, and 8541.40.60);
          (3) monolithic integrated circuits (provided for in 
        subheadings 8542.11.00 and 8542.19.00);
          (4) other integrated circuits (provided for in 
        subheading 8542.20.00);
          (5) other components (provided for in subheading 
        8541.50.00);
          (6) parts of semiconductors (provided for in 
        subheadings 8541.90.00 and 8542.90.00); \47\
---------------------------------------------------------------------------
    \47\ Sec. 128(b), as amended by sec. 1214(j)(1) of Public Law 100-
418 (102 Stat. 1158), was further amended by sec. 1215 of such Act, 
which struck out ``and'' at the end of para. (6); struck out ``tube.'' 
and inserted in lieu thereof ``tube; and'' in para. (7); and added a 
new para. (8).
---------------------------------------------------------------------------
          (7) units of automatic data processing machines 
        (provided for in subheadings 8471.92.20, 8471.92.30, 
        8471.92.70, 8471.92.80, 8471.93.10, 8471.93.15, 
        8471.93.30, 8471.93.50, 8471.99.15, and 8471.99.60) and 
        parts (provided for in subheading 8473.30.40), all the 
        foregoing not incorporating a cathode ray tube; and 
        \47\
          (8) \47\ Digital processing units for automatic data 
        processing machines, unhoused, consisting of a printed 
        circuit (single or multiple) with one or more 
        electronic integrated circuits or other semiconductor 
        devices mounted directly thereon, certified as units 
        designed for use other than in an automatic data 
        processing machine of subheading 8471.20 (provided for 
        in subheading 8471.91).
    (c) Termination.--The President may exercise his authority 
under this section only during the 5-year period beginning on 
the date of the enactment of the International Trade and 
Investment Act.\48\
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    \48\ This Act became effective on Oct. 30, 1984.
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            * * * * * * *  

         Chapter 3--Hearings and Advice Concerning Negotiations

SEC. 131.\49\ ADVICE FROM INTERNATIONAL TRADE COMMISSION.

  (a) Lists of Articles Which May Be Considered for Action.--
---------------------------------------------------------------------------
    \49\ 19 U.S.C. 2151. Sec. 1111 of Public Law 100-418 (102 Stat. 
1135) amended and restated sec. 131.
---------------------------------------------------------------------------
          (1) In connection with any proposed trade agreement 
        under section 123 of this Act or section 1102 (a) or 
        (c) of the Omnibus Trade and Competitiveness Act of 
        1988, the President shall from time to time publish and 
        furnish the International Trade Commission (hereafter 
        in this section referred to as the ``Commission'') with 
        lists of articles which may be considered for 
        modification or continuance of United States duties, 
        continuance of United States duty-free or excise 
        treatment, or additional duties. In the case of any 
        article with respect to which consideration may be 
        given to reducing or increasing the rate of duty, the 
        list shall specify the provision of this subchapter 
        under which such consideration may be given.
          (2) In connection with any proposed trade agreement 
        under section 1102 (b) or (c) of the Omnibus Trade and 
        Competitiveness Act of 1988, the President may from 
        time to time publish and furnish the Commission with 
        lists of nontariff matters which may be considered for 
        modification.
  (b) Advice to President by Commission.--Within 6 months after 
receipt of a list under subsection (a) or, in the case of a 
list submitted in connection with a trade agreement, within 90 
days after receipt of such list, the Commission shall advise 
the President, with respect to each article or nontariff 
matter, of its judgment as to the probable economic effect of 
modification of the tariff or nontariff measure on industries 
producing like or directly competitive articles and on 
consumers, so as to assist the President in making an informed 
judgment as to the impact which might be caused by such 
modifications on United States interests, such as sectors 
involved in manufacturing, agriculture, mining, fishing, 
services, intellectual property, investment, labor, and 
consumers. Such advice may include in the case of any article 
the advice of the Commission as to whether any reduction in the 
rate of duty should take place over a longer period of time 
than the minimum period provided for in section 1102(a)(3)(A).
  (c) Additional Investigations and Reports Requested by the 
President or the Trade Representative.--In addition, in order 
to assist the President in his determination whether to enter 
into any agreement under section 123 of this Act or section 
1102 of the Omnibus Trade and Competitiveness Act of 1988, or 
how to develop trade policy, priorities or other matters (such 
as priorities for actions to improve opportunities in foreign 
markets), the Commission shall make such investigations and 
reports as may be requested by the President or the United 
States Trade Representative on matters such as effects of 
modification of any barrier to (or other distortion of) 
international trade on domestic workers, industries or sectors, 
purchasers, prices and quantities of articles in the United 
States.
  (d) Commission Steps in Preparing Its Advice to the 
President.--In preparing its advice to the President under this 
section, the Commission shall to the extent practicable--
          (1) investigate conditions, causes, and effects 
        relating to competition between the foreign industries 
        producing the articles or services in question and the 
        domestic industries producing the like or directly 
        competitive articles or services;
          (2) analyze the production, trade, and consumption of 
        each like or directly competitive article or service, 
        taking into consideration employment, profit levels, 
        and use of productive facilities with respect to the 
        domestic industries concerned, and such other economic 
        factors in such industries as it considers relevant, 
        including prices, wages, sales, inventories, patterns 
        of demand, capital investment, obsolescence of 
        equipment, and diversification of production;
          (3) describe the probable nature and extent of any 
        significant change in employment, profit levels, and 
        use of productive facilities; the overall impact of 
        such or other possible changes on the competitiveness 
        of relevant domestic industries or sectors; and such 
        other conditions as it deems relevant in the domestic 
        industries or sectors concerned which it believes such 
        modifications would cause; and
          (4) make special studies (including studies of real 
        wages paid in foreign supplying countries), whenever 
        deemed to be warranted, of particular proposed 
        modifications affecting United States manufacturing, 
        agriculture, mining, fishing, labor, consumers, 
        services, intellectual property and investment, using 
        to the fullest extent practicable United States 
        Government facilities abroad and appropriate personnel 
        of the United States.
  (e) Public Hearing.--In preparing its advice to the President 
under this section, the Commission shall, after reasonable 
notice, hold public hearings.

SEC. 132.\50\ ADVICE FROM EXECUTIVE DEPARTMENTS AND OTHER SOURCES.

  Before any trade agreement is entered into under section 123 
of this Act or section 1102 of the Omnibus Trade and 
Competitiveness Act of 1988, the President shall seek 
information and advice with respect to such agreement from the 
Departments of Agriculture, Commerce, Defense, Interior, Labor, 
State and the Treasury, from the United States Trade 
Representative, and from such other sources as he may deem 
appropriate. Such advice shall be prepared and presented 
consistent with the provisions of Reorganization Plan Number 3 
of 1979, Executive Order Number 12188 and section 141(c).
---------------------------------------------------------------------------
    \50\ 19 U.S.C. 2152. Sec. 1111 of Public Law 100-418 (102 Stat. 
1135) amended and restated sec 132.
---------------------------------------------------------------------------

SEC. 133.\51\ PUBLIC HEARINGS.

  (a) Opportunity for Presentation of Views.--In connection 
with any proposed trade agreement under section 123 of this Act 
or section 1102 of the Omnibus Trade and Competitiveness Act of 
1988, the President shall afford an opportunity for any 
interested person to present his views concerning any article 
on a list published under section 131, any matter or article 
which should be so listed, any concession which should be 
sought by the United States, or any other matter relevant to 
such proposed trade agreement. For this purpose, the President 
shall designate an agency or an interagency committee which 
shall, after reasonable notice, hold public hearings and 
prescribe regulations governing the conduct of such hearings. 
When appropriate, such procedures shall apply to the 
development of trade policy and priorities.
---------------------------------------------------------------------------
    \51\ 19 U.S.C. 2153. Sec. 1111 of Public Law 100-418 (102 Stat. 
1135) amended and restated sec. 133.
---------------------------------------------------------------------------
  (b) Summary of Hearings.--The organization holding such 
hearing shall furnish the President with a summary thereof.

SEC. 134.\52\ PREREQUISITES FOR OFFERS.

  (a) In any negotiation seeking an agreement under section 123 
of this Act or section 1102 of the Omnibus Trade and 
Competitiveness Act of 1988, the President may make a formal 
offer for the modification or continuance of any United States 
duty, import restrictions, or barriers to (or other distortions 
of) international trade, the continuance of United States duty-
free or excise treatment, or the imposition of additional 
duties, import restrictions, or other barrier to (or other 
distortion of) international trade including trade in services, 
foreign direct investment and intellectual property as covered 
by this title, with respect to any article or matter only after 
he has received a summary of the hearings at which an 
opportunity to be heard with respect to such article has been 
afforded under section 133. In addition, the President may make 
an offer for the modification or continuance of any United 
States duty, the continuance of United States duty-free or 
excise treatment, or the imposition of additional duties, with 
respect to any article included in a list published and 
furnished under section 131(a), only after he has received 
advice concerning such article from the Commission under 
section 131(b), or after the expiration of the 6-month or 90-
day period provided for in that section, as appropriate, 
whichever first occurs.
---------------------------------------------------------------------------
    \52\ 19 U.S.C. 2154. Sec. 1111 of Public Law 100-418 (102 Stat. 
1135) amended and restated sec. 134.
---------------------------------------------------------------------------
  (b) In determining whether to make offers described in 
subsection (a) in the course of negotiating any trade agreement 
under section 1102 of the Omnibus Trade and Competitiveness Act 
of 1988, and in determining the nature and scope of such 
offers, the President shall take into account any advice or 
information provided, or reports submitted, by--
          (1) the Commission;
          (2) any advisory committee established under section 
        135; or
          (3) any organization that holds public hearings under 
        section 133;
with respect to any article, or domestic industry, that is 
sensitive, or potentially sensitive, to imports.

SEC. 135.\53\ INFORMATION AND ADVICE FROM PRIVATE AND PUBLIC SECTORS.

  (a) In General.--
---------------------------------------------------------------------------
    \53\ 19 U.S.C. 2155. Sec. 1631 of the Omnibus Trade and 
Competitiveness Act of 1988 (Public Law 100-418; 102 Stat. 1264) 
comprehensively amended and restated sec. 135.
---------------------------------------------------------------------------
          (1) The President shall seek information and advice 
        from representative elements of the private sector and 
        the non-Federal governmental sector with respect to--
                  (A) negotiating objectives and bargaining 
                positions before entering into a trade 
                agreement under this title or section 1102 of 
                the Omnibus Trade and Competitiveness Act of 
                1988;
                  (B) \54\ the operation of any trade agreement 
                once entered into, including preparation for 
                dispute settlement panel proceedings to which 
                the United States is a party; and
---------------------------------------------------------------------------
    \54\ Sec. 127(f) of Public Law 103-465 (108 Stat. 4836) struck out 
``(B) the operation of any trade agreement once entered into; and'' and 
inserted in lieu thereof ``(B) the operation of any trade agreement 
once entered into, including preparation for dispute settlement panel 
proceedings to which the United States is a party; and''.
---------------------------------------------------------------------------
                  (C) other matters arising in connection with 
                the development, implementation, and 
                administration of the trade policy of the 
                United States, including those matters referred 
                to in Reorganization Plan Number 3 of 1979 and 
                Executive Order Numbered 12188, and the 
                priorities for actions thereunder.
        To the maximum extent feasible, such information and 
        advice on negotiating objectives shall be sought and 
        considered before the commencement of negotiations.
          (2) The President shall consult with representative 
        elements of the private sector and the non-Federal 
        governmental sector on the overall current trade policy 
        of the United States. The consultations shall include, 
        but are not limited to, the following elements of such 
        policy:
                  (A) The principal multilateral and bilateral 
                trade negotiating objectives and the progress 
                being made toward their achievement.
                  (B) The implementation, operation, and 
                effectiveness of recently concluded 
                multilateral and bilateral trade agreements and 
                resolution of trade disputes.
                  (C) The actions taken under the trade laws of 
                the United States and the effectiveness of such 
                actions in achieving trade policy objectives.
                  (D) Important developments in other areas of 
                trade for which there must be developed a 
                proper policy response.
          (3) The President shall take the advice received 
        through consultation under paragraph (2) into account 
        in determining the importance which should be placed on 
        each major objective and negotiating position that 
        should be adopted in order to achieve the overall trade 
        policy of the United States.
  (b) Advisory Committee for Trade Policy and Negotiations.--
          (1) The President shall establish an Advisory 
        Committee for Trade Policy and Negotiations to provide 
        overall policy advice on matters referred to in 
        subsection (a). The committee shall be composed of not 
        more than 45 individuals and shall include 
        representatives of non-Federal governments, labor, 
        industry, agriculture, small business, service 
        industries, retailers, nongovernmental environmental 
        and conservation organizations,\55\ and consumer 
        interests. The committee shall be broadly 
        representative of the key sectors and groups of the 
        economy, particularly with respect to those sectors and 
        groups which are affected by trade. Members of the 
        committee shall be recommended by the United States 
        Trade Representative and appointed by the President for 
        a term of 2 years. An individual may be reappointed to 
        committee for any number of terms. Appointments to the 
        Committee shall be made without regard to political 
        affiliation.
---------------------------------------------------------------------------
    \55\ Sec. 128 of Public Law 103-465 (108 Stat. 4836) inserted 
``nongovernmental environmental and conservation organizations,'' after 
``retailers,''.
---------------------------------------------------------------------------
          (2) The committee shall meet as needed at the call of 
        the United States Trade Representative or at the call 
        of two-thirds of the members of the committee. The 
        chairman of the committee shall be elected by the 
        committee from among its members.
          (3) The United States Trade Representative shall make 
        available to the committee such staff, information, 
        personnel, and administrative services and assistance 
        as it may reasonably require to carry out its 
        activities.
  (c) General Policy, Sectoral, or Functional Advisory 
Committees.--
          (1) The President may establish individual general 
        policy advisory committees for industry, labor, 
        agriculture, services, investment, defense, and other 
        interests, as appropriate, to provide general policy 
        advice on matters referred to in subsection (a). Such 
        committees shall, insofar as is practicable, be 
        representative of all industry, labor, agricultural, 
        service, investment, defense, and other interests, 
        respectively, including small business interests, and 
        shall be organized by the United States Trade 
        Representative and the Secretaries of Commerce, 
        Defense, Labor, Agriculture, the Treasury, or other 
        executive departments, as appropriate. The members of 
        such committees shall be appointed by the United States 
        Trade Representative in consultation with such 
        Secretaries.
          (2) The President shall establish such sectoral or 
        functional advisory committees as may be appropriate. 
        Such committees shall, insofar as is practicable, be 
        representative of all industry, labor, agricultural, or 
        service interests (including small business interests) 
        in the sector or functional areas concerned. In 
        organizing such committees, the United States Trade 
        Representative and the Secretaries of Commerce, Labor, 
        Agriculture, the Treasury, or other executive 
        departments, as appropriate, shall--
                  (A) consult with interested private 
                organizations; and
                  (B) take into account such factors as--
                          (i) patterns of actual and potential 
                        competition between United States 
                        industry and agriculture and foreign 
                        enterprise in international trade,
                          (ii) the character of the nontariff 
                        barriers and other distortions 
                        affecting such competition,
                          (iii) the necessity for reasonable 
                        limits on the number of such advisory 
                        committees,
                          (iv) the necessity that each 
                        committee be reasonably limited in 
                        size, and
                          (v) in the case of each sectoral 
                        committee, that the product lines 
                        covered by each committee be reasonably 
                        related.
          (3) The President--
                  (A) may, if necessary, establish policy 
                advisory committees representing non-Federal 
                governmental interests to provide policy 
                advice--
                          (i) on matters referred to in 
                        subsection (a), and
                          (ii) with respect to implementation 
                        of trade agreements, and
                  (B) shall include as members of committees 
                established under subparagraph (A) 
                representatives of non-Federal governmental 
                interests if he finds such inclusion 
                appropriate after consultation by the United 
                States Trade Representative with such 
                representatives.
          (4) Appointments to each committee established under 
        paragraph (1), (2), or (3) shall be made without regard 
        to political affiliation.
  (d) Policy, Technical, and Other Advice and Information.--
Committees established under subsection (c) shall meet at the 
call of the United States Trade Representative and the 
Secretaries of Agriculture, Commerce, Labor, Defense, or other 
executive departments, as appropriate, to provide policy 
advice, technical advice and information, and advice on other 
factors relevant to the matters referred to in subsection (a).
  (e) Meeting of Advisory Committees at Conclusion of 
Negotiations.--
          (1) The Advisory Committee for Trade Policy and 
        Negotiations, each appropriate policy advisory 
        committee, and each sectoral or functional advisory 
        committee, if the sector or area which such committee 
        represents is affected, shall meet at the conclusion of 
        negotiations for each trade agreement entered into 
        under section 1102 of the Omnibus Trade and 
        Competitiveness Act of 1988, to provide to the 
        President, to Congress, and to the United States Trade 
        Representative a report on such agreement. Each report 
        that applies to a trade agreement entered into under 
        section 1102 of the Omnibus Trade and Competitiveness 
        Act of 1988 shall be provided under the preceding 
        sentence not later than the date on which the President 
        notifies the Congress under section 1103(a)(1)(A) of 
        such Act of 1988 of his intention to enter into that 
        agreement.
          (2) The report of the Advisory Committee for Trade 
        Policy and Negotiations and each appropriate policy 
        advisory committee shall include an advisory opinion as 
        to whether and to what extent the agreement promotes 
        the economic interests of the United States and 
        achieves the applicable overall and principal 
        negotiating objectives set forth in section 1101 of the 
        Omnibus Trade and Competitiveness Act of 1988, as 
        appropriate.
          (3) The report of the appropriate sectoral or 
        functional committee under paragraph (1) shall include 
        an advisory opinion as to whether the agreement 
        provides for equity and reciprocity within the sector 
        or within the functional area.
  (f) Application of Federal Advisory Committee Act.--The 
provisions of the Federal Advisory Committee Act apply--
          (1) to the Advisory Committee for Trade Policy and 
        Negotiations established under subsection (b); and
          (2) to all other advisory committees which may be 
        established under subsection (c); except that the 
        meetings of advisory committees established under 
        subsections (b) and (c) shall be exempt from the 
        requirements of subsections (a) and (b) of sections 10 
        and 11 of the Federal Advisory Committee Act (relating 
        to open meetings, public notice, public participation, 
        and public availability of documents), whenever and to 
        the extent it is determined by the President or his 
        designee that such meetings will be concerned with 
        matters the disclosure of which would seriously 
        compromise the development by the United States 
        Government of trade policy, priorities, negotiating 
        objectives or bargaining positions with respect to 
        matters referred to in subsection (a), and that 
        meetings may be called of such special task forces, 
        plenary meetings of chairmen, or other such groups made 
        up of members of the committees established under 
        subsections (b) and (c).
  (g) Trade Secrets and Confidential Information.--
          (1) Trade secrets and commercial or financial 
        information which is privileged or confidential, and 
        which is submitted in confidence by the private sector 
        or non-Federal government to officers or employees of 
        the United States in connection with trade 
        negotiations, may be disclosed upon request to--
                  (A) officers and employees of the United 
                States designated by the United States Trade 
                Representative;
                  (B) members of the Committee on Ways and 
                Means of the House of Representatives and the 
                Committee on Finance of the Senate who are 
                designated as official advisers under section 
                161(a)(1) or are designated by the chairmen of 
                either such committee under section 
                161(b)(3)(A) and staff members of either such 
                committee designated by the chairmen under 
                section 161(b)(3)(A); and
                  (C) members of any committee of the House or 
                Senate or any joint committee of Congress who 
                are designated as advisers under section 
                161(a)(2) or designated by the chairman of such 
                committee under section 161(b)(3)(B) and staff 
                members of such committee designated under 
                section 161(b)(3)(B), but disclosure may be 
                made under this subparagraph only with respect 
                to trade secrets or commercial or financial 
                information that is relevant to trade policy 
                matters or negotiations that are within the 
                legislative jurisdiction of such committee;
        for use in connection with matters referred to in 
        subsection (a).
          (2) Information other than that described in 
        paragraph (1), and advice submitted in confidence by 
        the private sector or non-Federal government to 
        officers or employees of the United States, to the 
        Advisory Committee for Trade Policy and Negotiations, 
        or to any advisory committee established under 
        subsection (c), in connection with matters referred to 
        in subsection (a), may be disclosed upon request to--
                  (A) the individuals described in paragraph 
                (1); and
                  (B) the appropriate advisory committee 
                established under this section.
          (3) Information submitted in confidence by officers 
        or employees of the United States to the Advisory 
        Committee for Trade Policy and Negotiations, or to any 
        advisory committee established under subsection (c), 
        may be disclosed in accordance with rules issued by the 
        United States Trade Representative and the Secretaries 
        of Commerce, Labor, Defense, Agriculture, or other 
        executive departments, as appropriate, after 
        consultation with the relevant advisory committees 
        established under subsection (c). Such rules shall 
        define the categories of information which require 
        restricted or confidential handling by such committee 
        considering the extent to which public disclosure of 
        such information can reasonably be expected to 
        prejudice the development of trade policy, priorities, 
        or United States negotiating objectives. Such rules 
        shall, to the maximum extent feasible, permit 
        meaningful consultations by advisory committee members 
        with persons affected by matters referred to in 
        subsection (a).
  (h) Advisory Committee Support.--The United States Trade 
Representative, and the Secretaries of Commerce, Labor, 
Defense, Agriculture, the Treasury, or other executive 
departments, as appropriate, shall provide such staff, 
information, personnel, and administrative services and 
assistance to advisory committees established under subsection 
(c) as such committees may reasonably require to carry out 
their activities.
  (i) Consultation With Advisory Committees; Procedures; 
Nonacceptance of Committee Advice or Recommendations.--It shall 
be the responsibility of the United States Trade 
Representative, in conjunction with the Secretaries of 
Commerce, Labor, Agriculture, the Treasury, or other executive 
departments, as appropriate, to adopt procedures for 
consultation with and obtaining information and advice from the 
advisory committees established under subsection (c) on a 
continuing and timely basis. Such consultation shall include 
the provision of information to each advisory committee as to--
          (1) significant issues and developments; and
          (2) overall negotiating objectives and positions of 
        the United States and other parties;
with respect to matters referred to in subsection (a). The 
United States Trade Representative shall not be bound by the 
advice or recommendations of such advisory committees, but 
shall inform the advisory committees of significant departures 
from such advice or recommendations made. In addition, in the 
course of consultations with the Congress under this title, 
information on the advice and information provided by advisory 
committees shall be made available to congressional advisers.
  (j) Private Organizations or Groups.--In addition to any 
advisory committee established under this section, the 
President shall provide adequate, timely and continuing 
opportunity for the submission on an informal basis (and, if 
such information is submitted under the provisions of 
subsection (g), on a confidential basis) by private 
organizations or groups, representing government, labor, 
industry, agriculture, small business, service industries, 
consumer interests, and others, of statistics, data and other 
trade information, as well as policy recommendations, pertinent 
to any matter referred to in subsection (a).
  (k) Scope of Participation by Members of Advisory 
Committees.--Nothing contained in this section shall be 
construed to authorize or permit any individual to participate 
directly in any negotiation of any matters referred to in 
subsection (a). To the maximum extent practicable, the members 
of the committees established under subsections (b) and (c), 
and other appropriate parties, shall be informed and consulted 
before and during any such negotiations. They may be designated 
as advisors to a negotiating delegation, and may be permitted 
to participate in international meetings to the extent the head 
of the United States delegation deems appropriate. However, 
they may not speak or negotiate for the United States.
  (l) Advisory Committees Established by Department of 
Agriculture.--The provisions of title XVIII of the Food and 
Agriculture Act of 1977 (7 U.S.C. 2281 et seq.) shall not apply 
to any advisory committee established under subsection (c).
  (m) Non-Federal Government Defined.--As used in this section, 
the term ``non-Federal government'' means--
          (1) any State, territory, or possession of the United 
        States, or the District of Columbia, or any political 
        subdivision thereof; or
          (2) any agency or instrumentality of any entity 
        described in paragraph (1).

    Chapter 4--Office of the United States Trade Representative \56\

SEC. 141.\57\,\58\ OFFICE OF THE UNITED STATES TRADE 
                    REPRESENTATIVE.

    (a) There is established within the Executive Office of the 
President the Office of the United States Trade Representative 
\56\ (hereinafter in this section referred to as the 
``Office'').
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    \56\ This chapter designation was substituted in lieu of ``Office 
of the Special Representative for Trade Negotiations'' by sec. 3(d)(3) 
of Public Law 97-456 (96 Stat. 2503). In addition, sec. 3(d)(2)(D) 
substituted the reference to the ``United States Trade Representative'' 
in lieu of a reference to the ``Special Representative for Trade 
Negotiations''.
    \57\ 19 U.S.C. 2171. The Department of Commerce Appropriations Act, 
1993 (Title II of Public Law 102-395; 106 Stat. 1852) provided that: 
``Notwithstanding any other provision of law, upon the request of the 
Secretary of Commerce, the Secretary of State shall accord the 
diplomatic title of Minister-Counselor to the senior Commercial Officer 
assigned to any United States mission abroad: Provided further, That 
the number of Commercial Service officers accorded such diplomatic 
title at any time shall not exceed twelve''.
    \58\ Sec. 3 of Public Law 97-456 (96 Stat. 2503) inserted the 
reference to the Deputy United States Trade Representative in lieu of a 
reference to the Deputy Special Representatives for Trade Negotiations 
and increased the number of deputies in the office of the United States 
Trade Representative from two to three.
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    (b)(1) The Office shall be headed by the United States 
Trade Representative \56\ who shall be appointed by the 
President, by and with the advice and consent of the Senate. As 
an exercise of the rulemaking power of the Senate, any 
nomination of the United States Trade Representative \56\ 
submitted to the Senate for confirmation, and referred to a 
committee, shall be referred to the Committee on Finance. The 
United States Trade Representative \56\ shall hold office at 
the pleasure of the President, shall be entitled to receive the 
same allowances as a chief of mission, and shall have the rank 
of Ambassador Extraordinary and Plenipotentiary.
    (2) There shall be in the Office three Deputy United States 
Trade Representatives and one Chief Agricultural Negotiator 
\59\ who shall be appointed by the President, by and with the 
advice and consent of the Senate. As an exercise of the 
rulemaking power of the Senate, any nomination of a Deputy 
United States Trade Representative or the Chief Agricultural 
Negotiator \59\ submitted to the Senate for confirmation, and 
referred to a committee, shall be referred to the Committee on 
Finance. Each Deputy United States Trade Representative and the 
Chief Agricultural Negotiator \59\ shall hold the office at the 
pleasure of the President and shall have the rank of 
Ambassador.
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    \59\ Sec. 406 of Public Law 106-200 (114 Stat. 293) added the 
position of Chief Agricultural Negotiator and amended para. (2) by 
inserting references to the position.
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    (3) \60\,\61\ A person who has directly 
represented, aided, or advised a foreign entity (as defined by 
section 207(f)(3) of title 18, United States Code) in any trade 
negotiation, or trade dispute, with the United States may not 
be appointed as United States Trade Representative or as a 
Deputy United States Trade Representative.
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    \60\ Sec. 21(b) of Public Law 104-65 (109 Stat. 704) added para. 
(3). Subsec. (c) of that section made the amendment effective for 
appointments made on or after the date of enactment (Dec. 19, 1995).
    An earlier para. (3) was repealed by sec. 3(d)(1) of Public Law 97-
456 (96 Stat. 2503).
    Para. (3) was waived with respect to the appointment of Charlene 
Barshefsky as United States Trade Representative. As a lawyer in 
private practice, Ms. Barshefsky had briefly advised the government of 
Canada and the province of Quebec in a trade dispute. Public Law 105-5 
(111 Stat. 11, enacted March 17, 1997) stated as follows:
    ``Notwithstanding the provisions of paragraph (3) of section 141(b) 
of the Trade Act of 1974 (19 U.S.C. 2171(b)(3)) or any other provision 
of law, the President, acting by and with the advice and consent of the 
Senate, is authorized to appoint Charlene Barshefsy as the United 
States Trade Representative.''
    \61\ Sec. 1001(a)(2) of Public Law 106-36 (113 Stat. 130) struck 
out ``Limitation on appointments.--'' and aligned the text of para. (3) 
with the text of para. (2).
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  (c) \62\ (1) The United States Trade Representative shall--
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    \62\ Sec. 1601(a) of Public Law 100-418 (102 Stat. 1260) amended 
and restated sec. 141(c).
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          (A) have primary responsibility for developing, and 
        for coordinating the implementation of, United States 
        international trade policy, including commodity 
        matters, and, to the extent they are related to 
        international trade policy, direct investment matters;
          (B) serve as the principal advisor to the President 
        on international trade policy and shall advise the 
        President on the impact of other policies of the United 
        States Government on international trade;
          (C) have lead responsibility for the conduct of, and 
        shall be the chief representative of the United States 
        for, international trade negotiations, including all 
        negotiations on any matter considered under the 
        auspices of the World Trade Organization,\63\ commodity 
        and direct investment negotiations, in which the United 
        States participates;
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    \63\ Sec. 621(a)(8)(A) of Public Law 103-465 (108 Stat. 4993) added 
``all negotiations on any matter considered under the auspices of the 
World Trade Organization,'' after ``including''.
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          (D) issue and coordinate policy guidance to 
        departments and agencies on basic issues of policy and 
        interpretation arising in the exercise of international 
        trade functions, including any matter considered under 
        the auspices of the World Trade Organization,\64\ to 
        the extent necessary to assure the coordination of 
        international trade policy and consistent with any 
        other law;
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    \64\ Sec. 621(a)(8)(B) of Public Law 103-465 (108 Stat. 4993) 
inserted ``, including any matter considered under the auspices of the 
World Trade Organization,'' after ``functions'' (resulting in a double 
comma). Sec. 20(f)(1) of Public Law 104-295 (110 Stat. 3529) 
subsequently struck out the second comma.
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          (E) act as the principal spokesman of the President 
        on international trade;
          (F) report directly to the President and the Congress 
        regarding, and be responsible to the President and the 
        Congress for the administration of, trade agreements 
        programs;
          (G) advise the President and Congress with respect to 
        nontariff barriers to international trade, 
        international commodity agreements, and other matters 
        which are related to the trade agreements programs;
          (H) be responsible for making reports to Congress 
        with respect to matters referred to in subparagraphs 
        (C) and (F);
          (I) be chairman of the interagency trade organization 
        established under section 242(a) of the Trade Expansion 
        Act of 1962, and shall consult with and be advised by 
        such organization in the performance of his functions; 
        and
          (J) in addition to those functions that are delegated 
        to the United States Trade Representative as of the 
        date of the enactment of the Omnibus Trade and 
        Competitiveness Act of 1988, be responsible for such 
        other functions as the President may direct.
    (2) \65\ It is the sense of Congress that the United States 
Trade Representative should--
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    \65\ Sec. 3(b)(1) of Public Law 97-456 (96 Stat. 2503) redesignated 
existing para. (2) as para. (3) and added a new para. (2). Sec. 
1601(a)(2) of Public Law 100-418 (102 Stat. 1261) subsequently 
redesignated paras. (2) and (3) as paras. (3) and (4) and inserted a 
new para. (2).
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          (A) be the senior representative on any body that the 
        President may establish for the purpose of providing to 
        the President advice on overall economic policies in 
        which international trade matters predominate; and
          (B) be included as a participant in all economic 
        summit and other international meetings at which 
        international trade is a major topic.
    (3) \65\ The United States Trade Representative may--
          (A) delegate any of his functions, powers, and duties 
        to such officers and employees of the Office as he may 
        designate; and
          (B) authorize such successive redelegations of such 
        functions, powers, and duties to such officers and 
        employees of the Office as he may deem appropriate.
    (4) \65\ Each Deputy United States Trade Representative\66\ 
shall have as his principal function the conduct of trade 
negotiations under this Act and shall have such other functions 
as the United States Trade Representative \56\ may direct.
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    \66\ Sec. 3(d)(2)(C) of Public Law 97-456 (96 Stat. 2503) 
substituted the reference to the Deputy United States Trade 
Representative in lieu of a reference to the Deputy Special 
Representative for Trade Negotiations.
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    (5) \67\ The principal function of the Chief Agricultural 
Negotiator shall be to conduct trade negotiations and to 
enforce trade agreements relating to United States agricultural 
products and services. The Chief Agricultural Negotiator shall 
be a vigorous advocate on behalf of United States agricultural 
interests. The Chief Agricultural Negotiator shall perform such 
other functions as the United States Trade Representative may 
direct.
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    \67\ Sec. 406 of Public Law 106-200 (114 Stat. 293) inserted para. 
(5).
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  (d) \68\ (1) In carrying out subsection (c) with respect to 
unfair trade practices, the United States Trade Representative 
shall--
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    \68\ Sec. 1601(b)(1) of Public Law 100-418 (102 Stat. 1261) 
redesignated subsecs. (d), (e), and (f) as subsecs. (e), (f), and (g), 
respectively, and inserted a new subsec. (d).
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          (A) coordinate the application of interagency 
        resources to specific unfair trade practice cases;
          (B) identify, and refer to the appropriate Federal 
        department or agency for consideration with respect to 
        action, each act, policy, or practice referred to in 
        the report required under section 181(b), or otherwise 
        known to the United States Trade Representative on the 
        basis of other available information, that may be an 
        unfair trade practice that either--
                  (i) is considered to be inconsistent with the 
                provisions of any trade agreement and has a 
                significant adverse impact on United States 
                commerce, or
                  (ii) has a significant adverse impact on 
                domestic firms or industries that are either 
                too small or financially weak to initiate 
                proceedings under the trade laws;
          (C) identify practices having a significant adverse 
        impact on United States commerce that the attainment of 
        United States negotiating objectives would eliminate; 
        and
          (D) identify, on a biennial basis, those United 
        States Government policies and practices that, if 
        engaged in by a foreign government, might constitute 
        unfair trade practices under United States law.
  (2) For purposes of carrying out paragraph (1), the United 
States Trade Representative shall be assisted by an interagency 
unfair trade practices advisory committee composed of the Trade 
Representative, who shall chair the committee, and senior 
representatives of the following agencies, appointed by the 
respective heads of those agencies:
          (A) The Bureau of Economics and Business Affairs of 
        the Department of State.
          (B) The United States and Foreign Commercial Services 
        of the Department of Commerce.
          (C) The International Trade Administration (other 
        than the United States and Foreign Commercial Service) 
        of the Department of Commerce.
          (D) The Foreign Agricultural Service of the 
        Department of Agriculture.
The United States Trade Representative may also request the 
advice of the United States International Trade Commission 
regarding the carrying out of paragraph (1).
  (3) For purposes of this subsection, the term ``unfair trade 
practice'' means any act, policy, or practice that--
          (A) may be a subsidy with respect to which 
        countervailing duties may be imposed under subtitle A 
        of title VII;
          (B) may result in the sale or likely sale of foreign 
        merchandise with respect to which antidumping duties 
        may be imposed under subtitle B of title VII;
          (C) may be either an unfair method of competition, or 
        an unfair act in the importation of articles into the 
        United States, that is unlawful under section 337; or
          (D) may be an act, policy, or practice of a kind with 
        respect to which action may be taken under title III of 
        the Trade Act of 1974.
    (e) \68\ The United States Trade Representative \56\ may, 
for the purpose of carrying out his functions under this 
section--
          (1) subject to the civil service and classification 
        laws, select, appoint, employ, and fix the compensation 
        of such officers and employees as are necessary and 
        prescribe their authority and duties, except that not 
        more than 20 individuals may be employed without regard 
        to any provision of law regulating the employment or 
        compensation at rates not to exceed the rate of pay for 
        level IV of the Executive Schedule in section 5314 of 
        title 5, United States Code; \69\
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    \69\ The words to this point beginning with ``except that not more 
than 20'' were added by sec. 13023(1) of Public Law 99-272 (100 Stat. 
307).
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          (2) employ experts and consultants in accordance with 
        section 3109 of title 5, United States Code, and 
        compensate individuals so employed for each day 
        (including travel time) at rates not in excess of the 
        maximum rate of pay for grade GS-18 as provided in 
        section 5332 of title 5, United States Code, and while 
        such experts and consultants are so serving away from 
        their homes or regular place of business, to pay such 
        employees travel expenses and per diem in lieu of 
        subsistence at rates authorized by section 5703 of 
        title 5, United States Code, for persons in Government 
        service employed intermittently;
          (3) promulgate such rules and regulations as may be 
        necessary to carry out the functions, powers and duties 
        \70\ vested in him;
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    \70\ Sec. 3(b)(2) of Public Law 97-456 (96 Stat. 2503) inserted the 
words ``powers and duties''.
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          (4) utilize, with their consent, the services, 
        personnel, and facilities of other Federal agencies;
          (5) enter into and perform such contracts, leases, 
        cooperative agreements, or other transactions as may be 
        necessary in the conduct of the work of the Office and 
        on such terms as the United States Trade Representative 
        \56\ may deem appropriate, with any agency or 
        instrumentality of the United States, or with any 
        public or private person, firm, association, 
        corporation, or institution;
          (6) accept voluntary and uncompensated services, 
        notwithstanding the provisions of section 1342 of Title 
        31, United States Code; \71\
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    \71\ Sec. 1887(a)(3) of Public Law 99-514 (100 Stat. 2923) inserted 
the reference to 31 U.S.C. 1342 in lieu of ``3679(b) of the Revised 
Statutes (31 U.S.C. 665(b))''.
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          (7) adopt an official seal, which shall be judicially 
        noticed;
          (8) \72\ pay for expenses approved by him for 
        official travel without regard to the Federal Travel 
        Regulations or to the provisions of subchapter I of 
        chapter 57 of title 5, United States Code (relating to 
        rates of per diem allowances in lieu of subsistence 
        expenses);
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    \72\ Sec. 3(b)(5) of Public Law 97-456 (96.Stat. 2503) added paras. 
(8)-(10).
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          (9) \72\ accept, hold, administer, and utilize gifts, 
        devises, and bequests of property, both real and 
        personal, for the purpose of aiding or facilitating the 
        work of the Office; and
          (10) \72\ acquire, by purchase or exchange, not more 
        than two passenger motor vehicles for use abroad, 
        except that no vehicle may be acquired at a cost 
        exceeding $9,500.
          (11) \73\ provide, where authorized by law, copies of 
        documents to persons at cost, except that any funds so 
        received shall be credited to, and be available for use 
        from, the account from which expenditures relating 
        thereto were made.
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    \73\ Sec. 304(d)(2)(A)(iii) of the International Trade and 
Investment Act (title III of Public Law 98-573; 98 Stat. 3004) inserted 
this paragraph as para. (8). It was later redesignated as para. (11) by 
sec. 1887(a)(4) of Public Law 99-514 (100 Stat. 2923).
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    (f) \68\ The United States Trade Representative \56\ shall, 
to the extent he deems it necessary for the proper 
administration and execution of the trade agreements programs 
of the United States, draw upon the resources of, and consult 
with, Federal agencies in connection with the performance of 
his functions.
    (g) \68\ (1) \74\ (A) There are authorized to be 
appropriated to the Office for the purposes of carrying out its 
functions not to exceed the following:
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    \74\ Sec. 103(a) of the Customs and Trade Act of 1990 (Public Law 
101-382; 104 Stat. 634) amended and restated sec. 141(g)(1).
    Previous authorization levels have been as follows: fiscal year 
1990--$19,651,000 (Public Law 101-207; 103 Stat. 1833); fiscal year 
1988--$15,172,000 (Public Law 100-203; 101 Stat. 1330-382); fiscal year 
1986--$13,582,000 (Public Law 99-272; 100 Stat. 308); fiscal year 
1985--$14,179,000 (Public Law 98-573; 98 Stat. 3043); fiscal year 
1983--$11,100,000 (Public Law 97-456; 96 Stat. 2503).
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          (i) $23,250,000 for fiscal year 1991.
          (ii) $21,077,000 for fiscal year 1992.
    (B) Of the amounts authorized to be appropriated under 
subparagraph (A) for any fiscal year--
          (i) not to exceed $98,000 may be used for 
        entertainment and representation expenses of the 
        Office;
          (ii) not to exceed $2,050,000 may be used to pay the 
        United States share of the expenses of binational 
        panels and extraordinary challenge committees convened 
        pursuant to chapter 19 of the United States-Canada Free 
        Trade Agreement; and
          (iii) not to exceed $1,000,000 shall remain available 
        until expended.
    (2) \75\ For the fiscal year beginning October 1, 1982, and 
for each fiscal year thereafter, there are authorized to be 
appropriated to the Office for the salaries of its officers and 
employees such additional sums as may be provided by law to 
reflect pay rate changes made in accordance with the Federal 
Pay Comparability Act of 1970.
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    \75\ Sec. 3(a) of Public Law 97-456 (96 Stat. 2503) amended and 
restated subsec. (g) (then subsec. (f)) by adding language in para. (2) 
concerning salaries. Prior to that amendment, subsec. (g) had 
authorized funds for the Office in ``such amounts as may be necessary'' 
for fiscal years 1976-1980.

--------------------------------------------------------------------------------------------------------------------------------------------------------
 
--------------------------------------------------------------------------------------------------------------------------------------------------------
                           Note.--Sec. 132 of the Customs and Trade Act of 1990 (Public Law 101-382; 104 Stat. 647; 19 U.S.C.
                         2432 note) amended several sections of the Trade Act of 1974, and provided the following for such
                         amendments:
                           ``(d) Effective Dates.--
                               ``(1) In general.--Except as provided in paragraph (2), the amendments made by this section take
                            effect on the date of the enactment of this Act. [August 20, 1990]
                               ``(2) Extension of waiver authority.--
                                ``(A) The amendments made by subsections (a) and (c) (4) and (5) apply with respect to
                             recommendations made under section 402(d) of the Trade Act of 1974 by the President after May 23,
                             1990.
                                ``(B) Solely for purposes of applying the applicable provisions of the Trade Act of 1974 with
                             respect to the recommendations made by the President to the House of Representatives and the Senate
                             under subsection (d) of section 402 of the Trade Act of 1974 after May 23, 1990, and on or before
                             the date of the enactment of this Act--
                                 ``(i) in paragraph (2)(A)(i) of subsection (d) of such section 402 (as amended by subsection
                              (a)), the date on which the waiver authority granted under subsection (c) of such section 402
                              would expire but for an extension under paragraph (1) of such subsection (d) is the date of the
                              enactment of this Act;
                                 ``(ii) paragraph (2)(A)(ii) of subsection (d) of such section 402 (as amended by subsection
                              (a)) shall be treated as reading as follows:
                                 `` `(ii) if the President vetoes the joint resolution, each House of Congress votes to override
                              such veto on or before the last day of the 60-day period referred to in clause (i).';
                                 ``(iii) if the waiver authority granted under such subsection (c) is extended after application
                              of clauses (i) and (ii), the expiration date for such authority is July 3, 1991; and
                                 ``(iv) only joint resolutions described in section 153(a) of the Trade Act of 1974 (as amended
                              by subsection (a)) that are introduced in the House of Representatives or the Senate on or after
                              the date of the enactment of this Act may be considered by either body.''.
--------------------------------------------------------------------------------------------------------------------------------------------------------

   Chapter 5--Congressional Procedures With Respect to Presidential 
                                Actions

SEC. 151.\76\ BILLS IMPLEMENTING TRADE AGREEMENTS OF NONTARIFF BARRIERS 
                    AND RESOLUTIONS APPROVING COMMERCIAL AGREEMENTS 
                    WITH COMMUNITY COUNTRIES.

    (a) Rules of House of Representatives and Senate.--This 
section and sections 152 and 153 are enacted by the Congress--
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    \76\ 19 U.S.C. 2191.
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          (1) as an exercise of the rulemaking power of the 
        House of Representatives and the Senate, respectively, 
        and as such they are deemed a part of the rules of each 
        House, respectively, but applicable only with respect 
        to the procedure to be followed in that House in the 
        case of implementing bills described in subsection 
        (b)(1), implementing revenue bills described in 
        subsection (b)(2), approval resolutions described in 
        subsection (b)(3), and resolutions described in 
        subsections 152(a) and 153(a); and they supersede other 
        rules only to the extent that they are inconsistent 
        therewith; and
          (2) with full recognition of the constitutional right 
        of either House to change the rules (so far as relating 
        to the procedure of that House) at any time, in the 
        same manner and to the same extent as in the case of 
        any other rule of that House.
    (b) Definitions.--For purposes of this section--
          (1) The term ``implementing bill'' means only a bill 
        of either House of Congress which is introduced as 
        provided in subsection (c) with respect to one or more 
        trade agreements, or with respect to an extension 
        described in section 282(c)(3) of the Uruguay Round 
        Agreements Act,\77\ submitted to the House of 
        Representatives and the Senate under section 102 of 
        this Act, section 1103(a)(1) of the Omnibus Trade and 
        Competitiveness Act of 1988, or section 282 of the 
        Uruguay Round Agreements Act \78\ and which contains--
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    \77\ Sec. 282(c)(4)(A)(i) of Public Law 103-465 (108 Stat. 4929) 
inserted ``, or with respect to an extension described in section 
282(c)(3) of the Uruguay Round Agreements Act,'' after ``trade 
agreements''.
    \78\ Sec. 1107(b)(1) of Public Law 100-418 (102 Stat. 1135) 
inserted ``section 102 of this Act or section 1103(a)(1) of the Omnibus 
Trade and Competitiveness Act of 1988''. Sec. 282(c)(4)(A)(ii) of 
Public Law 103-465 (108 Stat. 4929) subsequently struck out ``or 
section 1103(a)(1) of the Omnibus Trade and Competitiveness Act of 
1988'' and inserted in lieu thereof ``, section 1103(a)(1) of the 
Omnibus Trade and Competitiveness Act of 1988, or section 282 of the 
Uruguay Round Agreements Act''.
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                  (A) a provision approving such trade 
                agreement or agreements or such extension,\79\
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    \79\ Sec. 282(c)(4)(A)(iii) of Public Law 103-465 (108 Stat. 4929) 
inserted ``or such extension'' after ``agreements'' in subparas. (A) 
and (C).
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                  (B) a provision approving the statement of 
                administrative action (if any) proposed to 
                implement such trade agreement or agreements, 
                and
                  (C) if changes in existing laws or new 
                statutory authority is required to implement 
                such trade agreement or agreements or such 
                extension,\79\ provisions necessary or 
                appropriate to implement such trade agreement 
                or agreements or such extension,\79\ either 
                repealing or amending existing laws or 
                providing new statutory authority.
          (2) The term ``implementing revenue bill or 
        resolution'' \80\ means an implementing bill, or 
        approval resolution \81\ which contains one or more 
        revenue measures by reason of which it must originate 
        in the House of Representatives.
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    \80\ Sec. 132(b)(2)(A) of the Customs and Trade Act of 1990 (Public 
Law 101-382; 104 Stat. 645) inserted ``or resolution''. See box note, 
page 365, relating to effective date of amendment.
    \81\ Sec. 132(b)(2)(B) of the Customs and Trade Act of 1990 (Public 
Law 101-382; 104 Stat. 645) inserted ``, or approval resolution''. See 
box note, page 365, relating to effective date of amendment.
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          (3) The term ``approval resolution'' means only a 
        joint \82\ resolution of the two Houses of the 
        Congress, the matter after the resolving clause of 
        which is as follows: ``That the Congress approves the 
        extension of nondiscriminatory treatment with respect 
        to the products of ........................ transmitted 
        by the President to the Congress on 
        ........................'', the first blank space being 
        filled with the name of the country involved and the 
        second blank space being filled with the appropriate 
        date.
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    \82\ Sec. 132(b)(2)(C) of the Customs and Trade Act of 1990 (Public 
Law 101-382; 104 Stat. 645) struck out ``concurrent'' and inserted in 
lieu thereof ``joint''. See box note, page 365, relating to effective 
date of amendment.
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    (c) Introduction and Referral.--
          (1) On the day on which a trade agreement or 
        extension \83\ is submitted to the House of 
        Representatives and the Senate under section 102 or 
        section 282 of the Uruguay Round Agreements Act,\84\ 
        the implementing bill submitted by the President with 
        respect to such trade agreement or extension \83\ shall 
        be introduced (by request) in the House by the majority 
        leader of the House, for himself and the minority 
        leader of the House, or by Members of the House 
        designated by the majority leader and minority leader 
        of the House; and shall be introduced (by request) in 
        the Senate by the majority leader of the Senate, for 
        himself and the minority leader of the Senate, or by 
        Members of the Senate designated by the majority leader 
        and minority leader of the Senate. If either House is 
        not in session on the day on which such a trade 
        agreement or extension \83\ is submitted, the 
        implementing bill shall be introduced in that House, as 
        provided in the preceding sentence, on the first day 
        thereafter on which that House is in session. Such 
        bills shall be referred by the Presiding Officers of 
        the respective Houses to the appropriate committee, or, 
        in the case of a bill containing provisions within the 
        jurisdiction of two or more committees, jointly to such 
        committees for consideration of those provisions within 
        their respective jurisdictions.
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    \83\ Sec. 282(c)(4)(B)(ii) of Public Law 103-465 (108 Stat. 4929) 
inserted ``or extension'' after ``agreement'' throughout subsec. 
(c)(1).
    \84\ Sec. 282(c)(4)(B)(i) of Public Law 103-465 (108 Stat. 4929) 
inserted ``or section 282 of the Uruguay Round Agreements Act'' after 
``section 102''.
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          (2) On the day on which a bilateral commercial 
        agreement, entered into under title IV of this Act 
        after the date of the enactment of this Act, is 
        transmitted to the House of Representatives and the 
        Senate, an approval resolution with respect to such 
        agreement shall be introduced (by request) in the House 
        by the majority leader of the House, for himself and 
        the minority leader of the House, or by Members of the 
        House designated by the majority leader of the House, 
        for himself and the minority leader of the House, or by 
        Members of the House designated by the majority leader 
        and minority leader of the House; and shall be 
        introduced (by request) in the Senate by the majority 
        leader of the Senate, for himself and the minority 
        leader of the Senate, or by Members of the Senate 
        designated by the majority leader and minority leader 
        of the Senate. If either House is not in session on the 
        day on which such an agreement is transmitted, the 
        approval resolution with respect to such agreement 
        shall be introduced in the House, as provided in the 
        preceding sentence, on the first day thereafter on 
        which the House is in session. The approval resolution 
        introduced in the House shall be referred to the 
        Committee on Ways and Means and the approval resolution 
        introduced in the Senate shall be referred to the 
        Committee on Finance.
    (d) Amendments Prohibited.--No amendment to an implementing 
bill or approval resolution shall be in order in either the 
House of Representatives or the Senate; and no motion to 
suspend the application of this subsection shall be in order in 
either House, nor shall it be in order in either House for the 
Presiding Officer to entertain a request to suspend the 
application of this subsection by unanimous consent.
    (e) Period for Committee and Floor Consideration.--
          (1) Except as provided in paragraph (2), if the 
        committee or committees of either House to which an 
        implementing bill or approval resolution has been 
        referred have not reported it at the close of the 45th 
        day after its introduction, such committee or 
        committees shall be automatically discharged from 
        further consideration of the bill or resolution and it 
        shall be placed on the appropriation calendar. A vote 
        on final passage of the bill or resolution shall be 
        taken in each House on or before the close of the 15th 
        day after the bill or resolution is reported by the 
        committees or committee of that House to which it was 
        referred, or after such committee or committees have 
        been discharged from further consideration of the bill 
        or resolution. If prior to the passage by one House of 
        an implementing bill or approval resolution of that 
        House, that House receives the same implementing bill 
        or approval resolution from the other House then--
                  (A) the procedure in that House shall be the 
                same as if no implementing bill or approval 
                resolution had been received from the other 
                House; but
                  (B) the vote on final passage shall be on the 
                implementing bill or approval resolution of the 
                other House.
          (2) The provisions of paragraph (1) shall not apply 
        in the Senate to an implementing revenue bill or 
        resolution.\85\ An implementing revenue bill or 
        resolution \85\ received from the House shall be 
        referred to the appropriate committee or committees of 
        the Senate. If such committees have not reported such 
        bill or resolution \86\ at the close of the 15th day 
        after its receipt by the Senate (or, later, before the 
        close of the 45th day after the corresponding 
        implementing revenue bill or resolution \85\ was 
        introduced in the Senate), such committee or committees 
        shall be automatically discharged from further 
        consideration of such bill or resolution \86\ and it 
        shall be placed on the calendar. A vote on final 
        passage of such bill or resolution \83\ shall be taken 
        in the Senate on or before the close of the 15th day 
        after such bill or resolution \86\ is reported by the 
        committee or committees of the Senate to which it was 
        referred, or after such committee or committees have 
        been discharged from further consideration of such bill 
        or resolution.\86\
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    \85\ Sec. 132(b)(2)(D) of the Customs and Trade Act of 1990 (Public 
Law 101-382; 104 Stat. 645) struck out ``revenue bill'' and inserted in 
lieu thereof ``revenue bill or resolution''. See box note, page 365, 
relating to effective date of amendment.
    \86\ Sec. 132(b)(2)(E) of the Customs and Trade Act of 1990 (Public 
Law 101-382; 104 Stat. 645) struck out ``such bill'' and inserted in 
lieu thereof ``such bill or resolution''. See box note, page 365, 
relating to effective date of amendment.
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          (3) For purposes of paragraphs (1) and (2), in 
        computing a number of days in either House, there shall 
        be excluded any day on which the House is not in 
        session.
    (f) Floor Consideration in the House.--
          (1) A motion in the House of Representatives to 
        proceed to the consideration of an implementing bill or 
        approval resolution shall be highly privileged and not 
        debatable. An amendment to the motion shall not be in 
        order, nor shall it be in order to move to reconsider 
        the vote by which the motion is agreed to or disagreed 
        to.
          (2) Debate in the House of Representatives on an 
        implementing bill or approval resolution shall be 
        limited to not more than 20 hours, which shall be 
        divided equally between those favoring and those 
        opposing the bill or resolution. A motion further to 
        limit debate shall not be debatable. It shall not be in 
        order to move to recommit an implementing bill or 
        approval resolution or to move to reconsider the vote 
        by which an implementing bill or approval resolution is 
        agreed to or disagreed to.
          (3) Motions to postpone, made in the House of 
        Representatives with respect to the consideration of an 
        implementing bill or approval resolution, and motions 
        to proceed to the consideration of other business, 
        shall be decided without debate.
          (4) All appeals from the decisions of the Chair 
        relating to the application of the Rules of the House 
        of Representatives to the procedure relating to an 
        implementing bill or approval resolution shall be 
        decided without debate.
          (5) Except to the extent specifically provided in the 
        preceding provisions of this subsection, consideration 
        of an implementing bill or approval resolution shall be 
        governed by the Rules of the House of Representatives 
        applicable to other bills and resolutions in similar 
        circumstances.
    (g) Floor Consideration in the Senate.--
          (1) A motion in the Senate to proceed to the 
        consideration of an implementing bill or approval 
        resolution shall be privileged and not debatable. An 
        amendment to the motion shall not be in order, nor 
        shall it be in order to move to reconsider the vote by 
        which the motion is agreed to or disagreed to.
          (2) Debate in the Senate on an implementing bill or 
        approval resolution, and all debatable motions and 
        appeals in connection therewith, shall be limited to 
        not more than 20 hours. The time shall be equally 
        divided between, and controlled by, the majority leader 
        and the minority leader or their designees.
          (3) Debate in the Senate on any debatable motion or 
        appeal in connection with an implementing bill or 
        approval resolution shall be limited to not more than 1 
        hour, to be equally divided between, and controlled by, 
        the mover and the manager of the bill or resolution, 
        except that in the event the manager of the bill or 
        resolution is in favor of any such motion or appeal, 
        the time in opposition thereto, shall be controlled by 
        the minority leader or his designee. Such leaders, or 
        either of them, may, from time under their control on 
        the passage of an implementing bill or approval 
        resolution, allot additional time to any Senator during 
        the consideration of any debatable motion or appeal.
          (4) A motion in the Senate to further limit debate is 
        not debatable. A motion to recommit an implementing 
        bill or approval resolution is not in order.

SEC. 152.\87\ RESOLUTIONS DISAPPROVING CERTAIN ACTIONS.

    (a) Contents of Resolutions.--
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    \87\ 19 U.S.C. 2192.
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          (1) For purposes of this section, the term 
        ``resolution'' means only--
                  (A) \88\ a joint resolution \89\ of the two 
                Houses of the Congress, the matter after the 
                resolving clause of which is as follows: ``That 
                the Congress does not approve the action taken 
                by, or the determination of, the President 
                under section 203, of the Trade Act of 1974 
                transmitted to the Congress on ............, 
                the blank spaces being filled with the 
                appropriate date; and
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    \88\ Sec. 902(a) of the Trade Agreements Act of 1979 (Public Law 
96-39; 93 Stat. 299) amended and restated para. (1)(A).
    \89\ Sec. 248(b) of Public Law 98-573 (98 Stat. 2998) substituted 
``joint resolution'' in lieu of ``concurrent resolution''.
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                  (B) \90\ a joint resolution of the two Houses 
                of the Congress, the matter after the resolving 
                clause of which is as follows: ``That the 
                Congress does not approve ........... 
                transmitted to the Congress on ............'', 
                with the first blank space being filled in 
                accordance with paragraph (2), and the second 
                blank space being filled with the appropriate 
                date.
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    \90\ Sec. 132(c)(2) of the Customs and Trade Act of 1990 (Public 
Law 101-382; 104 Stat. 646) amended and restated subpara. (B). Subpara. 
(B) formerly referred to simple resolutions from either House of the 
Congress. See box note, page 365, relating to effective date of 
amendment.
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          (2) \91\ The first \92\ blank space referred to in 
        paragraph (1)(B) shall be filled,\93\ in the case of a 
        resolution referred to in section 407(c)(2),\94\ with 
        the phrase ``the report of the President submitted 
        under section ............ of the Trade Act of 1974 
        with respect to ............ (with the first blank 
        space being filled with ``402(b)'' or ``409(b)'', as 
        appropriate, and the second blank space being filled 
        with the name of the country involved).
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    \91\ Sec. 902(a) of the Trade Agreements Act of 1979 (Public Law 
96-39, 93 Stat. 300) struck out para. (2) and redesignated para. (3) as 
para. (2).
    \92\ Sec. 132(c)(3)(A) of the Customs and Trade Act of 1990 (Public 
Law 101-382; 104 Stat. 646) struck out ``second'' and inserted in lieu 
thereof ``first''. See box note, page 365, relating to the effective 
date of the amendment.
    \93\ Sec. 261(d)(1)(A)(ii) of Public Law 103-465 (108 Stat. 4909), 
as amended by sec. 20(b)(1) of Public Law 104-295 (110 Stat. 3527), 
struck out subpara. designations (A) and (B), and struck out the 
reference to sec. 303(c) of the Tariff Act of 1930, which was repealed 
by the Trade Agreements Act of 1979.
    \94\ Sec. 132(c)(3)(C) of the Customs and Trade Act of 1990 (Public 
Law 101-382; 104 Stat. 646) struck out ``407(c)(3)'' and inserted in 
lieu thereof ``407(c)(2)''. See box note, page 365, relating to 
effective date of amendment.
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    (b) References to Committees.--All resolutions introduced 
in the House of Representatives shall be referred to the 
Committee on Ways and Means and all resolutions introduced in 
the Senate shall be referred to the Committee on Finance.
    (c) Discharge of Committees.--
          (1) If the committee of either House to which a 
        resolution has been referred has not reported it at the 
        end of 30 days after its introduction, not counting any 
        day which is excluded under section 154(b),\95\ it is 
        in order to move either to discharge the committee from 
        further consideration of the resolution or to discharge 
        the committee from further consideration of any other 
        resolution introduced with respect to the same 
        matter,\96\ except that a motion to discharge--
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    \95\ The reference to sec. 154(b) was substituted in lieu of a 
reference to sec. 153(b) by sec. 1106(c)(5) of the Trade Agreements Act 
of 1979 (Public Law 96-39; 93 Stat. 312).
    \96\ Sec. 132(c)(4) of the Customs and Trade Act of 1990 (Public 
Law 101-382; 104 Stat. 646) struck out ``except no motion to discharge 
shall be in order after the committee has reported a resolution with 
respect to the same matter.'' and inserted text in this paragraph, 
including the subparagraph following ``matter''. See box note, page 
365, relating to effective date of amendment.
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                  (A) may only be made on the second 
                legislative day after the calendar day on which 
                the Member making the motion announces to the 
                House his intention to do so; and
                  (B) is not in order after the Committee has 
                reported a resolution with respect to the same 
                matter.
          (2) A motion to discharge under paragraph (1) may be 
        made only by an individual favoring the resolution, and 
        is highly privileged in the House and privileged in the 
        Senate; and debate thereon shall be limited to not more 
        than 1 hour, the time to be divided in the House 
        equally between those favoring and those opposing the 
        resolution, and to be divided in the Senate equally 
        between, and controlled by, the majority leader and the 
        minority leader or their designees. An amendment to the 
        motion is not in order, and it is not in order to move 
        to reconsider the vote by which the motion is agreed to 
        or disagreed to.
    (d) Floor Consideration in the House.--
          (1) A motion in the House of Representatives to 
        proceed to the consideration of a resolution shall be 
        highly privileged and not debatable. An amendment to 
        the motion shall not be in order, nor shall it be in 
        order to move to reconsider the vote by which the 
        motion is agreed to or disagreed to.
          (2) Debate in the House of Representatives on a 
        resolution shall be limited to not more than 20 hours, 
        which shall be divided equally between those favoring 
        and those opposing the resolution. A motion further to 
        limit debate shall not be debatable. No amendment to, 
        or motion to recommit, the resolution shall be in 
        order. It shall not be in order to move to reconsider 
        the vote by which a resolution is agreed to or 
        disagreed to.
          (3) Motions to postpone, made in the House of 
        Representatives with respect to the consideration of a 
        resolution, and motions to proceed to the consideration 
        of other business, shall be decided without debate.
          (4) All appeals from the decisions of the Chair 
        relating to the application of the Rules of the House 
        of Representatives to the procedure relating to a 
        resolution shall be decided without debate.
          (5) Except to the extent specifically provided in the 
        preceding provisions of this subsection, consideration 
        of a resolution in the House of Representatives shall 
        be governed by the Rules of the House of 
        Representatives applicable to other resolutions in 
        similar circumstances.
    (e) Floor Consideration in the Senate.--
          (1) A motion in the Senate to proceed to the 
        consideration of a resolution shall be privileged. An 
        amendment to the motion shall not be in order, nor 
        shall it be in order to move to reconsider the vote by 
        which the motion is agreed to or disagreed to.
          (2) Debate in the Senate on a resolution, and all 
        debatable motions and appeals in connection therewith, 
        shall be limited to not more than 20 hours, to be 
        equally divided between, and controlled by, the 
        majority leader and the minority leader or their 
        designees.
          (3) Debate in the Senate on any debatable motion or 
        appeal in connection with a resolution shall be limited 
        to not more than 1 hour, to be equally divided between, 
        and controlled by, the mover and the manager of the 
        resolution, except that in the event the manager of the 
        resolution is in favor of any such motion or appeal, 
        the time in opposition thereto, shall be controlled by 
        the minority leader or his designee. Such leaders, or 
        either of them, may, from time under their control on 
        the passage of a resolution, allot additional time to 
        any Senator during the consideration of any debatable 
        motion or appeal.
          (4) A motion in the Senate to further limit debate on 
        a resolution, debatable motion, or appeal is not 
        debatable. No amendment to, or motion to recommend a 
        resolution is in order in the Senate.
    (f) \97\ Procedures in the Senate.--
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    \97\ Sec. 132(c)(5) of the Customs and Trade Act of 1990 (Public 
Law 101-382; 104 Stat. 647) amended and restated subsec. (f). See box 
note, page 365, relating to effective date of amendment.
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          (1) Except as otherwise provided in this section, the 
        following procedures shall apply in the Senate to a 
        resolution to which this section applies:
                  (A)(i) Except as provided in clause (ii), a 
                resolution that has passed the House of 
                Representatives shall, when received in the 
                Senate, be referred to the Committee on Finance 
                for consideration in accordance with this 
                section.
                  (ii) If a resolution to which this section 
                applies was introduced in the Senate before 
                receipt of a resolution that has passed the 
                House of Representatives, the resolution from 
                the House of Representatives shall, when 
                received in the Senate, be placed on the 
                calendar. If this clause applies, the 
                procedures in the Senate with respect to a 
                resolution introduced in the Senate that 
                contains the identical matter as the resolution 
                that passed the House of Representatives shall 
                be the same as if no resolution had been 
                received from the House of Representatives, 
                except that the vote on passage in the Senate 
                shall be on the resolution that passed the 
                House of Representatives.
                  (B) If the Senate passes a resolution before 
                receiving from the House of Representatives a 
                joint resolution that contains the identical 
                matter, the joint resolution shall be held at 
                the desk pending receipt of the joint 
                resolution from the House of Representatives. 
                Upon receipt of the joint resolution from the 
                House of Representatives, such joint resolution 
                shall be deemed to be read twice, considered, 
                read the third time, and passed.
          (2) If the texts of joint resolutions described in 
        section 152 or 153(a), whichever is applicable, 
        concerning any matter are not identical--
                  (A) the Senate shall vote passage on the 
                resolution introduced in the Senate, and
                  (B) the text of the joint resolution passed 
                by the Senate shall, immediately upon its 
                passage (or, if later, upon receipt of the 
                joint resolution passed by the House), be 
                substituted for the text of the joint 
                resolution passed by the House of 
                Representatives, and such resolution, as 
                amended, shall be returned with a request for a 
                conference between the two Houses.
          (3) Consideration in the Senate of any veto message 
        with respect to a joint resolution described in 
        subsection (a)(2)(B) or section 153(a), including 
        consideration therewith, shall be limited to 10 hours, 
        to be equally divided between, and controlled by, the 
        majority leader and the minority leader or their 
        designees.

SEC. 153.\98\ RESOLUTIONS RELATING TO EXTENSION OF WAIVER AUTHORITY 
                    UNDER SECTION 402.

    (a) \99\ Contents of Resolutions.--For purposes of this 
section, the term ``resolution'' means only a joint resolution 
of the two Houses of Congress, the matter after the resolving 
clause of which is as follows: ``That the Congress does not 
approve the extension of the authority contained in section 
402(c) of the Trade Act of 1974 recommended by the President to 
the Congress on ........................ with respect to 
........................'', with the first blank space being 
filled with the appropriate date, and the second blank space 
being filled with the names of those countries, if any, with 
respect to which such extension of authority is not approved, 
and with the clause beginning ``with respect to'' being omitted 
if the extension of the authority is not approved with respect 
to any country.
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    \98\ 19 U.S.C. 2193.
    \99\ Sec. 132(a)(3) of the Customs and Trade Act of 1990 (Public 
Law 101-382; 104 Stat. 644) amended and restated subsec. (a). See box 
note, page 365, relating to effective date of amendment.
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    (b) Application of Rules of Section 152; Exceptions.--
          (1) Except as provided in this section, the 
        provisions of section 152 shall apply to resolutions 
        described in subsection (a).
          (2) In applying section 152(c)(1), all calendar days 
        shall be counted.\100\
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    \100\ Sec. 132(a)(4)(A) of the Customs and Trade Act of 1990 
(Public Law 101-382; 104 Stat. 644) struck out ``, and, in the case of 
a resolution related to section 402(d)(4), 20 calendar days shall be 
substituted for 30 days''. See box note, page 365, relating to 
effective date of amendment.
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          (3) That part of section 152(d)(2) which provides 
        that no amendment is in order shall not apply to any 
        amendment to a resolution which is limited to striking 
        out or inserting the names of one or more countries or 
        to striking out or inserting \101\ a with-respect-to 
        clause.\102\ Debate in the House of Representatives on 
        any amendment to a resolution shall be limited to not 
        more than 1 hour which shall be equally divided between 
        those favoring and those opposing the amendment. A 
        motion in the House to further limit debate on an 
        amendment to a resolution is not debatable.
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    \101\ Sec. 132(a)(4)(B) of the Customs and Trade Act of 1990 
(Public Law 101-382; 104 Stat. 645) struck out ``an except clause, in 
the cause of a resolution described in subsection (a)(1), or''. See box 
note, page 365, relating to effective date of amendment.
    \102\ Sec. 132(a)(4)(C) of the Customs and Trade Act of 1990 
(Public Law 101-382; 104 Stat. 645) struck out ``, in the case of a 
resolution described in subsection (a)(2)''.
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          (4) That part of section 152(e)(4) which provides 
        that no amendment is in order shall not apply to any 
        amendment to a resolution which is limited to striking 
        out or inserting the names of one or more countries or 
        to striking out or inserting \103\ a with-respect-to 
        clause.\104\ The time limit on a debate on a resolution 
        in the Senate under section 152(e)(2) shall include all 
        amendments to a resolution. Debate in the Senate on any 
        amendment to a resolution shall be limited to not more 
        than 1 hour, to be equally divided between, and 
        controlled by, the mover and the manager of the 
        resolution, except that in the event the manager of the 
        resolution is in favor of any such amendment, the time 
        in opposition thereto shall be controlled by the 
        minority leader or his designee. The majority leader 
        and minority leader may, from time under their control 
        on the passage of a resolution, allot additional time 
        to any Senator during the consideration of any 
        amendment. A motion in the Senate to further limit 
        debate on an amendment to a resolution is not 
        debatable.
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    \103\ Sec. 132(a)(4)(D) of the Customs and Trade Act of 1990 
(Public Law 101-382; 104 Stat. 645) struck out ``an except clause, in 
the case of a resolution described in subsection (a)(1), or''. See box 
note, page 365, relating to effective date of amendment.
    \104\ Sec. 132(a)(4)(E) of the Customs and Trade Act of 1990 
(Public Law 101-382; 104 Stat. 645) struck out ``, in the case of a 
resolution described in subsection (a)(2)''. See box note, page 365, 
relating to effective date of amendment.
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    (c) Consideration of Second Resolution Not in Order.--It 
shall not be in order in either the House of Representatives or 
the Senate to consider a resolution with respect to a 
recommendation of the President under section 402(d) (other 
than a resolution described in subsection (a) \105\ received 
from the other House), if that House had adopted a resolution 
with respect to the same recommendation.
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    \105\ Sec. 132(a)(5) of the Customs and Trade Act of 1990 (Public 
Law 101-382; 104 Stat. 645) struck out ``in subsection (a)(1)'' and 
inserted in lieu thereof ``in subsection (a)''. See box note, page 365, 
relating to effective date of amendment.
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    (d) \106\ Procedures Relating to Conference Reports in the 
Senate.--
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    \106\ Sec. 132(a)(6) of the Customs and Trade Act of 1990 (Public 
Law 101-382; 104 Stat. 645) added subsec. (d). See box note, page 365, 
relating to effective date of amendment.
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          (1) Consideration in the Senate of the conference 
        report on any joint resolution described in subsection 
        (a), including consideration of all amendments in 
        disagreement (and all amendments thereto), and 
        consideration of all debatable motions and appeals in 
        connection therewith, shall be limited to 10 hours, to 
        be equally divided between, and controlled by, the 
        majority leader and the minority leader or their 
        designees. Debate on any debatable motion or appeal 
        related to the conference report shall be limited to 1 
        hour, to be equally divided between, and controlled by, 
        the mover and the manager of the conference report.
          (2) In any case in which there are amendments in 
        disagreement, time on each amendment shall be limited 
        to 30 minutes, to be equally divided between, and 
        controlled by, the manager of the conference report and 
        the minority leader or his designee. No amendment to 
        any amendment in disagreement shall be received unless 
        it is a germane amendment.

SEC. 154.\107\ SPECIAL RULES RELATING TO CONGRESSIONAL PROCEDURES.

    (a) Whenever, pursuant to section 102(e), 203(b),\108\ 
402(d), or 407(a) or (b),\109\ a document is required to be 
transmitted to the Congress, copies of such document shall be 
delivered to both Houses of Congress on the same day and shall 
be delivered to the Clerk of the House of Representatives if 
the House is not in session and to the Secretary of the Senate 
if the Senate is not in session.
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    \107\ 19 U.S.C. 2194.
    \108\ A reference to sec. 302(d) which previously appeared at this 
point, was struck out by sec. 902(a) of the Trade Agreements Act of 
1979 (Public Law 96-39; 93 Stat. 300).
    \109\ Sec. 261(d)(1)(A)(iii) of Public Law 103-465 (108 Stat. 4909) 
struck out ``or section 303(e) of the Tariff Act of 1930,''.
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    (b) For purposes of sections 203(c) and 407(c)(2), the 90-
day period,\110\ and 2437(c)(2),\110\ referred to in such 
sections shall be computed by excluding--
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    \110\ A reference to sec. 302(b), which previously appeared at this 
point, was struck out by sec. 902(a) of the Trade Agreements Act of 
1979 (Public Law 96-39; 93 Stat. 300). Sec. 1001(a)(5) of Public Law 
106-36 (113 Stat. 130), struck out ``For purposes of'' and all that 
followed, and inserted in lieu thereof ``For purposes of 203(c) and 
407(c)(2), the 90-day period''.
    \111\ Sec. 132(c)(6) of the Customs and Trade Act of 1990 (Public 
Law 101-382; 104 Stat. 647) struck out ``407(c)(2) and 407(c)(3)'' and 
inserted in lieu thereof ``and 407(c)(2)''. See box note, page 365, 
relating to effective date of amendment. Sec. 1001(a)(5) of Public Law 
106-36 (113 Stat. 130), struck out a reference to sec. 407(c)(2) and 
inserted in lieu thereof ``2437(c)(2)''.
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          (1) the days on which either House is not in session 
        because of an adjournment of more than 3 days to a day 
        certain or an adjournment of the Congress sine die, and
          (2) any Saturday and Sunday, not excluded under 
        paragraph (1), when either House is not in session.

              Chapter 6--Congressional Liaison and Reports

SEC. 161.\112\ CONGRESSIONAL ADVISERS FOR TRADE POLICY AND 
                    NEGOTIATIONS.

  (a) Selection.--
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    \112\ 19 U.S.C. 2211. Sec. 1632 of the Omnibus Trade and 
Competitiveness Act of 1988 (Public Law 100-418; 102 Stat. 1269) 
comprehensively amended and restated sec. 161.
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          (1) At the beginning of each regular session of 
        Congress, the Speaker of the House of Representatives, 
        upon the recommendation of the chairman of the 
        Committee on Ways and Means, shall select 5 members 
        (not more than 3 of whom are members of the same 
        political party) of such committee, and the President 
        pro tempore of the Senate, upon the recommendation of 
        the chairman of the Committee on Finance, shall select 
        5 members (not more than 3 of whom are members of the 
        same political party) of such committee, who shall be 
        designated congressional advisers on trade policy and 
        negotiations. They shall provide advice on the 
        development of trade policy and priorities for the 
        implementation thereof. They shall also be accredited 
        by the United States Trade Representative on behalf of 
        the President as official advisers to the United States 
        delegations to international conferences, meetings, and 
        negotiating sessions relating to trade agreements.
          (2)(A) In addition to the advisers designated under 
        paragraph (1) from the Committee on Ways and Means and 
        the Committee on Finance--
                  (i) the Speaker of the House may select 
                additional members of the House, for 
                designation as congressional advisers regarding 
                specific trade policy matters or negotiations, 
                from any other committee of the House or joint 
                committee of Congress that has jurisdiction 
                over legislation likely to be affected by such 
                matters or negotiations; and
                  (ii) the President pro tempore of the Senate 
                may select additional members of the Senate, 
                for designation as congressional advisers 
                regarding specific trade policy matters or 
                negotiations, from any other committee of the 
                Senate or joint committee of Congress that has 
                jurisdiction over legislation likely to be 
                affected by such matters or negotiations.
        Members of the House and Senate selected as 
        congressional advisers under this subparagraph shall be 
        accredited by the United States Trade Representative.
          (B) Before designating any member under subparagraph 
        (A), the Speaker or the President pro tempore shall 
        consult with--
                  (i) the chairman and ranking member of the 
                Committee on Ways and Means or the Committee on 
                Finance, as appropriate; and
                  (ii) the chairman and ranking minority member 
                of the committee from which the member will be 
                selected.
          (C) Not more than 3 members (not more than 2 of whom 
        are members of the same political party) may be 
        selected under this paragraph as advisers from any 
        committee of Congress.
  (b) Briefing.--
          (1) The United States Trade Representative shall keep 
        each official adviser designated under subsection 
        (a)(1) currently informed on matters affecting the 
        trade policy of the United States and, with respect to 
        possible agreements, negotiating objectives, the status 
        of negotiations in progress, and the nature of any 
        changes in domestic law or the administration thereof 
        which may be recommended to Congress to carry out any 
        trade agreement or any requirement of, amendment to, or 
        recommendation under, such agreement.
          (2) The United States Trade Representative shall keep 
        each official adviser designated under subsection 
        (a)(2) currently informed regarding the trade policy 
        matters and negotiations with respect to which the 
        adviser is designated.
          (3)(A) The chairmen of the Committee on Ways and 
        Means and the Committee on Finance may designate 
        members (in addition to the official advisers under 
        subsection (a)(1)) and staff members of their 
        respective committees who shall have access to the 
        information provided to official advisers under 
        paragraph (1).
          (B) The Chairman of any committee of the House or 
        Senate or any joint committee of Congress from which 
        official advisers are selected under subsection (a)(2) 
        may designate other members of such committee, and 
        staff members of such committee, who shall have access 
        to the information provided to official advisers under 
        paragraph (2).
  (c) Committee Consultation.--The United States Trade 
Representative shall consult on a continuing basis with the 
Committee on Ways and Means of the House of Representatives, 
the Committee on Finance of the Senate, and the other 
appropriate committees of the House and Senate on the 
development, implementation, and administration of overall 
trade policy of the United States. Such consultations shall 
include, but are not limited to, the following elements of such 
policy:
          (1) The principal multilateral and bilateral 
        negotiating objectives and the progress being made 
        toward their achievement.
          (2) The implementation, administration, and 
        effectiveness of recently concluded multilateral and 
        bilateral trade agreements and resolution of trade 
        disputes.
          (3) The actions taken, and proposed to be taken, 
        under the trade laws of the United States and the 
        effectiveness, or anticipated effectiveness, of such 
        actions in achieving trade policy objectives.
          (4) The important developments and issues in other 
        areas of trade for which there must be developed proper 
        policy response.
When necessary, meetings shall be held with each Committee in 
executive session to review matters under negotiation.

SEC. 162.\113\ TRANSMISSION OF AGREEMENTS TO CONGRESS.

    (a) As soon as practicable after agreement entered into 
under \114\ section 123 or 124 or under section 1102 of the 
Omnibus Trade and Competitiveness Act of 1988 \112\ has entered 
into force with respect to the United States, the President 
shall, if he has not previously done so, transmit a copy of 
such trade agreement to each House of the Congress together 
with a statement, in the light of the advice of the 
International Trade Commission under section 131(b), if any, 
and of the other relevant considerations, of his reasons for 
entering into the agreement.
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    \113\ 19 U.S.C. 2212.
    \114\ Sec. 9001(a)(10) of the Technical and Miscellaneous Revenue 
Act of 1988 (Public Law 100-647; 102 Stat. 3342) amended subsec. (a) by 
striking ``chapter 1 or'' which previously appeared before ``sec 123''; 
and by inserting the text ``or under section 1102 of the Omnibus Trade 
and Competitiveness Act of 1988''.
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    (b) The President shall transmit to each Member of the 
Congress a summary of the information required to be 
transmitted to each House under subsection (a). For purposes of 
this subsection, the term ``Member'' includes any Delegate or 
Resident Commissioner.

SEC. 163.\115\ REPORTS.

  (a) Annual Report on Trade Agreements Program and National 
Trade Policy Agenda.-- \116\ 
---------------------------------------------------------------------------
    \115\ 19 U.S.C. 2213. Sec. 1641 of the Omnibus Trade and 
Competitiveness Act of 1988 (Public Law 100-418; 102 Stat. 1271) 
amended and restated sec. 163.
    \116\ The Trade Deficit Review Commission Act, sec. 127 of Public 
Law 105-277 (112 Stat. 2681-547), established a commission to ``study 
the nature, causes, and consequences of the United States merchandise 
trade and current account deficits.'' See page 761.
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          (1) The President shall submit to the Congress during 
        each calendar year (but not later than March 1 of that 
        year) a report on--
                  (A) the operation of the trade agreements 
                program, and the provision of import relief and 
                adjustment assistance to workers and firms, 
                under this Act during the preceding calendar 
                year; and
                  (B) the national trade policy agenda for the 
                year in which the report is submitted.
          (2) The report shall include, with respect to the 
        matters referred to in paragraph (1)(A), information 
        regarding--
                  (A) new trade negotiations;
                  (B) changes made in duties and nontariff 
                barriers and other distortions of trade of the 
                United States;
                  (C) reciprocal concessions obtained;
                  (D) changes in trade agreements (including 
                the incorporation therein of actions taken for 
                import relief and compensation provided 
                therefor);
                  (E) the extension or withdrawal of 
                nondiscriminatory treatment by the United 
                States with respect to the products of foreign 
                countries;
                  (F) the extension, modification, withdrawal, 
                suspension, or limitation of preferential 
                treatment to exports of developing countries;
                  (G) the results of actions to obtain the 
                removal of foreign trade restrictions 
                (including discriminatory restrictions) against 
                United States exports and the removal of 
                foreign practices which discriminate against 
                United States service industries (including 
                transportation and tourism) and investment;
                  (H) the measures being taken to seek the 
                removal of other significant foreign import 
                restrictions;
                  (I) each of the referrals made under section 
                141(d)(1)(B) and any action taken with respect 
                to such referral;
                  (J) other information relating to the trade 
                agreements program and to the agreements 
                entered into thereunder; and
                  (K) the number of applications filed for 
                adjustment assistance for workers and firms, 
                the number of such applications which were 
                approved, and the extent to which adjustment 
                assistance has been provided under such 
                approved applications.
          (3)(A) The national trade policy agenda required 
        under paragraph (1)(B) for the year in which a report 
        is submitted shall be in the form of a statement of--
                  (i) the trade policy objectives and 
                priorities of the United States for the year, 
                and the reasons therefor;
                  (ii) the actions proposed, or anticipated, to 
                be undertaken during the year to achieve such 
                objectives and priorities, including, but not 
                limited to, actions authorized under the trade 
                laws and negotiations with foreign countries;
                  (iii) any proposed legislation necessary or 
                appropriate to achieve any of such objectives 
                or priorities; and
                  (iv) the progress that was made during the 
                preceding year in achieving the trade policy 
                objectives and priorities included in the 
                statement provided for that year under this 
                paragraph.
          (B) The President may separately submit any 
        information referred to in subparagraph (A) to the 
        Congress in confidence if the President considers 
        confidentiality appropriate.
          (C) Before submitting the national trade policy 
        agenda for any year, the President shall seek advice 
        from the appropriate advisory committees established 
        under section 135 and shall consult with the 
        appropriate committees of the Congress.
          (D) The United States Trade Representative (hereafter 
        referred to in this section as the `Trade 
        Representative') and other appropriate officials of the 
        United States Government shall consult periodically 
        with the appropriate committees of the Congress 
        regarding the annual objectives and priorities set 
        forth in each national trade policy agenda with respect 
        to--
                  (i) the status and results of the actions 
                that have been undertaken to achieve the 
                objectives and priorities; and
                  (ii) any development which may require, or 
                result in, changes to any of such objectives or 
                priorities.
  (b) Annual Trade Projection Report.--
          (1) In order for the Congress to be informed of the 
        impact of foreign trade barriers and macroeconomic 
        factors on the balance of trade of the United States, 
        the Trade Representative and the Secretary of the 
        Treasury shall jointly prepare and submit to the 
        Committee on Finance of the Senate and the Committee on 
        Ways and Means of the House of Representatives 
        (hereafter referred to in this subsection as the 
        `Committees') on or before March 1 of each year a 
        report which consists of--
                  (A) a review and analysis of--
                          (i) the merchandise balance of trade,
                          (ii) the goods and services balance 
                        of trade,
                          (iii) the balance on the current 
                        account,
                          (iv) the external debt position,
                          (v) the exchange rates,
                          (vi) the economic growth rates,
                          (vii) the deficit or surplus in the 
                        fiscal budget, and
                          (viii) the impact on United States 
                        trade of market barriers and other 
                        unfair practices,
                of countries that are major trading partners of 
                the United States, including, as appropriate, 
                groupings of such countries;
                  (B) projections for each of the economic 
                factors described in subparagraph (A) (except 
                those described in clauses (v) and (viii)) for 
                each of the countries and groups of countries 
                referred to in subparagraph (A) for the year in 
                which the report is submitted and for the 
                succeeding year; and
                  (C) conclusions and recommendations, based 
                upon the projections referred to in 
                subparagraph (B), for policy changes, including 
                trade policy, exchange rate policy, fiscal 
                policy, and other policies that should be 
                implemented to improve the outlook.
          (2) To the extent that subjects referred to in 
        paragraph (1) (A), (B), or (C) are covered in the 
        national trade policy agenda required under subsection 
        (a)(1)(B) or in other reports required by this Act or 
        other law, the Trade Representative and the Secretary 
        of the Treasury may, as appropriate, draw on the 
        information, analysis, and conclusions, if any, in 
        those reports for the purposes of preparing the report 
        required by this subsection.
          (3) The Trade Representative and the Secretary of the 
        Treasury shall consult with the Chairman of the Board 
        of Governors of the Federal Reserve System in the 
        preparation of each report required under this 
        subsection.
          (4) The Trade Representative and the Secretary of the 
        Treasury may separately submit any information, 
        analysis, or conclusion referred to in paragraph (1) to 
        the Committees in confidence if the Trade 
        Representative and the Secretary consider 
        confidentiality appropriate.
          (5) After submission of each report required under 
        paragraph (1), the Trade Representative and the 
        Secretary of the Treasury shall consult with each of 
        the Committees with respect to the report.
  (c) ITC Reports.--The United States International Trade 
Commission shall submit to the Congress, at least once a year, 
a factual report on the operation of the trade agreements 
program.

     Chapter 7--United States International Trade Commission \117\

SEC. 171.\118\ CHANGE OF NAME OF TARIFF COMMISSION.

    (a) The United States Tariff Commission (established by 
section 330 of the Tariff Act of 1930) is renamed as the United 
States International Trade Commission.
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    \117\ For the most part, ch. 7 contained amendments to secs. 330-
333 of the Tariff Act of 1930. For the text of these amendments and 
other material relating to the U.S. International Trade Commission, see 
page 549.
    \118\ 19 U.S.C. 2231.
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    (b) Any reference in any law of the United States, or in 
any order, rule, regulation, or other document, to the United 
States Tariff Commission (or the Tariff Commission) shall be 
considered to refer to the United States International Trade 
Commission.
          * * * * * * *

SEC. 175.\119\ INDEPENDENT BUDGET AND AUTHORIZATION OF APPROPRIATIONS.

    (a)(1) Effective with respect to the fiscal year beginning 
October 1, 1976, for purposes of the Budget and Accounting Act, 
1921 (31 U.S.C. 1 et seq.), estimated expenditures and proposed 
appropriations for the United States International Trade 
Commission shall be transmitted to the President on or before 
October 15 of the year preceding the beginning of each fiscal 
year and shall be included by him in the Budget without 
revision, and the Commission shall not be considered to be a 
department or establishment for purposes of such Act.
---------------------------------------------------------------------------
    \119\ 19 U.S.C. 2232.
---------------------------------------------------------------------------
    (2) * * *
    (b) * * *
    (c)(1) Paragraph (2) is enacted as an exercise of the 
rulemaking power of the Senate and with full recognition of the 
constitutional right of the Senate to change its rules at any 
time.
    (2) Paragraph 6(a) of rule XVI of the Standing Rules of the 
Senate is amended by adding at the end of the table contained 
therein the following:

``Committee on Finance .................... For the International Trade 
                    Commission.''.

 Chapter 8--Identification of Market Barriers and Certain Unfair Trade 
                             Actions \120\

SEC. 181.\121\,\122\ ESTIMATES OF BARRIERS TO MARKET ACCESS.
---------------------------------------------------------------------------

    \120\ Sec. 1303(c)(1) of Public Law 100-418 (102 Stat. 1181) 
amended the heading for Ch. 8 which formerly read ``Barriers to Market 
Access''.
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    (a) National Trade Estimates.--
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    \121\ 19 U.S.C. 2241. Sec. 303(a) of Public Law 98-573 (98 Stat. 
3001) added sec. 181. Sec. 1304(a)(10) of Public Law 100-418; 102 Stat. 
1182), substituted ``ESTIMATES OF'' in the section heading in lieu of 
``ACTIONS CONCERNING''.
    Sec. 302 of the United States-Hong Kong Policy Act of 1992 (Public 
Law 102-383; 106 Stat. 1454) required the report mandated by this 
section to meet the following condition: ``Whenever a report is 
transmitted to the Congress on a country-by-country basis there shall 
be included in such report, where applicable, a separate subreport on 
Hong Kong under the heading of the state that exercises sovereignty 
over Hong Kong.''.
    \122\ See secs. 1203-1206 of Public Law 105-277 relating to trade 
barriers and the Internet on page 769, codified as a note to this 
section.
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          (1) In general.--For calendar year 1988, and for each 
        succeeding calendar year,\123\ the United States Trade 
        Representative, through the interagency trade 
        organization established pursuant to section 242(a) of 
        the Trade Expansion Act of 1962, and with the 
        assistance of the interagency advisory committee 
        established under section 141(d)(2),\123\ shall--
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    \123\ Sec. 1304(a)(1) of Public Law 100-418 (102 Stat. 1181) 
substituted ``For each calendar year 1988, and for each succeeding 
calendar year,'' in lieu of ``Not later than the date on which the 
initial report is required under subsection (b)(1),''. Sec. 1304(a)(9) 
of that Act added the phrase ``and with the assistance of the 
interagency advisory committee established under section 141(d)(2),''.
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                  (A) identify and analyze acts, polices, or 
                practices of each foreign country \124\ which 
                constitute significant barriers to, or 
                distortions of--
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    \124\ Sec. 1304(a)(2) of Public Law 100-418 (102 Stat. 1181) added 
the words ``of each foreign country''. Sec. 1304(a) also amended sec. 
181(a) by striking out ``and'' at the end of subsec. (a)(1)(A)(ii); by 
striking out the period at the end of subsec. (a)(1)(B) and inserting 
in lieu thereof ``; and''; and by adding at the end of subsec. (a)(1) a 
new subpara. (C).
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                          (i) United States exports of goods or 
                        services (including agricultural 
                        commodities; and property protected by 
                        trademarks, patents, and copyrights 
                        exported or licensed by United States 
                        persons),\125\
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    \125\ Sec. 1202(1)(A)(i) of Public Law 105-277 (112 Stat 2681-726) 
struck out ``and'' at the end of clause (i).
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                          (ii) foreign direct investment by 
                        United States persons, especially if 
                        such investment has implications for 
                        trade in goods or services; and \126\
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    \126\ Sec. 1202(1)(A)(ii) of Public Law 105-277 (112 Stat 2681-726) 
inserted ``and'' at the end of clause (ii).
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                          (iii) United States electronic 
                        commerce,\127\
---------------------------------------------------------------------------
    \127\ Sec. 1202(1)(A)(iii) of Public Law 105-277 (112 Stat 2681-
727) inserted clause (iii).
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                  (B) make an estimate of the trade-distorting 
                impact on United States commerce of any act, 
                policy, or practice identified under 
                subparagraph (A); and \124\
                  (C) \124\ make an estimate, if feasible, of--
                          (i) the value of additional goods and 
                        services of the United States,
                          (ii) the value of additional foreign 
                        direct investment by United States 
                        persons, and
                          (iii) the value of additional United 
                        States electronic commerce,
                that would have been exported to, or invested 
                in, or transacted with,\128\ each foreign 
                country during such calendar year if each of 
                such acts, policies, and practices of such 
                country did not exist.
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    \128\ Sec. 1202 of Public Law 105-277 (112 Stat. 2681-726) inserted 
``or transacted with'' after ``or invested in''.
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          (2) Certain factors taken into account in making 
        analysis and estimate.--In making any analysis or 
        estimate under paragraph (1), the Trade Representative 
        shall take into account--
                  (A) the relative impact of the act, policy, 
                or practice on United States commerce;
                  (B) the availability of information to 
                document prices, market shares, and other 
                matters necessary to demonstrate the effects of 
                the act, policy, or practice;
                  (C) the extent to which such act, policy, or 
                practice is subject to international agreements 
                to which the United States is a party; \129\
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    \129\ Sec. 1304(a) of Public Law 100-418 (102 Stat. 1181) struck 
out ``and'' at the end of subsec. (a)(2)(C); struck out the period at 
the end of subsec. (a)(2)(D) and inserted in lieu thereof ``; and''; 
and added a new subpara. (E) at the end of subsec. (a)(2).
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                  (D) any advice given through appropriate 
                committees established pursuant to section 135; 
                and \129\
                  (E) \129\ the actual increase in--
                          (i) the value of goods and services 
                        of the United States exported to,
                          (ii) the value of foreign direct 
                        investment made in, the foreign country 
                        during the calendar year for which the 
                        estimate under paragraph (1)(C) is 
                        made, and
                          (iii) the value of electronic 
                        commerce transacted with,\130\
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    \130\ Sec. 1202 of Public Law 105-277 (112 Stat. 2681-726) struck 
out ``and'' at the end of clause (i), inserted ``and'' at the end of 
clause (ii), and inserted clause (iii).
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          (3) Annual revisions and updates.--The Trade 
        Representative shall annually revise and update the 
        analysis and estimate under paragraph (1).
    (b) Report to Congress.--
          (1) \131\ On or before April 30, 1989, and on or 
        before March 31 of each succeeding calendar year, the 
        Trade Representative shall submit a report on the 
        analysis and estimates made under subsection (a) for 
        the calendar year preceding such calendar year (which 
        shall be known as the ``National Trade Estimate'') to 
        the President, the Committee on Finance of the Senate, 
        and appropriate committees of the House of 
        Representatives.
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    \131\ Sec. 1304(b) of Public Law 100-418 (102 Stat. 1182) amended 
para. (1). The paragraph previously read as follows:
    ``(1) In general.--On or before the date which is one year after 
the date of the enactment of the International Trade and Investment 
Act, and each year thereafter, the Trade Representative shall submit 
the analysis and estimate under subsection (a) to the Committee on Ways 
and Means of the House of Representatives.''.
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          (2) Reports to include information with respect to 
        action being taken.--The Trade Representative shall 
        include in each report submitted under paragraph (1) 
        information with respect to any action taken (or the 
        reasons for no action taken) to eliminate any act, 
        policy, or practice identified under subsection (a), 
        including, but not limited to--
                  (A) any action under section 301,\132\
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    \132\ Sec. 311(a)(1) of Public Law 103-465 (108 Stat. 4938) struck 
out ``or'' at the end of subpara. (A), inserted ``, or'' in lieu of a 
period at the end of subpara. (B), and added a new subpara. (C).
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                  (B) negotiations or consultations with 
                foreign governments, or
                  (C) \133\ a section on foreign 
                anticompetitive practices, the toleration of 
                which by foreign governments is adversely 
                affecting exports of United States goods and 
                services.
          (3) Consultation with congress on trade policy 
        priorities.--The Trade Representative shall keep the 
        committees described in paragraph (1) currently 
        informed with respect to trade policy priorities for 
        the purposes of expanding market opportunities. After 
        the submission of the report required by paragraph (1), 
        the Trade Representative shall also consult 
        periodically with, and take into account the views of, 
        the committees described in that paragraph regarding 
        mans to address the foreign trade barriers identified 
        in the report, including the possible initiation of 
        investigations under section 302 or other trade 
        actions.\129\
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    \133\ Sec. 312 of Public Law 103-465 (108 Stat. 4938) added this 
sentence.
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    (c) Assistance of Other Agencies.--
          (1) Furnishing of information.--The head of each 
        department or agency of the executive branch of the 
        Government, including any independent agency, is 
        authorized and directed to furnish to the Trade 
        Representative or to the appropriate agency, upon 
        request, such data, reports, and other information as 
        is necessary for the Trade Representative to carry out 
        his functions under this section. In preparing the 
        section of the report required by subsection (b)(2)(C), 
        the Trade Representative shall consult in particular 
        with the Attorney General.\134\
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    \134\ Sec. 311(a)(2) of Public Law 103-465 (108 Stat. 4938) added 
this sentence.
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          (2) Restrictions on release or use of information.--
        Nothing in this subsection shall authorize the release 
        of information to, or the use of information by, the 
        Trade Representative in a manner inconsistent with law 
        or any procedure established pursuant thereto.
          (3) Personnel and services.--The head of any 
        department, agency, or instrumentality of the United 
        States may detail such personnel and may furnish such 
        services, with or without reimbursement, as the Trade 
        Representative may request to assist in carrying out 
        his functions.
    (d) \135\ Electronic Commerce.--For purposes of this 
section, the term ``electronic commerce'' has the meaning given 
that term in section 1104(3) of the Internet Tax Freedom Act.
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    \135\ Sec. 1202 of Public Law 105-277 (112 Stat 2681-727) inserted 
subsec. (d).
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SEC. 182.\136\ IDENTIFICATION OF COUNTRIES THAT DENY ADEQUATE 
                    PROTECTION, OR MARKET ACCESS, FOR INTELLECTUAL 
                    PROPERTY RIGHTS.
  (a) In General.--By no later than the date that is 30 days 
after the date on which the annual report is submitted to 
Congressional committees under section 181(b), the United 
States Trade Representative (hereafter in this section referred 
to as the ``Trade Representative'') shall identify--
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    \136\ 19 U.S.C. 2242. Sec. 1303(b) of Public Law 100-418 (102 Stat. 
1179) added sec. 182.
    Sec. 852 of the National Defense Authorization Act for Fiscal Years 
1990 and 1991 (Public Law 101-189; 103 Stat. 1517), as amended by 
Public Law 101-510 (104 Stat. 1668), provided the following:
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     ``procurement from countries that deny adequate and effective 
               protection of intellectual property rights
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    ``(a) Sense of Congress.--It is the sense of Congress that it 
should be a very important consideration in the procurement of 
property, services, or technology by the Department of Defense whether 
such procurement is from any person or any country which has been 
identified by the United States Trade Representative, on the advice of 
the Commissioner of Patents and Trademarks in the Department of 
Commerce and the Register of Copyrights, pursuant to section 182(a)(2) 
of the Trade Act of 1974 (19 U.S.C. 2242) as denying adequate and 
effective market access to United States persons that rely upon 
intellectual property protection.''.
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          (1) those foreign countries that--
                  (A) deny adequate and effective protection of 
                intellectual property rights, or
                  (B) deny fair and equitable market access to 
                United States persons that rely upon 
                intellectual property protection, and
          (2) those foreign countries identified under 
        paragraph (1) that are determined by the Trade 
        Representative to be priority foreign countries.\137\
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    \137\ In an annual notice published on May 8, 2000 (65 F.R. 26652), 
the United States Trade Representative identified 59 trading partners 
that as of April 28, 2000 denied ``adequate and effective protection of 
intellectual property or deny fair and equitable market access to 
United States artists and industries that rely upon intellectual 
property protection.'' In addition, Ukraine was identified as a 
potential ``Priority Foreign Country'', and Paraguay and China were 
designated for ``Section 306 monitoring'' to ensure both countries 
comply with commitments made to the United States under bilateral 
intellectual property agreements.
    Sixteen trading partners were placed on the ``Priority Watch 
List,'' including Argentina, the Dominican Republic, Egypt, the 
European Union, Greece, Guatemala, India, Israel, Italy, Korea, 
Malaysia, Peru, Poland, Russia, Turkey, and Ukraine. The 39 countries 
placed on the special 301 ``Watch List'' included nine countries not 
mentioned in the 1999 report: Armenia, Azerbaijan, Kazakhstan, Latvia, 
Lithuania, Moldova, Tajikistan, Turkmenistan, and Uzbekistan. According 
to the 1999 report (May 6, 1999, 64 F.R. 24438) the other thirty 
countries on the ``Watch List'' included Australia, Bahrain, Canada, 
Chile, Colombia, Costa Rica, Czech Republic, Denmark, Guatemala, 
Honduras, Hong Kong, Ireland, Jamaica, Japan, Jordan, Korea, Oman, 
Pakistan, Peru, The Philippines, Poland, Qatar, Saudi Arabia, 
Singapore, South Africa, Sweden, Thailand, Ukraine, United Arab 
Emirates, Venezuela, and Vietnam.
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  (b) Special Rules for Identifications.--
          (1) In identifying priority foreign countries under 
        subsection (a)(2), the Trade Representative shall only 
        identify those foreign countries--
                  (A) that have the most onerous or egregious 
                acts, policies, or practices that--
                          (i) deny adequate and effective 
                        intellectual property rights, or
                          (ii) deny fair and equitable market 
                        access to United States persons that 
                        rely upon intellectual property 
                        protection,
                  (B) whose acts, policies, or practices 
                described in subparagraph (A) have the greatest 
                adverse impact (actual or potential) on the 
                relevant United States products, and
                  (C) that are not--
                          (i) entering into good faith 
                        negotiations, or
                          (ii) making significant progress in 
                        bilateral or multilateral negotiations,
                to provide adequate and effective protection of 
                intellectual property rights.
          (2) In identifying priority foreign countries under 
        subsection (a)(2), the Trade Representative shall--
                  (A) consult with the Register of Copyrights, 
                the Under Secretary of Commerce for 
                Intellectual Property and Director of the 
                United States Patent and Trademark Office,\138\ 
                other appropriate officers of the Federal 
                Government, and
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    \138\ Sec. 4732(b)(8) of Public Law 106-113 (113 Stat. 1501A-584) 
struck out ``Commissioner of Patents and Trademarks'' in sec. 
182(b)(2)(A) and inserted in lieu thereof ``Under Secretary of Commerce 
for Intellectual Property and Director of the United States Patent and 
Trademark Office.''
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                  (B) take into account information from such 
                sources as may be available to the Trade 
                Representative and such information as may be 
                submitted to the Trade Representative by 
                interested persons, including information 
                contained in reports submitted under section 
                181(b) and petitions submitted under section 
                302.
          (3) The Trade Representative may identify a foreign 
        country under subsection (a)(1)(B) only if the Trade 
        Representative finds that there is a factual basis for 
        the denial of fair and equitable market access as a 
        result of the violation of international law or 
        agreement, or the existence of barriers, referred to in 
        subsection (d)(3).
          (4) \139\ In identifying foreign countries under 
        paragraphs (1) and (2) of subsection (a), the Trade 
        Representative shall take into account--
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    \139\ Sec. 313(1) of Public Law 103-465 (108 Stat. 4938) added 
para. (4).
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                  (A) the history of intellectual property laws 
                and practices of the foreign country, including 
                any previous identifications under subsection 
                (a)(2), and
                  (B) the history of efforts of the United 
                States, and the response of the foreign 
                country, to achieve adequate and effective 
                protection and enforcement of intellectual 
                property rights.
  (c) Revocations and Additional Identifications.--
          (1) The Trade Representative may at any time--
                  (A) revoke the identification of any foreign 
                country as a priority foreign country under 
                this section, or
                  (B) identify any foreign country as a 
                priority foreign country under this section,
        if information available to the Trade Representative 
        indicates that such action is appropriate.
          (2) The Trade Representative shall include in the 
        semiannual report submitted to the Congress under 
        section 309(3) a detailed explanation of the reasons 
        for the revocation under paragraph (1) of the 
        identification of any foreign country as a priority 
        foreign country under this section.
  (d) Definitions.--For purposes of this section--
          (1) The term ``persons that rely upon intellectual 
        property protection'' means persons involved in--
                  (A) the creation, production or licensing of 
                works of authorship (within the meaning of 
                sections 102 and 103 of title 17, United States 
                Code) that are copyrighted, or
                  (B) the manufacture of products that are 
                patented or for which there are process 
                patents.
          (2) A foreign country denies adequate and effective 
        protection of intellectual property rights if the 
        foreign country denies adequate and effective means 
        under the laws of the foreign country for persons who 
        are not citizens or nationals of such foreign country 
        to secure, exercise, and enforce rights relating to 
        patents, process patents, registered trademarks, 
        copyrights and mask works.
          (3) \140\ A foreign country denies fair and equitable 
        market access if the foreign country effectively denies 
        access to a market for a product protected by a 
        copyright or related right, patent, trademark, mask 
        work, trade secret, or plant breeder's right, through 
        the use of laws, procedures, practices, or regulations 
        which--
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    \140\ Sec. 313(2)(A) of Public Law 103-465 (108 Stat. 4939) amended 
and restated the text of para. (3). It formerly read as follows:
    ``(3) A foreign country denies fair and equitable market access if 
the foreign country effectively denies access to a market for a product 
protected by a copyright, patent, or process patent through the use of 
laws, procedures, practices, or regulations which--''.
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                  (A) violate provisions of international law 
                or international agreements to which both the 
                United States and the foreign country are 
                parties, or
                  (B) constitute discriminatory nontariff trade 
                barriers.
          (4) \141\ A foreign country may be determined to deny 
        adequate and effective protection of intellectual 
        property rights, notwithstanding the fact that the 
        foreign country may be in compliance with the specific 
        obligations of the Agreement on Trade-Related Aspects 
        of Intellectual Property Rights referred to in section 
        101(d)(15) of the Uruguay Round Agreements Act.
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    \141\ Sec. 313(2)(B) of Public Law 103-465 (108 Stat. 4939) added 
para. (4).
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  (e) Publication.--The Trade Representative shall publish in 
the Federal Register a list of foreign countries identified 
under subsection (a) and shall make such revisions to the list 
as may be required by reason of action under subsection (c).
    (f) \142\ Special Rule for Actions Affecting United States 
Cultural Industries.--
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    \142\ Sec. 513 of the NAFTA Implementation Act (Public Law 103-182; 
107 Stat. 2156) added subsec. (f).
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          (1) In general.--By no later than the date that is 30 
        days after the date on which the annual report is 
        submitted to Congressional committees under section 
        181(b), the Trade Representative shall identify any 
        act, policy, or practice of Canada which--
                  (A) affects cultural industries,
                  (B) is adopted or expanded after December 17, 
                1992, and
                  (C) is actionable under article 2106 of the 
                North American Free Trade Agreement.
          (2) Special rules for identifications.--For purposes 
        of section 302(b)(2)(A), an act, policy, or practice 
        identified under this subsection shall be treated as an 
        act, policy, or practice that is the basis for 
        identification of a country under subsection (a)(2), 
        unless the United States has already taken action 
        pursuant to article 2106 of the North American Free 
        Trade Agreement in response to such act, policy, or 
        practice. In deciding whether to identify an act, 
        policy, or practice under paragraph (1), the Trade 
        Representative shall--
                  (A) consult with and take into account the 
                views of representatives of the relevant 
                domestic industries, appropriate committees 
                established pursuant to section 135, and 
                appropriate officers of the Federal Government, 
                and
                  (B) take into account the information from 
                such sources as may be available to the Trade 
                Representative and such information as may be 
                submitted to the Trade Representative by 
                interested persons, including information 
                contained in reports submitted under section 
                181(b).
          (3) Cultural industries.--For purposes of this 
        subsection, the term `cultural industries' means 
        persons engaged in any of the following activities:
                  (A) The publication, distribution, or sale of 
                books, magazines, periodicals, or newspapers in 
                print or machine readable form but not 
                including the sole activity of printing or 
                typesetting any of the foregoing.
                  (B) The production, distribution, sale, or 
                exhibition of film or video recordings.
                  (C) The production, distribution, sale, or 
                exhibition of audio or video music recordings.
                  (D) The publication, distribution, or sale of 
                music in print or machine readable form.
                  (E) Radio communications in which the 
                transmissions are intended for direct reception 
                by the general public, and all radio, 
                television, and cable broadcasting undertakings 
                and all satellite programming and broadcast 
                network services.
    (g) \143\ Annual Report.--The Trade Representative shall, 
by not later than the date by which countries are identified 
under subsection (a), transmit to the Committee on Ways and 
Means of the House of Representatives and the Committee on 
Finance of the Senate, a report on actions taken under this 
section during the 12 months preceding such report, and the 
reasons for such actions, including a description of progress 
made in achieving improved intellectual property protection and 
market access for persons relying on intellectual property 
rights.
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    \143\ Sec. 313(3) of Public Law 103-465 (108 Stat. 4939) added 
subsec. (g).
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       TITLE II--RELIEF FROM INJURY CAUSED BY IMPORT COMPETITION

 Chapter 1--Positive Adjustment by Industries Injured by Imports \144\

SEC. 201.\145\ ACTION TO FACILITATE POSITIVE ADJUSTMENT TO IMPORT 
                    COMPETITION.

  (a) Presidential Action.--If the United States International 
Trade Commission (hereinafter referred to in this chapter as 
the ``Commission'') determines under section 202(b) that an 
article is being imported into the United States in such 
increased quantities as to be a substantial cause of serious 
injury, or the threat thereof, to the domestic industry 
producing an article like or directly competitive with the 
imported article, the President, in accordance with this 
chapter, shall take all appropriate and feasible action within 
his power which the President determines will facilitate 
efforts by the domestic industry to make a positive adjustment 
to import competition and provide greater economic and social 
benefits than costs.
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    \144\ Sec. 1401(a) of Public Law 100-418 (102 Stat. 1225) amended 
and restated Ch. 1 of title II and added new secs. 201 through 204. In 
addition, sec. 1401(c) of that Act stated the following:
    ``(c) Effective Date.--The amendments made by subsections (a) and 
(b) shall take effect on the date of the enactment of this Act and 
shall apply with respect to investigations initiated under chapter 1 of 
title II of the Trade Act of 1974 on or after that date. Any petition 
filed under section 201 of such chapter before such date of enactment, 
and with respect to which the United States International Trade 
Commission did not make a finding before such date with respect to 
serious injury or the threat thereof, may be withdrawn and refiled, 
without prejudice, by the petitioner under section 202(a) of such 
chapter (as amended by this section).''.
    \145\ 19 U.S.C. 2251.
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  (b) Positive Adjustment to Import Competition.--
          (1) For purposes of this chapter, a positive 
        adjustment to import competition occurs when--
                  (A) the domestic industry--
                          (i) is able to compete successfully 
                        with imports after actions taken under 
                        section 204 terminate, or
                          (ii) the domestic industry 
                        experiences an orderly transfer of 
                        resources to other productive pursuits; 
                        and
                  (B) dislocated workers in the industry 
                experience an orderly transition to productive 
                pursuits.
          (2) The domestic industry may be considered to have 
        made a positive adjustment to import competition even 
        though the industry is not of the same size and 
        composition as the industry at the time the 
        investigation was initiated under section 202(b).

SEC. 202.\146\ INVESTIGATIONS, DETERMINATIONS, AND RECOMMENDATIONS BY 
                    COMMISSION.

  (a) Petitions and Adjustment Plans.--
---------------------------------------------------------------------------
    \146\ 19 U.S.C. 2252.
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          (1) A petition requesting action under this chapter 
        for the purpose of facilitating positive adjustment to 
        import competition may be filed with the Commission by 
        an entity, including a trade association, firm, 
        certified or recognized union, or group of workers, 
        which is representative of an industry.
          (2) A petition under paragraph (1)--
                  (A) shall include a statement describing the 
                specific purposes for which action is being 
                sought, which may include facilitating the 
                orderly transfer of resources to more 
                productive pursuits, enhancing competitiveness, 
                or other means of adjustment to new conditions 
                of competition; and
                  (B) may--
                          (i) subject to subsection 
                        (d)(1)(C)(i), request provisional 
                        relief under subsection (d)(1); or
                          (ii) request \147\ provisional relief 
                        under subsection (d)(2).
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    \147\ Sec. 303(1) of Public Law 103-465 (108 Stat. 4937) struck out 
``, or at any time before the 150th day after the date of filing be 
amended to request,'' after ``request''.
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          (3) Whenever a petition is filed under paragraph (1), 
        the Commission shall promptly transmit copies of the 
        petition to the Office of the United States Trade 
        Representative and other Federal agencies directly 
        concerned.
          (4) A petitioner under paragraph (1) may submit to 
        the Commission and the United States Trade 
        Representative (hereafter in this chapter referred to 
        as the ``Trade Representative''), either with the 
        petition, or at any time within 120 days after the date 
        of filing of the petition, a plan to facilitate 
        positive adjustment to import competition.
          (5)(A) Before submitting an adjustment plan under 
        paragraph (4), the petitioner and other entities 
        referred to in paragraph (1) that wish to participate 
        may consult with the Trade Representative and the 
        officers and employees of any Federal agency that is 
        considered appropriate by the Trade Representative, for 
        purposes of evaluating the adequacy of the proposals 
        being considered for inclusion in the plan in relation 
        to specific actions that may be taken under this 
        chapter.
          (B) A request for any consultation under subparagraph 
        (A) must be made to the Trade Representative. Upon 
        receiving such a request, the Trade Representative 
        shall confer with the petitioner and provide such 
        assistance, including publication of appropriate notice 
        in the Federal Register, as may be practicable in 
        obtaining other participants in the consultation. No 
        consultation may occur under subparagraph (A) unless 
        the Trade Representative, or his delegate, is in 
        attendance.
          (6)(A) In the course of any investigation under 
        subsection (b), the Commission shall seek information 
        (on a confidential basis, to the extent appropriate) on 
        actions being taken, or planned to be taken, or both, 
        by firms and workers in the industry to make a positive 
        adjustment to import competition.
          (B) Regardless whether an adjustment plan is 
        submitted under paragraph (4) by the petitioner, if the 
        Commission makes an affirmative determination under 
        subsection (b), any--
                  (i) firm in the domestic industry;
                  (ii) certified or recognized union or group 
                of workers in the domestic industry;
                  (iii) State or local community;
                  (iv) trade association representing the 
                domestic industry; or
                  (v) any other person or group of persons,
        may, individually, submit to the Commission commitments 
        regarding actions such persons and entities intend to 
        take to facilitate positive adjustment to import 
        competition.
          (7) Nothing in paragraphs (5) and (6) may be 
        construed to provide immunity under the antitrust laws.
          (8) \148\ The procedures concerning the release of 
        confidential business information set forth in section 
        332(g) of the Tariff Act of 1930 shall apply with 
        respect to information received by the Commission in 
        the course of investigations conducted under this 
        chapter and part 1 of title III of the North American 
        Free Trade Agreement Implementation Act. The Commission 
        may request that parties providing confidential 
        business information furnish nonconfidential summaries 
        thereof or, if such parties indicate that the 
        information in the submission cannot be summarized, the 
        reasons why a summary cannot be provided. If the 
        Commission finds that a request for confidentiality is 
        not warranted and if the party concerned is either 
        unwilling to make the information public or to 
        authorize its disclosure in generalized or summarized 
        form, the Commission may disregard the submission.\149\
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    \148\ Sec. 317(b) of the NAFTA Implementation Act (Public Law 103-
182; 107 Stat. 2108) added para. (8).
    \149\ Sec. 301(a) of Public Law 103-465 (108 Stat. 4932) added the 
latter two sentences to para. (8).
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  (b) Investigations and Determinations by Commission.--
          (1)(A) Upon the filing of a petition under subsection 
        (a),\150\ the request of the President or the Trade 
        Representative, the resolution of either the Committee 
        on Ways and Means of the House of Representatives or 
        the Committee on Finance of the Senate, or on its own 
        motion, the Commission shall promptly make an 
        investigation to determine whether an article is being 
        imported into the United States in such increased 
        quantities as to be a substantial cause of serious 
        injury, or the threat thereof, to the domestic industry 
        producing an article like or directly competitive with 
        the imported article.
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    \150\ Sec. 303(2) of Public Law 103-465 (108 Stat. 4937) struck out 
``(b)'' and inserted in lieu thereof ``(a)''.
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          (B) For purposes of this section, the term 
        ``substantial cause'' means a cause which is important 
        and not less than any other cause.
          (2)(A) Except as provided in subparagraph (B), the 
        Commission shall make the determination under paragraph 
        (1) within 120 days (180 days if the petition alleges 
        that critical circumstances exist) \151\ after the date 
        on which the petition is filed, the request or 
        resolution is received, or the motion is adopted, as 
        the case may be.
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    \151\ Sec. 301(d)(2)(A)(i) of Public Law 103-465 (108 Stat. 4933) 
inserted ``(180 days if the petition alleges that critical 
circumstances exist)'' after ``120 days''.
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          (B) If before the 100th day after a petition is filed 
        under subsection (a)(1) the Commission determines that 
        the investigation is extraordinarily complicated, the 
        Commission shall make the determination under paragraph 
        (1) within 150 days (210 days if the petition alleges 
        that critical circumstances exist) \152\ after the date 
        referred to in subparagraph (A).
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    \152\ Sec. 301(d)(2)(A)(ii) of Public Law 103-465 (108 Stat. 4933) 
inserted ``(210 days if the petition alleges that critical 
circumstances exist)'' after ``150 days''.
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          (3) \153\ The Commission shall publish notice of the 
        commencement of any proceeding under this subsection in 
        the Federal Register and shall, within a reasonable 
        time thereafter, hold public hearings at which the 
        Commission shall afford interested parties and 
        consumers an opportunity to be present, to present 
        evidence, to comment on the adjustment plan, if any, 
        submitted under subsection (a), to respond to the 
        presentations of other parties and consumers, and 
        otherwise to be heard.
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    \153\ Sec. 301(c) of Public Law 103-465 (108 Stat. 4933) struck out 
paras. (3) and (4) and inserted in lieu thereof a new para. (3).
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  (c) Factors Applied in Making Determinations.--
          (1) In making determinations under subsection (b), 
        the Commission shall take into account all economic 
        factors which it considers relevant, including (but not 
        limited to)--
                  (A) with respect to serious injury--
                          (i) the significant idling of 
                        productive facilities in the domestic 
                        industry,
                          (ii) the inability of a significant 
                        number of firms to carry out domestic 
                        production operations at a reasonable 
                        level of profit, and
                          (iii) significant unemployment or 
                        underemployment within the domestic 
                        industry;
                  (B) with respect to threat of serious 
                injury--
                          (i) a decline in sales or market 
                        share, a higher and growing inventory 
                        (whether maintained by domestic 
                        producers, importers, wholesalers, or 
                        retailers), and a downward trend in 
                        production, profits, wages, 
                        productivity,\154\ or employment (or 
                        increasing underemployment) in the 
                        domestic industry,
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    \154\ Sec. 301(e)(1) of Public Law 103-465 (108 Stat. 4934) 
inserted ``productivity'' after ``wages''.
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                          (ii) the extent to which firms in the 
                        domestic industry are unable to 
                        generate adequate capital to finance 
                        the modernization of their domestic 
                        plants and equipment, or are unable to 
                        maintain existing levels of 
                        expenditures for research and 
                        development,
                          (iii) the extent to which the United 
                        States market is the focal point for 
                        the diversion of exports of the article 
                        concerned by reason of restraints on 
                        exports of such article to, or on 
                        imports of such article into, third 
                        country markets; and
                  (C) with respect to substantial cause, an 
                increase in imports (either actual or relative 
                to domestic production) and a decline in the 
                proportion of the domestic market supplied by 
                domestic producers.
          (2) In making determinations under subsection (b), 
        the Commission shall--
                  (A) consider the condition of the domestic 
                industry over the course of the relevant 
                business cycle, but may not aggregate the 
                causes of declining demand associated with a 
                recession or economic downturn in the United 
                States economy into a single cause of serious 
                injury or threat of injury; and
                  (B) examine factors other than imports which 
                may be a cause of serious injury, or threat of 
                serious injury, to the domestic industry.
        The Commission shall include the results of its 
        examination under subparagraph (B) in the report 
        submitted by the Commission to the President under 
        subsection (e).
          (3) The presence or absence of any factor which the 
        Commission is required to evaluate in subparagraphs (A) 
        and (B) of paragraph (1) is not necessarily dispositive 
        of whether an article is being imported into the United 
        States in such increased quantities as to be a 
        substantial cause of serious injury, or the threat 
        thereof, to the domestic industry.
          (4) For purposes of subsection (b), in determining 
        the domestic industry producing an article like or 
        directly competitive with an imported article, the 
        Commission--
                  (A) to the extent information is available, 
                shall, in the case of a domestic producer which 
                also imports, treat as part of such domestic 
                industry only its domestic production;
                  (B) may, in the case of a domestic producer 
                which produces more than one article, treat as 
                part of such domestic industry only that 
                portion or subdivision of the producer which 
                produces the like or directly competitive 
                article; and
                  (C) may, in the case of one or more domestic 
                producers which produce a like or directly 
                competitive article in a major geographic area 
                of the United States and whose production 
                facilities in such area for such article 
                constitute a substantial portion of the 
                domestic industry in the United States and 
                primarily serve the market in such area, and 
                where the imports are concentrated in such 
                area, treat as such domestic industry only that 
                segment of the production located in such area.
          (5) In the course of any proceeding under this 
        subsection, the Commission shall investigate any factor 
        which in its judgment may be contributing to increased 
        imports of the article under investigation. Whenever in 
        the course of its investigation the Commission has 
        reason to believe that the increased imports are 
        attributable in part to circumstances which come within 
        the purview of subtitles A and B of title VII or 
        section 337 of the Tariff Act of 1930, or other 
        remedial provisions of law, the Commission shall 
        promptly notify the appropriate agency so that such 
        action may be taken as is otherwise authorized by such 
        provisions of law.
          (6) For purposes of this section: \155\
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    \155\ Sec. 303(5) of Public Law 103-465 (108 Stat. 4937) struck out 
``subsection'' and inserted in lieu thereof ``section''.
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                  (A) \156\ (i) The term ``domestic industry'' 
                means, with respect to an article, the 
                producers as a whole of the like or directly 
                competitive article or those producers whose 
                collective production of the like or directly 
                competitive article constitutes a major 
                proportion of the total domestic production of 
                such article.
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    \156\ Sec. 301(e)(2)(A) of Public Law 103-465 (108 Stat. 4934) 
amended and restated subpara. (A), which formerly read as follows:
     ``(A) The term ``domestic industry'' includes producers located in 
the United States insular possession.''.
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                  (ii) The term ``domestic industry'' includes 
                producers located in the United States insular 
                possessions.
                  (B) The term ``significant idling of 
                productive facilities'' includes the closing of 
                plants or the underutilization of production 
                capacity.
                  (C) \157\ The term ``serious injury'' means a 
                significant overall impairment in the position 
                of a domestic industry.
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    \157\ Sec. 301(e)(2)(B) of Public Law 103-465 (108 Stat. 4934) 
added subparas. (C) and (D).
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                  (D) \152\ The term ``threat of serious 
                injury'' means serious injury that is clearly 
                imminent.
  (d) Provisional Relief.--
          (1)(A) An entity representing a domestic industry 
        that produces a perishable agricultural product or 
        citrus product \158\ that is like or directly 
        competitive with an imported perishable agricultural 
        product or citrus product \158\ may file a request with 
        the Trade Representative for the monitoring of imports 
        of that product under subparagraph (B). Within 21 days 
        after receiving the request, the Trade Representative 
        shall determine if--
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    \158\ Sec. 315(1) of the NAFTA Implementation Act (Public Law 103-
182; 107 Stat. 2107) inserted ``or citrus product'' after 
``agricultural product'' each place it appears in para. (1)(A).
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                  (i) the imported product is a perishable 
                agricultural product or citrus product; \158\ 
                and
                  (ii) there is a reasonable indication that 
                such product is being imported into the United 
                States in such increased quantities as to be, 
                or likely to be, a substantial cause of serious 
                injury, or the threat thereof, to such domestic 
                industry.
          (B) If the determinations under subparagraph (A) (i) 
        and (ii) are affirmative, the Trade Representative 
        shall request, under section 332(g) of the Tariff Act 
        of 1930, the Commission to monitor and investigate the 
        imports concerned for a period not to exceed 2 years. 
        The monitoring and investigation may include the 
        collection and analysis of information that would 
        expedite an investigation under subsection (b).
          (C) If a petition filed under subsection (a)--
                  (i) alleges injury from imports of a 
                perishable agricultural product or citrus 
                product \159\ that has been, on the date the 
                allegation is included in the petition, subject 
                to monitoring by the Commission under 
                subparagraph (B) \160\ for not less than 90 
                days; and
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    \159\ Sec. 315(2) of the NAFTA Implementation Act (Public Law 103-
182; 107 Stat. 2108) inserted ``or citrus product''.
    \160\ Sec. 303(3)(A) of Public Law 103-465 (108 Stat. 4937) struck 
out ``paragraph (2)'' and inserted in lieu thereof ``subparagraph 
(B)''.
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                  (ii) requests that provisional relief be 
                provided under this subsection with respect to 
                such imports;
        the Commission shall, not later than the 21st day after 
        the day on which the request was filed, make a 
        determination, on the basis of available information, 
        whether increased imports (either actual or relative to 
        domestic production) of the perishable agricultural 
        product or citrus product \159\ are a substantial cause 
        of serious injury, or the threat thereof, to the 
        domestic industry producing a like or directly 
        competitive perishable product or citrus product, \159\ 
        and whether either--
                  (I) the serious injury is likely to be 
                difficult to repair by reason of perishability 
                of the like or directly competitive 
                agricultural product; or citrus product \159\ 
                or
                  (II) the serious injury cannot be timely 
                prevented through investigation under 
                subsection (b) and action under section 203.
          (D) At the request of the Commission, the Secretary 
        of Agriculture shall promptly provide to the Commission 
        any relevant information that the Department of 
        Agriculture may have for purposes of making 
        determinations and findings under this subsection.
          (E) Whenever the Commission makes an affirmative 
        preliminary determination under subparagraph (C), the 
        Commission shall find the amount or extent of 
        provisional relief that is necessary to prevent or 
        remedy the serious injury.\161\ In carrying out this 
        subparagraph, the Commission shall give preference to 
        increasing or imposing a duty on imports, if such form 
        of relief is feasible and would prevent or remedy the 
        serious injury.\161\
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    \161\ Sec. 303(3)(B) of Public Law 103-465 (108 Stat. 4937) struck 
out ``or threat thereof'' in subparas. (E) and (G).
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          (F) The Commission shall immediately report to the 
        President its determination under subparagraph (C) and, 
        if the determination is affirmative, the finding under 
        subparagraph (E).
          (G) Within 7 days after receiving a report from the 
        Commission under subparagraph (F) containing an 
        affirmative determination, the President, if he 
        considers provisional relief to be warranted and after 
        taking into account the finding of the Commission under 
        subparagraph (E), shall proclaim such provisional 
        relief that the President considers necessary to 
        prevent or remedy the serious injury.\161\
          (2) \162\ (A) When a petition filed under subsection 
        (a) alleges that critical circumstances exist and 
        requests that provisional relief be provided under this 
        subsection with respect to imports of the article 
        identified in the petition, the Commission shall, not 
        later than 60 days after the petition containing the 
        request was filed, determine, on the basis of available 
        information, whether--
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    \162\ Sec. 301(d)(1) of Public Law 103-465 (108 Stat. 4932) amended 
and restated para. (2).
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                  (i) there is clear evidence that increased 
                imports (either actual or relative to domestic 
                production) of the article are a substantial 
                cause of serious injury, or the threat thereof, 
                to the domestic industry producing an article 
                like or directly competitive with the imported 
                article; and
                  (ii) delay in taking action under this 
                chapter would cause damage to that industry 
                that would be difficult to repair.
          (B) If the determinations under subparagraph (A)(i) 
        and (ii) are affirmative, the Commission shall find the 
        amount or extent of provisional relief that is 
        necessary to prevent or remedy the serious injury. In 
        carrying out this subparagraph, the Commission shall 
        give preference to increasing or imposing a duty on 
        imports, if such form of relief is feasible and would 
        prevent or remedy the serious injury.
          (C) The Commission shall immediately report to the 
        President its determinations under subparagraph (A)(i) 
        and (ii) and, if the determinations are affirmative, 
        the finding under subparagraph (B).
          (D) Within 30 days after receiving a report from the 
        Commission under subparagraph (C) containing an 
        affirmative determination under subparagraph (A)(i) and 
        (ii), the President, if he considers provisional relief 
        to be warranted and after taking into account the 
        finding of the Commission under subparagraph (B), shall 
        proclaim, for a period not to exceed 200 days, such 
        provisional relief that the President considers 
        necessary to prevent or remedy the serious injury. Such 
        relief shall take the form of an increase in, or the 
        imposition of, a duty on imports, if such form of 
        relief is feasible and would prevent or remedy the 
        serious injury.
          (3) If provisional relief is proclaimed under 
        paragraph (1)(G) or (2)(D) \163\ in the form of an 
        increase, or the imposition of, a duty, the President 
        shall order the suspension of liquidation of all 
        imported articles subject to the affirmative 
        determination under paragraph (1)(C) or paragraph 
        (2)(A),\164\ as the case may be, that are entered, or 
        withdrawn from warehouse for consumption, on or after 
        the date of the determination.
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    \163\ Sec. 301(d)(4)(A)(i) of Public Law 103-465 (108 Stat. 4934) 
struck out ``(2)(B)'' and inserted in lieu thereof ``(2)(D)''.
    \164\ Sec. 301(d)(4)(A)(ii) of Public Law 103-465 (108 Stat. 4934) 
struck out ``subsection (b)(1),'' and inserted in lieu thereof 
``paragraph (2)(A)''.
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          (4)(A) Any provisional relief implemented under this 
        subsection with respect to an imported article shall 
        terminate on the day on which--
                  (i) if such relief was proclaimed under 
                paragraph (1)(G) or (2)(D),\165\ the Commission 
                makes a negative determination under subsection 
                (b) \166\ regarding injury or the threat 
                thereof by imports of such article;
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    \165\ Sec. 301(d)(4)(B) of Public Law 103-465 (108 Stat. 4934) 
inserted ``or (2)(D)'' after ``(1)(G)''.
    \166\ Sec. 303(4) of Public Law 103-465 (108 Stat. 4937) struck out 
``203(a)'' and inserted in lieu thereof ``202(b)''. Sec. 20(c)(5) of 
Public Law 104-295 (110 Stat. 3528) subsequently struck out ``section 
202(b)'' and inserted in lieu thereof ``subsection (b)''.
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                  (ii) action described in section 203(a)(3) 
                (A) or (C) takes effect under section 203 with 
                respect to such article;
                  (iii) a decision by the President not to take 
                any action under section 203(a) with respect to 
                such article becomes final; or
                  (iv) whenever the President determines that, 
                because of changed circumstances, such relief 
                is no longer warranted.
          (B) Any suspension of liquidation ordered under 
        paragraph (3) with respect to an imported article shall 
        terminate on the day on which provisional relief is 
        terminated under subparagraph (A) with respect to the 
        article.
          (C) If an increase in, or the imposition of, a duty 
        that is proclaimed under section 203 on an imported 
        article is different from a duty increase or imposition 
        that was proclaimed for such an article under this 
        section, then the entry of any such article for which 
        liquidation was suspended under paragraph (3) shall be 
        liquidated at whichever of such rates of duty is lower.
          (D) If provisional relief in the form of an increase 
        in, or the imposition of, a duty is proclaimed under 
        this section with respect to an imported article and 
        neither a duty increase nor a duty imposition is 
        proclaimed under section 203 regarding such article, 
        the entry of any such article for which liquidation was 
        suspended under paragraph (3) may be liquidated at the 
        rate of duty that applied before provisional relief was 
        provided.
          (5) For purposes of this subsection:
                  (A) \167\ The term ``citrus product'' means 
                any processed oranges or grapefruit, or any 
                orange or grapefruit juice including 
                concentrate.
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    \167\ Sec. 315 of the NAFTA Implementation Act (Public Law 103-182; 
107 Stat. 2108) redesignated subparas. (A) and (B) as (B) and (C), and 
inserted a new subpara. (A).
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                  (B) \162\ A perishable agricultural product 
                is any agricultural article, including 
                livestock, regarding which the Trade 
                Representative considers action under this 
                section to be appropriate after taking into 
                account--
                          (i) whether the article has--
                                  (I) a short shelf life,
                                  (II) a short growing season, 
                                or
                                  (III) a short marketing 
                                period,
                          (ii) whether the article is treated 
                        as a perishable product under any other 
                        Federal law or regulation; and
                          (iii) any other factor considered 
                        appropriate by the Trade 
                        Representative.
                The presence or absence of any factor which the 
                Trade Representative is required to take into 
                account under clause (i), (ii), or (iii) is not 
                necessarily dispositive of whether an article 
                is a perishable agricultural product.
                  (C) \162\ The term ``provisional relief'' 
                means--
                          (i) any increase in, or imposition 
                        of, any duty;
                          (ii) any modification or imposition 
                        of any quantitative restriction on the 
                        importation of an article into the 
                        United States; or
                          (iii) any combination of actions 
                        under clauses (i) and (ii).
  (e) Commission Recommendations.--
          (1) If the Commission makes an affirmative 
        determination under subsection (b)(1), the Commission 
        shall also recommend the action that would address the 
        serious injury, or threat thereof, to the domestic 
        industry and be most effective in facilitating the 
        efforts of the domestic industry to make a positive 
        adjustment to import competition.
          (2) The Commission is authorized to recommend under 
        paragraph (1)--
                  (A) an increase in, or the imposition of, any 
                duty on the imported article;
                  (B) a tariff-rate quota on the article;
                  (C) a modification or imposition of any 
                quantitative restriction on the importation of 
                the article into the United States;
                  (D) one or more appropriate adjustment 
                measures, including the provision of trade 
                adjustment assistance under chapter 2; or
                  (E) any combination of the actions described 
                in subparagraphs (A) through (D).
          (3) The Commission shall specify the type, amount, 
        and duration of the action recommended by it under 
        paragraph (1). The limitations set forth in section 
        203(e) are applicable to the action recommended by the 
        Commission.
          (4) In addition to the recommendation made under 
        paragraph (1), the Commission may also recommend that 
        the President--
                  (A) initiate international negotiations to 
                address the underlying cause of the increase in 
                imports of the article or otherwise to 
                alleviate the injury or threat; or
                  (B) implement any other action authorized 
                under law that is likely to facilitate positive 
                adjustment to import competition.
          (5) For purposes of making its recommendation under 
        this subsection, the Commission shall--
                  (A) after reasonable notice, hold a public 
                hearing at which all interested parties shall 
                be provided an opportunity to present testimony 
                and evidence; and
                  (B) take into account--
                          (i) the form and amount of action 
                        described in paragraph (2) (A), (B), 
                        and (C) that would prevent or remedy 
                        the injury or threat thereof,
                          (ii) the objectives and actions 
                        specified in the adjustment plan, if 
                        any, submitted under subsection (a)(4),
                          (iii) any individual commitment that 
                        was submitted to the Commission under 
                        subsection (a)(6),
                          (iv) any information available to the 
                        Commission concerning the conditions of 
                        competition in domestic and world 
                        markets, and likely developments 
                        affecting such conditions during the 
                        period for which action is being 
                        requested, and
                          (v) whether international 
                        negotiations may be constructive to 
                        address the injury or threat thereof or 
                        to facilitate adjustment.
          (6) Only those members of the Commission who agreed 
        to the affirmative determination under subsection (b) 
        are eligible to vote on the recommendation required to 
        be made under paragraph (1) or that may be made under 
        paragraph (3). Members of the Commission who did not 
        agree to the affirmative determination may submit, in 
        the report required under subsection (f), separate 
        views regarding what action, if any, should be taken 
        under section 203.
  (f) Report by Commission.--
          (1) The Commission shall submit to the President a 
        report on each investigation undertaken under 
        subsection (b). The report shall be submitted at the 
        earliest practicable time, but not later than 180 days 
        (240 days if the petition alleges that critical 
        circumstances exist) \168\ after the date on which the 
        petition is filed, the request or resolution is 
        received, or the motion is adopted, as the case may be.
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    \168\ Sec. 301(d)(2)(B) of Public Law 103-465 (108 Stat. 4933) 
inserted ``(240 days if the petition alleges that critical 
circumstances exist)'' after ``180 days''.
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          (2) The Commission shall include in the report 
        required under paragraph (1) the following:
                  (A) The determination made under subsection 
                (b) and an explanation of the basis for the 
                determination.
                  (B) If the determination under subsection (b) 
                is affirmative, the recommendations for action 
                made under subsection (e) and an explanation of 
                the basis for each recommendation.
                  (C) Any dissenting or separate views by 
                members of the Commission regarding the 
                determination and any recommendation referred 
                to in subparagraphs (A) and (B).
                  (D) The findings required to be included in 
                the report under subsection (c)(2).
                  (E) A copy of the adjustment plan, if any, 
                submitted under section 201(b)(4).
                  (F) Commitments submitted, and information 
                obtained, by the Commission regarding steps 
                that firms and workers in the domestic industry 
                are taking, or plan to take, to facilitate 
                positive adjustment to import competition.
                  (G) A description of--
                          (i) the short- and long-term effects 
                        that implementation of the action 
                        recommended under subsection (e) is 
                        likely to have on the petitioning 
                        domestic industry, on other domestic 
                        industries, and on consumers, and
                          (ii) the short- and long-term effects 
                        of not taking the recommended action on 
                        the petitioning domestic industry, its 
                        workers and the communities where 
                        production facilities of such industry 
                        are \169\ located, and on other 
                        domestic industries.
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    \169\ Sec. 303(6) of Public Law 103-465 (108 Stat. 4937) struck out 
``is'' and inserted in lieu thereof ``are''.
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          (3) The Commission, after submitting a report to the 
        President under paragraph (1), shall promptly make it 
        available to the public (with the exception of the 
        confidential information obtained under section 
        202(a)(6)(B) and any other information which the 
        Commission determines to be confidential) and cause a 
        summary thereof to be published in the Federal 
        Register.
  (g) Expedited Consideration of Adjustment Assistance 
Petitions.--If the Commission makes an affirmative 
determination under subsection (b)(1), the Commission shall 
promptly notify the Secretary of Labor and the Secretary of 
Commerce of the determination. After receiving such 
notification--
          (1) the Secretary of Labor shall give expedited 
        consideration to petitions by workers in the domestic 
        industry for certification for eligibility to apply for 
        adjustment assistance under chapter 2; and
          (2) the Secretary of Commerce shall give expedited 
        consideration to petitions by firms in the domestic 
        industry for certification of eligibility to apply for 
        adjustment assistance under chapter 3.
  (h) Limitations on Investigations.--
          (1) Except for good cause determined by the 
        Commission to exist, no investigation for the purposes 
        of this section shall be made with respect to the same 
        subject matter as a previous investigation under this 
        chapter, unless 1 year has elapsed since the Commission 
        made its report to the President of the results of such 
        previous investigation.
          (2) \170\ No new investigation shall be conducted 
        with respect to an article that is or has been the 
        subject of an action under section 203(a)(3)(A), (B), 
        (C), or (E) if the last day on which the President 
        could take action under section 203 in the new 
        investigation is a date earlier than that permitted 
        under section 203(e)(7).
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    \170\ Sec. 302(b)(4)(B) of Public Law 103-465 (108 Stat. 4936) 
amended and restated subsec. (h)(2).
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          (3) \171\ (A) Not later than the date on which the 
        Textiles Agreement enters into force with respect to 
        the United States, the Secretary of Commerce shall 
        publish in the Federal Register a list of all articles 
        that are subject to the Textiles Agreement. An 
        investigation may be conducted under this section 
        concerning imports of any article that is subject to 
        the Textiles Agreement only if the United States has 
        integrated that article into GATT 1994 pursuant to the 
        Textiles Agreement, as set forth in notices published 
        in the Federal Register by the Secretary of Commerce, 
        including the notice published under section 331 of the 
        Uruguay Round Agreements Act.
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    \171\ Sec. 301(f) of Public Law 103-465 (108 Stat. 4934) added 
para. (3).
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          (B) For purposes of this paragraph:
                  (i) The term ``Textiles Agreement'' means the 
                Agreement on Textiles and Clothing referred to 
                in section 101(d)(4) of the Uruguay Round 
                Agreements Act.
                  (ii) The term ``GATT 1994'' has the meaning 
                given that term in section 2(1)(B) of the 
                Uruguay Round Agreements Act.
    (i) \172\ Limited Disclosure of Confidential Business 
Information Under Protective Order.--The Commission shall 
promulgate regulations to provide access to confidential 
business information under protective order to authorized 
representatives of interested parties who are parties to an 
investigation under this section.
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    \172\ Sec. 301(b) of Public Law 103-465 (108 Stat. 4932) added 
subsec. (i).
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SEC. 203.\173\ ACTION BY PRESIDENT AFTER DETERMINATION OF IMPORT 
                    INJURY.

  (a) In General.--
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    \173\ 19 U.S.C. 2253.
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          (1)(A) After receiving a report under section 202(f) 
        containing an affirmative finding regarding serious 
        injury, or the threat thereof, to a domestic industry, 
        the President shall take all appropriate and feasible 
        action within his power which the President determines 
        will facilitate efforts by the domestic industry to 
        make a positive adjustment to import competition and 
        provide greater economic and social benefits than 
        costs.
          (B) The action taken by the President under 
        subparagraph (A) shall be to such extent, and for such 
        duration, subject to subsection (e)(1), that the 
        President determines to be appropriate and feasible 
        under such subparagraph.
          (C) The interagency trade organization established 
        under section 242(a) of the Trade Expansion Act of 1962 
        shall, with respect to each affirmative determination 
        reported under section 202(f), make a recommendation to 
        the President as to what action the President should 
        take under subparagraph (A).
          (2) In determining what action to take under 
        paragraph (1), the President shall take into account--
                  (A) the recommendation and report of the 
                Commission;
                  (B) the extent to which workers and firms in 
                the domestic industry are--
                          (i) benefiting from adjustment 
                        assistance and other manpower programs, 
                        and
                          (ii) engaged in worker retraining 
                        efforts;
                  (C) the efforts being made, or to be 
                implemented, by the domestic industry 
                (including the efforts included in any 
                adjustment plan or commitment submitted to the 
                Commission under section 202(a) \174\) to make 
                a positive adjustment to import competition;
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    \174\ Sec. 303(7) of Public Law 103-465 (108 Stat. 4937) struck out 
``201(b)'' and inserted in lieu thereof ``202(a)''.
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                  (D) the probable effectiveness of the actions 
                authorized under paragraph (3) to facilitate 
                positive adjustment to import competition;
                  (E) the short- and long-term economic and 
                social costs of the actions authorized under 
                paragraph (3) relative to their short- and 
                long-term economic and social benefits and 
                other considerations relative to the position 
                of the domestic industry in the United States 
                economy;
                  (F) other factors related to the national 
                economic interest of the United States, 
                including, but not limited to--
                          (i) the economic and social costs 
                        which would be incurred by taxpayers, 
                        communities, and workers if import 
                        relief were not provided under this 
                        chapter,
                          (ii) the effect of the implementation 
                        of actions under this section on 
                        consumers and on competition in 
                        domestic markets for articles, and
                          (iii) the impact on United States 
                        industries and firms as a result of 
                        international obligations regarding 
                        compensation;
                  (G) the extent to which there is diversion of 
                foreign exports to the United States market by 
                reason of foreign restraints;
                  (H) the potential for circumvention of any 
                action taken under this section;
                  (I) the national security interests of the 
                United States; and
                  (J) the factors required to be considered by 
                the Commission under section 202(e)(5).
          (3) The President may, for purposes of taking action 
        under paragraph (1)--
                  (A) proclaim an increase in, or the 
                imposition of, any duty on the imported 
                article;
                  (B) proclaim a tariff-rate quota on the 
                article;
                  (C) proclaim a modification or imposition of 
                any quantitative restriction on the importation 
                of the article into the United States;
                  (D) implement one or more appropriate 
                adjustment measures, including the provision of 
                trade adjustment assistance under chapter 2;
                  (E) negotiate, conclude, and carry out \175\ 
                agreements with foreign countries limiting the 
                export from foreign countries and the import 
                into the United States of such article;
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    \175\ Sec. 302(a)(1) of Public Law 103-465 (108 Stat. 4934) struck 
out ``orderly marketing'' after ``carry out''.
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                  (F) proclaim procedures necessary to allocate 
                among importers by the auction of import 
                licenses quantities of the article that are 
                permitted to be imported into the United 
                States;
                  (G) initiate international negotiations to 
                address the underlying cause of the increase in 
                imports of the article or otherwise to 
                alleviate the injury or threat thereof;
                  (H) submit to Congress legislative proposals 
                to facilitate the efforts of the domestic 
                industry to make a positive adjustment to 
                import competition;
                  (I) take any other action which may be taken 
                by the President under the authority of law and 
                which the President considers appropriate and 
                feasible for purposes of paragraph (1); and
                  (J) take any combination of actions listed in 
                subparagraphs (A) through (I).
          (4)(A) Subject to subparagraph (B), the \176\ 
        President shall take action under paragraph (1) within 
        60 days (50 days if the President has proclaimed 
        provisional relief under section 202(d)(2)(D) with 
        respect to the article concerned) \177\ after receiving 
        a report from the Commission containing an affirmative 
        determination under section 202(b)(1) (or a 
        determination under such section which he considers to 
        be an affirmative determination by reason of section 
        330(d) of the Tariff Act of 1930).\178\
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    \176\ Sec. 301(d)(3)(A) of Public Law 103-465 (108 Stat. 4933) 
struck out ``The'' and inserted in lieu thereof ``(A) Subject to 
subparagraph (B), the''.
    \177\ Sec. 301(d)(3)(B) of Public Law 103-465 (108 Stat. 4933) 
inserted ``(50 days if the President has proclaimed provisional relief 
under section 202(d)(2)(D) with respect to the article concerned)'' 
after ``60 days''.
    \178\ Sec. 301(d)(3)(C) of Public Law 103-465 (108 Stat. 4933) 
struck out ``; except that if a supplemental report is requested under 
paragraph (5), the President shall take action under paragraph (1) 
within 30 days after the supplemental report is received.'', closed the 
sentence with a period, and added subpara. (B).
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          (B) \178\ If a supplemental report is requested under 
        paragraph (5), the President shall take action under 
        paragraph (1) within 30 days after the supplemental 
        report is received, except that, in a case in which the 
        President has proclaimed provisional relief under 
        section 202(d)(2)(D) with respect to the article 
        concerned, action by the President under paragraph (1) 
        may not be taken later than the 200th day after the 
        provisional relief was proclaimed.
          (5) The President may, within 15 days after the date 
        on which he receives a report from the Commission 
        containing an affirmative determination under section 
        202(b)(1), request additional information from the 
        Commission. The Commission shall, as soon as 
        practicable but in no event more than 30 days after the 
        date on which it receives the President's request, 
        furnish additional information with respect to the 
        industry in a supplemental report.
  (b) Reports to Congress.--
          (1) On the day the President takes action under 
        subsection (a)(1), the President shall transmit to 
        Congress a document describing the action and the 
        reasons for taking the action. If the action taken by 
        the President differs from the action required to be 
        recommended by the Commission under section 202(e)(1), 
        the President shall state in detail the reasons for the 
        difference.
          (2) On the day on which the President decides that 
        there is no appropriate and feasible action to take 
        under subsection (a)(1) with respect to a domestic 
        industry, the President shall transmit to Congress a 
        document that sets forth in detail the reasons for the 
        decision.
          (3) On the day on which the President takes any 
        action under subsection (a)(1) that is not reported 
        under paragraph (1), the President shall transmit to 
        Congress a document setting forth the action being 
        taken and the reasons therefor.
  (c) Implementation of Action Recommended by Commission.--If 
the President reports under subsection (b)(1) or (2) that--
          (1) the action taken under subsection (a)(1) differs 
        from the action recommended by the Commission under 
        section 202(e)(1); or
          (2) no action will be taken under subsection (a)(1) 
        with respect to the domestic industry;
the action recommended by the Commission shall take effect (as 
provided in subsection (d)(2)) \179\ upon the enactment of a 
joint resolution described in section 152(a)(1)(A) within the 
90-day period beginning on the date on which the document 
referred to in subsection (b)(1) or (2) is transmitted to the 
Congress.
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    \179\ Sec. 303(8) of Public Law 103-465 (108 Stat. 4937) struck out 
``(c)(2)'' and inserted in lieu thereof ``(d)(2)''.
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  (d) Time for Taking Effect of Certain Relief.--
          (1) Except as provided in paragraph (2), any action 
        described in subsection (a)(3)(A), (B), or (C), that is 
        taken under subsection (a)(1) shall take effect within 
        15 days after the day on which the President proclaims 
        the action, unless the President announces, on the date 
        he decides to take such action, his intention to 
        negotiate one or more agreements described in 
        subsection (a)(3)(E) \180\ in which case the action 
        under subsection (a)(3)(A), (B), or (C) shall be 
        proclaimed and take effect within 90 days after the 
        date of such decision.
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    \180\ Sec. 302(a)(2) of Public Law 103-465 (108 Stat. 4934) struck 
out ``orderly marketing agreements'' and inserted in lieu thereof 
``agreements described in subsection (a)(3)(E)''.
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          (2) If the contingency set forth in subsection (c) 
        occurs, the President shall, within 30 days after the 
        date of the enactment of the joint resolution referred 
        to in such subsection, proclaim the action recommended 
        by the Commission under section 202(e)(1).
  (e) Limitations on Actions.--
          (1) \181\ (A) Subject to subparagraph (B), the 
        duration of the period in which an action taken under 
        this section may be in effect shall not exceed 4 years. 
        Such period shall include the period, if any, in which 
        provisional relief under section 202(d) was in effect.
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    \181\ Sec. 302(b)(1) of Public Law 103-465 (108 Stat. 4935) amended 
and restated subsec. (e)(1).
---------------------------------------------------------------------------
          (B)(i) Subject to clause (ii), the President, after 
        receiving an affirmative determination from the 
        Commission under section 204(c) (or, if the Commission 
        is equally divided in its determination, a 
        determination which the President considers to be an 
        affirmative determination of the Commission), may 
        extend the effective period of any action under this 
        section if the President determines that--
                  (I) the action continues to be necessary to 
                prevent or remedy the serious injury; and
                  (II) there is evidence that the domestic 
                industry is making a positive adjustment to 
                import competition.
          (ii) The effective period of any action under this 
        section, including any extensions thereof, may not, in 
        the aggregate, exceed 8 years.
          (2) Action of a type described in subsection 
        (a)(3)(A), (B), or (C) may be taken under subsection 
        (a)(1), under section 202(d)(1)(G), or under section 
        202(d)(2)(D) \182\ only to the extent the cumulative 
        impact of such action does not exceed the amount 
        necessary to prevent or remedy the serious injury.\183\
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    \182\ Sec. 303(9)(A) of Public Law 103-465 (108 Stat. 4937) struck 
out ``may be taken under subsection (a)(1)(A), (B), or (C) or under 
section 202(d)(2)(B)'' and inserted in lieu thereof ``of a type 
described in subsection (a)(3)(A), (B), or (C) may be taken under 
subsection (a)(1), under section 202(d)(1)(G), or under section 
202(d)(2)(D)''.
    \183\ Sec. 303(9)(B) of Public Law 103-465 (108 Stat. 4937) struck 
out ``or threat thereof''.
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          (3) No action may be taken under this section which 
        would increase a rate of duty to (or impose a rate) 
        which is more than 50 percent ad valorem above the rate 
        (if any) existing at the time the action is taken.
          (4) \184\ Any action taken under this section 
        proclaiming a quantitative restriction shall permit the 
        importation of a quantity or value of the article which 
        is not less than the average quantity or value of such 
        article entered into the United States in the most 
        recent 3 years that are representative of imports of 
        such article and for which data are available, unless 
        the President finds that the importation of a different 
        quantity or value is clearly justified in order to 
        prevent or remedy the serious injury.
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    \184\ Sec. 302(b)(2) of Public Law 103-465 (108 Stat. 4935) amended 
and restated subsec. (e)(4).
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          (5) \185\ An action described in subsection 
        (a)(3)(A), (B), or (C) that has an effective period of 
        more than 1 year shall be phased down at regular 
        intervals during the period in which the action is in 
        effect.
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    \185\ Sec. 302(b)(3) of Public Law 103-465 (108 Stat. 4936) amended 
and restated subsec. (e)(5).
---------------------------------------------------------------------------
          (6)(A) The suspension, pursuant to any action taken 
        under this section, of--
                  (i) subheadings 9802.00.60 or subheadings 
                9802.00.80 of the Harmonized Tariff Schedule of 
                the United States \186\ with respect to an 
                article; and
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    \186\ The text to this point beginning with ``subheadings . . .'' 
was inserted in lieu of ``item 806.30 or 807.00 of the Tariff Schedules 
of the United States'', by sec. 1214(j)(2) of Public Law 100-418 (102 
Stat. 1158), as amended by sec. 9001(a)(2)(B) of Public Law 100-647 
(102 Stat. 3342).
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                  (ii) the designation of any article as an 
                eligible article for purposes of title V;
        shall be treated as an increase in duty.
          (B) No proclamation providing for a suspension 
        referred to in subparagraph (A) with respect to any 
        article may be made by the President, nor may any such 
        suspension be recommended by the Commission under 
        section 202(e),\187\ unless the Commission, in addition 
        to making an affirmative determination under section 
        202(b)(1), determines in the course of its 
        investigation under section 202(b) \187\ that the 
        serious injury, or threat thereof, substantially caused 
        by imports to the domestic industry producing a like or 
        directly competitive article results from, as the case 
        may be--
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    \187\ Sec. 303(10) of Public Law 103-465 (108 Stat. 4937) struck 
out ``203(c)'' and inserted in lieu thereof ``202(e)''; and struck out 
``203(a)'' and inserted in lieu thereof ``202(b)''.
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                 (i) \188\ the application of subheading 
                9802.00.60 or subheading 9802.00.80 of the 
                Harmonized Tariff Schedule of the United 
                States; \189\ or
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    \188\ Sec. 9001(a) of Public Law 100-647 (102 Stat. 3342) 
substituted ``(i)'' and ``(ii)'' in lieu of ``(A)'' and ``(B)'' which 
previously appeared at these points.
    \189\ The text to this point beginning with ``subheading . . .'' 
was inserted in lieu of ``item 806.30 or 807.00'', by sec. 1214(j)(2) 
of Public Law 100-418 (102 Stat. 1158), as amended by sec. 
9001(a)(12(B) of Public Law 100-647 (102 Stat. 3342).
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                  (ii) \188\ the designation of the article as 
                an eligible article for the purposes of title 
                V.
          (7) \190\ (A) If an article was the subject of an 
        action under subparagraph (A), (B), (C), or (E) of 
        subsection (a)(3), no new action may be taken under any 
        of those subparagraphs with respect to such article 
        for--
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    \190\ Sec. 302(b)(4)(A) of Public Law 103-465 (108 Stat. 4936) 
added a new para. (7).
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                  (i) a period beginning on the date on which 
                the previous action terminates that is equal to 
                the period in which the previous action was in 
                effect, or
                  (ii) a period of 2 years beginning on the 
                date on which the previous action terminates,
        whichever is greater.
          (B) Notwithstanding subparagraph (A), if the previous 
        action under subparagraph (A), (B), (C), or (E) of 
        subsection (a)(3) with respect to an article was in 
        effect for a period of 180 days or less, the President 
        may take a new action under any of those subparagraphs 
        with respect to such article if--
                  (i) at least 1 year has elapsed since the 
                previous action went into effect; and
                  (ii) an action described in any of those 
                subparagraphs has not been taken with respect 
                to such article more than twice in the 5-year 
                period immediately preceding the date on which 
                the new action with respect to such article 
                first becomes effective.
  (f) \191\ Certain Agreements.--
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    \191\ Sec. 302(a)(3)(A) of Public Law 103-465 (108 Stat. 4935) 
struck out ``Orderly Marketing and Other'' in the subsection heading 
and inserted in lieu thereof ``Certain''.
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          (1) If the President takes action under this section 
        other than the implementation of agreements of the type 
        described in subsection (a)(3)(E),\192\ the President 
        may, after such action takes effect, negotiate 
        agreements of the type described in subsection 
        (a)(3)(E),\193\ and may, after such agreements take 
        effect, suspend or terminate, in whole or in part, any 
        action previously taken.
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    \192\ Sec. 302(a)(3)(B)(i) of Public Law 103-465 (108 Stat. 4935) 
struck out ``orderly marketing agreements'' and inserted in lieu 
thereof ``agreements of the type described in subsection (a)(3)(E)''.
    \193\ Sec. 302(a)(3)(B)(ii) of Public Law 103-465 (108 Stat. 4935) 
struck out ``orderly marketing agreements with foreign countries'' and 
inserted in lieu thereof ``agreements of the type described in 
subsection (a)(3)(E)''.
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          (2) If an agreement implemented under subsection 
        (a)(3)(E) \194\ is not effective, the President may, 
        consistent with the limitations contained in subsection 
        (e), take additional action under subsection (a).
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    \194\ Sec. 302(a)(3)(C) of Public Law 103-465 (108 Stat. 4935) 
struck out ``orderly marketing agreement implemented under subsection 
(a)'' and inserted in lieu thereof ``agreement implemented under 
subsection (a)(3)(E)''.
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  (g) Regulations.--
          (1) The President shall by regulation provide for the 
        efficient and fair administration of all actions taken 
        for the purpose of providing import relief under this 
        chapter.
          (2) In order to carry out an \195\ international 
        agreement concluded under this chapter, the President 
        may prescribe regulations governing the entry or 
        withdrawal from warehouse of articles covered by such 
        agreement. In addition, in order to carry out any 
        agreement of the type described in subsection (a)(3)(E) 
        that is \196\ concluded under this chapter with one or 
        more countries accounting for a major part of United 
        States imports of the article covered by such 
        agreement,\197\ including imports into a major 
        geographic area of the United States, the President may 
        issue regulations governing the entry or withdrawal 
        from warehouse of like articles which are the product 
        of countries not parties to such agreement.
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    \195\ Sec. 302(a)(4)(A) of Public Law 103-465 (108 Stat. 4935) 
struck out ``orderly marketing or other'' after ``carry out an''.
    \196\ Sec. 302(a)(4)(B)(i) of Public Law 103-465 (108 Stat. 4935) 
struck out ``orderly marketing agreement'' and inserted in lieu thereof 
``agreement of the type described in subsection (a)(3)(E) that is''.
    \197\ Sec. 302(a)(4)(B)(ii) of Public Law 103-465 (108 Stat. 4935) 
struck out ``agreements'' and inserted in lieu thereof ``agreement''.
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          (3) Regulations prescribed under this subsection 
        shall, to the extent practicable and consistent with 
        efficient and fair administration, insure against 
        inequitable sharing of imports by a relatively small 
        number of the larger importers.

SEC. 204.\198\ MONITORING, MODIFICATION, AND TERMINATION OF ACTION.

  (a) Monitoring.--
---------------------------------------------------------------------------
    \198\ 19 U.S.C. 2254.
---------------------------------------------------------------------------
          (1) So long as any action taken under section 203 
        remains in effect, the Commission shall monitor 
        developments with respect to the domestic industry, 
        including the progress and specific efforts made by 
        workers and firms in the domestic industry to make a 
        positive adjustment to import competition.
          (2) \199\ If the initial period during which the 
        action taken under section 203 is in effect exceeds 3 
        years, or if an extension of such action exceeds 3 
        years, the Commission shall submit a report on the 
        results of the monitoring under paragraph (1) to the 
        President and to the Congress not later than the date 
        that is the mid-point of the initial period, and of 
        each such extension, during which the action is in 
        effect.
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    \199\ Sec. 302(c)(1) of Public Law 103-465 (108 Stat. 4936) amended 
and restated para. (2).
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          (3) In the course of preparing each report under 
        paragraph (2), the Commission shall hold a hearing at 
        which interested persons shall be given a reasonable 
        opportunity to be present, to produce evidence, and to 
        be heard.
          (4) Upon request of the President, the Commission 
        shall advise the President of its judgment as to the 
        probable economic effect on the industry concerned of 
        any \200\ reduction, modification, or termination of 
        the action taken under section 203 which is under 
        consideration.
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    \200\ Sec. 302(c)(2) of Public Law 103-465 (108 Stat. 4936) struck 
out ``extension'' after ``of any''.
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  (b) Reduction, Modification, and Termination of Action.--
          (1) Action taken under section 203 may be reduced, 
        modified, or terminated by the President (but not 
        before the President receives the report required under 
        subsection (a)(2)(A)) if the President--
                  (A) after taking into account any report or 
                advice submitted by the Commission under 
                subsection (a) and after seeking the advice of 
                the Secretary of Commerce and the Secretary of 
                Labor, determines, on the basis that either--
                          (i) the domestic industry has not 
                        made adequate efforts to make a 
                        positive adjustment to import 
                        competition, or
                          (ii) the effectiveness of the action 
                        taken under section 203 has been 
                        impaired by changed economic 
                        circumstances,
                that changed circumstances warrant such 
                reduction, or termination; or
                  (B) determines, after a majority of the 
                representatives of the domestic industry 
                submits to the President a petition requesting 
                such reduction, modification, or termination on 
                such basis, that the domestic industry has made 
                a positive adjustment to import competition.
          (2) Notwithstanding paragraph (1), the President is 
        authorized to take such additional action under section 
        203 as may be necessary to eliminate any circumvention 
        of any action previously taken under such section.
          (3) \201\ Notwithstanding paragraph (1), the 
        President may, after receipt of a Commission 
        determination under section 129(a)(4) of the Uruguay 
        Round Agreements Act and consulting with the Committee 
        on Ways and Means of the House of Representatives and 
        the Committee on Finance of the Senate, reduce, modify, 
        or terminate action taken under section 203.
---------------------------------------------------------------------------
    \201\ Sec. 129(a)(7) of Public Law 103-465 (108 Stat. 4837) added a 
new para. (3).
---------------------------------------------------------------------------
    (c) \202\ Extension of Action.--
---------------------------------------------------------------------------
    \202\ Sec. 302(d)(1) and (2) of Public Law 103-465 (108 Stat. 4936) 
redesignated subsecs. (c) and (d) as subsecs. (d) and (e), 
respectively, and added a new subsec. (c). These subsections were 
originally redesignated as subsecs. (c) and (d) by sec. 9001(a)(8) of 
the Technical and Miscellaneous Revenue Act of 1988 (Public Law 100-
647; 102 Stat. 3342).
---------------------------------------------------------------------------
          (1) Upon request of the President, or upon petition 
        on behalf of the industry concerned filed with the 
        Commission not earlier than the date which is 9 months, 
        and not later than the date which is 6 months, before 
        the date any action taken under section 203 is to 
        terminate, the Commission shall investigate to 
        determine whether action under section 203 continues to 
        be necessary to prevent or remedy serious injury and 
        whether there is evidence that the industry is making a 
        positive adjustment to import competition.
          (2) The Commission shall publish notice of the 
        commencement of any proceeding under this subsection in 
        the Federal Register and shall, within a reasonable 
        time thereafter, hold a public hearing at which the 
        Commission shall afford interested parties and 
        consumers an opportunity to be present, to present 
        evidence, and to respond to the presentations of other 
        parties and consumers, and otherwise to be heard.
          (3) The Commission shall transmit to the President a 
        report on its investigation and determination under 
        this subsection not later than 60 days before the 
        action under section 203 is to terminate, unless the 
        President specifies a different date.
  (d) \189\ Evaluation of Effectiveness of Action.--
          (1) After any action taken under section 203 has 
        terminated, the Commission shall evaluate the 
        effectiveness of the actions in facilitating positive 
        adjustment by the domestic industry to import 
        competition, consistent with the reasons set out by the 
        President in the report submitted to the Congress under 
        section 203(b).
          (2) During the course of the evaluation conducted 
        under paragraph (1), the Commission shall, after 
        reasonable public notice, hold a hearing on the 
        effectiveness of the action. All interested persons 
        shall have the opportunity to attend such hearing and 
        to present evidence or testimony at such hearing.
          (3) A report on the evaluation made under paragraph 
        (1) and the hearings held under paragraph (2) shall be 
        submitted by the Commission to the President and to the 
        Congress by no later than the 180th day after the day 
        on which the actions taken under section 203 
        terminated.
  (e) \189\ Other Provisions.--
          (1) Action by the President under this chapter may be 
        taken without regard to the provisions of section 
        126(a) of this Act but only after consideration of the 
        relation of such actions to the international 
        obligations of the United States.
          (2) If the Commission treats as the domestic industry 
        production located in a major geographic area of the 
        United States under section 202(c)(4)(C), then the 
        President shall take into account the geographic 
        concentration of domestic production and of imports in 
        that area in taking any action authorized under 
        paragraph (1).

              Chapter 2--Adjustment Assistance for Workers

               subchapter a--petitions and determinations

SEC. 221.\203\ PETITIONS.

    (a) A petition for a certification of eligibility to apply 
for adjustment assistance under this subchapter \204\ may be 
filed with the Secretary of Labor (hereinafter in this chapter 
referred to as the ``Secretary'') by a group of workers 
(including workers in any agricultural firm or subdivision of 
an agricultural firm) \205\ or by their certified or recognized 
union or other duly authorized representative. Upon receipt of 
the petition, the Secretary shall promptly publish notice in 
the Federal Register that he has received the petition and 
initiated an investigation.
---------------------------------------------------------------------------
    \203\ 19 U.S.C. 2271.
    \204\ Sec. 503(a) of the NAFTA Implementation Act (Public Law 103-
182; 107 Stat. 2151) struck out ``assistance under this chapter'' and 
inserted in lieu thereof ``assistance under this subchapter'' in secs. 
221(a), 222(a), and 223(a).
    \205\ Sec. 13002(a) of Public Law 99-272 (100 Stat. 300) added the 
text in parentheses.
---------------------------------------------------------------------------
    (b) If the petitioner, or any other person found by the 
Secretary to have a substantial interest in the proceedings, 
submits not later than 10 days after the date of the 
Secretary's publication under subsection (a) a request for a 
hearing, the Secretary shall provide for a public hearing and 
afford such interested persons an opportunity to be present, to 
produce evidence, and to be heard.

SEC. 222.\206\ GROUP ELIGIBILITY REQUIREMENTS.

    (a) The Secretary \207\ shall certify a group of workers 
(including workers in any agricultural firm or subdivision of 
an agricultural firm) \205\ as eligible to apply for adjustment 
assistance under this subchapter \204\ if he determines--
---------------------------------------------------------------------------
    \206\ 19 U.S.C. 2272.
    \207\ Sec. 1421(a) of Public Law 100-418 (102 Stat. 1244) 
substituted ``(a) The Secretary'' in lieu of ``The Secretary'' and 
added a new subsec. (b).
---------------------------------------------------------------------------
          (1) that a significant number or proportion of the 
        workers in such workers' firm or an appropriate 
        subdivision of the firm have become totally or 
        partially separated, or are threatened to become 
        totally or partially separated,
          (2) that sales or production, or both, of such firm 
        or subdivision have decreased absolutely, and
          (3) \208\ increases of imports of articles like or 
        directly competitive with articles--
---------------------------------------------------------------------------
    \208\ Sec. 1421(b) of Public Law 100-418 (102 Stat. 1242) amended 
and restated para. 3.
---------------------------------------------------------------------------
                  (A) which are produced by such workers' firm 
                or appropriate subdivision thereof, or
                  (B) for which such workers' firm, or 
                appropriate subdivision thereof, provides 
                essential goods or essential services,
        contributed importantly to such total or partial 
        separation, or threat thereof, and to such decline in 
        sales or production.
  (b) \209\ For purposes of subsection (a)(3)--
---------------------------------------------------------------------------
    \209\ Sec. 1421(a)(1) of Public Law 100-418 (102 Stat. 1244) added 
a new subsec. (b), and deleted the text ``For purposes of paragraph 
(3), the term `contributed importantly' means a cause which is 
important, but not necessarily more important than any other cause.'' 
which previously appeared at this point.
---------------------------------------------------------------------------
          (1) The term ``contributed importantly'' means a 
        cause which is important but not necessarily more 
        important than any other cause.
          (2)(A) Any firm, or appropriate subdivision of a 
        firm, that engages in exploration or drilling for oil 
        or natural gas shall be considered to be a firm 
        producing oil or natural gas.
          (B) Any firm, or appropriate subdivision of a firm, 
        that engages in exploration or drilling for oil or 
        natural gas, or otherwise produces oil or natural gas, 
        shall be considered to be producing articles directly 
        competitive with imports of oil and with imports of 
        natural gas.

SEC. 223.\210\ DETERMINATIONS BY SECRETARY OF LABOR.

    (a) As soon as possible after the date on which a petition 
is filed under section 221, but in any event not later than 60 
days after that date, the Secretary shall determine whether the 
petitioning group meets the requirements of section 222 and 
shall issue a certification of eligibility to apply assistance 
under this subchapter \199\ covering workers in any group which 
meets such requirements. Each certification shall specify the 
date on which the total or partial separation began or 
threatened to begin.
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    \210\ 19 U.S.C. 2273.
---------------------------------------------------------------------------
    (b) \211\ A certification under this section shall not 
apply to any worker whose last total or partial separation from 
the firm or appropriate subdivision of the firm before his 
application under section 231 occurred--
---------------------------------------------------------------------------
    \211\ Sec. 1421(a)(1)(B) of Public Law 100-418 (102 Stat. 1242) 
stated the following:
    ``(B) Notwithstanding section 223(b) of the Trade Act of 1974, or 
any other provision of law, any certification made under subchapter A 
of chapter 2 of title II of such Act which--
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          ``(i) is made with respect to a petition filed before the 
        date that is 90 days after the date of enactment of this Act, 
        and
          ``(ii) would not have been made if the amendments made by 
        subparagraph (A) had not been enacted into law,
shall apply to any worker whose most recent total or partial separation 
from the firm, or appropriate subdivision of the firm, described in 
section 222(a) of such Act occurs after September 30, 1985.''.
          (1) more than one year before the date of the 
        petition on which such certification was granted, or
          (2) more than 6 months before the effective date of 
        this chapter.
    (c) Upon reaching his determination on a petition, the 
Secretary shall promptly publish a summary of the determination 
in the Federal Register together with his reasons for making 
such determination.
    (d) Whenever the Secretary determines, with respect to any 
certification of eligibility of the workers of a firm or 
subdivision of the firm, that total or partial separations from 
such firm or subdivision are no longer attributable to the 
conditions specified in section 222, he shall terminate such 
certification and promptly have notice of such termination 
published in the Federal Register together with his reasons for 
making such determination. Such termination shall apply only 
with respect to total or partial separations occurring after 
the termination date specified by the Secretary.

SEC. 224.\212\ STUDY BY SECRETARY OF LABOR WHEN INTERNATIONAL TRADE 
                    COMMISSION BEGINS INVESTIGATION.

    (a) Whenever the International Trade Commission (hereafter 
referred to in this chapter as the ``Commission'') begins an 
investigation under section 202 \213\ with respect to an 
industry, the Commission shall immediately notify the Secretary 
of such investigation, and the Secretary shall immediately 
begin a study of--
---------------------------------------------------------------------------
    \212\ 19 U.S.C. 2274. The words ``; Action Where There is 
Affirmative Finding'' were struck out from the section heading of sec. 
224 by sec. 2513(a)(2) of Public Law 97-35 (95 Stat. 889).
    Subsec. (c) of this section, relating to benefit information to 
workers now covered in sec. 225, was repealed by sec. 2513(a)(1) of 
Public Law 97-35 (95 Stat. 889).
    \213\ Sec. 1401(b)(1)(B) of Public Law 100-418 (102 Stat. 1239) 
substituted ``202'' in lieu of ``201''.
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          (1) the number of workers in the domestic industry 
        producing the like or directly competitive article who 
        have been or are likely to be certified as eligible for 
        adjustment assistance, and
          (2) the extent to which the adjustment of such 
        workers to the import competition may be facilitated 
        through the use of existing programs.
    (b) The report of the Secretary of the study under 
subsection (a) shall be made to the President not later than 15 
days after the day on which the Commission makes its report 
under section 202(f).\208\ Upon making his report to the 
President, the Secretary shall also promptly make it public 
(with the exception of information which the Secretary 
determines to be confidential) and shall have a summary of it 
published in the Federal Register.

SEC. 225.\214\ BENEFIT INFORMATION TO WORKERS.

    (a) The Secretary \215\ shall provide full information to 
workers about the benefit allowances, training, and other 
employment services available under this chapter and about the 
petition and application procedures, and the appropriate filing 
dates, for such allowances, training and services. The 
Secretary shall provide whatever assistance is necessary to 
enable groups of workers to prepare petitions or applications 
for program benefits. The Secretary shall make every effort to 
insure that cooperating State agencies fully comply with the 
agreements entered into under section 239(a) and shall 
periodically review such compliance. The Secretary shall inform 
the State Board for Vocational Education or equivalent agency 
and other public or private agencies, institutions, and 
employers, as appropriate, of each certification issued under 
section 223 and of projections, if available, of the needs for 
training under section 236 as a result of such certification.
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    \214\ 19 U.S.C. 2275. Sec. 2502 of Public Law 97-35 (95 Stat. 881) 
added sec. 225.
    \215\ Sec. 1422(1) of Public Law 100-418 (102 Stat. 1244) inserted 
``(a)'' before ``The Secretary'' and added a new subsec. (b).
    Sec. 1430(e) of Public Law 100-418 (102 Stat. 1257) further stated 
that ``The amendments made by section 1422 shall take effect on the 
date that is 30 days after the date of enactment of this Act.''.
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  (b) \215\ (1) The Secretary shall provide written notice 
through the mail of the benefits available under this chapter 
to each worker whom the Secretary has reason to believe is 
covered by a certification made under subchapter A or 
subchapter D \216\ of this chapter--
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    \216\ Sec. 503(b) of the NAFTA Implementation Act (Public Law 103-
182; 107 Stat. 2151) inserted ``or subchapter D'' after ``subchapter 
A'' throughout subsec. (b).
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          (A) at the time such certification is made, if the 
        worker was partially or totally separated from the 
        adversely affected employment before such 
        certification, or
          (B) at the time of the total or partial separation of 
        the worker from the adversely affected employment, if 
        subparagraph (A) does not apply.
  (2) The Secretary shall publish notice of the benefits 
available under this chapter to workers covered by each 
certification made under subchapter A or subchapter D \216\ in 
newspapers of general circulation in the areas in which such 
workers reside.

                     subchapter b--program benefits

    [Sections 231-238; 19 U.S.C. 2291-2298.]
          * * * * * * *

                    subchapter c--general provisions

    [Sections 239-249; 19 U.S.C. 2311-2321.]
          * * * * * * *

     subchapter d--nafta transitional adjustment assistance program

    [Section 250; 19 U.S.C. 2331.]
          * * * * * * *

               Chapter 3--Adjustment Assistance for Firms

SEC. 251.\217\ PETITIONS AND DETERMINATIONS.

    (a) A petition for a certification of eligibility to apply 
for adjustment assistance under this chapter may be filed with 
the Secretary of Commerce (hereinafter in this chapter referred 
to as the ``Secretary'') by a firm (including any agricultural 
firm) \218\ or its representative. Upon receipt of the 
petition, the Secretary shall promptly publish notice in the 
Federal Register that he has received the petition and 
initiated an investigation.
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    \217\ 19 U.S.C. 2341.
    \218\ Sec. 13002(b) of Public Law 99-272 (100 Stat. 300) added 
``including any agricultural firm''.
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    (b) If the petitioner, or any other person, organization, 
or group found by the Secretary to have a substantial interest 
in the proceedings, submits not later than 10 days after the 
date of the Secretary's publication under subsection (a) a 
request for a hearing, the Secretary shall provide for a public 
hearing and afford such interested persons an opportunity to be 
present, to produce evidence, and to be heard.
  (c)(1) \219\ The Secretary shall certify a firm (including 
any agricultural firm) \218\ as eligible to apply for 
adjustment assistance under this chapter if the Secretary 
determines--
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    \219\ Sec. 1421(a)(2) of Public Law 100-418 (102 Stat. 1243 ) 
amended subsec. (c).
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          (A) that a significant number or proportion of the 
        workers in such firm have become totally or partially 
        separated, or are threatened to become totally or 
        partially separated,
          (B) that--
                  (i) sales or production, or both, of such 
                firm have decreased absolutely, or
                  (ii) sales or production, or both, of an 
                article that accounted for not less than 25 
                percent of the total production or sales of the 
                firm during the 12-month period preceding the 
                most recent 12-month period for which data are 
                available have decreased absolutely, and
          (C) \220\ increases of imports of articles like or 
        directly competitive with articles--
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    \220\ Sec. 1421(a)(2) of Public Law 100-418 (102 Stat. 1243) added 
subpara. (C). Sec. 1421(b)(2) further amended subpara. (C).
---------------------------------------------------------------------------
                  (i) which are produced by such firm, or
                  (ii) for which such firm provides essential 
                goods or essential services,
        contributed importantly to such total or partial 
        separation, or threat thereof, and to such decline in 
        sales or production.
  (2) For purposes of paragraph (1)(C)--
          (A) The term ``contributed importantly'' means a 
        cause which is important but not necessarily more 
        important than any other cause.
          (B)(i) Any firm which engages in exploration or 
        drilling for oil or natural gas shall be considered to 
        be a firm producing oil or natural gas.
          (ii) Any firm that engages in exploration or drilling 
        for oil or natural gas, or otherwise produces oil or 
        natural gas, shall be considered to be producing 
        articles directly competitive with imports of oil and 
        with imports of natural gas.
    (d) A determination shall be made by the Secretary as soon 
as possible after the date on which the petition is filed under 
this section, but in any event not later than 60 days after 
that date.
          * * * * * * *

SEC. 264.\221\ STUDY BY SECRETARY OF COMMERCE WHEN INTERNATIONAL TRADE 
                    COMMISSION BEGINS INVESTIGATION; ACTION WHERE THERE 
                    IS AFFIRMATIVE FINDING.

    (a) Whenever the Commission begins an investigation under 
section 202 \222\ with respect to an industry, the Commission 
shall immediately notify the Secretary of such investigation, 
and the Secretary shall immediately begin a study of--
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    \221\ 19 U.S.C. 2354.
    \222\ Sec. 1401(b)(1)(B) of the Omnibus Trade and Competitiveness 
Act of 1988 (Public Law 100-418; 102 Stat. 1239) substituted the 
reference to ``202'' in lieu of ``201'' in subsec. (a); substituted the 
reference to ``202(f)'' in lieu of ``201'' in subsec. (b); and 
substituted the reference to ``202(b)'' in lieu of ``201(b)'' in 
subsec. (c).
---------------------------------------------------------------------------
          (1) the number of firms in the domestic industry 
        producing the like or directly competitive article 
        which have been or are likely to be certified as 
        eligible for adjustment assistance, and
          (2) the extent to which the orderly adjustment of 
        such firms to the import competition may be facilitated 
        through the use of existing programs.
    (b) The report of the Secretary of the study under 
subsection (a) shall be made to the President not later than 15 
days after the day on which the Commission makes its report 
under section 202(f).\209\ Upon making its report to the 
President, the Secretary shall also promptly make it public 
(with the exception of information which the Secretary 
determines to be confidential) and shall have a summary of it 
published in the Federal Register.
    (c) Whenever the Commission makes an affirmative finding 
under section 202(b) \222\ that increased imports are a 
substantial cause of serious injury or threat thereof with 
respect to an industry, the Secretary shall make available, to 
the extent feasible, full information to the firms in such 
industry about programs which may facilitate the orderly 
adjustment to import competition of such firms, and he shall 
provide assistance in the preparation and processing of 
petitions and applications of such firms for program benefits.

SEC. 265.\223\ ASSISTANCE TO INDUSTRIES.

    (a) The Secretary may provide technical assistance, on such 
terms and conditions as the Secretary deems appropriate, for 
the establishment of industrywide programs for new product 
development, new process development, export development, or 
other uses consistent with the purposes of this chapter. Such 
technical assistance may be provided through existing agencies, 
private individuals, firms, universities and institutions, and 
by grants, contracts, or cooperative agreements to 
associations, unions, or other nonprofit industry organizations 
in which a substantial number of firms or workers \224\ have 
been certified as eligible to apply for technical assistance 
under section 223 \225\ or 251.
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    \223\ 19 U.S.C. 2355. Added by sec. 2527 of Public Law 97-35 (95 
Stat. 893).
    \224\ Sec. 2673(1)(A) of Public Law 98-369 added ``or workers''.
    \225\ Sec. 2673(1)(B) of Public Law 98-369 added reference to sec. 
223.
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    (b) Expenditures for technical assistance under this 
section may be up to $10,000,000 \226\ annually per industry 
and shall be made under such terms and conditions as the 
Secretary deems appropriate.
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    \226\ Sec. 2673(2) of Public Law 98-369 substituted ``$10,000,000'' 
for ``$2,000,000''.
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          * * * * * * *

                  Chapter 5--Miscellaneous Provisions

SEC. 280.\227\ GENERAL ACCOUNTING OFFICE REPORT.

    (a) The Comptroller General of the United States shall 
conduct a study of the adjustment assistance programs 
established under chapters 2, 3, and 4 of this title and shall 
report the results of such study to the Congress no later than 
January 31, 1983. Such report shall include an evaluation of--
---------------------------------------------------------------------------
    \227\ 19 U.S.C. 2391.
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          (1) the effectiveness of such programs in aiding 
        workers, firms, and communities to adjust to changed 
        economic conditions resulting from changes in the 
        patterns of international trade; and
          (2) the coordination of the administration of such 
        programs and other Government programs which provide 
        unemployment compensation and relief to depressed 
        areas.
    (b) In carrying out his responsibilities under this 
section, the Comptroller General shall, to the extent 
practical, avail himself of the assistance of the Departments 
of Labor and Commerce. The Secretaries of Labor and Commerce 
shall make available to the Comptroller General any assistance 
necessary for an effective evaluation of the adjustment 
assistance programs established under this title.

SEC. 281.\228\ COORDINATION.

    There is established the Adjustment Assistance Coordinating 
Committee to consist of a Deputy Special Trade Representative 
\215\ as Chairman, and the officials charged with adjustment 
assistance responsibilities of the Departments of Labor and 
Commerce and the Small Business Administration. It shall be the 
function of the Committee to coordinate the adjustment 
assistance policies, studies, and programs of the various 
agencies involved and to promote the efficient and effective 
delivery of adjustment assistance benefits.
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    \228\ 19 U.S.C. 2392. The position of Deputy Special Trade 
Representative referred to in this section was redesignated as the 
Deputy United States Trade Representative pursuant to sec. 1(c) of 
Reorganization Plan No. 3 of 1979.
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SEC. 282.\229\ TRADE MONITORING SYSTEM.

    The Secretary of Commerce and the Secretary of Labor shall 
establish and maintain a program to monitor imports of articles 
into the United States which will reflect changes in the volume 
of such imports, the relation of such imports to changes in 
domestic production, changes in employment within domestic 
industries producing articles like or directly competitive with 
such imports, and the extent to which such changes in 
production and employment are concentrated in specific 
geographic regions of the United States. A summary of the 
information gathered under this section shall be published 
regularly and provided to the Adjustment Assistance 
Coordinating Committee, the International Trade Commission, and 
to the Congress.
---------------------------------------------------------------------------
    \229\ 19 U.S.C. 2393.
---------------------------------------------------------------------------

SEC. 283.\230\ FIRMS RELOCATING IN FOREIGN COUNTRIES.

    (a) Before moving productive facilities from the United 
States to a foreign country, every firm should--
---------------------------------------------------------------------------
    \230\ 19 U.S.C. 2394.
---------------------------------------------------------------------------
          (1) provide notice of the move to its employees who 
        are likely to be totally or partially separated as a 
        result of the move at least 60 days before the date of 
        such move, and
          (2) provide notice of the move to the Secretary of 
        Labor, and the Secretary of Commerce on the same day it 
        notifies employees under paragraph (1).
    (b) It is the sense of the Congress that every such firm 
should--
          (1) apply for and use all adjustment assistance for 
        which it is eligible under this title,
          (2) offer employment opportunities in the United 
        States, if any exist, to its employees who are totally 
        or partially separated workers as a result of the move, 
        and
          (3) assist in relocating employees to other locations 
        in the United States where employment opportunities 
        exist.

SEC. 284.\231\ JUDICIAL REVIEW.

    (a) A worker, group of workers, certified or recognized 
union, or authorized representative of such worker or group 
aggrieved by a final determination of the Secretary of Labor 
under section 223 or section 250(c) \232\ of this title, a firm 
or its representative or any other interested domestic party 
aggrieved by a final determination of the Secretary of Commerce 
under section 251 of this title, or a community or any other 
interested domestic party aggrieved by a final determination of 
the Secretary of Commerce under section 271 of this title may, 
within sixty days after notice of such determination, commence 
a civil action in the United States Court of International 
Trade for review of such determination. The clerk of such court 
shall send a copy of the summons and the complaint in such 
action to the Secretary of Labor or the Secretary of Commerce, 
as the case may be. Upon receiving a copy of such summons and 
complaint, such Secretary shall promptly certify and file in 
such court the record on which he based such determination.
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    \231\ 19 U.S.C. 2395. Sec. 613(a) of Public Law 96-417 redesignated 
sec. 284 as sec. 285 and added a new sec. 284. Sec. 285, previously 
entitled ``Effective Date'', was retitled ``Termination'' by sec. 13007 
of Public Law 99-272 (100 Stat. 304).
    \232\ Sec. 503(d) of the NAFTA Implementation Act (Public Law 103-
182; 107 Stat. 2151) added ``or section 250(c)'' after ``section 223''.
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    (b) The findings of fact by the Secretary of Labor or the 
Secretary of Commerce, as the case may be, if supported by 
substantial evidence, shall be conclusive; but the court, for 
good cause shown, may remand the case to such Secretary to take 
further evidence, and such Secretary may thereupon make new or 
modified findings of fact and may modify his previous action, 
and shall certify to the court the record of the further 
proceedings. Such new or modified findings of fact shall 
likewise be conclusive if supported by substantial evidence.
    (c) The Court of International Trade shall have 
jurisdiction to affirm the action of the Secretary of Labor or 
the Secretary of Commerce, as the case may be, or to set such 
action aside, in whole or in part. The judgment of the Court of 
International Trade shall be subject to review by the United 
States Court of Appeals for the Federal Circuit \233\ as 
prescribed by the rules of such court. The judgment of the 
Court of Appeals for the Federal Circuit \220\ shall be subject 
to review by the Supreme Court of the United States upon 
certiorari as provided in section 1256 of title 28.
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    \233\ The words ``Court of Appeals for the Federal Circuit'' were 
substituted in lieu of ``Court of Customs and Patent Appeals'' by sec. 
163(a)(5) of the Federal Courts Improvement Act (Public Law 97-164; 96 
Stat. 49).
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SEC. 285.\234\ TERMINATION.

    (a) \234\ Chapter 4 shall terminate on September 30, 1982.
---------------------------------------------------------------------------
    \234\ 19 U.S.C. 2271, preceding note. Sec. 13007 of Public Law 99-
272 (100 Stat. 304) added ``(a)'' in lieu of the sentence which 
previously appeared at this point. The deleted sentence referred to the 
effective date for chaps. 2, 3, and 4 of this title, and the 
termination date for chaps. 2 and 3. This original termination date of 
Sept. 30, 1982, had been amended as follows: to Sept. 30, 1983 (Public 
Law 97-35; 95 Stat. 888); to Sept. 30, 1985 (Public Law 98-120; 97 
Stat. 809); to Nov. 14, 1985 (Public Law 99-107; 99 Stat. 479); to Dec. 
14, 1985 (Public Law 99-155; 99 Stat. 814); to Dec. 18, 1985 (Public 
Law 99-181; 99 Stat. 1172); and to Dec. 19, 1985 (Public Law 99-189; 99 
Stat. 1184).
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  (b) \235\ No duty shall be imposed under section 287, after 
September 30, 1993.
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    \235\ Subsec. (b), as added by sec. 13007(a) of Public Law 99-272 
(100 Stat. 304), was amended by sec. 1426(a) of Public Law 100-418 (102 
Stat. 1251), further amended by sec. 13803(a)(1)(A) of Public Law 103-
66 (107 Stat. 668).
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    (c) \236\ (1) Except as provided in paragraph (2), no 
assistance, vouchers, allowances, or other payments may be 
provided under chapter 2, and no technical assistance may by 
provided under chapter 3, after September 30, 1998.
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    \236\ Sec. 13803(a)(1)(B) of Public Law 103-66 (107 Stat. 668) 
added subsec. (c). Sec. 505 of the NAFTA Implementation Act (Public Law 
103-182; 107 Stat. 2152) struck out ``No'' at the beginning of the 
subsection, inserted ``(1) Except as provided in paragraph (2), no''; 
and added para. (2).
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    (2) \236\ (A) Except as provided in subparagraph (B), no 
assistance, vouchers, allowances, or other payments may be 
provided under subchapter D of chapter 2 after the day that is 
the earlier of--
          (i) September 30, 1998, or
          (ii) the date on which legislation, establishing a 
        program providing dislocated workers with comprehensive 
        assistance substantially similar to the assistance 
        provided by such subchapter D, becomes effective.
    (B) Notwithstanding subparagraph (A), if, on or before the 
day described in subparagraph (A), a worker--
          (i) is certified as eligible to apply for assistance, 
        under subchapter D of chapter 2; and
          (ii) is otherwise eligible to receive assistance in 
        accordance with section 250,
such worker shall continue to be eligible to receive such 
assistance for any week for which the worker meets the 
eligibility requirements of such section.

SEC. 286.\237\ TRADE ADJUSTMENT ASSISTANCE TRUST FUND.

  (a) There is hereby established within the Treasury of the 
United States a trust fund to be known as the Trade Adjustment 
Assistance Trust Fund (hereinafter in this section referred to 
as the ``Trust Fund''), consisting of such amounts as may be 
transferred or credited to the Trust Fund as provided in this 
section or appropriated to the Trust Fund under subsection (e).
---------------------------------------------------------------------------
    \237\ 19 U.S.C. 2396. Sec. 1427(a) of Public Law 100-418 (102 Stat. 
1251) added sec. 286.
    Sec. 1430(c) of Public Law 100-418 (102 Stat. 1257) further stated 
that ``the amendments made by section 1427 shall take effect on the 
first date on which the amendment made by section 1428(b) applies with 
respect to any articles.''.
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  (b)(1) The Secretary of the Treasury shall transfer to the 
Trust Fund out of the general fund of the Treasury of the 
United States amounts determined by the Secretary of the 
Treasury to be equivalent to the amounts received into such 
general fund that are attributable to the duty imposed by 
section 287.
  (2) The amounts which are required to be transferred under 
paragraph (1) shall be transferred at least quarterly from the 
general fund of the Treasury of the United States to the Trust 
Fund on the basis of estimates made by the Secretary of the 
Treasury of the amounts referred to in paragraph (1) that are 
received into the Treasury. Proper adjustments shall be made in 
the amounts subsequently transferred to the extent prior 
estimates were in excess of, or less than, the amounts required 
to be transferred.
  (c)(1) The Secretary of the Treasury shall be the trustee of 
the Trust Fund, and shall submit an annual report to the 
Committee on Finance of the Senate and the Committee on Ways 
and Means of the House of Representatives on the financial 
condition and the results of the operations of the Trust Fund 
during the fiscal year preceding the fiscal year in which such 
report is submitted and on the expected condition and 
operations of the Trust Fund during the fiscal year in which 
such report is submitted and the 5 fiscal years succeeding such 
fiscal year. Such report shall be printed as a House document 
of the session of the Congress to which the report is made.
  (2)(A) The Secretary of the Treasury shall invest such 
portion of the Trust Fund as is not, in his judgment, required 
to meet current withdrawals. Such investments may be made only 
in interestbearing obligations of the United States. For such 
purpose, such obligations may be acquired--
          (i) on original issue at the issue price, or
          (ii) by purchase of outstanding obligations at the 
        market price.
  (B) Any obligation acquired by the Trust Fund may be sold by 
the Secretary of the Treasury at the market price.
  (C) The interest on, and the proceeds from the sale or 
redemption of, any obligations held in the Trust Fund shall be 
credited to and form a part of the Trust Fund.
  (d)(1) Amounts in the Trust Fund shall be available--
          (A) for the payment of drawbacks and refunds of the 
        duty imposed by section 287 that are allowable under 
        any other provision of Federal law,
          (B) as provided in appropriation Acts--
                  (i) for expenditures that are required to 
                carry out the provisions of chapters 2 and 3, 
                including administrative costs, and
                  (ii) for payments required under subsection 
                (e)(2).
  (2) None of the amounts in the Trust Fund shall be available 
for the payment of loans guaranteed under chapter 3 or for any 
other expenses relating to financial assistance provided under 
chapter 3.
  (3)(A) If the total amount of funds expended in any fiscal 
year to carry out chapters 2 and 3 (including administrative 
costs) exceeds an amount equal to 0.15 percent of the total 
value of all articles upon which a duty was imposed by section 
287 during the preceding 1-year period, the Secretary of Labor 
and the Secretary of Commerce (in consultation with the 
Secretary of the Treasury) shall, notwithstanding any provision 
of chapter 2 or 3, make a pro rata reduction in--
          (i) the amounts of the trade readjustment allowances 
        that are paid under part I of subchapter B of chapter 
        2, and
          (ii) the assistance provided under chapter 3,
to ensure (based on estimates of the amount of funds that will 
be necessary to carry out chapters 2 and 3, and of the amount 
of revenue that will be raised by section 287, during the 
remainder of such fiscal year and for the fiscal year 
succeeding such fiscal year) that all workers and firms 
eligible for assistance under chapter 2 or 3 receive some 
assistance under chapter 2 or 3 and that the expenditures made 
in providing such assistance during the remainder of such 
fiscal year and the fiscal year succeeding such fiscal year do 
not exceed the amount of funds available in the Trust Fund to 
pay for such expenditures.
  (B) No reduction may be made under this paragraph in the 
amount of any trade readjustment allowance payable under part I 
of subchapter B of chapter 2 to any worker who received such 
trade readjustment allowance under such part for the week 
preceding the first week for which such reduction is otherwise 
being made under this paragraph.
  (C) If a pro rata reduction made under subparagraph (A) is in 
effect at the close of a fiscal year, the Secretary of Labor 
and the Secretary of Commerce, in consultation with the 
Secretary of the Treasury, may adjust or modify such reduction 
at the beginning of the fiscal year succeeding such fiscal 
year, based on estimates of the amount of funds that will be 
necessary to carry out chapters 2 and 3, and of the amount of 
revenue that will be raised by section 287, during that 
succeeding fiscal year.
  (D) Any pro rata reduction made under subparagraph (A), and 
any pro rata reduction adjusted or modified under subparagraph 
(C), shall cease to apply after the week in which--
          (i) a 1-year period ends during which the total 
        amount of funds that would have been expended to carry 
        out chapters 2 and 3, including administrative costs, 
        if such reduction were not in effect did not exceed an 
        amount equal to 0.15 percent of the total value of all 
        articles upon which a duty was imposed during such 1-
        year period, or
          (ii) the Secretary of Labor and the Secretary of 
        Commerce, in consultation with the Secretary of the 
        Treasury, determine that the amount of funds available 
        in the Trust Fund are sufficient to carry out chapters 
        2 and 3 without such reduction.
  (e)(1)(A) There are authorized to be appropriated to the 
Trust Fund, as repayable advances, such sums as may from time 
to time be necessary to make the expenditures described in 
subsection (d)(1)(B).
  (B) Any advance appropriated to the Trust Fund under the 
authority of subparagraph (A) may be paid to the Trust Fund 
only to the extent that the total amount of advances paid 
during the fiscal year to the Trust Fund from any appropriation 
authorized under subparagraph (A) that are outstanding after 
such advance is paid to the Trust Fund does not exceed the 
lesser of--
          (i) the excess of--
                  (I) the total amount of funds that the 
                Secretary of the Treasury (in consultation with 
                the Secretary of Labor and the Secretary of 
                Commerce) estimates will be necessary for the 
                payments and expenditures described in 
                subparagraphs (A) and (B) of subsection (d)(1) 
                for such fiscal year, over
                  (II) the total amount of funds that the 
                Secretary of the Treasury estimates will be 
                available in the Trust Fund during the fiscal 
                year (determined without regard to any advances 
                made under this subsection during such fiscal 
                year), or
          (ii) the excess of--
                  (I) an amount equal to 0.15 percent of the 
                total value of all articles upon which the 
                Secretary of the Treasury estimates a duty will 
                be imposed by section 287 during such fiscal 
                year, over
                  (II) the amount described in clause (i)(II).
  (2) Advances made to the Trust Fund from appropriations 
authorized under paragraph (1)(A) shall be repaid, and interest 
on such advances shall be paid, to the general fund of the 
Treasury of the United States when the Secretary of the 
Treasury determines that sufficient funds are available in the 
Trust Fund for such purposes.
  (3) Interest on advances made from appropriations authorized 
under paragraph (1)(A) shall be at a rate determined by the 
Secretary of the Treasury (as of the close of the calendar 
month preceding the month in which the advance is made) to be 
equal to the current average market yield on outstanding 
marketable obligations of the United States with remaining 
periods to maturity comparable to the anticipated period during 
which the advance will be outstanding.

SEC. 287.\238\ IMPOSITION OF ADDITIONAL FEE.

  (a) In addition to any other fee imposed by law, there is 
hereby imposed a fee on all articles entered, or withdrawn from 
warehouse, for consumption in the customs territory of the 
United States during any fiscal year.
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    \238\ 19 U.S.C. 2397. Sec. 1428(b) of Public Law 100-418 (102 Stat. 
1255) added sec. 287.
    Sec. 1430(b) of Public Law 100-418 stated the following regarding 
additional fee:
    ``(b) Additional Fee.--
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          ``(1) Except as otherwise provided in this subsection, the 
        amendment made by section 1428(b) shall apply (if at all) to 
        any article entered, or withdrawn from warehouse for 
        consumption, after the date that is 30 days after the earlier 
        of--

                  ``(A) the date on which the President submits to the 
                Congress the written statement described in section 
                1428(a)(3)(A),
                  ``(B) the date that is 2 years after the date of 
                enactment of this Act, or
                  ``(C) the date of the enactment of a disapproval 
                resolution that passes both Houses of the Congress 
                within the 90-day period beginning on the date that is 
                2 years after the date of enactment of this Act.

          ``(2) If the President determines on the date that is 2 years 
        after the date of enactment of this Act that the fee imposed by 
        the amendment made by section 1428(b) is not in the national 
        economic interest, subparagraph (B) of paragraph (1) shall not 
        be taken into account in applying the provisions of paragraph 
        (1).
          ``(3) The amendment made by section 1428(b) shall apply (if 
        at all) to the products of any foreign country described in 
        section 1428(a)(1)(B) that are entered, or withdrawn from 
        warehouse for consumption, after the later of--

                  ``(A) the first date on which the fee imposed by such 
                amendment applies with respect to products of foreign 
                countries that are not described in section 
                1428(a)(1)(B), or
                  ``(B) the date on which the President submits to the 
                Congress the written statement described in section 
                1428(a)(3)(B) certifying the consent of such foreign 
                country to the imposition of the fee.''.
  (b)(1) The rate of the fee imposed by subsection (a) shall be 
a uniform ad valorem rate proclaimed by the President that is 
equal to the lesser of--
          (A) 0.15 percent, or
          (B) the percentage that is sufficient to provide the 
        funding necessary to--
                  (i) carry out the provisions of chapters 2 
                and 3, and
                  (ii) repay any advances made under section 
                286(e).
  (2) The President shall issue a proclamation setting forth 
the rate of the fee imposed by subsection (a) by no later than 
the date that is 15 days before the first date on which a fee 
is imposed under subsection (a).
  (3)(A) For each fiscal year succeeding the first fiscal year 
in which a fee is imposed under subsection (a), the President 
shall issue a proclamation adjusting the rate of the fee 
imposed by subsection (a) during such fiscal year to the ad 
valorem rate that meets the requirements of paragraph (1) for 
such fiscal year.
  (B) Any proclamation issued under subparagraph (A) for a 
fiscal year shall be issued at least 30 days before the 
beginning of such fiscal year.
  (c)(1) Except as otherwise provided in this subsection, duty-
free treatment provided with respect to any article under any 
other provision of law shall not prevent the imposition of a 
fee with respect to such article by subsection (a).
  (2) No fee shall be imposed by subsection (a) with respect 
to--
          (A) any article (other than an article provided for 
        in item 870.40, 870.45, 870.50, 870.55, or 870.60 of 
        the Tariff Schedules of the United States) that is 
        treated as duty-free under schedule 8 of the Tariff 
        Schedules of the United States, or
          (B) any article which has a value of less than 
        $1,000.

             TITLE III--RELIEF FROM UNFAIR TRADE PRACTICES

 Chapter 1--Enforcement of United States Rights Under Trade Agreements 
         and Response to Certain Foreign Trade Practices \226\

SEC. 301.\239\,\240\ ACTIONS BY UNITED STATES TRADE 
                    REPRESENTATIVE.

  (a) Mandatory Action.--
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    \239\ Sec. 901 of the Trade Agreements Act of 1979 (Public Law 96-
39; 93 Stat. 295) amended and restated Chapter 1. Former secs. 301 and 
302, entitled ``Responses to Certain Trade Practices of Foreign 
Governments'' and ``Procedures for Congressional Disapproval of Certain 
Actions Taken Under Section 301,'' respectively, were replaced while 
new secs. 303-306 were added.
    Sec. 1301(a) of the Omnibus Trade and Competitiveness Act of 1988 
(Public Law 100-418; 102 Stat. 1164) comprehensively amended Chapter 1. 
Sec. 1301(c) of that Act stated the following:
    ``(c) Effective Date.--The amendments made by this section shall 
apply to--
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          ``(1) petitions filed, and investigations initiated, under 
        section 302 of the Trade Act of 1974 on or after the date of 
        the enactment of this Act; and
          ``(2) petitions filed, and investigations initiated, before 
        the date of enactment of this Act, if by that date no decision 
        had been made under section 304 regarding the petition or 
        investigation.''.
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    \240\ 19 U.S.C. 2411.
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          (1) If the United States Trade Representative 
        determines under section 304(a)(1) that--
                  (A) the rights of the United States under any 
                trade agreement are being denied; or
                  (B) an act, policy, or practice of a foreign 
                country--
                          (i) violates, or is inconsistent 
                        with, the provisions of, or otherwise 
                        denies benefits to the United States 
                        under, any trade agreement, or
                          (ii) is unjustifiable and burdens or 
                        restricts United States commerce;
        the Trade Representative shall take action authorized 
        in subsection (c), subject to the specific direction, 
        if any, of the President regarding any such action, and 
        shall take all other appropriate and feasible action 
        within the power of the President that the President 
        may direct the Trade Representative to take under this 
        subsection, to enforce such rights or to obtain the 
        elimination of such act, policy, or practice. Actions 
        may be taken that are within the power of the President 
        with respect to trade in any goods or services, or with 
        respect to any other area of pertinent relations with 
        the foreign country.\241\
---------------------------------------------------------------------------
    \241\ Sec. 314(a)(1) of Public Law 103-465 (108 Stat. 4939) 
inserted the sentence ``Actions may be taken that are within the power 
of the President with respect to trade in any goods or services, or 
with respect to any other area of pertinent relations with the foreign 
country.''
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          (2) The Trade Representative is not required to take 
        action under paragraph (1) in any case in which-- \242\
---------------------------------------------------------------------------
    \242\ Executive Order 13155 of May 10, 2000 (65 F.R. 30521) stated, 
in part:
    ``the United States shall not seek, through negotiations or 
otherwise, the revocation or revision of any intellectual property law 
or policy of a beneficiary sub-Saharan African country, as determined 
by the President, that regulates HIV/AIDS or medical technologies if 
the law or policy of the country:
---------------------------------------------------------------------------

          ``(1) promotes access to HIV/AIDS pharmaceuticals or medical 
        technologies for affected populations in that country; and
          ``(2) provides adequate and effective intellectual property 
        protection consistent with the Agreement on Trade-Related 
        Aspects of Intellectual Property Rights (TRIPS Agreement) 
        referred to in section 101(d)(15) of the Uruguay Round 
        Agreements Act (19 U.S.C. 3511(d)15).''
---------------------------------------------------------------------------
    The full text of Executive Order 13155 can be found on page 863.
---------------------------------------------------------------------------
                  (A) the Dispute Settlement Body (as defined 
                in section 121(5) of the Uruguay Round 
                Agreements Act) has adopted a report,\243\ or a 
                ruling issued under the formal dispute 
                settlement proceeding provided under any other 
                trade agreement finds, that--
---------------------------------------------------------------------------
    \243\ Sec. 621(a)(9) of Public Law 103-465 (108 Stat. 4993) struck 
out ``the Contracting Parties to the General Agreement on Tariffs and 
Trade have determined, a panel of experts has reported to the 
Contracting Parties,'' and inserted in lieu thereof ``the Dispute 
Settlement Body (as defined in section 121(5) of the Uruguay Round 
Agreements Act) has adopted a report,''.
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                          (i) the rights of the United States 
                        under a trade agreement are not being 
                        denied, or
                          (ii) the act, policy, or practice--
                                  (I) is not a violation of, or 
                                inconsistent with, the rights 
                                of the United States, or
                                  (II) does not deny, nullify, 
                                or impair benefits to the 
                                United States under any trade 
                                agreement; or
                  (B) the Trade Representative finds that--
                          (i) the foreign country is taking 
                        satisfactory measures to grant the 
                        rights of the United States under a 
                        trade agreement,
                          (ii) the foreign country has--
                                  (I) agreed to eliminate or 
                                phase out the act, policy, or 
                                practice, or
                                  (II) agreed to an imminent 
                                solution to the burden or 
                                restriction on United States 
                                commerce that is satisfactory 
                                to the Trade Representative,
                          (iii) it is impossible for the 
                        foreign country to achieve the results 
                        described in clause (i) or (ii), as 
                        appropriate, but the foreign country 
                        agrees to provide to the United States 
                        compensatory trade benefits that are 
                        satisfactory to the Trade 
                        Representative,
                          (iv) in extraordinary cases, where 
                        the taking of action under this 
                        subsection would have an adverse impact 
                        on the United States economy 
                        substantially out of proportion to the 
                        benefits of such action, taking into 
                        account the impact of not taking such 
                        action on the credibility of the 
                        provisions of this chapter, or
                          (v) the taking of action under this 
                        subsection would cause serious harm to 
                        the national security of the United 
                        States.
          (3) Any action taken under paragraph (1) to eliminate 
        an act, policy, or practice shall be devised so as to 
        affect goods or services of the foreign country in an 
        amount that is equivalent in value to the burden or 
        restriction being imposed by that country on United 
        States commerce.
  (b) Discretionary Action.--If the Trade Representative 
determines under section 304(a)(1) that--
          (1) an act, policy, or practice of a foreign country 
        is unreasonable or discriminatory and burdens or 
        restricts United States commerce, and
          (2) action by the United States is appropriate, the 
        Trade Representative shall take all appropriate and 
        feasible action authorized under subsection (c), 
        subject to the specific direction, if any, of the 
        President regarding any such action, and all other 
        appropriate and feasible action within the power of the 
        President that the President may direct the Trade 
        Representative to take under this subsection, to obtain 
        the elimination of that act, policy, or practice. 
        Actions may be taken that are within the power of the 
        President with respect to trade in any goods or 
        services, or with respect to any other area of 
        pertinent relations with the foreign country.\244\
---------------------------------------------------------------------------
    \244\ Sec. 314(a)(1) of Public Law 103-465 (108 Stat. 4939) 
inserted the sentence ``Actions may be taken that are within the power 
of the President with respect to trade in any goods or services, or 
with respect to any other area of pertinent relations with the foreign 
country.''.
---------------------------------------------------------------------------
  (c) Scope of Authority.--
          (1) For purposes of carrying out the provisions of 
        subsection (a) or (b), the Trade Representative is 
        authorized to--
                  (A) suspend, withdraw, or prevent the 
                application of, benefits of trade agreement 
                concessions to carry out a trade agreement with 
                the foreign country referred to in such 
                subsection;
                  (B) impose duties or other import 
                restrictions on the goods of, and, 
                notwithstanding any other provision of law, 
                fees or restrictions on the services of, such 
                foreign country for such time as the Trade 
                Representative determines appropriate; \240\
---------------------------------------------------------------------------
    \245\ Sec. 314(b)(1) of Public Law 103-465 (108 Stat. 4939) struck 
out ``or'' at the end of subpara. (B), redesignated subpara. (C) as 
subpara. (D), and added a new subpara. (C).
---------------------------------------------------------------------------
                  (C) \245\ in a case in which the act, policy, 
                or practice also fails to meet the eligibility 
                criteria for receiving duty-free treatment 
                under subsections (b) and (c) of section 502 of 
                this Act, subsections (b) and (c) of section 
                212 of the Caribbean Basin Economic Recovery 
                Act (19 U.S.C. 2702(b) and (c)), or subsections 
                (c) and (d) of section 203 of the Andean Trade 
                Preference Act (19 U.S.C. 3202(c) and (d)), 
                withdraw, limit, or suspend such treatment 
                under such provisions, notwithstanding the 
                provisions of subsection (a)(3) of this 
                section; or
                  (D) \245\ enter into binding agreements with 
                such foreign country that commit such foreign 
                country to--
                          (i) eliminate, or phase out, the act, 
                        policy, or practice that is the subject 
                        of the action to be taken under 
                        subsection (a) or (b),
                          (ii) eliminate any burden or 
                        restriction on United States commerce 
                        resulting from such act, policy, or 
                        practice, or
                          (iii) provide the United States with 
                        compensatory trade benefits that--
                                  (I) are satisfactory to the 
                                Trade Representative, and
                                  (II) meet the requirements of 
                                paragraph (4).
          (2)(A) Notwithstanding any other provision of law 
        governing any service sector access authorization, and 
        in addition to the authority conferred in paragraph 
        (1), the Trade Representative may, for purposes of 
        carrying out the provisions of subsection (a) or (b)--
                  (i) restrict, in the manner and to the extent 
                the Trade Representative determines 
                appropriate, the terms and conditions of any 
                such authorization, or
                  (ii) deny the issuance of any such 
                authorization.
          (B) Actions described in subparagraph (A) may only be 
        taken under this section with respect to service sector 
        access authorizations granted, or applications therefor 
        pending, on or after the date on which--
                  (i) a petition is filed under section 302(a), 
                or
                  (ii) a determination to initiate an 
                investigation is made by the Trade 
                Representative under section 302(b).
          (C) Before the Trade Representative takes any action 
        under this section involving the imposition of fees or 
        other restrictions on the services of a foreign 
        country, the Trade Representative shall, if the 
        services involved are subject to regulation by any 
        agency of the Federal Government or of any State, 
        consult, as appropriate, with the head of the agency 
        concerned.
          (3) The actions the Trade Representative is 
        authorized to take under subsection (a) or (b) may be 
        taken against any goods or economic sector--
                  (A) on a nondiscriminatory basis or solely 
                against the foreign country described in such 
                subsection, and
                  (B) without regard to whether or not such 
                goods or economic sector were involved in the 
                act, policy, or practice that is the subject of 
                such action.
          (4) Any trade agreement described in paragraph 
        (1)(D)(iii) \246\ shall provide compensatory trade 
        benefits that benefit the economic sector which 
        includes the domestic industry that would benefit from 
        the elimination of the act, policy, or practice that is 
        the subject of the action to be taken under subsection 
        (a) or (b), or benefit the economic sector as closely 
        related as possible to such economic sector, unless--
---------------------------------------------------------------------------
    \246\ Sec. 20(c)(4) of Public Law 104-295 (110 Stat. 3528) struck 
out ``paragraph (1)(C)(iii)'' and inserted in lieu thereof ``paragraph 
(1)(D)(iii)''.
---------------------------------------------------------------------------
                  (A) the provision of such trade benefits is 
                not feasible, or
                  (B) trade benefits that benefit any other 
                economic sector would be more satisfactory than 
                such trade benefits.
          (5) \247\ If the Trade Representative determines that 
        actions to be taken under subsection (a) or (b) are to 
        be in the form of import restrictions, the Trade 
        Representative shall--
---------------------------------------------------------------------------
    \247\ Sec. 314(a)(2) of Public Law 103-465 (108 Stat. 4939) amended 
para. (5) through subpara. (A).
---------------------------------------------------------------------------
                  (A) \247\ give preference to the imposition 
                of duties over the imposition of other import 
                restrictions, and
                  (B) if an import restriction other than a 
                duty is imposed, consider substituting, on an 
                incremental basis, an equivalent duty for such 
                other import restriction.
          (6) Any action taken by the Trade Representative 
        under this section with respect to export targeting 
        shall, to the extent possible, reflect the full benefit 
        level of the export targeting to the beneficiary over 
        the period during which the action taken has an effect.
  (d) Definitions and Special Rules.--For purposes of this 
chapter--
          (1) The term ``commerce'' includes, but is not 
        limited to--
                  (A) services (including transfers of 
                information) associated with international 
                trade, whether or not such services are related 
                to specific goods, and
                  (B) foreign direct investment by United 
                States persons with implications for trade in 
                goods or services.
          (2) An act, policy, or practice of a foreign country 
        that burdens or restricts United States commerce may 
        include the provision, directly or indirectly, by that 
        foreign country of subsidies for the construction of 
        vessels used in the commercial transportation by water 
        of goods between foreign countries and the United 
        States.
          (3)(A) An act, policy, or practice is unreasonable if 
        the act, policy, or practice, while not necessarily in 
        violation of, or inconsistent with, the international 
        legal rights of the United States, is otherwise unfair 
        and inequitable.
          (B) Acts, policies, and practices that are 
        unreasonable include, but are not limited to, any act, 
        policy, or practice, or any combination of acts, 
        policies, or practices, which--
                  (i) denies fair and equitable--
                          (I) opportunities for the 
                        establishment of an enterprise,
                          (II) \248\ provision of adequate and 
                        effective protection of intellectual 
                        property rights notwithstanding the 
                        fact that the foreign country may be in 
                        compliance with the specific 
                        obligations of the Agreement on Trade-
                        Related Aspects of Intellectual 
                        Property Rights referred to in section 
                        101(d)(15) of the Uruguay Round 
                        Agreements Act,
---------------------------------------------------------------------------
    \248\ Sec. 314(c)(I) of Public Law 103-465 (108 Stat. 4940) amended 
subclauses (II) and (III), and added a new subclause (IV).
---------------------------------------------------------------------------
                          (III) \248\ nondiscriminatory market 
                        access opportunities for United States 
                        persons that rely upon intellectual 
                        property protection, or
                          (IV) \248\ market opportunities, 
                        including the toleration by a foreign 
                        government of systematic 
                        anticompetitive activities by 
                        enterprises or among enterprises in the 
                        foreign country that have the effect of 
                        restricting, on a basis that is 
                        inconsistent with commercial 
                        considerations, access of United States 
                        goods or services to a foreign market,
                  (ii) constitutes export targeting, or
                  (iii) constitutes a persistent pattern of 
                conduct that--
                          (I) denies workers the right of 
                        association,
                          (II) denies workers the right to 
                        organize and bargain collectively,
                          (III) permits any form of forced or 
                        compulsory labor,
                          (IV) fails to provide a minimum age 
                        for the employment of children, or
                          (V) fails to provide standards for 
                        minimum wages, hours of work, and 
                        occupational safety and health of 
                        workers.
          (C)(i) Acts, policies, and practices of a foreign 
        country described in subparagraph (B)(iii) shall not be 
        treated as being unreasonable if the Trade 
        Representative determines that--
                  (I) the foreign country has taken, or is 
                taking, actions that demonstrate a significant 
                and tangible overall advancement in providing 
                throughout the foreign country (including any 
                designated zone within the foreign country) the 
                rights and other standards described in the 
                subclauses of subparagraph (B)(iii), or
                  (II) such acts, policies, and practices are 
                not inconsistent with the level of economic 
                development of the foreign country.
          (ii) The Trade Representative shall publish in the 
        Federal Register any determination made under clause 
        (i), together with a description of the facts on which 
        such determination is based.
          (D) For purposes of determining whether any act, 
        policy, or practice is unreasonable, reciprocal 
        opportunities in the United States for foreign 
        nationals and firms shall be taken into account, to the 
        extent appropriate.
          (E) The term ``export targeting'' means any 
        government plan or scheme consisting of a combination 
        of coordinated actions (whether carried out severally 
        or jointly) that are bestowed on a specific enterprise, 
        industry, or group thereof, the effect of which is to 
        assist the enterprise, industry, or group to become 
        more competitive in the export of a class or kind of 
        merchandise.
          (F) \249\ (i) For the purposes of subparagraph 
        (B)(i)(II), adequate and effective protection of 
        intellectual property rights includes adequate and 
        effective means under the laws of the foreign country 
        for persons who are not citizens or nationals of such 
        country to secure, exercise, and enforce rights and 
        enjoy commercial benefits relating to patents, 
        trademarks, copyrights and related rights, mask works, 
        trade secrets, and plant breeder's rights.
---------------------------------------------------------------------------
    \249\ Sec. 314(c)(2) of Public Law 103-465 (108 Stat. 4940) added 
subpara. (F).
---------------------------------------------------------------------------
          (ii) For purposes of subparagraph (B)(i)(IV), the 
        denial of fair and equitable nondiscriminatory market 
        access opportunities includes restrictions on market 
        access related to the use, exploitation, or enjoyment 
        of commercial benefits derived from exercising 
        intellectual property rights in protected works or 
        fixations or products embodying protected works.
          (4)(A) An act, policy, or practice is unjustifiable 
        if the act, policy, or practice is in violation of, or 
        inconsistent with, the international legal rights of 
        the United States.
          (B) Acts, policies, and practices that are 
        unjustifiable include, but are not limited to, any act, 
        policy, or practice described in subparagraph (A) which 
        denies national or most-favored-nation treatment or the 
        right of establishment or protection of intellectual 
        property rights.
          (5) Acts, policies, and practices that are 
        discriminatory include, when appropriate, any act, 
        policy, and practice which denies national or most-
        favored-nation treatment to United States goods, 
        services, or investment.
          (6) The term ``service sector access authorization'' 
        means any license, permit, order, or other 
        authorization, issued under the authority of Federal 
        law, that permits a foreign supplier of services access 
        to the United States market in a service sector 
        concerned.
          (7) The term ``foreign country'' includes any foreign 
        instrumentality. Any possession or territory of a 
        foreign country that is administered separately for 
        customs purposes shall be treated as a separate foreign 
        country.
          (8) The term ``Trade Representative'' means the 
        United States Trade Representative.
          (9) The term ``interested persons'', only for 
        purposes of sections 302(a)(4)(B), 304(b)(1)(A), 
        306(c)(2), and 307(a)(2), includes, but is not limited 
        to, domestic firms and workers, representatives of 
        consumer interests, United States product exporters, 
        and any industrial user of any goods or services that 
        may be affected by actions taken under subsection (a) 
        or (b).

SEC. 302.\250\ INITIATION OF INVESTIGATIONS.

  (a) Petitions.--
---------------------------------------------------------------------------
    \250\ 19 U.S.C. 2412.
---------------------------------------------------------------------------
          (1) Any interested person may file a petition with 
        the Trade Representative requesting that action be 
        taken under section 301 and setting forth the 
        allegations in support of the request.
          (2) The Trade Representative shall review the 
        allegations in any petition filed under paragraph (1) 
        and, not later than 45 days after the date on which the 
        Trade Representative received the petition, shall 
        determine whether to initiate an investigation.
          (3) If the Trade Representative determines not to 
        initiate an investigation with respect to a petition, 
        the Trade Representative shall inform the petitioner of 
        the reasons therefor and shall publish notice of the 
        determination, together with a summary of such reasons, 
        in the Federal Register.
          (4) If the Trade Representative makes an affirmative 
        determination under paragraph (2) with respect to a 
        petition, the Trade Representative shall initiate an 
        investigation regarding the issues raised in the 
        petition. The Trade Representative shall publish a 
        summary of the petition in the Federal Register and 
        shall, as soon as possible, provide opportunity for the 
        presentation of views concerning the issues, including 
        a public hearing--
                  (A) within the 30-day period beginning on the 
                date of the affirmative determination (or on a 
                date after such period if agreed to by the 
                petitioner) if a public hearing within such 
                period is requested in the petition, or
                  (B) at such other time if a timely request 
                therefor is made by the petitioner or by any 
                interested person.
  (b) Initiation of Investigation by Means Other Than 
Petition.--
          (1)(A) \251\ If the Trade Representative determines 
        that an investigation should be initiated under this 
        chapter with respect to any matter in order to 
        determine whether the matter is actionable under 
        section 301, the Trade Representative shall publish 
        such determination in the Federal Register and shall 
        initiate such investigation.
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    \251\ The U.S. Trade Representative initiated such an investigation 
with respect certain acts, policies and practices of the People's 
Republic of China on October 10, 1991 (56 F.R. 51943; Oct. 16, 1991).
---------------------------------------------------------------------------
          (B) The Trade Representative shall, before making any 
        determination under subparagraph (A), consult with 
        appropriate committees established pursuant to section 
        135.
          (2)(A) By no later than the date that is 30 days 
        after the date on which a country is identified under 
        section 182(a)(2), the Trade Representative shall 
        initiate an investigation under this chapter with 
        respect to any act, policy, or practice of that country 
        that--
                  (i) was the basis for such identification, 
                and
                  (ii) is not at that time the subject of any 
                other investigation or action under this 
                chapter.
          (B) The Trade Representative is not required under 
        subparagraph (A) to initiate an investigation under 
        this chapter with respect to any act, policy, or 
        practice of a foreign country if the Trade 
        Representative determines that the initiation of the 
        investigation would be detrimental to United States 
        economic interests.
          (C) If the Trade Representative makes a determination 
        under subparagraph (B) not to initiate an 
        investigation, the Trade Representative shall submit to 
        the Congress a written report setting forth, in 
        detail--
                  (i) the reasons for the determination, and
                  (ii) the United States economic interests 
                that would be adversely affected by the 
                investigation.
          (D) The Trade Representative shall, from time to 
        time, consult with the Register of Copyrights, the 
        Under Secretary of Commerce for Intellectual Property 
        and Director of the United States Patent and Trademark 
        Office,\252\ and other appropriate officers of the 
        Federal Government, during any investigation initiated 
        under this chapter by reason of subparagraph (A).
---------------------------------------------------------------------------
    \252\ Sec. 4732(b)(9) of Public Law 106-113 struck out 
``Commissioner of Patents and Trademarks'' and inserted in lieu thereof 
``Under Secretary of Commerce for Intellectual Property and Director of 
the United States Patent and Trademark Office.''
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  (c) Discretion.--In determining whether to initiate an 
investigation under subsection (a) or (b) of any act, policy, 
or practice that is enumerated in any provision of section 
301(d), the Trade Representative shall have discretion to 
determine whether action under section 301 would be effective 
in addressing such act, policy, or practice.

SEC. 303.\253\ CONSULTATION UPON INITIATION OF INVESTIGATION.

  (a) In General.--
---------------------------------------------------------------------------
    \253\ 19 U.S.C. 2413.
---------------------------------------------------------------------------
          (1) On the date on which an investigation is 
        initiated under section 302, the Trade Representative, 
        on behalf of the United States, shall request 
        consultations with the foreign country concerned 
        regarding the issues involved in such investigation.
          (2) If the investigation initiated under section 302 
        involves a trade agreement and a mutually acceptable 
        resolution is not reached before the earlier of--
                  (A) the close of the consultation period, if 
                any, specified in the trade agreement, or
                  (B) the 150th day after the day on which 
                consultation was commenced,
        the Trade Representative shall promptly request 
        proceedings on the matter under the formal dispute 
        settlement procedures provided under such agreement.
          (3) The Trade Representative shall seek information 
        and advice from the petitioner (if any) and the 
        appropriate committees established pursuant to section 
        135 in preparing United States presentations for 
        consultations and dispute settlement proceedings.
  (b) Delay of Request for Consultations.--
          (1) Notwithstanding the provisions of subsection 
        (a)--
                  (A) the United States Trade Representative 
                may, after consulting with the petitioner (if 
                any), delay for up to 90 days any request for 
                consultations under subsection (a) for the 
                purpose of verifying or improving the petition 
                to ensure an adequate basis for consultation, 
                and
                  (B) if such consultations are delayed by 
                reason of subparagraph (A), each time 
                limitation under section 304 shall be extended 
                for the period of such delay.
          (2) The Trade Representative shall--
                  (A) publish notice of any delay under 
                paragraph (1) in the Federal Register, and
                  (B) report to Congress on the reasons for 
                such delay in the report required under section 
                309(a)(3).

SEC. 304.\254\ DETERMINATIONS BY THE TRADE REPRESENTATIVE.

  (a) In General.--
---------------------------------------------------------------------------
    \254\ 19 U.S.C. 2414.
---------------------------------------------------------------------------
          (1) On the basis of the investigation initiated under 
        section 302 and the consultations (and the proceedings, 
        if applicable) under section 303, the Trade 
        Representative shall--
                  (A) determine whether--
                          (i) the rights to which the United 
                        States is entitled under any trade 
                        agreement are being denied, or
                          (ii) any act, policy, or practice 
                        described in subsection (a)(1)(B) or 
                        (b)(1) of section 301 exists, and
                  (B) if the determination made under 
                subparagraph (A) is affirmative, determine what 
                action, if any, the Trade Representative should 
                take under subsection (a) or (b) of section 
                301.
          (2) The Trade Representative shall make the 
        determinations required under paragraph (1) on or 
        before--
                  (A) in the case of an investigation involving 
                a trade agreement,\255\ the earlier of--
---------------------------------------------------------------------------
    \255\ Sec. 314(d)(1) of Public Law 103-465 (108 Stat. 4940) struck 
out ``(other than the agreement on subsidies and countervailing 
measures described in section 2(c)(5) of the Trade Agreements Act of 
1979)'' after ``a trade agreement''.
---------------------------------------------------------------------------
                          (i) the date that is 30 days after 
                        the date on which the dispute 
                        settlement procedure is concluded, or
                          (ii) the date that is 18 months after 
                        the date on which the investigation is 
                        initiated, or
                  (B) in all cases not described in 
                subparagraph (A) or paragraph (3), the date 
                that is 12 months after the date on which the 
                investigation is initiated.
          (3)(A) If an investigation is initiated under this 
        chapter by reason of section 302(b)(2) and the Trade 
        Representative does not consider that a trade 
        agreement, including the Agreement on Trade-Related 
        Aspects of Intellectual Property Rights \256\ (referred 
        to in section 101(d)(15) of the Uruguay Round 
        Agreements Act), is involved or \257\ does not make a 
        determination described in subparagraph (B) with 
        respect to such investigation, the Trade Representative 
        shall make the determinations required under paragraph 
        (1) with respect to such investigation by no later than 
        the date that is 6 months after the date on which such 
        investigation is initiated.
---------------------------------------------------------------------------
    \256\ Sec. 20(c)(6) of Public Law 104-295 (110 Stat. 3528) inserted 
``Rights'' after ``Intellectual Property''.
    \257\ Sec. 314(d)(2)(A) of Public Law 103-465 (108 Stat. 4940) 
inserted ``does not consider that a trade agreement, including the 
Agreement on Trade-Related Aspects of Intellectual Property (referred 
to in section 101(d)(15) of the Uruguay Round Agreements Act), is 
involved or'' after ``Trade Representative''.
---------------------------------------------------------------------------
          (B) If the Trade Representative determines with 
        respect to an investigation initiated by reason of 
        section 302(b)(2) (other than an investigation 
        involving a trade agreement) \258\ that--
---------------------------------------------------------------------------
    \258\ Sec. 314(d)(2)(B) of Public Law 103-465 (108 Stat. 4940) 
struck out ``any investigation initiated by reason of section 
302(b)(2)'' and inserted in lieu thereof ``an investigation initiated 
by reason of section 302(b)(2) (other than an investigation involving a 
trade agreement)''.
---------------------------------------------------------------------------
                  (i) complex or complicated issues are 
                involved in the investigation that require 
                additional time,
                  (ii) the foreign country involved in the 
                investigation is making substantial progress in 
                drafting or implementing legislative or 
                administrative measures that will provide 
                adequate and effective protection of 
                intellectual property rights, or
                  (iii) such foreign country is undertaking 
                enforcement measures to provide adequate and 
                effective protection of intellectual property 
                rights,
        the Trade Representative shall publish in the Federal 
        Register notice of such determination and shall make 
        the determinations required under paragraph (1) with 
        respect to such investigation by no later than the date 
        that is 9 months after the date on which such 
        investigation is initiated.
          (4) In any case in which a dispute is not resolved 
        before the close of the minimum dispute settlement 
        period provided for in a trade agreement,\259\ the 
        Trade Representative, within 15 days after the close of 
        such dispute settlement period, shall submit a report 
        to Congress setting forth the reasons why the dispute 
        was not resolved within the minimum dispute settlement 
        period, the status of the case at the close of the 
        period, and the prospects for resolution. For purposes 
        of this paragraph, the minimum dispute settlement 
        period provided for under any such trade agreement is 
        the total period of time that results if all stages of 
        the formal dispute settlement procedures are carried 
        out within the time limitations specified in the 
        agreement, but computed without regard to any extension 
        authorized under the agreement at any stage.
---------------------------------------------------------------------------
    \259\ Sec. 314(d)(3) of Public Law 103-465 (108 Stat. 4941) struck 
out ``(other than the agreement on subsidies and countervailing 
measures described in section 2(c)(5) of the Trade Agreements Act of 
1979)'' after ``in a trade agreement''.
---------------------------------------------------------------------------
  (b) Consultation Before Determinations.--
          (1) Before making the determinations required under 
        subsection (a)(1), the Trade Representative, unless 
        expeditious action is required--
                  (A) shall provide an opportunity (after 
                giving not less than 30 days notice thereof) 
                for the presentation of views by interested 
                persons, including a public hearing if 
                requested by any interested person,
                  (B) shall obtain advice from the appropriate 
                committees established pursuant to section 135, 
                and
                  (C) may request the views of the United 
                States International Trade Commission regarding 
                the probable impact on the economy of the 
                United States of the taking of action with 
                respect to any goods or service.
          (2) If the Trade Representative does not comply with 
        the requirements of subparagraphs (A) and (B) of 
        paragraph (1) because expeditious action is required, 
        the Trade Representative shall, after making the 
        determinations under subsection (a)(1), comply with 
        such subparagraphs.
  (c) Publication.--The Trade Representative shall publish in 
the Federal Register any determination made under subsection 
(a)(1), together with a description of the facts on which such 
determination is based.

SEC. 305.\260\ IMPLEMENTATION OF ACTIONS.

  (a) Actions To Be Taken Under Section 301.--
---------------------------------------------------------------------------
    \260\ 19 U.S.C. 2415.
---------------------------------------------------------------------------
          (1) Except as provided in paragraph (2), the Trade 
        Representative shall implement the action the Trade 
        Representative determines under section 304(a)(1)(B) to 
        take under section 301, subject to the specific 
        direction, if any, of the President regarding any such 
        action, by no later than the date that is 30 days after 
        the date on which such determination is made.
          (2)(A) Except as otherwise provided in this 
        paragraph, the Trade Representative may delay, by not 
        more than 180 days, the implementation of any action 
        that is to be taken under section 301--
                  (i) if--
                          (I) in the case of an investigation 
                        initiated under section 302(a), the 
                        petitioner requests a delay, or
                          (II) in the case of an investigation 
                        initiated under section 302(b)(1) or to 
                        which section 304(a)(3)(B) applies, a 
                        delay is requested by a majority of the 
                        representatives of the domestic 
                        industry that would benefit from the 
                        action, or
                  (ii) if the Trade Representative determines 
                that substantial progress is being made, or 
                that a delay is necessary or desirable, to 
                obtain United States rights or a satisfactory 
                solution with respect to the acts, policies, or 
                practices that are the subject of the action.
          (B) The Trade Representative may not delay under 
        subparagraph (A) the implementation of any action that 
        is to be taken under section 301 with respect to any 
        investigation to which section 304(a)(3)(A) applies.
          (C) The Trade Representative may not delay under 
        subparagraph (A) the implementation of any action that 
        is to be taken under section 301 with respect to any 
        investigation to which section 304(a)(3)(B) applies by 
        more than 90 days.
  (b) Alternative Actions in Certain Cases of Export 
Targeting.--
          (1) If the Trade Representative makes an affirmative 
        determination under section 304(a)(1)(A) involving 
        export targeting by a foreign country and determines to 
        take no action under section 301 with respect to such 
        affirmation determination, the Trade Representative--
                  (A) shall establish an advisory panel to 
                recommend measures which will promote the 
                competitiveness of the domestic industry 
                affected by the export targeting,
                  (B) on the basis of the report of such panel 
                submitted under paragraph (2)(B) and subject to 
                the specific direction, if any, of the 
                President, may take any administrative actions 
                authorized under any other provision of law, 
                and, if necessary, propose legislation to 
                implement any other actions, that would restore 
                or improve the international competitiveness of 
                the domestic industry affected by the export 
                targeting, and
                  (C) shall, by no later than the date that is 
                30 days after the date on which the report of 
                such panel is submitted under paragraph (2)(B), 
                submit a report to the Congress on the 
                administrative actions taken, and legislative 
                proposals made, under subparagraph (B) with 
                respect to the domestic industry affected by 
                the export targeting.
          (2)(A) The advisory panels established under 
        paragraph (1)(A) shall consist of individuals appointed 
        by the Trade Representative who--
                  (i) earn their livelihood in the private 
                sector of the economy, including individuals 
                who represent management and labor in the 
                domestic industry affected by export targeting 
                that is the subject of the affirmative 
                determination made under section 304(a)(1)(A), 
                and
                  (ii) by education or experience, are 
                qualified to serve on the advisory panel.
          (B) By no later than the date that is 6 months after 
        the date on which an advisory panel is established 
        under paragraph (1)(A), the advisory panel shall submit 
        to the Trade Representative and to the Congress a 
        report on measures that the advisory panel recommends 
        be taken by the United States to promote the 
        competitiveness of the domestic industry affected by 
        the export targeting that is the subject of the 
        affirmative determination made under section 
        304(a)(1)(A).

SEC. 306.\261\ MONITORING OF FOREIGN COMPLIANCE.

  (a) \262\ In General.--The Trade Representative shall monitor 
the implementation of each measure undertaken, or agreement 
that is entered into, by a foreign country to provide a 
satisfactory resolution of a matter subject to investigation 
under this chapter or subject to dispute settlement proceedings 
to enforce the rights of the United States under a trade 
agreement providing for such proceedings.
---------------------------------------------------------------------------
    \261\ 19 U.S.C. 2416. Sec. 901 of Public Law 96-39 inserted sec. 
306 (93 Stat. 299).
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    (b) \262\ Further Action.--
          (1) In general.--If, on the basis of the monitoring 
        carried out under subsection (a), the Trade 
        Representative considers that a foreign country is not 
        satisfactorily implementing a measure or agreement 
        referred to in subsection (a), the Trade Representative 
        shall determine what further action the Trade 
        Representative shall take under section 301(a). For 
        purposes of section 301, any such determination shall 
        be treated as a determination made under section 
        304(a)(1).
---------------------------------------------------------------------------
    \262\ Sec. 314(e) of Public Law 103-465 (108 Stat. 4941) amended 
subsecs. (a) and (b).
---------------------------------------------------------------------------
          (2) WTO dispute settlement recommendations.-- \263\
---------------------------------------------------------------------------
    \263\ Sec. 407 of Public Law 106-200 struck out ``if the'' at the 
beginning of para. (2), inserted in lieu thereof ``(A) Failure to 
implement recommendation.--'', and added a new subpara. (B).
---------------------------------------------------------------------------
                  (A) Failure to implement recommendation.--If 
                the measure or agreement referred to in 
                subsection (a) concerns the implementation of a 
                recommendation made pursuant to dispute 
                settlement proceedings under the World Trade 
                Organization, and the Trade Representative 
                considers that the foreign country has failed 
                to implement it, the Trade Representative shall 
                make the determination in paragraph (1) no 
                later than 30 days after the expiration of the 
                reasonable period of time provided for such 
                implementation under paragraph 21 of the 
                Understanding on Rules and Procedures Governing 
                the Settlement of Disputes that is referred to 
                in section 101(d)(16) of the Uruguay Round 
                Agreements Act.
                  (B) Revision of retaliation list and 
                action.-- \263\
                          (i) In general.--Except as provided 
                        in clause (ii), in the event that the 
                        United States initiates a retaliation 
                        list or takes any other action 
                        described in section 301(c)(1)(A) or 
                        (B) against the goods of a foreign 
                        country or countries to implement the 
                        recommendation made pursuant to a 
                        dispute settlement proceeding under the 
                        World Trade Organization, the Trade 
                        Representative shall periodically 
                        revise the list or action to affect 
                        other goods of the country or countries 
                        that have failed to implement the 
                        recommendation.
                          (ii) Exception.--The Trade 
                        Representative is not required to 
                        revise the retaliation list or the 
                        action described in clause (i) with 
                        respect to a country if--
                                  (I) the Trade Representative 
                                determines that implementation 
                                of a recommendation made 
                                pursuant to a dispute 
                                settlement proceeding described 
                                in clause (i) by the country is 
                                imminent; or
                                  (II) the Trade Representative 
                                together with the petitioner 
                                involved in the initial 
                                investigation under this 
                                chapter (or if no petition was 
                                filed, the affected United 
                                States industry) agree that it 
                                is unnecessary to revise the 
                                retaliation list.
                  (C) Schedule for revising list or action.--
                The Trade Representative shall, 120 days after 
                the date the retaliation list or other section 
                301(a) action is first taken, and every 180 
                days thereafter, review the list or action 
                taken and revise, in whole or in part, the list 
                or action to affect other goods of the subject 
                country or countries.
                  (D) Standards for revising list or action.--
                In revising any list or action against a 
                country or countries under this subsection, the 
                Trade Representative shall act in a manner that 
                is most likely to result in the country or 
                countries implementing the recommendations 
                adopted in the dispute settlement proceeding or 
                in achieving a mutually satisfactory solution 
                to the issue that gave rise to the dispute 
                settlement proceeding. The Trade Representative 
                shall consult with the petitioner, if any, 
                involved in the initial investigation under 
                this chapter.
                  (E) Retaliation list.--The term ``retaliation 
                list'' means the list of products of a foreign 
                country or countries that have failed to comply 
                with the report of the panel or Appellate Body 
                of the WTO and with respect to which the Trade 
                Representative is imposing duties above the 
                level that would otherwise be imposed under the 
                Harmonized Tariff Schedule of the United 
                States.
                  (F) Requirement to include reciprocal goods 
                on retaliatiation list.--The Trade 
                Representative shall include on the retaliation 
                list, and on any revised lists, reciprocal 
                goods of the industries affected by the failure 
                of the foreign country or countries to 
                implement the recommendation made pursuant to a 
                dispute settlement proceeding under the World 
                Trade Organization, except in cases where 
                existing retaliation and its corresponding 
                preliminary retaliation list do not already 
                meet this requirement.
  (c) Consultations.--Before making any determination under 
subsection (b), the Trade Representative shall--
          (1) consult with the petitioner, if any, involved in 
        the initial investigation under this chapter and with 
        representatives of the domestic industry concerned; and
          (2) provide an opportunity for the presentation of 
        views by interested persons.

SEC. 307.\264\ MODIFICATION AND TERMINATION OF ACTIONS.
  (a) In General.--
---------------------------------------------------------------------------
    \264\ 19 U.S.C. 2417.
---------------------------------------------------------------------------
          (1) The Trade Representative may modify or terminate 
        any action, subject to the specific direction, if any, 
        of the President with respect to such action, that is 
        being taken under section 301 if--
                  (A) any of the conditions described in 
                section 301(a)(2) exist,
                  (B) the burden or restriction on United 
                States commerce of the denial rights, or of the 
                acts, policies, and practices, that are the 
                subject of such action has increased or 
                decreased, or
                  (C) such action is being taken under section 
                301(b) and is no longer appropriate.
          (2) Before taking any action under paragraph (1) to 
        modify or terminate any action taken under section 301, 
        the Trade Representative shall consult with the 
        petitioner, if any, and with representatives of the 
        domestic industry concerned, and shall provide 
        opportunity for the presentation of views by other 
        interested persons affected by the proposed 
        modification or termination concerning the effects of 
        the modification or termination and whether any 
        modification or termination of the action is 
        appropriate.
  (b) Notice; Report to Congress.--The Trade Representative 
shall promptly publish in the Federal Register notice of, and 
report in writing to the Congress with respect to, any 
modification or termination of any action taken under section 
301 and the reasons therefor.\264\
  (c) Review of Necessity.--
          (1) If--
                  (A) a particular action has been taken under 
                section 301 during any 4-year period, and
                  (B) neither the petitioner nor any 
                representative of the domestic industry which 
                benefits from such action has submitted to the 
                Trade Representative during the last 60 days of 
                such 4-year period a written request for the 
                continuation of such action,
        such action shall terminate at the close of such 4-year 
        period.
          (2) The Trade Representative shall notify by mail the 
        petitioner and representatives of the domestic industry 
        described in paragraph (1)(B) of any termination of 
        action by reason of paragraph (1) at least 60 days 
        before the date of such termination.
          (3) If a request is submitted to the Trade 
        Representative under paragraph (1)(B) to continue 
        taking a particular action under section 301, the Trade 
        Representative shall conduct a review of--
                  (A) the effectiveness in achieving the 
                objectives of section 301 of--
                          (i) such action, and
                          (ii) other actions that could be 
                        taken (including actions against other 
                        products or services), and
                  (B) the effects of such actions on the United 
                States economy, including consumers.

SEC. 308.\265\ REQUEST FOR INFORMATION.
  (a) In General.--Upon receipt of written request therefor 
from any person, the Trade Representative shall make available 
to that person information (other than that to which 
confidentiality applies) concerning--
---------------------------------------------------------------------------
    \265\ 19 U.S.C. 2418.
---------------------------------------------------------------------------
          (1) the nature and extent of a specific trade policy 
        or practice of a foreign country with respect to 
        particular goods, services, investment, or intellectual 
        property rights, to the extent that such information is 
        available to the Trade Representative or other Federal 
        agencies;
          (2) United States rights under any trade agreement 
        and the remedies which may be available under that 
        agreement and under the laws of the United States; and
          (3) past and present domestic and international 
        proceedings or actions with respect to the policy or 
        practice concerned.
  (b) If Information Not Available.--If information that is 
requested by a person under subsection (a) is not available to 
the Trade Representative or other Federal agencies, the Trade 
Representative shall, within 30 days after receipt of the 
request--
          (1) request the information from the foreign 
        government; or
          (2) decline to request the information and inform the 
        person in writing of the reasons for refusal.
  (c) Certain Business Information Not Made Available.--
          (1) Except as provided in paragraph (2), and 
        notwithstanding any other provision of law (including 
        section 552 of title 5, United States Code), no 
        information requested and received by the Trade 
        Representative in aid of any investigation under this 
        chapter shall be made available to any person if--
                  (A) the person providing such information 
                certifies that--
                          (i) such information is business 
                        confidential,
                          (ii) the disclosure of such 
                        information would endanger trade 
                        secrets or profitability, and
                          (iii) such information is not 
                        generally available;
                  (B) the Trade Representative determines that 
                such certification is well-founded; and
                  (C) to the extent required in regulations 
                prescribed by the Trade Representative, the 
                person providing such information provides an 
                adequate nonconfidential summary of such 
                information.
          (2) The Trade Representative may--
                  (A) use such information, or make such 
                information available (in his own discretion) 
                to any employee of the Federal Government for 
                use, in any investigation under this chapter, 
                or
                  (B) may make such information available to 
                any other person in a form which cannot be 
                associated with, or otherwise identify, the 
                person providing the information.

SEC. 309.\266\ ADMINISTRATION.
  The Trade Representative shall--
---------------------------------------------------------------------------
    \266\ 19 U.S.C. 2419.
---------------------------------------------------------------------------
          (1) issue regulations concerning the filing of 
        petitions and the conduct of investigations and 
        hearings under this subchapter,
          (2) keep the petitioner regularly informed of all 
        determinations and developments regarding the 
        investigation conducted with respect to the petition 
        under this chapter, including the reasons for any undue 
        delays, and
          (3) submit a report to the House of Representatives 
        and the Senate semiannually describing--
                  (A) the petitions filed and the 
                determinations made (and reasons therefor) 
                under section 302,
                  (B) developments in, and the current status 
                of, each investigation or proceeding under this 
                chapter,
                  (C) the actions taken, or the reasons for no 
                action, by the Trade Representative under 
                section 301 with respect to investigations 
                conducted under this chapter, and
                  (D) the commercial effects of actions taken 
                under section 301.''.

SEC. 310.\267\ IDENTIFICATION OF TRADE EXPANSION PRIORITIES.
  (a) Identification.--
---------------------------------------------------------------------------
    \267\ 19 U.S.C. 2420. Sec. 314(f) of Public Law 103-465 (108 Stat. 
4941) amended sec. 310. Sec. 1302 of Public Law 100-418 (102 Stat. 
1176) inserted sec. 310. Sec. 314(f) of Public Law 103-465 (108 Stat. 
4941) comprehensively amended and restated the section.
---------------------------------------------------------------------------
          (1) Within 180 days after the submission in calendar 
        year 1995 of the report required by section 181(b), the 
        Trade Representative shall--
                  (A) review United States trade expansion 
                priorities,
                  (B) identify priority foreign country 
                practices, the elimination of which is likely 
                to have the most significant potential to 
                increase United States exports, either directly 
                or through the establishment of a beneficial 
                precedent, and
                  (C) submit to the Committee on Finance of the 
                Senate and the Committee on Ways and Means of 
                the House of Representatives and publish in the 
                Federal Register a report on the priority 
                foreign country practices identified.
          (2) In identifying priority foreign country practices 
        under paragraph (1) of this section, the Trade 
        Representative shall take into account all relevant 
        factors, including--
                  (A) the major barriers and trade distorting 
                practices described in the National Trade 
                Estimate Report required under section 181(b);
                  (B) the trade agreements to which a foreign 
                country is a party and its compliance with 
                those agreements;
                  (C) the medium- and long-term implications of 
                foreign government procurement plans; and
                  (D) the international competitive position 
                and export potential of United States products 
                and services.
          (3) The Trade Representative may include in the 
        report, if appropriate--
                  (A) a description of foreign country 
                practices that may in the future warrant 
                identification as priority foreign country 
                practices; and
                  (B) a statement about other foreign country 
                practices that were not identified because they 
                are already being addressed by provisions of 
                United States trade law, by existing bilateral 
                trade agreements, or as part of trade 
                negotiations with other countries and progress 
                is being made toward the elimination of such 
                practices.
    (b) Initiation of Investigations.--By no later than the 
date which is 21 days after the date on which a report is 
submitted to the appropriate congressional committees under 
subsection (a)(1), the Trade Representative shall initiate 
under section 302(b)(1) investigations under this chapter with 
respect to all of the priority foreign country practices 
identified.
    (c) Agreements for the Elimination of Barriers.--In the 
consultations with a foreign country that the Trade 
Representative is required to request under section 303(a) with 
respect to an investigation initiated by reason of subsection 
(b), the Trade Representative shall seek to negotiate an 
agreement that provides for the elimination of the practices 
that are the subject of the investigation as quickly as 
possible or, if elimination of the practices is not feasible, 
an agreement that provides for compensatory trade benefits.
    (d) Reports.--The Trade Representative shall include in the 
semiannual report required by section 309 a report on the 
status of any investigations initiated pursuant to subsection 
(b) and, where appropriate, the extent to which such 
investigations have led to increased opportunities for the 
export of products and services of the United States.

        TITLE IV--TRADE RELATIONS WITH COUNTRIES NOT RECEIVING 
                   NONDISCRIMINATORY TREATMENT \268\
      
---------------------------------------------------------------------------
    \268\ Sec. 103(a)(1) of Public Law 106-286 struck out ``currently'' 
from the title IV heading, which previously read ``trade relations with 
countries not currently receiving nondiscriminatory treatment''. See 
also section on MFN extensions, suspensions, and terminations, this 
volume, beginning on page 1020.
    On Oct. 7, 1992, the President determined that furnishing 
assistance, restoring nondiscriminatory trade treatment, and lifting 
the ban on Export-Import Bank loans for Afghanistan was in the national 
interest of the United States (Presidential Determination No. 93-3; 57 
F.R. 47557; Oct. 19, 1992). The application of Title IV of the Trade 
Act of 1974 has been terminated with respect to the following 
countries:
    Czech and Slovak Federal Republics and Hungary: On April 10, 1992, 
the President determined that title IV of this Act should no longer 
apply to the Czech and Slovak Federal Republic or to the Republic of 
Hungary, pursuant to secs. 2(a)(1) and 2 of Public Law 102-182 
(Presidential Determination No. 92-21; 57 F.R. 12863; April 14, 1992; 
and Proclamation 6419 of April 10, 1992; 57 F.R. 12865).
    Prior to Public Law 102-182, Presidential Determination No. 90-3 of 
Oct. 26, 1989 (54 F.R. 46591), stated that the Republic of Hungary was 
not in violation of paras. (1), (2), or (3) of subsec. 402(a) or paras. 
(1), (2), or (3) of subsec. 409(a). See also note at 409(a).
    Also prior to the passage of Public Law 102-182, in Executive Order 
12702 of Feb. 29, 1990 (55 F.R. 6231), the President waived the 
application of subsecs. 402(a) and (b) with respect to Czechoslovakia. 
Subsequently, the President determined that the Czech and Slovak 
Federal Republic was not in violation of paras. (1), (2), or (3) of 
subsec. 402(a), or of paras. (1), (2), or (3) of subsec. 409(a) 
(Presidential Determination No. 92-3 of Oct. 16, 1991; 56 F.R. 55203; 
Oct. 25, 1991).
    Mongolia: On July 1, 1996, the President determined that Title IV 
of this Act should no longer apply to Mongolia, pursuant to sec. 2414 
of Public Law 106-36 (113 Stat. 180) (Presidential Determination No. 
7207 (64 F.R. 36549). Prior to that date, Executive Order 12746 of Jan. 
21, 1991 (56 F.R. 2837) waived the application of secs. 402 (a) and (b) 
with respect to Mongolia.
    Bulgaria: On Sept. 27, 1996, the President determined that Title IV 
of this Act should no longer apply to Bulgaria (Proclamation No. 6922 
of Sept. 27, 1996, 61 F.R. 51205), pursuant to Public Law 104-162 (110 
Stat. 1414). Subsequently, the President determined that Bulgaria was 
not in violation of paras. (1), (2), or (3) of subsec. 402(a) or of 
paras. (1), (2), or (3) of subsec. 409(a) (Presidential Determination 
No. 93-26 of June 3, 1993; 58 F.R. 33007).
    Prior to that date, Executive Order 12745 waived the application of 
secs. 402 (a) and (b) with respect to Mongolia (Jan. 22, 1991; 56 F.R. 
2835)
    Romania: On Nov. 12, 1996, the President determined that Title IV 
should no longer apply to Romania (Proclamation No. 6951; 61 F.R. 
58127), pursuant to sec. 2 of Public Law 104-171 (110 Stat. 1539). 
Subsequently, the President determined that Romania was not in 
violation of paras. (1), (2), or (3) of subsec. 402(a) or of paras. 
(1), (2), or (3) of subsec. 409(a) (Presidential Determination No. 95-
22 of May 19, 1995; 60 F.R. 29463).
    Prior to that date, Executive Order 12772 (Aug. 17, 1991; 56 F.R. 
41621) waived the application of secs. 402 (a) and (b) with respect to 
Romania.
    Albania and Kyrgyzstan: On June 29, 2000, the President determined 
that title IV of this Act should no longer apply to Albania and 
Kyrgyzstan, pursuant to secs. 301(b) and 302(b) of Public Law 106-200, 
respectively (Presidential Proclamation No. 7326 of June 29, 2000; 65 
F.R. 41547).
    Prior to Public Law 106-200, the President had waived the 
application of secs. 402 (a) and (b) with respect to Albania (Executive 
Order 12809, June 3, 1992, 57 F.R. 23925; Presidential Determination 
No. 92-26; 57 F.R. 48711) and Kyrgyzstan (Executive Order 12802, April 
16, 1992, 57 F.R. 14321; Presidential Determination No. 92-20, 57 F.R. 
13623).
    Georgia: On Dec. 29, 2000, the President determined that title IV 
of this Act should no longer apply to the Republic of Georgia, pursuant 
to sec. 3002 of Public Law 106-476 (Presidential Proclamation No. 7389 
of Dec. 29, 2000, 66 F.R. 703, Jan. 3, 2001).
    Prior to Public Law 106-476, the President had waived the 
application of subsecs. 402 (a) and (b) with respect to Georgia 
(Executive Order No. 12809, June 3, 1992, 57 F.R. 23925; Presidential 
Determination No. 92-25, 57 F.R. 22147).
    China: On Dec. 27, 2001, the President determined that chapter 1 of 
title IV of the Act should no longer apply to the People's Republic of 
China (Proclamation 7516; 67 F.R. 479), pursuant to Public Law 106-286 
(114 Stat. 882).
    Prior to Public Law 106-286, the President waived the application 
of subsecs. 402 (a) and (b) of the Act with respect to China (Executive 
Order 12167, Oct. 23, 1979, 44 F.R. 61167).
---------------------------------------------------------------------------

        CHAPTER 1--TRADE RELATIONS WITH CERTAIN COUNTRIES \269\

SEC. 401.\270\ EXCEPTION OF THE PRODUCTS OF CERTAIN COUNTRIES OR AREAS.
    Except as otherwise provided in this title, the President 
shall continue to deny nondiscriminatory treatment to the 
products of any country, the products of which were not 
eligible for the rates set forth in rate column numbered 1 of 
the Tariff Schedules of the United States on the date of the 
enactment of this Act.
---------------------------------------------------------------------------
    \269\ Sec. 103(a)(2) of Public Law 106-286 (114 Stat. 882) inserted 
``CHAPTER 1--TRADE RELATIONS WITH CERTAIN COUNTRIES''.
    \270\ 19 U.S.C. 2431. Secs. 101 and 102 of Public Law 106-286 (114 
Stat. 881) provided:
---------------------------------------------------------------------------

``sec. 101. termination of application of chapter 1 of title iv of the 
        trade act of 1974 to the people's republic of china
---------------------------------------------------------------------------
    ``(a) Presidential Determinations and Extension of 
Nondiscriminatory Treatment.--Notwithstanding any provision of chapter 
1 of title IV of the Trade Act of 1974 (19 U.S.C. 2431 et seq.), as 
designated by section 3(a)(2) of this Act, the President may--
---------------------------------------------------------------------------

          ``(1) determine that such chapter should no longer apply to 
        the People's Republic of China; and
          ``(2) after making a determination under paragraph (1) with 
        respect to the People's Republic of China, proclaim the 
        extension of nondiscriminatory treatment (normal trade 
        relations treatment) to the products of that country.
---------------------------------------------------------------------------
    ``(b) Accession of the People's Republic of China to the World 
Trade Organization.--Prior to making the determination provided for in 
subsection (a)(1) and pursuant to the provisions of section 122 of the 
Uruguay Round Agreements Act (19 U.S.C. 3532), the President shall 
transmit a report to Congress certifying that the terms and conditions 
for the accession of the People's Republic of China to the World Trade 
Organization are at least equivalent to those agreed between the United 
States and the People's Republic of China on November 15, 1999.
---------------------------------------------------------------------------

``sec. 102. effective date.
---------------------------------------------------------------------------
    ``(a) Effective Date of Nondiscriminatory Treatment.--The extension 
of nondiscriminatory treatment pursuant to section 101(a) shall be 
effective no earlier than the effective date of the accession of the 
People's Republic of China to the World Trade Organization.
    ``(b) Termination of Applicability of Title IV.--On and after the 
effective date under subsection (a) of the extension of 
nondiscriminatory treatment to the products of the People's Republic of 
China, chapter 1 of title IV of the Trade Act of 1974 (as designated by 
section 103(a)(2) of this Act) shall cease to apply to that country.''.
---------------------------------------------------------------------------

SEC. 402.\271\ FREEDOM OF EMIGRATION IN EAST-WEST TRADE.

    (a) To assure the continued dedication of the United States 
to fundamental human rights, and notwithstanding any other 
provision of law, on or after the date of the enactment of this 
Act products from any nonmarket economy country shall not be 
eligible to receive nondiscriminatory treatment (normal trade 
relations \272\), such country shall not participate in any 
program of the Government of the United States which extends 
credits or credit guarantees or investment guarantees, directly 
or indirectly, and the President of the United States shall not 
conclude any commercial agreement with any such country, during 
the period beginning with the date on which the President 
determines that such country--
---------------------------------------------------------------------------
    \271\ 19 U.S.C. 2432. Popularly referred to as the Jackson-Vanik 
amendment.
    Public Law 102-420 (106 Stat. 2149; 19 U.S.C. 2432 note) withdrew 
MFN status from Serbia and Montenegro.
    \272\ Sec. 5003(b)(2) of Public Law 105-206 struck out ``most-
favored-nation treatment'' each place it appears in sec. 402, and 
inserted in lieu thereof ``normal trade relations.''
---------------------------------------------------------------------------
          (1) denies its citizens the right or opportunity to 
        emigrate;
          (2) imposes more than a nominal tax on emigration or 
        on the visas or other documents required for 
        emigration, for any purpose of cause whatsoever; or
          (3) imposes more than a nominal tax, levy, fine, fee, 
        or other charge on any citizen as a consequence of the 
        desire of such citizen to emigrate to the country of 
        his choice,
and ending on the date on which the President determines that 
such country is no longer in violation of paragraph (1), (2), 
or (3).
    (b) \273\ After the date of the enactment of this Act, (A) 
products of a nonmarket economy country may be eligible to 
receive nondiscriminatory treatment (normal trade relations), 
(B) such country may participate in any program of the 
Government of the United States which extends credit guarantees 
or investment guarantees, and (C) the President may conclude a 
commercial agreement with such country, only after the 
President has submitted to the Congress a report indicating 
that such country is not in violation of paragraph (1), (2), or 
(3) of subsection (a). Such report with respect to such country 
shall include information as to the nature and implementation 
of emigration laws and policies and restrictions or 
discrimination applied to or against persons wishing to 
emigrate. The report required by this subsection shall be 
submitted initially as provided herein and, with current 
information, on or before each June 30 and December 31 
thereafter so long as such treatment is received, such credits 
or guarantees are extended, or such agreement is in effect.
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    \273\ Presidential determinations of ``no violation'' pursuant to 
subsec. (b) have been made for the following countries: Hungary, 
October 26, 1989 (Presidential Determination No. 89-14; 54 F.R. 46591); 
Czech and Slovak Federal Republics, October 16, 1991 (Presidential 
Determination No. 92-3; 56 F.R. 52203); Bulgaria, June 3, 1993 
(Presidential Determination No. 93-26; 58 F.R. 33007); Russian 
Federation, September 21, 1994 (Presidential Determination No. 94-51; 
59 F.R. 49783), September 24, 1994; Romania, May 19, 1995 (Presidential 
Determination No. 95-22; 60 F.R. 29463); Mongolia, September 4, 1996 
(Presidential Determination No. 96-51, 61 F.R. 48603); Armenia, 
Azerbaijan, Georgia, Moldova, and Ukraine, June 3, 1997 (Presidential 
Determination No. 97-27; 62 F.R. 32017); Albania, Kazakhstan, 
Kyrgyzstan, Tajikistan, Turkmenistan, and Uzbekistan, December 5, 1997 
(Presidential Determination No. 98-7, 62 F.R. 66253).
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    (c)(1) During the 18-month period beginning on the date of 
the enactment of this Act, the President is authorized to waive 
by Executive order the application of subsections (a) and (b) 
with respect to any country, if he reports to the Congress 
that--
          (A) he has determined that such waiver will 
        substantially promote the objectives of this section; 
        and
          (B) he has received assurances that the emigration 
        practices of that country will henceforth lead 
        substantially to the achievement of the objectives of 
        this section.
    (2) During any period subsequent to the 18-month period 
referred to in paragraph (1), the President is authorized to 
waive by Executive order the application of subsections (a) and 
(b) with respect to any country, if the waiver authority 
granted by this subsection continues to apply to such country 
pursuant to subjection (d), and if he reports to the Congress 
that--
          (A) \274\ he has determined that such waiver will 
        substantially promote the objectives of this section; 
        and
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    \274\ The Presidential waiver by Executive order provision pursuant 
to sec. (c)(2)(A) has been applied with respect to the following 
countries:
    Romania: April 24, 1975 (Presidential Determination No. 75-15, 40 
F.R. 2060; Executive Order No. 11854, 40 F. R. 18391); in effect until 
1988. Hungary: April 7, 1978,(Presidential Determination No. 78-10, 43 
F.R. 16691; Executive Order No. 12501, 43 F. R. 15131). People's 
Republic of China: October 23, 1979 (Presidential Determination No. 80-
2, 44 F.R. 64059; Executive Order No. 12167, 44 F. R. 61167). 
Czechoslovakia: February 20, 1990 (Presidential Determination No. 90-
10, 55 F.R. 8889; Executive Order No. 12702, 55 F. R. 6231). German 
Democratic Republic: (Presidential Determination No. 90-30 of August 
15, 1990; 55 F.R. 35421; Executive Order 12726, 55 F.R. 33637). Soviet 
Union: December 29, 1990 (Presidential Determination No. 91-11, 56 F.R. 
1561; Executive Order 12740, 56 F.R. 355). Bulgaria: January 22, 1991 
(Presidential Determination No. 91-18, 56 F.R. 4169; Executive Order 
12745, 56 F.R. 2835). Mongolia: January 23, 1991 (Presidential 
Determination No. 91-19, 56 F.R. 4171; Executive Order 12746, 56 F.R. 
2837). Romania: August 17, 1991 (second waiver) (Presidential 
Determination No. 91-48, 56 F.R. 43861; Executive Order 12772, 56 F.R. 
41621). Armenia: April 3, 1992 (Presidential Determination No. 92-20, 
57 F.R. 13623; Executive Order 12798, 57 F.R. 12175). Belarus [Republic 
of Byelarus]: Kyrgyzstan, and Russian Federation: April 6, 1992 
(Presidential Determination No. 92-20, 57 F.R. 13623; Executive Order 
12802, 57 F.R. 14321). Azerbaijan, Georgia, Kazakhstan, Moldova, 
Ukraine, and Uzbekistan: June 3, 1992 (Presidential Determination No. 
92-25, 57 F.R. 22147; Executive Order 12809, 57 F.R. 23925); Albania: 
June 3, 1992 (Presidential Determination No. 92-26, 57 F.R. 48711; 
Executive Order 12809, 57 F.R. 23925). Tajikistan and Turkmenistan: 
June 24, 1992 (Presidential Determination No. 92-31, 57 F.R. 24931; 
Executive Order 12811, 57 F.R. 28585); Belarus: (second waiver) 
(Executive Order No. 13220, 66 F.R. 35525, July 5, 2000).
    On April 7, 1998, the President waived the application of secs. 
402(a) and 402(b) with respect to Vietnam (Presidential Determination 
No. 98-17, 57 F.R. 14329; Executive Order 13079; 63 F.R. 17309). The 
waiver with respect to Vietnam was extended on June 3, 1998 
(Presidential Determination No. 98-27, 63 F.R. 32707), on June 3, 1999 
(Presidential Determination No. 99-27, 64 F.R. 31111), and on June 2, 
2000 (Presidential Determination No. 2000-21, 65 F.R. 36309).
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          (B) he has received assurances that the emigration 
        practices of that country will henceforth lead 
        substantially to the achievement of the objectives of 
        this section.
    (3) A waiver with respect to any country shall terminate on 
the day after the waiver authority granted by this subsection 
ceases to be effective with respect to such country pursuant to 
subsection (d). The President may, at any time, terminate by 
Executive order any waiver granted under this subsection.
    (d)(1) \275\ If \276\ the President determines that the 
further extension of the waiver authority granted under 
subsection (c) of this section will substantially promote the 
objectives of this section, he may recommend further extensions 
of such authority for successive 12-month periods. Any such 
recommendations shall--
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    \275\ Sec. 132(a)(2) of the Customs and Trade Act of 1990 (Public 
Law 101-382; 104 Stat. 644) struck out paras. (1) through (4), 
redesignated para. (5) as para. (1), and added a new para. (2). See box 
note, page 365, relating to effective date of amendment.
    Prior to this amendment, in Presidential Determination 89-14 of May 
31, 1989 (54 F.R. 26943), the President determined ``pursuant to 
Subsection 402(d)(5) of the Act, that the further extension of the 
waiver authority granted by Subsection 402(c) of the Act will 
substantially promote the objectives of Section 402 of the Act. I 
further determine that the continuation of the waivers applicable to 
the Hungarian People's Republic and the People's Republic of China will 
substantially promote the objectives of Section 402 of the Act.''.
    The waiver applicable to the People's Republic of China was 
extended on May 24, 1990 (Presidential Determination No. 90-21, 55 F.R. 
23183); on May 29, 1991 (Presidential Determination No. 91-36, 56 F.R. 
26757), on June 2, 1992 (Presidential Determination No. 92-29, 57 F.R. 
24539); on May 28, 1993 (Presidential Determination No. 93-23, 58 F.R. 
31329); on June 2, 1994 (Presidential Determination No. 94-26, 59 F.R. 
31103); on June 2, 1995 (Presidential Determination No. 95-23, 60 F.R. 
31047); on May 31, 1996 (Presidential Determination No. 96-29, 61 F.R. 
29455); on May 29, 1997 (Presidential Determination No. 97-25, 62 F.R. 
31313); on June 3, 1998 (Presidential Determination No. 98-25, 63 F.R. 
32705); on June 3, 1999 (Presidential Determination No. 99-28, 64 F.R. 
31113); and on June 2, 2000 (Presidential Determination No. 2000-23; 65 
F.R. 36313).
    See also Executive Order 12850 of May 28, 1993 (58 F.R. 31327).
    Similar waivers were extended to Albania, Armenia, Azerbaijan, 
Belarus, Georgia, Kazakhstan, Kyrgyzstan, Moldova, Mongolia, Romania, 
Russian Federation, Tajikistan, Turkmenistan, Ukraine, and Uzbekistan 
on June 2, 1994 (Presidential Determination No. 94-27; 59 F.R. 31105). 
These waivers were continued for the same countries except Romania and 
Russian Federation on June 2, 1995 (Presidential Determination No. 95-
24; 60 F.R. 31049), on June 3, 1996 (Presidential Determination No. 96-
30; 61 F.R. 29457); on June 3, 1997 for Albania, Belarus, Kazakhstan, 
Kyrgyzstan, Tajikistan, Turkmenistan and Uzbekistan (Presidential 
Determination No. 97-28, 62 F.R. 32019, June 11, 1997).
    The Presidential waiver for Belarus was extended on June 3, 1998 
(Presidential Determination No. 98-28, 63 F.R. 32709, June 16, 1998), 
on June 3, 1999 (Presidential Determination No. 99-26, 64 F.R. 31109, 
June 11, 1999, and on June 2, 2000 (Presidential Determination No. 
2000-22, 65 F.R. 36311, June 8, 2000).
    \276\ Sec. 132(a)(1) of the Customs and Trade Act of 1990 (Public 
Law 101-382; 104 Stat. 643) struck out ``If the waiver authority 
granted by subsection (c) of this section has been extended under 
paragraph (3) or (4) for any country for the 12-month period referred 
to in such paragraphs, and the President determines that the further 
extension of such authority will'' and inserted in lieu thereof ``If 
the President determines that the further extension of the waiver 
authority granted under subsection (c) of this section will''. See box 
note, page 365, relating to effective date of amendment.
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          (A) be made not later than 30 days before the 
        expiration of such authority;
          (B) be made in a document transmitted to the House of 
        Representatives and the Senate setting forth his 
        reasons for recommending the extension of such 
        authority; and
          (C) include, for each country with respect to which a 
        waiver granted under subsection (c) is in effect, a 
        determination that continuation of the waiver 
        applicable to that country will substantially promote 
        the objectives of this section, and a statement setting 
        forth his reasons for such determination.
If the President recommends the further extension of such 
authority, such authority shall continue in effect until the 
end of the 12-month period following the end of the previous 
12-month extension with respect to any country (except for any 
country with respect to which such authority has not been 
extended under this subsection), unless a joint resolution 
described in section 153(a) is enacted into law pursuant to the 
provisions of paragraph (2).\277\
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    \277\ Sec. 132(a)(1)(C) of the Customs and Trade Act of 1990 
(Public Law 101-382; 104 Stat. 644) struck out ``, unless before the 
end of the 60-day period following such previous 12-month extension, 
either the House of Representatives or the Senate adopts, by an 
affirmative vote of a majority of the Members present and voting in the 
House and under the procedures set forth in section 153, a resolution 
disapproving the extension of such authority generally or with respect 
to such country specifically. Such authority shall cease to be 
effective with respect to all countries on the date of the adoption by 
either House before the end of such 60-day period of a resolution 
disapproving the extension of such authority, and shall cease to be 
effective with respect to any country on the date of the adoption by 
either House before the end of such 90-day period of a resolution 
disapproving the extension of such authority with respect to such 
country'' and inserted text beginning at ``, unless * * *''. See box 
note, page 365, relating to effective date of amendment.
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    (2) \277\ (A) The requirements of this paragraph are met if 
the joint resolution is enacted under the procedures set forth 
in section 153, and--
          (i) the Congress adopts and transmits the joint 
        resolution to the President before the end of the 60-
        day period beginning on the date the waiver authority 
        would expire but for an extension under paragraph (1), 
        and
          (ii) if the President vetoes the joint resolution, 
        each House of Congress votes to override such veto on 
        or before the later of the last day of the 60-day 
        period referred to in clause (i) or the last day of the 
        15-day period (excluding any day described in section 
        154(b)) beginning on the date the Congress receives the 
        veto message from the President.
    (B) If a joint resolution is enacted into law under the 
provisions of this paragraph, the waiver authority applicable 
to any country with respect to which the joint resolution 
disapproves of the extension of such authority shall cease to 
be effective as of the day after the 60-day period beginning on 
the date of the enactment of the joint resolution.
    (C) A joint resolution to which this subsection and section 
153 apply may be introduced at any time on or after the date 
the President transmits to the Congress the document described 
in paragraph (1)(B).
    (e) This section shall not apply to any country the 
products of which are eligible for the rates set forth in rate 
column numbered 1 of the Tariff Schedules of the United States 
on the date of the enactment of this Act.

SEC. 403.\278\ UNITED STATES PERSONNEL MISSING IN ACTION IN SOUTHEAST 
                    ASIA.

    (a) Notwithstanding any other provision of law, if the 
President determines that a nonmarket economy country is not 
cooperating with the United States--
---------------------------------------------------------------------------
    \278\ 19 U.S.C. 2433.
---------------------------------------------------------------------------
          (1) to achieve a complete accounting of all United 
        States military and civilian personnel who are missing 
        in action in Southeast Asia,
          (2) to repatriate such personnel who are alive, and
          (3) to return the remains of such personnel who are 
        dead to the United States,
then, during the period beginning with the date of such 
determination and ending on the date on which the President 
determines such country is cooperating with the United States, 
he may provide that--
          (A) the products of such country may not receive 
        nondiscriminatory treatment,
          (B) such country may not participate, directly or 
        indirectly, in any program under which the United 
        States extends credit, credit guarantees or investment 
        guarantees, and
          (C) no commercial agreement entered into under this 
        title between such country and the United States will 
        take effect.
    (b) This section shall not apply to any country the 
products of which are eligible for the rates set forth in rate 
column numbered 1 of the Tariff Schedules of the United States 
on the date of the enactment of this Act.

SEC. 404.\279\ EXTENSION OF NONDISCRIMINATORY TREATMENT.

    (a) Subject to the provisions of section 405(c), the 
President may by proclamation extend nondiscriminatory 
treatment to the products of a foreign country which has 
entered into a bilateral commercial agreement referred to in 
section 405.
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    \279\ 19 U.S.C. 2434. See also Public Law 102-157 (105 Stat. 1040), 
relating to Mongolia; Public Law 102-158 (105 Stat. 1041), relating to 
Bulgaria; Public Law 102-197 (105 Stat. 1622), relating to the Union of 
Soviet Socialist Republics; Public Law 102-363 (106 Stat. 969), 
relating to Albania, Public Law 104-162 (110 Stat. 1414), relating to 
Bulgaria, and Public Law 104-171 (110 Stat. 1539), relating to Romania.
    See also Public Law 102-182 (105 Stat. 1233) as it relates to 
Czechoslovakia, Estonia, Hungary, Latvia, and Lithuania, Public Law 
102-420 (106 Stat. 2149), relating to Serbia and Montenegro, Public Law 
106-36 (113 Stat. 180), Public Law 106-200 (114 Stat. 257) relating to 
Albania and Kyrgyzstan, Public Law 106-286 (114 Stat. 880) relating to 
China, and Public Law 106-476 (114 Stat. 2175) relating to Georgia.
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    (b) The application of nondiscriminatory treatment shall be 
limited to the period of effectiveness of the obligations of 
the United States to such country under such bilateral 
commercial agreement. In addition, in the case of any foreign 
country receiving nondiscriminatory treatment pursuant to this 
title which has entered into an agreement with the United 
States regarding the settlement of lend-lease reciprocal aid 
and claims, the application of such nondiscriminatory treatment 
shall be limited to periods during which such country is not in 
arrears on its obligations under such agreement.
    (c) The President may at any time suspend or withdraw any 
extension of nondiscriminatory treatment to any country 
pursuant to subsection (a) and thereby cause all products of 
such country to be dutiable at the rates set forth in rate 
column numbered 2 of the Harmonized Tariff Schedule \280\ of 
the United States.
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    \280\ Sec. 1214(j)(3) of Public Law 100-418 (102 Stat. 1158) struck 
out ``Tariff Schedules for'' and inserted in lieu thereof ``Harmonized 
Tariff Schedule''.
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SEC. 405.\281\ AUTHORITY TO ENTER INTO COMMERCIAL AGREEMENTS.
    (a) Subject to the provisions of subsections (b) and (c) of 
this section, the President may authorize the entry into force 
of bilateral commercial agreements providing nondiscriminatory 
treatment to the products of countries heretofore denied such 
treatment whenever he determines that such agreements with such 
countries will promote the purposes of this Act and are in the 
national interest.\282\
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    \281\ 19 U.S.C. 2435.
    \282\ Bilateral agreements pursuant to sec. 405 were entered into 
with Romania on April 24, 1975 (Presidential Proclamation No. 4369, 40 
F.R. 18389); Hungary on April 7, 1978 (Presidential Proclamation No. 
4560, 43 F.R. 15125); China on October 23, 1979 (Presidential 
Proclamation No. 4697, 44 F.R. 61161); Czech and Slovak Federal 
Republic on September 6, 1990 (Presidential Proclamation No. 6175, 55 
F.R. 37643); Bulgaria on June 24, 1991 (Presidential Proclamation No. 
6307, 56 F.R. 29787); Mongolia on June 24, 1991 (Presidential 
Proclamation No. 6308, 56 F.R. 29834); Union of Soviet Socialist 
Republics on August 2, 1991 (Presidential Proclamation No. 6320, 56 
F.R. 37407); Albania on June 15, 1992 (Presidential Proclamation No. 
6445, 57 F.R. 26921); Romania (second agreement) on June 22, 1992 
(Presidential Proclamation No. 6449, 57 F.R. 28033); Vietnam on June 8, 
2001 (Presidential Proclamation No. 7449, 66 F.R. 31375).
    Pursuant to sec. 405, on September 6, 1990, the President 
determined ``that the `Agreement on Trade Relations Between the 
Government of the United States of America and the Government of the 
Czechoslovak Federative Republic' will promote the purposes of the 
Trade Act and is in the national interest.'' (Presidential Memorandum 
of September 6, 1990; 55 F.R. 39259).
    Similar determinations were made relating to the Republic of 
Bulgaria on June 24, 1991 (Presidential Determination No. 91-43; 56 
F.R. 31037; July 8, 1991); Mongolian People's Republic on June 24, 1991 
(Presidential Determination No. 91-44; 56 F.R. 31039; July 8, 1991); 
Union of Soviet Socialist Republics on August 2, 1991 (Presidential 
Determination No. 91-47; 56 F.R. 40741; August 15, 1991); Republic of 
Albania on June 15, 1992 (Presidential Determination No. 92-33; 57 F.R. 
28583; June 26, 1992; and Proclamation 6445 of June 15, 1992; 57 F.R. 
26921).
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    (b) Any such bilateral commercial agreement shall--
          (1) \283\ be limited to an initial period specified 
        in the agreement which shall be no more than 3 years 
        from the date the agreement enters into force; except 
        that it may be renewable for additional periods, each 
        not to exceed 3 years; if--
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    \283\ On June 22, 1990, the President determined ``that actual or 
foreseeable reductions in U.S. tariffs and non-tariff trade barriers 
resulting from multilateral negotiations are satisfactorily 
reciprocated by the Republic of Hungary. I have further found that a 
satisfactory balance of concessions in trade and services has been 
maintained during the life of the Agreement on Trade Relations between 
the United States of America and the Republic of Hungary.'' 
(Presidential Determination No. 90-27 of June 22, 1990; 55 F.R. 25945).
    A similar determination was made for the People's Republic of China 
on January 31, 1992 (Presidential Determination No. 92-12; 57 F.R. 
19077); and reconfirmed on June 21, 1996 (Presidential Determination 
No. 96-33; 61 F.R. 32631).
    Similar determinations were made relating to Belarus on March 7, 
1996 (Presidential Determination No. 96-15; 61 F.R. 49935); Kazakhstan 
on March 7, 1996 (Presidential Determination No. 96-16; 61 F.R. 49937); 
Albania on August 27, 1996 (Presidential Determination No. 96-44; 61 
F.R. 45849); Kyrgyzstan on August 27, 1996 (Presidential Determination 
No. 96-45; 61 F.R. 45861); Ukraine on August 27, 1996 (Presidential 
Determination No. 96-46; 61 F.R. 45863); Armenia on August 27, 1996 
(Presidential Determination No. 96-47; 61 F.R. 45865); Moldova on 
August 27, 1996 (Presidential Determination No. 96-48; 61 F.R. 45867); 
Georgia on August 27, 1997 (Presidential Determination No. 96-49; 61 
F.R. 45869); Turkmenistan on November 20, 1996 (Presidential 
Determination No. 97-5; 61 F.R. 59303); Uzbekistan on November 26, 1996 
(Presidential Determination No. 97-6; 61 F.R. 63693); and Tajikistan on 
November 26, 1996 (Presidential Determination No. 97-7; 61 F.R. 63695).
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                  (A) a satisfactory balance of concessions in 
                trade and services has been maintained during 
                the life of such agreement, and
                  (B) the President determines that actual or 
                foreseeable reductions in United States tariffs 
                and nontariff barriers to trade resulting from 
                multilateral negotiations are satisfactorily 
                reciprocated by the other party to the 
                bilateral agreement;
          (2) provide that it is subject to suspension or 
        termination at any time for national security reasons, 
        or that the other provisions of such agreement shall 
        not limit the rights of any party to take any action 
        for the protection of its security interests;
          (3) include safeguard arrangements (A) providing for 
        prompt consultations whenever either actual or 
        prospective imports cause or threaten to cause, or 
        significantly contribute to, market disruption and (B) 
        authorizing the imposition of such import restrictions 
        as may be appropriate to prevent such market 
        disruption;
          (4) if the other party to the bilateral agreement is 
        not a party to the Paris Convention for the Protection 
        of Industrial Property, provide rights for United 
        States nationals with respect to patents and trademarks 
        in such country not less than the rights specified in 
        such convention;
          (5) if the other party to the bilateral agreement is 
        not a party to the Universal Copyright Convention, 
        provide rights for United States nationals with respect 
        to copyrights in such country not less than the rights 
        specified in such convention;
          (6) in the case of an agreement entered into or 
        renewed after the date of the enactment of this Act, 
        provide arrangements for the protection of industrial 
        rights and processes;
          (7) provide arrangements for the settlement of 
        commercial differences and disputes;
          (8) in the case of an agreement entered into or 
        renewed after the date of the enactment of this Act, 
        provide arrangements for the promotion of trade, which 
        may include arrangements \284\ for the establishment of 
        expansion of trade and tourist promotion offices, for 
        facilitation of activities of governmental commercial 
        officers, participation in trade fairs and exhibits, 
        and the sending of trade missions, and for facilitation 
        of entry, establishment, and travel of commercial 
        representatives;
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    \284\ Sec. 1106(f)(3) of the Trade Agreements Act of 1979 (Public 
Law 96-39; 93 Stat. 312) struck out ``those'' and inserted in lieu 
thereof ``arrangement''.
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          (9) provide for consultations for the purpose of 
        reviewing the operation of the agreement and relevant 
        aspects of relations between the United States and the 
        other party; and
          (10) provide such other arrangements of a commercial 
        nature as will promote the purposes of this Act.
    (c) \285\ An agreement referred to in subsection (a), and a 
proclamation referred to in section 404(a) implementing such 
agreement, shall take effect only if a joint resolution 
described in section 151(b)(3) that approves of the agreement 
referred to in subsection (a) is enacted into law.
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    \285\ Sec. 132(b)(1) of the Customs and Trade Act of 1990 (Public 
Law 101-382; 104 Stat. 645) amended and restated subsec. (c). See box 
note, page 365, relating to effective date of amendment.
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SEC. 406.\286\ MARKET DISRUPTION.
    (a)(1) Upon the filing of a petition by an entity described 
in section 202(a),\287\ upon request of the President or the 
United States Trade Representative,\288\ upon resolution of 
either the Committee on Ways and Means of the House of 
Representatives or the Committee on Finance of the Senate, or 
on its own motion, the International Trade Commission 
(hereafter in this section referred to as the ``Commission'') 
shall promptly make an investigation to determine, with respect 
to imports of an article which is the product of a Communist 
country, whether market disruption exists with respect to an 
article produced by a domestic industry.
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    \286\ 19 U.S.C. 2436. The President issued a memorandum for the 
USTR on April 21, 1994 in which he ``determined that import relief for 
honey is not in the national economic interest of the United States. 
However, I am directing the USTR, in consultation with the appropriate 
agencies, to develop a plan to monitor imports of honey from China . . 
.'' (59 F.R. 19627).
    \287\ Sec. 406 was amended by sec. 1411(b) of the Omnibus Trade and 
Competitiveness Act of 1988 (Public Law 100-418; 102 Stat. 1242) which 
substituted ``202(a)'' in lieu of ``201(a)(1)'' in subsecs. (a)(1) and 
(d); and inserted ``subsections (a)(3), (b)(4), and (c)(4) of section 
202'' in lieu of ``subsections (a)(2), (b)(3), and (c) of section 201'' 
in subsec. (a)(2).
    Sec. 1411(c) of that Act further stated the following:
    ``(c) Effective Date.--The amendments made by subsections (a) and 
(b) apply with respect to investigations initiated under section 406(a) 
of the Trade Act of 1974 on or after the date of the enactment of this 
Act.''.
    \288\ This position, formerly entitled the Special Representative 
for Trade Negotiations, was redesignated as the United States Trade 
Representative pursuant to sec. 1(b)(1) of Reorganization Plan No. 3 of 
1979.
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    (2) The provisions of subsections (a)(3), (b)(4), and 
(c)(4) of section 202 \287\ shall apply with respect to 
investigations by the Commission under paragraph (1).
    (3) The Commission shall report to the President its 
determination with respect to each investigation under 
paragraph (1) and the basis therefor and shall include in each 
report any dissenting or separate views. If the Commission 
finds, as a result of its investigation, that market disruption 
exists with respect to an article produced by a domestic 
industry, it shall find the amount of the increase in, or 
imposition of, any duty or other import restriction on such 
article which is necessary to prevent or remedy such market 
disruption and shall include such finding in its report to the 
President. The Commission shall furnish to the President a 
transcript of the hearings and any briefs which may have been 
submitted in connection with each investigation.
    (4) The report of the Commission of its determination with 
respect to an investigation under paragraph (1) shall be made 
at the earliest practicable time, but not later than 3 months 
after the date on which the petition is filed (or the date on 
which the request or resolution is received or the motion is 
adopted, as the case may be). Upon making such report to the 
President, the Commission shall also promptly make public such 
report (with exception of information which the Commission 
determines to be confidential) and shall cause a summary 
thereof to be published in the Federal Register.
  (b) \289\ With respect to any affirmative determination of 
the Commission under subsection (a)--
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    \289\ Subsec. (b) was amended and restated by sec. 1411(a) of 
Public Law 100-418 (102 Stat. 1241).
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          (1) such determination shall be treated as an 
        affirmative determination made under section 201(b) of 
        this Act (as in effect on the day before the date of 
        the enactment of the Omnibus Trade and Competitiveness 
        Act of 1988); and
          (2) sections 202 and 203 of this Act (as in effect on 
        the day before the date of the enactment of such Act of 
        1988), rather than the provisions of chapter 1 of title 
        II of this Act as amended by section 1401 of such Act 
        of 1988, shall apply with respect to the taking of 
        subsequent action, if any, by the President in response 
        to such affirmative determination;
except that--
                  (A) the President may take action under such 
                sections 202 and 203 only with respect to 
                imports from the country or countries involved 
                of the article with respect to which the 
                affirmative determination was made; and
                  (B) if such action consists of, or includes, 
                an orderly marketing agreement, such agreement 
                shall be entered into within 60 days after the 
                import relief determination date.
    (c) If, at any time, the President finds that there are 
reasonable grounds to believe, with respect to imports of an 
article which is the product of a Communist country, that 
market disruption exists with respect to an article produced by 
a domestic industry, he shall request the Commission to 
initiate an investigation under subsection (a). If the 
President further finds that emergency action is necessary, he 
may take action under sections 202 and 203 referred to in 
subsection (b) \290\ as if an affirmative determination of the 
Commission had been made under subsection (a). Any action taken 
by the President under the preceding sentence shall cease to 
apply (1) if a negative determination is made by the Commission 
under subsection (a) with respect to imports of such article, 
on the day on which the Commission's report of such 
determination is submitted to the President, or (2) if an 
affirmative determination is made by the Commission under 
subsection (a) with respect to imports of such article, on the 
day on which the action taken by the President pursuant to such 
determination becomes effective.
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    \290\ Sec. 1411(a)(2) of Public Law 100-418 (102 Stat. 1242) added 
the words ``referred to in subsection (b)''.
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    (d)(1) A petition may be filed with the President by an 
entity described in section 202(a) \287\ requesting the 
President to initiate consultations provided for by the 
safeguard arrangements of any agreement entered into under 
section 405 with respect to imports of an article which is the 
product of the country which is the other party to such 
agreement.
    (2) If the President determines that there are reasonable 
grounds to believe, with respect to imports of such article, 
that market disruption exists with respect to an article 
produced by a domestic industry, he shall initiate 
consultations with such country with respect to such imports.
    (e) For purposes of this section--
          (1) The term ``Communist country'' means any country 
        dominated or controlled by communism.
          (2)(A) \291\ Market disruption exists within a 
        domestic industry whenever imports of an article, like 
        or directly competitive with an article produced by 
        such domestic industry, are increasing rapidly, either 
        absolutely or relatively, so as to be a significant 
        cause of material injury, or threat thereof, to such 
        domestic industry.
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    \291\ Subsec. (e)(2) was amended by sec. 1411(a) of Public Law 100-
418 (102 Stat. 1241), which inserted ``(A)'' after ``(2)'' and added 
new subparas. ``(B)'' and ``(C)''. This subsection was also amended by 
sec. 1001(a)(4) of Public Law 106-36 (113 Stat. 130), which moved 
subparas. ``(B)'' and ``(C)'' 2 ems to the left.
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          (B) For purposes of subparagraph (A):
                  (i) Imports of an article shall be considered 
                to be increasing rapidly if there has been a 
                significant increase in such imports (either 
                actual or relative to domestic production) 
                during a recent period of time.
                  (ii) The term ``significant cause'' refers to 
                a cause which contributes significantly to the 
                material injury of the domestic industry, but 
                need not be equal to or greater than any other 
                cause.
          (C) The Commission, in determining whether market 
        disruption exists, shall consider, among other 
        factors--
                  (i) the volume of imports of the merchandise 
                which is the subject of the investigation;
                  (ii) the effect of imports of the merchandise 
                on prices in the United States for like or 
                directly competitive articles;
                  (iii) the impact of imports of such 
                merchandise on domestic producers of like or 
                directly competitive articles; and
                  (iv) evidence of disruptive pricing 
                practices, or other efforts to unfairly manage 
                trade patterns.

SEC. 407.\292\ PROCEDURE FOR CONGRESSIONAL APPROVAL OR DISAPPROVAL OF 
                    EXTENSION OF NONDISCRIMINATORY TREATMENT AND 
                    PRESIDENTIAL REPORTS.
    (a) Whenever the President issues a proclamation under 
section 404 extending nondiscriminatory treatment to the 
products of any foreign country, he shall promptly transmit to 
the House of Representatives and to the Senate a document 
setting forth the proclamation and the agreement the 
proclamation proposes to implement, together with his reasons 
therefor.
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    \292\ 19 U.S.C. 2437.
---------------------------------------------------------------------------
    (b) The President shall transmit to the House of 
Representatives and the Senate a document containing the 
initial report submitted by him under section 402(b) or 409(b) 
with respect to a nonmarket economy country. On or before 
December 31 of each year, the President shall transmit to the 
House of Representatives and the Senate, a document containing 
the report required by section 402(b) or 409(b) as the case may 
be, to be submitted on or before such December 31.
    (c) \293\ (1) In the case of a document referred to in 
subsection (a), the proclamation set forth in the document may 
become effective and the agreement set forth in the document 
may enter into force and effect only if a joint resolution 
described in section 151(b)(3) that approves of the extension 
of nondiscriminatory treatment to the products of the country 
concerned is enacted into law.
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    \293\ Sec. 132(b)(3) of the Customs and Trade Act of 1990 (Public 
Law 101-382; 104 Stat. 646) struck out paras. (1) and (2) of subsec. 
(c), inserted new text for para. (1), and redesignated ``(3)'' as 
``(2)''. See box note, page 365, relating to effective date of 
amendment.
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    (2) In the case of a document referred to in subsection (b) 
which contains a report submitted by the President under 
section 402(b) or 409(b) with respect to a nonmarket economy 
country, if, before the close of the 90-day period beginning on 
the day on which such document is delivered to the House of 
Representatives and to the Senate, a joint resolution described 
in section 152(a)(1)(B) is enacted into law that disapproves 
\294\ of the report submitted by the President with respect to 
such country, then beginning with the day after the end of the 
60-day period beginning with the date of the enactment \295\ of 
such resolution of disapproval, (A) nondiscriminatory treatment 
shall not be in force with respect to the products of such 
country, and the products of such country shall be dutiable at 
the rates set forth in rate column numbered 2 of the Harmonized 
Tariff Schedule \296\ of the United States, (B) such country 
may not participate in any program of the Government of the 
United States which extends credit or credit guarantees or 
investment guarantees, and (C) no commercial agreement may 
thereafter be concluded with such country under this title. If 
the President vetoes the joint resolution, the joint resolution 
shall be treated as enacted into law before the end of the 90-
day period under this paragraph if both Houses of Congress vote 
to override such veto on or before the later of the last day of 
such 90-day period or the last day of the 15-day period 
(excluding any day described in section 154(b)) beginning on 
the date the Congress receives the veto message from the 
President.\297\
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    \294\ Sec. 132(c)(1)(A) of the Customs and Trade Act of 1990 
(Public Law 101-382; 104 Stat. 646) struck out ``either the House of 
Representatives or the Senate adopts, by an affirmative vote of a 
majority of those present and voting in that House, a resolution of 
disapproval (under the procedures set forth in section 152)'' and 
inserted in lieu thereof ``a joint resolution described in section 
152(a)(1)(B) is enacted into law that disapproves''. See box note, page 
365, relating to effective date of amendment.
    \295\ Sec. 132(c)(1)(B) of the Customs and Trade Act of 1990 
(Public Law 101-382; 104 Stat. 646) struck out ``the date of the 
adoption'' and inserted in lieu thereof ``the end of the 60-day period 
beginning with the date of the enactment''. See box note, page 365, 
relating to effective date of amendment.
    \296\ The words ``Harmonized Tariff Schedule of'' were substituted 
in lieu of ``Tariff Schedules of'' by sec. 1214(j)(4) of Public Law 
100-418 (102 Stat. 1158).
    \297\ Sec. 132(c)(1)(C) of the Customs and Trade Act of 1990 
(Public Law 101-382; 104 Stat. 646) added the last sentence. See box 
note, page 365, relating to effective date of amendment.
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SEC. 408.\298\ PAYMENT BY CZECHOSLOVAKIA OF AMOUNTS OWED UNITED STATES 
                    CITIZENS AND NATIONALS.
    (a) The arrangement initiated on July 5, 1974, with respect 
to the settlement of the claims of citizens and nationals of 
the United States against the Government of Czechoslovakia 
shall be renegotiated and shall be submitted to the Congress as 
part of any agreement entered into under this title with 
Czechoslovakia.
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    \298\ 19 U.S.C. 2438.
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    (b) The United States shall not release any gold belonging 
to Czechoslovakia and controlled directly or indirectly by the 
United States pursuant to the provisions of the Paris 
Reparations Agreement of January 24, 1946, or otherwise, until 
such agreement has been approved by the Congress.

SEC. 409.\299\ FREEDOM TO EMIGRATE TO JOIN A VERY CLOSE RELATIVE IN THE 
                    UNITED STATES.
    (a) \300\ To assure the continued dedication of the United 
States to the fundamental human rights and welfare of its own 
citizens, and notwithstanding any other provision of law, on or 
after the date of the enactment of this Act, no nonmarket 
economy country shall participate in any program of the 
Government of the United States which extends credits or credit 
guarantees or investment guarantees, directly or indirectly, 
and the President of the United States shall not conclude any 
commercial agreement with any such country, during the period 
beginning with the date on which the President determines that 
such country--
---------------------------------------------------------------------------
    \299\ 19 U.S.C. 2439.
    \300\ A Presidential Determination of January 22, 1991 (unnumbered) 
stated that the Republic of Hungary continued ``to meet the emigration 
criteria of the Jackson-Vanik amendment to, and section 409 of, the 
Trade Act of 1974. This determination allowed for Hungary to retain 
most favored nation (MFN) status without an annual waiver.''. The 
President extended this determination on August 5, 1991 (letter to 
Speaker of the House and President of the Senate).
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          (1) denies its citizens the right or opportunity to 
        join permanently through emigration, a very close 
        relative in the United States, such as a spouse, 
        parent, child, brother, or sister;
          (2) imposes more than a nominal tax on the visas or 
        other documents required for emigration described in 
        paragraph (1); or
          (3) imposes more than a nominal tax, levy, fine, fee, 
        or other charge on any citizen as a consequence of the 
        desire of such citizen to emigrate as described in 
        paragraph (1),
and ending on the date on which the President determines that 
such country is no longer in violation of paragraph (1), (2), 
or (3).
    (b) After the date of the enactment of this Act, (A) a 
nonmarket economy country may participate in any program of the 
Government of the United States which extends credits or credit 
guarantees or investment guarantees, and (B) the President may 
conclude a commercial agreement with such country, only after 
the President has submitted to the Congress a report indicating 
that such country is not in violation of paragraph (1), (2), or 
(3) of subsection (a). Such report with respect to such country 
shall include information as to the nature and implementation 
of its laws and policies and restrictions or discrimination 
applied to or against persons wishing to emigrate to the United 
States to join close relatives. The report required by this 
subsection shall be submitted initially as provided herein and, 
with current information, on or before each June 30 and 
December 31 thereafter, so long as such credits or guarantees 
are extended or such agreement is in effect.
    (c) This section shall not apply to any country the 
products of which are eligible for the rates set forth in rate 
column numbered 1 of the Tariff Schedules of the United States 
on the date of enactment of this Act.
    (d) During any period that a waiver is in effect with 
respect to any nonmarket economy country under section 402(c), 
the provisions of subsections (a) and (b) shall not apply with 
respect to such country.

SEC. 410.\301\ * * * [Repealed--1996]

SEC. 411.\302\ * * * [Repealed--1998]

CHAPTER 2--RELIEF FROM MARKET DISRUPTION TO INDUSTRIES AND DIVERSION OF 
                TRADE TO THE UNITED STATES MARKET \303\

SEC. 421. ACTION TO ADDRESS MARKET DISRUPTION.

    (a) Presidential Action.--If a product of the People's 
Republic of China is being imported into the United States in 
such increased quantities or under such conditions as to cause 
or threaten to cause market disruption to the domestic 
producers of a like or directly competitive product, the 
President shall, in accordance with the provisions of this 
section, proclaim increased duties or other import restrictions 
with respect to such product, to the extent and for such period 
as the President considers necessary to prevent or remedy the 
market disruption.
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    \301\ Formerly at 19 U.S.C. 2440. Sec. 410, providing for an 
``East-West trade statistics monitoring system,'' was repealed by sec. 
17 of Public Law 104-295 (110 Stat. 3524).
    \302\ Formerly at 19 U.S.C. 2441. Sec. 411, establishing a ``East-
West Foreign Trade Board'' was repealed by sec. 1401(b)(2) of Public 
Law 105-362 (112 Stat. 3294). Sec. 1001(a)(4) Public Law 106-36 (113 
Stat. 130) repealed the section (and the item relating to it in the 
table of contents) as well, failing to take into account its earlier 
repeal.
    \303\ Sec. 103(a)(3) of Public Law 106-286 (114 Stat. 882) inserted 
this chapter heading and secs. 421 through 423.
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    (b) Initiation of an Investigation.--(1) Upon the filing of 
a `Trade Representative'), upon resolution of either the 
Committee on and Means of the House of Representatives, or the 
Committee on Finance of the Senate (in this subtitle referred 
to as the `Committees') or on this subtitle referred to as the 
`Commission') shall promptly make an investigation to determine 
whether products of the People's Republic of China are being 
imported into the United States in such increased quantities or 
under such conditions as to cause or threaten to cause market 
disruption to the domestic producers of like or directly 
competitive products.
    (2) The limitations on investigations set forth in section 
202(h)(1) of the Trade Act of 1974 (19 U.S.C. 2252(h)(1)) shall 
apply to investigations conducted under this section.
    (3) The provisions of subsections (a)(8) and (i) of section 
202 of the Trade Act of 1974 (19 U.S.C. 2252(a)(8) and (i)), 
relating to treatment of confidential business information, 
shall apply to investigations conducted under this section.
    (4) Whenever a petition is filed, or a request or 
resolution is received, under this subsection, the Commission 
shall transmit a copy thereof to the President, the Trade 
Representative, the Committee on Ways and Means of the House of 
Representatives, and the Committee on Finance of the Senate, 
except that in the case of confidential business information, 
the copy may include only nonconfidential summaries of such 
information.
    (5) The Commission shall publish notice of the commencement 
of any proceeding under this subsection in the Federal Register 
and shall, within a reasonable time thereafter, hold public 
hearings at which the Commission shall afford interested 
parties an opportunity to be present, to present evidence, to 
respond to the presentations of other parties, and otherwise to 
be heard.
    (c) Market Disruption.--(1) For purposes of this section, 
market disruption exists whenever imports of an article like or 
directly competitive with an article produced by a domestic 
industry are increasing rapidly, either absolutely or 
relatively, so as to be a significant cause of material injury, 
or threat of material injury, to the domestic industry.
    (2) For purposes of paragraph (1) the term ``significant 
cause'' refers to a cause which contributes significantly to 
the material injury of the domestic industry, but need not be 
equal to or greater than any other cause.
    (d) Factors in Determination.--In determining whether 
market disruption exists, the Commission shall consider 
objective factors, including--
          (1) the volume of imports of the product which is the 
        subject of the investigation;
          (2) the effect of imports of such product on prices 
        in the United States for like or directly competitive 
        articles; and
          (3) the effect of imports of such product on the 
        domestic industry producing like or directly 
        competitive articles.
The presence or absence of any factor under paragraph (1), (2), 
or (3) is not necessarily dispositive of whether market 
disruption exists.
    (e) Time for Commission Determinations.--The Commission 
shall make and transmit to the President and the Trade 
Representative its determination under subsection (b)(1) at the 
earliest practicable time, but in no case later than 60 days 
(or 90 days in the case of a petition requesting relief under 
subsection (i)) after the date on which the petition is filed, 
the request or resolution is received, or the motion is 
adopted, under subsection (b). If the Commissioners voting are 
equally divided with respect to its determination, then the 
determination agreed upon by either group of Commissioners may 
be considered by the President and the Trade Representative as 
the determination of the Commission.
    (f) Recommendations of Commission on Proposed Remedies.--If 
the Commission makes an affirmative determination under 
subsection (b), or a determination which the President or the 
Trade Representative may consider as affirmative under 
subsection (e), the Commission shall propose the amount of 
increase in, or imposition of, any duty or other import 
restrictions necessary to prevent or remedy the market 
disruption. Only those members of the Commission who agreed to 
the affirmative determination under subsection (b) are eligible 
to vote on the proposed action to prevent or remedy market 
disruption. Members of the Commission who did not agree to the 
affirmative determination may submit, in the report required 
under subsection (g), separate views regarding what action, if 
any, should be taken to prevent or remedy market disruption.
    (g) Report by Commission.--(1) Not later than 20 days after 
a determination under subsection (b) is made, the Commission 
shall submit a report to the President and the Trade 
Representative.
    (2) The Commission shall include in the report required 
under paragraph (1) the following:
          (A) The determination made under subsection (b) and 
        an explanation of the basis for the determination.
          (B) If the determination under subsection (b) is 
        affirmative, or may be considered by the President or 
        the Trade Representative as affirmative under 
        subsection (e), the recommendations of the Commission 
        on proposed remedies under subsection (f ) and an 
        explanation of the basis for each recommendation.
          (C) Any dissenting or separate views by members of 
        the Commission regarding the determination and any 
        recommendation referred to in subparagraphs (A) and 
        (B).
          (D) A description of--
                  (i) the short- and long-term effects that 
                implementation of the action recommended under 
                subsection (f) is likely to have on the 
                petitioning domestic industry, on other 
                domestic industries, and on consumers; and
                  (ii) the short- and long-term effects of not 
                taking the recommended action on the 
                petitioning domestic industry, its workers, and 
                the communities where production facilities of 
                such industry are located, and on other 
                domestic industries.
    (3) The Commission, after submitting a report to the 
President under paragraph (1), shall promptly make it available 
to the public (but shall not include confidential business 
information) and cause a summary thereof to be published in the 
Federal Register.
    (h) Opportunity to Present Views and Evidence on Proposed 
Measure and Recommendation to the President.--(1) Within 20 
days after receipt of the Commission's report under subsection 
(g) (or 15 days in the case of an affirmative preliminary 
determination under subsection (i)(1)(B)), the Trade 
Representative shall publish in the Federal Register notice of 
any measure proposed by the Trade Representative to be taken 
pursuant to subsection (a) and of the opportunity, including a 
public hearing, if requested, for importers, exporters, and 
other interested parties to submit their views and evidence on 
the appropriateness of the proposed measure and whether it 
would be in the public interest.
    (2) Within 55 days after receipt of the report under 
subsection (g) (or 35 days in the case of an affirmative 
preliminary determination under subsection (i)(1)(B)), the 
Trade Representative, taking into account the views and 
evidence received under paragraph (1) on the measure proposed 
by the Trade Representative, shall make a recommendation to the 
President concerning what action, if any, to take to prevent or 
remedy the market disruption.
    (i) Critical Circumstances.--(1) When a petition filed 
under subsection (b) alleges that critical circumstances exist 
and requests that provisional relief be provided under this 
subsection with respect to the product identified in the 
petition, the Commission shall, not later than 45 days after 
the petition containing the request is filed--
          (A) determine whether delay in taking action under 
        this section would cause damage to the relevant 
        domestic industry which would be difficult to repair; 
        and
          (B) if the determination under subparagraph (A) is 
        affirmative, make a preliminary determination of 
        whether imports of the product which is the subject of 
        the investigation have caused or threatened to cause 
        market disruption.
If the Commissioners voting are equally divided with respect to 
either of its determinations, then the determination agreed 
upon by either group of Commissioners may be considered by the 
President and the Trade Representative as the determination of 
the Commission.
  (2) On the date on which the Commission completes its 
determinations under paragraph (1), the Commission shall 
transmit a report on the determinations to the President and 
the Trade Representative, including the reasons for its 
determinations. If the determinations under paragraph (1) are 
affirmative, or may be considered by the President or the Trade 
Representative as affirmative under paragraph (1), the 
Commission shall include in its report its recommendations on 
proposed provisional measures to be taken to prevent or remedy 
the market disruption. Only those members of the Commission who 
agreed to the affirmative determinations under paragraph (1) 
are eligible to vote on the proposed provisional measures to 
prevent or remedy market disruption. Members of the Commission 
who did not agree to the affirmative determinations may submit, 
in the report, dissenting or separate views regarding the 
determination and any recommendation of provisional measures 
referred to in this paragraph.
  (3) If the determinations under paragraph (1) are 
affirmative, or may be considered by the President or the Trade 
Representative as affirmative under paragraph (1), the Trade 
Representative shall, within 10 days after receipt of the 
Commission's report, determine the amount or extent of 
provisional relief that is necessary to prevent or remedy the 
market disruption and shall provide a recommendation to the 
President on what provisional measures, if any, to take.
  (4)(A) The President shall determine whether to provide 
provisional relief and proclaim such relief, if any, within 10 
days after receipt of the recommendation from the Trade 
Representative.
  (B) Such relief may take the form of--
          (i) the imposition of or increase in any duty;
          (ii) any modification, or imposition of any 
        quantitative restriction on the importation of an 
        article into the United States; or
          (iii) any combination of actions under clauses (i) 
        and (ii).
  (C) Any provisional action proclaimed by the President 
pursuant to a determination of critical circumstances shall 
remain in effect not more than 200 days.
  (D) Provisional relief shall cease to apply upon the 
effective date of relief proclaimed under subsection (a), upon 
a decision by the President not to provide such relief, or upon 
a negative determination by the Commission under subsection 
(b).
    (j) Agreements with the People's Republic of China.--(1) 
The Trade Representative is authorized to enter into agreements 
for the People's Republic of China to take such action as 
necessary to prevent or remedy market disruption, and should 
seek to conclude such agreements before the expiration of the 
60-day consultation period provided for under the product-
specific safeguard provision of the Protocol of Accession of 
the People's Republic of China to the WTO, which shall commence 
not later than 5 days after the Trade Representative receives 
an affirmative determination provided for in subsection (e) or 
a determination which the Trade Representative considers to be 
an affirmative determination pursuant to subsection (e).
  (2) If no agreement is reached with the People's Republic of 
China pursuant to consultations under paragraph (1), or if the 
President determines than an agreement reached pursuant to such 
consultations is not preventing or remedying the market 
disruption at issue, the President shall provide import relief 
in accordance with subsection (a).
    (k) Standard for Presidential Action.--(1) Within 15 days 
after receipt of a recommendation from the Trade Representative 
under subsection (h) on the appropriate action, if any, to take 
to prevent or remedy the market disruption, the President shall 
provide import relief for such industry pursuant to subsection 
(a), unless the President determines that provision of such 
relief is not in the national economic interest of the United 
States or, in extraordinary cases, that the taking of action 
pursuant to subsection (a) would cause serious harm to the 
national security of the United States.
  (2) The President may determine under paragraph (1) that 
providing import relief is not in the national economic 
interest of the United States only if the President finds that 
the taking of such action would have an adverse impact on the 
United States economy clearly greater than the benefits of such 
action.
    (l) Publication of Decision and Reports.--(1) The 
President's decision, including the reasons therefor and the 
scope and duration of any action taken, shall be published in 
the Federal Register.
  (2) The Commission shall promptly make public any report 
transmitted under this section, but shall not make public any 
information which the Commission determines to be confidential, 
and shall publish notice of such report in the Federal 
Register.
    (m) Effective Date of Relief.--Import relief under this 
section shall take effect not later than 15 days after the 
President's determination to provide such relief.
    (n) Modifications of Relief.--(1) At any time after the end 
of the 6-month period beginning on the date on which relief 
under subsection (m) first takes effect, the President may 
request that the Commission provide a report on the probable 
effect of the modification, reduction, or termination of the 
relief provided on the relevant industry. The Commission shall 
transmit such report to the President within 60 days of the 
request.
  (2) The President may, after receiving a report from the 
Commission under paragraph (1), take such action to modify, 
reduce, or terminate relief that the President determines is 
necessary to continue to prevent or remedy the market 
disruption at issue.
  (3) Upon the granting of relief under subsection (k), the 
Commission shall collect such data as is necessary to allow it 
to respond rapidly to a request by the President under 
paragraph (1).
    (o) Extension of Action.--(1) Upon request of the 
President, or upon petition on behalf of the industry concerned 
filed with the Commission not earlier than the date which is 9 
months, and not later than the date which is 6 months, before 
the date any relief provided under subsection (k) is to 
terminate, the Commission shall investigate to determine 
whether action under this section continues to be necessary to 
prevent or remedy market disruption.
  (2) The Commission shall publish notice of the commencement 
of any proceeding under this subsection in the Federal Register 
and shall, within a reasonable time thereafter, hold a public 
hearing at which the Commission shall afford interested parties 
and consumers an opportunity to be present, to present 
evidence, and to respond to the presentations of other parties 
and consumers, and otherwise to be heard.
  (3) The Commission shall transmit to the President a report 
on its investigation and determination under this subsection 
not later than 60 days before the action under subsection (m) 
is to terminate.
  (4) The President, after receiving an affirmative 
determination from the Commission under paragraph (3), may 
extend the effective period of any action under this section if 
the President determines that the action continues to be 
necessary to prevent or remedy the market disruption.

SEC. 422.\304\ ACTION IN RESPONSE TO TRADE DIVERSION.
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    \304\ 19 U.S.C. 2451a. Sec. 103(a)(3) of Public Law 106-286 (114 
Stat. 887) inserted sec. 422.
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    (a) Monitoring by Customs Service.--In any case in which a 
WTO member other than the United States requests consultations 
with the People's Republic of China under the product-specific 
safeguard provision of the Protocol of Accession of the 
People's Republic of China to the World Trade Organization, the 
Trade Representative shall inform the United States Customs 
Service, which shall monitor imports into the United States of 
those products of Chinese origin that are the subject of the 
consultation request. Data from such monitoring shall promptly 
be made available to the Commission upon request by the 
Commission.
    (b) Initiation of Investigation.--(1) Upon the filing of a 
petition by an entity described in section 202(a) of the Trade 
Act of 1974, upon the request of the President or the Trade 
Representative, upon resolution of either of the Committees, or 
on its own motion, the Commission shall promptly make an 
investigation to determine whether an action described in 
subsection (c) has caused, or threatens to cause, a significant 
diversion of trade into the domestic market of the United 
States.
  (2) The Commission shall publish notice of the commencement 
of any proceeding under this subsection in the Federal Register 
and shall, within a reasonable time thereafter, hold public 
hearings at which the Commission shall afford interested 
parties an opportunity to be present, to present evidence, to 
respond to the presentations of other parties, and otherwise to 
be heard.
  (3) The provisions of subsections (a)(8) and (i) of section 
202 of the Trade Act of 1974 (19 U.S.C. 2252(a)(8) and (i)), 
relating to treatment of confidential business information, 
shall apply to investigations conducted under this section.
    (c) Actions Described.--An action is described in this 
subsection if it is an action--
          (1) by the People's Republic of China to prevent or 
        remedy market disruption in a WTO member other than the 
        United States;
          (2) by a WTO member other than the United States to 
        withdraw concessions under the WTO Agreement or 
        otherwise to limit imports to prevent or remedy market 
        disruption;
          (3) by a WTO member other than the United States to 
        apply a provisional safeguard within the meaning of the 
        product-specific safeguard provision of the Protocol of 
        Accession of the People's Republic of China to the WTO; 
        or
          (4) any combination of actions described in 
        paragraphs (1) through (3).
    (d) Basis for Determination of Significant Diversion.--(1) 
In determining whether significant diversion or the threat 
thereof exists for purposes of this section, the Commission 
shall take into account, to the extent such evidence is 
reasonably available--
          (A) the monitoring conducted under subsection (a);
          (B) the actual or imminent increase in United States 
        market share held by such imports from the People's 
        Republic of China;
          (C) the actual or imminent increase in volume of such 
        imports into the United States;
          (D) the nature and extent of the action taken or 
        proposed by the WTO member concerned;
          (E) the extent of exports from the People's Republic 
        of China to that WTO member and to the United States;
          (F) the actual or imminent changes in exports to that 
        WTO member due to the action taken or proposed;
          (G) the actual or imminent diversion of exports from 
        the People's Republic of China to countries other than 
        the United States;
          (H) cyclical or seasonal trends in import volumes 
        into the United States of the products at issue; and
          (I) conditions of demand and supply in the United 
        States market for the products at issue.
The presence or absence of any factor under any of 
subparagraphs (A) through (I) is not necessarily dispositive of 
whether a significant diversion of trade or the threat thereof 
exists.
  (2) For purposes of making its determination, the Commission 
shall examine changes in imports into the United States from 
the People's Republic of China since the time that the WTO 
member commenced the investigation that led to a request for 
consultations described in subsection (a).
  (3) If more than one action by a WTO member or WTO members 
against a particular product is identified in the petition, 
request, or resolution under subsection (b) or during the 
investigation, the Commission may cumulatively assess the 
actual or likely effects of such actions jointly in determining 
whether a significant diversion of trade or threat thereof 
exists.
    (e) Commission Determination; Agreement Authority.--(1) The 
Commission shall make and transmit to the President and the 
Trade Representative its determination under subsection (b) at 
the earliest practicable time, but in no case later than 45 
days after the date on which the petition is filed, the request 
or resolution is received, or the motion is adopted, under 
subsection (b). If the Commissioners voting are equally divided 
with respect to its determination, then the determination 
agreed upon by either group of Commissioners may be considered 
by the President and the Trade Representative as the 
determination of the Commission.
  (2) The Trade Representative is authorized to enter into 
agreements with the People's Republic of China or the other WTO 
members concerned to take such action as necessary to prevent 
or remedy significant trade diversion or threat thereof into 
the domestic market of the United States, and should seek to 
conclude such agreements before the expiration of the 60-day 
consultation period provided for under the product-specific 
safeguard provision of the Protocol of Accession of the 
People's Republic of China to the WTO, which shall commence not 
later than 5 days after the Trade Representative receives an 
affirmative determination provided for in paragraph (1) or a 
determination which the Trade Representative considers to be an 
affirmative determination pursuant to paragraph (1).
  (3) Report by Commission.--
          (A) Not later than 10 days after a determination 
        under subsection (b), is made, the Commission shall 
        transmit a report to the President and the Trade 
        Representative.
          (B) The Commission shall include in the report 
        required under subparagraph (A) the following:
                  (i) The determination made under subsection 
                (b) and an explanation of the basis for the 
                determination.
                  (ii) If the determination under subsection 
                (b) is affirmative, or may be considered by the 
                President or the Trade Representative as 
                affirmative under subsection (e)(1), the 
                recommendations of the Commission on increased 
                tariffs or other import restrictions to be 
                imposed to prevent or remedy the trade 
                diversion or threat thereof, and explanations 
                of the bases for such recommendations. Only 
                those members of the Commission who agreed to 
                the affirmative determination under subsection 
                (b) are eligible to vote on the proposed action 
                to prevent or remedy the trade diversion or 
                threat thereof.
                  (iii) Any dissenting or separate views by 
                members of the Commission regarding the 
                determination and any recommendation referred 
                to in clauses (i) and (ii).
                  (iv) A description of--
                          (I) the short- and long-term effects 
                        that implementation of the action 
                        recommended under clause (ii) is likely 
                        to have on the petitioning domestic 
                        industry, on other domestic industries, 
                        and on consumers; and
                          (II) the short- and long-term effects 
                        of not taking the recommended action on 
                        the petitioning domestic industry, its 
                        workers and the communities where 
                        production facilities of such industry 
                        are located, and on other domestic 
                        industries.
          (C) The Commission, after submitting a report to the 
        President under subparagraph (A), shall promptly make 
        it available to the public (with the exception of 
        confidential business information) and cause a summary 
        thereof to be published in the Federal Register.
    (f) Public Comment.--If consultations fail to lead to an 
agreement with the People's Republic of China or the WTO member 
concerned within 60 days, the Trade Representative shall 
promptly publish notice in the Federal Register of any proposed 
action to prevent or remedy the trade diversion, and provide an 
opportunity for interested persons to present views and 
evidence on whether the proposed action is in the public 
interest.
    (g) Recommendation to the President.--Within 20 days after 
the end of consultations pursuant to subsection (e), the Trade 
Representative shall make a recommendation to the President on 
what action, if any, should be taken to prevent or remedy the 
trade diversion or threat thereof.
    (h) Presidential Action.--Within 20 days after receipt of 
the recommendation from the Trade Representative, the President 
shall determine what action to take to prevent or remedy the 
trade diversion or threat thereof.
    (i) Duration of Action.--Action taken under subsection (h) 
shall be terminated not later than 30 days after expiration of 
the action taken by the WTO member or members involved against 
imports from the People's Republic of China.
    (j) Review of Circumstances.--(1) The Commission shall 
review the continued need for action taken under subsection (h) 
if the WTO member or members involved notify the Committee on 
Safeguards of the WTO of any modification in the action taken 
by them against the People's Republic of China pursuant to 
consultation referred to in subsection (a). The Commission 
shall, not later than 60 days after such notification, 
determine whether a significant diversion of trade continues to 
exist and report its determination to the President. The 
President shall determine, within 15 days after receiving the 
Commission's report, whether to modify, withdraw, or keep in 
place the action taken under subsection (h).

SEC. 423.\305\ REGULATIONS; TERMINATION OF PROVISION.
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    \305\ 19 U.S.C. 2451b. Sec. 103(a)(3) of Public Law 106-286 (114 
Stat. 890) inserted sec. 423.
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    (a) To Carry Out Restrictions and Monitoring.--The 
President shall by regulation provide for the efficient and 
fair administration of any restriction proclaimed pursuant to 
the subtitle and to provide for effective monitoring of imports 
under section 422(a).
    (b) To Carry Out Agreements.--To carry out an agreement 
concluded pursuant to consultations under section 421(j) or 
422(e)(2), the President is authorized to prescribe regulations 
governing the entry or withdrawal from warehouse of articles 
covered by such agreement.
    (c) Termination Date.--This subtitle and any regulations 
issued under this subtitle shall cease to be effective 12 years 
after the date of entry into force of the Protocol of Accession 
of the People's Republic of China to the WTO.

            TITLE V--GENERALIZED SYSTEM OF PREFERENCES \306\

SEC. 501.\307\ AUTHORITY TO EXTEND PREFERENCES.

    The President may provide duty-free treatment for any 
eligible article from any beneficiary developing country in 
accordance with the provisions of this title. In taking any 
such action, the President shall have due regard for--
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    \306\ Sec. 1952(a) of the GSP Renewal Act of 1996 (in subtitle J of 
title I of the Small Business Job Protection Act of 1996; Public Law 
104-188; 110 Stat. 1917) amended and restated title V in its entirety, 
effective Oct. 1, 1996.
    For amendment history and related executive actions before 
enactment of the amendment see page 824.
    \307\ 19 U.S.C. 2461.
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          (1) the effect such action will have on furthering 
        the economic development of developing countries 
        through the expansion of their exports;
          (2) the extent to which other major developed 
        countries are undertaking a comparable effort to assist 
        developing countries by granting generalized 
        preferences with respect to imports of products of such 
        countries;
          (3) the anticipated impact of such action on United 
        States producers of like or directly competitive 
        products; and
          (4) the extent of the beneficiary developing 
        country's competitiveness with respect to eligible 
        articles.

SEC. 502.\308\ DESIGNATION OF BENEFICIARY DEVELOPING COUNTRIES.

    (a) Authority To Designate Countries.--
---------------------------------------------------------------------------
    \308\ 19 U.S.C. 2462.
---------------------------------------------------------------------------
          (1) Beneficiary developing countries.--The President 
        is authorized to designate countries as beneficiary 
        developing countries for purposes of this title.
          (2) Least-developed beneficiary developing 
        countries.--The President is authorized to designate 
        any beneficiary developing country as a least-developed 
        beneficiary developing country for purposes of this 
        title, based on the considerations in section 501 and 
        subsection (c) of this section.
    (b) Countries Ineligible for Designation.--
          (1) Specific countries.--The following countries may 
        not be designated as beneficiary developing countries 
        for purposes of this title:
                  (A) Australia.
                  (B) Canada.
                  (C) European Union member states.
                  (D) Iceland.
                  (E) Japan.
                  (F) Monaco.
                  (G) New Zealand.
                  (H) Norway.
                  (I) Switzerland.
          (2) Other bases for ineligibility.--The President 
        shall not designate any country a beneficiary 
        developing country under this title if any of the 
        following applies:
                  (A) Such country is a Communist country, 
                unless--
                          (i) the products of such country 
                        receive nondiscriminatory treatment,
                          (ii) such country is a WTO Member (as 
                        such term is defined in section 2(10) 
                        of the Uruguay Round Agreements Act) 
                        (19 U.S.C. 3501(10)) and a member of 
                        the International Monetary Fund, and
                          (iii) such country is not dominated 
                        or controlled by international 
                        communism.
                  (B) Such country is a party to an arrangement 
                of countries and participates in any action 
                pursuant to such arrangement, the effect of 
                which is--
                          (i) to withhold supplies of vital 
                        commodity resources from international 
                        trade or to raise the price of such 
                        commodities to an unreasonable level, 
                        and
                          (ii) to cause serious disruption of 
                        the world economy.
                  (C) Such country affords preferential 
                treatment to the products of a developed 
                country, other than the United States, which 
                has, or is likely to have, a significant 
                adverse effect on United States commerce.
                  (D)(i) Such country--
                          (I) has nationalized, expropriated, 
                        or otherwise seized ownership or 
                        control of property, including patents, 
                        trademarks, or copyrights, owned by a 
                        United States citizen or by a 
                        corporation, partnership, or 
                        association which is 50 percent or more 
                        beneficially owned by United States 
                        citizens,
                          (II) has taken steps to repudiate or 
                        nullify an existing contract or 
                        agreement with a United States citizen 
                        or a corporation, partnership, or 
                        association which is 50 percent or more 
                        beneficially owned by United States 
                        citizens, the effect of which is to 
                        nationalize, expropriate, or otherwise 
                        seize ownership or control of property, 
                        including patents, trademarks, or 
                        copyrights, so owned, or
                          (III) has imposed or enforced taxes 
                        or other exactions, restrictive 
                        maintenance or operational conditions, 
                        or other measures with respect to 
                        property, including patents, 
                        trademarks, or copyrights, so owned, 
                        the effect of which is to nationalize, 
                        expropriate, or otherwise seize 
                        ownership or control of such property, 
                        unless clause (ii) applies.
                  (ii) This clause applies if the President 
                determines that--
                          (I) prompt, adequate, and effective 
                        compensation has been or is being made 
                        to the citizen, corporation, 
                        partnership, or association referred to 
                        in clause (i),
                          (II) good faith negotiations to 
                        provide prompt, adequate, and effective 
                        compensation under the applicable 
                        provisions of international law are in 
                        progress, or the country described in 
                        clause (i) is otherwise taking steps to 
                        discharge its obligations under 
                        international law with respect to such 
                        citizen, corporation, partnership, or 
                        association, or
                          (III) a dispute involving such 
                        citizen, corporation, partnership, or 
                        association over compensation for such 
                        a seizure has been submitted to 
                        arbitration under the provisions of the 
                        Convention for the Settlement of 
                        Investment Disputes, or in another 
                        mutually agreed upon forum,
                and the President promptly furnishes a copy of 
                such determination to the Senate and House of 
                Representatives.
                  (E) Such country fails to act in good faith 
                in recognizing as binding or in enforcing 
                arbitral awards in favor of United States 
                citizens or a corporation, partnership, or 
                association which is 50 percent or more 
                beneficially owned by United States citizens, 
                which have been made by arbitrators appointed 
                for each case or by permanent arbitral bodies 
                to which the parties involved have submitted 
                their dispute.
                  (F) \309\ Such country aids or abets, by 
                granting sanctuary from prosecution to, any 
                individual or group which has committed an act 
                of international terrorism or the Secretary of 
                State makes a determination with respect to 
                such country under section 6(j)(1)(A) of the 
                Export Administration Act of 1979.
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    \309\ Sec. 35(a) of Public Law 104-295 (110 Stat. 3538) amended and 
restated subpara. (F), effective Oct. 1, 1996. It formerly read as 
follows: ``Such country aids or abets, by granting sanctuary from 
prosecution to, any individual or group which has committed an act of 
international terrorism.''.
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                  (G) Such country has not taken or is not 
                taking steps to afford internationally 
                recognized worker rights to workers in the 
                country (including any designated zone in that 
                country).
                  (H) \310\ Such country has not implemented 
                its commitments to eliminate the worst forms of 
                child labor.
---------------------------------------------------------------------------
    \310\ Sec. 412(a)(1) of Public Law 106-200 inserted subpara. (H).
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        Subparagraphs (D), (E), (F), (G), and (H) (to the 
        extent described in section 507(6)(D)) \311\ shall not 
        prevent the designation of any country as a beneficiary 
        developing country under this title if the President 
        determines that such designation will be in the 
        national economic interest of the United States and 
        reports such determination to the Congress with the 
        reasons therefor.
---------------------------------------------------------------------------
    \311\ Sec. 412(a)(2) of Public Law 106-200 struck out ``and (G)'' 
and inserted in lieu thereof ``(G), and (H) (to the extent described in 
section 507(6)(D))''.
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    (c) Factors Affecting Country Designation.--In determining 
whether to designate any country as a beneficiary developing 
country under this title, the President shall take into 
account--
          (1) an expression by such country of its desire to be 
        so designated;
          (2) the level of economic development of such 
        country, including its per capita gross national 
        product, the living standards of its inhabitants, and 
        any other economic factors which the President deems 
        appropriate;
          (3) whether or not other major developed countries 
        are extending generalized preferential tariff treatment 
        to such country;
          (4) the extent to which such country has assured the 
        United States that it will provide equitable and 
        reasonable access to the markets and basic commodity 
        resources of such country and the extent to which such 
        country has assured the United States that it will 
        refrain from engaging in unreasonable export practices;
          (5) the extent to which such country is providing 
        adequate and effective protection of intellectual 
        property rights;
          (6) the extent to which such country has taken action 
        to--
                  (A) reduce trade distorting investment 
                practices and policies (including export 
                performance requirements); and
                  (B) reduce or eliminate barriers to trade in 
                services; and
          (7) whether or not such country has taken or is 
        taking steps to afford to workers in that country 
        (including any designated zone in that country) 
        internationally recognized worker rights.
    (d) Withdrawal, Suspension, or Limitation of Country 
Designation.--
          (1) In general.--The President may withdraw, suspend, 
        or limit the application of the duty-free treatment 
        accorded under this title with respect to any country. 
        In taking any action under this subsection, the 
        President shall consider the factors set forth in 
        section 501 and subsection (c) of this section.
          (2) Changed circumstances.--The President shall, 
        after complying with the requirements of subsection 
        (f)(2), withdraw or suspend the designation of any 
        country as a beneficiary developing country if, after 
        such designation, the President determines that as the 
        result of changed circumstances such country would be 
        barred from designation as a beneficiary developing 
        country under subsection (b)(2). Such country shall 
        cease to be a beneficiary developing country on the day 
        on which the President issues an Executive order or 
        Presidential proclamation revoking the designation of 
        such country under this title.
          (3) Advice to congress.--The President shall, as 
        necessary, advise the Congress on the application of 
        section 501 and subsection (c) of this section, and the 
        actions the President has taken to withdraw, to 
        suspend, or to limit the application of duty-free 
        treatment with respect to any country which has failed 
        to adequately take the actions described in subsection 
        (c).
    (e) Mandatory Graduation of Beneficiary Developing 
Countries.--If the President determines that a beneficiary 
developing country has become a ``high income'' country, as 
defined by the official statistics of the International Bank 
for Reconstruction and Development, then the President shall 
terminate the designation of such country as a beneficiary 
developing country for purposes of this title, effective on 
January 1 of the second year following the year in which such 
determination is made.
    (f) Congressional Notification.--
          (1) Notification of designation.--
                  (A) In general.--Before the President 
                designates any country as a beneficiary 
                developing country under this title, the 
                President shall notify the Congress of the 
                President's intention to make such designation, 
                together with the considerations entering into 
                such decision.
                  (B) Designation as least-developed 
                beneficiary developing country.--At least 60 
                days before the President designates any 
                country as a least-developed beneficiary 
                developing country, the President shall notify 
                the Congress of the President's intention to 
                make such designation.
          (2) Notification of termination.--If the President 
        has designated any country as a beneficiary developing 
        country under this title, the President shall not 
        terminate such designation unless, at least 60 days 
        before such termination, the President has notified the 
        Congress and has notified such country of the 
        President's intention to terminate such designation, 
        together with the considerations entering into such 
        decision.

SEC. 503.\312\ DESIGNATION OF ELIGIBLE ARTICLES.

    (a) Eligible Articles.--
---------------------------------------------------------------------------
    \312\ 19 U.S.C. 2463.
---------------------------------------------------------------------------
          (1) Designation.--
                  (A) In general.--Except as provided in 
                subsection (b), the President is authorized to 
                designate articles as eligible articles from 
                all beneficiary developing countries for 
                purposes of this title by Executive order or 
                Presidential proclamation after receiving the 
                advice of the International Trade Commission in 
                accordance with subsection (e).
                  (B) Least-developed beneficiary developing 
                countries.--Except for articles described in 
                subparagraphs (A), (B), and (E) of subsection 
                (b)(1) and articles described in paragraphs (2) 
                and (3) of subsection (b), the President may, 
                in carrying out section 502(d)(1) and 
                subsection (c)(1) of this section, designate 
                articles as eligible articles only for 
                countries designated as least-developed 
                beneficiary developing countries under section 
                502(a)(2) if, after receiving the advice of the 
                International Trade Commission in accordance 
                with subsection (e) of this section, the 
                President determines that such articles are not 
                import-sensitive in the context of imports from 
                least-developed beneficiary developing 
                countries.
                  (C) Three-year rule.--If, after receiving the 
                advice of the International Trade Commission 
                under subsection (e), an article has been 
                formally considered for designation as an 
                eligible article under this title and denied 
                such designation, such article may not be 
                reconsidered for such designation for a period 
                of 3 years after such denial.
          (2) Rule of origin.--
                  (A) General rule.--The duty-free treatment 
                provided under this title shall apply to any 
                eligible article which is the growth, product, 
                or manufacture of a beneficiary developing 
                country if--
                          (i) that article is imported directly 
                        from a beneficiary developing country 
                        into the customs territory of the 
                        United States; and
                          (ii) the sum of--
                                  (I) the cost or value of the 
                                materials produced in the 
                                beneficiary developing country 
                                or any two or more such 
                                countries that are members of 
                                the same association of 
                                countries and are treated as 
                                one country under section 
                                507(2), plus
                                  (II) \313\ the direct costs 
                                of processing operations 
                                performed in such beneficiary 
                                developing country or such 
                                member countries, is not less 
                                than 35 percent of the 
                                appraised value of such article 
                                at the time it is entered.
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    \313\ Sec. 1001(a)(7) of Public Law 106-36 (113 Stat. 130) struck 
out subclause (II) and inserted in lieu thereof a new subclause (II). 
The subclause formerly read as follows: ``(II) the direct costs of 
processing operations performed in such beneficiary developing country 
or such member countries, is not less than 35 percent of the appraised 
value of such article at the time it is entered.''
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                  (B) Exclusions.--An article shall not be 
                treated as the growth, product, or manufacture 
                of a beneficiary developing country by virtue 
                of having merely undergone--
                          (i) simple combining or packaging 
                        operations, or
                          (ii) mere dilution with water or mere 
                        dilution with another substance that 
                        does not materially alter the 
                        characteristics of the article.
          (3) Regulations.--The Secretary of the Treasury, 
        after consulting with the United States Trade 
        Representative, shall prescribe such regulations as may 
        be necessary to carry out paragraph (2), including, but 
        not limited to, regulations providing that, in order to 
        be eligible for duty-free treatment under this title, 
        an article--
                  (A) must be wholly the growth, product, or 
                manufacture of a beneficiary developing 
                country, or
                  (B) must be a new or different article of 
                commerce which has been grown, produced, or 
                manufactured in the beneficiary developing 
                country.
    (b) Articles That May Not Be Designated As Eligible 
Articles.--
          (1) Import sensitive articles.--The President may not 
        designate any article as an eligible article under 
        subsection (a) if such article is within one of the 
        following categories of import-sensitive articles:
                  (A) Textile and apparel articles which were 
                not eligible articles for purposes of this 
                title on January 1, 1994, as this title was in 
                effect on such date.
                  (B) Watches, except those watches entered 
                after June 30, 1989, that the President 
                specifically determines, after public notice 
                and comment, will not cause material injury to 
                watch or watch band, strap, or bracelet 
                manufacturing and assembly operations in the 
                United States or the United States insular 
                possessions.
                  (C) Import-sensitive electronic articles.
                  (D) Import-sensitive steel articles.
                  (E) Footwear, handbags, luggage, flat goods, 
                work gloves, and leather wearing apparel which 
                were not eligible articles for purposes of this 
                title on January 1, 1995, as this title was in 
                effect on such date.
                  (F) Import-sensitive semimanufactured and 
                manufactured glass products.
                  (G) Any other articles which the President 
                determines to be import-sensitive in the 
                context of the Generalized System of 
                Preferences.
          (2) Articles against which other actions taken.--An 
        article shall not be an eligible article for purposes 
        of this title for any period during which such article 
        is the subject of any action proclaimed pursuant to 
        section 203 of this Act (19 U.S.C. 2253) or section 232 
        or 351 of the Trade Expansion Act of 1962 (19 U.S.C. 
        1862, 1981).
          (3) Agricultural products.--No quantity of an 
        agricultural product subject to a tariff-rate quota 
        that exceeds the in-quota quantity shall be eligible 
        for duty-free treatment under this title.
    (c) Withdrawal, Suspension, or Limitation of Duty-Free 
Treatment; Competitive Need Limitation.--
          (1) In general.--The President may withdraw, suspend, 
        or limit the application of the duty-free treatment 
        accorded under this title with respect to any article, 
        except that no rate of duty may be established with 
        respect to any article pursuant to this subsection 
        other than the rate which would apply but for this 
        title. In taking any action under this subsection, the 
        President shall consider the factors set forth in 
        sections 501 and 502(c).
          (2) Competitive need limitation.--
                  (A) Basis for withdrawal of duty-free 
                treatment.--
                          (i) In general.--Except as provided 
                        in clause (ii) and subject to 
                        subsection (d), whenever the President 
                        determines that a beneficiary 
                        developing country has exported 
                        (directly or indirectly) to the United 
                        States during any calendar year 
                        beginning after December 31, 1995--
                                  (I) a quantity of an eligible 
                                article having an appraised 
                                value in excess of the 
                                applicable amount for the 
                                calendar year, or
                                  (II) a quantity of an 
                                eligible article equal to or 
                                exceeding 50 percent of the 
                                appraised value of the total 
                                imports of that article into 
                                the United States during any 
                                calendar year,
                        the President shall, not later than 
                        July 1 of the next calendar year, 
                        terminate the duty-free treatment for 
                        that article from that beneficiary 
                        developing country.
                          (ii) Annual adjustment of applicable 
                        amount.--For purposes of applying 
                        clause (i), the applicable amount is--
                                  (I) for 1996, $75,000,000, 
                                and
                                  (II) for each calendar year 
                                thereafter, an amount equal to 
                                the applicable amount in effect 
                                for the preceding calendar year 
                                plus $5,000,000.
          (B) Country defined.--For purposes of this paragraph, 
        the term ``country'' does not include an association of 
        countries which is treated as one country under section 
        507(2), but does include a country which is a member of 
        any such association.
          (C) Redesignations.--A country which is no longer 
        treated as a beneficiary developing country with 
        respect to an eligible article by reason of 
        subparagraph (A) may, subject to the considerations set 
        forth in sections 501 and 502, be redesignated a 
        beneficiary developing country with respect to such 
        article if imports of such article from such country 
        did not exceed the limitations in subparagraph (A) 
        during the preceding calendar year.
          (D) \314\ Least-developed beneficiary developing 
        countries and beneficiary sub-saharan african 
        countries.--Subparagraph (A) shall not apply to any 
        least-developed beneficiary developing country or any 
        beneficiary sub-Saharan African country.
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    \314\ Sec. 111(b) of Public Law 106-200 (114 Stat. 58) inserted 
para. (D).
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          (E) Articles not produced in the united states 
        excluded.--Subparagraph (A)(i)(II) shall not apply with 
        respect to any eligible article if a like or directly 
        competitive article was not produced in the United 
        States on January 1, 1995.
          (F) De minimis waivers.--
                  (i) In general.--The President may disregard 
                subparagraph (A)(i)(II) with respect to any 
                eligible article from any beneficiary 
                developing country if the aggregate appraised 
                value of the imports of such article into the 
                United States during the preceding calendar 
                year does not exceed the applicable amount for 
                such preceding calendar year.
                  (ii) Applicable amount.--For purposes of 
                applying clause (i), the applicable amount is--
                          (I) for calendar year 1996, 
                        $13,000,000, and
                          (II) for each calendar year 
                        thereafter, an amount equal to the 
                        applicable amount in effect for the 
                        preceding calendar year plus $500,000.
    (d) Waiver of Competitive Need Limitation.--
          (1) In general.--The President may waive the 
        application of subsection (c)(2) with respect to any 
        eligible article of any beneficiary developing country 
        if, before July 1 of the calendar year beginning after 
        the calendar year for which a determination described 
        in subsection (c)(2)(A) was made with respect to such 
        eligible article, the President--
                  (A) receives the advice of the International 
                Trade Commission under section 332 of the 
                Tariff Act of 1930 on whether any industry in 
                the United States is likely to be adversely 
                affected by such waiver,
                  (B) determines, based on the considerations 
                described in sections 501 and 502(c) and the 
                advice described in subparagraph (A), that such 
                waiver is in the national economic interest of 
                the United States, and
                  (C) publishes the determination described in 
                subparagraph (B) in the Federal Register.
          (2) Considerations by the president.--In making any 
        determination under paragraph (1), the President shall 
        give great weight to--
                  (A) the extent to which the beneficiary 
                developing country has assured the United 
                States that such country will provide equitable 
                and reasonable access to the markets and basic 
                commodity resources of such country, and
                  (B) the extent to which such country provides 
                adequate and effective protection of 
                intellectual property rights.
          (3) Other bases for waiver.--The President may waive 
        the application of subsection (c)(2) if, before July 1 
        of the calendar year beginning after the calendar year 
        for which a determination described in subsection 
        (c)(2) was made with respect to a beneficiary 
        developing country, the President determines that--
                  (A) there has been a historical preferential 
                trade relationship between the United States 
                and such country,
                  (B) there is a treaty or trade agreement in 
                force covering economic relations between such 
                country and the United States, and
                  (C) such country does not discriminate 
                against, or impose unjustifiable or 
                unreasonable barriers to, United States 
                commerce,
        and the President publishes that determination in the 
        Federal Register.
          (4) Limitations on waivers.--
                  (A) In general.--The President may not 
                exercise the waiver authority under this 
                subsection with respect to a quantity of an 
                eligible article entered during any calendar 
                year beginning after 1995, the aggregate 
                appraised value of which equals or exceeds 30 
                percent of the aggregate appraised value of all 
                articles that entered duty-free under this 
                title during the preceding calendar year.
                  (B) Other waiver limits.--The President may 
                not exercise the waiver authority provided 
                under this subsection with respect to a 
                quantity of an eligible article entered during 
                any calendar year beginning after 1995, the 
                aggregate appraised value of which exceeds 15 
                percent of the aggregate appraised value of all 
                articles that have entered duty-free under this 
                title during the preceding calendar year from 
                those beneficiary developing countries which 
                for the preceding calendar year--
                          (i) had a per capita gross national 
                        product (calculated on the basis of the 
                        best available information, including 
                        that of the International Bank for 
                        Reconstruction and Development) of 
                        $5,000 or more; or
                          (ii) had exported (either directly or 
                        indirectly) to the United States a 
                        quantity of articles that was duty-free 
                        under this title that had an aggregate 
                        appraised value of more than 10 percent 
                        of the aggregate appraised value of all 
                        articles that entered duty-free under 
                        this title during that year.
                  (C) Calculation of limitations.--There shall 
                be counted against the limitations imposed 
                under subparagraphs (A) and (B) for any 
                calendar year only that value of any eligible 
                article of any country that--
                          (i) entered duty-free under this 
                        title during such calendar year; and
                          (ii) is in excess of the value of 
                        that article that would have been so 
                        entered during such calendar year if 
                        the limitations under subsection 
                        (c)(2)(A) applied.
          (5) Effective period of waiver.--Any waiver granted 
        under this subsection shall remain in effect until the 
        President determines that such waiver is no longer 
        warranted due to changed circumstances.
    (e) International Trade Commission Advice.--Before 
designating articles as eligible articles under subsection 
(a)(1), the President shall publish and furnish the 
International Trade Commission with lists of articles which may 
be considered for designation as eligible articles for purposes 
of this title. The provisions of sections 131, 132, 133, and 
134 shall be complied with as though action under section 501 
and this section were action under section 123 to carry out a 
trade agreement entered into under section 123.
    (f) Special Rule Concerning Puerto Rico.--No action under 
this title may affect any tariff duty imposed by the 
Legislature of Puerto Rico pursuant to section 319 of the 
Tariff Act of 1930 on coffee imported into Puerto Rico.

SEC. 504.\315\ REVIEW AND REPORT TO CONGRESS.

    The President shall submit an annual report to the Congress 
on the status of internationally recognized worker rights 
within each beneficiary developing country, including the 
findings of the Secretary of Labor with respect to the 
beneficiary country's implementation of its international 
commitments to eliminate the worst forms of child labor.\316\
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    \315\ 19 U.S.C. 2464.
    \316\ Sec. 412(c) of Public Law 106-200 inserted ``including the 
findings of the Secretary of Labor with respect to the beneficiary 
country's implementation of its international commitments to eliminate 
the worst forms of child labor''.
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SEC. 505.\317\ DATE OF TERMINATION.

    No duty-free treatment provided under this title shall 
remain in effect after September 30, 2001.
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    \317\ 19 U.S.C. 2465. The May 31, 1997 termination date was 
extended to June 30, 1998 by sec. 981(a) of Public Law 105-34 (111 
Stat. 302), to June 30, 1999 by sec. 1101(a) of Public Law 105-277 (112 
Stat. 2681-900), and to September 30, 2001 by sec 508(a) of Public Law 
106-170 (113 Stat. 1922).
    Sec. 508(b) of Public Law 106-170 further provided:
    ``(b) Effective Date.--
---------------------------------------------------------------------------

          ``(1) In general.--The amendment made by this section applies 
        to articles entered on or after the date of the enactment of 
        this Act.
          ``(2) Retroactive application for certain liquidations and 
        reliquidations.--

                  ``(A) General rule.--Notwithstanding Section 514 of 
                the Tariff Act of 1930 or any other provision of law, 
                and subject to paragraph (3), any entry--
      ``(i) of an article to which duty-free treatment under 
  title V of the Trade Act of 1974 would have applied if such 
  entry had been made on July 1, 1999, and such title had been 
  in effect on July 1, 1999; and
      ``(ii) that was made--
        ``(I) after June 30, 1999; and
        ``(II) before the date of the enactment of this Act,

                shall be liquidated or reliquidated as free of duty, 
                and the Secretary of the Treasury shall refund any duty 
                paid with respect to such entry.
                  ``(B) Entry.--As used in this paragraph, the term 
                ``entry'' includes a withdrawal from warehouse for 
                consumption.

          ``(3) Requests.--Liquidation or reliquidation may be made 
        under paragraph (2) with respect to any entry only if a request 
        therefore is filed with the Customs Service, within 180 days 
        after the date of the enactment of this Act, that contains 
        sufficient information to enable the Customs Service--

                  ``(A) to locate the entry; or
                  ``(B) to reconstruct the entry if it cannot be 
                located.''.
---------------------------------------------------------------------------
    Similar language providing for retroactive application for duty-
free treatment accompanied each extension of the Act.
---------------------------------------------------------------------------

SEC. 506.\318\ AGRICULTURAL EXPORTS OF BENEFICIARY DEVELOPING 
                    COUNTRIES.

    The appropriate agencies of the United States shall assist 
beneficiary developing countries to develop and implement 
measures designed to assure that the agricultural sectors of 
their economies are not directed to export markets to the 
detriment of the production of foodstuffs for their citizenry.
---------------------------------------------------------------------------
    \318\ 19 U.S.C. 2466.
---------------------------------------------------------------------------

SEC. 506A. DESIGNATION OF SUB-SAHARAN AFRICAN COUNTRIES FOR CERTAIN 
                    BENEFITS.\319\
---------------------------------------------------------------------------

    \319\ 19 U.S.C. 2466a. Sec. 111(a) of Public Law 106-200 (114 Stat. 
257) inserted this section.
---------------------------------------------------------------------------
    (a) Authority to Designate.--
          (1) In general.--Notwithstanding any other provision 
        of law, the President is authorized to designate a 
        country listed in section 107 of the African Growth and 
        Opportunity Act as a beneficiary sub-Saharan African 
        country eligible for the benefits described in 
        subsection (b)--
                  (A) if the President determines that the 
                country meets the eligibility requirements set 
                forth in section 104 of that Act, as such 
                requirements are in effect on the date of the 
                enactment of that Act; and
                  (B) subject to the authority granted to the 
                President under subsections (a), (d), and (e) 
                of section 502, if the country otherwise meets 
                the eligibility criteria set forth in section 
                502.
          (2) Monitoring and review of certain countries.--The 
        President shall monitor, review, and report to Congress 
        annually on the progress of each country listed in 
        section 107 of the African Growth and Opportunity Act 
        in meeting the requirements described in paragraph (1) 
        in order to determine the current or potential 
        eligibility of each country to be designated as a 
        beneficiary sub-Saharan African country for purposes of 
        this section. The President's determinations, and 
        explanations of such determinations, with specific 
        analysis of the eligibility requirements described in 
        paragraph (1)(A), shall be included in the annual 
        report required by section 106 of the African Growth 
        and Opportunity Act.
          (3) Continuing compliance.--If the President 
        determines that a beneficiary sub-Saharan African 
        country is not making continual progress in meeting the 
        requirements described in paragraph (1), the President 
        shall terminate the designation of that country as a 
        beneficiary sub-Saharan African country for purposes of 
        this section, effective on January 1 of the year 
        following the year in which such determination is made.
    (b) Preferential Tariff Treatment for Certain Articles.--
          (1) In general.--The President may provide duty-free 
        treatment for any article described in section 
        503(b)(1)(B) through (G) that is the growth, product, 
        or manufacture of a beneficiary sub-Saharan African 
        country described in subsection (a), if, after 
        receiving the advice of the International Trade 
        Commission in accordance with section 503(e), the 
        President determines that such article is not import-
        sensitive in the context of imports from beneficiary 
        sub-Saharan African countries.
          (2) Rules of origin.--The duty-free treatment 
        provided under paragraph (1) shall apply to any article 
        described in that paragraph that meets the requirements 
        of section 503(a)(2), except that--
                  (A) if the cost or value of materials 
                produced in the customs territory of the United 
                States is included with respect to that 
                article, an amount not to exceed 15 percent of 
                the appraised value of the article at the time 
                it is entered that is attributed to such United 
                States cost or value may be applied toward 
                determining the percentage referred to in 
                subparagraph (A) of section 503(a)(2); and
                  (B) the cost or value of the materials 
                included with respect to that article that are 
                produced in one or more beneficiary sub-Saharan 
                African countries shall be applied in 
                determining such percentage.
    (c) Beneficiary Sub-Saharan African Countries, Etc.--For 
purposes of this title, the terms ``beneficiary sub-Saharan 
African country'' and ``beneficiary sub-Saharan African 
countries'' mean a country or countries listed in section 107 
of the African Growth and Opportunity Act that the President 
has determined is eligible under subsection (a) of this 
section.

SEC. 506B.\320\ TERMINATION OF BENEFITS FOR SUB-SAHARAN AFRICAN 
                    COUNTRIES.

    In the case of a beneficiary sub-Saharan African country, 
as defined in section 506A(c), duty-free treatment provided 
under this title shall remain in effect through September 30, 
2008.
---------------------------------------------------------------------------
    \320\ 19 U.S.C. 2466b. Sec. 114 of Public Law 106-200 (114 Stat. 
266) added sec. 506B.
---------------------------------------------------------------------------

SEC. 507.\321\ DEFINITIONS.
    For purposes of this title:
---------------------------------------------------------------------------
    \321\ 19 U.S.C. 2467.
---------------------------------------------------------------------------
          (1) Beneficiary developing country.--The term 
        ``beneficiary developing country'' means any country 
        with respect to which there is in effect an Executive 
        order or Presidential proclamation by the President 
        designating such country as a beneficiary developing 
        country for purposes of this subchapter.
          (2) Country.--The term ``country'' means any foreign 
        country or territory, including any overseas dependent 
        territory or possession of a foreign country, or the 
        Trust Territory of the Pacific Islands. In the case of 
        an association of countries which is a free trade area 
        or customs union, or which is contributing to 
        comprehensive regional economic integration among its 
        members through appropriate means, including, but not 
        limited to, the reduction of duties, the President may 
        by Executive order or Presidential proclamation provide 
        that all members of such association other than members 
        which are barred from designation under section 502(b) 
        shall be treated as one country for purposes of this 
        title.
          (3) Entered.--The term ``entered'' means entered, or 
        withdrawn from warehouse for consumption, in the 
        customs territory of the United States.
          (4) Internationally Recognized Worker Rights.--The 
        term ``internationally recognized worker rights'' 
        includes--
                  (A) the right of association;
                  (B) the right to organize and bargain 
                collectively;
                  (C) a prohibition on the use of any form of 
                forced or compulsory labor;
                  (D) a minimum age for the employment of 
                children; and
                  (E) acceptable conditions of work with 
                respect to minimum wages, hours of work, and 
                occupational safety and health.
          (5) Least-developed beneficiary developing country.--
        The term ``least-developed beneficiary developing 
        country'' means a beneficiary developing country that 
        is designated as a least-developed beneficiary 
        developing country under section 502(a)(2).
          (6) \322\ Worst forms of child labor.--The term 
        ``worst forms of child labor'' means--
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    \322\ Sec. 412(b) of Public Law 106-200 (114 Stat. 298) inserted 
para. (6).
---------------------------------------------------------------------------
                  (A) all forms of slavery or practices similar 
                to slavery such as the sale or trafficking of 
                children, debt bondage and serfdom, or forced 
                or compulsory labor, including forced or 
                compulsory recruitment of children for use in 
                armed conflict;
                  (B) the use, procuring, or offering of a 
                child for prostitution, for the production of 
                pornography or for pornographic purposes;
                  (C) the use, procuring, or offering of a 
                child for illicit activities in particular for 
                the production and trafficking of drugs; and
                  (D) work by which, by its nature or the 
                circumstances in which it is carried out, is 
                likely to harm the health, safety, or morals of 
                children.
          The work referred to in subparagraph (D) shall be 
        determined by the laws, regulations, or competent 
        authority of the beneficiary developing country 
        involved.

                      TITLE VI--GENERAL PROVISIONS

SEC. 601.\323\ DEFINITIONS.
    For purposes of this Act--
---------------------------------------------------------------------------
    \323\ 19 U.S.C. 2481.
---------------------------------------------------------------------------
          (1) The term ``duty'' includes the rate and form of 
        any import duty, including but not limited to tariff-
        rate quotas.
          (2) The term ``other import restriction'' includes a 
        limitation, prohibition, charge, or \324\ exaction 
        other than duty, imposed on importation, or imposed for 
        the regulation of importation. The term does not 
        include any orderly marketing agreement.
---------------------------------------------------------------------------
    \324\ The word ``or'' was substituted in lieu of ``and'' by sec. 
1106(h)(1) of the Trade Agreements Act of 1979 (Public Law 96-39; 93 
Stat. 313).
---------------------------------------------------------------------------
          (3) The term ``ad valorem'' includes ad valorem 
        equivalent. Whenever any limitation on the amount by 
        which or to which any rate of duty may be decreased or 
        increased pursuant to a trade agreement is expressed in 
        terms of an ad valorem percentage, the ad valorem 
        amount taken into account for purposes of such 
        limitation shall be determined by the President on the 
        basis of the value of imports of the articles concerned 
        during the most recent representative period.
          (4) The term ``ad valorem equivalent'' means the ad 
        valorem equivalent of a specific rate or, in the case 
        of a combination of rates including a specific rate, 
        the sum of the ad valorem equivalent of the specific 
        rate and of the ad valorem rate. The ad valorem 
        equivalent shall be determined by the President on the 
        basis of the value of imports of the article concerned 
        during the most recent representative period. In 
        determining the value of imports, the President shall 
        utilize, to the maximum extent practicable, the 
        standards of valuation contained in section 402 or 402a 
        of the Tariff Act of 1930 (as in effect before the 
        effective date of the amendments made by title II of 
        the Trade Agreements Act of 1979) or in section 402 of 
        such Act of 1930 (as in effect on the effective date of 
        such title II amendments) whichever is \325\ applicable 
        to the article concerned during such representative 
        period.
---------------------------------------------------------------------------
    \325\ Sec. 202(c)(1) of the Trade Agreements Act of 1979 (Public 
Law 96-39; 93 Stat. 202) added the language following ``as in effect 
before the effective date''. A reference to 19 U.S.C. 1401a or 1402, 
which had appeared at this point, was also struck out by sec. 
202(c)(1).
---------------------------------------------------------------------------
          (5) An imported article is ``directly competitive 
        with'' a domestic article at an earlier or later stage 
        of processing, and a domestic article is ``directly 
        competitive with'' an imported article at an earlier or 
        later stage of processing, if the importation of the 
        article has an economic effect on producers of the 
        domestic article comparable to the effect of 
        importation of articles in the same stage of processing 
        as the domestic article. For purposes of this 
        paragraph, the unprocessed article is at an earlier 
        stage of processing.
          (6) The term ``modification'', as applied to any duty 
        or other import restriction, includes the elimination 
        of any duty or other import restriction.
          (7) The term ``existing'' means (A) when used, 
        without the specification of any date, with respect to 
        any matter relating to entering into or carrying out a 
        trade agreement or other action authorized by this Act, 
        existing on the day on which such trade agreement is 
        entered into or such other action is taken; and (B) 
        when used with respect to a rate of duty, the 
        nonpreferential rate of duty (however established, and 
        even though temporarily suspended by Act of Congress or 
        otherwise) set forth in rate column numbered 1 of 
        chapters 1 through 97 of the Harmonized Tariff Schedule 
        of the United States \326\ on the date specified or (if 
        no date is specified) on the day referred to in clause 
        (A).
---------------------------------------------------------------------------
    \326\ Sec. 1214(j)(5) of Public Law 100-418 (102 Stat. 1158) struck 
out ``schedules 1 through 7 of the Tariff Schedules . . .'' and 
inserted in lieu thereof ``chapters 1 through 97 of the Harmonized 
Tariff Schedule . . .''.
---------------------------------------------------------------------------
          (8) A product of a country or area is an article 
        which is the growth, produce, or manufacture of such 
        country or area.
          (9) \327\ The term ``nondiscriminatory treatment'' 
        means trade treatment based on normal trade relations 
        (known under international law as most-favored-nation 
        treatment).
---------------------------------------------------------------------------
    \327\ Sec. 5003 (b)(2)(B) of Public Law 105-206 struck out ``most-
favored-nation treatment'' and inserted in lieu thereof ``trade 
treatment based on normal trade relations (known under international 
law as most-favored-nation treatment).''. Sec. 5003(a) of the Act 
further provided:
    ``(a) Findings and Policy.--
---------------------------------------------------------------------------

          ``(1) Findings.--The Congress makes the following findings:

                  ``(A) Since the 18th century, the principle of 
                nondiscrimination among countries with which the United 
                States has trade relations, commonly referred to as 
                `most-favored-nation' treatment, has been a cornerstone 
                of United States trade policy.
                  ``(B) Although the principle remains firmly in place 
                as a fundamental concept in United States trade 
                relations, the term `most-favored-nation' is a misnomer 
                which has led to public misunderstanding.
                  ``(C) It is neither the purpose nor the effect of the 
                most-favored-nation principle to treat any country as 
                ``most-favored''. To the contrary, the principle 
                reflects the intention to confer on a country the same 
                trade benefits that are conferred on any other country, 
                that is, the intention not to discriminate among 
                trading partners.
                  ``(D) The term `normal trade relations' is a more 
                accurate description of the principle of 
                nondiscrimination as it applies to the tariffs 
                applicable generally to imports from United States 
                trading partners, that is, the general rates of duty 
                set forth in column 1 of the Harmonized Tariff Schedule 
                in the United States.

          ``(2) Policy.--It is the sense of the Congress that--

                  ``(A) the language used in United States laws, 
                treaties, agreements, executive orders, directives, and 
                regulations should more clearly and accurately reflect 
                the underlying principles of United States trade 
                policy; and
                  ``(B) accordingly, the term `normal trade relations' 
                should, where appropriate, be substituted for the term 
                `most-favored-nation'.''
---------------------------------------------------------------------------
    Sec. 5003(c) of Public Law 105-206 further provided the following:
    ``(c) Savings Provisions.--Nothing in this section shall affect the 
meaning of any provision of law, Executive order, Presidential 
proclamation, rule, regulation, delegation of authority, other 
document, or treaty or other international agreement of the United 
States relating to the principle of `most-favored-nation' (or `most 
favored nation') treatment. Any Executive order, Presidential 
proclamation, rule, regulation, delegation of authority, other 
document, or treaty or other international agreement of the United 
States that has been issued, made, granted, or allowed to become 
effective and that is in effect on the effective date of this Act, or 
was to become effective on or after the effective date of this Act, 
shall continue in effect according to its terms until modified, 
terminated, superseded, set aside, or revoked in accordance with 
law.''.
---------------------------------------------------------------------------
          (10) The term ``commerce'' includes services 
        associated with international trade.

SEC. 602. RELATION TO OTHER LAWS.

    [Subsections (a) through (e) amend the Tariff Act of 1930 
and the Trade Expansion Act of 1962.]
          * * * * * * *
    (f) \328\ All provisions of law (other than this Act, the 
Trade Expansion Act of 1962, and the Trade Agreements Extension 
Act of 1951) in effect after the date of enactment of this Act, 
referring to section 350 of the Tariff Act of 1930, to that 
section as amended, to the Act entitled ``An Act to amend the 
Tariff Act of 1930,'' approved June 12, 1934, to that Act as 
amended or to the Trade Expansion Act of 1962, or to agreements 
entered into, or proclamations issued, or actions taken under 
any of such provisions, shall be construed, unless clearly 
precluded by the context, to refer also to this Act, or to 
agreements entered into or proclamations or orders issued 
pursuant to this Act.
---------------------------------------------------------------------------
    \328\ 19 U.S.C. 2101 note.
---------------------------------------------------------------------------

SEC. 603.\329\ INTERNATIONAL TRADE COMMISSION.

          * * * * * * *
    (a) In order to expedite the performance of its functions 
under this Act, the International Trade Commission may conduct 
preliminary investigations, determine the scope and manner of 
its proceedings, and consolidate proceedings before it.
---------------------------------------------------------------------------
    \329\ 19 U.S.C. 2482.
---------------------------------------------------------------------------
    (b) In performing its functions under this Act, the 
Commission may exercise any authority granted to it under any 
other Act.
    (c) The Commission shall at all times keep informed 
concerning the operation and effect of provisions relating to 
duties or other import restrictions of the United States 
contained in trade agreements entered into under the trade 
agreements program.

SEC. 604.\330\ CONSEQUENTIAL CHANGES IN THE TARIFF SCHEDULES.

    The President shall from time to time, as appropriate, 
embody in the Harmonized Tariff Schedule of \331\ the United 
States the substance of the relevant provisions of this Act, 
and of other Acts affecting import treatment, and actions 
thereunder, including removal,\332\ modification, continuance, 
or imposition of any rate of duty or other import restriction.
---------------------------------------------------------------------------
    \330\ 19 U.S.C. 2483.
    \331\ Sec. 1214(j)(4) of Public Law 100-418 (102 Stat. 1158) struck 
out ``Tariff Schedules of'' and inserted in lieu thereof ``Harmonized 
Tariff Schedule of''.
    \332\ Sec. 1213(a) of Public Law 100-418 (102 Stat. 1155) inserted 
``removal.''
---------------------------------------------------------------------------

SEC. 605. SEPARABILITY.

    If any provision of this Act or the application of any 
provision to any circumstances or persons shall be held 
invalid, the validity of the remainder of this Act, and of the 
application of such provision to other circumstances or 
persons, shall not be affected thereby.

SEC. 606.\333\ INTERNATIONAL DRUG CONTROL.

    The President shall submit a report to Congress at least 
once each calendar year listing those foreign countries in 
which narcotic drugs and other controlled substances (as listed 
under section 202 of the Comprehensive Drug Abuse Prevention 
and Control Act of 1970 (21 U.S.C. 812) are produced, 
processed, or transported for unlawful entry into the United 
States. Such report shall include a description of the measures 
such countries are taking to prevent such production, 
processing, or transport.
---------------------------------------------------------------------------
    \333\ 19 U.S.C. 2484.
---------------------------------------------------------------------------

SEC. 607.\334\ VOLUNTARY LIMITATIONS ON EXPORTS OF STEEL TO THE UNITED 
                    STATES.

    No person shall be liable for damages, penalties, or other 
sanctions under the Federal Trade Commission Act (15 U.S.C. 41-
77) or the Antitrust Acts (as defined in section 4 of the 
Federal Trade Commission Act (15 U.S.C. 44)), or under any 
similar State law, on account of his negotiating, entering 
into, participating in, or implementing an arrangement 
providing for the voluntary limitation on exports of steel and 
steel products to the United States, or any modification or 
renewal of such an arrangement, if such arrangement or such 
modification or renewal--
---------------------------------------------------------------------------
    \334\ 19 U.S.C. 2485.
---------------------------------------------------------------------------
          (1) was undertaken prior to the date of the enactment 
        of this Act at the request of the Secretary of State or 
        his delegate, and
          (2) ceases to be effective not later than January 1, 
        1975.

SEC. 608. UNIFORM STATISTICAL DATA ON IMPORTS, EXPORTS, AND PRODUCTION.

    (a) \335\ * * *
---------------------------------------------------------------------------
    \335\ Subsec. (a) amended sec. 484(e) of the Tariff Act of 1930 (19 
U.S.C. 1484(e)).
---------------------------------------------------------------------------
    (b) \336\ In carrying out the responsibilities under 
section 484(e), Tariff Act of 1930 and other pertinent 
statutes, the Secretary of Commerce and the United States 
International Trade Commission shall conduct jointly a study of 
existing commodity classification systems with a view to 
identifying the appropriate principles and concepts which 
should guide the organization and development of an enumeration 
of articles which would result in comparability of United 
States import, production, and export data. The Secretary and 
the United States International Trade Commission shall submit a 
report to both Houses of Congress and to the President with 
respect to such study no later than August 1, 1975.
---------------------------------------------------------------------------
    \336\ 19 U.S.C. 2484 note.
---------------------------------------------------------------------------
    (c) \336\ In further connection with its responsibilities 
pursuant to subsections (a) and (b), the United States 
International Trade Commission shall undertake an investigation 
under section 332(g) of the Tariff Act of 1930 which would 
provide the basis for--
          (1) a report on the appropriate concepts and 
        principles which should underlie the formulation of an 
        international commodity code adaptable for modernized 
        tariff nomenclature purposes and for recording, 
        handling, and reporting of transactions in national and 
        international trade, taking into account how such a 
        code could meet the needs of sound customs and trade 
        reporting practices reflecting the interests of United 
        States and other countries, such report to be submitted 
        to both Houses of Congress and to the President as soon 
        as feasible, but in any event, no later than June 1, 
        1975; and
          (2) full and immediate participation by the United 
        States International Trade Commission in the United 
        States contribution to technical work of the Harmonized 
        Systems Committee under the Customs Cooperation Council 
        to assure the recognition of the needs of the United 
        States business community in the development of a 
        Harmonized Code reflecting sound principles of 
        commodity identification and specification and modern 
        producing methods and trading practices,
and, in carrying out such responsibilities, the Commission 
shall report to both Houses of Congress and to the President, 
as it deems appropriate.
    (d) The President is requested to direct the appropriate 
agencies to cooperate fully with the Secretary of Commerce and 
the United States International Trade Commission in carrying 
out their responsibilities under subsections (a), (b), and (c).
    (e) The amendment made by subsection (a) insofar as it 
relates to export declarations shall take effect on January 1, 
1976.
          * * * * * * *

SEC. 612.\337\ TRADE RELATIONS WITH NORTH AMERICAN COUNTRIES.

    (a) \338\ It is the sense of the Congress that the United 
States should enter into a trade agreement with Canada which 
will guarantee continued stability to the economies of the 
United States and Canada. In order to promote such economic 
stability, the President may initiate negotiations for a trade 
agreement with Canada to establish a free trade area covering 
the United States and Canada. Nothing in this section shall be 
construed as prior approval of any legislation which may be 
necessary to implement such a trade agreement.
---------------------------------------------------------------------------
    \337\ 19 U.S.C. 2486. The reference to North American Countries in 
the section heading replaced a reference to Canada, pursuant to sec. 
1104(b) of Public Law 96-39 (Trade Agreements Act of 1979; 93 Stat. 
310).
    \338\ Sec. 1104(a) of the Trade Agreements Act of 1979 (Public Law 
96-39; 93 Stat. 310) added the subsec. designation ``(a)'' and added a 
new subsec. (b).
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    (b) \337\ The President shall study the desirability of 
entering into trade agreements with countries in the northern 
portion of the western hemisphere to promote the economic 
growth of the United States and such countries and the mutual 
expansion of market opportunities and report to the Committee 
on Ways and Means of the House of Representatives and the 
Committee on Finance of the Senate his findings and conclusions 
within 2 years after the date of enactment of this Act. The 
study shall include an examination of competitive opportunities 
and conditions of competition between such countries and the 
United States in the agricultural, energy, and other 
appropriate sectors.

SEC. 613.\339\ LIMITATION ON CREDIT TO RUSSIA.--* * * [Repealed--1992]
---------------------------------------------------------------------------

    \339\ Formerly 19 U.S.C. 2487. Sec. 613 was repealed by sec. 121 of 
the Further Continuing Appropriations, Fiscal Year 1992 (Public Law 
102-145, as amended by Public Law 102-266; 106 Stat. 95). The section 
previously read as follows:
    ``After the date of enactment of the Trade Act of 1974, no agency 
of the Government of the United States, other than the Commodity Credit 
Corporation, shall approve any loans, guarantees, insurance, or any 
combination thereof, in connection with exports to the Union of Soviet 
Socialist Republics in an aggregate amount in excess of $300,000,000 
without prior congressional approval as provided by law.''.
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          * * * * * * *

   TITLE VIII--TARIFF TREATMENT OF PRODUCTS OF, AND OTHER SANCTIONS 
 AGAINST, UNCOOPERATIVE MAJOR DRUG PRODUCING OR DRUG-TRANSIT COUNTRIES 
                                 \340\

SEC. 801.\341\ SHORT TITLE.

    This title may be cited as the ``Narcotics Control Trade 
Act''.
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    \340\ Title VIII was inserted by sec. 9001 of the Anti-Drug Abuse 
Act of 1986 (Public Law 99-570; 100 Stat. 3207-164). Public Law 100-204 
(101 Stat. 1399) subsequently amended the Title VIII heading by adding 
the words ``and other sanctions against''.
    \341\ 19 U.S.C. 2491.
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SEC. 802.\342\ TARIFF TREATMENT OF PRODUCTS OF UNCOOPERATIVE MAJOR DRUG 
                    PRODUCING OR DRUG-TRANSIT COUNTRIES.

    (a) \343\ Required Action by President.--Subject to 
subsection (b), for every major drug producing country and 
every major drug-transit country, the President shall, on or 
after March 1, 1987, and March 1 of each succeeding year, to 
the extent considered necessary by the President to achieve the 
purpose of this title--
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    \342\ 19 U.S.C. 2492. In Proclamation 6103 of February 28, 1990 (55 
F.R. 7685), the President determined, in part, that:
    ``2. * * * pursuant to section 802(b)(1) of the Act, that the 
Government of Panama is taking adequate steps to prevent such drugs and 
other controlled substances from being sold illegally within its own 
jurisdiction * * * or from being transported, directly or indirectly, 
into the United States, and to prevent and punish the laundering in 
that country of drug-related profits or drug-related monies. * * *
    ``4. Accordingly, under the terms of sections 802(b)(1)(A) and 
802(b)(4)(B) of the Act, I have decided to restore the preferential 
tariff treatment under the GSP and the CBERA to articles that are 
currently eligible for such treatment and that are imported from 
Panama. * * *''.
    That Proclamation amended the HTS to make Panama eligible for 
benefits under the GSP and the CBERA.
    \343\ Sec. 806 of Public Law 100-204 (101 Stat. 1398) struck out 
``or'' at the end of para. (3); by redesignating para. (4) as para. 
(6); by amending para. (6), as so redesignated, to read ``in paragraphs 
(1) through (5).'' in lieu of ``in paragraphs (1), (2), and (3).''; and 
by inserting after para. (3) the new paras. (4) and (5).
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          (1) deny to any or all of the products of that 
        country tariff treatment under the Generalized System 
        of Preferences, the Caribbean Basin Economic Recovery 
        Act, or any other law providing preferential tariff 
        treatment;
          (2) apply to any or all of the dutiable products of 
        that country an additional duty at a rate not to exceed 
        50 percent ad valorem or the specific rate equivalent;
          (3) apply to one or more duty-free products of that 
        country a duty at a rate not to exceed 50 percent ad 
        valorem;
          (4) \343\ take the steps described in subsection 
        (d)(1) or (d)(2), or both, to curtail air 
        transportation between the United States and that 
        country;
          (5) \343\ withdraw the personnel and resources of the 
        United States from participation in any arrangement 
        with that country for the pre-clearance of customs by 
        visitors between the United States and that country; 
        or'';
          (6) take any combination of the actions described in 
        paragraphs (1) through (5).
  (b)(1) \344\ (A) Subject to paragraph (3), subsection (a) 
shall not apply with respect to a country if the President 
determines and certifies to the Congress, at the time of the 
submission of the report required by section 489 \345\ of the 
Foreign Assistance Act of 1961 (22 U.S.C. 2291h),\346\ that--
---------------------------------------------------------------------------
    \344\ Paras. (1) and (2) were extensively amended by sec. 4408 of 
the Anti-Drug Abuse Act of 1988 (Public Law 100-690; 102 Stat. 4181). 
As previously amended by sec. 806 of Public Law 100-204 (101 Stat. 
1398), the paragraphs read as follows:
    ``(b) Certifications; Congressional Action.--(1) Subsection (a) 
shall not apply with respect to a country if the President determines 
and so certifies to the Congress, at the time of the submission of the 
report required by section 481(e) of the Foreign Assistance Act of 
1961, that during the previous year that country has cooperated fully 
with the United States, or has taken adequate steps on its own, in 
preventing narcotic and psychotropic drugs and other controlled 
substances produced or processed, in whole or in part, in such country 
or transported through such country, from being sold illegally within 
the jurisdiction of such country to United States Government personnel 
or their dependents or from being transported, directly or indirectly, 
into the United States and in preventing and punishing corruption by 
government officials and the laundering in that country of drug-related 
profits or drug-related monies.
    ``(2) In making the certification required by paragraph (1), the 
President shall give foremost consideration to whether the actions of 
the government of the country have resulted in the maximum reductions 
in illicit drug production which were determined to be achievable 
pursuant to section 481(e)(4) of the Foreign Assistance Act of 1961. 
The President shall also consider whether such government--
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          ``(A) has taken the legal and law enforcement measures to 
        enforce in its territory, to the maximum extent possible, the 
        elimination of illicit cultivation and the suppression of 
        illicit manufacture of and traffic in narcotic and psychotropic 
        drugs and other controlled substances, as evidenced by seizures 
        of such drugs and substances and of illicit laboratories and 
        the arrest and prosecution of violators involved in the traffic 
        in such drugs and substances significantly affecting the United 
        States;
          ``(B) has taken the legal and law enforcement steps necessary 
        to eliminate, to the maximum extent possible, the laundering in 
        that country of drug-related profits or drug-related monies, as 
        evidence by--

                  ``(i) the enactment and enforcement of laws 
                prohibiting such conduct,
                  ``(ii) the willingness of such government to enter 
                into mutual legal assistance agreements with the United 
                States governing (but not limited to) money laundering, 
                and
                  ``(iii) the degree to which such government otherwise 
                cooperates with United States law enforcement 
                authorities on anti-money laundering efforts; and

          ``(C) has taken the legal and law enforcement steps necessary 
        to eliminate, to the maximum extent possible, corruption by 
        government officials, with particular emphasis on the 
        elimination of bribery;''.
---------------------------------------------------------------------------
    \345\ Formerly read ``section 481(e)''. Sec. 6(a) of the 
International Narcotics Control Act of 1992 (Public Law 102-583; 106 
Stat. 4932) provided that ``Any reference in any provision of law 
enacted before the date of enactment of this Act to section 481(e) of 
that Act shall be deemed to be a reference to section 489.''. Sec. 
1001(a)(8)(A) of Public Law 106-36 (113 Stat. 131) subsequently struck 
out ``481(e)'' and inserted in lieu thereof ``489''.
    \346\ Sec. 1001(a)(8)(B) of Public Law 106-36 (113 Stat. 131) added 
``(22 U.S.C. 2291h)''.
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          (i) during the previous year the country has 
        cooperated fully with the United States, or has taken 
        adequate steps on its own--
                  (I) in satisfying the goals agreed to in an 
                applicable bilateral narcotics agreement with 
                the United States (as described in paragraph 
                (B)) or a multilateral agreement which achieves 
                the objectives of paragraph (B),
                  (II) in preventing narcotic and psychotropic 
                drugs and other controlled substances produced 
                or processed, in whole or in part, in such 
                country or transported through such country, 
                from being sold illegally within the 
                jurisdiction of such country to United States 
                Government personnel or their dependents or 
                from being transported, directly or indirectly, 
                into the United States,
                  (III) in preventing and punishing the 
                laundering in that country of drug-related 
                profits or drug-related moneys, and
                  (IV) in preventing and punishing bribery and 
                other forms of public corruption which 
                facilitate the illicit \347\ production, 
                processing, or shipment of narcotic and 
                psychotropic drugs and other controlled 
                substances, or which discourage the 
                investigation and prosecution of such acts; or
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    \347\ Sec. 17(h)(1) of the International Narcotics Control Act of 
1989 (Public Law 101-231; 103 Stat. 1965) inserted ``illicit''.
---------------------------------------------------------------------------
          (ii) for a country that would not otherwise qualify 
        for certification under clause (i), the vital national 
        interests of the United States require that subsection 
        (a) not be applied with respect to that country.
  (B) A bilateral narcotics agreement referred to in 
subparagraph (A)(i)(I) is an agreement between the United 
States and a foreign country in which the foreign country 
agrees to take specific activities, including, where 
applicable, efforts to--
          (i) reduce drug production, drug consumption, and 
        drug trafficking within its territory, including 
        activities to address illicit crop eradication and crop 
        substitution;
          (ii) increase drug interdiction and enforcement;
          (iii) increase drug education and treatment programs; 
        \348\
---------------------------------------------------------------------------
    \348\ Sec. 17(h)(2) of the International Narcotics Control Act of 
1989 (Public Law 101-231; 103 Stat. 1965) struck out ``treatment'' and 
inserted in lieu thereof ``education and treatment programs''.
---------------------------------------------------------------------------
          (iv) increase the identification of and elimination 
        of illicit drug laboratories;
          (v) increase the identification and elimination of 
        the trafficking of essential \349\ precursor chemicals 
        for the use in production of illegal drugs;
---------------------------------------------------------------------------
    \349\ Sec. 17(h)(3) of the International Narcotics Control Act of 
1989 (Public Law 101-231; 103 Stat. 1965) inserted ``essential''.
---------------------------------------------------------------------------
          (vi) increase cooperation with United States drug 
        enforcement officials; and
          (vii) where applicable, increase participation in 
        extradition treaties, mutual legal assistance 
        provisions directed at money laundering, sharing of 
        evidence, and other initiatives for cooperative drug 
        enforcement.
  (C) A country which in the previous year was designated as a 
major drug producing country or a major drug-transit country 
may not be determined to be cooperating fully under 
subparagraph (A)(i) unless it has in place a bilateral 
narcotics agreement with the United States or a multilateral 
agreement which achieves the objectives of subparagraph (B).
  (D) If the President makes a certification with respect to a 
country pursuant to subparagraph (A)(ii), he shall include in 
such certification--
          (i) a full and complete description of the vital 
        national interests placed at risk if action is taken 
        pursuant to subsection (a) with respect to that 
        country; and
          (ii) a statement weighing the risk described in 
        clause (i) against the risks posed to the vital 
        national interests of the United States by the failure 
        of such country to cooperate fully with the United 
        States in combating narcotics or to take adequate steps 
        to combat narcotics on its own.
  (E) The President may make a certification under subparagraph 
(A)(i) with respect to a major drug producing country or drug-
transit country which is also a producer of licit opium only if 
the President determines that such country has taken steps to 
prevent significant diversion of its licit cultivation and 
production into the illicit market, maintains production and 
stockpiles at levels no higher than those consistent with licit 
market demand, and prevents illicit cultivation and production.
  (2) \350\ In determining whether to make the certification 
required by paragraph (1) with respect to a country, the 
President shall consider the following:
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    \350\ On January 26, 1990, the President determined that ``Panama 
has fully cooperated with the United States, or taken adequate steps on 
its own, to control narcotics production, trafficking, and money 
laundering, as defined in Section 481(h)(2) of the FAA and Section 
802(b) of the Trade Act, and that Panama does not have a government 
involved in the trade of illicit narcotics. In making this 
determination, I have considered the factors set forth in Section 
481(h)(3) of the FAA and Section 802(b)(2) of the Trade Act.'' 
(Presidential Determination No. 90-9 of January 26, 1990; 55 F.R. 
4827).
---------------------------------------------------------------------------
          (A) Have the actions of the government of that 
        country resulted in the maximum reductions in illicit 
        drug production which were determined to be achievable 
        pursuant to section 481(e)(4) of the Foreign Assistance 
        Act of 1961? In the case of a major drug producing 
        country, the President shall give foremost 
        consideration, in determining whether to make the 
        certification required by paragraph (1), to whether the 
        government of that country has taken actions which have 
        resulted in such reductions.
          (B) Has that government taken the legal and law 
        enforcement measures to enforce in its territory, to 
        the maximum extent possible, the elimination of illicit 
        cultivation and the suppression of illicit 
        manufacturing of and trafficking in narcotic and 
        psychotropic drugs and other controlled substances, as 
        evidenced by seizures of such drugs and substances and 
        of illicit laboratories and the arrest and prosecution 
        of violators involved in the traffic in such drugs and 
        substances significantly affecting the United States?
          (C) Has that government taken the legal and law 
        enforcement steps necessary to eliminate, to the 
        maximum extent possible, the laundering in that country 
        of drug-related profits or drug-related moneys, as 
        evidenced by--
                  (i) the enactment and enforcement by that 
                government of laws prohibiting such conduct,
                  (ii) that government entering into, and 
                cooperating under the terms of, mutual legal 
                assistance agreements with the United States 
                governing (but not limited to) money 
                laundering, and
                  (iii) the degree to which that government 
                otherwise cooperates with United States law 
                enforcement authorities on anti-money 
                laundering efforts?
          (D) Has that government taken the legal and law 
        enforcement steps necessary to eliminate, to the 
        maximum extent possible, bribery and other forms of 
        public corruption which facilitate the illicit \351\ 
        production, processing, or shipment of narcotic and 
        psychotropic drugs and other controlled substances, or 
        which discourage the investigation and prosecution of 
        such acts, as evidenced by the enactment and 
        enforcement of laws prohibiting such conduct?
---------------------------------------------------------------------------
    \351\ Sec. 17(h)(4) of the International Narcotics Control Act of 
1989 (Public Law 101-231; 103 Stat. 1965) inserted ``illicit''.
---------------------------------------------------------------------------
          (E) Has that government, as a matter of government 
        policy, encouraged or facilitated the production or 
        distribution of illicit narcotic and psychotropic drugs 
        and other controlled substances?
          (F) Does any senior official of that government 
        engage in, encourage, or facilitate the production or 
        distribution of illicit narcotic and psychotropic drugs 
        and other controlled substances?
          (G) Has that government investigated aggressively all 
        cases in which any member of an agency of the United 
        States Government engaged in drug enforcement 
        activities since January 1, 1985, has been the victim 
        of acts or threats of violence, inflicted by or with 
        the complicity of any law enforcement or other officer 
        of such country or any political subdivision thereof, 
        and has energetically sought to bring the perpetrators 
        of such offense or offenses to justice?
          (H) Having been requested to do so by the United 
        States Government, does that government fail to provide 
        reasonable cooperation to lawful activities of United 
        States drug enforcement agents, including the refusal 
        of permission to such agents engaged in interdiction of 
        aerial smuggling into the United States to pursue 
        suspected aerial smugglers a reasonable distance into 
        the airspace of the requested country?
          (I) Has that government made necessary changes in 
        legal codes in order to enable law enforcement 
        officials to move more effectively against narcotics 
        traffickers, such as new conspiracy laws and new asset 
        seizure laws?
          (J) Has that government expeditiously processed 
        United States extradition requests relating to 
        narcotics trafficking?
          (K) Has that government refused to protect or give 
        haven to any known drug traffickers, and has it 
        expeditiously processed extradition requests relating 
        to narcotics trafficking made by other countries?
    (3) Subsection (a) shall apply to a country without regard 
to paragraph (1) of this subsection if the Congress enacts, 
within 45 \351\ days of continuous session after receipt of a 
certification under paragraph (1), a joint resolution 
disapproving the determination of the President contained in 
that certification.
---------------------------------------------------------------------------
    \352\ Sec. 4408(b) of Public Law 100-690 (102 Stat. 4181) struck 
out ``30'' and inserted in lieu thereof ``45'' days.
---------------------------------------------------------------------------
    (4) If the President takes action under subsection (a), 
that action shall remain in effect until--
          (A) the President makes the certification under 
        paragraph (1), a period of 45 \352\ days of continuous 
        session of Congress elapses, and during that period the 
        Congress does not enact a joint resolution of 
        disapproval; or
          (B) the President submits at any other time a 
        certification of the matters described in paragraph (1) 
        with respect to that country, a period of 45 \352\ days 
        of continuous session of Congress elapses, and during 
        that period the Congress does not enact a joint 
        resolution of disapproving the determination contained 
        in that certification.
    (5) For the purpose of expediting the consideration and 
enactment of joint resolutions under paragraphs (3) and (4)--
          (A) a motion to proceed to the consideration of any 
        such joint resolution after it has been reported by the 
        Committee on Ways and Means shall be treated as highly 
        privileged in the House of Representatives; and
          (B) a motion to proceed to the consideration of any 
        such joint resolution after it has been reported by the 
        Committee on Finance shall be treated as privileged in 
        the Senate.
    (c) Duration of Action.--The action taken by the President 
under paragraph (1), (2), or (3) of \353\ subsection (a) shall 
apply to the products of a foreign country that are entered, or 
withdrawn from warehouse for consumption, during the period 
that such action is in effect.
---------------------------------------------------------------------------
    \353\ Sec. 806 of Public Law 100-204 (101 Stat. 1398) added 
``paragraph (1), (2), or (3) of''.
---------------------------------------------------------------------------
    (d) \354\ Presidential Action Regarding Aviation.--
          (1)(A) The President is authorized to notify the 
        government of a country against which is imposed the 
        sanction described in subsection (a)(4) of his 
        intention to suspend the authority of foreign air 
        carriers owned or controlled by the government or 
        nationals of that country to engage in foreign air 
        transportation to or from the United States.
---------------------------------------------------------------------------
    \354\ Sec. 806 of Public Law 100-204 (101 Stat. 1398) inserted 
subsec. (d).
---------------------------------------------------------------------------
          (B) Within 10 days after the date of notification of 
        a government under subparagraph (A), the Secretary of 
        Transportation shall take all steps necessary to 
        suspend at the earliest possible date the authority of 
        any foreign air carrier owned or controlled, directly 
        or indirectly, by the government or nationals of that 
        country to engage in foreign air transportation to or 
        from the United States, notwithstanding any agreement 
        relating to air services.
          (C) The President may also direct the Secretary of 
        Transportation to take such steps as may be necessary 
        to suspend the authority of any air carrier to engage 
        in foreign air transportation between the United States 
        and that country.
          (2)(A) The President may direct the Secretary of 
        State to terminate any air service agreement between 
        the United States and a country against which the 
        sanction described in subsection (a)(4) is imposed in 
        accordance with the provisions of that agreement.
          (B) Upon termination of an agreement under this 
        paragraph, the Secretary of Transportation shall take 
        such steps as may be necessary to revoke at the 
        earliest possible date the right of any foreign air 
        carrier owned, or controlled, directly or indirectly, 
        by the government or nationals of that country to 
        engage in foreign air transportation to or from the 
        United States.
          (C) Upon termination of an agreement under this 
        paragraph, the Secretary of Transportation may also 
        revoke the authority of any air carrier to engage in 
        foreign air transportation between the United States 
        and that country.
          (3) The Secretary of Transportation may provide for 
        such exceptions from paragraphs (1) and (2) as the 
        Secretary considers necessary to provide for 
        emergencies in which the safety of an aircraft or its 
        crew or passengers is threatened.
          (4) For purposes of this subsection, the terms ``air 
        transportation'', ``air carrier'', ``foreign air 
        carrier'' and ``foreign air transportation'' have the 
        meanings such terms have under section 101 of the 
        Federal Aviation Act of 1958 (49 U.S.C. App. 1301).
  (e) \355\ For each calendar year, the Secretary of State, 
after consultation with the appropriate committees of the 
Congress, shall establish numerical standards and other 
guidelines for determining which countries will be considered 
to be major drug-transit countries under section 805(3)(A) and 
(B).
---------------------------------------------------------------------------
    \355\ Sec. 4408(c) of Public Law 100-690 (102 Stat. 4181) inserted 
subsec. (e).
---------------------------------------------------------------------------

SEC. 803.\356\ SUGAR QUOTA.

    Notwithstanding any other provisions of law, the President 
may not allocate any limitation imposed on the quantity of 
sugar to any country which has a Government involved in the 
trade of illicit narcotics or is failing to cooperate with the 
United States in narcotics enforcement activities as defined in 
section 802(b) as determined by the President.
---------------------------------------------------------------------------
    \356\ 19 U.S.C. 2493.
---------------------------------------------------------------------------

SEC. 804.\357\ PROGRESS REPORTS.

    The President shall include as a part of the annual report 
required under section 489 of the Foreign Assistance Act of 
1961 (22 U.S.C. 2291h) \358\ an evaluation of progress that 
each major drug producing country and each major drug-transit 
country has made during the reporting period in achieving the 
objectives set forth in section 802(b).
---------------------------------------------------------------------------
    \357\ 19 U.S.C. 2494.
    \358\ Formerly read ``section 481(e)(1)''. Sec. 6(a) of the 
International Narcotics Control Act of 1992 (Public Law 102-583; 106 
Stat. 4932) provided that ``Any reference in any provision of law 
enacted before the date of enactment of this Act to section 481(e) * * 
* of that Act shall be deemed to be a reference to section 489.''. Sec. 
1001(a)(9) of Public Law 106-36 (113 Stat. 131) subsequently struck out 
``481(e) of the Foreign Assistance Act of 1961 (22 U.S.C. 2291(e)(1))'' 
and inserted in lieu thereof ``489 of the Foreign Assistance Act of 
1961 (22 U.S.C. 2291h).''.
---------------------------------------------------------------------------

SEC. 805.\359\ DEFINITIONS.

    For purposes of this title--
---------------------------------------------------------------------------
    \359\ 19 U.S.C. 2495.
---------------------------------------------------------------------------
          (1) continuity of a session of Congress is broken 
        only by an adjournment of the Congress sine die, and 
        the days on which either House is not in session 
        because of an adjournment of more than three days to a 
        day certain are excluded in the computation of the 
        period indicated;
          (2) \360\ the term ``major drug producing country'' 
        means a country that illicitly produces during a fiscal 
        year 5 metric tons or more of opium or opium 
        derivative, 500 metric tons or more of coca, or 500 
        metric tons or more of marijuana;
---------------------------------------------------------------------------
    \360\ Sec. 17(h)(5) of the International Narcotics Control Act of 
1989 (Public Law 101-231; 103 Stat. 1965) restated para. (2). Sec. 
1001(a)(10) of Public Law 106-36 (113 Stat. 131) struck out ``and'' at 
the end of the paragraph.
---------------------------------------------------------------------------
          (3) the term ``major drug-transit country'' means a 
        country--
                  (A) that is a significant direct source of 
                illicit narcotic or psychotropic drugs or other 
                controlled substances significantly affecting 
                the United States;
                  (B) through which are transported such drugs 
                or substances; or
                  (C) through which significant sums of drug-
                related profits or monies are laundered with 
                the knowledge or complicity of the government; 
                and
          (4) the term ``narcotic and psychotropic drugs and 
        other controlled substances'' has the same meaning as 
        is given by any applicable international narcotics 
        control agreement or domestic law of the country or 
        countries concerned.
                    (4) Trade Agreements Act of 1979

  Partial text of Public Law 96-39 [H.R. 4537], 93 Stat. 144 approved 
July 26, 1979; as amended by the Reorganization Plan No. 3 of 1979 (44 
 F.R. 69273); Public Law 98-67 [Caribbean Basin Economic Recovery Act; 
 H.R. 2973], 97 Stat. 369 at 393, approved August 5, 1983; Public Law 
  98-573 [Trade and Tariff Act of 1984; H.R. 3398], 98 Stat. 2948 at 
3033, approved October 30, 1984; Public Law 99-47 [United States-Israel 
Free Trade Area Implementation Act of 1985; H.R. 2268], 99 Stat. 82 at 
   84, approved June 11, 1985; Public Law 100-418 [Omnibus Trade and 
   Competitiveness Act of 1988; H.R. 4848], 102 Stat. 1107, approved 
 August 23, 1988; Public Law 100-449 [United States-Canada Free-Trade 
   Agreement Implementation Act of 1988; H.R. 5090], 102 Stat. 1851, 
approved September 28, 1988; Public Law 100-690 [Anti-Drug Abuse Act of 
 1988; H.R. 5210], 102 Stat. 4181, approved November 18, 1988; Public 
 Law 103-182 [North American Free Trade Agreement Implementation Act; 
 H.R. 3450], 107 Stat. 2057, approved December 8, 1993; Public Law 103-
355 [Federal Acquisition Streamlining Act of 1994; S. 1587], 108 Stat. 
  3243, approved October 13, 1994; Public Law 103-465 [Uruguay Round 
Agreements Act; H.R. 5110], 108 Stat. 4809, approved December 8, 1994; 
     and by Public Law 104-295 [Miscellaneous Trade and Technical 
 Corrections Act of 1996; H.R. 3815], 110 Stat. 3514, approved October 
                                11, 1996

 AN ACT To approve and implement the trade agreements negotiated under 
             the Trade Act of 1974, and for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

SECTION 1. SHORT TITLE; TABLE OF CONTENTS; PURPOSES.

    (a) Short Title.--This Act may be cited as the ``Trade 
Agreements Act of 1979''.
    (b) Table of Contents.--* * *
    (c) \1\ Purposes.--The purposes of this Act are--
---------------------------------------------------------------------------
    \1\ 19 U.S.C. 2502.
---------------------------------------------------------------------------
          (1) to approve and implement the trade agreements 
        negotiated under the Trade Act of 1974;
          (2) to foster the growth and maintenance of an open 
        world trading system;
          (3) to expand opportunities for the commerce of the 
        United States in international trade; and
          (4) to improve the rules of international trade and 
        to provide for the enforcement of such rules, and for 
        other purposes.

SEC. 2.\2\ APPROVAL OF TRADE AGREEMENTS.

    (a) Approval of Agreements and Statements of Administrative 
Action.--In accordance with the provisions of sections 102 and 
151 of the Trade Act of 1974 (19 U.S.C. 2112 and 2191), the 
Congress approves the trade agreements described in subsection 
(c) submitted to the Congress on June 19, 1979, and the 
statements of administrative action proposed to implement such 
trade agreements submitted to the Congress on that date.
---------------------------------------------------------------------------
    \2\ 19 U.S.C. 2503.
---------------------------------------------------------------------------
    (b) Acceptance of Agreements by the President.--
          (1) In general.--The President may accept for the 
        United States the final legal instruments or texts 
        embodying each of the trade agreements approved by the 
        Congress under subsection (a). The President shall 
        submit a copy of each final instrument or text to the 
        Congress on the date such text or instrument is 
        available, together with a notification of any changes 
        in the instruments or texts, including their annexes, 
        if any, as accepted and the texts of such agreements as 
        submitted to the Congress under subsection (a). Such 
        final legal instruments or texts shall be deemed to be 
        the agreements submitted to and approved by the 
        Congress under subsection (a) if such changes are--
                  (A) only recertifications of a formal 
                character or minor technical or clerical 
                changes which do not affect the substance or 
                meaning of the texts as submitted to the 
                Congress on June 19, 1979, or
                  (B) changes in annexes to such agreements, 
                and the President determines that the balance 
                of United States rights and obligations under 
                such agreements is maintained.
          (2) Application of agreement between the united 
        states and other countries.--No agreement accepted by 
        the President under paragraph (1) shall apply between 
        the United States and any other country unless the 
        President determines that such country--
                  (A) has accepted the obligations of the 
                agreement with respect to the United States, 
                and
                  (B) should not otherwise be denied the 
                benefits of the agreement with respect to the 
                United States because such country has not 
                accorded adequate benefits, including 
                substantially equal competitive opportunities 
                for the commerce of the United States to the 
                extent required under section 126(c) of the 
                Trade Act of 1974 (19 U.S.C. 2136(c)), to the 
                United States.
          (3) Limitation on acceptance concerning major 
        industrial countries.--The President may not accept an 
        agreement described in paragraph (1), (2), (3), (4), 
        (5), (6), (7), (9), (10), or (11) of subsection (c), 
        unless he determines that each major industrial country 
        (as defined in section 126(d) of the Trade Act of 1974 
        (19 U.S.C. 2136(d)) is also accepting the agreement. 
        Notwithstanding the preceding sentence, the President 
        may accept such an agreement, if he determines that 
        only one major industrial country is not accepting that 
        agreement and the acceptance of that agreement by that 
        country is not essential to the effective operation of 
        the agreement, and if--
                  (A) that country is not a major factor in 
                trade in the products covered by that 
                agreement,
                  (B) the President has authority to deny the 
                benefits of the agreement to that country and 
                has taken steps to deny the benefits of the 
                agreement to that country, or
                  (C) a significant portion of United States 
                trade would benefit from the agreement, 
                notwithstanding such nonacceptance, and the 
                President determines and reports to the 
                Congress that it is in the national interest of 
                the United States to accept the agreement.
        For purposes of this paragraph, the acceptance of an 
        agreement by the European Communities on behalf of its 
        member countries shall also be treated as acceptance of 
        that agreement by each member country, and acceptance 
        of an agreement by all the member countries of the 
        European Communities shall also be treated as 
        acceptance of that agreement by the European 
        Communities.
    (c) Trade Agreements to Which This Act Applies.--The trade 
agreements to which subsection (a) applies are the following:
          (1) The Agreement on Implementation of Article VII of 
        the General Agreement on Tariffs and Trade (relating to 
        customs valuation).
          (2) The Agreement on Government Procurement.
          (3) The Agreement on Import Licensing Procedures.
          (4) The Agreement on Technical Barriers to Trade 
        (relating to product standards).
          (5) The Agreement on Interpretation and Application 
        of Articles VI, XVI, and XXIII of the General Agreement 
        on Tariffs and Trade (relating to subsidies and 
        countervailing measures).
          (6) The Agreement on Implementation of Article VI of 
        the General Agreement on Tariffs and Trade (relating to 
        antidumping measures).
          (7) The International Dairy Arrangement.
          (8) Certain bilateral agreements on cheese, other 
        dairy products, and meat.
          (9) The Arrangement Regarding Bovine Meat.
          (10) The Agreement on Trade in Civil Aircraft.
          (11) Texts Concerning a Framework for the Conduct of 
        World Trade.
          (12) Certain Bilateral Agreements to Eliminate the 
        Wine-Gallon Method of Tax and Duty Assessment.
          (13) Certain other agreements to be reflected in 
        Schedule XX of the United States to the General 
        Agreement on Tariffs and Trade, including Agreements--
                  (A) to Modify United States Watch Marking 
                Requirements, and to Modify United States 
                Tariff Nomenclature and Rates of Duty for 
                Watches,
                  (B) to Provide Duty-Free Treatment for 
                Agricultural and Horticultural Machinery, 
                Equipment, Implements, and Parts Thereof, and
                  (C) to Modify United States Tariff 
                Nomenclature and Rates of Duty for Ceramic 
                Tableware.
          (14) The Agreement with the Hungarian People's 
        Republic.

SEC. 3.\3\ RELATIONSHIP OF TRADE AGREEMENTS TO UNITED STATES LAW.

    (a) United States Statutes To Prevail in Conflict.--No 
provision of any trade agreement approved by the Congress under 
section 2(a), nor the application of any such provision to any 
person or circumstances, which is in conflict with any statute 
of the United States shall be given effect under the laws of 
the United States.
---------------------------------------------------------------------------
    \3\ 19 U.S.C. 2504.
---------------------------------------------------------------------------
    (b) Implementing Regulations.--Regulations necessary or 
appropriate to carry out actions proposed in any statement of 
proposed administrative action submitted to the Congress under 
section 102 of the Trade Act of 1974 to implement each 
agreement approved under section 2(a) shall be issued within 1 
year after the date of the entry into force of such agreement 
with respect to the United States.
    (c) Changes in Statutes To Implement a Requirement, 
Amendment, or Recommendation.--
          (1) Presidential determination.--Whenever the 
        President determines that it is necessary or 
        appropriate to amend, repeal, or enact a statute of the 
        United States in order to implement any requirement of, 
        amendment to, or recommendation under such an 
        agreement, he shall submit to the Congress a draft of a 
        bill to accomplish the amendment, repeal, or enactment 
        and a statement of any administrative action proposed 
        to implement the requirement, amendment, or 
        recommendation. Not less than 30 days before submitting 
        such a bill, the President shall consult with the 
        Committee on Ways and Means of the House of 
        Representatives, the Committee on Finance of the 
        Senate, and each committee of the House or Senate which 
        has jurisdiction over legislation involving subject 
        matters which would be affected by such amendment, 
        repeal, or enactment. The consultation shall treat all 
        matters relating to the implementation of such 
        requirement, amendment, or recommendation, as provided 
        in paragraphs (2) and (3).
          (2) Conditions for taking effect under united states 
        law.--No such amendment shall enter into force with 
        respect to the United States, and no such requirement, 
        amendment, or recommendation shall be implemented under 
        United States law, unless--
                  (A) the President, after consultation with 
                the Congress under paragraph (1), notifies the 
                House of Representatives and the Senate of his 
                determination and publishes notice of that 
                determination in the Federal Register.
                  (B) the President transmits a document to the 
                House of Representatives and to the Senate 
                containing a copy of the text of such 
                requirement, amendment, or recommendation, 
                together with--
                          (i) a draft of a bill to amend or 
                        repeal provisions of existing statutes 
                        or to create statutory authority and an 
                        explanation as to how the bill and any 
                        proposed administrative action affect 
                        existing law, and
                          (ii) a statement of how the 
                        requirement, amendment, or 
                        recommendation serves the interests of 
                        United States commerce and why the 
                        legislative and administrative action 
                        is necessary or appropriate to carry 
                        out the requirement, amendment, or 
                        recommendation, and
                  (C) the bill submitted by the President is 
                enacted into law.
          (3) Recommendations as to application.--The President 
        may make the same type of recommendations, in the same 
        manner and subject to the same conditions, to the 
        Congress with respect to the application of any such 
        requirement, amendment, or recommendation as he may 
        make, under section 102(f) of the Trade Act of 1974, 
        with respect to a trade agreement.
          (4) Congressional procedures applicable.--The bill 
        submitted by the President shall be introduced in 
        accordance with the provisions of subsection (c)(1) of 
        section 151 of the Trade Act of 1974, and the 
        provisions of subsections (d), (e), (f), and (g) of 
        such section shall apply to the consideration of the 
        bill. For the purposes of applying section 151 of such 
        Act to such bill--
                  (A) the term ``trade agreement'' shall be 
                treated as a reference to the requirement, 
                amendment, or recommendation, and
                  (B) the term ``implementing bill'' or 
                ``implementing revenue bill'', whichever is 
                appropriate, shall be treated as a reference to 
                the bill submitted by the President.
    (e) * * *
    (f) Unspecified Private Remedies Not Created.--Neither the 
entry into force with respect to the United States of any 
agreement approved under section 2(a), nor the enactment of 
this Act, shall be construed as creating any private right of 
action or remedy for which provision is not explicitly made 
under this Act or under the laws of the United States.

             TITLE I--COUNTERVAILING AND ANTIDUMPING DUTIES

SEC. 101.\4\ * * *
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    \4\ Sec. 101 of title I added a new title VII to the Tariff Act of 
1930.
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SEC. 102. PENDING INVESTIGATIONS.

    (a) Pending Investigations of Bounties or Grants.--If, on 
the effective date of the application of title VII of the 
Tariff Act of 1930 to imports from a country, there is an 
investigation in progress under section 303 of that Act as to 
whether a bounty or grant is being paid or bestowed on imports 
from such country, then:
          (1) If the Secretary of the Treasury has not yet made 
        a preliminary determination under section 303 of that 
        Act as to whether a bounty or grant is being paid or 
        bestowed, he shall terminate the investigation under 
        section 303 and the matter previously under 
        investigation shall be subject to this title as if the 
        affirmative determination called for in section 702 of 
        that Act were made with respect to that matter on the 
        effective date of the application of title VII of that 
        Act to such country.
          (2) If the Secretary has made a preliminary 
        determination under such section 303, but not a final 
        determination, as to whether a bounty or grant is being 
        paid or bestowed, he shall terminate the investigation 
        under such section 303 and the matter previously under 
        investigation shall be subject to the provisions of 
        title VII of that Act as if the preliminary 
        determination under section 303 were a preliminary 
        determination under section 703 of that title made on 
        the effective date of the application of that title to 
        such country.
    (b) Pending Investigations of Less-Than-Fair-Values 
Sales.--If, on the effective date of title VII of the Tariff 
Act of 1930, there is an investigation in progress under the 
Antidumping Act, 1921, as to whether imports from a country are 
being, or are likely to be, sold in the United States or 
elsewhere at less than fair value, then:
          (1) If the Secretary has not yet made a preliminary 
        determination under the Antidumping Act, 1921, as to 
        the question of less-than-fair-value sales, he shall 
        terminate the investigation and the United States 
        International Trade Commission shall terminate any 
        investigation under section 201(c)(2) of the 
        Antidumping Act, 1921, and the matter previously under 
        investigation shall be subject to the provisions of 
        title VII of the Tariff Act of 1930 as if the 
        affirmative determination called for in section 732 
        were made with respect to such matter on the effective 
        date of title VII of the Tariff Act of 1930.
          (2) If the Secretary has made under the Antidumping 
        Act, 1921, a preliminary determination, but not a final 
        determination, that imports from such country are being 
        or are likely to be sold in the United States or 
        elsewhere at less than fair value, the investigation 
        shall be terminated and the matter previously under 
        investigation shall be subject to the provisions of 
        title VII of the Tariff Act of 1930 as if the 
        preliminary determination under the Antidumping Act, 
        1921, were a preliminary determination under section 
        733 of that title made on the effective date of title 
        VII of the Tariff Act of 1930.
    (c) Pending Investigations of Injury.--If, on the effective 
date of the application of title VII of the Tariff Act of 1930 
to imports from a country, the United States International 
Trade Commission is conducting an investigation under section 
303 of the Tariff Act of 1930 or section 201(a) of the 
Antidumping Act, 1921, as to whether an industry in the United 
States is being, or is likely to be injured, or is prevented 
from being established, it shall terminate any such 
investigation and initiate an investigation, under subtitle A 
or B of title VII of the Tariff Act of 1930, which shall be 
completed within 75 days, and--
          (1) treat any final determination of the Secretary of 
        the Treasury under section 303 as a final determination 
        under section 705(a) of the Tariff Act of 1930 and 
        consider the net amount of the bounty or grant 
        estimated or determined under section 303 as the net 
        subsidy amount under subtitle A of that title; and
          (2) treat any final determination of the Secretary of 
        the Treasury under the Antidumping Act of 1921, as a 
        final determination under section 735(a) of the Tariff 
        Act of 1930.

SEC. 103.\5\ * * *
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    \5\ Sec. 103 amended sec. 303 of the Tariff Act of 1930.
---------------------------------------------------------------------------

SEC. 104. TRANSITION RULES FOR COUNTERVAILING DUTY ORDERS.

    (a) Waived Countervailing Duty Orders.--
          (1) Notification of commission.--The administering 
        authority shall notify the United States International 
        Trade Commission by January 7, 1980, of any 
        countervailing duty order in effect on January 1, 
        1980--
                  (A)(i) for which the Secretary of the 
                Treasury has waived the imposition of 
                countervailing duties under section 303(d) of 
                the Tariff Act of 1930 (19 U.S.C. 1303(d)), and
                  (ii) which applies to merchandise other than 
                quota cheese (as defined in section 701(c)(1) 
                of this Act), which is a product of a country 
                under the Agreement.
                  (B) published on or after the date of the 
                enactment of this Act, and before January 1, 
                1980, with respect to products of a country 
                under the Agreement (as defined in section 
                701(b) of the Tariff Act of 1930), or
                  (C) applicable to frozen, boneless beef from 
                the European Communities under Treasury 
                Decision 76-109,
        and shall furnish to the Commission the most current 
        information it has with respect to the net subsidy 
        benefiting the merchandise subject to the 
        countervailing duty order.
          (2) Determination by the commission.--Within 180 days 
        after the date on which it receives the information 
        from the administering authority under paragraph (1), 
        the Commission shall make a determination of whether--
                  (A) an industry in the United States--
                          (i) is materially injured, or
                          (ii) is threatened with material 
                        injury, or
                  (B) the establishment of an industry in the 
                United States is materially retarded,
        by reason of imports of the merchandise subject to the 
        order.
          (3) Effect of determination.--
                  (A) Affirmative determination.--Upon being 
                notified by the Commission of an affirmative 
                determination under paragraph (2), the 
                administering authority shall terminate the 
                waiver of imposition of countervailing duties 
                for merchandise subject to the order, if any. 
                The countervailing duty order under section 303 
                of the Tariff Act of 1930 which applies to that 
                merchandise shall remain in effect until 
                revoked, in whole or in part, under section 
                751(d) of such Act.
                  (B) Negative determination.--Upon being 
                notified by the Commission of a negative 
                determination under paragraph (2), the 
                administering authority shall revoke the 
                countervailing duty order, and publish notice 
                in the Federal Register of the revocation.
    (b) Other Countervailing Duty Orders.--
          (1) Review by commission upon request.--In the case 
        of a countervailing duty order issued under section 303 
        of the Tariff Act of 1930 (19 U.S.C. 1303)--
                  (A) which is not a countervailing duty order 
                to which subsection (a) applies,
                  (B) which applies to merchandise which is the 
                product of a country under the Agreement, and
                  (C) which is in effect on January 1, 1980, or 
                which is issued pursuant to court order in an 
                action brought under section 516(d) of that Act 
                before that date,
        the Commission, upon the request of the government of 
        such a country or of exporters accounting for a 
        significant proportion of exports to the United States 
        or merchandise which is covered by the order, submitted 
        within 3 years after the effective date of title VII of 
        the Tariff Act of 1930 shall make a determination under 
        paragraph (2) of this subsection.
          (2) Determination by the commission.--In a case 
        described in paragraph (1) with respect to which it has 
        received a request for review the Commission shall 
        commence an investigation to determine whether--
                  (A) an industry in the United States--
                          (i) would be materially injured, or
                          (ii) would be threatened with 
                        material injury, or
                  (B) the establishment of an industry in the 
                United States would be materially retarded,
        by reason of imports of the merchandise covered by the 
        countervailing duty order if the order were to be 
        revoked. A negative determination by the Commission 
        under this paragraph shall not be based, in whole or in 
        part, on any export taxes, duties, or other changes 
        levied on the export of merchandise to the United 
        States specifically intended to offset the subsidy 
        received.\6\
---------------------------------------------------------------------------
    \6\ Sec. 611(c) of Public Law 98-573 (98 Stat. 3033) inserted this 
sentence.
---------------------------------------------------------------------------
          (3) Suspension of liquidation; investigation time 
        limits.--Whenever the Commission receives a request 
        under paragraph (1) it shall promptly notify the 
        administering authority and the administering authority 
        shall suspend liquidation of entries of the affected 
        merchandise made on or after the date of receipt of the 
        Commission's notification, or in the case of butter 
        from Australia, entries of merchandise subject to the 
        assessment of countervailing duties under Treaty 
        Decision 42937, as amended, and collect estimated 
        countervailing duties pending the determination of the 
        Commission. The Commission shall issue its 
        determination in any investigation under this 
        subsection not later than 3 years after the date of 
        commencement of such investigation.
          (4) Effect of determination.--
                  (A) Affirmative determination.--Upon being 
                notified of an affirmative determination under 
                paragraph (2) by the Commission the 
                administering authority shall liquidate entries 
                of merchandise the liquidation of which was 
                suspended under paragraph (3) of this 
                subsection and impose countervailing duties in 
                the amount of the estimated duties required to 
                be deposited. The countervailing duty order 
                shall remain in effect until revoked, in whole 
                or in part, under section 751(c) of the Tariff 
                Act of 1930.
                  (B) Negative determination.--Upon being 
                notified of a negative determination under 
                paragraph (2) by the Commission, the 
                administering authority shall revoke the 
                countervailing duty order then in effect, 
                publish notice thereof in the Federal Register, 
                and refund, without payment of interest, any 
                estimated countervailing duties collected 
                during the period of suspension of liquidation.
    (c) All Outstanding Countervailing Duty Orders.--Subject to 
the provisions of subsections (a) and (b), any countervailing 
duty order issued under section 303 of the Tariff Act of 1930 
which is--
          (1) in effect on the effective date of title VII of 
        the Tariff Act of 1930 (as added by section 101 of this 
        Act), or
          (2) issued pursuant to court order in a proceeding 
        brought before that date under section 516(d) of the 
        Tariff Act of 1930
shall remain in effect after that date and shall be subject to 
review under section 751 of the Tariff Act of 1930.
    (d) Publication of Notice of Determinations.--Whenever the 
Commission makes a determination under subsection (a) or (b) it 
shall publish notice of that determination in the Federal 
Register and notify the administering authority of its 
determination.
    (e) Definitions.--Whenever any term which is defined in 
section 771 of the Tariff Act of 1930 is used in this section, 
it has the same meaning as when it is used in title VII of that 
Act.

SEC. 105.\7\ * * *
---------------------------------------------------------------------------

    \7\ Sec. 105 amended sec. 304(d)(4) of the Tariff Act of 1930 
concerning the continuation of certain waivers.
---------------------------------------------------------------------------

SEC. 106. CONFORMING CHANGES.

    (a) Repeal of Old Law.--The Antidumping Act, 1921 (19 
U.S.C. 160 et seq.) is hereby repealed but findings in effect 
on the effective date of this Act, or issued pursuant to court 
order in an action brought before that date, shall remain in 
effect, subject to review under section 751 of the Tariff Act 
of 1920.
    (b) \8\ * * *
---------------------------------------------------------------------------
    \8\ Subsec. (b) consisted of conforming amendments to several 
statutes.
---------------------------------------------------------------------------

SEC. 107. EFFECTIVE DATE.

    Except as otherwise provided in this title, this title and 
the amendments made by it shall take effect on January 1, 1980, 
if--
          (1) the Agreement on Interpretation and Application 
        of Articles VI, XVI, and XXIII of the General Agreement 
        on Tariffs and Trade (relating to subsidies and 
        countervailing measures), and
          (2) the Agreement on Implementation of Article VI of 
        the General Agreement on Tariffs and Trade (relating to 
        antidumping measures),
approved by the Congress under section 2(a) of this Act have 
entered into force with respect to the United States as of that 
date.\9\
---------------------------------------------------------------------------
    \9\ The President in his determination of Dec. 14, 1979 (44 F.R. 
74781), authorized the U.S. Special Representative for Trade 
Negotiations (United States Trade Representative) to sign both of these 
agreements.
---------------------------------------------------------------------------

                      TITLE II--CUSTOMS VALUATION

               Subtitle A--Valuation Standards Amendments

SEC. 201.\10\ * * *
---------------------------------------------------------------------------

    \10\ Sec. 201 amended sec. 402 of the Tariff Act of 1930 to reflect 
changes brought about by the Agreement on Implementation of Article VII 
of the General Agreement on Tariffs and Trade (relating to customs 
valuation). Sec. 202 consisted of conforming amendments to several 
other laws.
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SEC. 202.\10\ * * *

SEC. 203. PRESIDENTIAL REPORT ON OPERATION OF THE AGREEMENT.

    As soon as practicable after the close of the 2-year period 
beginning on the date on which the amendments made by this 
title (other than section 223(b), relating to certain rubber 
footwear) take effect, the President shall prepare and submit 
to Congress a report containing an evaluation of the operation 
of the Agreement on Implementation of Article VII of the 
General Agreement on Tariffs and Trade approved under section 
2(a) (hereinafter in this subtitle referred to as the 
``Agreement''), both domestically and internationally, during 
that period.

SEC. 204. TRANSITION TO VALUATION STANDARDS UNDER THIS TITLE.

    (a) Effective Date of Amendments.--
          (1) In general.--Except as provided in paragraph (2), 
        the amendments made by this title (except the 
        amendments made by section 223(b)) shall take effect 
        on--
                  (A) January 1, 1981, if the Agreement enters 
                into force with respect to the United States by 
                that date; or
                  (B) if subparagraph (A) does not apply, that 
                date after January 1, 1981, on which the 
                Agreement enters into such force;
        and shall apply with respect to merchandise that is 
        exported to the United States on or after whichever of 
        such dates applies.
          (2) Earlier effective date under certain 
        circumstances.--If the President determines before 
        January 1, 1981, that--
                  (A) the European Economic Community has 
                accepted the obligations of the Agreement with 
                respect to the United States; and
                  (B) each of the member states of the European 
                Economic Community has implemented the 
                Agreement under its laws;
        the President shall by proclamation announce such 
        determination and the amendments made by this title 
        (except the amendments made by section 223(b)) shall 
        take effect on the date specified in the proclamation 
        (but not before July 1, 1980) and shall apply with 
        respect to merchandise that is exported to the United 
        States on or after such date; except that unless the 
        Agreement enters into force with respect to the United 
        States by January 1, 1981, all provisions of law that 
        were amended by such amendments are revised (as in 
        effect on the day before such amendments took effect) 
        on January 1, 1981, and such provisions--
                  (i) shall remain in effect until the date on 
                which the Agreement enters into force with 
                respect to the United States (and on such date 
                the amendments made by this title (except the 
                amendments made by section 223(b)) are revived 
                and shall apply with respect to merchandise 
                exported to the United States on or after such 
                date); and
                  (ii) shall apply with respect to merchandise 
                exported to the United States on or after 
                January 1, 1981, and before the date on which 
                the Agreement enters into such force.
    (b) Application of Old Law Valuation Standards.--For 
purposes of the administration of the customs laws, all 
merchandise (other than merchandise to which subsections (a) 
and (c) apply) shall be appraised on the same basis, and in the 
same manner, as if the amendments made by this title had not 
been enacted.
    (c) Special Treatment for Certain Rubber Footwear.--The 
amendments made by section 223(b) shall take effect July 1, 
1981, or, if later, the date on which the Agreement enters into 
force with respect to the United States, and shall apply, 
together with the other amendments made by this title, to 
rubber footwear exported to the United States on or after such 
date. For purposes of the administration of the customs laws, 
all rubber footwear (other than rubber footwear to which the 
preceding sentence applies) shall be appraised on the same 
basis, and in the same manner, as if the amendments made by 
this title had not been enacted.
    (d) Definition.--For purposes of this section, the term 
``rubber footwear'' means articles described in item 700.60 of 
the Tariff Schedules of the United States (as in effect on the 
day before the day on which the amendments made by section 
223(b) take effect).
          * * * * * * *

                 TITLE III--GOVERNMENT PROCUREMENT \11\

SEC. 301.\12\ GENERAL AUTHORITY TO MODIFY DISCRIMINATION PURCHASING 
                    REQUIREMENTS.

    (a) Presidential Waiver of Discriminatory Purchasing 
Requirements.--Subject to subsection (f) of this section, the 
President \13\ may waive, in whole or in part, with respect to 
eligible products of any foreign country or instrumentality 
designated under subsection (b), and suppliers of such 
products, the application of any law, regulation, procedure, or 
practice regarding Government procurement that would, if 
applied to such products and suppliers, result in treatment 
less favorable than that accorded--
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    \11\ See also Executive Order 12849 of May 25, 1993 (58 F.R. 30931) 
relating to the implementation of a Memorandum of Understanding with 
the European Community on government procurement.
    \12\ 19 U.S.C. 2511.
    \13\ Sec. 381(a)(1) of the NAFTA Implementation Act (Public Law 
103-182; 107 Stat. 2128) struck out ``The President'' and inserted in 
lieu thereof ``Subject to subsection (f) of this section, the 
President''.
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          (1) to United States products and suppliers of such 
        products; or
          (2) to eligible products of another foreign country 
        or instrumentality which is a party to the Agreement 
        and suppliers of such products.
    (b) Designation of Eligible Countries and 
Instrumentalities.--The President may designate a foreign 
country or instrumentality for purposes of subsection (a) only 
if he determines that such country or instrumentality--
          (1) is a country or instrumentality which (A) has 
        become a party to the Agreement or the North American 
        Free Trade Agreement,\14\ and (B) will provide 
        appropriate reciprocal competitive government 
        procurement opportunities to United States products and 
        suppliers of such products;
---------------------------------------------------------------------------
    \14\ Sec. 381(a)(2) of the NAFTA Implementation Act (Public Law 
103-182; 107 Stat. 2128) inserted ``or the North American Free Trade 
Agreement'' after ``the Agreement''.
---------------------------------------------------------------------------
          (2) is a country or instrumentality, other than a 
        major industrial country, which (A) will otherwise 
        assume the obligations of the Agreement, and (B) will 
        provide such opportunities to such products and 
        suppliers;
          (3) is a country or instrumentality, other than a 
        major industrial country, which will provide such 
        opportunities to such products and suppliers; or
          (4) is a least developed country.
    (c) Modification or Withdrawal of Waivers and 
Designations.--The President may modify or withdraw any waiver 
granted pursuant to subsection (a) or designation made pursuant 
to subsection (b).
  (d) \15\ Limitations on Waiver Authority Not Effective Unless 
Provision Amended.--The authority of the President under 
subsection (a) to waive any laws, regulation, procedure, or 
practice shall be effective notwithstanding any other provision 
of law hereafter enacted (excluding the provisions of and 
amendments made by the Buy American Act of 1988) unless such 
other provision specifically refers to and amends this section.
---------------------------------------------------------------------------
    \15\ Sec. 7005(e) of the Omnibus Trade and Competitiveness Act of 
1988 (Public Law 100-418; 102 Stat. 1152) inserted subsec. (d).
---------------------------------------------------------------------------
    (e) \16\ Procurement Procedures by Certain Federal 
Agencies.--Notwithstanding any other provision of law, the 
President may direct any agency of the United States listed in 
Annex 1001.1a-2 of the North American Free Trade Agreement to 
procure eligible products in compliance with the procedural 
provisions of chapter 10 of such Agreement.
---------------------------------------------------------------------------
    \16\ Sec. 381(a)(3) of the NAFTA Implementation Act (Public Law 
103-182; 107 Stat. 2128) added subsecs. (e) and (f).
---------------------------------------------------------------------------
    (f) \16\ Small Business and Minority Preferences.--The 
authority of the President under subsection (a) of this section 
to waive any law, regulation, procedure, or practice regarding 
Government procurement does not authorize the waiver of any 
small business or minority preference.

SEC. 302.\17\ AUTHORITY TO ENCOURAGE RECIPROCAL COMPETITIVE PROCUREMENT 
                    PRACTICES.

    (a) \18\ Authority To Bar Procurement From Non-Designated 
Countries.--
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    \17\ 19 U.S.C. 2512.
    \18\ Sec. 343(a) of Public Law 103-465 (108 Stat. 4954) amended and 
restated subsec. (a).
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          (1) In general.--Subject to paragraph (2), the 
        President, in order to encourage additional countries 
        to become parties to the Agreement and to provide 
        appropriate reciprocal competitive government 
        procurement opportunities to United States products and 
        suppliers of such products--
                  (A) shall, with respect to procurement 
                covered by the Agreement, prohibit the 
                procurement, after the date on which any waiver 
                under section 301(a) first takes effect, of 
                products--
                          (i) which are products of a foreign 
                        country or instrumentality which is not 
                        designated pursuant to section 301(b), 
                        and
                          (ii) which would otherwise be 
                        eligible products; and
                  (B) may, with respect to procurement covered 
                by the Agreement, take such other actions 
                within the President's authority as the 
                President deems necessary.
          (2) Exception.--Paragraph (1) shall not apply in the 
        case of procurements for which--
                  (A) there are no offers of products or 
                services of the United States or of eligible 
                products; or
                  (B) the offers of products or services of the 
                United States or of eligible products are 
                insufficient to fulfill the requirements of the 
                United States Government.
    (b) Deferrals and Waivers.--Notwithstanding subsection (a), 
but in furtherance of the objective of encouraging countries to 
become parties to the Agreement and provide appropriate 
reciprocal competitive government procurement opportunities to 
United States products and suppliers of such products, the 
President may--
          (1) \19\ waive the prohibition required by subsection 
        (a)(1) on procurement of products of a foreign country 
        or instrumentality which has not yet become a party to 
        the Agreement but--
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    \19\ Sec. 343(b)(1) of Public Law 103-465 (108 Stat. 4955) amended 
and restated para. (1).
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                  (A) has agreed to apply transparent and 
                competitive procedures to its government 
                procurement equivalent to those in the 
                Agreement, and
                  (B) maintains and enforces effective 
                prohibitions on bribery and other corrupt 
                practices in connection with its government 
                procurement;
          (2) authorize agency heads to waive, subject to 
        interagency review and general policy guidance by the 
        organization established under section 242(a) of the 
        Trade Expansion Act of 1962 (19 U.S.C. 1872(a)), such 
        prohibition on a case-by-case basis when in the 
        national interest; and
          (3) authorize the Secretary of Defense to waive, 
        subject to interagency review and policy guidance by 
        the organization established under section 242(a) of 
        the Trade Expansion Act of 1962 (19 U.S.C. 1872(a)), 
        such prohibition for products of any country or 
        instrumentality which enters into a reciprocal 
        procurement agreement with the Department of Defense.
Before \20\ exercising the waiver authority under paragraph 
(1), the President shall consult with the appropriate private 
sector advisory committees established under section 135 of the 
Trade Act of 1974 and with the appropriate committees of the 
Congress.
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    \20\ Sec. 343(b)(2) of Public Law 103-465 (108 Stat. 4955) inserted 
this sentence.
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    (c) Report on Impact of Restrictions.--
          (1) Impact on the economy.--On or before July 1, 
        1981, the President shall report to the Committee on 
        Ways and Means and the Committee on Government 
        Operations \21\ of the House of Representatives and to 
        the Committee on Finance and the Committee on 
        Governmental Affairs of the Senate on the effects on 
        the United States economy (including effects on 
        employment, production, competition, costs and prices, 
        technological development, export trade, balance of 
        payments, inflation, and the Federal budget) of the 
        refusal of developed countries to allow the Agreement 
        to cover the entities of the governments of such 
        countries which are the principal purchasers of goods 
        and equipment in appropriate product sectors.
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    \21\ Sec. 1(a)(6) of Public Law 104-14 (109 Stat. 186) provided 
that references to the Committee on Government Operations of the House 
of Representatives should be treated as referring to the Committee on 
Government Reform and Oversight of the House of Representatives.
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          (2) Recommendations for attaining reciprocity.--The 
        report required by paragraph (1) shall include an 
        evaluation of alternative means to obtain equity and 
        reciprocity in such product sectors, including (A) 
        prohibiting the procedures of products of such 
        countries by United States entities not covered by the 
        Agreement, and (B) modifying the application of title 
        III of the Act of March 3, 1933 (41 U.S.C. 10a et 
        seq.), commonly referred to as the Buy American Act. 
        The report shall include an analysis of the effect of 
        such alternative means on the United States economy 
        (including effects on employment, production, 
        competition, costs and prices, technological 
        development, export trade, balance of payments, 
        inflation, and the Federal budget), and on successful 
        negotiations on the expansion of the coverage of the 
        Agreement pursuant to section 304 (a) and (b), other 
        trade negotiating objectives, the relationship of the 
        Federal Government to State and local governments, and 
        such other factors as the President deems appropriate.
          (3) Consultation.--In the preparation of the report 
        required by paragraph (1) and the evaluation and 
        analysis required by paragraph (2), the President shall 
        consult with representatives of the public, industry, 
        and labor, and make available pertinent, 
        nonconfidential information obtained in the course of 
        such preparation to the advisory committees established 
        pursuant to section 135 of the Trade Act of 1974.
    (d) Proposed Action.--
          (1) Presidential report.--On or before October 1, 
        1981, the President shall prepare and transmit to the 
        congressional committees referred to in subsection 
        (c)(1) a report which describes the actions he deems 
        appropriate to establish reciprocity with major 
        industrialized countries in the area of Government 
        procurement.
          (2) Procedure.--
                  (A) Presidential determination.--If the 
                President determines that any changes in 
                existing law or new statutory authority are 
                required to authorize or to implement any 
                action proposed in the report submitted under 
                paragraph (1), he shall, on or after January 1, 
                1982, submit to the Congress a bill to 
                accomplish such changes or provide such new 
                statutory authority. Prior to submitting such a 
                bill, the President shall consult with the 
                appropriate committees of the Congress having 
                jurisdiction over legislation involving subject 
                matters which would be affected by such action, 
                and shall submit to such committees a proposed 
                draft of such bill.
                  (B) Congressional consideration.--The 
                appropriate committee of each House of the 
                Congress shall give a bill submitted pursuant 
                to subparagraph (A) prompt consideration and 
                shall make its best efforts to take final 
                committee action on such bill in an expeditious 
                manner.

SEC. 303.\22\ WAIVER OF DISCRIMINATORY PURCHASING REQUIREMENTS WITH 
                    RESPECT TO PURCHASES OF CIVIL AIRCRAFT.

    The President may waive the application of the provisions 
of title III of the Act of March 3, 1933 (41 U.S.C. 10a et 
seq.), popularly referred to as the Buy American Act, in the 
case of any procurement of civil aircraft and related articles 
of a country or instrumentality which is a party to the 
Agreement on Trade in Civil Aircraft referred to in section 
2(c) and approved under section 2(a).\23\ The President may 
modify or withdraw any waiver granted pursuant to this section.
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    \22\ 19 U.S.C. 2513.
    \23\ Sec. 342(a) of Public Law 103-465 (108 Stat. 4953) inserted 
``referred to in section 2(c) and approved under section 2(a)'' after 
``Civil Aircraft''.
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SEC. 304.\24\ EXPANSION OF THE COVERAGE OF THE AGREEMENT.

    (a) Overall Negotiating Objective.--The President shall 
seek in the renegotiations provided for in article XXIV(7) \25\ 
of the Agreement more open and equitable market access abroad, 
and the harmonization, reduction, or elimination of devices 
which distort trade or commerce related to Government 
procurement, with the overall goal of maximizing the economic 
benefit to the United States through maintaining and enlarging 
foreign markets for products of United States agriculture, 
industry, mining, and commerce, the development of fair and 
equitable market opportunities, and open and nondiscriminatory 
world trade. In carrying out the provisions of this subsection, 
the President shall consider the assessment made in the report 
required under section 306(a).
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    \24\ 19 U.S.C. 2514.
    \25\ Sec. 342(b)(1) of Public Law 103-465 (108 Stat. 4953) struck 
out ``part IX, paragraph 6'' and inserted in lieu thereof ``article 
XXIV(7)'' in subsecs. (a) and (c). In both subsecs. (a) and (c), sec. 
20(c)(11) of Public Law 104-295 (110 Stat. 3528) struck out the comma 
after ``article XXIV(7)''.
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    (b) Sector Negotiating Objectives.--The President shall 
seek, consistent with the overall objective set forth in 
subsection (a) and to the maximum extent feasible, with respect 
to appropriate product sectors, competitive opportunities for 
the export of United States products to the developed countries 
of the world equivalent to the competitive opportunities 
afforded by the United States, taking into account all barriers 
to, and other distortions of, international trade affecting 
that sector.
    (c) Independent Verification Objective.--The President 
shall seek to establish in the renegotiation provided for in 
article XXIV(7) \25\ of the Agreement a system for independent 
verification of information provided by parties to the 
Agreement to the Committee on Government Procurement pursuant 
to article XIX(5) \26\ of the Agreement.
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    \26\ Sec. 342(b)(2) of Public Law 103-465 (108 Stat. 4953) struck 
out ``part VI, paragraph 9'' and inserted in lieu thereof ``article 
XIX(5)''. Sec. 20(c)(11)(B)(ii) of Public Law 104-295 (110 Stat. 3528) 
struck out a comma after ``article XIX(5)''.
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    (d) Reports of Negotiations.--
          (1) Report in the event of inadequate progress.--If, 
        during the renegotiations of the Agreement, the 
        President at any time determines that the 
        renegotiations are not progressing satisfactorily and 
        are not likely to result, within twelve months of the 
        commencement thereof, in an expansion of the Agreement 
        to cover purchases by the entities of the governments 
        of developed countries which are the principal 
        purchasers of goods and equipment in appropriate 
        product sectors, he shall so report to the 
        congressional committees referred to in section 
        302(c)(1). Taking into account the objectives set forth 
        in subsections (a) and (b) of this section and the 
        factors required to be analyzed under section 302(c), 
        the President shall further report to such committees 
        appropriate actions to seek reciprocity in such product 
        sectors with such countries in the area of Government 
        procurement.
          (2) Legislative recommendations.--Taking into account 
        the factors required to be analyzed under section 
        302(c), the President may recommend to the Congress 
        legislation (with respect to entities of the Government 
        which are not covered by the Agreement) which may 
        prohibit such entities from purchasing products of such 
        countries.
          (3) Annual reports.--Each annual report of the 
        President under section 163(a) of the Trade Act of 1974 
        made after the date of enactment of this Act shall 
        report the actions, if any the President deemed 
        appropriate to establish reciprocity in appropriate 
        product sectors with major industrial countries in the 
        area of government procurement.
    (e) Extension of Nondiscrimination and National 
Treatment.--Before exercising the waiver authority in section 
301 for procurement not covered by the Agreement on the date it 
enters into force with respect to the United States,\27\ the 
President shall follow the consultation provisions of section 
135 and chapter 6 of title I of the trade Act of 1974 for 
private sector and congressional consultations.
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    \27\ Sec. 342(b)(3) of Public Law 103-465 (108 Stat. 4953) struck 
out ``date of enactment of this Act'' and inserted in lieu thereof 
``date it enters into force with respect to the United States''.
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SEC. 305.\28\ MONITORING AND ENFORCEMENT.

    (a) Monitoring and Enforcement Structure Recommendations.--
In the preparation of the recommendations for the 
reorganization of trade functions, the President shall insure 
that careful consideration is given to monitoring and enforcing 
the requirements of the Agreement and this title, with 
particular regard to the tendering procedures required by the 
Agreement or otherwise agreed to by a country or 
instrumentality likely to be designated pursuant to section 
301(b).
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    \28\ 19 U.S.C. 2515.
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    (b) Rules of Origin.--
          (1) Advisory rulings and final determinations.--For 
        the purposes of this title, the Secretary of the 
        Treasury shall provide for the prompt issuance of 
        advisory rulings and final determinations on whether, 
        under section 308(4)(B), an article is or would be a 
        product of a foreign country or instrumentality 
        designated pursuant to section 301(b).\29\
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    \29\ This responsibility of the Secretary of the Treasury was 
transferred to the Secretary of Commerce, pursuant to sec. 5(a)(1) of 
Reorganization Plan No. 3 of 1979 (International Trade). However, the 
Secretary of Commerce shall consult the Secretary of the Treasury in 
exercising this function.
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          (2) Penalties for fraudulent conduct.--In addition to 
        any other provisions of law which may be applicable, 
        section 1001 of title 18, United States Code, shall 
        apply to fraudulent conduct with respect to the origin 
        of products for purposes of qualifying for a waiver 
        under section 301 or avoiding a prohibition under 
        section 302.
    (c) Report to Congress on Rules of Origin.--
          (1) Domestic administrative practices.--As soon as 
        practicable after the close of the two-year period 
        beginning on the date on which any waiver under section 
        301(a) first takes effect, the President shall prepare 
        and transmit to Congress a report containing an 
        evaluation of administrative practices under any 
        provision of law which requires determinations to be 
        made of the country of origin of goods, products, 
        commodities, or other articles of commerce. Such 
        evaluation shall be accompanied by the President's 
        recommendations for legislative and executive measures 
        required to improve and simplify and to make more 
        uniform and consistent such practices. Such evaluation 
        and recommendations shall take into account the special 
        problems affecting insular possessions of the United 
        States with respect to such practices.
          (2) Foreign administrative practices.--The report 
        required under paragraph (1) shall contain an 
        evaluation of the administrative practices under the 
        laws of each major industrial country which require 
        determinations to be made of the country of origin of 
        goods, products, commodities, or other articles of 
        commerce, including an assessment of such practices on 
        the exports of the United States.
  (d) \30\ Annual Report on Foreign Discrimination.--
          (1) Annual report required.--The President shall, no 
        later than April 30 of each year,\31\ submit to the 
        appropriate committees of the House of Representatives 
        and the Committee on Governmental Affairs of the 
        Senate, as well as other appropriate Senate committees, 
        a report on the extent to which foreign countries 
        discriminate against United States products or services 
        in making government procurements.
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    \30\ Sec. 7003 of the Omnibus Trade and Competitiveness Act of 1988 
(Public Law 100-418; 102 Stat. 1548) inserted subsecs. (d) through (k).
    \31\ Sec. 342(c) of Public Law 103-465 (108 Stat. 4953) struck out 
``April 30, 1990, and annually on April 30 thereafter,'' and inserted 
in lieu thereof ``April 30 of each year,''.
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          (2) Identifications required.--In the annual report, 
        the President shall identify (and continue to identify 
        subject to subsections (f)(5) and (g)(3)) any 
        countries, other than least developed countries, that--
                  (A) are signatories to the Agreement and not 
                in compliance with the requirements of the 
                Agreement;
                  (B)(i) are signatories to the Agreement;
                  (ii) are in compliance with the Agreement 
                but, in the government procurement of products 
                or services not covered by the Agreement, 
                maintain a significant and persistent pattern 
                or practice of discrimination against United 
                States products or services which results in 
                identifiable harm to United States businesses; 
                and
                  (iii) whose products or services are acquired 
                in significant amounts by the United States 
                Government; \32\
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    \32\ Sec. 20(c)(10) of Public Law 104-295 (110 Stat. 3528) struck 
out ``or'' at the end of subpara. (B), and struck out a period at the 
end of subpara. (C) and replaced it with a semicolon.
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                  (C)(i) are not signatories to the Agreement;
                  (ii) maintain, in government procurement, a 
                significant and persistent pattern or practice 
                of discrimination against United States 
                products or services which results in 
                identifiable harm to United States businesses; 
                and
                  (iii) whose products or services are acquired 
                in significant amounts by the United States 
                Government; \32\
                  (D) \33\ (i) are not signatories to the 
                Agreement;
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    \33\ Sec. 341(c) of Public Law 103-465 (108 Stat. 4953) added 
subparas. (D) and (E).
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                  (ii) fail to apply transparent and 
                competitive procedures to its government 
                procurement equivalent to those in the 
                Agreement; and
                  (iii) whose products or services are acquired 
                in significant amounts by the United States 
                Government; or
                  (E) \33\ (i) are not signatories to the 
                Agreement;
                  (ii) fail to maintain and enforce effective 
                prohibitions on bribery and other corrupt 
                practices in connection with government 
                procurement; and
                  (iii) whose products or services are acquired 
                in significant amounts by the United States 
                Government.
          (3) Considerations in making identifications.--In 
        making the identifications required by paragraph (1), 
        the President shall--
                  (A) use the requirements of the Agreement, 
                government procurement practices, and the 
                effects of such practices on United States 
                businesses as a basis for evaluating whether 
                the procurement practices of foreign 
                governments do not provide fair market 
                opportunities for United States products or 
                services;
                  (B) take into account, among other factors, 
                whether and to what extent countries that are 
                signatories to the Agreement, and other 
                countries described in paragraph (1) of this 
                subsection--
                          (i) use sole-sourcing or otherwise 
                        noncompetitive procedures for 
                        procurements that could have been 
                        conducted using competitive procedures;
                          (ii) conduct what normally would have 
                        been one procurement as two or more 
                        procurements, to decrease the 
                        anticipated contract values below the 
                        Agreement's value threshold or to make 
                        the procurements less attractive to 
                        United States businesses;
                          (iii) announce procurement 
                        opportunities with inadequate time 
                        intervals for United States businesses 
                        to submit bids; and
                          (iv) use specifications in such a way 
                        as to limit the ability of United 
                        States suppliers to participate in 
                        procurements; and
                  (C) use any other additional criteria deemed 
                appropriate, including the failure to maintain 
                and enforce effective prohibitions on bribery 
                and other corrupt practices in connection with 
                government procurement.\34\
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    \34\ Sec. 341(c)(2) of Public Law 103-465 (108 Stat. 4953) added 
text to the end of the sentence beginning with ``, including the 
failure''.
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          (4) Contents of reports.--The reports required by 
        this subsection shall include, with respect to each 
        country identified under subparagraph (A), (B), or (C) 
        of paragraph (1), the following:
                  (A) a description of the specific nature of 
                the discrimination, including (for signatory 
                countries) any provision of the Agreement with 
                which the country is not in compliance;
                  (B) an identification of the United States 
                products or services that are affected by the 
                noncompliance or discrimination;
                  (C) an analysis of the impact of the 
                noncompliance or discrimination on the commerce 
                of the United States and the ability of United 
                States companies to compete in foreign 
                government procurement markets; and
                  (D) a description of the status, action 
                taken, and disposition of cases of 
                noncompliance or discrimination identified in 
                the preceding annual report with respect to 
                such country.
          (5) Information and advice from government agencies 
        and united states businesses.--In developing the annual 
        reports required by this subsection, the President 
        shall seek information and advice from executive 
        agencies through the interagency trade organization 
        established under section 242(a) of the Trade Expansion 
        Act of 1962, and from United States businesses in the 
        United States and in countries that are signatories to 
        the Agreement and in other foreign countries whose 
        products or services are acquired in significant 
        amounts by the United States Government.
          (6) Impact of noncompliance.--The President shall 
        take into account, in identifying countries in the 
        annual report and in any action required by this 
        section, the relative impact of any noncompliance with 
        the Agreement or of other discrimination on United 
        States commerce and the extent to which such 
        noncompliance or discrimination has impeded the ability 
        of United States suppliers to participate in 
        procurements on terms comparable to those available to 
        suppliers of the country in question when seeking to 
        sell goods or services to the United States Government.
          (7) Impact on procurement costs.--Such report shall 
        also include an analysis of the impact on United States 
        Government procurement costs that may occur as a 
        consequence of any sanctions that may be required by 
        subsection (f) or (g) of this section.
  (e) \30\ Consultation.--No later than the date the annual 
report is submitted under subsection (d)(1), the United States 
Trade Representative, on behalf of the United States, shall 
request consultations with any countries identified in the 
report to obtain their compliance with the Agreement or the 
elimination of their discriminatory procurement practices 
unless the country is identified as discriminatory pursuant to 
section 305(d)(1) in the preceding annual report.
  (f) \30\ Procedures With Respect to Violations of the 
Agreement.--
          (1) Initiation of dispute settlement procedures.--If, 
        within 60 days after the annual report is submitted 
        under subsection (d)(1), a signatory country identified 
        pursuant to subsection (d)(1)(A) has not complied with 
        the Agreement, then the United States Trade 
        Representative shall promptly request proceedings on 
        the matter under the formal dispute settlement 
        procedures provided under the Agreement unless such 
        proceedings are already underway pursuant to the 
        identification of the signatory country under section 
        305(d)(1) as not in compliance in a preceding annual 
        report.
          (2) Settlement of disputes.--If, before the end of 
        the 18 months \35\ following the initiation of dispute 
        settlement procedures--
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    \35\ Sec. 341(a)(1) of Public Law 103-465 (108 Stat. 4952) struck 
out ``a year'' and inserted in lieu thereof ``the 18 months''.
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                  (A) the other participant to the dispute 
                settlement procedures has complied with the 
                Agreement,
                  (B) the other participant to the procedures 
                takes the action recommended as a result of the 
                procedures to the satisfaction of the 
                President,\36\
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    \36\ Secs. 341(a)(2), (3), and (4) of Public Law 103-465 (108 Stat. 
4952) struck out ``or'' at the end of subpara. (B), redesignated 
subpara. (C) as subpara. (D), and added a new subpara. (C).
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                  (C) \36\ the procedures result in a 
                determination providing a specific period of 
                time for the other participant to bring its 
                practices into compliance with the Agreement, 
                or
                  (D) \36\ the procedures result in a 
                determination requiring no action by the other 
                participant,
        the President shall take no action to limit Government 
        procurement from that participant.
          (3) \37\ Sanctions after dispute resolution fails.--
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    \37\ Sec. 341(b)(1) of Public Law 103-465 (108 Stat. 4952) amended 
and restated para. (3).
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                  (A) Failures resulting in sanctions.--If--
                          (i) within 18 months from the date 
                        dispute settlement procedures are 
                        initiated with a signatory country 
                        pursuant to this section--
                                  (I) such procedures are not 
                                concluded, or
                                  (II) the country has not met 
                                the requirements of 
                                subparagraph (A) or (B) of 
                                paragraph (2), or
                          (ii) the period of time provided for 
                        pursuant to paragraph (2)(C) has 
                        expired and procedures for suspending 
                        concessions under the Agreement have 
                        been completed, then the sanctions 
                        described in subparagraph (B) shall be 
                        imposed.
                  (B) Sanctions.--
                          (i) In general.--If subparagraph (A) 
                        applies to any signatory country--
                                  (I) the signatory country 
                                shall be considered as a 
                                signatory not in good standing 
                                of the Agreement and the 
                                prohibition on procurement 
                                contained in section 4 of the 
                                Act of March 3, 1933 (41 U.S.C. 
                                10b-1) shall apply to such 
                                country, and
                                  (II) the President shall 
                                revoke the waiver of 
                                discriminatory purchasing 
                                requirements granted to the 
                                signatory country pursuant to 
                                section 301(a).
                          (ii) Time sanctions are imposed.--Any 
                        sanction--
                                  (I) described in clause 
                                (i)(I) shall apply from the 
                                date that is the last day of 
                                the 18-month period described 
                                in subparagraph (A)(i) or, in 
                                the case of paragraph (2)(C), 
                                from the date procedures for 
                                suspending concessions under 
                                the Agreement have been 
                                completed, and
                                  (II) described in clause 
                                (i)(II) shall apply beginning 
                                on the day after the date 
                                described in subclause (I).
          (4) Withholding and modification of sanctions.--If 
        the President determines that imposing or continuing 
        the sanctions required by subclause (I) or (II) of 
        paragraph (3)(B)(i) \38\ would harm the public interest 
        of the United States, the President may, to the extent 
        necessary to apply appropriate limitations that are 
        equivalent, in their effect, to the noncompliance with 
        the Agreement by that signatory country--
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    \38\ Sec. 341(b)(2) of Public Law 103-465 (108 Stat. 4952) struck 
out ``subparagraph (A) or (B) of paragraph (3)'' and inserted in lieu 
thereof ``subclause (I) or (II) of paragraph (3)(B)(i)''.
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                  (A) withhold the imposition of either (but 
                not both) of such sanctions;
                  (B) modify or restrict the application of 
                either or both such sanctions, subject to such 
                terms and conditions as the President considers 
                appropriate; or
                  (C) take any combination of the actions 
                permitted by subparagraph (A) or (B) of this 
                paragraph.
          (5) Termination of sanctions and reinstatement of 
        waivers.--The President may terminate the sanctions 
        imposed under paragraph (3) or (4), reinstate the 
        waiver of discriminatory purchasing requirements 
        granted to that signatory country pursuant to section 
        301(a) of this Act, and remove that country from the 
        report under subsection (d)(1) of this section at such 
        time as the President determines that--
                  (A) the signatory country has complied with 
                the Agreement;
                  (B) the signatory country has taken 
                corrective action as a result of the dispute 
                settlement procedures to the satisfaction of 
                the President; or
                  (C) the dispute settlement procedures result 
                in a determination requiring no action by the 
                other signatory country.
  (g) \30\ Procedures With Respect to Other Discrimination.--
          (1) Imposition of sanctions.--If, within 60 days 
        after the annual report is submitted under subsection 
        (d)(1), a country that is identified pursuant to 
        subparagraph (B), (C), (D), or (E) \39\ of subsection 
        (d)(2) \40\ has not eliminated the practices regarding 
        government procurement identified under subparagraph 
        (B)(ii), (C)(ii), (D)(ii), or (E)(ii) (as the case may 
        be) \41\ of subsection (d)(2),\42\ then, on the day 
        after the end of such 60-day period--
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    \39\ Sec. 343(c)(1)(A) of Public Law 103-465 (108 Stat. 4955) 
struck out ``(B) or (C)'' and inserted in lieu thereof ``(B), (C), (D), 
or (E)''.
    \40\ Sec. 343(c)(1)(B) of Public Law 103-465 (108 Stat. 4955) 
struck out ``their discriminatory procurement practices'' and inserted 
in lieu thereof ``the practices regarding government procurement 
identified under subparagraph (B)(ii), (C)(ii), (D)(ii), or (E)(ii) (as 
the case may be)''.
    \41\ Sec. 20(c)(13(A)(i) of Public Law 104-295 (110 Stat. 3528) 
struck out ``of such subsection'' and inserted in lieu thereof ``of 
subsection (d)(2)''.
    \42\ Sec. 20(c)(13(A)(ii) of Public Law 104-295 (110 Stat. 3528) 
inserted ``of subsection (d)(2)'' after ``(as the case may be)''.
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                  (A) \43\ the President shall identify such 
                country as a country that maintains, in 
                government procurement, a significant and 
                persistent pattern or practice of 
                discrimination against United States products 
                or services which results in identifiable harm 
                to United States businesses; and
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    \43\ On June 29, 1993, the President issued a determination which 
delegated authority to the USTR to ``formally identify Japan as a 
country that discriminates against U.S. products or services in 
government procurement of construction, architectural, and engineering 
services'', and furthermore, ``to impose, modify, or restrict sanctions 
in response to the discrimination so identified.'' (58 F.R. 35357). 
This authority was continued several times, most recently through 
October 7, 1994 (59 F.R. 50477).
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                  (B) the prohibition on procurement contained 
                in section 4 of the Act of March 3, 1933, shall 
                apply to such country.
          (2) Withholding and modification of sanctions.--If 
        the President determines that imposing or continuing 
        the sanction required by paragraph (1) would harm the 
        public interest of the United States, the President 
        may, to the extent necessary to impose appropriate 
        limitations that are equivalent, in their effect, to 
        the discrimination against United States products or 
        services in government procurement by that country, 
        modify or restrict the application of such sanction, 
        subject to such terms and conditions as the President 
        considers appropriate.
          (3) Termination of sanctions.--The President may 
        terminate the sanctions imposed under paragraph (1) or 
        (2) and remove a country from the report under 
        subsection (d)(1) at such time as the President 
        determines that the country has eliminated the 
        practices regarding government procurement identified 
        under subparagraph (B)(ii), (C)(ii), (D)(ii), or 
        (E)(ii) (as the case may be) of subsection (d)(2) \44\.
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    \44\ Sec. 343(c)(2) of Public Law 103-465 (108 Stat. 4955) struck 
out ``discrimination identified pursuant to subsection (d)(2) (B) or 
(C)'' and inserted in lieu thereof ``the practices regarding government 
procurement identified under subparagraph (B)(ii), (C)(ii), (D)(ii), or 
(E)(ii) (as the case may be)'', resulting in a double ``the''. Sec. 
20(c)(13)(B) of Public Law 104-295 (110 Stat. 3529) struck out ``the 
the'' and inserted in lieu thereof ``the'', and inserted ``of 
subsection (d)(2)'' after ``(as the case may be)''.
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  (h) \30\ Limitations on Imposing Sanctions.--
          (1) Avoiding adverse impact on competition.--The 
        President shall not take any action under subsection 
        (f) or (g) of this section if the President determines 
        that such action--
                  (A) would limit the procurement or class of 
                procurements to, or would establish a 
                preference for, the products or services of a 
                single manufacturer or supplier; or
                  (B) would, with respect to any procurement or 
                class of procurements, result in an 
                insufficient number of potential or actual 
                bidders to assure procurement of services, 
                articles, materials, or supplies of requisite 
                quality at competitive prices.
          (2) Advice from u.s. agencies and businesses.--The 
        President, in taking any action under this subsection 
        to limit government procurements from foreign 
        countries, shall seek the advice of executive agencies 
        through the interagency trade organization established 
        under section 242(a) of the Trade Expansion Act of 1962 
        and the advice of United States businesses and other 
        interested parties.
  (i) \30\ Renegotiation To Secure Full and Open Competition.--
The President shall instruct the United States Trade 
Representative, in conducting renegotiations of the Agreement, 
to seek improvements in the Agreement that will secure full and 
open competition consistent with the requirements imposed by 
the amendments made by the Competition in Contracting Act 
(Public Law 98-369; 98 Stat. 1175).
  (j) \30\ Federal Register Notices of Actions.--
          (1) Notices required.--A notice shall be published in 
        the Federal Register on the date of any action under 
        this section, describing--
                  (A) the results of dispute settlement 
                proceedings under subsection (f)(2);
                  (B) any sanction imposed under subsection 
                (f)(3) or (g)(1);
                  (C) any withholding, modification, or 
                restriction of any sanction under subsection 
                (f)(4) or (g)(2); and
                  (D) the termination of any sanction under 
                subsection (f)(5) or (g)(3).
          (2) Publication of determinations lifting 
        sanctions.--A notice describing the termination of any 
        sanction under subsection (f)(5) or (g)(3) shall 
        include a copy of the President's determination under 
        such subsection.
  (k) \30\ General Report on Actions Under This Section.--
          (1) Advice to the congress.--The President shall, as 
        necessary, advise the Congress and, by no later than 
        April 30, 1994, submit to the appropriate committees of 
        the House of Representatives, and to the Committee on 
        Governmental Affairs and other appropriate committees 
        of the Senate, a general report on actions taken 
        pursuant to this section.
          (2) Contents of report.--The general report required 
        by this subsection shall include an evaluation of the 
        adequacy and effectiveness of actions taken pursuant to 
        subsections (e), (f), and (g) of this section as a 
        means toward eliminating discriminatory government 
        procurement practices against United States businesses.
          (3) Legislative recommendations.--The general report 
        may also include, if appropriate, legislative 
        recommendations for enhancing the usefulness of this 
        section or for other measures to be used as means for 
        eliminating or responding to discriminatory foreign 
        government procurement practices.

SEC. 306.\45\ LABOR SURPLUS AREA STUDIES * * * [REPEALED--1994]

SEC. 307.\46\ AVAILABILITY OF INFORMATION TO CONGRESSIONAL ADVISERS.

    The United States Trade Representative \47\ shall make 
available to the Members of Congress designated as official 
advisers pursuant to section 161 of the Trade Act of 1974 
information compiled by the Committee on Government Procurement 
under article XIX(5),\48\ of the Agreement.
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    \45\ Formerly at 19 U.S.C. 2516. Repealed by sec. 7206(c) of Public 
Law 103-355 (108 Stat. 3382). Repealed again by sec. 342(d) of Public 
Law 103-465 (108 Stat. 4953).
    \46\ 19 U.S.C. 2517.
    \47\ ``United States Trade Representative'' was substituted for 
``Special Representative for Trade Negotiations'' by sec. 1(1)(b) of 
the Reorganization Plan No. 3 of 1979 (44 F.R. 69273). For title IV, 
sec. 351(b)(2)(A) of the NAFTA Implementation Act (Public Law 103-182; 
107 Stat. 2122) made the same amendment, striking out ``Special 
Representative'' each place it appears and inserting ``Trade 
Representative''.
    \48\ Sec. 342(e) of Public Law 103-465 (108 Stat. 4953) struck out 
``part VI, paragraph 9'' and inserted in lieu thereof ``article 
XIX(5)''.
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SEC. 308.\49\ DEFINITIONS.

    As used in this title--
---------------------------------------------------------------------------
    \49\ 19 U.S.C. 2518.
---------------------------------------------------------------------------
          (1) Agreement.--The term ``Agreement'' means the 
        Agreement on Government Procurement referred to in 
        section 101(d)(17) of the Uruguay Round Agreements 
        Act,\50\ as submitted to the Congress, but including 
        rectifications, modifications, and amendments which are 
        accepted by the United States.
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    \50\ Sec. 342(f)(1) of Public Law 103-465 (108 Stat. 4953) struck 
out ``section 2(c) of this Act'' and inserted in lieu thereof ``section 
101(d)(17) of the Uruguay Round Agreements Act''.
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          (2) Civil aircraft.--The term ``civil aircraft and 
        related articles'' means--
                  (A) all aircraft other than aircraft to be 
                purchased for use by the Department of Defense 
                or the United States Coast Guard;
                  (B) the engines (and parts and components for 
                incorporation therein) of such aircraft;
                  (C) any other parts, components, and 
                subassemblies for incorporation in such 
                aircraft; and
                  (D) any ground flight simulators, and parts 
                and components thereof, for use with respect to 
                such aircraft,
        whether to be purchased for use as original or 
        replacement equipment in the manufacture, repair, 
        maintenance, rebuilding, modification, or conversion of 
        such aircraft, and without regard to whether such 
        aircraft or articles receive duty-free treatment 
        pursuant to section 601(a)(2).
          (3) Developed countries.--The term ``developed 
        countries'' means countries so designated by the 
        President.
          (4) Eligible products.--
                  (A) \51\ In general.--The term ``eligible 
                product'' means, with respect to any foreign 
                country or instrumentality that is--
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    \51\ Sec. 381(c) of the NAFTA Implementation Act (Public Law 103-
182; 107 Stat. 2129) amended and restated subpara. (A). It formerly 
read as follows:
    ``(A) In general.--The term `eligible product' means, with respect 
to any foreign country or instrumentality, a product or service of that 
country or instrumentality which is covered under the Agreement for 
procurement by the United States.''.
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                          (i) a party to the Agreement, a 
                        product or service of that country or 
                        instrumentality which is covered under 
                        the Agreement for procurement by the 
                        United States; or
                          (ii) a party to the North American 
                        Free Trade Agreement, a product or 
                        service of that country or 
                        instrumentality which is covered under 
                        the North American Free Trade Agreement 
                        for procurement by the United States.
                  (B) Rule of origin.--An article is a product 
                of a country or instrumentality only if (i) it 
                is wholly the growth, product, or manufacture 
                of that country or instrumentality, or (ii) in 
                the case of an article which consists in whole 
                or in part of materials from another country or 
                instrumentality, it has been substantially 
                transformed into a new and different article of 
                commerce with a name, character, or use 
                distinct from that of the article or articles 
                from which it was so transformed.
                  (C) \52\ Lowered threshold for certain 
                products as a consequence of united states-
                israel free trade area provisions.--The term 
                ``eligible product'' includes a product or 
                service of Israel for which the United States 
                is obligated to waive Buy National restrictions 
                under--
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    \52\ Subpara. (C) was added by sec. 7 of the United States-Israel 
Free Trade Area Implementation Act of 1985 (Public Law 99-47; 99 Stat. 
84).
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                          (i) the Agreement on the 
                        Establishment of a Free Trade Area 
                        between the Government of the United 
                        States of America and the Government of 
                        Israel, regardless of the thresholds 
                        provided for in the Agreement (as 
                        defined in paragraph (1)), or
                          (ii) any subsequent agreement between 
                        the United States and Israel which 
                        lowers on a reciprocal basis the 
                        applicable threshold for entities 
                        covered by the Agreement.\53\
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    \53\ Sec. 342(f)(2)(A) of Public Law 103-465 (108 Stat. 4953) 
struck out ``having a contract value of $50,000 or more which would be 
covered for procurement by the United States under the Agreement on 
Government Procurements as in effect on the date on which the Agreement 
on the Establishment of a Free Trade Area between the Government of 
Israel enters into force, but for the SDR 150,000 threshold provided 
for in article I(1)(b) of the Agreement on Government Procurement.'' 
and added text beginning ``for which the United States is obligated''.
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                  (D) \54\ Lowered threshold for certain 
                products as a consequence of united states-
                canada free-trade agreement.--Except as 
                otherwise agreed by the United States and 
                Canada under paragraph 3 of article 1304 of the 
                United States-Canada Free-Trade Agreement, the 
                term `eligible product' includes a product or 
                service of Canada having a contract value of 
                $25,000 or more that would be covered for 
                procurement by the United States under the 
                Agreement (as defined in paragraph (1)), but 
                for the thresholds provided for in the 
                Agreement.\55\
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    \54\ Subpara. (D) was added by sec. 306 of the United States-Canada 
Free-Trade Agreement Implementation Act of 1988 (Public Law 100-449; 
102 Stat. 1876).
    \55\ Sec. 342(f)(2)(B) of Public Law 103-465 (108 Stat. 4954) 
struck out ``GATT Agreement on Government Procurement, but for the SDR 
threshold provided for in article I(1)(b) of the GATT Agreement on 
Government Procurement.'' and inserted in lieu thereof ``the Agreement 
(as defined in paragraph (1)), but for the thresholds provided for in 
the Agreement.'', resulting in a double ``the''. Sec. 20(c)(12) of 
Public Law 104-295 (110 Stat. 3528) struck out ``the the'' and inserted 
in lieu thereof ``the''.
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          (5) Instrumentality.--The term ``instrumentality'' 
        shall not be construed to include an agency or division 
        of the government of a country, but may be construed to 
        include such arrangements as the European Economic 
        Community.
          (6) Least developed country.--The term ``least 
        developed country'' means any country on the United 
        Nations General Assembly list of least developed 
        countries.
          (7) Major industrial country.--The term ``major 
        industrial country'' means any such country as defined 
        in section 126 of the Trade Act of 1974 and any 
        instrumentality of such a country.\56\
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    \56\ Such definition in sec. 126 of the Trade Act of 1974 includes 
``Canada, the European Economic Community, the individual member 
countries of such Community, Japan, and any other foreign country 
designated by the President''.
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SEC. 309.\57\ EFFECTIVE DATES.

    The provisions of this title shall be effective on the date 
of enactment of this Act, except that--
---------------------------------------------------------------------------
    \57\ 19 U.S.C. 2511 note.
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          (1) the authority of the President to grant waivers 
        under section 303 shall be effective on January 1, 
        1980; and
          (2) the authority of the President to grant waivers 
        under section 301 shall be effective on January 1, 
        1981.

           TITLE IV--TECHNICAL BARRIERS TO TRADE (STANDARDS)

              Subtitle A--Obligations of the United States

SEC. 401.\58\ CERTAIN STANDARDS-RELATED ACTIVITIES.

    (a) \59\ No Bar To Engaging in Standards Activity.--Nothing 
in this title may be construed--
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    \58\ 19 U.S.C. 2531.
    \59\ Sec. 351(b) of Public Law 103-465 (108 Stat. 4955) added a new 
subsec. (a), and redesignated the previous language as subsec. (b), by 
striking ``Nothing'' and inserting in lieu thereof ``(b) Unnecessary 
Obstacles.--Nothing''.
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          (1) to prohibit a Federal agency from engaging in 
        activity related to standards-related measures, 
        including any such measure relating to safety, the 
        protection of human, animal, or plant life or health, 
        the environment, or consumers; or
          (2) to limit the authority of a Federal agency to 
        determine the level it considers appropriate of safety 
        or of protection of human, animal, or plant life or 
        health, the environment, or consumers.
    (b) \59\ Unnecessary Obstacles.--Nothing in this title may 
be construed as prohibiting any private person, Federal agency, 
or State agency from engaging in standards-related activities 
that do not create unnecessary obstacles to the foreign 
commerce of the United States. No standards-related activity of 
any private person, Federal agency, or State agency shall be 
deemed to constitute an unnecessary obstacle to the foreign 
commerce of the United States if the demonstrable purpose of 
the standards-related activity is to achieve a legitimate 
domestic objective including, but not limited to, the 
protection of legitimate health or safety, essential security, 
environmental, or consumer interests and if such activity does 
not operate to exclude imported products which fully meet the 
objectives of such activity.

SEC. 402.\60\ FEDERAL STANDARDS-RELATED ACTIVITIES.

    No Federal agency may engage in any standards-related 
activity that creates unnecessary obstacles to the foreign 
commerce of the United States, including, but not limited to, 
standards-related activities that violate any of the following 
requirements:
---------------------------------------------------------------------------
    \60\ 19 U.S.C. 2532.
---------------------------------------------------------------------------
          (1) Nondiscriminatory treatment.--Each Federal agency 
        shall ensure, in applying standards-related activities 
        with respect to any imported product, that such product 
        is treated no less favorably than are like domestic or 
        imported products, including, but not limited to, when 
        applying tests or test methods, no less favorable 
        treatment with respect to--
                  (A) the acceptance of the product for testing 
                in comparable situations;
                  (B) the administration of the tests in 
                comparable situations;
                  (C) the fees charged for tests;
                  (D) the release of test results to the 
                exporter, importer, or agents;
                  (E) the siting of testing facilities and the 
                selection of samples for testing; and
                  (F) the treatment of confidential information 
                pertaining to the product.
          (2) Use of international standards.--
                  (A) In general.--Except as provided in 
                subparagraph (B)(ii), each Federal agency, in 
                developing standards, shall take into 
                consideration international standards and 
                shall, if appropriate, base the standards on 
                international standards.
                  (B) Application of requirement.--For purposes 
                of this paragraph, the following apply:
                          (i) International standards not 
                        appropriate.--The reasons for which the 
                        basing of a standard on an 
                        international standard may not be 
                        appropriate include, but are not 
                        limited to, the following:
                                  (I) National security 
                                requirements.
                                  (II) The prevention of 
                                deceptive practices.
                                  (III) The protection of human 
                                health or safety, animal or 
                                plant life or health, or the 
                                environment.
                                  (IV) Fundamental climatic or 
                                other geographical factors.
                                  (V) Fundamental technological 
                                problems.
                          (ii) Regional standards.--In 
                        developing standards, a Federal agency 
                        may, but is not required to, take into 
                        consideration any international 
                        standard promulgated by an 
                        international standards organization 
                        the membership of which is described in 
                        section 451(6)(A)(ii).
          (3) Performance criteria.--Each Federal agency shall, 
        if appropriate, develop standards based on performance 
        criteria, such as those relating to the intended use of 
        a product and the level of performance that the product 
        must achieve under defined conditions, rather than on 
        design criteria, such as those relating to the physical 
        form of the product or the types of material of which 
        the product is made.
          (4) \61\ Access for foreign suppliers.--Each Federal 
        agency shall, with respect to any conformity assessment 
        procedure \62\ used by it, permit access for obtaining 
        an assessment of conformity and the mark of the system, 
        if any,\63\ to foreign suppliers of a product on the 
        same basis as access is permitted to suppliers of like 
        products whether of domestic or foreign origin.
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    \61\ Sec. 351(c)(1) of Public Law 103-465 (108 Stat. 4956) struck 
out ``Certification access'' in the subsection heading, and inserted in 
lieu thereof ``Access''.
    \62\ Sec. 351(c)(2) of Public Law 103-465 (108 Stat. 4956) struck 
out ``certification system'' and inserted in lieu thereof ``conformity 
assessment procedure''.
    \63\ Sec. 351(c)(3) of Public Law 103-465 (108 Stat. 4956) struck 
out ``certification under that system'' and inserted in lieu thereof 
``an assessment of conformity and the mark of the system, if any''. 
Sec. 20(c)(14) of Public Law 104-295 (110 Stat. 3529) inserted a comma 
after ``if any''.
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SEC. 403.\64\ STATE AND PRIVATE STANDARDS-RELATED ACTIVITIES.

    (a) In General.--It is the sense of the Congress that no 
State agency and no private person should engage in any 
standards-related activity that creates unnecessary obstacles 
to the foreign commerce of the United States.
---------------------------------------------------------------------------
    \64\ 19 U.S.C. 2533.
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    (b) Presidential Action.--The President shall take such 
reasonable measures as may be available to promote the 
observance by State agencies and private persons, in carrying 
out standards-related activities, or requirements equivalent to 
those imposed on Federal agencies under section 402, and of 
procedures that provide for notification, participation and 
publication with respect to such activities.

               Subtitle B--Functions of Federal Agencies

SEC. 411.\65\ FUNCTIONS OF TRADE REPRESENTATIVE.\47\

    (a) In General.--The Trade Representative \47\ shall 
coordinate the consideration of international trade policy 
issues that arise as a result of, and shall develop 
international trade policy as it relates to, the implementation 
of this title.
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    \65\ 19 U.S.C. 2541. Sec. 351(b)(2)(B) of the NAFTA Implementation 
Act (Public Law 103-182; 107 Stat. 2122) struck out ``special 
representative'' in the section catchline and inserted in lieu thereof 
``trade representative''. Sec. 1(1)(b) of the Reorganization Plan No. 3 
of 1979 (44 F.R. 69273), however, had made the same amendment.
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    (b) Negotiating Functions.--The Trade Representative \47\ 
has responsibility for coordinating United States discussions 
and negotiations with foreign countries for the purpose of 
establishing mutual arrangements with respect to standards-
related activities. In carrying out this responsibility, the 
Trade Representative \47\ shall inform and consult with any 
Federal agency having expertise in the matters under discussion 
and negotiation.
    (c) Cross Reference.--
          For provisions of law regarding general authority of 
        the Trade Representative \47\, \66\ with 
        respect to trade agreements, see section 141 of the 
        Trade Act of 1974 (19 U.S.C. 2171).
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    \66\ Sec. 21(b)(2) of Public Law 104-295 (110 Stat. 3530) also 
struck out ``Special Representative'' and inserted in lieu thereof 
``Trade Representative''.
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SEC. 412.\67\ ESTABLISHMENT AND OPERATION OF TECHNICAL OFFICES.

    (a) Establishment.--
---------------------------------------------------------------------------
    \67\ 19 U.S.C. 2542.
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          (1) For nonagricultural products.--The Secretary of 
        Commerce shall establish and maintain within the 
        Department of Commerce a technical office that shall 
        carry out the functions prescribed under subsection (b) 
        with respect to nonagricultural products.
          (2) For agricultural products.--The Secretary of 
        Agriculture shall establish and maintain within the 
        Department of Agriculture a technical office that shall 
        carry out the functions prescribed under subsection (b) 
        with respect to agricultural products.
    (b) Functions of Offices.--The President shall prescribe 
for each technical office established under subsection (a) such 
functions as the President deems necessary or appropriate to 
implement this title.

SEC. 413.\68\ REPRESENTATION OF UNITED STATES INTERESTS BEFORE 
                    INTERNATIONAL STANDARDS ORGANIZATIONS.

    (a) Oversight and Consultation.--The Secretary concerned 
shall--
---------------------------------------------------------------------------
    \68\ 19 U.S.C. 2543.
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          (1) inform, and consult and coordinate with, the 
        Trade Representative \47\ with respect to international 
        standards-related activities identified under paragraph 
        (2);
          (2) keep adequately informed regarding international 
        standards-related activities and identify those that 
        may substantially affect the commerce of the United 
        States; and
          (3) carry out such functions as are required under 
        subsections (b) and (c).
    (b) Representation of United States Interests by Private 
Persons.--
          (1) Definitions.--For purposes of this subsection--
                  (A) Organization member.--The term 
                ``organization member'' means the private 
                person who holds membership in a private 
                international standards organization.
                  (B) Private international standards 
                organization.--The term ``Private international 
                standards organization'' means any 
                international standards organization before 
                which the interests of the United States are 
                represented by a private person who is 
                officially recognized by that organization for 
                such purpose.
          (2) In general.--Except as otherwise provided for in 
        this subsection, the representation of United States 
        interests before any private international standards 
        organization shall be carried out by the organization 
        member.
          (3) Inadequate representation.--If the Secretary 
        concerned, after inquiry instituted on his own motion 
        or at the request of any private person, Federal 
        agency, or State agency having an interest therein, has 
        reason to believe that the participation by the 
        organization member in the proceedings of a private 
        international standards organization will not result in 
        the adequate representation of United States interests 
        that are, or may be, affected by the activities of such 
        organization (particularly with regard to the potential 
        impact of any such activity on the international trade 
        of the United States), the Secretary concerned shall 
        immediately notify the organization member concerned. 
        During any such inquiry, the Secretary concerned may 
        solicit and consider the advice of the appropriate 
        representatives referred to in section 417.
          (4) Action by organization member.--If within the 90-
        day period after the date on which notification is 
        received under paragraph (3) (or such shorter period as 
        the Secretary concerned determines to be necessary in 
        extraordinary circumstances), the organization member 
        demonstrates to the Secretary concerned its willingness 
        and ability to represent adequately United States 
        interests before the private international standards 
        organization, the Secretary concerned shall take no 
        further action under this subsection.
          (5) Action by secretary concerned.--If--
                  (A) within the appropriate period referred to 
                in paragraph (4), the organization member does 
                not respond to the Secretary concerned with 
                respect to the notification, or does respond 
                but does not demonstrate to the Secretary 
                concerned the requisite willingness and ability 
                to represent adequately United States 
                interests; or
                  (B) there is no organization member of the 
                private international standards organization;
        the Secretary concerned shall make appropriate 
        arrangements to provide for the adequate representation 
        of United States interests. In cases where subparagraph 
        (A) applies, such provision shall be made by the 
        Secretary concerned through the appropriate 
        organization member if the private international 
        standards organization involved requires representation 
        by that member.
    (c) Representation of United States Interests by Federal 
Agencies.--With respect to any international standards 
organization before which the interests of the United States 
are represented by one or more Federal agencies that are 
officially recognized by that organization for such purpose, 
the Secretary concerned shall--
          (1) encourage cooperation among interested Federal 
        agencies with a view toward facilitating the 
        development of a uniform position with respect to the 
        technical activities with which the organization is 
        concerned;
          (2) encourage such Federal agencies to seek 
        information from, and to cooperate with, the affected 
        domestic interests when undertaking such 
        representation; and
          (3) not preempt the responsibilities of any Federal 
        agency that has jurisdiction with respect to the 
        activities undertaken by such organization, unless 
        requested to do so by such agency.

SEC. 414. \69\ STANDARDS INFORMATION CENTER.

    (a) Establishment.--The Secretary of Commerce shall 
maintain within the Department of Commerce a standards 
information center.
---------------------------------------------------------------------------
    \69\ 19 U.S.C. 2544.
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    (b) Functions.--The standards information center shall--
          (1) serve as the central national collection facility 
        for information relating to (A) \70\ standards, 
        technical regulations, conformity assessment 
        procedures,\71\ and standards-related activities, 
        whether such standards, technical regulations, 
        conformity assessment procedures,\72\ or activities are 
        public or private, domestic or foreign, or 
        international, regional, national, or local and (B) the 
        membership and participation of Federal, State, or 
        local government bodies or private bodies in the United 
        States in international and regional standardizing 
        bodies and conformity assessment systems, as well as in 
        bilateral and multilateral arrangements concerning 
        standards-related activities.\73\
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    \70\ Sec. 351(d)(1) of Public Law 103-465 (108 Stat. 4956) inserted 
``(A)'' after ``relating to''.
    \71\ Sec. 351(d)(2) of Public Law 103-465 (108 Stat. 4956) struck 
out ``certification systems'' and inserted in lieu thereof ``technical 
regulations, conformity assessment procedures,''.
    \72\ Sec. 351(d)(3) of Public Law 103-465 (108 Stat. 4956) struck 
out ``such standards, systems'' and inserted in lieu thereof ``such 
standards, technical regulations, conformity assessment procedures,'', 
resulting in a double comma. Sec. 20(c)(15) of Public Law 104-295 (110 
Stat. 3529) struck out the second comma.
    \73\ Sec. 351(d)(4) of Public Law 103-465 (108 Stat. 4956) inserted 
``and (B) the membership and participation of Federal, State, or local 
government bodies or private bodies in the United States in 
international and regional standardizing bodies and conformity 
assessment systems, as well as in bilateral and multilateral 
arrangements concerning standards-related activities'' after ``local''.
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          (2) make available to the public at such reasonable 
        fee as the Secretary shall prescribe, copies of 
        information required to be collected under paragraph 
        (1) other than information to which paragraph (3) 
        applies;
          (3) use its best efforts to make available to the 
        public, at such reasonable fees as the Secretary shall 
        prescribe, copies of information required to be 
        collected under paragraph (1) that is of private 
        origin, on a cooperative basis with the private 
        individual or entity, foreign or domestic, who holds 
        the copyright on the information;
          (4) in case of such information that is of foreign 
        origin, provide, at such reasonable fee as the 
        Secretary shall prescribe, such translation services as 
        may be necessary;
          (5) serve as the inquiry point for requests for 
        information regarding standards-related activities, 
        whether adopted or proposed, within the United States, 
        except that in carrying out this paragraph, the 
        Secretary of Commerce shall refer all inquiries 
        regarding agricultural products to the technical office 
        established under section 412(a)(2) within the 
        Department of Agriculture; and
          (6) provide such other services as may be 
        appropriate, including but not limited to, such 
        services to the technical offices established under 
        section 412 as may be requested by those offices in 
        carrying out their functions.
    (c) \74\ Sanitary and Phytosanitary Measures.--
---------------------------------------------------------------------------
    \74\ Sec. 431(a) of Public Law 103-465 (108 Stat. 4966) added 
subsec. (c).
---------------------------------------------------------------------------
          (1) Public information.--The standards information 
        center shall, in addition to the functions specified 
        under subsection (b), make available to the public 
        relevant documents, at such reasonable fees as the 
        Secretary of Commerce may prescribe, and information 
        regarding--
                  (A) any sanitary or phytosanitary measure of 
                general application, including any inspection 
                procedure or approval procedure proposed, 
                adopted, or maintained by a Federal agency or 
                agency of a State or local government;
                  (B) the procedures of a Federal agency or an 
                agency of a State or local government for risk 
                assessment and factors the agency considers in 
                conducting the assessment;
                  (C) the determination of the levels of 
                protection that a Federal agency or an agency 
                of a State or local government considers 
                appropriate; and
                  (D) the membership and participation of the 
                Federal Government and State and local 
                governments in international and regional 
                sanitary and phytosanitary organizations and 
                systems, and in bilateral and multilateral 
                arrangements regarding sanitary and 
                phytosanitary measures, and the provisions of 
                those systems and arrangements.
          (2) Definitions.--The definitions in section 463 
        apply for purposes of this subsection.

SEC. 415.\75\ CONTRACTS AND GRANTS.

    (a) In General.--For purposes of carrying out this title, 
and otherwise encouraging compliance with the Agreement, the 
Trade Representative \47\ and the Secretary concerned may each, 
with respect to functions for which responsible under this 
title, make grants to, or enter into contracts with, any other 
Federal agency, any State agency, or any private person, to 
assist such agency or person to implement appropriate programs 
and activities, including, but not limited to, programs and 
activities--
---------------------------------------------------------------------------
    \75\ 19 U.S.C. 2545.
---------------------------------------------------------------------------
          (1) to increase awareness of proposed and adopted 
        standards-related activities;
          (2) to facilitate international trade through the 
        appropriate international and domestic standards-
        related activities;
          (3) to provide, if appropriate, and pursuant to 
        section 413, adequate United States representation in 
        international standards-related activities; and
          (4) to encourage United States exports through 
        increased awareness of foreign standards-related 
        activities that may affect United States exports.
No contract entered into under this section shall be effective 
except to such extent, and in such amount, as is provided in 
advance in appropriation Acts.
    (b) Terms and Conditions.--Any contract entered into, or 
any grant made, under subsection (a) shall be subject to such 
terms and conditions as the Trade Representative \47\ or 
Secretary concerned shall by regulation prescribe as being 
necessary or appropriate to protect the interests of the United 
States.
    (c) Limitations.--Financial assistance extended under this 
section shall not exceed 75 percent of the total costs (as 
established by the Trade Representative \47\ or Secretary 
concerned, as the case may be) of the program or activity for 
which assistance is made available. The non-Federal share of 
such costs shall be made in cash or kind, consistent with the 
maintenance of the program or activity concerned.
    (d) Audit.--Each recipient of a grant or contract under 
this section shall make available to the Trade Representative 
\47\ or the Secretary concerned, as the case may be, and to the 
Comptroller General of the United States, for purposes of audit 
and examination, any book, document, paper, or record that is 
pertinent to the funds received under such grant or contract.

SEC. 416.\76\ TECHNICAL ASSISTANCE.

    The Trade Representative \47\ and the Secretary concerned 
may each, with respect to functions for which responsible under 
this title, make available, on a reimbursable basis or 
otherwise, to any other Federal agency, State agency, or 
private person such assistance, including, but not limited to, 
employees, services, and facilities, as may be appropriate to 
assist such agency or person in carrying out standards-related 
activities in a manner consistent with this title.
---------------------------------------------------------------------------
    \76\ 19 U.S.C. 2546.
---------------------------------------------------------------------------

SEC. 417.\77\ CONSULTATIONS WITH REPRESENTATIVES OF DOMESTIC INTERESTS.

    In carrying out the functions for which responsible under 
this title, the Trade Representative \47\ and the Secretary 
concerned shall solicit technical and policy advice from the 
committees, established under section 135 of the Trade Act of 
1974 (19 U.S.C. 2155), that represent the interests concerned, 
and may solicit advice from appropriate State agencies and 
private persons.
---------------------------------------------------------------------------
    \77\ 19 U.S.C. 2547.
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     Subtitle C--Administrative and Judicial Proceedings Regarding 
                      Standards-Related Activities

    Chapter 1--Representations Alleging United States Violations of 
                              Obligations

SEC. 421.\78\ RIGHT OF ACTION UNDER THIS CHAPTER.
---------------------------------------------------------------------------

    \78\ 19 U.S.C. 2551.
---------------------------------------------------------------------------
    Except as provided under this chapter, the provisions of 
this subtitle do not create any right of action under the laws 
of the United States with respect to allegations that any 
standards-related activity engaged in within the United States 
violates the obligations of the United States under the 
Agreement.

SEC. 422.\79\ REPRESENTATIONS.

    Any--
---------------------------------------------------------------------------
    \79\ 19 U.S.C. 2552.
---------------------------------------------------------------------------
          (1) Party to the Agreement; or
          (2) foreign country that is not a Party to the 
        Agreement but is found by the Trade Representative \47\ 
        to extend rights and privileges to the United States 
        that are substantially the same as those that would be 
        so extended if that foreign country were a Party to the 
        Agreement;
may make a representation to the Trade Representative \47\ 
alleging that a standards-related activity engaged in within 
the United States violates the obligations of the United States 
under the Agreement. Any such representation must be made in 
accordance with procedures that the Trade Representative \47\ 
shall by regulation prescribe and must provide a reasonable 
indication that the standard-related activity concerned is 
having a significant trade effect. No person other than a Party 
to the Agreement or a foreign country described in paragraph 
(2) may make such a representation.

SEC. 423.\80\ ACTION AFTER RECEIPT OF REPRESENTATIONS.

    (a) Review.--Upon receipt of any representations made under 
section 422, the Trade Representative \47\ shall review the 
issues concerned in consultation with--
---------------------------------------------------------------------------
    \80\ 19 U.S.C. 2553.
---------------------------------------------------------------------------
          (1) the agency of persons alleged to be engaging in 
        violations under the Agreement;
          (2) the member agencies of the interagency trade 
        organization established under section 242(a) of the 
        Trade Expansion Act of 1962 (19 U.S.C. 1872(a));
          (3) other appropriate Federal agencies; and
          (4) appropriate representatives referred to in 
        section 417.
    (b) Resolution.--The Trade Representative \47\ shall 
undertake to resolve, on a mutually satisfactory basis, the 
issues set forth in the representation through consultation 
with the parties concerned.

SEC. 424.\81\ PROCEDURE AFTER FINDING BY INTERNATIONAL FORUM.

    (a) In General.--If an appropriate international forum 
finds that a standards-related activity being engaged in within 
the United States conflicts with the obligations of the United 
States under the Agreement, the interagency trade organization 
established under section 242(a) of the Trade Expansion Act of 
1962 (19 U.S.C. 1872(a)) shall review the finding and the 
matters related thereto with a view to recommending appropriate 
action.
---------------------------------------------------------------------------
    \81\ 19 U.S.C. 2554.
---------------------------------------------------------------------------
    (b) Cross Reference.--
      For provisions of law regarding remedies available to domestic 
        persons alleging that standards activities engaged in by 
        Parties to the Agreement (other than the United States) violate 
        the obligations of the Agreement, see section 301 of the Trade 
        Act of 1974 (19 U.S.C. 2411).

   Chapter 2--Other Proceedings Regarding Certain Standards-Related 
                               Activities

SEC. 441.\82\ FINDINGS OF RECIPROCITY REQUIRED IN ADMINISTRATIVE 
                    PROCEEDINGS.

    (a) In General.--Except as provided under chapter 1, no 
Federal agency may consider a complaint or petition against any 
standards-related activity regarding an imported product, if 
that activity is engaged in within the United States and is 
covered by the Agreement, unless the Trade Representative \47\ 
finds, and informs the agency concerned in writing, that--
---------------------------------------------------------------------------
    \82\ 19 U.S.C. 2561.
---------------------------------------------------------------------------
          (1) the country of origin of the imported product is 
        a Party to the Agreement or a foreign country described 
        in section 422(2); and
          (2) the dispute settlement procedures provided under 
        the Agreement are not appropriate.
    (b) Exemptions.--This section does not apply with respect 
to causes of action arising under--
          (1) the antitrust laws as defined in subsection (a) 
        of the first section of the Clayton Act (15 U.S.C. 
        12(a)); or
          (2) statutes administered by the Secretary of 
        Agriculture.
This section does not apply with respect to petitions and 
proceedings that are provided for under the practices of any 
Federal agency for the purpose of ensuring, in accordance with 
section 553 of title 5, United States Code, that interested 
persons are given an opportunity to participate in agency 
rulemaking or to seek the issuance, amendment, or repeal of a 
rule.

SEC. 442.\83\ NOT CAUSE FOR STAY IN CERTAIN CIRCUMSTANCES.

    No standards-related activity being engaged in within the 
United States may be stayed in any judicial or administrative 
proceeding on the basis that such activity is currently being 
considered, pursuant to the Agreement, by an international 
forum.
---------------------------------------------------------------------------
    \83\ 19 U.S.C. 2562.
---------------------------------------------------------------------------

          Subtitle D--Definitions and Miscellaneous Provisions

SEC. 451.\84\ DEFINITIONS.

    As used in this title--
---------------------------------------------------------------------------
    \84\ 19 U.S.C. 2571.
---------------------------------------------------------------------------
          (1) \85\ Agreement.--The term ``Agreement'' means the 
        Agreement on Technical Barriers to Trade referred to in 
        section 101(d)(5) of the Uruguay Round Agreements Act.
---------------------------------------------------------------------------
    \85\ Sec. 351(e)(1) of Public Law 103-465 (108 Stat. 4956) amended 
and restated para. (1).
---------------------------------------------------------------------------
          (2) \86\ Conformity assessment procedure.--The term 
        ``conformity assessment procedure'' means any procedure 
        used, directly or indirectly, to determine that 
        relevant requirements in technical regulations or 
        standards are fulfilled.
---------------------------------------------------------------------------
    \86\ Sec. 351(e)(2) of Public Law 103-465 (108 Stat. 4956) amended 
and restated para. (2).
---------------------------------------------------------------------------
          (3) Federal agency.--The term ``Federal agency'' 
        means any of the following within the meaning of 
        chapter 2 of part 1 of title 5, United States Code:
                  (A) Any executive department.
                  (B) Any military department.
                  (C) Any Government corporation.
                  (D) Any Government-controlled corporation.
                  (E) Any independent establishment.
          (4) \87\ International conformity assessment 
        procedure.--The term ``international conformity 
        assessment procedure'' means a conformity assessment 
        procedure that is adopted by an international standards 
        organization.
---------------------------------------------------------------------------
    \87\ Sec. 351(e)(3) of Public Law 103-465 (108 Stat. 4956) struck 
out ``certification system'' each place it appeared in para. (4), and 
inserted in lieu thereof ``conformity assessment procedure''.
---------------------------------------------------------------------------
          (5) International standard.--The term ``international 
        standard'' means any standard that is promulgated by an 
        international standards organization.
          (6) International standards organization.--The term 
        ``international standards organization'' means any 
        organization--
                  (A) \88\ the membership of which is open to 
                representatives, whether public or private, of 
                the United States and at least all Members; and 
                \89\
---------------------------------------------------------------------------
    \88\ Sec. 351(e)(4) of Public Law 103-465 (108 Stat. 4956) amended 
and restated subpara. (A).
    \89\ Sec. 20(c)(16) of Public Law 104-295 (110 Stat. 3529) struck 
out ``Members.'' at the end of the subparagraph, and inserted in lieu 
thereof ``Members; and''.
---------------------------------------------------------------------------
                  (B) that is engaged in international 
                standards-related activities.
          (7) International standards-related activity.--The 
        term ``international standards-related activity'' means 
        the negotiation, development, or promulgation of, or 
        any amendment or change to, an international standard, 
        or an international conformity assessment 
        procedure,\90\ or both.
---------------------------------------------------------------------------
    \90\ Sec. 351(e)(5) of Public Law 103-465 (108 Stat. 4956) struck 
out ``certification system'' and inserted in lieu thereof ``conformity 
assessment procedure''.
---------------------------------------------------------------------------
          (8) \91\ Member.--The term ``Member'' means a WTO 
        member as defined in section 2(10) of the Uruguay Round 
        Agreements Act.
---------------------------------------------------------------------------
    \91\ Sec. 351(e)(6) of Public Law 103-465 (108 Stat. 4956) amended 
and restated para. (8).
---------------------------------------------------------------------------
          (9) Private person.--The term ``private person'' 
        means--
                  (A) any individual who is a citizen or 
                national of the United States; and
                  (B) any corporation, partnership, 
                association, or other legal entity organized or 
                existing under the law of any State, whether 
                for profit or not for profit.
          (10) Product.--The term ``product'' means any natural 
        or manufactured item.
          (11) Secretary concerned.--The term ``Secretary 
        concerned'' means the Secretary of Commerce with 
        respect to functions under this title relating to 
        nonagricultural products, and the Secretary of 
        Agriculture with respect to functions under this title 
        relating to agricultural products.
          (12) Trade representative.--The term ``Trade 
        Representative'' means the United States Trade 
        Representative.\92\
---------------------------------------------------------------------------
    \92\ Sec. 351(b)(1) of the NAFTA Implementation Act (Public Law 
103-182; 107 Stat. 2122) amended and restated par. (12). The same 
amendment was made however, when ``United States Trade Representative'' 
was substituted for ``Special Representative for Trade Negotiations'' 
by sec. 1(1)(b) of the Reorganization Plan No. 3 of 1979 (44 F.R. 
69273).
---------------------------------------------------------------------------
          (13) \93\ Standard.--The term ``standard'' means a 
        document approved by a recognized body, that provides, 
        for common and repeated use, rules, guidelines, or 
        characteristics for products or related processes and 
        production methods, with which compliance is not 
        mandatory. Such term may also include or deal 
        exclusively with terminology, symbols, packaging, 
        marking, or labeling requirements as they apply to a 
        product, process, or production method.
---------------------------------------------------------------------------
    \93\ Sec. 351(e)(7) of Public Law 103-465 (108 Stat. 4956) amended 
and restated para. (13).
---------------------------------------------------------------------------
          (14) Standards-related activity.--The term 
        ``standards-related activity'' means the development, 
        adoption, or application of any standard, technical 
        regulation, or conformity assessment procedure.\94\
---------------------------------------------------------------------------
    \94\ Sec. 351(e)(7) of Public Law 103-465 (108 Stat. 4956) struck 
out ``or any certification system'' and inserted in lieu thereof ``, 
technical regulation, or conformity assessment procedure''.
---------------------------------------------------------------------------
          (15) State.--The term ``state'' means any of the 
        several States, the District of Columbia, the 
        Commonwealth of Puerto Rico, the Virgin Islands, 
        American Samoa, Guam and any other Commonwealth, 
        territory, or possession of the United States.
          (16) State agency.--The term ``State agency'' means 
        any department, agency, or other instrumentality of the 
        government of any State or of any political subdivision 
        of any State.
          (17) \95\ Technical regulation.--The term ``technical 
        regulation'' means a document which lays down product 
        characteristics or their related processes and 
        production methods, including the applicable 
        administrative provisions, with which compliance is 
        mandatory. Such term may also include or deal 
        exclusively with terminology, symbols, packaging, 
        marking, or labeling requirements as they apply to a 
        product, process, or production method.
---------------------------------------------------------------------------
    \95\ Sec. 351(e)(9) of Public Law 103-465 (108 Stat. 4957) 
redesignated para. (17) as para. (18), and added a new para. (17).
---------------------------------------------------------------------------
          (18) \95\ United States.--The term ``United States'', 
        when used in a geographical context, means all States.

SEC. 452.\96\ EXEMPTIONS UNDER TITLE.

    This title does not apply to--
---------------------------------------------------------------------------
    \96\ 19 U.S.C. 2572.
---------------------------------------------------------------------------
          (1) any standards activity engaged in by any Federal 
        agency or State agency for the use (including, but not 
        limited to, use with respect to research and 
        development, production, or consumption) of that agency 
        or the use of another such agency; or
          (2) any standards activity engaged in by any private 
        person solely for use in the production or consumption 
        of products by that person.

SEC. 453.\97\ REPORTS TO CONGRESS ON OPERATION OF AGREEMENT.

    As soon as practicable after the close of the 3-year period 
beginning on the date on which this title takes effect, and as 
soon as practicable after the close of each succeeding 3-year 
period through 2001,\98\ the Trade Representative \47\ shall 
prepare and submit to Congress a report containing an 
evaluation of the operation of the Agreement, both domestically 
and internationally, during the period.
---------------------------------------------------------------------------
    \97\ 19 U.S.C. 2573.
    \98\ Sec. 351(f) of Public Law 103-465 (108 Stat. 4957) inserted 
``through 2001'' after ``3-year period''.
    \99\ Sec. 351(g) of Public Law 103-465 (108 Stat. 4957) repealed 
sec. 454, which had provided that: ``This title shall take effect on 
January 1, 1980, if the Agreement enters into force with respect to the 
United States by that date.''. The President, in a determination of 
December 14, 1979 (44 FR 74781), authorized the U.S. Special 
Representative for Trade Negotiations (U.S. Trade Representative) to 
sign the Agreement on behalf of the United States.
---------------------------------------------------------------------------

SEC. 454.\99\ * * * [Repealed--1994]

Subtitle E--Standards and Measures Under the North American Free Trade 
                            Agreement \100\

             chapter 1--sanitary and phytosanitary measures

SEC. 461.\101\ GENERAL.

    Nothing in this chapter may be construed--
---------------------------------------------------------------------------
    \100\ Sec. 351(a) of the NAFTA Implementation Act (Public Law 103-
182; 107 Stat. 2118) added subtitle E.
    \101\ 19 U.S.C. 2575.
---------------------------------------------------------------------------
          (1) to prohibit a Federal agency or State agency from 
        engaging in activity related to sanitary or 
        phytosanitary measures to protect human, animal, or 
        plant life or health; or
          (2) to limit the authority of a Federal agency or 
        State agency to determine the level of protection of 
        human, animal, or plant life or health the agency 
        considers appropriate.

SEC. 462.\102\ INQUIRY POINT.

    The standards information center maintained under section 
414 shall, in addition to the functions specified therein, make 
available to the public relevant documents, at such reasonable 
fees as the Secretary of Commerce may prescribe, and 
information regarding--
---------------------------------------------------------------------------
    \102\ 19 U.S.C. 2575a.
---------------------------------------------------------------------------
          (1) any sanitary or phytosanitary measure of general 
        application, including any control or inspection 
        procedure or approval procedure proposed, adopted, or 
        maintained by a Federal or State agency;
          (2) the procedures of a Federal or State agency for 
        risk assessment, and factors the agency considers in 
        conducting the assessment and in establishing the 
        levels of protection that the agency considers 
        appropriate;
          (3) the membership and participation of the Federal 
        Government and State governments in international and 
        regional sanitary and phytosanitary organizations and 
        systems, and in bilateral and multilateral arrangements 
        regarding sanitary and phytosanitary measures, and the 
        provisions of those systems and arrangements; and
          (4) the location of notices of the type required 
        under article 719 of the NAFTA, or where the 
        information contained in such notices can be obtained.

SEC. 463.\103\ CHAPTER DEFINITIONS.

    Notwithstanding section 451, for purposes of this chapter--
---------------------------------------------------------------------------
    \103\ 19 U.S.C. 2575b.
---------------------------------------------------------------------------
          (1) Animal.--The term ``animal'' includes fish, bees, 
        and wild fauna.
          (2) Approval procedure.--The term ``approval 
        procedure'' means any registration, notification, or 
        other mandatory administrative procedure for--
                  (A) approving the use of an additive for a 
                stated purpose or under stated conditions, or
                  (B) establishing a tolerance for a stated 
                purpose or under stated conditions for a 
                contaminant,
        in a food, beverage, or feedstuff prior to permitting 
        the use of the additive or the marketing of a food, 
        beverage, or feedstuff containing the additive or 
        contaminant.
          (3) Contaminant.--The term ``contaminant'' includes 
        pesticide and veterinary drug residues and extraneous 
        matter.
          (4) Control or inspection procedure.--The term 
        ``control or inspection procedure'' means any procedure 
        used, directly or indirectly, to determine that a 
        sanitary or phytosanitary measure is fulfilled, 
        including sampling, testing, inspection, evaluation, 
        verification, monitoring, auditing, assurance of 
        conformity, accreditation, registration, certification, 
        or other procedure involving the physical examination 
        of a good, of the packaging of a good, or of the 
        equipment or facilities directly related to production, 
        marketing, or use of a good, but does not mean an 
        approval procedure.
          (5) Plant.--The term ``plant'' includes wild flora.
          (6) Risk assessment.--The term ``risk assessment'' 
        means an evaluation of--
                  (A) the potential for the introduction, 
                establishment or spread of a pest or disease 
                and associated biological and economic 
                consequences; or
                  (B) the potential for adverse effects on 
                human or animal life or health arising from the 
                presence of an additive, contaminant, toxin or 
                disease-causing organism in a food, beverage, 
                or feedstuff.
          (7) Sanitary or phytosanitary measure.--
                  (A) In general.--The term ``sanitary or 
                phytosanitary measure'' means a measure to--
                          (i) protect animal or plant life or 
                        health in the United States from risks 
                        arising from the introduction, 
                        establishment, or spread of a pest or 
                        disease;
                          (ii) protect human or animal life or 
                        health in the United States from risks 
                        arising from the presence of an 
                        additive, contaminant, toxin, or 
                        disease-causing organism in a food, 
                        beverage, or feedstuff;
                          (iii) protect human life or health in 
                        the United States from risks arising 
                        from a disease-causing organism or pest 
                        carried by an animal or plant, or a 
                        product thereof; or
                          (iv) prevent or limit other damage in 
                        the United States arising from the 
                        introduction, establishment, or spread 
                        of a pest.
                  (B) Form.--The form of a sanitary or 
                phytosanitary measure includes--
                          (i) end product criteria;
                          (ii) a product-related processing or 
                        production method;
                          (iii) a testing, inspection, 
                        certification, or approval procedure;
                          (iv) a relevant statistical method;
                          (v) a sampling procedure;
                          (vi) a method of risk assessment;
                          (vii) a packaging and labeling 
                        requirement directly related to food 
                        safety; and
                          (viii) a quarantine treatment, such 
                        as a relevant requirement associated 
                        with the transportation of animals or 
                        plants or with material necessary for 
                        their survival during transportation.

                 CHAPTER 2--STANDARDS-RELATED MEASURES

SEC. 471.\104\ GENERAL.

    (a) No Bar To Engaging in Standards Activity.--Nothing in 
this chapter shall be construed--
---------------------------------------------------------------------------
    \104\ 19 U.S.C. 2576.
---------------------------------------------------------------------------
          (1) to prohibit a Federal agency from engaging in 
        activity related to standards-related measures, 
        including any such measure relating to safety, the 
        protection of human, animal, or plant life or health, 
        the environment or consumers; or
          (2) to limit the authority of a Federal agency to 
        determine the level it considers appropriate of safety 
        or of protection of human, animal, or plant life or 
        health, the environment or consumers.
    (b) Exclusion.--This chapter does not apply to--
          (1) technical specifications prepared by a Federal 
        agency for production or consumption requirements of 
        the agency; or
          (2) sanitary or phytosanitary measures under chapter 
        1.

SEC. 472.\105\ INQUIRY POINT.

    The standards information center maintained under section 
414 shall, in addition to the functions specified therein, make 
available to the public relevant documents, at such reasonable 
fees as the Secretary of Commerce may prescribe, and 
information regarding--
---------------------------------------------------------------------------
    \105\ 19 U.S.C. 2576a.
---------------------------------------------------------------------------
          (1) the membership and participation of the Federal 
        Government, State governments, and relevant 
        nongovernmental bodies in the United States in 
        international and regional standardizing bodies and 
        conformity assessment systems, and in bilateral and 
        multilateral arrangements regarding standards-related 
        measures, and the provisions of those systems and 
        arrangements;
          (2) the location of notices of the type required 
        under article 909 of the NAFTA, or where the 
        information contained in such notice can be obtained; 
        and
          (3) the Federal agency procedures for assessment of 
        risk, and factors the agency considers in conducting 
        the assessment and establishing the levels of 
        protection that the agency considers appropriate.

SEC. 473.\106\ CHAPTER DEFINITIONS.

    Notwithstanding section 451, for purposes of this chapter--
---------------------------------------------------------------------------
    \106\ 19 U.S.C. 2576b.
---------------------------------------------------------------------------
          (1) Approval procedure.--The term ``approval 
        procedure'' means any registration, notification, or 
        other mandatory administrative procedure for granting 
        permission for a good or service to be produced, 
        marketed, or used for a stated purpose or under stated 
        conditions.
          (2) Conformity assessment procedure.--The term 
        ``conformity assessment procedure'' means any procedure 
        used, directly or indirectly, to determine that a 
        technical regulation or standard is fulfilled, 
        including sampling, testing, inspection, evaluation, 
        verification, monitoring, auditing, assurance of 
        conformity, accreditation, registration, or approval 
        used for such a purpose, but does not mean an approval 
        procedure.
          (3) Objective.--The term ``objective'' includes--
                  (A) safety,
                  (B) protection of human, animal, or plant 
                life or health, the environment or consumers, 
                including matters relating to quality and 
                identifiability of goods or services, and
                  (C) sustainable development,
        but does not include the protection of domestic 
        production.
          (4) Service.--The term ``service'' means a land 
        transportation service or a telecommunications service.
          (5) Standard.--The term ``standard'' means--
                  (A) characteristics for a good or a service,
                  (B) characteristics, rules, or guidelines 
                for--
                          (i) processes or production methods 
                        relating to such good, or
                          (ii) operating methods relating to 
                        such service, and
                  (C) provisions specifying terminology, 
                symbols, packaging, marking, or labelling for--
                          (i) a good or its related process or 
                        production methods, or
                          (ii) a service or its related 
                        operating methods,
        for common and repeated use, including explanatory and 
        other related provisions set out in a document approved 
        by a standardizing body, with which compliance is not 
        mandatory.
          (6) Standards-related measure.--The term ``standards-
        related measure'' means a standard, technical 
        regulation, or conformity assessment procedure.
          (7) Technical regulation.--The term ``technical 
        regulation'' means--
                  (A) characteristics or their related 
                processes and production methods for a good,
                  (B) characteristics for a service or its 
                related operating methods, or
                  (C) provisions specifying terminology, 
                symbols, packaging, marking, or labelling for--
                          (i) a good or its related process or 
                        production method, or
                          (ii) a service or its related 
                        operating method,
        set out in a document, including applicable 
        administrative, explanatory, and other related 
        provisions, with which compliance is mandatory.
          (8) Telecommunications service.--The term 
        ``telecommunications service'' means a service provided 
        by means of the transmission and reception of signals 
        by any electromagnetic means, but does not mean the 
        cable, broadcast, or other electromagnetic distribution 
        of radio or television programming to the public 
        generally.

                    CHAPTER 3--SUBTITLE DEFINITIONS

SEC. 481.\107\ DEFINITIONS.

    Notwithstanding section 451, for purposes of this 
subtitle--
---------------------------------------------------------------------------
    \107\ 19 U.S.C. 2577.
---------------------------------------------------------------------------
          (1) NAFTA.--The term ``NAFTA'' means the North 
        American Free Trade Agreement.
          (2) State.--The term ``State'' means any of the 
        several States, the District of Columbia, and the 
        Commonwealth of Puerto Rico.

         Subtitle F--International Standard-Setting Activities

SEC. 491.\108\ NOTICE OF UNITED STATES PARTICIPATION IN INTERNATIONAL 
                    STANDARD-SETTING ACTIVITIES.

    (a) In General.--The President shall designate an agency to 
be responsible for informing the public of the sanitary and 
phytosanitary standard-setting activities of each international 
standard-setting organization.
---------------------------------------------------------------------------
    \108\ 19 U.S.C. 2578. Added by sec. 432 of Public Law 103-465 (108 
Stat. 4970).
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    (b) Notification.--Not later than June 1 of each year, the 
agency designated under subsection (a) with respect to each 
international standard-setting organization shall publish 
notice in the Federal Register of the information specified in 
subsection (c) with respect to that organization. The notice 
shall cover the period ending on June 1 of the year in which 
the notice is published, and beginning on the date of the 
preceding notice under this subsection, except that the first 
such notice shall cover the 1-year period ending on the date of 
the notice.
    (c) Required Information.--The information to be provided 
in the notice under subsection (b) is--
          (1) the sanitary or phytosanitary standards under 
        consideration or planned for consideration by that 
        organization;
          (2) for each sanitary or phytosanitary standard 
        specified in paragraph (1)--
                  (A) a description of the consideration or 
                planned consideration of the standard;
                  (B) whether the United States is 
                participating or plans to participate in the 
                consideration of the standard;
                  (C) the agenda for the United States 
                participation, if any; and
                  (D) the agency responsible for representing 
                the United States with respect to the standard.
    (d) Public Comment.--The agency specified in subsection 
(c)(2)(D) shall provide an opportunity for public comment with 
respect to the standards for which the agency is responsible 
and shall take the comments into account in participating in 
the consideration of the standards and in proposing matters to 
be considered by the organization.

SEC. 492.\109\ EQUIVALENCE DETERMINATIONS.

    (a) In General.--An agency may not determine that a 
sanitary or phytosanitary measure of a foreign country is 
equivalent to a sanitary or phytosanitary measure established 
under the authority of Federal law unless the agency determines 
that the sanitary or phytosanitary measure of the foreign 
country provides at least the same level of sanitary or 
phytosanitary protection as the comparable sanitary or 
phytosanitary measure established under the authority of 
Federal law.
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    \109\ 19 U.S.C. 2578a. Added by sec. 432 of Public Law 103-465 (108 
Stat. 4970).
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    (b) FDA Determination.--If the Commissioner proposes to 
issue a determination of the equivalency of a sanitary or 
phytosanitary measure of a foreign country to a measure that is 
required to be promulgated as a rule under the Federal Food, 
Drug, and Cosmetic Act (21 U.S.C. 301 et seq.) or other statute 
administered by the Food and Drug Administration, the 
Commissioner shall issue a proposed regulation to incorporate 
such determination and shall include in the notice of proposed 
rulemaking the basis for the determination that the sanitary or 
phytosanitary measure of a foreign country provides at least 
the same level of sanitary or phytosanitary protection as the 
comparable Federal sanitary or phytosanitary measure. The 
Commissioner shall provide opportunity for interested persons 
to comment on the proposed regulation. The Commissioner shall 
not issue a final regulation based on the proposal without 
taking into account the comments received.
    (c) Notice.--If the Commissioner proposes to issue a 
determination of the equivalency of a sanitary or phytosanitary 
measure of a foreign country to a sanitary or phytosanitary 
\110\ measure of the Food and Drug Administration that is not 
required to be promulgated as a rule under the Federal Food, 
Drug, and Cosmetic Act or other statute administered by the 
Food and Drug Administration, the Commissioner shall publish a 
notice in the Federal Register that identifies the basis for 
the determination that the measure provides at least the same 
level of sanitary or phytosanitary protection as the comparable 
Federal sanitary or phytosanitary measure. The Commissioner 
shall provide opportunity for interested persons to comment on 
the notice. The Commissioner shall not issue a final 
determination on the issue of equivalency without taking into 
account the comments received.
---------------------------------------------------------------------------
    \110\ Sec. 20(d)(1) of Public Law 104-295 (110 Stat. 3529) struck 
out ``phystosanitary'' and inserted in lieu thereof ``phytosanitary''.
---------------------------------------------------------------------------

SEC. 493.\111\ DEFINITIONS.

    (a) In General.--As used in this subtitle:
---------------------------------------------------------------------------
    \111\ 19 U.S.C. 2578b. Added by sec. 432 of Public Law 103-465 (108 
Stat. 4970).
---------------------------------------------------------------------------
          (1) Agency.--The term ``agency'' means a Federal 
        department or agency (or combination of Federal 
        departments or agencies).
          (2) Commissioner.--The term ``Commissioner'' means 
        the Commissioner of Food and Drugs.
          (3) International standard-setting organization.--The 
        term ``international standard-setting organization'' 
        means an organization consisting of representatives of 
        2 or more countries, the purpose of which is to 
        negotiate, develop, promulgate, or amend an 
        international standard.
          (4) Sanitary or phytosanitary standard.--The term 
        ``sanitary or phytosanitary standard'' means a standard 
        intended to form a basis for a sanitary or 
        phytosanitary measure.
          (5) International standard.--The term ``international 
        standard'' means a standard, guideline, or 
        recommendation--
                  (A) regarding food safety, adopted by the 
                Codex Alimentarius Commission, including a 
                standard, guideline, or recommendation 
                regarding decomposition elaborated by the Codex 
                Committee on Fish and Fishery Products, food 
                additives, contaminants, hygienic practice, and 
                methods of analysis and sampling;
                  (B) regarding animal health and zoonoses, 
                developed under the auspices of the 
                International Office of Epizootics;
                  (C) regarding plant health, developed under 
                the auspices of the Secretariat of the 
                International Plant Protection Convention in 
                cooperation with the North American Plant 
                Protection Organization; or
                  (D) established by or developed under any 
                other international organization agreed to by 
                the NAFTA countries (as defined in section 2(4) 
                of the North American Free Trade Agreement 
                Implementation Act) or by the WTO members (as 
                defined in section 2(10) of the Uruguay Round 
                Agreements Act).
    (b) Other Definitions.--The definitions set forth in 
section 463 apply for purposes of this subtitle except that in 
applying paragraph (7) of section 463 with respect to a 
sanitary or phytosanitary measure of a foreign country, any 
reference in such paragraph to the United States shall be 
deemed to be a reference to that foreign country.
          * * * * * * *

                   TITLE XI--MISCELLANEOUS PROVISIONS

          * * * * * * *

SEC. 1102.\112\ AUCTION OF IMPORT LICENSES.

    (a) In General.--Nothwithstanding any other provision of 
law, the President may sell import licenses at public auction 
under such terms and conditions as he deems appropriate. 
Regulations prescribed under this subsection shall, to the 
extent practicable and consistent with efficient and fair 
administration, insure against inequitable sharing of imports 
by a relatively small number of the larger importers.
---------------------------------------------------------------------------
    \112\ 19 U.S.C. 2581.
---------------------------------------------------------------------------
    (b) Definition of Import License.--For purposes of this 
section, the term ``import license'' means any documentation 
used to administer a quantitative restriction imposed or 
modified after the date of enactment of this Act under--
          (1) section 125, 203, 301, or 406 of the Trade Act of 
        1974 (19 U.S.C. 2135, 2253, 2411, or 2436),
          (2) the International Emergency Economic Powers Act 
        (50 U.S.C. App. 1701-1706),
          (3) authority under the notes of the Harmonized 
        Tariff Schedule of the United States,\113\ but not 
        including any quantitative restriction imposed under 
        section 22 of the Agricultural Adjustment Act of 1934 
        (7 U.S.C. 624),
---------------------------------------------------------------------------
    \113\ The words ``notes of the Harmonized Tariff Schedule . . .'' 
were substituted in lieu of ``headnotes of the Tariff Schedules . . .'' 
by sec. 1214(k) of Public Law 100-418 (102 Stat. 1158).
---------------------------------------------------------------------------
          (4) the Trading With the Enemy Act (50 U.S.C. App. 1-
        44),
          (5) section 204 of the Agriculture Act of 1956 (7 
        U.S.C. 1854) other than for meat or meat products, or
          (6) any Act enacted explicitly for the purpose of 
        implementing an international agreement to which the 
        United States is a party, including such agreements 
        relating to commodities, but not including any 
        agreement relating to cheese or dairy products.
          * * * * * * *

SEC. 1109.\114\ REORGANIZING AND RESTRUCTURING OF INTERNATIONAL TRADE 
                    FUNCTIONS OF THE UNITED STATES GOVERNMENT.

    (a) In General.--The President shall submit to the 
Congress, not later than July 10, 1979, a proposal to 
restructure the international trade functions of the Executive 
Branch of the United States Government.\115\ In developing his 
proposal, the President shall consider, among other 
possibilities, strengthening the coordination and functional 
responsibilities of the Office of the United States Trade 
Representative \47\ to include, among other things, 
representation of the United States in all matters before the 
General Agreement on Tariffs and Trade, the establishment of a 
board of trade with a coordinating mechanism in the Executive 
Office of the President, and the establishment of a Department 
of International Trade and Investment. The recommendations of 
the President, as embodied in such proposal, should include a 
monitoring and enforcement structure which would insure 
protection of United States rights under agreements negotiated 
pursuant to the Tokyo Round of the Multilateral Trade 
Negotiations and all other elements of multilateral and 
bilateral international trade agreements. The proposal should 
result in an upgrading of commercial programs and commercial 
attaches overseas to assure that the United States trading 
partners are meeting their trade agreement obligations, 
particularly those entered into under such agreements, 
including the tendering procedures of the Agreement on 
Government Procurement.
---------------------------------------------------------------------------
    \114\ 19 U.S.C. 2111 note.
    \115\ Such a proposal was submitted to the Congress on Sept. 25, 
1979, as Reorganization Plan No. 3 of 1979 (Reorganization of Functions 
Relating to International Trade).
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    (b) Congressional Action.--In order to ensure that the 96th 
Congress takes final action on a comprehensive reorganization 
of trade functions as soon as possible, the appropriate 
committee of each House of the Congress shall give the proposal 
by the President immediate consideration and shall make its 
best efforts to take final committee action to reorganize and 
restructure the international trade functions of the United 
States Government by November 10, 1979.

SEC. 1110.\114\ STUDY OF EXPORT TRADE POLICY.

    (a) Review of Export Promotion and Disincentives.--The 
President shall review all export promotion functions of the 
executive branch and potential programmatic and regulatory 
disincentives to exports, and shall submit to the Congress a 
report of that review not later than July 15, 1980. The report 
should make particular reference to those activities which 
enhance the role of small-and medium-sized businesses in export 
trade.
    (b) Conditions of Competition Study.--Not later than July 
15, 1980, the President shall submit to the Congress a study of 
the factors bearing on the competitive posture of United States 
producers and the policies and programs required to strengthen 
the relative competitive position of the United States in world 
markets.

SEC. 1111.\116\ * * *
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    \116\ Sec. 1111, entitled ``Generalized System of Preferences'', 
amended title V of the Trade Act of 1974 (19 U.S.C. 2461 et seq.).
---------------------------------------------------------------------------

SEC. 1112.\117\ CONCESSION-RELATED REVENUE LOSSES TO UNITED STATES 
                    POSSESSIONS. * * * [Repealed--1983]
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    \117\ Sec. 1112 was repealed by 214(d) of the Caribbean Basin 
Economic Recovery Act (Public Law 98-67; 97 Stat. 393).
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SEC. 1113. NO BUDGET AUTHORITY FOR ANY FISCAL YEAR BEFORE FISCAL YEAR 
                    1981.

    Nothing in this Act shall be construed as authorizing the 
enactment of new budget authority for any fiscal year beginning 
before October 1, 1980.

SEC. 1114.\118\ EFFECTIVE DATE.

    Except as otherwise provided in this title, this title 
shall take effect on the date of enactment of this Act.
---------------------------------------------------------------------------
    \118\ 19 U.S.C. 2581 note.
              (5) Trade Expansion Act of 1962, as amended

  Public Law 87-794 [H.R. 11970], 76 Stat. 872, approved October 11, 
   1962, as amended by Public Law 88-205 [H.R. 7885], 77 Stat. 379, 
 approved December 16, 1963; Public Law 93-618 [H.R. 10710], 88 Stat. 
1978, approved January 3, 1975; Public Law 96-39 [H.R. 4537], 93 Stat. 
 144 at 300, approved July 26, 1979; Public Law 96-223 [H.R. 3919], 94 
Stat. 229 at 301, approved April 2, 1980; Public Law 99-64 [S. 883], 99 
 Stat. 155, approved July 12, 1985; Public Law 100-418 [Omnibus Trade 
 and Competitiveness Act of 1988; H.R. 4848], 102 Stat. 1107, approved 
August 23, 1988; and by Public Law 105-206 [H.R. 2676], 112 Stat. 685, 
                         approved July 22, 1998

                   TITLE I--SHORT TITLE AND PURPOSES

SEC. 101. SHORT TITLE.

    This Act may be cited as the ``Trade Expansion Act of 
1962''.

SEC. 102.\1\ STATEMENT OF PURPOSES.

    The purposes of this Act are, through trade agreements 
affording mutual trade benefits--
---------------------------------------------------------------------------
    \1\ 19 U.S.C. 1801.
---------------------------------------------------------------------------
          (1) to stimulate the economic growth of the United 
        States and maintain and enlarge foreign markets for the 
        products of United States agriculture, industry, 
        mining, and commerce;
          (2) to strengthen economic relations with foreign 
        countries through the development of open and 
        nondiscriminatory trading in the free world; and
          (3) to prevent Communist economic penetration.

                       TITLE II--TRADE AGREEMENTS

                    Chapter 1--General Authority \2\

SEC. 201.\3\ BASIC AUTHORITY FOR TRADE AGREEMENTS.

    (a) Whenever the President determines that any existing 
duties or other import restrictions of any foreign country or 
the United States are unduly burdening and restricting the 
foreign trade of the United States and that any of the purposes 
stated in section 102 will be promoted thereby, the President 
may--
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    \2\ Secs. 202, 211 through 213, 221 through 226, and 231 were 
repealed by sec. 602(d) of the Trade Act of 1974; Public Law 93-618 (88 
Stat. 1978).
    \3\ 19 U.S.C. 1821.
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          (1) after June 30, 1962, and before July 1, 1967, 
        enter into trade agreements with foreign countries or 
        instrumentalities thereof; and
          (2) proclaim such modification or continuance of any 
        existing duty or other import restriction, such 
        continuance of existing duty-free or excise treatment, 
        or such additional import restrictions, as he 
        determines to be required or appropriate to carry out 
        any such trade agreement.
    (b) Except as otherwise provided in this title, no 
proclamation pursuant to subsection (a) shall be made--
          (1) decreasing any rate of duty to a rate below 50 
        percent of the rate existing on July 1, 1962; or
          (2) increasing any rate of duty to (or imposing) a 
        rate more than 50 percent above the rate existing on 
        July 1, 1934.

SEC. 232.\4\ SAFEGUARDING NATIONAL SECURITY.

    (a) No action shall be taken pursuant to section 201(a) or 
pursuant to section 350 of the Tariff Act of 1930 to decrease 
or eliminate the duty or other import restriction on any 
article if the President determines that such reduction or 
elimination would threaten to impair the national security.
---------------------------------------------------------------------------
    \4\ 19 U.S.C. 1862.
---------------------------------------------------------------------------
  (b) \5\ (1)(A) Upon request of the head of any department or 
agency, upon application of an interested party, or upon his 
own motion, the Secretary of Commerce (hereafter in this 
section referred to as the `Secretary') shall immediately 
initiate an appropriate investigation to determine the effects 
on the national security of imports of the article which is the 
subject of such request, application, or motion.
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    \5\ Sec. 1501(a)(3) of Public Law 100-418 (102 Stat. 1257) struck 
out former subsec. (b), which had been previously amended by sec. 
127(d) of Public Law 93-618 (88 Stat. 1978 at 1993), which added new 
subsecs. (b) and (c).
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  (B) The Secretary shall immediately provide notice to the 
Secretary of Defense of any investigation initiated under this 
section.
  (2)(A) In the course of any investigation conducted under 
this subsection, the Secretary shall--
          (i) consult with the Secretary of Defense regarding 
        the methodological and policy questions raised in any 
        investigation initiated under paragraph (1),
          (ii) seek information and advice from, and consult 
        with, appropriate officers of the United States, and
          (iii) if it is appropriate and after reasonable 
        notice, hold public hearings or otherwise afford 
        interested parties an opportunity to present 
        information and advice relevant to such investigation.
  (B) Upon the request of the Secretary, the Secretary of 
Defense shall provide the Secretary an assessment of the 
defense requirements of any article that is the subject of an 
investigation conducted under this section.
  (3)(A) By no later than the date that is 270 days after the 
date on which an investigation is initiated under paragraph (1) 
with respect to any article, the Secretary shall submit to the 
President a report on the findings of such investigation with 
respect to the effect of the importation of such article in 
such quantities or under such circumstances upon the national 
security and, based on such findings, the recommendations of 
the Secretary for action or inaction under this section. If the 
Secretary finds that such article is being imported into the 
United States in such quantities or under such circumstances as 
to threaten to impair the national security, the Secretary 
shall so advise the President in such report.
  (B) Any portion of the report submitted by the Secretary 
under subparagraph (A) which does not contain classified 
information or proprietary information shall be published in 
the Federal Register.
  (4) The Secretary shall prescribe such procedural regulations 
as may be necessary to carry out the provisions of this 
subsection.
  (c) \5\ (1)(A) Within 90 days after receiving a report 
submitted under subsection (b)(3)(A) in which the Secretary 
finds that an article is being imported into the United States 
in such quantities or under such circumstances as to threaten 
to impair the national security, the President shall--
          (i) determine whether the President concurs with the 
        finding of the Secretary, and
          (ii) if the President concurs, determine the nature 
        and duration of the action that, in the judgment of the 
        President, must be taken to adjust the imports of the 
        article and its derivatives so that such imports will 
        not threaten to impair the national security.
  (B) If the President determines under subparagraph (A) to 
take action to adjust imports of an article and its 
derivatives, the President shall implement that action by no 
later than the date that is 15 days after the day on which the 
President determines to take action under subparagraph (A).
  (2) By no later than the date that is 30 days after the date 
on which the President makes any determinations under paragraph 
(1), the President shall submit to the Congress a written 
statement of the reasons why the President has decided to take 
action, or refused to take action, under paragraph (1). Such 
statement shall be included in the report published under 
subsection (e).
  (3)(A) If--
          (i) the action taken by the President under paragraph 
        (1) is the negotiation of an agreement which limits or 
        restricts the importation into, or the exportation to, 
        the United States of the article that threatens to 
        impair national security, and
          (ii) either--
                  (I) no such agreement is entered into before 
                the date that is 180 days after the date on 
                which the President makes the determination 
                under paragraph (1)(A) to take such action, or
                  (II) such an agreement that has been entered 
                into is not being carried out or is ineffective 
                in eliminating the threat to the national 
                security posed by imports of such article,
the President shall take such other actions as the President 
deems necessary to adjust the imports of such article so that 
such imports will not threaten to impair the national security. 
The President shall publish in the Federal Register notice of 
any additional actions being taken under this section by reason 
of this subparagraph.
  (B) If--
          (i) clauses (i) and (ii) of subparagraph (A) apply, 
        and
          (ii) the President determines not to take any 
        additional actions under this subsection,
the President shall publish in the Federal Register such 
determination and the reasons on which such determination is 
based.
    (d) \6\ For the purposes of this section, the Secretary and 
the President shall, in the light of the requirements of 
national security and without excluding other relevant factors, 
give consideration to domestic production needed for projected 
national defense requirements, the capacity of domestic 
industries to meet such requirements, existing and anticipated 
availabilities of the human resources, products, raw materials, 
and other supplies and services essential to the national 
defense, the requirements of growth of such industries and such 
supplies and services including the investment, exploration, 
and development necessary to assure such growth, and the 
importation of goods in terms of their quantities, 
availabilities, character, and use of those affect such 
industries and the capacity of the United States to meet 
national security requirements. In the administration of this 
section, the Secretary and the President shall further 
recognize the close relation of the economic welfare of the 
Nation to our national security, and shall take into 
consideration the impact of foreign competition on the economic 
welfare of individual domestic industries; and any substantial 
unemployment, decrease in revenues of government, loss of 
skills or investment, or other serious effects resulting from 
the displacement of any domestic products by excessive imports 
shall be considered, without excluding other factors, in 
determining whether such weakening of our internal economy may 
impair the national security.
---------------------------------------------------------------------------
    \6\ Sec. 1501(a) of Public Law 100-418 (102 Stat. 1257) 
redesignated the original subsec. (c) as subsec. (d).
---------------------------------------------------------------------------
  (d) \7\ (1) Upon the disposition of each request, 
application, or motion under subsection (b), the Secretary 
shall submit to the Congress, and publish in the Federal 
Register, a report on such disposition.
---------------------------------------------------------------------------
    \7\ This second subsec. (d) was redesignated as subsec. (e) by sec. 
1501(a)(2) of Public Law 100-418 (102 Stat. 1257). Subsequently, sec. 
1501(b)(1) of that Act amended subsec. ``(e)'' to read as subsec. 
``(d)''. This subsection should probably read ``(e)''. The subsection 
previously read as follows:
    ``(d) A report shall be made and published upon the disposition of 
each request, application, or motion under subsection (b). The 
Secretary shall publish procedural regulations to give effect to the 
authority conferred on him by subsection (b).''.
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  (2) The President shall submit to the Congress an annual 
report on the operation of the provisions of this section.
    (f) \8\ (1) An action taken by the President under 
subsection (c) \8\ to adjust imports of petroleum or petroleum 
products shall cease to have force and effect upon the 
enactment of a disapproval resolution, provided for in 
paragraph (2), relating to that action.
---------------------------------------------------------------------------
    \8\ Subsec. (f), previously added as subsec. (e) by sec. 402 of the 
Windfall Profit Tax Act (Public Law 96-223; 94 Stat. 301), was amended 
by sec. 1501(a)(2) of Public Law 100-418 (102 Stat. 1257) which 
substituted ``subsection (c)'' in lieu of ``subsection (b)'' each place 
it appeared, and redesignated subsec. (e) as subsec. (f).
---------------------------------------------------------------------------
    (2)(A) This paragraph is enacted by the Congress--
          (i) as an exercise of the rulemaking power of the 
        House of Representatives and the Senate, respectively, 
        and as such is deemed a part of the rules of each 
        House, respectively, but applicable only with respect 
        to the procedures to be followed in that House in the 
        case of disapproval resolutions and such procedures 
        supersede other rules only to the extent that they are 
        inconsistent therewith; and
          (ii) with the full recognition of the constitutional 
        right of either House to change the rules (so far as 
        relating to the procedure of that House) at any time, 
        in the same manner, and to the same extent as any other 
        rule of that House.
    (B) For purposes of this subsection, the term ``disapproval 
resolution'' means only a joint resolution of either House of 
Congress the matter after resolving clause of which is as 
follows: ``That the Congress disapproves the action taken under 
section 232 of the Trade Expansion Act of 1962 with respect to 
petroleum imports under ......................... dated 
.........................'', the first blank space being filled 
with the number of the proclamation, Executive order, or other 
Executive act issued under the authority of subsection (c) \8\ 
of such section 232 for purposes of adjusting imports of 
petroleum or petroleum products and the second blank being 
filled with the appropriate date.
    (C)(i) All disapproval resolutions introduced in the House 
of Representatives shall be referred to the Committee on Ways 
and Means and all disapproved resolutions introduced in the 
Senate shall be referred to the Committee on Finance.
    (ii) No amendment to a disapproval resolution shall be in 
order in either the House of Representatives or the Senate, and 
no motion to suspend the application of this clause shall be in 
order in either House nor shall it be in order in either House 
for the Presiding Officer to entertain a request to suspend the 
application of this clause by unanimous consent.

SEC. 233.\9\ IMPORT SANCTIONS FOR EXPORT VIOLATIONS.

    Any person who violates any national security export 
control imposed under section 5 of the Export Administration 
Act of 1979 (50 U.S.C. App. 2404), or any regulation, order, or 
license issued under that section, may be subject to such 
controls on the importing of goods or technology into the 
United States as the President may prescribe.
---------------------------------------------------------------------------
    \9\ 19 U.S.C. 1864. Sec. 121 of the Export Administration 
Amendments Act of 1985 (Public Law 99-43; 99 Stat. 154) inserted sec. 
233. Sec. 2447(a) of Public Law 100-418 (102 Stat. 1370) subsequently 
amended the sec. 233 by striking ``(a)'' preceding ``Any person'' and 
deleting subsec. (b). Subsec. (b) previously read as follows:
    ``(b) Except as provided in subsection (a) of this section, any 
person who violates any regulation issued under a multilateral 
agreement, formal or informal, to control exports for national security 
purposes, to which the United States is a party, may be subject to such 
controls on the importing of goods or technology into the United States 
as the President may prescribe, but only if--
---------------------------------------------------------------------------

          ``(1) negotiations with the government or governments, party 
        to the multilateral agreement, with jurisdiction over the 
        violation have been conducted and been unsuccessful in 
        restoring compliance with the regulation involved;
          ``(2) the President, after the failure of such negotiations, 
        has notified the government or governments described in 
        paragraph (1) and the other parties to the multilateral 
        agreement that the United States proposes to subject the person 
        committing the violation to specific controls on the importing 
        of goods or technology into the United States upon the 
        expiration of 60 days from the date of such notification; and
          ``(3) a majority of the parties to the multilateral agreement 
        (other than the United States), before the end of that 60-day 
        period, have expressed to the President concurrence in the 
        proposed import controls or have abstained from stating a 
        position with respect to the proposed controls.''.

               Chapter 5--Administrative Provisions \10\

SEC. 242.\11\ INTERAGENCY TRADE ORGANIZATION.

  (a)(1) The President shall establish an interagency 
organization.\12\
---------------------------------------------------------------------------
    \10\ Secs. 241 and 243 were repealed by sec. 602(d) of the Trade 
Act of 1974; Public Law 93-618 (88 Stat. 2402).
    \11\ 19 U.S.C. 1872. Sec. 1621 of Public Law 100-418 (102 Stat. 
1263) amended and restated subsec. (a) which previously read as 
follows:
    ``(a) The President shall establish an interagency organization to 
assist him in carrying out the functions vested in him by this title 
and sections 201, 202, and 203 of the Trade Act of 1974. Such 
organization shall, in addition to the Special Representative for Trade 
Negotiations, be composed of the heads of such departments and of such 
other officers as the President shall designate. It shall meet at such 
times and with respect to such matters as the President or the chairman 
of the organization shall direct. The organization may invite the 
participation in its activities of any agency not represented in the 
organization when matters of interest to such agency are under 
consideration.''.
    \12\ Sec. 1621(b) of the Omnibus Trade and Competitiveness Act of 
1988 (Public Law 100-418; 102 Stat. 1264) further provided:
    ``(b) Sense of Congress.--It is the sense of Congress that the 
interagency organization established under subsection (a) should be the 
principal interagency forum within the executive branch on 
international trade policy matters.''.
---------------------------------------------------------------------------
  (2) The functions of the organization are--
          (A) to assist, and make recommendations to, the 
        President in carrying out the functions vested in him 
        by the trade laws and to advise the United States Trade 
        Representative (hereinafter in this section referred to 
        as the ``Trade Representative'') in carrying out the 
        functions set forth in section 141 of the Trade Act of 
        1974;
          (B) to assist the President, and advise the Trade 
        Representative, with respect to the development and 
        implementation of the international trade policy 
        objectives of the United States; and
          (C) to advise the President and the Trade 
        Representative with respect to the relationship between 
        the international trade policy objectives of the United 
        States and other major policy areas which may 
        significantly affect the overall international trade 
        policy and trade competitiveness of the United States.
  (3) The interagency organization shall be composed of the 
following:
          (A) The Trade Representative, who shall be 
        chairperson.
          (B) The Secretary of Commerce.
          (C) The Secretary of State.
          (D) The Secretary of the Treasury.
          (E) The Secretary of Agriculture.
          (F) The Secretary of Labor.
The Trade Representative may invite representatives from other 
agencies, as appropriate, to attend particular meetings if 
subject matters of specific functional interest to such 
agencies are under consideration. It shall meet at such times 
and with respect to such matters as the President or the 
Chairman shall direct.
    (b) In assisting the President, the organization shall--
          (1) make recommendations to the President on basic 
        policy issues arising in the administration of the 
        trade agreements program,
          (2) make recommendations to the President as to what 
        action, if any, he should take on reports submitted to 
        him by the United States International Trade Commission 
        \13\ under section 201(d) of the Trade Act of 1974,
---------------------------------------------------------------------------
    \13\ Sec. 171(a) of Public Law 93-618 renamed the ``United States 
Tariff Commission'' the ``United States International Trade 
Commission''.
---------------------------------------------------------------------------
          (3) advise the President of the results of hearings 
        held pursuant to section 302(b)(2) of section 301 of 
        the Trade Act of 1974 \14\ and recommend appropriate 
        action with respect thereto, and
---------------------------------------------------------------------------
    \14\ Sec. 902(c) of the Trade Agreements Act of 1979 (Public Law 
96-39; 93 Stat. 300) struck out references to subsecs. (c) and (d) of 
the Trade Act of 1974, and inserted in lieu thereof the reference to 
sec. 302(b)(2). The amendment made by sec. 902(c) should probably have 
also struck out the words ``of section 301''.
---------------------------------------------------------------------------
          (4) perform such other functions with respect to the 
        trade agreements program as the President may from time 
        to time designate.
In carrying out its functions under this subsection, the 
organization shall take into account the advice of the 
congressional advisers and private sector advisory committees, 
as well as that of any committee or other body established to 
advise the department, agency, or office which a member of the 
organization heads.\15\
---------------------------------------------------------------------------
    \15\ This last sentence was added by sec. 1621(a)(2) of Public Law 
100-418 (102 Stat. 1264).
---------------------------------------------------------------------------
    (c) The organization shall, to the maximum extent 
practicable, draw upon the resources of the agencies 
represented in the organization, as well as such other agencies 
as it may determine, including the United States International 
Trade Commission.\13\ In addition, the President may establish 
by regulation such procedures and committees as he may 
determine to be necessary to enable the organization to provide 
for the conduct of hearings pursuant to section 302(b)(2) of 
section 301 of the Trade Act of 1974,\14\ and for the carrying 
out of other functions assigned to the organization pursuant to 
this section.

                   Chapter 6--General Provisions \16\

SEC. 251.\17\ NORMAL TRADE RELATIONS.

    Except as otherwise provided in this title, in section 
350(b) of the Tariff Act of 1930, or in section 401(a) of the 
Tariff Classification Act of 1962, any duty or other import 
restriction or duty-free treatment proclaimed in carrying out 
any trade agreement under this title or section 350 of the 
Tariff Act of 1930 shall apply to products of all foreign 
countries, whether imported directly or indirectly.
---------------------------------------------------------------------------
    \16\ Secs. 252, 253, 254, 255(a), and 256 were repealed by sec. 
602(d) of the Trade Act of 1974; Public Law 93-618 (88 Stat. 2402).
    \17\ 19 U.S.C. 1881. Sec. 5003(b)(1) of Public Law 105-206 (112 
Stat. 789) amended the heading of sec. 251 to read ``normal trade 
relations.'' The heading previously read ``most-favored-nation 
treatment.''.
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SEC. 255.\18\ TERMINATION.

    (b) The President may at any time terminate, in whole or in 
part, any proclamation made under this title.
---------------------------------------------------------------------------
    \18\ 19 U.S.C. 1885.
---------------------------------------------------------------------------

SEC. 257. RELATION TO OTHER LAWS.

    (a) \19\ * * *
---------------------------------------------------------------------------
    \19\ Subsecs. (a) and (b) amended sec. 350 of the Tariff Act of 
1930.
---------------------------------------------------------------------------
    (b) \19\ * * *
    (c) For purposes only of entering into trade agreements 
pursuant to the notices of intention to negotiate published in 
the Federal Register of May 28, 1960, and the Federal Register 
of November 23, 1960, the period during which the President is 
authorized to enter into foreign trade agreements under section 
350 of the Tariff Act of 1930 is hereby extended from the close 
of June 30, 1962, until close of December 31, 1962.
    (d) * * *
    (e)(1) Sections 5, 6, 7, and 8(a) of the Trade Agreements 
Extension Act of 1951 are repealed.
    (2) Action taken by the President under section 5 of such 
Act and in effect on the date of the enactment of this Act 
shall be considered as having been taken by the President under 
section 231.
    (3) Any investigation by the United States International 
Trade Commission \12\ under section 7 of such Act which is in 
progress on the date of the enactment of this Act shall be 
continued under section 301 as if the application by the 
interested party were a petition under such section for tariff 
adjustment under section 351. For purposes of section 301(f), 
such petition shall be treated as having been filed on the date 
of the enactment of this Act.
    (f) Section 2 of the Act entitled ``An Act to extend the 
authority of the President to enter into trade agreements under 
section 350 of the Tariff Act of 1930, as amended'', approved 
July 1, 1954, is repealed. Any action (including any 
investigation begun) under such section 2 before the date of 
the enactment of this Act shall be considered as having been 
taken or begun under section 232.
    (g) * * *
    (h) \20\ Nothing contained in this Act shall be construed 
to affect in any way the provisions of section 22 of the 
Agricultural Adjustment Act, or to apply to any import 
restriction heretofore or hereafter imposed under such section.
---------------------------------------------------------------------------
    \20\ 19 U.S.C. 1887.
---------------------------------------------------------------------------
    (i) \21\ * * *
---------------------------------------------------------------------------
    \21\ Subsec. (i) amended the Tariff Act of 1930 by adding a new 
sec. 323.
---------------------------------------------------------------------------

SEC. 258.\22\ REFERENCES.

    All provisions of law (other than this Act and the Trade 
Agreements Extension Act of 1951) in effect after June 30, 
1962, referring to section 350 of the Tariff Act of 1930, to 
that section as amended to the Act entitled ``An Act to amend 
the Tariff Act of 1930'', approved June 12, 1934, to that Act 
as amended, or to agreements entered into, or proclamations 
issued, under any such provisions, shall be construed, unless 
clearly precluded by the context, to refer also to this Act, or 
to agreements entered into or proclamations issued, pursuant to 
this Act.
---------------------------------------------------------------------------
    \22\ 19 U.S.C. 1888.
---------------------------------------------------------------------------

      TITLE III--TARIFF ADJUSTMENT AND OTHER ADJUSTMENT ASSISTANCE

               Chapter 1--Eligibility for Assistance \23\


---------------------------------------------------------------------------
    \23\ Secs. 301 and 302 were repealed by Public Law 93-618 (88 Stat. 
1978).
---------------------------------------------------------------------------

                  Chapter 2--Assistance to Firms \24\


---------------------------------------------------------------------------
    \24\ Secs. 311 through 315 were repealed by Public Law 93-618 (88 
Stat. 1978).
---------------------------------------------------------------------------

SEC. 316.\25\ ADMINISTRATION OF FINANCIAL ASSISTANCE.

    (a) In making and administering guarantees, agreements for 
deferred participation, and loans under section 314, the 
Secretary of Commerce may--
---------------------------------------------------------------------------
    \25\ 19 U.S.C. 1916.
---------------------------------------------------------------------------
          (1) require security for any such guarantee, 
        agreement, or loan, and enforce, waive, or subordinate 
        such security;
          (2) assign or sell at public or private sale, or 
        otherwise dispose of, upon such terms and conditions 
        and for such consideration as he shall determine to be 
        reasonable, any evidence of debt, contract, claim, 
        personal property, or security assigned to or held by 
        him in connection with such guarantees, agreements, or 
        loans, and collect, compromise, and obtain deficiency 
        judgments with respect to all obligations assigned to 
        or held by him in connection with such guarantees, 
        agreements, or loans until such time as such 
        obligations may be referred to the Attorney General for 
        suit or collection;
          (3) renovate, improve, modernize, complete, insure, 
        rent, sell, or otherwise deal with, upon such terms and 
        conditions and for such consideration as he shall 
        determine to be reasonable, any real or personal 
        property conveyed to or otherwise acquired by him in 
        connection with such guarantees, agreements, or loans;
          (4) acquire, hold, transfer, release, or convey any 
        real or personal property or any interest therein 
        whenever deemed necessary or appropriate, and execute 
        all legal documents for such purposes; and
          (5) exercise all such other powers and take all such 
        other acts as may be necessary or incidental to the 
        carrying out of functions pursuant to section 314.
    (b) Any mortgage acquired as security under subsection (a) 
shall be recorded under applicable State law.

SEC. 317. TAX ASSISTANCE.

    (a)-(d) \26\ * * * [Repealed]
---------------------------------------------------------------------------
    \26\ 19 U.S.C. 1917. Repealed by sec. 602(e) of Public Law 93-618. 
Subsecs. (b), (c) and (d) amended the Internal Revenue Code of 1986.
---------------------------------------------------------------------------

SEC. 318.\27\ PROTECTIVE PROVISIONS.

    (a) Each recipient of adjustment assistance under section 
313, 314, or 317 shall keep records which fully disclose the 
amount and disposition by such recipient of the proceeds, if 
any, of such adjustment assistance, and which will facilitate 
an effective audit. The recipient shall also keep such other 
records as the Secretary of Commerce may prescribe.
---------------------------------------------------------------------------
    \27\ 19 U.S.C. 1918.
---------------------------------------------------------------------------
    (b) The Secretary of Commerce and the Comptroller General 
of the United States shall have access for the purpose of audit 
and examination to any books, documents, papers, and records of 
the recipient pertaining to adjustment assistance under 
sections 313, 314, and 317.
    (c) No adjustment assistance shall be extended under 
section 313, 314, or 317 to any firm unless the owners, 
partners, or officers certify to the Secretary of Commerce--
          (1) the names of any attorneys, agents, and other 
        persons engaged by or on behalf of the firm for the 
        purpose of expediting applications for such adjustment 
        assistance, and
          (2) the fees paid or to be paid to any such person.
    (d) No financial assistance shall be provided to any firm 
under section 314 unless the owners, partners, or officers 
shall execute an agreement binding them and the firm for a 
period of 2 years after such financial assistance is provided, 
to refrain from employing, tendering any office or employment 
to, or retaining for professional services any person, who, on 
the date such assistance or any part thereof was provided, or 
within one year prior thereto, shall have served as an officer, 
attorney, agent, or employee occupying a position or engaging 
in activities which the Secretary of Commerce shall have 
determined involve discretion with respect to the provision of 
such financial assistance.

SEC. 319.\28\ PENALTIES.

    Whoever makes a false statement of a material fact knowing 
it to be false, or knowingly fails to disclose a material fact, 
or whoever willfully overvalues any security, for the purpose 
of influencing in any way the action of the Secretary of 
Commerce under this chapter, or for the purpose of obtaining 
money, property, or anything of value under this chapter, shall 
be fined not more than $5,000 or imprisoned for not more than 
two years, or both.
---------------------------------------------------------------------------
    \28\ 19 U.S.C. 1919.
---------------------------------------------------------------------------

SEC. 320.\29\ SUITS.

    In providing technical and financial assistance under 
sections 313 and 314, the Secretary of Commerce may sue and be 
sued in any court of record of a State having general 
jurisdiction or in any United States district court, and 
jurisdiction is conferred upon such district court to determine 
such controversies without regard to the amount in controversy; 
but no attachment, injunction, garnishment, or other similar 
process, mesne or final, shall be issued against him or his 
property. Nothing in this section shall be construed to except 
the activities pursuant to sections 313 and 314 from the 
application of sections 507(b) and 2679 of title 28 of the 
United States Code, and of section 367 of the Revised Statutes 
(5 U.S.C. sec. 316).
---------------------------------------------------------------------------
    \29\ 19 U.S.C. 1920.
---------------------------------------------------------------------------

                 Chapter 3--Assistance to Workers \30\


---------------------------------------------------------------------------
    \30\ Secs. 321 through 338 were repealed by Public Law 93-618 (88 
Stat. 1978).
---------------------------------------------------------------------------

                      Chapter 4--Tariff Adjustment

SEC. 351.\31\ AUTHORITY.

    (a)(1) After receiving an affirmative finding of the United 
States International Trade Commission \12\ under section 301(b) 
with respect to an industry, the President may proclaim such 
increase in, or imposition of, any duty or other import 
restriction on the article causing or threatening to cause 
serious injury to such industry as he determines to be 
necessary to prevent or remedy serious injury to such industry.
---------------------------------------------------------------------------
    \31\ 19 U.S.C. 1981.
---------------------------------------------------------------------------
    (2) If the President does not, within 60 days after the 
date on which he receives such affirmative finding, proclaim 
the increase in, or imposition of, any duty or other import 
restriction on such article found and reported by the United 
States International Trade Commission pursuant to section 
301(e)--
          (A) he shall immediately submit a report to the House 
        of Representatives and to the Senate stating why he has 
        not proclaimed such increase or imposition, and
          (B) such increase or imposition shall take effect (as 
        provided in paragraph (3)) upon the adoption by both 
        Houses of the Congress (within the 60-day period 
        following the date on which the report referred to in 
        subparagraph (A) is submitted to the House of 
        Representatives and the Senate), by the yeas and nays 
        by the affirmative vote of a majority of the authorized 
        membership of each House, of a concurrent resolution 
        stating in effect that the Senate and House of 
        Representatives approve the increase in, or imposition 
        of, any duty or other import restriction on the article 
        found and reported by the United States International 
        Trade Commission.\12\
For purposes of subparagraph (B), in the computation of the 60-
day period there shall be excluded the days on which either 
House is not in session because of adjournment of more than 3 
days to a day certain or an adjournment of the Congress sine 
die. The report referred to in subparagraph (A) shall be 
delivered to both Houses of the Congress on the same day and 
shall be delivered to the Clerk of the House of Representatives 
if the House of Representatives is not in session and to the 
Secretary of the Senate if the Senate is not in session.
    (3) In any case in which the contingency set forth in 
paragraph (2)(B) occurs, the President shall (within 15 days 
after the adoption of such resolution) proclaim the increase 
in, or imposition of, any duty or other import restriction on 
the article which was found and reported by the United States 
International Trade Commission \12\ pursuant to section 301(e).
    (4) The President may, within 60 days after the date on 
which he receives an affirmative finding of the United States 
International Trade Commission \12\ under section 301(b) with 
respect to an industry, request additional information from the 
United States International Trade Commission.\12\ The United 
States International Trade Commission \12\ shall, as soon as 
practicable but in no event more than 120 days after the date 
on which it receives the President's request, furnish 
additional information with respect to such industry in a 
supplemental report. For purposes of paragraph (2), the date on 
which the President receives such supplemental report shall be 
treated as the date on which the President received the 
affirmative finding of the United States International Trade 
Commission \12\ with respect to such industry.
    (b) No proclamation pursuant to subsection (a) shall be 
made--
          (1) increasing any rate of duty to a rate more than 
        50 percent above the rate existing on July 1, 1934, or, 
        if the article is dutiable but no rate existed on July 
        1, 1934, the rate existing at the time of the 
        proclamation,
          (2) in the case of an article not subject to duty, 
        imposing a duty in excess of 50 percent ad valorem.
For purposes of paragraph (1), the term ``existing on July 1, 
1934'' has the meaning assigned to such term by paragraph (5) 
of section 256.
    (c)(1) Any increase in, or imposition of, any duty or other 
import restriction proclaimed pursuant to this section or 
section 7 of the Trade Agreements Extension Act of 1951--
          (A) may be reduced or terminated by the President 
        when he determines, after taking into account the 
        advice received from the United States International 
        Trade Commission \12\ under subsection (d)(2) and after 
        seeking advice of the Secretary of Commerce and the 
        Secretary of Labor, that such reduction or termination 
        is in the national interest, and
          (B) unless extended under section 203 of the Trade 
        Act of 1974,\32\ shall terminate not later than the 
        close of the date which is 4 years (or in the case of 
        any such increase or imposition proclaimed pursuant to 
        such section 7, 5 years) after the effective date of 
        the initial proclamation or the date of the enactment 
        of this Act, whichever date is the later.
---------------------------------------------------------------------------
    \32\ This reference to sec. 203 of the Trade Act of 1974 was 
substituted in lieu of a reference to para. (2) of this subsection by 
sec. 602(c) of Public Law 93-608 (88 Stat. 2072).
---------------------------------------------------------------------------
    (2) \33\ * * * [Repealed--1975]
---------------------------------------------------------------------------
    \33\ Repealed by Public Law 93-618 (88 Stat. 1978). See sec. 232 of 
Public Law 93-618 for similar text.
---------------------------------------------------------------------------
    (d)(1) So long as any increase in, or imposition of, any 
duty or other import restriction pursuant to this section or 
pursuant to section 7 of the Trade Expansion Act of 1951 
remains in effect, the United States International Trade 
Commission \12\ shall keep under review developments with 
respect to the industry concerned, and shall make annual 
reports to the President concerning such developments.
    (2) Upon request of the President or upon its own motion, 
the United States International Trade Commission \12\ shall 
advise the President of its judgment as to the probable 
economic effect on the industry concerned of the reduction or 
termination of the increase in, or imposition of, any duty or 
other import restriction pursuant to this section or section 7 
of the Trade Agreements Extension Act of 1951.
    (3) \33\ * * *
    (4) In advising the President under this subsection as to 
probable economic effect on the industry concerned, the United 
States International Trade Commission \12\ shall take into 
account all economic factors which it considers relevant 
including idling of productive facilities, inability to operate 
at a level of reasonable profit, and unemployment or 
underemployment.
    (5) Advice by the United States International Trade 
Commission \12\ under this subsection shall be given on the 
basis of an investigation during the course of which the United 
States International Trade Commission \12\ shall hold a hearing 
at which interested persons shall be given a reasonable 
opportunity to be present, to produce evidence, and to be 
heard.
    (e) The President, as soon as practicable, shall take such 
action as he determines to be necessary to bring trade 
agreements entered into under section 350 of the Tariff Act of 
1930 into conformity with the provisions of this section. No 
trade agreement shall be entered into under section 201(a) 
unless such agreement permits action in conformity with the 
provisions of this section.

SEC. 352.\34\ ORDERLY MARKETING AGREEMENTS.

    (a) After receiving an affirmative finding of the United 
States International Trade Commission \12\ under section 301(b) 
with respect to an industry, the President may, in lieu of 
exercising the authority contained in section 351(a)(1) but 
subject to the provisions of section 351(a) (2), (3), and (4), 
negotiate international agreements with foreign countries 
limiting the export from such countries and the import into the 
United States of the article causing or threatening to cause 
serious injury to such industry, whenever he determines that 
such action would be more appropriate to prevent or remedy 
serious injury to such industry than action under section 
351(a)(1).
---------------------------------------------------------------------------
    \34\ 19 U.S.C. 1982.
---------------------------------------------------------------------------
    (b) In order to carry out an agreement concluded under 
subsection (a), the President is authorized to issue 
regulations governing the entry or withdrawal from warehouse of 
the article covered by such agreement. In addition, in order to 
carry out a multilateral agreement concluded under subsection 
(a) among countries accounting for significant part of world 
trade in the article covered by such agreement, the President 
is also authorized to issue regulations governing the entry or 
withdrawal from warehouse of the like article which is the 
product of countries not parties to such agreement.

                     Chapter 5--Advisory Board \35\


---------------------------------------------------------------------------
    \35\ Sec. 361 was repealed by Public Law 93-618 (88 Stat. 1978).
---------------------------------------------------------------------------

                   TITLE IV--GENERAL PROVISIONS \36\


---------------------------------------------------------------------------
    \36\ Secs. 401, 402, 403, and 405 (1), (3), (4), and (5) were 
repealed by Public Law 93-618 (88 Stat. 1978).
---------------------------------------------------------------------------

SEC. 405.\37\ DEFINITIONS.

    For purposes of this Act--
---------------------------------------------------------------------------
    \37\ 19 U.S.C. 1806.
---------------------------------------------------------------------------
          * * * * * * *
          (2) The term ``duty or other import restriction'' 
        includes (A) the rate and form of an import duty, and 
        (B) a limitation prohibition, charge, and exaction 
        other than duty, imposed on importation or imposed for 
        the regulation of imports.
          * * * * * * *
          (6) The term ``modification'', as applied to any duty 
        or other import restriction, includes the elimination 
        of any duty.
                   (6) Tariff Act of 1930, as amended

Partial text of Public Law 71-361 [H.R. 2667], approved June 17, 1930, 
                               as amended

AN ACT To provide revenue, to regulate commerce with foreign countries, 
 to encourage the industries of the United States, to protect American 
                     labor, and for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,
          * * * * * * *

                     TITLE III--SPECIAL PROVISIONS

                         Part I--Miscellaneous

          * * * * * * *

SEC. 303.\1\ COUNTERVAILING DUTIES. * * * [REPEALED--1994]

          * * * * * * *

SEC. 307.\2\ CONVICT-MADE GOODS; IMPORTATION PROHIBITED

    All goods, wares, articles, and merchandise mined, 
produced, or manufactured wholly or in part in any foreign 
country by convict labor or/and forced labor or/and indentured 
labor under penal sanctions shall not be entitled to entry at 
any of the ports of the United States, and the importation 
thereof is hereby prohibited, and the Secretary of the Treasury 
is authorized and directed to prescribe such regulations as may 
be necessary for the enforcement of this provision. The 
provisions of this section relating to goods, wares, articles, 
and merchandise mined, produced, or manufactured by forced 
labor or/and indentured labor, shall take effect on January 1, 
1932; but in no case shall such provisions be applicable to 
goods, wares, articles, or merchandise so mined, produced, or 
manufactured which are not mined, produced, or manufactured in 
such quantities in the United States as to meet the consumptive 
demands of the United States. For purposes of this section, the 
term ``forced labor or/and indentured labor'' includes forced 
or indentured labor.\3\
---------------------------------------------------------------------------
    \1\ Formerly at 19 U.S.C. 1303. Sec. 261 of the Uruguay Round 
Agreements Act (Public Law 103-465; 108 Stat. 4908) repealed sec. 303. 
See title II of that Act, relating to antidumping and countervailing 
duty provisions (108 Stat. 4842). See also sec. 261(b), relating to the 
continuing effect of certain legal documents and proceedings not 
affected by the repeal.
    \2\ 19 U.S.C. 1307. Sec. 3702 of Public Law 105-261 (112 Stat. 
2275) provided the following:
---------------------------------------------------------------------------

``SEC. 3702. REPORTING REQUIREMENT ON FORCED LABOR PRODUCTS DESTINED 
        FOR THE UNITED STATES MARKET.
---------------------------------------------------------------------------
    ``(a) Report to Congress.--Not later than 1 year after the date of 
the enactment of this Act, the Commissioner of Customs shall prepare 
and transmit to the Congress a report on products made with forced 
labor that are designed for the United States market.
    ``(b) Contents of Report.--The report under subsection (a) shall 
include information concerning the following:
---------------------------------------------------------------------------

          ``(1) The extent of the use of forced labor in manufacturing 
        products destined for the United States market.
          ``(2) The volume of products made with forced labor, destined 
        for the United States market, that is violation of section 307 
        of the Tariff Act of 1930 or section 1761 of title 18, United 
        States Code, and is seized by the United States Customs 
        Service.
          ``(3) The progress of the United States Customs Service in 
        identifying and interdicting products made with forced labor 
        that are destined for the United States market.''.
---------------------------------------------------------------------------
    \3\ Sec. 411(a) of Public Law 106-200 (114 Stat. 298) inserted the 
final sentence. Sec. 411(b) of that Act further provided the following:
    ``(b) Effective Date.--The amendment made by this section shall 
take effect on the date of the enactment of this Act.''.
---------------------------------------------------------------------------
    ``Forced labor,'' as herein used, shall mean all work or 
service which is exacted from any person under the menace of 
any penalty for its nonperformance and for which the worker 
does not offer himself voluntarily.

SEC. 308.\4\ PROHIBITION ON IMPORTATION OF DOG AND CAT FUR PRODUCTS.

    (a) Definitions.--In this section:
---------------------------------------------------------------------------
    \4\ 19 U.S.C. 1308. Sec. 1443 of the Tariff Suspension and Trade 
Act of 2000 (Public Law 106-476; 114 Stat. 2164), inserted sec. 308. 
Sec. 1442 (19 U.S.C. 1308 note) of that Act further provided the 
following:
---------------------------------------------------------------------------

``SEC. 1442. FINDINGS AND PURPOSES.
---------------------------------------------------------------------------
    ``(a) Findings.--Congress makes the following findings:
---------------------------------------------------------------------------

          ``(1) An estimated 2,000,000 dogs and cats are slaughtered 
        and sold annually as part of the international fur trade. 
        Internationally, dog and cat fur is used in a wide variety of 
        products, including fur coats and jackets, fur trimmed 
        garments, hats, gloves, decorative accessories, stuffed 
        animals, and other toys.
          ``(2) The United States represents one of the largest markets 
        for the sale of fur and fur products in the world. Market 
        demand for fur products in the United States has led to the 
        introduction of dog and cat fur products into United States 
        commerce, frequently based on deceptive or fraudulent labeling 
        of the products to disguise the true nature of the fur and 
        mislead United States wholesalers, retailers, and consumers.
          ``(3) Dog and cat fur, when dyed, is not easily 
        distinguishable to persons who are not experts from other furs 
        such as fox, rabbit, coyote, wolf, and mink, and synthetic 
        materials made to resemble real fur. Dog and cat fur is 
        generally less expensive than other types of fur and may be 
        used as a substitute for more expensive types of furs, which 
        provides an incentive to engage in unfair or fraudulent trade 
        practices in the importation, exportation, distribution, or 
        sale of fur products, including deceptive labeling and other 
        practices designed to disguise the true contents or origin of 
        the product.
          ``(4) Forensic texts have documented that dog and cat fur 
        products are being imported into the United States subject to 
        deceptive labels or other practices designed to conceal the use 
        of dog or cat fur in the production of wearing apparel, toys, 
        and other products.
          ``(5) Publicly available evidence reflects ongoing 
        significant use of dogs and cats bred expressly for their fur 
        by foreign fur producers for manufacture into wearing apparel, 
        toys, and other products that have been introduced into United 
        States commerce. The evidence indicates that foreign fur 
        producers also rely on the use of stray dogs and cats and 
        stolen pets for the manufacture of fur products destined for 
        the world and United States markets.
          ``(6) The methods of housing, transporting, and slaughtering 
        dogs and cats for fur production are generally unregulated and 
        inhumane.
          ``(7) The trade of dog and cat fur products is ethically and 
        aesthetically abhorrent to United States citizens. Consumers in 
        the United States have a right to know if products offered for 
        sale contain dog or cat fur and to ensure that they are not 
        unwitting participants in this gruesome trade.
          ``(8) Persons who engage in the sale of dog or cat fur 
        products, including the fraudulent trade practices identified 
        above, gain an unfair competitive advantage over persons who 
        engage in legitimate trade in apparel, toys, and other 
        products, and derive an unfair benefit from consumers who buy 
        their products.
          ``(9) The imposition of a ban on the sale, manufacture, offer 
        for sale, transportation, and distribution of dog and cat fur 
        products, regardless of their source, is consistent with the 
        international obligations of the United States because it 
        applies equally to domestic and foreign producers and avoids 
        any discrimination among foreign sources of competing products. 
        Such a ban is also consistent with provisions of international 
        agreements to which the United States is a party that expressly 
        allow for measures designed to protect the health and welfare 
        of animals and to enjoin the use of deceptive trade practices 
        in international or domestic commerce.
---------------------------------------------------------------------------
    ``(b) Purposes.--The purposes of this chapter are to--
---------------------------------------------------------------------------

          ``(1) prohibit imports, exports, sale, manufacture, offer for 
        sale, transportation, and distribution in the United States of 
        dog and cat fur products, in order to ensure that United States 
        market demand does not provide an incentive to slaughter dogs 
        or cats for their fur;
          ``(2) require accurate labeling of fur species so that 
        consumers in the United States can make informed choices and 
        ensure that they are not unwitting contributors to this 
        gruesome trade; and
          ``(3) ensure that the customs laws of the United States are 
        not undermined by illicit international traffic in dog and cat 
        fur products.''.
          (1) Cat fur.--The term ``cat fur'' means the pelt or 
        skin of any animal of the species Felis catus.
          (2) Interstate commerce.--The term ``interstate 
        commerce'' means the transportation for sale, trade, or 
        use between any State, territory, or possession of the 
        United States, or the District of Columbia, and any 
        place outside thereof.
          (3) Customs laws.--The term ``customs laws of the 
        United States'' means any other law or regulation 
        enforced or administered by the United States Customs 
        Service.
          (4) Designated authority.--The term ``designated 
        authority'' means the Secretary of the Treasury, with 
        respect to the prohibitions under subsection (b)(1)(A), 
        and the President (or the President's designee), with 
        respect to the prohibitions under subsection (b)(1)(B).
          (5) Dog fur.--The term ``dog fur'' means the pelt or 
        skin of any animal of the species Canis familiaris.
          (6) Dog or cat fur product.--The term ``dog or cat 
        fur product'' means any item of merchandise which 
        consists, or is composed in whole or in part, of any 
        dog fur, cat fur, or both.
          (7) Person.--The term ``person'' includes any 
        individual, partnership, corporation, association, 
        organization, business trust, government entity, or 
        other entity subject to the jurisdiction of the United 
        States.
          (8) United states.--The term ``United States'' means 
        the customs territory of the United States, as defined 
        in general note 2 of the Harmonized Tariff Schedule of 
        the United States.
    (b) Prohibitions.--
          (1) In general.--It shall be unlawful for any person 
        to--
                  (A) import into, or export from, the United 
                States any dog or cat fur product; or
                  (B) introduce into interstate commerce, 
                manufacture for introduction into interstate 
                commerce, sell, trade, or advertise in 
                interstate commerce, offer to sell, or 
                transport or distribute in interstate commerce 
                in the United States, any dog or cat fur 
                product.
          (2) Exception--This subsection shall not apply to the 
        importation, exportation, or transportation, for 
        noncommercial purposes, of a personal pet that is 
        deceased, including a pet preserved through taxidermy.
    (c) Penalties and Enforcement.--
          (1) Civil penalties.--
                  (A) In general.--Any person who violates any 
                provision of this section or any regulation 
                issued under this section may, in addition to 
                any other civil or criminal penalty that may be 
                imposed under title 18, United States Code, or 
                any other provision of law, be assessed a civil 
                penalty by the designated authority of not more 
                than
                          (i) $10,000 for each separate knowing 
                        and intentional violation;
                          (ii) $5,000 for each separate grossly 
                        negligent violation; or
                          (iii) $3,000 for each separate 
                        negligent violation.
                  (B) Debarment.--The designated authority may 
                prohibit a person from importing, exporting, 
                transporting, distributing, manufacturing, or 
                selling any fur product in the United States, 
                if the designated authority finds that the 
                person has engaged in a pattern or practice of 
                actions that has resulted in a final 
                administrative determination with respect to 
                the assessment of civil penalties for knowing 
                and intentional or grossly negligent violations 
                of any provision of this section or any 
                regulation issued under this section.
                  (C) Factors in assessing penalties.--In 
                determining the amount of civil penalties under 
                this paragraph, the designated authority shall 
                take into account the degree of culpability, 
                any history of prior violations under this 
                section, ability to pay, the seriousness of the 
                violation, and such other matters as fairness 
                may require.
                  (D) Notice.--No penalty may be assessed under 
                this paragraph against a person unless the 
                person is given notice and opportunity for a 
                hearing with respect to such violation in 
                accordance with section 554 of title 5, United 
                States Code.
          (2) Forfeiture.--Any dog or cat fur product 
        manufactured, taken, possessed, sold, purchased, 
        offered for sale or purchase, transported, delivered, 
        received, carried, shipped, imported, or exported 
        contrary to the provisions of this section or any 
        regulation issued under this section shall be subject 
        to forfeiture to the United States.
          (3) Enforcement.--The Secretary of the Treasury shall 
        enforce the provisions of this section with respect to 
        the prohibitions under subsection (b)(1)(A), and the 
        President shall enforce the provisions of this section 
        with respect to the prohibitions under subsection 
        (b)(1)(B).
          (4) Regulations.--Not later than 270 days after the 
        date of the enactment of this section, the designated 
        authorities shall, after notice and opportunity for 
        comment, issue regulations to carry out the provisions 
        of this section. The regulations of the Secretary of 
        the Treasury shall provide for a process by which 
        testing laboratories, whether domestic or foreign, can 
        qualify for certification by the United States Customs 
        Service by demonstrating the reliability of the 
        procedures used for determining the type of fur 
        contained in articles intended for sale or consumption 
        in interstate commerce. Use of a laboratory certified 
        by the United States Customs Service to determine the 
        nature of fur contained in an item to which subsection 
        (b) applies is not required to avoid liability under 
        this section but may, in a case in which a person can 
        establish that the goods imported were tested by such a 
        laboratory and that the item was not found to be a dog 
        or cat fur product, prove dispositive in determining 
        whether that person exercised reasonable care for 
        purposes of paragraph (6).
          (5) Reward.--The designated authority shall pay a 
        reward of not less than $500 to any person who 
        furnishes information that establishes or leads to a 
        civil penalty assessment, debarment, or forfeiture of 
        property for any violation of this section or any 
        regulation issued under this section.
          (6) Affirmative defense.--Any person accused of a 
        violation under this section has a defense to any 
        proceeding brought under this section on account of 
        such violation if that person establishes by a 
        preponderance of the evidence that the person exercised 
        reasonable care--
                  (A) in determining the nature of the products 
                alleged to have resulted in such violation; and
                  (B) in ensuring that the products were 
                accompanied by documentation, packaging, and 
                labeling that were accurate as to the nature of 
                the products.
          (7) Coordination with other laws.--Nothing in this 
        section shall be construed as superseding or limiting 
        in any manner the functions and responsibilities of the 
        Secretary of the Treasury under the customs laws of the 
        United States.
    (d) Publication of Names of Certain Violators.--The 
designated authorities shall, at least once each year, publish 
in the Federal Register a list of the names of any producer, 
manufacturer, supplier, seller, importer, or exporter, whether 
or not located within the customs territory of the United 
States or subject to the jurisdiction of the United States, 
against whom a final administrative determination with respect 
to the assessment of a civil penalty for a knowing and 
intentional or a grossly negligent violation has been made 
under this section.
    (e) Reports.--In order to enable Congress to engage in 
active, continuing oversight of this section, the designated 
authorities shall provide the following:
          (1) Plan for enforcement.--Within 3 months after the 
        date of the enactment of this section, the designated 
        authorities shall submit to Congress a plan for the 
        enforcement of the provisions of this section, 
        including training and procedures to ensure that United 
        States Government personnel are equipped with state-of-
        the-art technologies to identify potential dog or cat 
        fur products and to determine the true content of such 
        products.
          (2) Report on enforcement efforts.--Not later than 1 
        year after the date of the enactment of this section, 
        and on an annual basis thereafter, the designated 
        authorities shall submit a report to Congress on the 
        efforts of the United States Government to enforce the 
        provisions of this section and the adequacy of the 
        resources to do so. The report shall include an 
        analysis of the training of United States Government 
        personnel to identify dog and cat fur products 
        effectively and to take appropriate action to enforce 
        this section. The report shall include the findings of 
        the designated authorities as to whether any government 
        has engaged in a pattern or practice of support for 
        trade in products the importation of which are 
        prohibited under this section.
          * * * * * * *

SEC. 323.\5\ CONSERVATION OF FISHERY RESOURCES.

    Upon the convocation of a conference on the use or 
conservation of international fishery resources, the President 
shall, by all appropriate means at his disposal, seek to 
persuade countries whose domestic fishing practices or policies 
affect such resources, to engage in negotiations in good faith 
relating to the use or conservation of such resources. If, 
after such efforts by the President and by other countries 
which have agreed to engage in such negotiations, any other 
country whose conservation practices or policies affect the 
interests of the United States and such other countries, has, 
in the judgment of the President, failed or refused to engage 
in such negotiations in good faith, the President may, if he is 
satisfied that such action is likely to be effective in 
inducing such country to engage in such negotiations in good 
faith, increase the rate of duty on any fish (in any form) 
which is the product of such country, for such time as he deems 
necessary, to a rate not more than 50 percent above the rate 
existing on July 1, 1934.
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    \5\ 19 U.S.C. 1323. Sec. 257(i) of Public Law 87-794 (76 Stat. 883) 
inserted sec. 323.
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         Part II--United States International Trade Commission

SEC. 330.\6\ ORGANIZATION OF COMMISSION.

    (a) Membership.--The United States International Trade 
Commission (referred to in this subtitle as the ``Commission'') 
shall be composed of six commissioners who shall be appointed 
by the President, by and with the advice and consent of the 
Senate. No person shall be eligible for appointment as a 
commissioner unless he is a citizen of the United States, and, 
in the judgment of the President, is possessed of 
qualifications requisite for developing expert knowledge of 
international trade problems and efficiency in administering 
the duties and functions of the Commission. A person who has 
served as a commissioner for more than 5 years (excluding 
service as a commissioner before January 3, 1975) shall not be 
eligible for the reappointment as a commissioner. Not more than 
three of the commissioners shall be members of the same 
political party, and in making appointments members of 
different political parties shall be appointed alternately as 
nearly as may be practicable.
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    \6\ 19 U.S.C. 1330. As amended by title I of the Trade Act of 1974 
(Public Law 93-618; 88 Stat. 2009-2011); by sec. 1801(a) of Public Law 
94-455 (90 Stat. 1762); by secs. 1 and 2(a) of Public Law 95-106 (91 
Stat. 867); and by Public Law 95-430 (92 Stat. 1020).
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    (b) Terms of Office.--The terms of office of the 
commissioners holding office on January 3, 1975, which (but for 
this sentence) would expire on June 16, 1975, June 16, 1977, 
June 16, 1978, June 16, 1979, and June 16, 1980, shall expire 
on December 16, 1976, June 16, 1978, December 16, 1979, June 
16, 1981, December 16, 1982, and June 16, 1984, respectively. 
The term of office of each commissioner appointed after such 
date shall expire 9 years from the date of the expiration of 
the term for which his predecessor was appointed, except that--
          (1) any commissioner appointed to fill a vacancy 
        occurring prior to the expiration of the term for which 
        his predecessor was appointed shall be appointed for 
        the remainder of such term, and
          (2) any commissioner may continue to serve as a 
        commissioner after an expiration of this term of office 
        until his successor is appointed and qualified.
    (c) Chairman and Vice Chairman; Quorum.--(1) The chairman 
and the vice chairman of the Commission shall be designated by 
the President from among the members of the Commission not 
ineligible, under paragraph (3), for designation. The President 
shall notify the Congress of his designations under this 
paragraph. If, as of the date on which a term begins under 
paragraph (2), the President has not designated the chairman of 
the Commission for such term, the Commissioner who, as of such 
date--
          (A) is a member of a different political party than 
        the chairman of the Commission for the immediately 
        preceding term, and
          (B) has the longest period of continuous service as a 
        commissioner,
shall serve as chairman of the Commission for the portion of 
such term preceding the date on which an individual designated 
by the President takes office as chairman.\7\
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    \7\ Sec. 1(c)(1) of Public Law 102-185 (105 Stat. 1280) added from 
``If, as of the date * * *'', effective December 14, 1991.
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    (2) After June 16, 1978, the terms of office for the 
chairman and vice chairman of the Commission shall be as 
follows:
          (A) The first term of office occurring after such 
        date shall begin on June 17, 1978, and end at the close 
        of June 16, 1980.
          (B) Each term of office thereafter shall begin on the 
        day after the closing date of the immediately preceding 
        term of office and end at the close of the 2-year 
        period beginning on such day.
    (3)(A) \8\ The President may not designate as the chairman 
of the Commission for any term any commissioner who is a member 
of the political party of which the chairman of the Commission 
for the immediately preceding term is a member, or who has less 
than 1 year of continuous service as a commissioner as of the 
date such designation is being made.\9\
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    \8\ Sec. 1(a)(1)(A) of Public Law 102-185 (105 Stat. 1280) amended 
and restated para. (3)(A), applicable to terms beginning on and after 
June 17, 1990.
    In the case of the term of the chairman of the USITC beginning June 
17, 1992, this section shall not apply, pursuant to sec. 1(b) of Public 
Law 102-185 (105 Stat. 1280). Furthermore, sec. 1(b)(2) of that Public 
law requires that ``the President shall designate as chairman a 
Commissioner who is a member of the same political party as the 
chairman of the Commission serving on June 16, 1986.''.
    \9\ Sec. 1(a)(2)(A) of Public Law 102-185 (105 Stat. 1280) added 
``, or who has less than 1 year of continuous service as a commissioner 
as of the date such designation is being made'', applicable to terms 
beginning on and after June 17, 1996.
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    (B) The President may not designate as the vice chairman of 
the Commission for any term any commissioner who is a member of 
the political party of which the chairman for that term is a 
member.
    (C) If any commissioner does not complete a term as 
chairman or vice chairman by reason of death, resignation, 
removal from office as a commissioner, or expiration of his 
term of office as a commissioner, the President shall designate 
as the chairman or vice chairman, as the case may be, for the 
remainder of such term a commissioner who is a member of the 
same political party. Designation of a chairman under this 
subparagraph may be made without regard to the 1-year 
continuous service requirement under subparagraph (A).\10\
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    \10\ Sec. 1(a)(1)(B) of Public Law 102-185 (105 Stat. 1280) struck 
out the last sentence of subpara. (C), which had referred to struck out 
language in subpara. (A), applicable to terms beginning on and after 
June 17, 1990. Sec. 1(a)(2)(B) of Public Law 102-185 inserted the 
current last sentence, applicable to terms beginning on and after June 
17, 1996.
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    (4) The vice chairman shall act as chairman in case of the 
absence or disability of the chairman. During any period in 
which there is no chairman or vice chairman, the commissioner 
having the longest period of continuous service as a 
commissioner shall act as chairman.
    (5) No commissioner shall actively engage in any business, 
vocation, or employment other than that of serving as a 
commissioner.
    (6) A majority of the commissioners in office shall 
constitute a quorum, but the Commission may function 
notwithstanding vacancies.
    (d) Voting Procedures.--(1) In a proceeding in which the 
Commission is required to determine--
          (A) under section 202 \11\ of the Trade Act of 1974, 
        whether increased imports of an article are a 
        substantial cause of serious injury, or the threat 
        thereof, as described in subsection (b)(1) of that 
        section (hereinafter in this subsection referred to as 
        ``serious injury''), or
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    \11\ Sec. 1401(b)(4) of Public Law 100-418 (102 Stat. 1240) amended 
sec. 330(d) by inserting ``202'' in lieu of ``201'' in para. (1), 
inserting ``202(b)'' in lieu of ``201'', and inserting ``202(e)(1)'' in 
lieu of ``201(d)(1)'' in para. (2).
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          (B) under section 406 of such Act, whether market 
        disruption exists,
and the commissioners voting are equally divided with respect 
to such determination, then the determination agreed upon by 
either group of commissioners may be considered by the 
President as the determination of the Commission.
    (2) If under section 202(b) \12\ or 406 of the Trade Act of 
1974 there is an affirmative determination of the Commission, 
or a determination of the Commission which the President may 
consider an affirmative determination under par. (1), that 
serious injury or market disruption exists, respectively, and a 
majority of the commissioners voting are unable to agree on a 
finding or recommendation described in section 201(e)(1) \9\ of 
such Act or the finding described in section 406(a)(3) of such 
Act as the case may be (hereafter in this subsection referred 
to as a ``remedy finding''), then--
          (A) if a plurality of not less than three 
        commissioners so voting agree on a remedy finding, such 
        remedy finding shall, for purposes of section 202 \11\ 
        of such Act be treated as the remedy finding of the 
        Commission, or
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    \12\ Sec. 1401(b)(4)(B) of Public Law 100-418 (102 Stat. 1241) 
struck out references to ``section 202'' in subparas. (A) and (B)(i), 
and inserted ``204(a)'' in lieu of ``203(b)'' in subpara. (B).
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          (B) if two groups, both of which include not less 
        than 3 commissioners, each agree upon a remedy finding 
        and the President reports under section 204(a) \12\ of 
        such Act that--
                  (i) he is taking the action agreed upon by 
                one such group, then the remedy finding agreed 
                upon by the other group shall, for purposes of 
                section 203 \11\ of such Act be treated as the 
                remedy finding of the Commission, or
                  (ii) he is taking action which differs from 
                the action agreed upon by both such groups, or 
                that he will not take any action, then the 
                remedy finding agreed upon by either such group 
                may be considered by the Congress as the remedy 
                finding of the Commission and shall, for 
                purposes of section 203 \11\ of such Act be 
                treated as the remedy finding of the 
                Commission.
    (3) In any proceeding to which paragraph (1) applies in 
which the commissioners voting are equally divided on a 
determination that serious injury exists, or that market 
disruption exists, the Commission shall report to the President 
the determination of each group of commissioners. In any 
proceeding to which paragraph (2) applies, the Commissioner 
shall report to the President the remedy finding of each group 
of commissioners voting.
    (4) In a case to which paragraph (2)(B)(ii) applies, for 
purposes of section 203(a) \13\ of the Trade Act of 1974, 
notwithstanding section 152(a)(1)(A) of such Act the second 
blank space in the joint resolution described in such section 
152(a)(1)(A) \14\ shall be filled with the appropriate date and 
the following: ``The action which shall take effect under 
section 203(a) \13\ of the Trade Act of 1974 is the finding or 
recommendation agreed upon by Commissioners 
........................, ........................, and 
........................'' The three blank spaces shall be 
filled with the names of the appropriate Commissioners.
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    \13\ Sec. 1401(b)(4)(C) of Public Law 100-418 (102 Stat. 1241) 
inserted the references to ``203(a)'' in lieu of ``203(c)(1)''.
    \14\ Sec. 248(c) of Public Law 98-573 (98 Stat. 2998) inserted this 
reference to a joint resolution described in sec. 152(a)(1)(A) in lieu 
of a reference to a concurrent resolution described in sec. 152.
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    (5) Whenever, in any case in which the Commission is 
authorized to make an investigation upon its own motion upon 
complaint, or upon application of any interested party, one-
half of the number of commissioners voting agree that the 
investigation should be made, such investigation shall 
thereupon be carried out in accordance with the statutory 
authority covering the matter in question. Whenever the 
Commission is authorized to hold hearings in the course of any 
investigation and one-half of the number of commissioners 
voting agree that hearings should be held, such hearings shall 
thereupon be held in accordance with the statutory authority 
covering the matter in question.
    (e) Authorization of Appropriations.--(1) For the fiscal 
year beginning October 1, 1976, and each fiscal year 
thereafter, there are authorized to be appropriated to the 
Commission only such sums as may hereafter be provided by law.
    (2) \15\ (A) There are authorized to be appropriated to the 
Commission for necessary expenses (including the rental of 
conference rooms in the District of Columbia and elsewhere) not 
to exceed the following:
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    \15\ Sec. 101 of the Customs and Trade Act of 1990 (Public Law 101-
382; 104 Stat. 633) amended and restated subsec. (e)(2).
    Previously, sec. 701 of Public Law 98-573 (98 Stat. 3043) replaced 
language authorizing not to exceed $19,737,000 for the Commission 
during fiscal year 1983. This sentence was subsequently amended by sec. 
13021 of Public Law 99-272 (100 Stat. 305) which substituted ``1986'' 
and ``$28,901,000'' in lieu of ``1985'' and ``$28,410,000''; by sec. 
9502 of Public Law 100-203 (101 Stat. 1330-380) which inserted ``1988'' 
and ``$35,386,000'' in lieu of ``1986'' and ``$28,901,000''; and by 
sec. 2 of Public Law 101-207 (103 Stat. 1833) which inserted ``1990'' 
and ``$39,943,000'' in lieu of ``1988'' and ``$35,386,000''.
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          (i) $41,170,000 for fiscal year 1991.
          (ii) $44,052,000 for fiscal year 1992.
    (B) Not to exceed $2,500 of the amount authorized to be 
appropriated for any fiscal year under subparagraph (A) may be 
used, subject to the approval of the Chairman of the 
Commission, for reception and entertainment expenses.
    (C) No part of any sum that is appropriated under the 
authority of subparagraph (A) may be used by the Commission in 
the making of any special study, investigation, or report that 
is requested by any agency of the executive branch unless that 
agency reimburses the Commission for the cost thereof.
    (3) There are authorized to be appropriated to the 
Commission for each fiscal year after September 30, 1977, in 
addition to any other amount authorized to be appropriated for 
such fiscal year, such sums as may be necessary for increases 
authorized by law in salary, pay, retirement, and other 
employee benefits.
  (f) \16\ The Commission shall be considered to be an 
independent regulatory agency for purposes of chapter 35 of 
title 44, United States Code.
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    \16\ Sec. 1612 of Public Law 100-418 (102 Stat. 1262) added subsec. 
(f).
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SEC. 331.\17\ GENERAL POWERS.

    (a)(1)(A) Except as provided in paragraph (2), the chairman 
of the Commission shall--
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    \17\ 19 U.S.C. 1331. As amended by sec. 3 of Public Law 95-106 (91 
Stat. 868). Further amended in subsec. (a)(1) by sec. 1(b) of Public 
Law 97-456 (96 Stat. 2503).
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          (i) appoint and fix the compensation of such 
        employees of the Commission as he deems necessary 
        (other than the personal staff of each commissioner), 
        including the secretary,
          (ii) procure the services of experts and consultants 
        in accordance with the provisions of section 3109 of 
        title 5, and
          (iii) exercise and be responsible for all other 
        administrative functions of the Commission.
    (B) The chairman of the Commission may accept, hold, 
administer and utilize gifts, devises, and bequests of 
property, both real and personal, for the purpose of aiding or 
facilitating the work of the Commission.
    (C) Any decision by the chairman under subparagraph (A) or 
(B) shall be subject to disapproval of a majority vote of all 
the commissioners in office.
    (2) Subject to approval by a majority vote of all the 
commissioners in office, the chairman may--
          (A) terminate the employment of any supervisory 
        employee of the Commission whose duties involve 
        substantial personal responsibility for Commission 
        matters and who is compensated at a rate equal to, or 
        in excess of, the rate for grade GS-15 of the General 
        Schedule in section 5332 of Title 5, and
          (B) formulate the annual budget of the Commission.
    (3) No member of the Commission, in making public 
statements with respect to any policy matter for which the 
Commission has responsibility, shall represent himself as 
speaking for the Commission, or his views as being the views of 
the Commission, with respect to such matter except to the 
extent that the Commission has adopted the policy being 
expressed.
    (b) Application of Civil Service Law.--Except for employees 
excepted under civil service rules, all employees of the 
Commission shall be appointed from lists of eligibles to be 
supplied by the Director of the Office of Personnel Management 
\18\ and in accordance with the civil service law.
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    \18\ This authority was transferred from the Civil Service 
Commission to the Director of the Office of Personnel Management by 
Reorganization Plan No. 2 of 1978 and Executive Order 12107, Dec. 28, 
1978.
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    (c) Expenses.--All of the expenses of the Commission, 
including all necessary expenses for transportation incurred by 
the commissioners or by their employees under their orders in 
making any investigation or upon official business in any other 
places than at their respective headquarters, shall be allowed 
and paid on the presentation of itemized vouchers therefor 
approved by the chairman (except that in the case of a 
commissioner, or the personal staff of any commissioner, such 
vouchers may be approved by that commissioner).
    (d) Principal Office at Washington.--The principal office 
of the Commission shall be in the city of Washington, but it 
may meet and exercise all the powers at any other place. The 
Commission may, by one or more of its members, or by such 
agents as it may designate, prosecute any inquiry necessary to 
its duties in any part of the United States or in any foreign 
country.
    (e) Office at New York.--The Commission is authorized to 
establish and maintain an office at the port of New York for 
the purpose of directing or carrying on any investigation, 
receiving and compiling statistics, selecting, describing, and 
filing samples of articles, and performing any of the duties or 
exercising any of the powers imposed upon it by law.
    (f) Official Seal.--The Commission is authorized to adopt 
an official seal, which shall be judicially noticed.

SEC. 332.\19\ INVESTIGATIONS.

    (a) Investigations and Reports.--It shall be the duty of 
the Commission to investigate the administration and fiscal and 
industrial effects of the customs laws of this country now in 
force or which may be hereafter enacted, the relations between 
the rates of duty on raw materials and finished or partly 
finished products, the effects of ad valorem and specific 
duties and of compound specific and ad valorem duties, all 
questions relative to the arrangement of schedules and 
classification of articles in the several schedules of the 
customs law, and, in general, to investigate the operation of 
customs laws, including their relation to the Federal revenues, 
their effect upon the industries and labor of the country, and 
to submit reports of its investigations as hereafter provided.
---------------------------------------------------------------------------
    \19\ 19 U.S.C. 1332.
---------------------------------------------------------------------------
    (b) Investigations of Tariff Relations.--The Commission 
shall have power to investigate the tariff relations between 
the United States and foreign countries, commercial treaties, 
preferential provisions, economic alliances, the effect of 
export bounties and preferential transportation rates, the 
volume of importations compared with domestic production and 
consumption, and conditions, causes, and effects relating to 
competition of foreign industries with those of the United 
States, including dumping and cost of production.
    (c) Investigation of Paris Economy Pact.--The Commission 
shall have power to investigate the Paris Economy Pact and 
similar organizations and arrangements in Europe.
    (d) Information for President and Congress.--In order that 
the President and the Congress may secure information and 
assistance, it shall be the duty of the Commission to--
          (1) Ascertain conversion costs and costs of 
        production in the principal growing, producing, or 
        manufacturing centers of the United States of articles 
        of the United States, whenever in the opinion of the 
        Commission it is practicable;
          (2) Ascertain conversion costs and costs of 
        production in the principal growing, producing, or 
        manufacturing centers of foreign countries of articles 
        imported into the United States, whenever in the 
        opinion of the Commission such conversion costs or 
        costs of production are necessary for comparison with 
        conversion costs or costs of production in the United 
        States and can be reasonably ascertained;
          (3) Select and describe articles which are 
        representative of the classes or kinds of articles 
        imported into the United States and which are similar 
        to or comparable with articles of the United States; 
        select and describe articles of the United States 
        similar to or comparable with such imported articles; 
        and obtain and file samples of articles so selected, 
        whenever the Commission deems it advisable;
          (4) Ascertain import costs of such representative 
        articles so selected;
          (5) Ascertain the grower's, producer's, or 
        manufacturer's selling prices in the principal growing, 
        producing, or manufacturing centers of the United 
        States of the articles of the United States so 
        selected; and
          (6) Ascertain all other facts which will show the 
        differences in or which affect competition between 
        articles of the United States and imported articles in 
        the principal markets of the United States.
    (e) Definitions.--When used in this subdivision and in 
subdivision (d)--
          (1) The term ``article'' includes any commodity, 
        whether grown, produced, fabricated, manipulated, or 
        manufactured;
          (2) \20\ The term ``import cost'' means the 
        transaction value of the imported merchandise 
        determined in accordance with section 402(b) plus, when 
        not included in the transaction value of the imported 
        merchandise determined in accordance with section 
        402(b) plus, when not included in the transaction 
        value, all necessary expenses, exclusive of customs 
        duties, of bringing such merchandise to the United 
        States.
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    \20\ Sec. 202(a)(1) of the Trade Agreements Act of 1979 (Public Law 
96-39; 93 Stat. 201) amended the definintion of ``import cost'', 
effective Jan. 1, 1981.
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    (f) The Tariff Commission is hereby directed, within eight 
months from the passage of this Act, to ascertain the 
approximate average cost per barrel to the oil refineries 
located on the Atlantic seaboard of crude petroleum delivered 
to them from the oil fields of the United States during the 
three years preceding 1930, and the present approximate average 
cost per barrel of crude petroleum from Lake Maracaibo, 
Venezuela, delivered to the same points. Such relative costs 
shall be immediately certified to the Speaker of the House of 
Representatives and to the President of the Senate for the 
information of the Congress.
    (g) \21\ Reports to the President and Congress.--The 
commission shall put at the disposal of the President of the 
United States, the Committee on Ways and Means of the House of 
Representatives, and the Committee on Finance of the Senate, 
whenever requested, all information at its command, and shall 
make such investigations and reports as may be requested by the 
President or by either of said committees or by either branch 
of the Congress. However, the Commission may not release 
information which the Commission considers to be confidential 
business information unless the party submitting the 
confidential business information had notice, at the time of 
submission, that such information would be released by the 
Commission, or such party subsequently consents to the release 
of the information. The Commission shall report to Congress 
\22\ on the first Monday of December of each year after June 
17, 1930, a statement of the methods adopted and all expenses 
incurred, a summary of all reports made during the year, and a 
list of all votes taken by the commission during the year, 
showing those commissioners voting in the affirmative and the 
negative on each vote and those commissioners not voting on 
each vote and the reasons for not voting. Each such annual 
report shall include a list of all complaints filed under 
section 1337 of this title during the year for which such 
report is being made, the date on which each such complaint was 
filed, and the action taken thereon, and the status of all 
investigations conducted by the commission under such section 
during such year and the date on which each such investigation 
was commenced.
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    \21\ Secs. 173 and 341 of the Trade Act of 1974 (Public Law 93-618; 
88 Stat. 2010, 2056) amended and restated subsec. (g).
    \22\ Sec. 1613 of Public Law 100-418 (102 Stat. 1262) struck out 
``, and shall report to Congress'', and inserted the text to this point 
beginning with ``. However, the Commission may not release information 
* * *''. Sec. 9001(a)(16) of the Technical and Miscellaneous Revenue 
Act of 1988 (Public Law 100-647; 102 Stat. 3342) struck out the period 
which appeared after ``Congress''.
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SEC. 333.\23\ TESTIMONY AND PRODUCTION OF PAPERS.

    (a) Authority to Obtain Information.--For the purposes of 
carrying out its functions and duties in connection with any 
investigation authorized by law, the commission or its duly 
authorized agent or agents (1) shall have access to and the 
right to copy any document, paper, or record, pertinent to the 
subject matter under investigation, in the possession of any 
person, firm, copartnership, corporation, or association 
engaged in the production, importation, or distribution of any 
article under investigation, (2) may summon witnesses, take 
testimony, and administer oaths, (3) may require any person, 
firm, copartnership, corporation, or association to produce 
books or papers relating to any matter pertaining to such 
investigation, and (4) may require any person, firm, 
copartnership, corporation, or association, to furnish in 
writing, in such detail and in such form as the Commission may 
prescribe, information in their possession pertaining to such 
investigation. Any member of the Commission may sign subpoenas, 
and members and agents of the Commission, when authorized by 
the Commission, may administer oaths and affirmations, examine 
witnesses, take testimony, and receive evidence.
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    \23\ 19 U.S.C. 1333. As amended by sec. 9 of Public Law 85-686 (72 
Stat. 679).
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    (b) Witnesses and Evidence.--Such attendance of witnesses 
and the production of such documentary evidence may be required 
from any place in the United States at any designated place of 
hearing. And in case of disobedience to a subpoena the 
Commission may invoke the aid of any district or territorial 
court of the United States or the United States District Court 
for the District of Columbia in requiring attendance and 
testimony of witnesses and the production of documentary 
evidence, and such court within the jurisdiction of which such 
inquiry is carried on may, in case of contumacy or refusal to 
obey a subpoena issued to any corporation or other person, 
issue an order requiring such corporation or other person to 
appear before the Commission, or to produce documentary 
evidence if so ordered or to give evidence touching the matter 
in question; and any failure to obey such order of the court 
may be punished by such court as a contempt thereof.
    (c) \24\ Mandamus.--At the request of the Commission, any 
such court shall have jurisdiction to issue writs of mandamus 
commanding compliance with the provisions of this part of any 
order of the Commission made in pursuance thereof.
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    \24\ Formerly, this request was required to be submitted through 
the Attorney General of the United States. Sec. 174(1) of the Trade Act 
of 1974 (Public Law 93-618; 88 Stat. 2011) struck out this provision.
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    (d) Deposition.--The Commission may order testimony to be 
taken by deposition in any proceeding or investigation pending 
before the Commission at any state of such proceeding or 
investigation. Such deposition may be taken before any person 
designated by the Commission and having power to administer 
oaths. Such testimony shall be reduced to writing by the person 
taking the deposition, or under his direction, and shall then 
be subscribed by the deponent. Any person, firm, copartnership, 
corporation, or association, may be compelled to appear and 
depose and to produce documentary evidence in the same manner 
as witnesses may be compelled to appear and testify and produce 
documentary evidence before the Commission, as hereinbefore 
provided.
    (e) Fees and Mileage of Witnesses.--Witnesses summoned 
before the Commission shall be paid the same fees and mileage 
that are paid witnesses in the courts of the United States, and 
witnesses whose depositions are taken and the persons taking 
the same, except employees of the Commission, shall severally 
be entitled to the same fees and mileage as are paid for like 
services in the courts of the United States.\25\
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    \25\ Sec. 229 of Public Law 91-452 (84 Stat. 930) struck out a 
provision that had previously appeared at this point relating to the 
immunity from prosecution of any natural person compelled to testify or 
produce evidence in obedience to the subpoena of the Commission.
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    (f) Statements Under Oath.--The Commission is authorized, 
in order to ascertain any facts required by subdivision (d) of 
section 1332 of this title to require any importer and any 
American grower, producer, manufacturer, or seller to file with 
the Commission a statement, under oath, giving his selling 
prices in the United States of any article imported, grown, 
produced, fabricated, manipulated, or manufactured by him.
    (g) \26\ Representation in Court Proceedings.--The 
Commission shall be represented in all judicial proceedings by 
attorneys who are employees of the Commission or, at the 
request of the Commission, by the Attorney General of the 
United States.
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    \26\ Sec. 174 of the Trade Act of 1974 (Public Law 93-618; 88 Stat. 
2011) added subsec (g).
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    (h) \27\ Administrative Protective Orders.--Any 
correspondence, private letters of reprimand, and other 
documents and files relating to violations or possible 
violations of administrative protective orders issued by the 
Commission in connection with investigations or other 
proceedings under this title shall be treated as information 
described in section 552(b)(3) of title 5, United States Code.
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    \27\ Sec. 135(a) of the Customs and Trade Act of 1990 (Public Law 
101-382; 104 Stat. 651) inserted subsec. (h).
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SEC. 334. COOPERATION WITH OTHER AGENCIES.

    The Commission shall in appropriate matters act in 
conjunction and cooperation with the Treasury Department, the 
Department of Commerce, the Federal Trade Commission, or any 
other departments, or independent establishment of the 
Government, and such departments and independent establishments 
of the Government shall cooperate fully with the Commission for 
the purposes of aiding and assisting in its work, and, when 
directed by the President, shall furnish to the Commission, on 
its request, all records, papers, and information in their 
possession relating to any of the subjects of investigation by 
the Commission and shall detail, from time to time, such 
officials and employees to said Commission as he may direct.

SEC. 335.\28\ RULES AND REGULATIONS.

    The Commission is authorized to adopt such reasonable 
procedures and rules and regulations as it deems necessary to 
carry out its functions and duties.
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    \28\ 19 U.S.C. 1335. Sec. 9(c) of Public Law 85-686 (72 Stat. 680) 
inserted sec. 335. Previously, the authorization under this section was 
contained in sec. 336(a) which was also struck out by sec. 9 of Public 
Law 85-686.
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SEC. 336.\29\ EQUALIZATION OF COSTS OF PRODUCTION.

    (a) Change of Classification of Duties.--In order to put 
into force and effect the policy of Congress by this chapter 
intended, the Commission (1) upon request of the President, or 
(2) upon resolution of either or both Houses of Congress, or 
(3) upon its own motion, or (4) when in the judgment of the 
Commission there is good and sufficient reason therefor, upon 
application of any interested party, shall investigate the 
differences in the costs of production of any domestic article 
and of any like or similar foreign article. In the course of 
the investigation the Commission shall hold hearings and give 
reasonable public notice thereof, and shall afford reasonable 
opportunity for parties interested to be present, to produce 
evidence, and to be heard at such hearings. The Commission 
shall report to the President the results of the investigation 
and its findings with respect to such differences in costs of 
production. If the Commission finds it shown by the 
investigation that the duties expressly fixed by statute do not 
equalize the differences in the costs of production of the 
domestic article and the like or similar foreign article when 
produced in the principal competing country, the Commission 
shall specify in its report such increases or decreases in 
rates of duty expressly fixed by statute (including any 
necessary change in classification) as it finds shown by the 
investigation to be necessary to equalize such differences. In 
no case shall the total increase or decrease of such rates of 
duty exceed 50 per centum of the rates expressly fixed by the 
statute.
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    \29\ 19 U.S.C. 1336. Sec. 9(c)(1) of Public Law 85-686 (72 Stat. 
679) amended subsec. 336.
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    (b) \30\ * * *
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    \30\ Sec. 202(a)(2) of the Trade Agreements Act of 1979 (Public Law 
96-39; 93 Stat. 202) struck out subsec. (b), which concerning change to 
American selling price, was struck out, effective Jan. 1, 1981.
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    (c) Proclamation by the President.--The President shall by 
proclamation approve the rates of duty and changes in 
classification \31\ specified in any report of the Commission 
under this section, if in his judgment such rates of duty and 
changes are shown by such investigation of the Commission to be 
necessary to equalize such differences in costs of production.
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    \31\ The words ``and in basis of value'' which previously appeared 
at this point, were struck out, effective Jan. 1, 1981, by sec. 
202(a)(2) of the Trade Agreements Act of 1979 (Public Law 96-39; 93 
Stat. 202).
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    (d) Effective Date of Rates and Changes.--Commencing thirty 
days after the date of any Presidential proclamation of 
approval the increased or decreased rates of duty and changes 
in classification \32\ specified in the report of the 
commission shall take effect.
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    \32\ The words ``or in basis of value'' which previously appeared 
at this point, were struck out effective Jan. 1, 1981, by sec. 
202(a)(2) of the Trade Agreements Act of 1979 (Public Law 96-39; 93 
Stat. 202).
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    (e) Ascertainment of Differences in Costs of Production.--
In ascertaining under this section the differences in costs of 
production, the Commission shall take into consideration, in so 
far as it finds it practicable:
          (1) In the case of a domestic article.--(A) The cost 
        of production as hereinafter in this section defined; 
        (B) transportation costs and other costs incident to 
        delivery to the principal market or markets of the 
        United States for the article; and (C) other relevant 
        factors that constitute an advantage or disadvantage in 
        competition.
          (2) In the case of a foreign article.--(A) The cost 
        of production as hereinafter in this section defined, 
        or, if the commission finds that such cost is not 
        readily ascertainable, the commission may accept as 
        evidence thereof, or as supplemental thereto, the 
        weighted average of the invoice prices or values for a 
        representative period and/or the average wholesale 
        selling price for a representative period (which price 
        shall be that at which the article is freely offered 
        for sale to all purchasers in the principal market or 
        markets of the principal competing country or countries 
        in the ordinary course of trade and in the usual 
        wholesale quantities in such market or markets); (B) 
        transportation costs and other costs incident to 
        delivery to the principal market or markets of the 
        United States for the article; (C) other relevant 
        factors that constitute an advantage or disadvantage in 
        competition, including advantages granted to the 
        foreign producers by a government, person, partnership, 
        corporation, or association in a foreign country.
    (f) Modification of Changes in Duty.--Any increased or 
decreased rate of duty or change in classification \29\ which 
has taken effect as above provided may be modified or 
terminated in the same manner and subject to the same 
conditions and limitations (including time of taking effect) as 
is provided in this section in the case of original increases, 
decreases, or changes.
    (g) Prohibition Against Transfers From the Free List to the 
Dutiable List or From the Dutiable List to the Free List.--
Nothing in this section shall be construed to authorize a 
transfer of an article from the dutiable list to the free list 
or from the free list to the dutiable list, nor a change in 
form of duty. Whenever it is provided in any paragraph of 
Subtitle I of this chapter, or in any amendatory act, that the 
duty or duties shall not exceed a specified ad valorem rate 
upon the articles provided for in such paragraph, no rate 
determined under the provisions of this section upon such 
articles shall exceed the maximum ad valorem rate so specified.
    (h) Definitions.--For the purpose of this section--
          (1) The term ``domestic article'' means an article 
        wholly or in part the growth or product of the United 
        States; and the term ``foreign article'' means an 
        article wholly or in part the growth or product of a 
        foreign country.
          (2) The term ``United States'' includes the several 
        States and Territories and the District of Columbia.
          (3) The term ``foreign country'' means any empire, 
        country, dominion, colony, or protectorate, or any 
        subdivision or subdivisions thereof (other than the 
        United States and its possessions).
          (4) The term ``cost of production'', when applied 
        with respect to either a domestic article or a foreign 
        article, includes, for a period which is representative 
        of conditions in production of the article: (A) The 
        price or cost of materials, labor costs, and other 
        direct charges incurred in the production of the 
        article and in the processes or methods employed in its 
        production; (B) the usual general expenses, including 
        charges for depreciation or depletion which are 
        representative of the equipment and property employed 
        in the production of the article and charges for rent 
        or interest which are representative of the cost of 
        obtaining capital or instruments of production; and (C) 
        the cost of containers and coverings of whatever 
        nature, and other costs, charges, and expenses incident 
        to placing the article in condition packed ready for 
        delivery.
    (i) Rules and Regulations of President.--The President is 
authorized to make all needful rules and regulations for 
carrying out his functions under the provisions of this 
section.
    (j) * * * \33\
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    \33\ Sec. 202(a)(2) of the Trade Agreements Act of 1979 (Public Law 
96-39; 93 Stat. 202) struck out subsec. (j), concerning rules and 
regulations of the Secretary of the Treasury, effective Jan. 1, 1981.
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    (k) Investigations Prior to June 17, 1930.--All uncompleted 
investigations instituted prior to June 17, 1930, under the 
provisions of sections 154-159 of this title, including 
investigations in which the President has not proclaimed 
changes in classification \31\ or increases or decreases in 
rates of duty, shall be dismissed without prejudice; but the 
information and evidence secured by the commission in any such 
investigation may be given due consideration in any 
investigation instituted under the provisions of this section.

SEC. 337.\34\ UNFAIR PRACTICES IN IMPORT TRADE.

  (a) \35\ (1) Subject to paragraph (2), the following are 
unlawful, and when found by the Commission to exist shall be 
dealt with, in addition to any other provision of law, as 
provided in this section:
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    \34\ 19 U.S.C. 1337. Sec. 341 of the Trade Act of 1974 (Public Law 
96-618; 88 Stat. 2053), amended and restated sec. 337. Sec. 1342 of 
Public Law 100-418 (102 Stat. 1212) further amended the section. Public 
Law 100-418 further provided:
    ``(2) Notwithstanding any provision of section 337 of the Tariff 
Act of 1930, the United States International Trade Commission may 
extend, by not more than 90 days, the period within which the 
Commission is required to make a determination in an investigation 
conducted under such section 337 if--
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          ``(A) the Commission would, but for this paragraph, be 
        required to make such determination before the 180th day after 
        the date of enactment of this Act; and
          ``(B) the Commission finds that the investigation is 
        complicated.''.
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    \35\ Sec. 1312 of Public Law 100-418 (102 Stat. 1184) amended and 
restated subsec. (a).
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          (A) Unfair methods of competition and unfair acts in 
        the importation of articles (other than articles 
        provided for in subparagraphs (B), (C), (D), and (E) 
        \36\ into the United States, or in the sale of such 
        articles by the owner, importer, or consignee, the 
        threat or effect of which is--
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    \36\ Sec. 5005(b)(1) of Public Law 106-113 (113 Stat. 1501A-594) 
struck out ``and (D)'', and inserted in lieu thereof ``(D), and (E)''.
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                  (i) to destroy or substantially injure an 
                industry in the United States;
                  (ii) to prevent the establishment of such an 
                industry; or
                  (iii) to restrain or monopolize trade and 
                commerce in the United States.
          (B) The importation into the United States, the sale 
        for importation, or the sale within the United States 
        after importation by the owner, importer, or consignee, 
        of articles that--
                  (i) infringe a valid and enforceable United 
                States patent or a valid and enforceable United 
                States copyright registered under title 17, 
                United States Code; or
                  (ii) are made, produced, processed, or mined 
                under, or by means of, a process covered by the 
                claims of a valid and enforceable United States 
                patent.
          (C) The importation into the United States, the sale 
        for importation, or the sale within the United States 
        after importation by the owner, importer, or consignee, 
        of articles that infringe a valid and enforceable 
        United States trademark registered under the Trademark 
        Act of 1946.
          (D) The importation into the United States, the sale 
        for importation, or the sale within the United States 
        after importation by the owner, importer, or consignee, 
        of a semiconductor chip product in a manner that 
        constitutes infringement of a mask work registered 
        under chapter 9 of title 17, United States Code.
          (E) \37\ The importation into the United States, the 
        sale for importation, or the sale within the United 
        States after importation by the owner, importer, or 
        consigner, of an article that constitutes infringement 
        of the exclusive rights in a design protected under 
        chapter 13 of title 17, United States Code.
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    \37\ Sec. 5005(b)(1)(ii) of Public Law 106-113 (112 Stat. 1501A-
594) inserted subpara. (E).
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  (2) Subparagraphs (B), (C), and (D) of paragraph (1) apply 
only if an industry in the United States, relating to the 
articles protected by the patent, copyright, trademark, mask 
work, or design\38\ concerned, exists or is in the process of 
being established.
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    \38\ Sec. 5005(b)(1)(B) of Public Law 106-113 (113 Stat. 1501A-594) 
struck out ``or mask work'' and inserted in lieu thereof ``mask work, 
or design''.
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  (3) For purposes of paragraph (2), an industry in the United 
States shall be considered to exist if there is in the United 
States, with respect to the articles protected by the patent, 
copyright, trademark, mask work, or design\39\ concerned--
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    \39\ Sec. 5005(b)(1)(B) of Public Law 106-113 (113 Stat. 1501A-594) 
struck out ``or mask work'' and inserted in lieu thereof ``mask work, 
or design''.
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          (A) significant investment in plant and equipment;
          (B) significant employment of labor or capital; or
          (C) substantial investment in its exploitation, 
        including engineering, research and development, or 
        licensing.
  (4) For the purposes of this section, the phrase ``owner, 
importer, or consignee'' includes any agent of the owner, 
importer, or consignee.
    (b) \40\ Investigations of Violations by Commission.--(1) 
The Commission shall investigate any alleged violation of this 
section on complaint under oath or upon its initiative. Upon 
commencing any such investigation, the Commission shall publish 
notice thereof in the Federal Register.\41\ The Commission 
shall conclude any such investigation and make its 
determination under this section at the earliest practicable 
time after the date of publication of notice of such 
investigation. To promote expeditious adjudication, the 
Commission shall, within 45 days after an investigation is 
initiated, establish a target date for its final determination.
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    \40\ Sec. 321(a)(1)(A) of Public Law 103-465 (108 Stat. 4943) 
struck out ``; Time Limits'' from the subsection heading.
    \41\ Sec. 321(a)(1)(B) of Public Law 103-465 (108 Stat. 4943) 
struck out ``The Commission shall conclude any such investigation, and 
make its determination under this section, at the earliest practicable 
time, but not later than one year (18 months in more complicated cases) 
after the date of publication of notice of such investigation. The 
Commission shall publish in the Federal Register its reasons for 
designating any investigation as a more complicated investigation. For 
purposes of the one-year and 18-month periods prescribed by this 
subsection, there shall be excluded any period of time during which 
such investigation is suspended because of proceedings in a court or 
agency of the United States involving similar questions concerning the 
subject matter of such investigation.'' and inserted in lieu thereof 
``The Commission shall conclude any such investigation and make its 
determination under this section at the earliest practicable time after 
the date of publication of notice of such investigation. To promote 
expeditious adjudication, the Commission shall, within 45 days after an 
investigation is initiated, establish a target date for its final 
determination.''.
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    (2) During the course of each investigation under this 
section, the Commission shall consult with, and seek advice and 
information from, the Department of Health and Human 
Services,\42\ the Department of Justice, the Federal Trade 
Commission, and such other departments and agencies as it 
considers appropriate.
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    \42\ Sec. 1342(b)(1) of Public Law 100-418 (102 Stat. 1215) 
inserted ``Department of Health and Human Services'' in lieu of the 
``Department of Health, Education, and Welfare'' in para. (2) and 
``Secretary of Commerce'' in lieu of ``Secretary of the Treasury'' in 
para. (3).
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    (3) Whenever, in the course of an investigation under this 
section, the Commission has reason to believe, based on 
information before it, that a matter, in whole or in part,\43\ 
may come within the purview of subtitle B of title VII of this 
Act,\44\ it shall promptly notify the Secretary of Commerce 
\45\ so that such action may be taken as is otherwise 
authorized by such subtitle.\46\ If the Commission has reason 
to believe that the matter before it (A) is based solely on 
alleged acts and effects which are within the purview of 
section 701 or 731,\47\ or (B) relates to an alleged copyright 
infringement with respect to which action is prohibited by 
section 1008 of title 17, United States Code, the Commission 
shall terminate, or not institute, any investigation into the 
matter.\48\ If the Commission has reason to believe the matter 
before it is based in part on alleged acts and effects which 
are within the purview of section 701 \42\ or 731 of this Act, 
and in part on alleged acts and effects which may, 
independently from or in conjunction with those within the 
purview of such section, establish a basis for relief under 
this section, then it may institute or continue an 
investigation into the matter. If the Commission notifies the 
Secretary or the administering authority (as defined in section 
771(1) of this Act) with respect to a matter under this 
paragraph, the Commission may suspend its investigation during 
the time the matter is before the Secretary or administering 
authority for final decision.\49\ Any final decision \50\ by 
the administering authority under section 701 or 731 of this 
Act with respect to the matter within such section 701 or \51\ 
731 of which the Commission has notified the Secretary or 
administering authority shall be conclusive upon the Commission 
with respect to the issue of less-than-fair-value sales or 
subsidization and the matters necessary for such decision.\52\
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    \43\ The reference to a partial or whole matter was added by sec. 
1105(a)(1) of the Trade Agreements Act of 1979 (Public Law 96-39; 93 
Stat. 310).
    \44\ This reference to subtitle B of title VII of the Tariff Act of 
1930 was substituted in lieu of a reference to the Antidumping Act, 
1921 (which was repealed), by sec. 106 of the Trade Agreements Act of 
1979 (Public Law 96-39; 93 Stat. 193). Sec. 321(a)(1)(C)(i)(I) of 
Public Law 103-465 (108 Stat. 4943) subsequently struck out ``the 
Tariff Act of 1930'' and inserted in lieu thereof ``this Act''. Sec. 
261(d)(1)(B)(ii) of Public Law 103-465 (108 Stat. 4909) struck out ``of 
section 303 or subtitle B of title VII of the Tariff Act of 1930'' and 
inserted in lieu thereof ``of subtitle B of title VII of this Act''.
    \45\ Sec. 321(a)(1)(C)(i)(II) of Public Law 103-465 (108 Stat. 
4943) struck out ``such Act'' and inserted in lieu thereof ``such 
subtitle''. Sec. 20(b)(12) of Public Law 104-295 (110 Stat. 3527) 
struck out ``such section and'' before ``such subtitle''.
    \46\ Sec. 261(d)(1)(B)(ii)(II) of Public Law 103-465 (108 Stat. 
4909) struck out ``section 303, 671, or 673'' and inserted in lieu 
thereof ``section 701 or 731''.
    \47\ The second sentence was amended and restated by sec. 3(d) of 
the Audio Home Recording Act of 1992 (Public Law 102-563; 106 Stat. 
4248). It formerly read as follows: ``If the Commission has reason to 
believe the matter before it is based solely on alleged acts and 
effects which are within the purview of section 303, 701, or 731 of 
this Act, it shall terminate, or not institute, any investigation into 
the matter.''.
    \48\ Sec. 261(d)(1)(B)(ii)(III) of Public Law 103-465 (108 Stat. 
4909) struck out ``section 303, 701,'' and inserted in lieu thereof 
``section 701''.
    \49\ Sec. 321(a)(1)(C)(ii) of Public Law 103-465 (108 Stat. 4943) 
struck out ``For purposes of computing the 1-year or 18-month periods 
prescribed by this subsection, there shall be excluded such period of 
suspension.'' from this point.
    \50\ Sec. 261(d)(1)(B)(ii)(IV) of Public Law 103-465 (108 Stat. 
4910) struck out ``of the Secretary under section 303 of this Act or''.
    \51\ Sec. 261(d)(1)(B)(ii)(V) of Public Law 103-465 (108 Stat. 
4909) struck out ``matter within such section 303, 701 or'' and 
inserted in lieu thereof ``matter within such section 701 or''.
    \52\ Sec. 1105(a)(2) of the Trade Agreements Act of 1979 (Public 
Law 96-39; 93 Stat. 310) added the last four sentences of para. (3).
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    (c) Determinations; Review.--The Commission shall 
determine, with respect to each investigation conducted by it 
under this section, whether or not there is a violation of this 
section,\53\ except that the Commission may, by issuing a 
consent order or on the basis of an agreement between the 
private parties to the investigation, including an agreement to 
present the matter for arbitration,\54\ terminate any such 
investigation, in whole or in part, without making such a 
determination. Each determination under subsection (d) or (e) 
shall be made on the record after notice and opportunity for a 
hearing in conformity with the provisions of subchapter II of 
chapter 5 of title 5, United States Code. All legal and 
equitable defenses may be presented in all cases. A respondent 
may raise any counterclaim in a manner prescribed by the 
Commission. Immediately after a counterclaim is received by the 
Commission, the respondent raising such counterclaim shall file 
a notice of removal with a United States district court in 
which venue for any of the counterclaims raised by the party 
would exist under section 1391 of title 28, United States Code. 
Any counterclaim raised pursuant to this section shall relate 
back to the date of the original complaint in the proceeding 
before the Commission. Action on such counterclaim shall not 
delay or affect the proceeding under this section, including 
the legal and equitable defenses that may be raised under this 
subsection.\55\ Any person adversely affected by a final 
determination of the Commission under subsection (d), (e), 
(f),\56\ or (g) \56\ may appeal such determination, within 60 
days after the determination becomes final,\57\ to the United 
States Court of Appeals for the Federal Circuit for review in 
accordance with chapter 7 of title 5, United States Code.\58\ 
Notwithstanding the foregoing provisions of this subsection, 
Commission determinations under subsection (d), (e), (f), and 
(g) with respect to its findings on the public health and 
welfare, competitive conditions in the United States economy, 
the production of like or directly competitive articles in the 
United States, and United States consumers, the amount and 
nature of bond, or the appropriate remedy shall be reviewable 
in accordance with section 706 of title 5, United States 
Code.\59\ Determinations by the Commission under subsections 
(e), (f), and (j) with respect to forfeiture of bonds and under 
subsection (h) with respect to the imposition of sanctions for 
abuse of discovery or abuse of process shall also be reviewable 
in accordance with section 706 of title 5, United States 
Code.\60\
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    \53\ Sec. 1342(a)(2) of Public Law 100-418 (102 Stat. 1213) 
inserted ``except that the Commission may, by issuing a consent order 
or on the basis of a settlement agreement, terminate any such 
investigation, in whole or in part, without making such a 
determination.''.
    \54\ Sec. 321(a)(2)(A) of Public Law 103-465 (108 Stat. 4943) 
struck out ``a settlement agreement'' and inserted in lieu thereof ``an 
agreement between the private parties to the investigation, including 
an agreement to present the matter for arbitration''.
    \55\ Sec. 321(a)(2)(B) of Public Law 103-465 (108 Stat. 4944) added 
``A respondent may raise any counterclaim in a manner prescribed by the 
Commission. Immediately after a counterclaim is received by the 
Commission, the respondent raising such counterclaim shall file a 
notice of removal with a United States district court in which venue 
for any of the counterclaims raised by the party would exist under 
section 1391 of title 28, United States Code. Any counterclaim raised 
pursuant to this section shall relate back to the date of the original 
complaint in the proceeding before the Commission. Action on such 
counterclaim shall not delay or affect the proceeding under this 
section, including the legal and equitable defenses that may be raised 
under this subsection.''.
    \56\ Sec. 1105(c) of Public Law 96-39 (Trade Agreements Act of 
1979; 93 Stat. 311) added the reference to subsec. (f). Sec. 1342(b)(2) 
of Public Law 100-418 (102 Stat. 1215) added the reference to subsec. 
(g).
    \57\ Sec. 413 of Public Law 98-620 (98 Stat. 3362) inserted 
``within 60 days after the determination becomes final''.
    \58\ Sec. 163(a)(4) of the Federal Courts Improvement Act (Public 
Law 97-164; 96 Stat. 49) struck out ``Court of Customs and Patent 
Appeals'' and inserted in lieu thereof ``Court of Appeals for the 
Federal Circuit''. Sec. 6041 of Public Law 96-417 (94 Stat. 1744) 
inserted ``for review in accordance with chapter 7 of title 5, United 
States Code''.
    \59\ Sec. 321(a)(2)(C) of Public Law 103-465 (108 Stat. 4944) added 
``Determinations by the Commission under subsections (e), (f), and (j) 
with respect to forfeiture of bonds and under subsection (h) with 
respect to the imposition of sanctions for abuse of discovery or abuse 
of process shall also be reviewable in accordance with section 706 of 
title 5, United States Code.''.
    \60\ Sec. 604(2) of Public Law 96-417 (94 Stat. 1744) substituted 
this sentence in lieu of previous text which read as follows: ``Such 
Court shall have jurisdiction to review such determination in the same 
manner and subject to the same limitations and conditions as in the 
case of appeals from decisions of the United States Customs Court.''.
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    (d) Exclusion of Articles From Entry.--(1) \61\ If the 
Commission determines, as a result of an investigation under 
this section, that there is a violation \62\ of this section, 
it shall direct that the articles concerned, imported by any 
person violating the provision of this section, be excluded 
from entry into the United States, unless, after considering 
the effect of such exclusion upon the public health and 
welfare, competitive conditions in the United States economy, 
the production of like or directly competitive articles in the 
United States, and United States consumers, it finds that such 
articles should not be excluded from entry. The Commission 
shall notify the Secretary of the Treasury of its action under 
this subsection directing such exclusion from entry, and upon 
receipt of such notice, the Secretary shall, through the proper 
officers, refuse such entry.
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    \61\ Sec. 321(a)(5)(A)(i) of Public Law 103-465 (108 Stat. 4944) 
inserted the paragraph designation ``(1)''.
    \62\ Sec. 321(a)(5)(A)(ii) of Public Law 103-465 (108 Stat. 4944) 
struck out ``there is violation'' and inserted in lieu thereof ``there 
is a violation''.
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    (2) \63\ The authority of the Commission to order an 
exclusion from entry of articles shall be limited to persons 
determined by the Commission to be violating this section 
unless the Commission determines that--
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    \63\ Sec. 321(a)(5)(A)(iii) of Public Law 103-465 (108 Stat. 4944) 
added para. (2).
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          (A) a general exclusion from entry of articles is 
        necessary to prevent circumvention of an exclusion 
        order limited to products of named persons; or
          (B) there is a pattern of violation of this section 
        and it is difficult to identify the source of 
        infringing products.
    (e) Exclusion of Articles From Entry During Investigation 
Except Under Bond.--(1) \64\ If, during the course of an 
investigation under this section, the Commission determines 
that there is reason to believe that there is a violation of 
this section, it may direct that the articles concerned, 
imported by any person with respect to whom there is reason to 
believe that such person is violating this section, be excluded 
from entry into the United States, unless after considering the 
effect of such exclusion upon the public health and welfare, 
competitive conditions in the United States economy, the 
production of like or directly competitive articles in the 
United States, and United States consumers, it finds that such 
articles should not be excluded from entry. The Commission 
shall notify the Secretary of the Treasury of its action under 
this subsection directing such exclusion from entry, and upon 
receipt of such notice, the Secretary shall, through the proper 
officers, refuse such entry, except that such articles shall be 
entitled to entry under bond prescribed by the Secretary in an 
amount determined by the Commission to be sufficient to protect 
the complainant from any injury. If the Commission later 
determines that the respondent has violated the provisions of 
this section, the bond may be forfeited to the complainant.\65\
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    \64\ Sec. 1342(a)(3) of Public Law 100-418 (102 Stat. 1213) amended 
subsec. (e) by inserting ``(1)'' in the first sentence and added new 
paras. (2) and (3).
    \65\ Sec. 321(a)(3)(A) of Public Law 103-463 (108 Stat. 4944) 
struck out ``determined by the Commission and prescribed by the 
Secretary.'' and inserted in lieu thereof ``prescribed by the Secretary 
in an amount determined by the Commission to be sufficient to protect 
the complainant from any injury. If the Commission later determines 
that the respondent has violated the provisions of this section, the 
bond may be forfeited to the complainant.''.
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  (2) \64\ A complainant may petition the Commission for the 
issuance of an order under this subsection. The Commission 
shall make a determination with regard to such petition by no 
later than the 90th day after the date on which the 
Commission's notice of investigation is published in the 
Federal Register. The Commission may extend the 90-day period 
for an additional 60 days in a case it designates as a more 
complicated case. The Commission shall publish in the Federal 
Register its reasons why it designated the case as being more 
complicated. The Commission may require the complainant to post 
a bond \66\ as a prerequisite to the issuance of an order under 
this subsection. If the Commission later determines that the 
respondent has not violated the provisions of this section, the 
bond may be forfeited to the respondent.\67\
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    \66\ Sec. 1342(d) of the Omnibus Trade and Competitiveness Act of 
1988 (Public Law 100-418; 102 Stat. 1216) further provided:
    ``(B) The United States International Trade Commission is not 
required to apply the provision in section 337(e)(2) of the Tariff Act 
of 1930 (as amended by subsection (a)(3) of this section) relating to 
the posting of bonds until the earlier of--
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          ``(i) the 90th day after such date of enactment; or
          ``(ii) the day on which the Commission issues interim 
        regulations setting forth the procedures relating to such 
        posting.''.
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    \67\ Sec. 321(a)(3)(B) of Public Law 103-463 (108 Stat. 4944) 
inserted ``If the Commission later determines that the respondent has 
not violated the provisions of this section, the bond may be forfeited 
to the respondent.'' at the end of para. (2).
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  (3) \64\ The Commission may grant preliminary relief under 
this subsection or subsection (f) to the same extent as 
preliminary injunctions and temporary restraining orders may be 
granted under the Federal Rules of Civil Procedure.
    (4) \68\ The Commission shall prescribe the terms and 
conditions under which bonds may be forfeited under paragraphs 
(1) and (2).
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    \68\ Sec. 321(a)(3)(C) of Public Law 103-463 (108 Stat. 4944) 
inserted para. (4).
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    (f)(1) \69\ Cease and Desist Orders.--In addition to, or in 
lieu of \70\ taking action under subsection (d) or (e), the 
Commission may issue and cause to be served on any person 
violating this section, or believed to be violating this 
section, as the case may be, an order directing such person to 
cease and desist from engaging in the unfair methods or acts 
involved, unless after considering the effect of such order 
upon the public health and welfare, competitive conditions in 
the United States economy, the production of like or directly 
competitive articles in the United States, and United States 
consumers, it finds that such order should not be issued. The 
Commission may at any time, upon such notice and in such manner 
as it deems proper, modify or revoke any such order, and, in 
the case of a revocation, may take action under subsection (d) 
or (e), as the case may be.\71\ If a temporary cease and desist 
order is issued in addition to, or in lieu of, an exclusion 
order under subsection (e), the Commission may require the 
complainant to post a bond, in an amount determined by the 
Commission to be sufficient to protect the respondent from any 
injury, as a prerequisite to the issuance of an order under 
this subsection. If the Commission later determines that the 
respondent has not violated the provisions of this section, the 
bond may be forfeited to the respondent. The Commission shall 
prescribe the terms and conditions under which the bonds may be 
forfeited under this paragraph.
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    \69\ Sec. 1105(b) of the Trade Agreements Act of 1979 (Public Law 
96-39; 93 Stat. 310) inserted the paragraph designation ``(1)'' and a 
new para. (2).
    \70\ Sec. 1342(a)(4)(A) of Public Law 100-418 (102 Stat. 1213) 
struck out ``In lieu of'' in para. (1) and inserted ``In addition to, 
or in lieu of,'' in its place.
    \71\ Sec. 321(a)(4) of Public Law 103-465 (108 Stat. 4944) added 
text to end of subsec. (f)(1) from this point.
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    (2) \69\ Any person who violates an order issued by the 
Commission under paragraph (1) after it has become final shall 
forfeit and pay to the United States a civil penalty for each 
day on which an importation of articles, or their sale, occurs 
in violation of the order of not more than the greater of 
$100,000 or twice \72\ the domestic value of the articles 
entered or sold on such day in violation of the order. Such 
penalty shall accrue to the United States and may be recovered 
for the United States in a civil action brought by the 
Commission in the Federal District Court for the District of 
Columbia or for the district in which the violation occurs. In 
such actions, the United States district courts may issue 
mandatory injunctions incorporating the relief sought by the 
Commission as they deem appropriate in the enforcement of such 
final orders of the Commission.
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    \72\ Sec. 1342(a)(4)(B) of Public Law 100-418 (102 Stat. 1213) 
inserted ``$100,000 or twice'' in lieu of ``$10,000 or'' in para. (2).
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  (g) \73\ (1) If--
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    \73\ Sec. 1342(a)(5)(A) of Public Law 100-418 (102 Stat. 1213) 
redesignated subsecs. (g), (h), (i), and (j) as subsecs. (j), (k), (l), 
and (m), respectively, and inserted a new subsec. (g).
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          (A) a complaint is filed against a person under this 
        section;
          (B) the complaint and a notice of investigation are 
        served on the person;
          (C) the person fails to respond to the complaint and 
        notice or otherwise fails to appear to answer the 
        complaint and notice;
          (D) the person fails to show good cause why the 
        person should not be found in default; and
          (E) the complainant seeks relief limited solely to 
        that person;
the Commission shall presume the facts alleged in the complaint 
to be true and shall, upon request, issue an exclusion from 
entry or a cease and desist order, or both, limited to that 
person unless, after considering the effect of such exclusion 
or order upon the public health and welfare, competitive 
conditions in the United States economy, the production of like 
or directly competitive articles in the United States, and 
United States consumers, the Commission finds that such 
exclusion or order should not be issued.
  (2) In addition to the authority of the Commission to issue a 
general exclusion from entry of articles when a respondent 
appears to contest an investigation concerning a violation of 
the provisions of the section, a general exclusion from entry 
of articles, regardless of the source or importer of the 
articles, may be issued if--
          (A) no person appears to contest an investigation 
        concerning a violation of the provisions of this 
        section,\74\
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    \74\ Sec. 321(a)(5)(B) of Public Law 103-465 (108 Stat. 4945) 
struck out ``and'' at the end of para. (A), replaced the period at the 
end of para. (B) with ``, and'', and added a new para. (C).
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          (B) such a violation is established by substantial, 
        reliable, and probative evidence, and \74\
          (C) \74\ the requirements of subsection (d)(2) are 
        met.
  (h) \73\ The Commission may by rule prescribe sanctions for 
abuse of discovery and abuse of process to the extent 
authorized by Rule 11 and Rule 37 of the Federal Rules of Civil 
Procedure.
  (i) \73\ Forfeiture.--
          (1) In addition to taking action under subsection 
        (d), the Commission may issue an order providing that 
        any article imported in violation of the provisions of 
        this section be seized and forfeited to the United 
        States if--
                  (A) the owner, importer, or consignee of the 
                article previously attempted to import the 
                article into the United States;
                  (B) the article was previously denied entry 
                into the United States by reason of an order 
                issued under subsection (d); and
                  (C) upon such previous denial of entry, the 
                Secretary of the Treasury provided the owner, 
                importer, or consignee of the article written 
                notice of--
                          (i) such order, and
                          (ii) the seizure and forfeiture that 
                        would result from any further attempt 
                        to import the article into the United 
                        States.
          (2) The Commission shall notify the Secretary of the 
        Treasury of any order issued under this subsection and, 
        upon receipt of such notice, the Secretary of the 
        Treasury shall enforce such order in accordance with 
        the provisions of this section.
          (3) Upon the attempted entry of articles subject to 
        an order issued under this subsection, the Secretary of 
        the Treasury shall immediately notify all ports of 
        entry of the attempted importation and shall identify 
        the persons notified under paragraph (1)(C).
          (4) The Secretary of the Treasury shall provide--
                  (A) the written notice described in paragraph 
                (1)(C) to the owner, importer, or consignee of 
                any article that is denied entry into the 
                United States by reason of an order issued 
                under subsection (d); and
                  (B) a copy of such written notice to the 
                Commission.
    (j) \73\ Referrals to the President.--(1) If the Commission 
determines that there is a violation of this section, or that, 
for purposes of subsection (e), there is reason to believe that 
there is such a violation, it shall--
          (A) publish such determination in the Federal 
        Register, and
          (B) transmit to the President a copy of such 
        determination and the action taken under subsection 
        (d), (e), (f), (g), or (i),\75\ with respect thereto, 
        together with the record upon which such determination 
        is based.
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    \75\ Sec. 1342(b)(3) of Public Law 100-418 (102 Stat. 1215) added 
reference to subsecs. (g) or (i).
---------------------------------------------------------------------------
    (2) If, before the close of the 60-day period beginning on 
the day after the day on which he receives a copy of such 
determination, the President, for policy reasons, disapproves 
such determination and notifies the Commission of his 
disapproval, then, effective on the date of such notice, such 
determination and the action taken under subsection (d), (e), 
(f), (g), or (i),\75\ with respect thereto shall have no force 
or effect.
    (3) Subject to the provisions of paragraph (2), such 
determination shall, except for purposes of subsection (c), be 
effective upon publication thereof in the Federal Register, and 
the action taken under subsection (d), (e), (f) (g), or 
(i),\75\ with respect thereto shall be effective as provided in 
such subsections, except that articles directed to be excluded 
from entry under subsection (d) or subject to a cease and 
desist order under subsection (f) shall, until such 
determination becomes final, be entitled to entry under bond 
prescribed by the Secretary in an amount determined by the 
Commission to be sufficient to protect the complainant from any 
injury. If the determination becomes final, the bond may be 
forfeited to the complainant. The Commission shall prescribe 
the terms and conditions under which bonds may be forfeited 
under this paragraph.\76\
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    \76\ Sec. 321(a)(6) of Public Law 103-465 (108 Stat. 4945) struck 
out ``shall be entitled to entry under bond determined by the 
Commission and prescribed by the Secretary until such determination 
becomes final.'' and inserted in lieu thereof ``shall, until such 
determination becomes final, be entitled to entry under bond prescribed 
by the Secretary in an amount determined by the Commission to be 
sufficient to protect the complainant from any injury. If the 
determination becomes final, the bond may be forfeited to the 
complainant. The Commission shall prescribe the terms and conditions 
under which bonds may be forfeited under this paragraph.''.
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    (4) If the President does not approve such determination 
within such 60-day period, or if he notifies the Commission 
before the close of such period that he approves such 
determination, then, for purposes of paragraph (3) and 
subsection (c) such determination shall become final on the day 
after the close of such period or the day on which the 
President notifies the Commission of his approval, as the case 
may be.
    (k) \73\ Period of Effectiveness.--(1) \77\ Except as 
provided in subsections (f) and (j),\77\ any exclusion from 
entry or order under this section shall continue in effect 
until the Commission finds, and in the case of exclusion from 
entry, notifies the Secretary of the Treasury, that the 
conditions which led to such exclusion from entry or order no 
longer exists.
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    \77\ Sec. 1342(a)(6) of Public Law 100-418 (102 Stat. 1214) 
inserted ``(1)'' before the first sentence and added new para. (2). 
Sec. 1341(b)(4) of that Act added reference to subsec. (j).
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  (2) \77\ If any person who has previously been found by the 
Commission to be in violation of this section petitions the 
Commission for a determination that the petitioner is no longer 
in violation of this section or for a modification or 
rescission of an exclusion from entry or order under subsection 
(d), (e), (f), (g), or (i)--
          (A) the burden of proof in any proceeding before the 
        Commission regarding such petition shall be on the 
        petitioner; and
          (B) relief may be granted by the Commission with 
        respect to such petition--
                  (i) on the basis of new evidence or evidence 
                that could not have been presented at the prior 
                proceeding, or
                  (ii) on grounds which would permit relief 
                from a judgment or order under the Federal 
                Rules of Civil Procedure.
    (l) \73\ Importation by or for the United States.--Any 
exclusion from entry or order under subsection (d), (e), (f), 
(g), or (i) \78\ in cases based on a proceeding involving a 
patent, copyright, mask work, or design under subsection 
(a)(1),\79\ shall not apply to any articles imported by and for 
the use of the United States, or imported for, and to be used 
for, the United States with the authorization or consent of the 
Government. Whenever any article would have been excluded from 
entry or would not have been entered pursuant to the provisions 
of such subsections but for the operation of this subsection, 
an owner of the patent, copyright, mask work, or design \79\ 
adversely affected shall be entitled to reasonable and entire 
compensation in an action before the United States Court of 
Federal Claims \80\ pursuant to the procedures of section 1498 
of title 28, United States Code.
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    \78\ Sec. 1342(b)(5) of Public Law 100-418 (102 Stat. 1215) struck 
out ``or (f)'' and inserted in lieu thereof ``(f), (g), or (i)''.
    \79\ Sec. 1342(a)(7) of Public Law 100-418 (102 Stat. 1215), 
amended subsec. (l) by striking out ``claims of United States letters 
patent'' in the first sentence and inserting in lieu thereof ``a 
proceeding involving a patent, copyright, or mask work under subsection 
(a)(1)''. Sec. 1342(b)(2) of the Act inserted ``an owner of the patent, 
copyright, or mask work'' in lieu of ``a patent owner'' in the second 
sentence. Sec. 5005(b)(2) of Public Law 106-113 (113 Stat. 1501A-594) 
further amended the subsection by striking ``or mask work'' each place 
it appeared and inserting ``mask work, or design''.
    \80\ Reference to the United States Claims Court was substituted in 
lieu of a reference to the Court of Claims by sec. 160(a)(5) of the 
Federal Courts Improvement Act (Public Law 97-164; 96 Stat. 49). Sec. 
902(b) of the Federal Courts Administration Act of 1992 (Public Law 
102-572; 106 Stat. 4516) subsequently provided that any reference in 
Federal law to the ``United States Claims Court'' shall be deemed to 
refer to the ``United States Court of Federal Claims''. Sec. 321(a)(8) 
of Public Law 103-465 (108 Stat. 4945) struck out ``Claims Court'' and 
inserted in lieu thereof ``Court of Federal Claims''.
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    (m) \73\ Definition of United States.--For purposes of this 
section and sections 338 and 340, the term ``United States'' 
means the customs territory of the United States as defined in 
general headnote 2 of the Tariff Schedules of the United 
States.
  (n) \81\ (1) Information submitted to the Commission or 
exchanged among the parties in connection with proceedings 
under this section which is properly designated as confidential 
pursuant to Commission rules may not be disclosed (except under 
a protective order issued under regulations of the Commission 
which authorizes limited disclosure of such information) to any 
person (other than a person described in paragraph (2)) without 
the consent of the person submitting it.
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    \81\ Sec. 1342(a)(8) of Public Law 100-418 (102 Stat. 1215) added 
subsec. (n).
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  (2) Notwithstanding the prohibition contained in paragraph 
(1), information referred to in that paragraph may be disclosed 
to--
          (A) \82\ an officer or employee of the Commission who 
        is directly concerned with--
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    \82\ Sec. 321(a)(7)(A) of Public Law 103-465 (108 Stat. 4945) 
amended and restated subpara. (A).
---------------------------------------------------------------------------
                  (i) carrying out the investigation or related 
                proceeding in connection with which the 
                information is submitted,
                  (ii) the administration of a bond posted 
                pursuant to subsection (e), (f), or (j),
                  (iii) the administration or enforcement of an 
                exclusion order issued pursuant to subsection 
                (d), (e), or (g), a cease and desist order 
                issued pursuant to subsection (f), or a consent 
                order issued pursuant to subsection (c),
                  (iv) proceedings for the modification or 
                rescission of a temporary or permanent order 
                issued under subsection (d), (e), (f), (g), or 
                (i), or a consent order issued under this 
                section, or
                  (v) maintaining the administrative record of 
                the investigation or related proceeding,
          (B) an officer or employee of the United States 
        Government who is directly involved in the review under 
        subsection (j),\83\ or
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    \83\ Sec. 9001(a)(12) of the Technical and Miscellaneous Revenue 
Act of 1988 (Public Law 100-647; 102 Stat. 3342) inserted the reference 
to ``(j)'' in lieu of ``(h)''.
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          (C) \84\ an officer or employee of the United States 
        Customs Service who is directly involved in 
        administering an exclusion from entry under subsection 
        (d), (e), or (g) resulting from the investigation or 
        related proceeding in connection with which the 
        information is submitted.
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    \84\ Sec. 321(a)(7)(B) of Public Law 103-465 (108 Stat. 4945) 
amended and restated subpara. (C).
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SEC. 338.\85\ DISCRIMINATION BY FOREIGN COUNTRIES.

    (a) Additional Duties.--The President when he finds that 
the public interest will be served thereby shall by 
proclamation specify and declare new or additional duties as 
hereinafter provided upon articles wholly or in part the growth 
or product of, or imported in a vessel of, any foreign country 
whenever he shall find as a fact that such country--
---------------------------------------------------------------------------
    \85\ 19 U.S.C. 1338.
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          (1) Imposes, directly or indirectly, upon the 
        disposition in or transportation in transit through or 
        reexportation from such country of any article wholly 
        or in part the growth or product of the United States 
        any unreasonable charge, exaction, regulation, or 
        limitation which is not equally enforced upon the like 
        article of every foreign country; or
          (2) Discriminates in fact against the commerce of the 
        United States, directly or indirectly, by law or 
        administrative regulation or practice, by or in respect 
        to any customs, tonnage, or port duty, fee, charge, 
        exaction, classification, regulation, condition, 
        restriction, or prohibition, in such manner as to place 
        the commerce of the United States at a disadvantage 
        compared with the commerce of any foreign country.
    (b) Exclusion From Importation.--If at any time the 
President shall find it to be a fact that any foreign country 
has not only discriminated against the commerce of the United 
States, as aforesaid, but has, after the issuance of a 
proclamation as authorized subdivision (a) of this section, 
maintained or increased its said discriminations against the 
commerce of the United States, the President is hereby 
authorized, if he deems it consistent with the interests of the 
United States, to issue a further proclamation directing that 
such products of said country or such articles imported in its 
vessels as he shall deem consistent with the public interests 
shall be excluded from importation into the United States.
    (c) Application of Proclamation.--Any proclamation issued 
by the President under the authority of this section shall, if 
he deems it consistent with the interests of the United States, 
extend to the whole of any foreign country or may be confined 
to any subdivision or subdivisions thereof; and the President 
shall, whenever he deems the public interests require, suspend, 
revoke, supplement, or amend any such proclamation.
    (d) Duties To Offset Commercial Disadvantages.--Whenever 
the President shall find as a fact that any foreign country 
places any burden or disadvantage upon the commerce of the 
United States by any of the unequal impositions or 
discriminations aforesaid, he shall, when he finds that the 
public interest will be served thereby, by proclamation specify 
and declare such new or additional rate or rates of duty as he 
shall determine will offset such burden or disadvantage, not to 
exceed 50 per centum ad valorem or its equivalent, on any 
products, or on articles imported in a vessel of, such foreign 
country; and thirty days after the date of such proclamation 
there shall be levied, collected, and paid upon the articles 
enumerated in such proclamation when imported into the United 
States from such foreign country such new or additional rate or 
rates of duty; or, in case of articles declared subject to 
exclusion from importation into the United States under the 
provisions of subdivision (b) of this section, such articles 
shall be excluded from importation.
    (e) Duties To Offset Benefits to Third Country.--Whenever 
the President shall find as a fact that any foreign country 
imposes any unequal imposition or discrimination as aforesaid 
upon the commerce of the United States, or that any benefits 
accrue or are likely to accrue to any industry in any foreign 
country by reason of any such imposition or discrimination 
imposed by any foreign country other than the foreign country 
in which such industry is located, and whenever the President 
shall determine that any new or additional rate or rates of 
duty or any prohibition hereinbefore provided for do not 
effectively remove such imposition or discrimination and that 
any benefits from any such imposition or discrimination accrue 
or are likely to accrue to any industry in any foreign country, 
he shall, when he finds that the public interest will be served 
thereby, by proclamation specify and declare such new or 
additional rate of rates of duty upon the articles wholly or in 
part the growth or product of any such industry as he shall 
determine will offset such benefits, not to exceed 50 per 
centum ad valorem or its equivalent, upon importation from any 
foreign country into the United States of such articles; and on 
and after thirty days after the date of any such proclamation 
such new or additional rate or rates of duty so specified and 
declared in such proclamation shall be levied, collected, and 
paid upon such articles.
    (f) Forfeiture of Articles.--All articles imported contrary 
to the provisions of this section shall be forfeited to the 
United States and shall be liable to be seized, prosecuted, and 
condemned in like manner and under the same regulations, 
restrictions, and provisions as may from time to time be 
established for the recover, collection, distribution, and 
remission of forfeitures to the United States by the several 
revenue laws. Whenever the provisions of this Act shall be 
applicable to importations into the United States of articles 
wholly or in part the growth or product of any foreign country, 
they shall be applicable thereto whether such articles are 
imported directly or indirectly.
    (g) Ascertainment by Commission of Discriminations.--It 
shall be the duty of the commission to ascertain and at all 
times to be informed whether any of the discriminations against 
the commerce of the United States enumerated in subdivisions 
(a), (b), and (e) of this section are practiced by any country; 
and if and when such discriminatory acts are disclosed, it 
shall be the duty of the commission to bring the matter to the 
attention of the President, together with recommendations.
    (h) Rules and Regulations of Secretary of Treasury.--The 
Secretary of the Treasury with the approval of the President 
shall make such rules and regulations as are necessary for the 
execution of such proclamations as the President may issue in 
accordance with the provisions of this section.
    (i) Definition.--When used in this section, the term 
``foreign country'' means any empire, country, dominion, colony 
or protectorate, or any subdivision or subdivisions thereof 
(other than the United States and its possessions), within 
which separate tariff rates or separate regulations of commerce 
are enforced.
          * * * * * * *

SEC. 339.\86\ TRADE REMEDY ASSISTANCE OFFICE.

    (a) There is established in the Commission a separate 
office to be known as the Trade \87\ Remedy Assistance Office 
which shall provide full information to the public, upon 
request and shall, to the extent feasible, provide assistance 
and advice to interested parties concerning--
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    \86\ 19 U.S.C. 1339. Sec. 221 of Public Law 98-573 (98 Stat. 2989) 
added sec. 339.
    \87\ Sec. 1614(1) of Public Law 100-418 (102 Stat. 1263) added the 
text ``a separate office to be known as the Trade'', and inserted the 
text ``upon request and shall, to the extent feasible, provide 
assistance and advice to interested parties concerning--'' in lieu of 
``upon request, concerning--''.
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          (1) remedies and benefits available under the trade 
        laws, and
          (2) the petition and application procedures, and the 
        appropriate filing dates, with respect to such remedies 
        and benefits.
  (b) \88\ The Trade Remedy Assistance Office, in coordination 
with each agency responsible for administering a trade law, 
shall provide technical and legal assistance and advice to 
eligible small businesses to enable them--
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    \88\ Sec. 1614(2) of Public Law 100-418 (102 Stat. 1263) amended 
and restated subsec. (b).
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          (1) to prepare and file petitions and applications 
        (other than those which, in the opinion of the Office, 
        are frivolous); and
          (2) to seek to obtain the remedies and benefits 
        available under the trade laws, including any 
        administrative review or administrative appeal 
        thereunder.
    (c) For purposes of this section--
          (1) The term ``eligible small business'' means any 
        business concern which, in the agency's judgment, due 
        to its small size, has neither adequate internal 
        resources nor financial ability to obtain qualified 
        outside assistance in preparing and filing petitions 
        and applications for remedies and benefits under trade 
        laws. In determining whether a business concern is an 
        ``eligible small business'', the agency may consult 
        with the Small Business Administration, and shall 
        consult with any other agency that has provided 
        assistance under subsection (b) to that business 
        concern. An agency decision regarding whether a 
        business concern is an eligible small business for 
        purposes of this section is not reviewable by any other 
        agency or by any court.
          (2) The term ``trade laws'' means--
                  (A) chapter 1 of title II of the Trade Act of 
                1974 (19 U.S.C. 2251 et seq., relating to 
                injury \89\ caused by import competition);
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    \89\ Sec. 1888 of Public Law 99-514 (100 Stat. 2924) struck out 
``relief'' and inserted in lieu thereof ``injury''.
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                  (B) chapters 2 and 3 of such title II 
                (relating to adjustment assistance for workers 
                and firms);
                  (C) chapter 1 of title III of the Trade Act 
                of 1974 (19 U.S.C. 2411 et seq., relating to 
                relief from foreign import restrictions and 
                export subsidies);
                  (D) title VII of the Tariff Act of 1930 (19 
                U.S.C. 1671 et seq., relating to the imposition 
                of countervailing duties and antidumping 
                duties);
                  (E) section 232 of the Trade Expansion Act of 
                1962 (19 U.S.C. 1862, relating to the 
                safeguarding of national security); and
                  (F) section 337 of the Tariff Act of 1930 (19 
                U.S.C. 1337, relating to unfair practices in 
                import trade.

                  Part III--Promotion of Foreign Trade

SEC. 350.\90\ FOREIGN TRADE AGREEMENTS.

    (a) Authority of President; Modification and Decrease of 
Duties; Altering Import Restrictions.--(1) For the purpose of 
expanding foreign markets for the products of the United States 
(as a means of assisting in establishing and maintaining a 
better relationship among various branches of American 
agriculture, industry, mining, and commerce) by regulating the 
admission of foreign goods into the United States in accordance 
with the characteristics and needs of various branches of 
American production so that foreign markets will be made 
available to those branches of American production which 
require and are capable of developing such outlets by affording 
corresponding market opportunities for foreign products in the 
United States, the President, whenever he finds as a fact that 
any existing duties or other import restrictions of the United 
States or any foreign country are unduly burdening and 
restricting the foreign trade of the United States and that the 
purpose above declared will be promoted by the means 
hereinafter specified, is authorized from time to time--
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    \90\ 19 U.S.C. 1351. Sec 350 was added by sec. 1, 48 Stat. 943. It 
has been amended at 57 Stat. 125, 59 Stat. 410, 63 Stat. 698, 69 Stat. 
162, 72 Stat. 673, 76 Stat. 881, and 93 Stat. 202.
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          (A) To enter into foreign trade agreements with 
        foreign governments or instrumentalities thereof: 
        Provided, That the enactment of the Trade Agreements 
        Extension Act of 1955 shall not be construed to 
        determine or indicate the approval or disapproval by 
        the Congress of the executive agreement known as the 
        General Agreement on Tariffs and Trade.
          (B) To proclaim such modifications of existing duties 
        and other import restrictions, or such additional 
        import restrictions, or such continuance, and for such 
        minimum periods, of existing customs or excise 
        treatment of any article covered by foreign trade 
        agreements, as are required or appropriate to carry out 
        any foreign trade agreement that the President has 
        entered into hereunder.
    (2) No proclamation pursuant to paragraph (1)(B) of this 
subsection shall be made--
          (A) Increasing by more than 50 per centum any rate of 
        duty existing on July 1, 1934; except that a specific 
        rate of duty existing on July 1, 1934, may be converted 
        to its ad valorem equivalent based on the value of 
        imports of the article concerned during the calendar 
        year 1934 (determined in the same manner as provided in 
        subparagraph (D)(ii)) and the proclamation may provide 
        an ad valorem rate of duty not in excess of 50 per 
        centum above such ad valorem equivalent.
          (B) Transferring any article between the dutiable and 
        free lists.
          (C) In order to carry out a foreign trade agreement 
        entered into by the President before June 12, 1955, or 
        with respect to which notice of intention to negotiate 
        was published in the Federal Register on November 16, 
        1954, decreasing by more than 50 per centum any rate of 
        duty existing on January 1, 1945.
          (D) In order to carry out a foreign trade agreement 
        entered into by the President on or after June 12, 
        1955, and before July 1, 1958, decreasing (except as 
        provided in subparagraph (C) of this paragraph) any 
        rate of duty below the lowest of the following rates:
                  (i) The rate 15 per centum below the rate 
                existing on January 1, 1955.
                  (ii) In the case of any article subject to an 
                ad valorem rate of duty above 50 per centum (or 
                a combination of ad valorem rates aggregating 
                more than 50 per centum), the rate 50 per 
                centum ad valorem (or a combination of ad 
                valorem rates aggregating 50 per centum). In 
                the case of any article subject to a specific 
                rate of duty (or a combination of rates 
                including a specific rate) the ad valorem 
                equivalent of which has been determined by the 
                President to have been above 50 per centum 
                during a period determined by the President to 
                be a representative period, the rate 50 per 
                centum ad valorem or the rate (or a combination 
                of rates), however stated, the ad valorem 
                equivalent of which the President determines 
                would have been 50 per centum during such 
                period. The standards of valuation contained in 
                section 402 of this Act (as in effect, with 
                respect to the article concerned, during the 
                representative period) shall be utilized by the 
                President, to the maximum extent he finds such 
                utilization practicable, in making the 
                determinations under the preceding sentence.
          (E) In order to carry out a foreign trade agreement 
        entered into by the President on or after July 1, 1958, 
        decreasing any rate of duty below the lowest of the 
        rates provided for in paragraph (4)(A) of this 
        subsection.
    (3)(A) Subject to the provisions of subparagraphs (B) and 
(C) of this paragraph and of subparagraph (B) of paragraph (4) 
of this subsection, the provisions of any proclamation made 
under paragraph (1)(B) of this subsection, and the provisions 
of any proclamation of suspension under paragraph (5) of this 
subsection, shall be in effect from and after such time as is 
specified in the proclamation.
    (B) In the case of any decrease in duty to which paragraph 
(2)(D) of this subsection applies--
          (i) if the total amount of the decrease under the 
        foreign trade agreement does not exceed 15 per centum 
        of the rate existing on January 1, 1955, the amount of 
        decrease becoming initially effective at one time shall 
        not exceed 5 per centum of the rate existing on January 
        1, 1955;
          (ii) except as provided in clause (i), not more than 
        one-third of the total amount of the decrease under the 
        foreign trade agreement shall become initially 
        effective at one time; and
          (iii) no part of the decrease after the first part 
        shall become initially effective until the immediately 
        previous part shall have been in effect for a period or 
        periods aggregating not less than one year.
    (C) No part of any decrease in duty to which the 
alternative specified in paragraph (2)(D)(i) of this subsection 
applies shall become initially effective after the expiration 
of the three-year period which begins on July 1, 1955. If any 
part of such decrease has become effective, then for purposes 
of this subparagraph any time thereafter during which such part 
of the decrease is not in effect by reason of legislation of 
the United States or action thereunder shall be excluded in 
determining when the three-year period expires.
    (D) If (in order to carry out a foreign trade agreement 
entered into by the President on or after June 12, 1955) the 
President determines that such action will simplify the 
computation of the amount of duty imposed with respect to an 
article, he may exceed any limitation specified in paragraph 
(2) (C) or (D) or paragraph (4) (A) or (B) of this subsection 
or subparagraph (B) of this paragraph by not more than 
whichever of the following is lesser:
          (i) The difference between the limitation and the 
        next lower whole number, or
          (ii) One-half of 1 per centum ad valorem.
In the case of a specific rate (or of a combination of rates 
which includes a specific rate), the one-half of 1 per centum 
specified in clause (ii) of the preceding sentence shall be 
determined in the same manner as the ad valorem equivalent of 
rates not stated wholly in ad valorem terms is determined for 
the purposes of paragraph (2)(D)(ii) of this subsection.
    (4)(A) No proclamation pursuant to paragraph (1)(B) of this 
subsection shall be made, in order to carry out a foreign trade 
agreement entered into by the President on or after July 1, 
1958, decreasing any rate of duty below the lowest of the 
following rates:
          (i) The rate which would result from decreasing the 
        rate existing on July 1, 1958, by 20 per centum of such 
        rate.
          (ii) Subject to paragraph (2)(B) of this subsection, 
        the rate 2 per centum ad valorem below the rate 
        existing on July 1, 1958.
          (iii) The rate 50 per centum ad valorem or, in the 
        case of any article subject to a specific rate of duty 
        or to a combination of rates including a specific rate, 
        any rate (or combination of rates), however stated, the 
        ad valorem equivalent of which has been determined as 
        50 per centum ad valorem.
The provisions of clauses (ii) and (iii) of this subparagraph 
and of subparagraph (B)(ii) of this paragraph shall, in the 
case of any article, subject to a combination of ad valorem 
rates of duty, apply to the aggregate of such rates; and, in 
the case of any article, subject to a specific rate of duty or 
to a combination of rates including a specific rate, such 
provisions shall apply on the basis of the ad valorem 
equivalent of such rate or rates, during a representative 
period (whether or not such period includes July 1, 1958), 
determined in the same manner as the ad valorem equivalent of 
rates not stated wholly in ad valorem terms is determined for 
the purpose of paragraph (2)(D)(ii) of this subsection.
    (B)(i) In the case of any decrease in duty to which clause 
(i) of subparagraph (A) of this paragraph applies, such 
decrease shall become initially effective in not more than four 
annual stages, and no amount of decrease becoming initially 
effective at one time shall exceed 10 per centum of the rate of 
duty existing on July 1, 1958, or, in any case in which the 
rate has been increased since that date, exceed such 10 per 
centum or one-third of the total amount of the decrease under 
the foreign trade agreement, whichever is the greater.
    (ii) In the case of any decrease in duty to which clause 
(ii) of subparagraph (A) of this paragraph applies, such 
decrease shall become initially effective in not more than four 
annual stages, and no amount of decrease becoming initially 
effective at one time shall exceed 1 per centum ad valorem or, 
in any case in which the rate has been increased since July 1, 
1958, exceed such 1 per centum or one-third of the total amount 
of the decrease under the foreign trade agreement, whichever is 
the greater.
    (iii) In the case of any decrease in duty to which clause 
(iii) of subparagraph (A) of this paragraph applies, such 
decrease shall become initially effective in not more than four 
annual stages, and no amount of decrease becoming initially 
effective at one time shall exceed one-third of the total 
amount of the decrease under the foreign trade agreement.
    (C) In the case of any decrease in duty to which 
subparagraph (A) of this paragraph applies (i) no part of a 
decrease after the first part shall become initially effective 
until the immediately previous part shall have been in effect 
for a period or periods aggregating not less than one year, nor 
after the first part shall have been in effect for a period or 
periods aggregating more than three years, and (ii) no part of 
a decrease shall become initially effective after the 
expiration of the four-year period which begins on July 1, 
1962. If any part of a decrease has become effective, then for 
the purposes of clauses (i) and (ii) of the preceding sentence 
any time thereafter during which such part of the decrease is 
not in effect by reason of legislation of the United States or 
action thereunder shall be excluded in determining when the 
three-year period or the four-year period, as the case may be, 
expires.
    (5) \91\ * * * [Repealed--1962]
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    \91\ Sec. 257(b) of Public Law 87-794 (76 Stat. 882) repealed para. 
(5).
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    (6) The President may at any time terminate, in whole or in 
part, any proclamation made pursuant to this section.
    (b) \92\ Cuba; Preferential Customs Treatment: Decrease of 
Rates.--Nothing in this section or the Trade Expansion Act of 
1962 shall be construed to prevent the application, with 
respect to rates of duty established under this section or the 
Trade Expansion Act of 1962 pursuant to agreements with 
countries other than Cuba, of the provisions of the treaty of 
commercial reciprocity concluded between the United States and 
the Republic of Cuba on December 11, 1902, or to preclude 
giving effect to an agreement with Cuba concluded under this 
section, or the Trade Expansion Act of 1962, modifying the 
existing preferential customs treatment of any article the 
growth, produce, or manufacture of Cuba. Nothing in this 
chapter or the Trade Expansion Act of 1962 shall be construed 
to preclude the application to any product of Cuba (including 
products preferentially free of duty) of a rate of not higher 
than the rate applicable to the like products of other foreign 
countries (except the Philippines), whether or not the 
application of such rate involves any preferential customs 
treatment. No rate of duty on products of Cuba shall be 
decreased--
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    \92\ See also Tariff Treatment of Cuban Products (Public Law 87-
456; 76 Stat. 78).
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          (1) In order to carry out a foreign trade agreement 
        entered into by the President before June 12, 1955, by 
        more than 50 per centum of the rate of duty existing on 
        January 1, 1945, with respect to products of Cuba.
          (2) In order to carry out a foreign trade agreement 
        entered into by the President on or after June 12, 
        1955, and before July 1, 1962, below the applicable 
        alternative specified in subsection (a)(2) (C) or (D) 
        or (4)(A) of this section (subject to the applicable 
        provisions of subsection (a)(3) (B), (C), and (D) and 
        (4) (B) and (C) of this section), each such alternative 
        to be read for the purposes of this paragraph as 
        relating to the rate of duty applicable to products of 
        Cuba. With respect to products of Cuba, the limitation 
        of subsection (a)(2)(D)(ii) or (4)(A)(iii) of this 
        section may be exceeded to such extent as may be 
        required to maintain an absolute margin of preference 
        to which such products are entitled.
          (3) In order to carry out a foreign trade agreement 
        entered into after June 30, 1962, and before July 1, 
        1967, below the lowest rate permissible by applying 
        title II of the Trade Expansion Act of 1962 to the rate 
        of duty (however established, and even though 
        temporarily suspended by Act of Congress or otherwise) 
        existing on July 1, 1962, with respect to such product.
    (c) Definitions.--(1) As used in this section, the term 
``duties and other import restrictions'' includes (A) rate and 
form of import duties and classification of articles, and (B) 
limitations, prohibitions, charges, and exactions other than 
duties, imposed on importation or imposed for the regulation of 
imports.
    (2) For purposes of this section--
          (A) Except as provided in subsection (d) of this 
        section, the terms ``existing on July 1, 1934'', 
        ``existing on January 1, 1945'', ``existing on January 
        1, 1955'', and ``existing on July 1, 1958'' refer to 
        rates of duty (however established, and even though 
        temporarily suspended by Act of Congress or otherwise) 
        existing on the date specified, except rates in effect 
        by reason of action taken pursuant to section 1362 of 
        this title.
          (B) The term ``existing'' without the specification 
        of any date, when used with respect to any matter 
        relating to the conclusion of, or proclamation to carry 
        out, a foreign trade agreement, means existing on the 
        day on which that trade agreement is entered into.
    (d) Rate Basis for Additional Increases or Decreases; 
Restoration of Terminated Treaties Forbidden.--(1) When any 
rate of duty has been increased or decreased for the duration 
of war or an emergency, by agreement or otherwise, any further 
increase or decrease shall be computed upon the basis of the 
post-war or post-emergency rate carried in such agreement or 
otherwise.
    (2) Where under a foreign trade agreement the United States 
has reserved the unqualified right to withdraw or modify, after 
the termination of war or an emergency, a rate on a specific 
commodity, the rate on such commodity to be considered as 
``existing on January 1, 1945'' for the purpose of this section 
shall be the rate which would have existed if the agreement had 
not been entered into.
    (3) No proclamation shall be made pursuant to this section 
for the purpose of carrying out any foreign trade agreement the 
proclamation with respect to which has been terminated in whole 
by the President prior to July 5, 1945.
    (e) \93\ * * * [Repealed--1962]
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    \93\ Sec. 257(b) of Public Law 87-794 (76 Stat. 882) repealed 
subsec. (e).
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    (f) Information and Advice From Industry, Agriculture, and 
Labor.--It is declared to be the sense of the Congress that the 
President, during the course of negotiating any foreign trade 
agreement under this section, should seek information and 
advice with respect to such agreement from representatives of 
industry, agriculture, and labor.
          * * * * * * *

SEC. 516A.\94\ JUDICIAL REVIEW IN COUNTERVAILING DUTY AND ANTI-DUMPING 
                    DUTY PROCEEDINGS.

    (a) Review of Determination.--
---------------------------------------------------------------------------
    \94\ 19 U.S.C. 1516a. Sec. 1001 of the Trade Agreements Act of 1979 
(Public Law 96-39; 93 Stat. 300) inserted sec. 516A.
---------------------------------------------------------------------------
          (1) \95\ Review of certain determinations.--Within 30 
        days after the date of publication in the Federal 
        Register of--
---------------------------------------------------------------------------
    \95\ Sec. 623(a)(1) of Public Law 98-573 (98 Stat. 3040) amended 
and restated para. (1). Previously, para. (1) had been amended and 
restated by sec. 608(a) of Public Law 96-417 (94 Stat. 1745). Sec. 
626(b)(2) of Public Law 98-573 further provided that this amendment 
should apply with respect to civil actions pending on, or filed on or 
after, the date of enactment of this Act (Oct. 30, 1984).
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                  (A) a determination by the administering 
                authority, under section 702(c) or 732(c) of 
                this Act, not to initiate an investigation,
                  (B) a determination by the Commission, under 
                section 751(b) of this Act, not to review a 
                determination based upon changed 
                circumstances,\96\
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    \96\ Sec. 220(b)(1) of Public Law 103-465 (108 Stat. 4864) struck 
out ``or'' at the end of subpara. (B), added ``or'' at the end of 
subpara. (C), and added a new subpara. (D).
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                  (C) a negative determination by the 
                Commission, under section 703(a) or 733(a) of 
                this Act, as to whether there is reasonable 
                indication of material injury, threat of 
                material injury, or material retardation, or 
                \96\
                  (D) \96\ a final determination by the 
                administering authority or the Commission under 
                section 751(c)(3),
        an interested party who is a party to the proceeding in 
        connection with which the matter arises may commence an 
        action in the United States Court of International 
        Trade by filing concurrently a summons and complaint, 
        each with the content and in the form, manner, and 
        style prescribed by the rules of that Court, contesting 
        any factual findings or legal conclusions upon which 
        the determination is based.
          (2) Review of determination on record.--
                  (A) In general.--Within thirty days after-- 
                \97\
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    \97\ Sec. 623(a)(2) of Public Law 98-573 (98 Stat. 3040) amended 
subpara. (A) by deleting the words ``the date of publication in the 
Federal Register of'' in the first sentence, and by amending and 
restating clause (i) and (ii). This amendment essentially consolidated 
the previous text of clause (i) and (ii) into a new clause (i) and 
added a new clause (ii). Sec. 626(b)(2) of Public Law 98-573 further 
states that this amendment shall apply with respect to civil actions 
pending on, or filed on or after, the date of enactment of this Act 
(Oct. 30, 1984).
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                          (i) \97\ the date of publication in 
                        the Federal Register of--
                                  (I) notice of any 
                                determination described in 
                                clause (ii), (iii), (iv), (v), 
                                or (viii) \98\ of subparagraph 
                                (B),\99\
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    \98\ Sec. 271(b)(1) of Public Law 103-465 (108 Stat. 4921) struck 
out ``or (v)'' and inserted in lieu thereof ``(v), or (viii)''.
    \99\ Sec. 129(e)(1)(A) of Public Law 103-465 (108 Stat. 4838) 
struck out ``(B), or'' and inserted in lieu thereof ``(B)'' at the end 
of subclause (I), and added subclause (III). Sec. 20(a)(1) of Public 
Law 104-295 (110 Stat. 3526) inserted a comma after ``subparagraph 
(B)''.
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                                  (II) an antidumping or 
                                countervailing duty order based 
                                upon any determination 
                                described in clause (i) of 
                                subparagraph (B), or
                                  (III) \99\ notice of the 
                                implementation of any 
                                determination described in 
                                clause (vii) of subparagraph 
                                (B), or
                          (ii) the date of mailing of a 
                        determination described in clause (vi) 
                        of subparagraph (B),
        an interested party who is a party to the proceeding in 
        connection with which the matter arises may commence an 
        action in the United States Court of International 
        Trade \100\ by filing a summons, and within thirty days 
        thereafter a complaint, each with the content and in 
        the form, manner, and style prescribed by the rules of 
        that court, contesting any factual findings or legal 
        conclusions upon which the determination is based.
---------------------------------------------------------------------------
    \100\ This reference to the Court of International Trade was 
substituted in lieu of a reference to the Customs Court by sec. 601(7) 
of Public Law 96-417 (94 Stat. 1744).
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                  (B) \101\ Reviewable determinations.--The 
                determinations which may be contested under 
                subparagraph (A) as follows:
---------------------------------------------------------------------------
    \101\ Sec. 623(a)(3) of Public Law 98-573 (98 Stat. 3040) amended 
and restated subpara. (B). Sec. 626(b)(2) of Public Law 98-573 further 
provided that this amendment shall apply with respect to civil actions 
pending on, or filed on or after, the date of enactment of this Act 
(Oct. 30, 1984).
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                          (i) Final affirmative determinations 
                        by the administering authority and by 
                        the Commission under section 705 or 735 
                        of this Act, including any negative 
                        part of such a determination (other 
                        than a part referred to in clause 
                        (ii)).
                          (ii) A final negative determination 
                        by the administering authority or the 
                        Commission under section 705 or 735 of 
                        this Act, including, at the option of 
                        the appellant, any part of a final 
                        affirmative determination which 
                        specifically excludes any company or 
                        product.
                          (iii) A final determination, other 
                        than a determination reviewable under 
                        paragraph (1), by the administering 
                        authority or the Commission under 
                        section 751 of this Act.
                          (iv) A determination by the 
                        administering authority, under section 
                        704 or 734 of this Act, to suspend an 
                        antidumping duty or a countervailing 
                        duty investigation, including any final 
                        determination resulting from a 
                        continued investigation which changes 
                        the size of the dumping margin or net 
                        countervailable subsidy \102\ 
                        calculated, or the reasoning underlying 
                        such calculations, at the time the 
                        suspension agreement was concluded.
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    \102\ Sec. 270(a)(1)(N) of Public Law 103-465 (108 Stat. 4917) 
struck out ``subsidy'' and inserted in lieu thereof ``countervailable 
subsidy''.
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                          (v) An injurious effect determination 
                        by the Commission under section 704(h) 
                        or 734(h) of this Act.
                          (vi) A determination by the 
                        administering authority as to whether a 
                        particular type of merchandise is 
                        within the class or kind of merchandise 
                        described in an existing finding of 
                        dumping or antidumping or 
                        countervailing duty order.
                          (vii) \103\ A determination by the 
                        administering authority or the 
                        Commission under section 129 of the 
                        Uruguay Round Agreements Act concerning 
                        a determination under title VII of the 
                        Tariff Act of 1930.
---------------------------------------------------------------------------
    \103\ Sec. 129(e)(1)(B) of Public Law 103-465 (108 Stat. 4838) 
added clause (vii).
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                          (viii) \104\ A determination by the 
                        Commission under section 753(a)(1).
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    \104\ Sec. 271(b)(2) of Public Law 103-465 (108 Stat. 4921) added 
clause (viii).
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          (3) \105\ Exception.--Notwithstanding the limitation 
        imposed by paragraph (2)(A)(i)(II) \106\ of this 
        subsection, a final affirmative determination by the 
        administering authority under section 705 or 735 of 
        this Act may be contested by commencing an action, in 
        accordance with the provisions of paragraph (2)(A), 
        within thirty days after the date of publication in the 
        Federal Register of a final negative determination by 
        the Commission under section 705 or 735 of this Act 
        which is predicated upon the size of either the dumping 
        margin or net subsidy determined to exist.
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    \105\ Sec. 623(a)(4) of Public Law 98-573 (98 Stat. 3041) 
redesignated existing para. (3) as para. (4), and added a new para. 
(3). Sec. 626(b)(2) of Public Law 98-573 further provided that this 
amendment should apply with respect to civil sections pending on, or 
filed on or after, the date of enactment of this Act (Oct. 30, 1984).
    \106\ Sec. 1888(6) of Public Law 99-514 (100 Stat. 2925) 
substituted ``(2)(A)(i)(II)'' in lieu of ``(2)(A)(ii)''.
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          (4) \107\ Procedures and fees.--The procedures and 
        fees set forth in chapter 169 of title 28, United 
        States Code,\101\ apply to an action under this 
        section.
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    \107\ Sec. 608(b) of Public Law 96-417 (94 Stat. 1746) struck out 
``sec. 2632'' and inserted ``chapter 169''. Sec. 2 of Public Law 96-542 
(94 Stat. 3215) further struck out a reference to subsecs. (b), (c), 
and (e) of ch. 169.
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          (5) \108\ Time limits in cases involving merchandise 
        from free trade area countries.--Notwithstanding any 
        other provision of this subsection, in the case of a 
        determination to which the provisions of subsection (g) 
        apply, an action under this subsection may not be 
        commenced, and the time limits for commencing an action 
        under this subsection shall not begin to run, until the 
        day specified in whichever of the following 
        subparagraphs applies:
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    \108\ Sec. 401(a) of the United States-Canada Free-Trade Agreement 
Implementation Act of 1988 (Public Law 100-449; 102 Stat. 1878) 
inserted para. (5). Sec. 411(1) of the NAFTA Implementation Act (Public 
Law 103-182; 107 Stat. 2140) amended and restated the paragraph.
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                  (A) For a determination described in 
                paragraph (1)(B) or clause (i), (ii) or (iii) 
                of paragraph (2)(B), the 31st day after the 
                date on which notice of the determination is 
                published in the Federal Register.
                  (B) For a determination described in clause 
                (vi) of paragraph (2)(B), the 31st day after 
                the date on which the government of the 
                relevant FTA country receives notice of the 
                determination.
                  (C) For a determination with respect to which 
                binational panel review has commenced in 
                accordance with subsection (g)(8), the day 
                after the date as of which--
                          (i) the binational panel has 
                        dismissed binational panel review of 
                        the determination for lack of 
                        jurisdiction, and
                          (ii) any interested party seeking 
                        review of the determination under 
                        paragraph (1), (2), or (3) of this 
                        subsection has provided timely notice 
                        under subsection (g)(3)(B).
                If such an interested party files a summons and 
                complaint under this subsection after dismissal 
                by the binational panel, and if a request for 
                an extraordinary challenge committee is made 
                with respect to the decision by the binational 
                panel to dismiss--
                          (I) judicial review under this 
                        subsection shall be stayed during 
                        consideration by the committee of the 
                        request, and
                          (II) the United States Court of 
                        International Trade shall dismiss the 
                        action if the committee vacates or 
                        remands the binational panel decision 
                        to dismiss.
                  (D) For a determination for which review by 
                the United States Court of International Trade 
                is provided for--
                          (i) under subsection (g)(12)(B), the 
                        day after the date of publication in 
                        the Federal Register of notice that 
                        article 1904 of the NAFTA has been 
                        suspended, or
                          (ii) under subsection (g)(12)(D), the 
                        day after the date that notice of 
                        settlement is published in the Federal 
                        Register.
                  (E) \109\ For a determination described in 
                clause (vii) of paragraph (2)(B), the 31st day 
                after the date on which notice of the 
                implementation of the determination is 
                published in the Federal Register.
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    \109\ Sec. 129(e)(2) of Public Law 103-465 (108 Stat. 4838) added 
subpara. (E).
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    (b) Standards of Review.--
          (1) Remedy.--The court shall hold unlawful any 
        determination, finding, or conclusion found--
                  (A) in an action brought under subparagraph 
                (A), (B), or (C) of subsection (a)(1),\110\ to 
                be arbitrary, capricious, an abuse of 
                discretion, or otherwise not in accordance with 
                law, or
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    \110\ Sec. 220(b)(2)(A) of Public Law 103-465 (108 Stat. 4865) 
struck out ``under paragraph (1) of subsection (a)'' and inserted in 
lieu thereof ``under subparagraph (A), (B), or (C) of subsection 
(a)(1)''.
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                  (B) \111\ (i) in an action brought under 
                paragraph (2) of subsection (a), to be 
                unsupported by substantial evidence on the 
                record, or otherwise not in accordance with 
                law, or \112\
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    \111\ Sec. 220(b)(2)(B)(i) of Public Law 103-465 (108 Stat. 4865) 
struck out ``(B) in an action'' and inserted in lieu thereof ``(B)(i) 
in an action''.
    \112\ Sec. 220(b)(2)(B)(ii) of Public Law 103-465 (108 Stat. 4865) 
struck out a period at the end of subpara. (B), and inserted ``, or''.
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                  (ii) \113\ in an action brought under 
                paragraph (1)(D) of subsection (a), to be 
                arbitrary, capricious, an abuse of discretion, 
                or otherwise not in accordance with law.
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    \113\ Sec. 220(b)(2)(B)(iii) of Public Law 103-465 (108 Stat. 4865) 
added clause (ii).
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          (2) Record for review.--
                  (A) In general.--For the purposes of this 
                subsection, the record, unless otherwise 
                stipulated by the parties, shall consist of--
                          (i) a copy of all information 
                        presented to or obtained by the 
                        Secretary, the administering authority, 
                        or the Commission during the course of 
                        the administrative proceeding, 
                        including all governmental memoranda 
                        pertaining to the case and the record 
                        of ex parte meetings required to be 
                        kept by section 777(a)(3); and
                          (ii) a copy of the determination, all 
                        transcripts or records of conferences 
                        or hearings, and all notices published 
                        in the Federal Register.
                  (B) Confidential or privileged material.--The 
                confidential or privileged status accorded to 
                any documents, comments, or information shall 
                be preserved in any action under this section. 
                Notwithstanding the preceding sentence, the 
                court may examine, in camera, the confidential 
                or privileged material, and may disclose such 
                material under such terms and conditions as it 
                may order.
          (3) \114\ Effect of decisions by nafta or \115\ 
        united states-canada binational panels.--In making a 
        decision in any action brought under subsection (a), a 
        court of the United States is not bound by, but may 
        take into consideration, a final decision of a 
        binational panel or extraordinary challenge committee 
        convened pursuant to article 1904 of the NAFTA or \116\ 
        of the Agreement.''.
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    \114\ Sec. 401(d) of the United States-Canada Free-Trade Agreement 
Implementation Act of 1988 (Public Law 100-449; 102 Stat. 1883) 
inserted para. (3).
    \115\ Sec. 411(2)(A) of the NAFTA Implementation Act (Public Law 
103-182; 107 Stat. 2141) inserted ``nafta or'' in the heading.
    \116\ Sec. 411(2)(B) of the NAFTA Implementation Act (Public Law 
103-182; 107 Stat. 2141) inserted ``of the NAFTA or'' after ``article 
1904''.
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    (c) Liquidation of Entries.--
          (1) Liquidation in accordance with determination.--
        Unless such liquidation is enjoined by the court under 
        paragraph (2) of this subsection, entries of 
        merchandise of the character covered by a determination 
        of the Secretary, the administering authority, or the 
        Commission contested under subsection (a) shall be 
        liquidated in accordance with the determination of the 
        Secretary, the administering authority, or the 
        Commission, if they are entered, or withdrawn from 
        warehouse, for consumption on or before the date of 
        publication in the Federal Register by the Secretary or 
        the administering authority of a notice of a decision 
        of the United States Court of International Trade,\100\ 
        or of the United States Court of Appeals for the 
        Federal Circuit,\117\ not in harmony with that 
        determination. Such notice of a decision shall be 
        published within ten days from the date of the issuance 
        of the court decision.
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    \117\ Reference to the United States Court of Appeals for the 
Federal Circuit was substituted in lieu of a reference to the United 
States Court of Customs and Patent Appeals by sec. 163(a)(2) of the 
Federal Court Improvement Act (Public Law 97-164; 96 Stat. 49).
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          (2) Injunctive relief.--In the case of a 
        determination described in paragraph (2) of subsection 
        (a) by the Secretary, the administering authority, or 
        the Commission, the United States Court of 
        International Trade \100\ may enjoin the liquidation of 
        some or all entries of merchandise covered by a 
        determination of the Secretary, the administering 
        authority, or the Commission, upon a request by an 
        interested party for such relief and a proper showing 
        that the requested relief should be granted under the 
        circumstances.\118\
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    \118\ Sec. 604(c) of Public Law 96-417 (94 Stat. 1746) struck out 
the final sentence in para. (2), which listed factors which the court 
should consider in ruling on a request for injunctive relief.
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          (3) Remand for final disposition.--If the final 
        disposition of an action brought under this section is 
        not in harmony with the published determination of the 
        Secretary, the administering authority, or the 
        Commission, the matter shall be remanded to the 
        Secretary, the administering authority, or the 
        Commission, as appropriate, for disposition consistent 
        with the final disposition of the court.
    (d) Standing.--Any interested party who was a party to the 
proceeding under section 303 of this Act or title VII of this 
Act shall have the right to appear and be heard as a party in 
interest before the United States Court of International 
Trade.\100\ The party filing the action shall notify all such 
interested parties of the filing of an action under this 
section, in the form, manner, style, and within the time 
prescribed by rules of the court.\119\
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    \119\ Sec. 604(d) of Public Law 96-417 (94 Stat. 1746) amended and 
restated this sentence.
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    (e) Liquidation in Accordance With Final Decision.--If the 
cause of action is sustained in whole or in part by a decision 
of the United States Court of International Trade \94\ or of 
the United States Court of Appeals for the Federal Circuit-- 
\111\
          (1) entries of merchandise of the character covered 
        by the published determination of the Secretary, the 
        administering authority, or the Commission, which is 
        entered, or withdrawn from warehouse, for consumption 
        after the date of publication in the Federal Register 
        by the Secretary or the administering authority of a 
        notice of the court decision, and
          (2) entries, the liquidation of which was enjoined 
        under subsection (c)(2),
shall be liquidated in accordance with the final court decision 
in the action. Such notice of the court decision shall be 
published within ten days from the date of the issuance of the 
court decision.
    (f) Definitions.--For purposes of this section--
          (1) Administering authority.--The term 
        ``administering authority'' means the administering 
        authority described in section 771(1) of this Act.
          (2) Commission.--The term ``Commission'' means the 
        United States International Trade Commission.
          (3) Interested party.--The term ``interested party'' 
        means any person described in section 771(9) of this 
        Act.
          (4) Secretary.--The term ``Secretary'' means the 
        Secretary of the Treasury.
          (5) \120\ Agreement.--The term ``Agreement'' means 
        the United States-Canada Free-Trade Agreement.
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    \120\ Sec. 401(b) of the United States-Canada Free-Trade Agreement 
Implementation Act of 1988 (Public Law 100-449; 102 Stat. 1878) added 
paras. (5), (6), and (7). Sec. 411(3)(A) of the NAFTA Implementation 
Act (Public Law 103-182; 107 Stat. 2141) amended and restated paras. 
(6) and (7).
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          (6) \120\ United states secretary.--The term ``United 
        States Secretary'' means--
                  (A) the secretary for the United States 
                Section referred to in article 1908 of the 
                NAFTA, and
                  (B) the secretary of the United States 
                Section provided for in article 1909 of the 
                Agreement.
          (7) \120\ Relevant fta secretary.--The term 
        ``relevant FTA Secretary'' means the Secretary--
                  (A) referred to in article 1908 of the NAFTA, 
                or
                  (B) provided for in paragraph 5 of article 
                1909 of the Agreement,
        of the relevant FTA country.
          (8) \121\ NAFTA.--The term ``NAFTA'' means the North 
        American Free Trade Agreement.
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    \121\ Sec. 411(3)(B) of the NAFTA Implementation Act (Public Law 
103-182; 107 Stat. 2142) added paras. (8), (9), and (10).
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          (9) \121\ Relevant fta country.--The term ``relevant 
        FTA country'' means the free trade area country to 
        which an antidumping or countervailing duty proceeding 
        pertains.
          (10) \121\ Free trade area country.--The term ``free 
        trade area country'' means the following:
                  (A) Canada for such time as the NAFTA is in 
                force with respect to, and the United States 
                applies the NAFTA to, Canada.
                  (B) Mexico for such time as the NAFTA is in 
                force with respect to, and the United States 
                applies the NAFTA to, Mexico.
                  (C) Canada for such time as--
                          (i) it is not a free trade area 
                        country under subparagraph (A); and
                          (ii) the Agreement is in force with 
                        respect to, and the United States 
                        applies the Agreement to, Canada.
  (g) \122\ Review of Countervailing Duty and Antidumping Duty 
Determinations Involving Free Trade Area Country Merchandise.--
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    \122\ Sec. 401(c) of the United States-Canada Free-Trade Agreement 
Implementation Act of 1988 (Public Law 100-449; 102 Stat. 1878) 
inserted subsec. (g). Sec. 411(4)(A) of the NAFTA Implementation Act 
(Public Law 103-182; 107 Stat. 2142) struck out ``Canadian 
Merchandise'' in the subsection heading, and inserted in lieu thereof 
``Free Trade Area Country Merchandise''.
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          (1) Definition of determination.--For purposes of 
        this subsection, the term ``determination'' means a 
        determination described in--
                  (A) paragraph (1)(B) of subsection (a), or
                  (B) clause (i), (ii), (iii), or (vi) of 
                paragraph (2)(B) of subsection (a),
        if made in connection with a proceeding regarding a 
        class or kind of free trade area country 
        merchandise,\123\ as determined by the administering 
        authority.
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    \123\ Sec. 411(4)(B) of the NAFTA Implementation Act (Public Law 
103-182; 107 Stat. 2142) struck out ``Canadian merchandise'' and 
inserted in lieu thereof ``free trade area country merchandise''.
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          (2) Exclusive review of determination by binational 
        panels.--If binational panel review of a determination 
        is requested pursuant to article 1904 of the NAFTA or 
        \124\ of the Agreement, then, except as provided in 
        paragraphs (3) and (4)--
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    \124\ Sec. 411(4)(C) of the NAFTA Implementation Act (Public Law 
103-182; 107 Stat. 2142) inserted ``of the NAFTA or'' after ``article 
1904''.
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                  (A) the determination is not reviewable under 
                subsection (a), and
                  (B) no court of the United States has power 
                or jurisdiction to review the determination on 
                any question of law or fact by an action in the 
                nature of mandamus or otherwise.
          (3) Exception to exclusive binational panel review.--
                  (A) In general.--A determination is 
                reviewable under subsection (a) if the 
                determination sought to be reviewed is--
                          (i) a determination as to which 
                        neither the United States nor the 
                        relevant FTA country \125\ requested 
                        review by a binational panel pursuant 
                        to article 1904 of the NAFTA or \126\ 
                        of the Agreement,
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    \125\ Sec. 411(4)(D)(i) of the NAFTA Implementation Act (Public Law 
103-182; 107 Stat. 2142) struck out ``nor Canada'' and inserted in lieu 
thereof ``nor the relevant FTA country'' in clauses (i) and (ii).
    \126\ Sec. 411(4)(D)(ii) of the NAFTA Implementation Act (Public 
Law 103-182; 107 Stat. 2142) inserted ``of the NAFTA or'' before ``of 
the Agreement'' in clauses (i) and (iii) .
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                          (ii) a revised determination issued 
                        as a direct result of judicial review, 
                        commenced pursuant to subsection (a), 
                        if neither the United States nor the 
                        relevant FTA country \125\ requested 
                        review of the original 
                        determination,\127\
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    \127\ Sec. 134(a)(3)(B) of the Customs and Trade Act of 1990 
(Public Law 101-382; 104 Stat. 650) struck out ``or'' at the end of 
clause (ii); struck out the period at the end of clause (iii), and 
inserted in lieu thereof ``, or''; and added a new clause (iv). In 
subpara. (B), that section inserted ``or (iv)'' after ``subparagraph 
(A)(i)''.
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                          (iii) a determination issued as a 
                        direct result of judicial review that 
                        was commenced pursuant to subsection 
                        (a) prior to the entry into force of 
                        the NAFTA or \126\ of the 
                        Agreement,\128\
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    \128\ Sec. 411(4)(D) of the NAFTA Implementation Act (Public Law 
103-182; 107 Stat. 2142) struck out ``or'' at the end of clause (iii); 
struck out ``under paragraph (2)(A)'' in clause (iv); further amended 
clause (iv) by striking out a period and inserting in lieu thereof a 
comma; and added new clauses (v) and (vi).
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                          (iv) \128\ a determination which a 
                        binational panel has determined \128\ 
                        is not reviewable by the binational 
                        panel,\128\
                          (v) \128\ a determination as to which 
                        binational panel review has terminated 
                        pursuant to paragraph 12 of article 
                        1905 of the NAFTA, or
                          (vi) \128\ a determination as to 
                        which extraordinary challenge committee 
                        review has terminated pursuant to 
                        paragraph 12 of article 1905 of the 
                        NAFTA.
                  (B) Special rule.--A determination described 
                in subparagraph (A)(i) or (iv) is reviewable 
                under subsection (a) only if the party seeking 
                to commence review has provided timely notice 
                of its intent to commence such review to--
                          (i) the United States Secretary and 
                        the relevant FTA Secretary;
                          (ii) all interested parties who were 
                        parties to the proceeding in connection 
                        with which the matter arises; and
                          (iii) the administering authority or 
                        the Commission, as appropriate.
                Such notice is timely provided if the notice is 
                delivered no later than the date that is 20 
                days after the date described in subparagraph 
                (A) or (B) of subsection (a)(5) that is 
                applicable to such determination, except that, 
                if the time for requesting binational panel 
                review is suspended under paragraph (8)(A)(ii) 
                of this subsection, any unexpired time for 
                providing notice of intent to commence judicial 
                review shall, during the pendency of any such 
                suspension, also be suspended.\129\ Such notice 
                shall contain such information, and be in such 
                form, manner, and style, as the administering 
                authority, in consultation with the Commission, 
                shall prescribe by regulations.
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    \129\ Sec. 411(4)(E) of the NAFTA Implementation Act (Public Law 
103-182; 107 Stat. 2143) amended and restated para. (3)(B) to this 
point.
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          (4) Exception to exclusive binational panel review 
        for constitutional issues.--
                  (A) Constitutionality of binational panel 
                review system.--An action for declaratory 
                judgment or injunctive relief, or both, 
                regarding a determination on the grounds that 
                any provision of, or amendment made by, the 
                North American Free Trade Agreement 
                Implementation Act implementing the binational 
                dispute settlement system under chapter 19 of 
                the NAFTA, or \130\ the United States-Canada 
                Free-Trade Agreement Implementation Act of 1988 
                \131\ implementing the binational panel dispute 
                settlement system under chapter 19 of the 
                Agreement,\132\ violates the Constitution may 
                be brought only \133\ in the United States 
                Court of Appeals for the District of Columbia 
                Circuit, which shall have jurisdiction of such 
                action.\134\
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    \130\ Sec. 411(4)(F)(i)(I) of the NAFTA Implementation Act (Public 
Law 103-182; 107 Stat. 2143) inserted ``the North American Free Trade 
Agreement Implementation Act implementing the binational dispute 
settlement system under chapter 19 of the NAFTA, or'' after ``or 
amendment made by,''.
    \131\ Sec. 22 of Public Law 104-295 (110 Stat. 3531) struck out 
``Implementation Agreement Act of 1988'' and inserted in lieu thereof 
``Agreement Implementation Act of 1988''.
    \132\ Sec. 411(4)(F)(i)(II) of the NAFTA Implementation Act (Public 
Law 103-182; 107 Stat. 2143) inserted the comma before ``violates''.
    \133\ Sec. 411(4)(F)(i)(III) of the NAFTA Implementation Act 
(Public Law 103-182; 107 Stat. 2143) inserted ``only'' after ``may be 
brought''.
    \134\ Sec. 411(4)(F)(i)(IV) and (ii) of the NAFTA Implementation 
Act (Public Law 103-182; 107 Stat. 2143) inserted ``, which shall have 
jurisdiction of such action'', after ``Circuit'', and struck out a last 
sentence, which had read as follows: ``Any action brought under this 
subparagraph shall be heard and determined by a 3-judge court in 
accordance with section 2284 of title 28, United States Code.''.
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                  (B) Other constitutional review.--Review is 
                available under subsection (a) with respect to 
                a determination solely concerning a 
                constitutional issue (other than an issue to 
                which subparagraph (A) applies) arising under 
                any law of the United States as enacted or 
                applied. An action for review under this 
                subparagraph shall be assigned to a 3-judge 
                panel of the United States Court of 
                International Trade.
                  (C) Commencement of review.--Notwithstanding 
                the time limits in subsection (a), within 30 
                days after the date of publication in the 
                Federal Register of notice that binational 
                panel review has been completed, an interested 
                party who is a party to the proceeding in 
                connection with which the matter arises may 
                commence an action under subparagraph (A) or 
                (B) by filing an action in accordance with the 
                rules of the court.
                  (D) Transfer of actions to appropriate 
                court.--Whenever an action is filed in a court 
                under subparagraph (A) or (B) and that court 
                finds that the action should have been filed in 
                the other court, the court in which the action 
                was filed shall transfer the action to the 
                other court and the action shall proceed as if 
                it had been filed in the court to which it is 
                transferred on the date upon which it was 
                actually filed in the court from which it is 
                transferred.
                  (E) Frivolous claims.--Frivolous claims 
                brought under subparagraph (A) or (B) are 
                subject to dismissal and sanctions as provided 
                under section 1927 of title 28, United States 
                Code, and the Federal Rules of Civil Procedure.
                  (F) Security.--
                          (i) Subparagraph (a) actions.--The 
                        security requirements of rule 65(c) of 
                        the Federal Rules of Civil Procedure 
                        apply with respect to actions commenced 
                        under subparagraph (A).
                          (ii) Subparagraph (b) actions.--No 
                        claim shall be heard, and no temporary 
                        restraining order or temporary or 
                        permanent injunction shall be issued, 
                        under an action commenced under 
                        subparagraph (B), unless the party 
                        seeking review first files an 
                        undertaking with adequate security in 
                        an amount to be fixed by the court 
                        sufficient to recompense parties 
                        affected for any loss, expense, or 
                        damage caused by the improvident or 
                        erroneous issuance of such order or 
                        injunction. If a court upholds the 
                        constitutionality of the determination 
                        in question in such action, the court 
                        shall award to a prevailing party fees 
                        and expenses, in addition to any costs 
                        incurred by that party, unless the 
                        court finds that the position of the 
                        other party was substantially justified 
                        or that special circumstances make an 
                        award unjust.
                  (G) Panel record.--The record of proceedings 
                before the binational panel shall not be 
                considered part of the record for review 
                pursuant to subparagraph (A) or (B).
                  (H) Appeal to supreme court of court orders 
                issued in subparagraph (a) actions.--
                Notwithstanding any other provision of law, any 
                final judgment of the United States Court of 
                Appeals for the District of Columbia Circuit 
                which is issued pursuant to an action brought 
                under subparagraph (A) shall be reviewable by 
                appeal directly to the Supreme Court of the 
                United States. Any such appeal shall be taken 
                by a notice of appeal filed within 10 days 
                after such order is entered; and the 
                jurisdictional statement shall be filed within 
                30 days after such order is entered. No stay of 
                an order issued pursuant to an action brought 
                under subparagraph (A) may be issued by a 
                single Justice of the Supreme Court.
          (5) Liquidation of entries.--
                  (A) Application.--In the case of a 
                determination for which binational panel review 
                is requested pursuant to article 1904 of the 
                NAFTA or \135\ of the Agreement, the rules 
                provided in this paragraph shall apply, 
                notwithstanding the provisions of subsection 
                (c).
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    \135\ Sec. 411(4)(G)(i) of the NAFTA Implementation Act (Public Law 
103-182; 107 Stat. 2143) inserted ``of the NAFTA or'' after ``article 
1904'' in subparas. (A), (B), and (C)(i).
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                  (B) General rule.--In the case of a 
                determination for which binational panel review 
                is requested pursuant to article 1904 of the 
                NAFTA or \135\ of the Agreement, entries of 
                merchandise covered by such determination shall 
                be liquidated in accordance with the 
                determination of the administering authority or 
                the Commission, if they are entered, or 
                withdrawn from warehouse, for consumption on or 
                before the date of publication in the Federal 
                Register by the administering authority of 
                notice of a final decision of a binational 
                panel, or of an extraordinary challenge 
                committee, not in harmony with that 
                determination. Such notice of a decision shall 
                be published within 10 days of the date of the 
                issuance of the panel or committee decision.
                  (C) Suspension of liquidation.--
                          (i) In general.--Notwithstanding the 
                        provisions of subparagraph (B), in the 
                        case of a determination described in 
                        clause (iii) or (vi) of subsection 
                        (a)(2)(B) for which binational panel 
                        review is requested pursuant to article 
                        1904 of the NAFTA or \129\ of the 
                        Agreement, the administering authority, 
                        upon request of an interested party who 
                        was a party to the proceeding in 
                        connection with which the matter arises 
                        and who is a participant in the 
                        binational panel review, shall order 
                        the continued suspension of liquidation 
                        of those entries of merchandise covered 
                        by the determination that are involved 
                        in the review pending the final 
                        disposition of the review.
                          (ii) Notice.--At the same time as the 
                        interested party makes its request to 
                        the administering authority under 
                        clause (i), that party shall serve a 
                        copy of its request on the United 
                        States Secretary, the relevant FTA 
                        Secretary,\136\ and all interested 
                        parties who were parties to the 
                        proceeding in connection with which the 
                        matter arises.
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    \136\ Sec. 411(4)(G)(ii) of the NAFTA Implementation Act (Public 
Law 103-182; 107 Stat. 2143) struck out ``the Canadian Secretary,'' and 
inserted in lieu thereof ``the relevant FTA Secretary,''.
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                          (iii) Application of suspension.--If 
                        the interested party requesting 
                        continued suspension of liquidation 
                        under clause (i) is a foreign 
                        manufacturer, producer, or exporter, or 
                        a United States importer, the continued 
                        suspension of liquidation shall apply 
                        only to entries of merchandise 
                        manufactured, produced, exported, or 
                        imported by that particular 
                        manufacturer, producer, exporter, or 
                        importer. If the interested party 
                        requesting the continued suspension of 
                        liquidation under clause (i) is an 
                        interested party described in 
                        subparagraph (C), (D), (E), or (F) of 
                        section 771(9), the continued 
                        suspension of liquidation shall apply 
                        only to entries which could be affected 
                        by a decision of the binational panel 
                        convened under chapter 19 of the NAFTA 
                        or \137\ of the Agreement.
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    \137\ Sec. 411(4)(G)(iii) of the NAFTA Implementation Act (Public 
Law 103-182; 107 Stat. 2143) inserted ``of the NAFTA or'' after 
``chapter 19''.
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                          (iv) Judicial review.--Any action 
                        taken by the administering authority or 
                        the United States Customs Service under 
                        this subparagraph shall not be subject 
                        to judicial review, and no court of the 
                        United States shall have power or 
                        jurisdiction to review such action on 
                        any question of law or fact by an 
                        action in the nature of mandamus or 
                        otherwise.
          (6) Injunctive relief.--Except for cases under 
        paragraph (4)(B), in the case of a determination for 
        which binational panel review is requested pursuant to 
        article 1904 of the NAFTA or \138\ of the Agreement, 
        the provisions of subsection (c)(2) shall not apply.
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    \138\ Sec. 411(4)(H) of the NAFTA Implementation Act (Public Law 
103-182; 107 Stat. 2143) inserted ``of the NAFTA or'' after ``article 
1904''.
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          (7) Implementation of international obligations under 
        article 1904 of the nafta or the agreement.-- \139\
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    \139\ Sec. 411(4)(I)(i) of the NAFTA Implementation Act (Public Law 
103-182; 107 Stat. 2143) inserted ``of the nafta or the agreement'' in 
the paragraph heading.
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                  (A) \140\ Action upon remand.--If a 
                determination is referred to a binational panel 
                or extraordinary challenge committee under the 
                NAFTA or \141\ the Agreement and the panel or 
                committee makes a decision remanding the 
                determination to the administering authority or 
                the Commission, the administering authority or 
                the Commission shall, within the period 
                specified by the panel or committee, take 
                action not inconsistent with the decision of 
                the panel or committee. Any action taken by the 
                administering authority or the Commission under 
                this paragraph shall not be subject to judicial 
                review, and no court of the United States shall 
                have power or jurisdiction to review such 
                action on any question of law or fact by an 
                action in the nature of mandamus or otherwise.
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    \140\ Sec. 411(4)(I)(ii) of the NAFTA Implementation Act (Public 
Law 103-182; 107 Stat. 2143) struck out ``In general.--'' in the 
subparagraph heading and inserted in lieu thereof ``Action upon 
remand.--''
    \141\ Sec. 411(4)(I)(iii) of the NAFTA Implementation Act (Public 
Law 103-182; 107 Stat. 2143) inserted ``the NAFTA or'' before ``the 
Agreement'' in subpara. (A).
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                  (B) Application if subparagraph (a) held 
                unconstitutional.--In the event that the 
                provisions of subparagraph (A) are held 
                unconstitutional under the provisions of 
                subparagraphs (A) and (H) of paragraph (4), the 
                provisions of this subparagraph shall take 
                effect. In such event, the President is 
                authorized on behalf of the United States to 
                accept, as a whole, the decision of a 
                binational panel or extraordinary challenge 
                committee remanding the determination to the 
                administering authority or the Commission 
                within the period specified by the panel or 
                committee. Upon acceptance by the President of 
                such a decision, the administering authority or 
                the Commission shall, within the period 
                specified by the panel or committee, take 
                action not inconsistent with such decision. Any 
                action taken by the President, the 
                administering authority, or the Commission 
                under this subparagraph shall not be subject to 
                judicial review, and no court of the United 
                States shall have power or jurisdiction to 
                review such action on any question of law or 
                fact by an action in the nature of mandamus or 
                otherwise.
          (8) Requests for binational panel review.--
                  (A) Interested party requests for binational 
                panel review.--
                          (i) \142\ General rule.--An 
                        interested party who was a party to the 
                        proceeding in which a determination is 
                        made may request binational panel 
                        review of such determination by filing 
                        a request with the United States 
                        Secretary by no later than the date 
                        that is 30 days after the date 
                        described in subparagraph (A), (B), or 
                        (E) \143\ of subsection (a)(5) that is 
                        applicable to such determination. 
                        Receipt of such request by the United 
                        States Secretary shall be deemed to be 
                        a request for binational panel review 
                        within the meaning of article 1904(4) 
                        of the Agreement. Such request shall 
                        contain such information and be in such 
                        form, manner, and style as the 
                        administering authority, in 
                        consultation with the Commission, shall 
                        prescribe by regulations.
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    \142\ Sec. 411(4)(J) of the NAFTA Implementation Act (Public Law 
103-182; 107 Stat. 2144) realigned the text of (8)(A) to create clause 
(i), added ``(i) General rule.--'', inserted ``of the NAFTA or'' after 
``article 1904(4)'', and added a new clause (ii).
    \143\ Sec. 129(e)(3) of Public Law 103-465 (108 Stat. 4839) struck 
out ``subparagraph (A) or (B)'' and inserted in lieu thereof 
``subparagraph (A), (B), or (E)''.
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                          (ii) \142\ Suspension of time to 
                        request binational panel review under 
                        the nafta.--Notwithstanding clause (i), 
                        the time for requesting binational 
                        panel review shall be suspended during 
                        the pendency of any stay of binational 
                        panel review that is issued pursuant to 
                        paragraph 11(a) of article 1905 of the 
                        NAFTA.
                  (B) Service of request for binational panel 
                review.--
                          (i) Service by interested party.--If 
                        a request for binational panel review 
                        of a determination is filed under 
                        subparagraph (A), the party making the 
                        request shall serve a copy, by mail or 
                        personal service, on any other 
                        interested party who was a party to the 
                        proceeding in connection with which the 
                        matter arises, and on the administering 
                        authority or the Commission, as 
                        appropriate.
                          (ii) Service by united states 
                        secretary.--If an interested party to 
                        the proceeding requests binational 
                        panel review of a determination by 
                        filing a request with the relevant FTA 
                        Secretary,\144\ the United States 
                        Secretary shall serve a copy of the 
                        request by mail on any other interested 
                        party who was a party to the proceeding 
                        in connection with which the matter 
                        arises, and on the administering 
                        authority or the Commission, as 
                        appropriate.
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    \144\ Sec. 411(4)(K) of the NAFTA Implementation Act (Public Law 
103-182; 107 Stat. 2144) struck out ``Canadian Secretary,'' and 
inserted in lieu thereof ``relevant FTA Secretary,''.
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                  (C) Limitation on request for binational 
                panel review.--Absent a request by an 
                interested party under subparagraph (A), the 
                United States may not request binational panel 
                review of a determination under article 1904 of 
                the NAFTA or the Agreement.\145\
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    \145\ Sec. 411(4)(L) of the NAFTA Implementation Act (Public Law 
103-182; 107 Stat. 2144) struck out ``under article 1904 of the 
Agreement of a determination'' and inserted in lieu thereof ``of a 
determination under article 1904 of the NAFTA or the Agreement''.
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          (9) Representation in panel proceedings.--In the case 
        of binational panel proceedings convened under chapter 
        19 of the NAFTA or \146\ of the Agreement, the 
        administering authority and the Commission shall be 
        represented by attorneys who are employees of the 
        administering authority or the Commission, 
        respectively. Interested parties who were parties to 
        the proceeding in connection with which the matter 
        arises shall have the right to appear and be 
        represented by counsel before the binational panel.
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    \146\ Sec. 411(4)(M) of the NAFTA Implementation Act (Public Law 
103-182; 107 Stat. 2144) inserted ``of the NAFTA or'' after ``chapter 
19''.
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          (10) Notification of class or kind rulings.--In the 
        case of a determination which is described in paragraph 
        (2)(B)(vi) of subsection (a) and which is subject to 
        the provisions of paragraph (2), the administering 
        authority, upon request, shall inform any interested 
        person of the date on which the Government of the 
        relevant FTA country received notice of the 
        determination under paragraph 4 of article 1904 of the 
        NAFTA or the Agreement.\147\
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    \147\ Sec. 411(4)(N) of the NAFTA Implementation Act (Public Law 
103-182; 107 Stat. 2144) struck out ``Government of Canada received 
notice of the determination under article 1904(4) of the Agreement.'' 
and inserted in lieu thereof ``Government of the relevant FTA country 
received notice of the determination under paragraph 4 of article 1904 
of the NAFTA or the Agreement.''.
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          (11) \148\ Suspension and termination of suspension 
        of article 1904 of the nafta.--
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    \148\ Sec. 411(4)(O) of the NAFTA Implementation Act (Public Law 
103-182; 107 Stat. 2144) added paras. (11) and (12).
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                  (A) Suspension of article 1904.--If a special 
                committee established under article 1905 of the 
                NAFTA issues an affirmative finding, the Trade 
                Representative may, in accordance with 
                paragraph 8(a) or 9, as appropriate, of article 
                1905 of the NAFTA, suspend the operation of 
                article 1904 of the NAFTA.
                  (B) Termination of suspension of article 
                1904.--If a special committee is reconvened and 
                makes an affirmative determination described in 
                paragraph 10(b) of article 1905 of the NAFTA, 
                any suspension of the operation of article 1904 
                of the NAFTA shall terminate.
          (12) \148\ Judicial review upon termination of 
        binational panel or committee review under the nafta.--
                  (A) Notice of suspension or termination of 
                suspension of article 1904.--
                          (i) Upon notification by the Trade 
                        Representative or the Government of a 
                        country described in subsection (f)(10) 
                        (A) or (B) that the operation of 
                        article 1904 of the NAFTA has been 
                        suspended in accordance with paragraph 
                        8(a) or 9 of article 1905 of the NAFTA, 
                        the United States Secretary shall 
                        publish in the Federal Register a 
                        notice of suspension of article 1904 of 
                        the NAFTA.
                          (ii) Upon notification by the Trade 
                        Representative or the Government of a 
                        country described in subsection (f)(10) 
                        (A) or (B) that the suspension of the 
                        operation of article 1904 of the NAFTA 
                        is terminated in accordance with 
                        paragraph 10 of article 1905 of the 
                        NAFTA, the United States Secretary 
                        shall publish in the Federal Register a 
                        notice of termination of suspension of 
                        article 1904 of the NAFTA.
                  (B) Transfer of final determinations for 
                judicial review upon suspension of article 
                1904.--If the operation of article 1904 of the 
                NAFTA is suspended in accordance with paragraph 
                8(a) or 9 of article 1905 of the NAFTA--
                          (i) upon the request of an authorized 
                        person described in subparagraph (C), 
                        any final determination that is the 
                        subject of a binational panel review or 
                        an extraordinary challenge committee 
                        review shall be transferred to the 
                        United States Court of International 
                        Trade (in accordance with rules issued 
                        by the Court) for review under 
                        subsection (a); or
                          (ii) in a case in which--
                                  (I) a binational panel review 
                                was completed fewer than 30 
                                days before the suspension, and
                                  (II) extraordinary challenge 
                                committee review has not been 
                                requested,
                        upon the request of an authorized 
                        person described in subparagraph (C) 
                        which is made within 60 days after the 
                        completion of the binational panel 
                        review, the final determination that 
                        was the subject of the binational panel 
                        review shall be transferred to the 
                        United States Court of International 
                        Trade (in accordance with rules issued 
                        by the Court) for review under 
                        subsection (a).
                  (C) Persons authorized to request transfer of 
                final determinations for judicial review.--A 
                request that a final determination be 
                transferred to the Court of International Trade 
                under subparagraph (B) may be made by--
                          (i) if the United States made an 
                        allegation under paragraph 1 of article 
                        1905 of the NAFTA and the operation of 
                        article 1904 of the NAFTA was suspended 
                        pursuant to paragraph 8(a) of article 
                        1905 of the NAFTA--
                                  (I) the government of the 
                                relevant country described in 
                                subsection (f)(10) (A) or (B),
                                  (II) an interested party that 
                                was a party to the panel or 
                                committee review, or
                                  (III) an interested party 
                                that was a party to the 
                                proceeding in connection with 
                                which panel review was 
                                requested, but only if the time 
                                period for filing notices of 
                                appearance in the panel review 
                                has not expired, or
                          (ii) if a country described in 
                        subsection (f)(10) (A) or (B) made an 
                        allegation under paragraph 1 of article 
                        1905 of the NAFTA and the operation of 
                        article 1904 of the NAFTA was suspended 
                        pursuant to paragraph 9 of article 1905 
                        of the NAFTA--
                                  (I) the government of that 
                                country,
                                  (II) an interested party that 
                                is a person of that country and 
                                that was a party to the panel 
                                or committee review, or
                                  (III) an interested party 
                                that is a person of that 
                                country and that was a party to 
                                the proceeding in connection 
                                with which panel review was 
                                requested, but only if the time 
                                period for filing notices of 
                                appearance in the panel review 
                                has not expired.
                  (D) Transfer for judicial review upon 
                settlement.--(i) \149\ If the Trade 
                Representative achieves a settlement with the 
                government of a country described in subsection 
                (f)(10) (A) or (B) pursuant to paragraph 7 of 
                article 1905 of the NAFTA, and referral for 
                judicial review is among the terms of such 
                settlement, any final determination that is the 
                subject of a binational panel review or an 
                extraordinary challenge committee review shall, 
                upon a request described in clause (ii), be 
                transferred to the United States Court of 
                International Trade (in accordance with rules 
                issued by the Court) for review under 
                subsection (a).
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    \149\ Sec. 21(c)(3) of Public Law 104-295 (110 Stat. 3530) moved 
the clause designation ``(i)'' from immediately after ``(D)'' to 
immediately preceding ``If the Trade Representative''.
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                  (ii) A request referred to in clause (i) is a 
                request made by--
                          (I) the country referred to in clause 
                        (i),
                          (II) an interested party that was a 
                        party to the panel or committee review, 
                        or
                          (III) an interested party that was a 
                        party to the proceeding in connection 
                        with which panel review was requested, 
                        but only if the time for filing notices 
                        of appearance in the panel review has 
                        not expired.
          * * * * * * *

         TITLE VII--COUNTERVAILING AND ANTIDUMPING DUTIES \150\

            Subtitle A--Imposition of Countervailing Duties

SEC. 701.\151\ COUNTERVAILING DUTIES IMPOSED.

    (a) \152\ General Rule.--If--
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    \150\ Sec. 101 of the Trade Agreements Act of 1979 (Public Law 96-
39; 93 Stat. 150) inserted Title VII.
    \151\ 19 U.S.C. 1671.
    \152\ Sec. 262 of Public Law 103-465 (108 Stat. 4910) amended and 
restated subsecs. (a), (b), and (c).
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          (1) the administering authority determines that the 
        government of a country or any public entity within the 
        territory of a country is providing, directly or 
        indirectly, a countervailable subsidy with respect to 
        the manufacture, production, or export of a class or 
        kind of merchandise imported, or sold (or likely to be 
        sold) for importation, into the United States, and
          (2) in the case of merchandise imported from a 
        Subsidies Agreement country, the Commission determines 
        that--
                  (A) an industry in the United States--
                          (i) is materially injured, or
                          (ii) is threatened with material 
                        injury, or
                  (B) the establishment of an industry in the 
                United States is materially retarded,
        by reason of imports of that merchandise or by reason 
        of sales (or the likelihood of sales) of that 
        merchandise for importation,
then there shall be imposed upon such merchandise a 
countervailing duty, in addition to any other duty imposed, 
equal to the amount of the net countervailable subsidy. For 
purposes of this subsection and section 705(b)(1), a reference 
to the sale of merchandise includes the entering into of any 
leasing arrangement regarding the merchandise that is 
equivalent to the sale of the merchandise.
    (b) Subsidies Agreement Country.--For purposes of this 
title, the term ``Subsidies Agreement country'' means--
          (1) a WTO member country,
          (2) a country which the President has determined has 
        assumed obligations with respect to the United States 
        which are substantially equivalent to the obligations 
        under the Subsidies Agreement, or
          (3) a country with respect to which the President 
        determines that--
                  (A) there is an agreement in effect between 
                the United States and that country which--
                          (i) was in force on the date of the 
                        enactment of the Uruguay Round 
                        Agreements Act, and
                          (ii) requires unconditional most-
                        favored-nation treatment with respect 
                        to articles imported into the United 
                        States, and
                  (B) the agreement described in subparagraph 
                (A) does not expressly permit--
                          (i) actions required or permitted by 
                        the GATT 1947 or GATT 1994, as defined 
                        in section 2(1) of the Uruguay Round 
                        Agreements Act, or required by the 
                        Congress, or
                          (ii) nondiscriminatory prohibitions 
                        or restrictions on importation which 
                        are designed to prevent deceptive or 
                        unfair practices.
    (c) Countervailing Duty Investigations Involving Imports 
Not Entitled to a Material Injury Determination.--In the case 
of any article or merchandise imported from a country which is 
not a Subsidies Agreement country--
          (1) no determination by the Commission under section 
        703(a), 704, or 705(b) shall be required,
          (2) an investigation may not be suspended under 
        section 704(c) or 704(l),
          (3) no determination as to the presence of critical 
        circumstances shall be made under section 703(e) or 
        705(a)(2),
          (4) section 706(c) shall not apply,
          (5) any reference to a determination described in 
        paragraph (1) or (3), or to the suspension of an 
        investigation under section 704(c) or 704(l), shall be 
        disregarded, and
          (6) section 751(c) shall not apply.
    (d) \153\ Treatment of International Consortia.--For 
purposes of this subtitle, if the members (or other 
participating entities) of an international consortium that is 
engaged in the production of subject merchandise \154\ receive 
countervailable subsidies \155\ from their respective home 
countries to assist, permit, or otherwise enable their 
participation in that consortium through production or 
manufacturing operations in their respective home countries, 
then the administering authority shall cumulate all such 
countervailable subsidies,\155\ as well as countervailable 
subsidies \155\ provided directly to the international 
consortium, in determining any countervailing duty upon such 
merchandise.
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    \153\ Sec. 1315 of Public Law 100-418 (102 Stat. 1185) added 
subsec. (d). Sec. 1337(b) of the Act further provided that the 
amendments made by sec. 1315 should only apply with respect to 
investigations initiated after the date of enactment of that Act, and 
to reviews initiated under sec. 736(c) or 751 of the Tariff Act of 1930 
after the date of enactment of that Act.
    \154\ Sec. 233(a)(5)(A) of Public Law 103-465 (108 Stat. 4899) 
struck out ``a class or kind of merchandise subject to a countervailing 
duty investigation'' and inserted in lieu thereof ``subject 
merchandise''.
    \155\ Sec. 270(b)(1)(A) of Public Law 103-465 (108 Stat. 4917) 
struck out ``subsidies'' and inserted in lieu thereof ``countervailable 
subsidies''.
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    (e) \156\ Upstream Subsidy.--Whenever the administering 
authority has reasonable grounds to believe or suspect that an 
upstream subsidy, as defined in section 771A(a)(1), is being 
paid or bestowed, the administering authority shall investigate 
whether an upstream subsidy has in fact been paid or bestowed, 
and if so, shall include the amount of the upstream subsidy as 
provided in section 771A(a)(3).
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    \156\ Subsec. (e), originally added as subsec. (g) by sec. 613(b) 
of Public Law 98-573 (98 Stat. 1973) added subsec. (e), which was 
originally designated subsec. (g). Sec. 1886(a)(1)(B) of Public Law 99-
514 (100 Stat. 2921) amended and redesignated the subsection as subsec. 
(c), Subsequently, sec. 1314 of Public Law 100-418 (102 Stat. 1185) 
redesignated the subsection as subsec. (d). Sec. 1315 of Public Law 
100-418 redesignated the subsection as subsec. (e).
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    (f) \157\ * * * [Repealed--1994]
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    \157\ Sec. 261(d)(1)(B)(iii) of Public Law 103-465 (108 Stat. 4910) 
repealed subsec. (f), which provided a cross-reference to former sec. 
303.
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SEC. 702.\158\ PROCEDURES OF INITIATING A COUNTERVAILING DUTY 
                    INVESTIGATION.

    (a) Initiation by Administering Authority.--A 
countervailing duty investigation shall be initiated \159\ 
whenever the administering authority determines, from 
information available to it, that a formal investigation is 
warranted into the question of whether the elements necessary 
for the imposition of a duty under section 701(a) exist.
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    \158\ 19 U.S.C. 1671a. Sec. 626(c) of Public Law 98-573 (98 Stat. 
3042) further provided the following:
    ``(c)(1) No provision of title VII of the Tariff Act of 1930 shall 
be interpreted to prevent the refiling of a petition under section 702 
or 732 of that title that was filed before the data of the enactment of 
this title, if the purpose of such refiling is to avail the petitioner 
of the amendment made by section 612(a)(1).
    ``(2) The amendment made by section 612(a)(1) shall not apply with 
respect to petitions filed (or refiled under paragraph (1)) under 
section 702 or 732 of the Tariff Act of 1930 after September 30, 
1986.''.
    Sec. 612(a)(1) of Public Law 98-573 amended sec. 771(4)(A) of this 
Act.
    \159\ Sec. 233(a)(6)(A) of Public Law 103-465 (108 Stat. 4901) 
struck out ``commenced'' and inserted in lieu thereof ``initiated''.
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    (b) Initiation by Petition.--
          (1) Petition requirements.--A countervailing duty 
        proceeding shall be initiated \158\ whenever an 
        interested party described in subparagraph (C), (D), 
        (E), (F), or (G) \160\ of section 771(9) files a 
        petition with the administering authority, on behalf of 
        an industry, which alleges the elements necessary for 
        the imposition of the duty imposed by section 701(a), 
        and which is accompanied by information reasonably 
        available to the petitioner supporting those 
        allegations. The petition may be amended at such time, 
        and upon such conditions, as the administering 
        authority and the Commission may permit.
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    \160\ Sec. 1326(d)(1) of Public Law 100-418 (102 Stat. 1203) added 
the reference to subpara. (G). Previously, sec. 1886(a)(2) of Public 
Law 99-514 (100 Stat. 2921) added the reference to subpara. (F).
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          (2) Simultaneous filing with commission.--The 
        petitioner shall file a copy of the petition with the 
        Commission on the same day as it is filed with the 
        administering authority.
          (3) \161\ Petition based upon a derogation of an 
        international undertaking on official export credits.--
        If the sole basis of a petition filed under paragraph 
        (1) \162\ is the derogation of an international 
        undertaking on official export credits, the 
        Administering Authority shall immediately notify the 
        Secretary of the Treasury who shall, in consultation 
        with the Administering Authority, within 5 days after 
        the date on which the administering authority initiates 
        an investigation under subsection (c) \163\ determine 
        the existence and estimated value of the derogation, if 
        any, and shall publish such determination in the 
        Federal Register.
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    \161\ Sec. 650(a) of the Export-Import Bank Act Amendments of 1983 
(title VI of Public Law 98-181; 97 Stat. 1266) added para. (3).
    \162\ Sec. 211(a)(1) of Public Law 103-465 (108 Stat. 4842) struck 
out ``subsection 702(b)(1)'' and inserted in lieu thereof ``paragraph 
(1)''.
    \163\ Sec. 212(b)(1)(E) of Public Law 103-465 (108 Stat. 4848) 
struck out ``twenty days'' and inserted in lieu thereof ``5 days after 
the date on which the administering authority initiates an 
investigation under subsection (c)''.
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          (4) \164\ Action with respect to petitions.--
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    \164\ Sec. 211(a)(2) of Public Law 103-465 (108 Stat. 4842) added 
para. (4).
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                  (A) Notification of governments.--Upon 
                receipt of a petition filed under paragraph 
                (1), the administering authority shall--
                          (i) notify the government of any 
                        exporting country named in the petition 
                        by delivering a public version of the 
                        petition to an appropriate 
                        representative of such country; and
                          (ii) provide the government of any 
                        exporting country named in the petition 
                        that is a Subsidies Agreement country 
                        an opportunity for consultations with 
                        respect to the petition.
                  (B) Acceptance of communications.--The 
                administering authority shall not accept any 
                unsolicited oral or written communication from 
                any person other than an interested party 
                described in section 771(9) (C), (D), (E), (F), 
                or (G) before the administering authority makes 
                its decision whether to initiate an 
                investigation, except as provided in 
                subparagraph (A)(ii) and subsection (c)(4)(D), 
                and except for inquiries regarding the status 
                of the administering authority's consideration 
                of the petition.
                  (C) Nondisclosure of certain information.--
                The administering authority and the Commission 
                shall not disclose information with regard to 
                any draft petition submitted for review and 
                comment before it is filed under paragraph (1).
    (c) \165\ Petition Determination.--
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    \165\ Sec. 212(a)(1) of Public Law 103-465 (108 Stat. 4843) amended 
and restated subsec. (c).
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          (1) In general.--
                  (A) Time for initial determination.--Except 
                as provided in subparagraph (B), within 20 days 
                after the date on which a petition is filed 
                under subsection (b), the administering 
                authority shall--
                          (i) after examining, on the basis of 
                        sources readily available to the 
                        administering authority, the accuracy 
                        and adequacy of the evidence provided 
                        in the petition, determine whether the 
                        petition alleges the elements necessary 
                        for the imposition of a duty under 
                        section 701(a) and contains information 
                        reasonably available to the petitioner 
                        supporting the allegations, and
                          (ii) determine if the petition has 
                        been filed by or on behalf of the 
                        industry.
                  (B) Extension of time.--In any case in which 
                the administering authority is required to poll 
                or otherwise determine support for the petition 
                by the industry under paragraph (4)(D), the 
                administering authority may, in exceptional 
                circumstances, apply subparagraph (A) by 
                substituting ``a maximum of 40 days'' for ``20 
                days''.
                  (C) Time limits where petition involves same 
                merchandise as an order that has been 
                revoked.--If a petition is filed under this 
                section with respect to merchandise that was 
                the subject merchandise of--
                          (i) a countervailing duty order that 
                        was revoked under section 751(d) in the 
                        24 months preceding the date the 
                        petition is filed, or
                          (ii) a suspended investigation that 
                        was terminated under section 751(d) in 
                        the 24 months preceding the date the 
                        petition is filed,
                the administering authority and the Commission 
                shall, to the maximum extent practicable, 
                expedite any investigation initiated under this 
                section with respect to the petition.
          (2) Affirmative determinations.--If the 
        determinations under clauses (i) and (ii) of paragraph 
        (1)(A) are affirmative, the administering authority 
        shall initiate an investigation to determine whether a 
        countervailable subsidy is being provided with respect 
        to the subject merchandise.
          (3) Negative determinations.--If the determination 
        under clause (i) or (ii) of paragraph (1)(A) is 
        negative, the administering authority shall dismiss the 
        petition, terminate the proceeding, and notify the 
        petitioner in writing of the reasons for the 
        determination.
          (4) Determination of industry support.--
                  (A) General rule.--For purposes of this 
                subsection, the administering authority shall 
                determine that the petition has been filed by 
                or on behalf of the industry, if--
                          (i) the domestic producers or workers 
                        who support the petition account for at 
                        least 25 percent of the total 
                        production of the domestic like 
                        product, and
                          (ii) the domestic producers or 
                        workers who support the petition 
                        account for more than 50 percent of the 
                        production of the domestic like product 
                        produced by that portion of the 
                        industry expressing support for or 
                        opposition to the petition.
                  (B) Certain positions disregarded.--
                          (i) Producers related to foreign 
                        producers.--In determining industry 
                        support under subparagraph (A), the 
                        administering authority shall disregard 
                        the position of domestic producers who 
                        oppose the petition, if such producers 
                        are related to foreign producers, as 
                        defined in section 771(4)(B)(ii), 
                        unless such domestic producers 
                        demonstrate that their interests as 
                        domestic producers would be adversely 
                        affected by the imposition of a 
                        countervailing duty order.
                          (ii) Producers who are importers.--
                        The administering authority may 
                        disregard the position of domestic 
                        producers of a domestic like product 
                        who are importers of the subject 
                        merchandise.
                  (C) Special rule for regional industries.--If 
                the petition alleges that the industry is a 
                regional industry, the administering authority 
                shall determine whether the petition has been 
                filed by or on behalf of the industry by 
                applying subparagraph (A) on the basis of 
                production in the region.
                  (D) Polling the industry.--If the petition 
                does not establish support of domestic 
                producers or workers accounting for more than 
                50 percent of the total production of the 
                domestic like product, the administering 
                authority shall--
                          (i) poll the industry or rely on 
                        other information in order to determine 
                        if there is support for the petition as 
                        required by subparagraph (A), or
                          (ii) if there is a large number of 
                        producers in the industry, the 
                        administering authority may determine 
                        industry support for the petition by 
                        using any statistically valid sampling 
                        method to poll the industry.
                  (E) Comments by interested parties.--Before 
                the administering authority makes a 
                determination with respect to initiating an 
                investigation, any person who would qualify as 
                an interested party under section 771(9) if an 
                investigation were initiated, may submit 
                comments or information on the issue of 
                industry support. After the administering 
                authority makes a determination with respect to 
                initiating an investigation, the determination 
                regarding industry support shall not be 
                reconsidered.
          (5) Definition of domestic producers or workers.--For 
        purposes of this subsection, the term ``domestic 
        producers or workers'' means those interested parties 
        who are eligible to file a petition under subsection 
        (b)(1).\166\
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    \166\ Sec. 20(b)(3) of Public Law 104-295 (110 Stat. 3527) struck 
out ``(b)(1)(A)'' and inserted in lieu thereof ``(b)(1)''.
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    (d) Notification to Commission of Determination.--The 
administering authority shall--
          (1) notify the Commission immediately of any 
        determination it makes under subsection (a) or (c), and
          (2) if the determination is affirmative, make 
        available to the Commission such information as it may 
        have relating to the matter under investigation, under 
        such procedures as the administering authority and the 
        Commission may establish to prevent disclosure, other 
        than with the consent of the party providing it or 
        under protective order, of any information to which 
        confidential treatment has been given by the 
        administering authority.
  (e) \167\ Information Regarding Critical Circumstances.--If, 
at any time after the initiation of an investigation under this 
subtitle, the administering authority finds a reasonable basis 
to suspect that the alleged countervailable subsidy \168\ is 
inconsistent with the Subsidies Agreement,\169\ the 
administering authority may request the Commissioner of Customs 
to compile information on an expedited basis regarding entries 
of the subject merchandise.\170\ Upon receiving such request, 
the Commissioner of Customs shall collect information regarding 
the volume and value of entries of the subject merchandise 
\170\ and shall transmit such information to the administering 
authority at such times as the administering authority shall 
direct (at least once every 30 days), until a final 
determination is made under section 705(a), the investigation 
is terminated, or the administering authority withdraws the 
request.
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    \167\ Subsec. (e) was added by sec. 1324(a) Public Law 100-418 (102 
Stat. 1199). Sec. 1337(c) of that Act further stated that the 
amendments made by sec. 1324 shall only apply with respect to 
investigations initiated after the date of enactment of that Act.
    \168\ Sec. 270(a)(1)(A) of Public Law 103-465 (108 Stat. 4917) 
struck out ``subsidy'' and inserted in lieu thereof ``countervailable 
subsidy''.
    \169\ Sec. 270(d) of Public Law 103-465 (108 Stat. 4918) struck out 
``Agreement'' and inserted in lieu thereof ``Subsidies Agreement''.
    \170\ Sec. 233(a)(5)(B) of Public Law 103-465 (108 Stat. 4899) 
struck out ``class or kind of merchandise that is the subject of the 
investigation'' each place it appeared and inserted in lieu thereof 
``subject merchandise''.
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SEC. 703.\171\ PRELIMINARY DETERMINATIONS.

    (a) \172\ Determination by Commission of Reasonable 
Indication of Injury.--
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    \171\ 19 U.S.C. 1671b.
    \172\ Sec. 212(b)(1)(A) of Public Law 103-465 (108 Stat. 4847) 
amended and restated subsec. (a).
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          (1) General rule.--Except in the case of a petition 
        dismissed by the administering authority under section 
        702(c)(3), the Commission, within the time specified in 
        paragraph (2), shall determine, based on the 
        information available to it at the time of the 
        determination, whether there is a reasonable indication 
        that--
                  (A) an industry in the United States--
                          (i) is materially injured, or
                          (ii) is threatened with material 
                        injury, or
                  (B) the establishment of an industry in the 
                United States is materially retarded, by reason 
                of imports of the subject merchandise and that 
                imports of the subject merchandise are not 
                negligible. If the Commission finds that 
                imports of the subject merchandise are 
                negligible or otherwise makes a negative 
                determination under this paragraph, the 
                investigation shall be terminated.
          (2) Time for commission determination.--The 
        Commission shall make the determination described in 
        paragraph (1)--
                  (A) in the case of a petition filed under 
                section 702(b)--
                          (i) within 45 days after the date on 
                        which the petition is filed, or
                          (ii) if the time has been extended 
                        pursuant to section 702(c)(1)(B), 
                        within 25 days after the date on which 
                        the Commission receives notice from the 
                        administering authority of initiation 
                        of the investigation, and
                  (B) in the case of an investigation initiated 
                under section 702(a), within 45 days after the 
                date on which the Commission receives notice 
                from the administering authority that an 
                investigation has been initiated under such 
                section.
    (b)(1) \173\ Preliminary Determination by Administering 
Authority.--Within 65 days after the date on which the 
administering authority initiates an investigation under 
section 702(c) \174\, or an investigation is initiated \175\ 
under section 702(a), but not before an affirmative 
determination by the Commission under subsection (a) of this 
section, the administering authority shall make a 
determination, based on the information \176\ available to it 
at the time of the determination, of whether there is a 
reasonable basis to believe or suspect that a countervailable 
subsidy \177\ is being provided with respect to the subject 
merchandise.\178\
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    \173\ Sec. 650(b) of the Export-Import Bank Act Amendments of 1983 
(Public Law 98-181; 97 Stat. 1266) added the paragraph designation 
``(1)'' and inserted a new para. (2).
    \174\ Sec. 212(b)(1)(C)(i)(I) of Public Law 103-465 (108 Stat. 
4848) struck out ``85 days after the date on which a petition is filed 
under section 702(b)'' and inserted in lieu thereof ``65 days after the 
date on which the administering authority initiates an investigation 
under section 702(c)''.
    \175\ Sec. 233(a)(6)(A)(iii) of Public Law 103-465 (108 Stat. 4901) 
struck out ``commenced'' and inserted in lieu thereof ``initiated''.
    \176\ Sec. 212(b)(1)(C)(i)(II) of Public Law 103-465 (108 Stat. 
4848) struck out ``best information'' and inserted in lieu thereof 
``information''.
    \177\ Sec. 270(a)(1)(B) of Public Law 103-465 (108 Stat. 4917) 
struck out ``subsidy'' and inserted in lieu thereof ``countervailable 
subsidy''.
    \178\ Sec. 233(a)(5)(C) of Public Law 103-465 (108 Stat. 4899) 
struck out ``merchandise which is the subject of the investigation'' 
and inserted in lieu thereof ``subject merchandise''. Sec. 
212(b)(1)(C)(i)(III) of that Act (108 Stat. 4848) struck out a sentence 
here that read: ``If the determination of the administering authority 
under this subsection is affirmative, the determination shall include 
an estimate of the net subsidy.''.
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    (2) \173\ Notwithstanding paragraph (1),\179\ when the 
petition is one subject to section 702(b)(3),\179\ the 
Administering Authority shall, taking into account the nature 
of the countervailable subsidy \180\ concerned, make the 
determination required by paragraph (1) \179\ on an expedited 
basis and within 65 days after the date on which the 
administering authority initiates an investigation under 
section 702(c) \181\ unless the provisions of subsection (c) of 
this section \179\ apply.
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    \179\ Sec. 264(c)(1) of Public Law 103-465 (108 Stat. 4914) struck 
out ``subsection (b)(1)'' and inserted in lieu thereof ``paragraph 
(1)''; struck out ``subsection 702(b)(3)'' and inserted in lieu thereof 
``section 702(b)(3)''; struck out subsection 703(b)(1)'' and inserted 
in lieu thereof ``paragraph (1)''; and struck out ``section 703(c)'' 
and inserted in lieu thereof ``subsection (c) of this section''.
    \180\ Sec. 270(a)(1)(C) of Public Law 103-465 (108 Stat. 4917) 
struck out ``subsidy'' and inserted in lieu thereof ``countervailable 
subsidy''.
    \181\ Sec. 212(b)(1)(C)(ii) of Public Law 103-465 (108 Stat. 4848) 
struck out ``85 days after the date on which the petition is filed 
under section 702(b)'' and inserted in lieu thereof ``65 days after the 
date on which the administering authority initiates an investigation 
under section 702(c)''.
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    (3) \182\ Preliminary determination under waiver of 
verification.--Within 55 days after the initiation of an 
investigation the administering authority shall cause an 
official designated for such purpose to review the information 
concerning the case received during the first 50 days of the 
investigation, and, if there appears to be sufficient 
information available upon which the determination can 
reasonably be based, to disclose to the petitioner and any 
interested party, then a party to the proceedings that requests 
such disclosure, all available nonconfidential information and 
all other information which is disclosed pursuant to section 
777. Within 3 days (not counting Saturdays, Sundays, or legal 
public holidays) after such disclosure, the petitioner and each 
party which is an interested party described in subparagraph 
(C), (D), (E), (F), or (G) \160\ of section 771(9) to whom such 
disclosure was made may furnish to the administering authority 
an irrevocable written waiver of verification of the 
information received by the authority, and an agreement that is 
willing to have a determination made on the basis of the record 
then available to the authority. If a timely waiver and 
agreement have been received from the petitioner and each party 
which is an interested party described in subparagraph (C), 
(D), (E), (F), or (G) \160\ of section 771(9) to whom the 
disclosure was made, and the authority finds that sufficient 
information is then available upon which the preliminary 
determination can reasonably be based, a preliminary 
determination shall be made on an expedited basis on the basis 
of the record established during the first 50 days after the 
investigation was initiated.
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    \182\ Sec. 603 of Public Law 98-573 (98 Stat. 3024) added para. 
(3).
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    (4) \183\ De minimis countervailable subsidy.--
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    \183\ Sec. 263(a) of Public Law 103-465 (108 Stat. 4911) added 
para. (4).
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          (A) General rule.--In making a determination under 
        this subsection, the administering authority shall 
        disregard any de minimis countervailable subsidy. For 
        purposes of the preceding sentence, a countervailable 
        subsidy is de minimis if the administering authority 
        determines that the aggregate of the net 
        countervailable subsidies is less than 1 percent ad 
        valorem or the equivalent specific rate for the subject 
        merchandise.
          (B) Exception for developing countries.--In the case 
        of subject merchandise imported from a Subsidies 
        Agreement country (other than a country to which 
        subparagraph (C) applies) designated by the Trade 
        Representative as a developing country in accordance 
        with section 771(36), a countervailable subsidy is de 
        minimis if the administering authority determines that 
        the aggregate of the net countervailable subsidies does 
        not exceed 2 percent ad valorem or the equivalent 
        specific rate for the subject merchandise.
          (C) Certain other developing countries.--In the case 
        of subject merchandise imported from a Subsidies 
        Agreement country that is--
                  (i) a least developed country, as determined 
                by the Trade Representative in accordance with 
                section 771(36), or
                  (ii) a developing country with respect to 
                which the Trade Representative has notified the 
                administering authority that the country has 
                eliminated its export subsidies on an expedited 
                basis within the meaning of Article 27.11 of 
                the Subsidies Agreement,
        subparagraph (B) shall be applied by substituting ``3 
        percent'' for ``2 percent''.
          (D) Limitations on application of subparagraph (c).--
                  (i) In general.--In the case of a country 
                described in subparagraph (C)(i), the 
                provisions of subparagraph (C) shall not apply 
                after the date that is 8 years after the date 
                the WTO Agreement enters into force.
                  (ii) Special rule for subparagraph (c)(ii) 
                countries.--In the case of a country described 
                in subparagraph (C)(ii), the provisions of 
                subparagraph (C) shall not apply after the 
                earlier of--
                          (I) the date that is 8 years after 
                        the date the WTO Agreement enters into 
                        force, or
                          (II) the date on which the Trade 
                        Representative notifies the 
                        administering authority that such 
                        country is providing an export subsidy.
    (5) \184\ Notification of article 8 violation.--If the only 
subsidy under investigation is a subsidy with respect to which 
the administering authority received notice from the Trade 
Representative of a violation of Article 8 of the Subsidies 
Agreement, paragraph (1) shall be applied by substituting ``60 
days'' for ``65 days''.
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    \184\ Sec. 283(a) of Public Law 103-465 (108 Stat. 4930) added 
para. (5).
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    (c) Extension of Period in Extraordinarily Complicated 
Cases.--
          (1) In general.--If--
                  (A) the petitioner makes a timely request for 
                an extension of the period within which the 
                determination must be made under subsection 
                (b), or
                  (B) the administering authority concludes 
                that the parties concerned are cooperating and 
                determines that--
                          (i) the case is extraordinarily 
                        complicated by reason of--
                                  (I) the number and complexity 
                                of the alleged countervailable 
                                subsidy \185\ practices;
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    \185\ Sec. 270(a)(1)(D) of Public Law 103-465 (108 Stat. 4917) 
struck out ``subsidy'' and inserted in lieu thereof ``countervailable 
subsidy''.
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                                  (II) the novelty of the 
                                issues presented;
                                  (III) the need to determine 
                                the extent to which particular 
                                countervailable subsidies \186\ 
                                are used by individual 
                                manufacturers, producers, and 
                                exporters; or
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    \186\ Sec. 270(b)(1)(B) of Public Law 103-465 (108 Stat. 4917) 
struck out ``subsidies'' and inserted in lieu thereof ``countervailable 
subsidies''.
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                                  (IV) the number of firms 
                                whose activities must be 
                                investigated; and
                          (ii) additional time is necessary to 
                        make the preliminary determination,
        then the administering authority may postpone making 
        the preliminary determination under subsection (b) 
        until not later than the 130th day after the date on 
        which the administering authority initiates an 
        investigation under section 702(c),\187\ or an 
        investigation is initiated \188\ under section 702(a).
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    \187\ Sec. 212(b)(1)(D) of Public Law 103-465 (4848) struck out 
``150th day after the date on which a petition is filed under section 
702(b)'' and inserted in lieu thereof ``130th day after the date on 
which the administering authority initiates an investigation under 
section 702(c)''.
    \188\ Sec. 233(a)(6)(A)(iv) of Public Law 103-465 (108 Stat. 4901) 
struck out ``commenced'' and inserted in lieu thereof ``initiated''.
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          (2) Notice of postponement.--The administering 
        authority shall notify the parties to the 
        investigation, not later than 20 days before the date 
        on which the preliminary determination would otherwise 
        be required under subsection (b), if it intends to 
        postpone making the preliminary determination under 
        paragraph (1). The notification shall include an 
        explanation of the reasons for the postponement. Notice 
        of the postponement shall be published in the Federal 
        Register.
    (d) Effect of Determination by the Administering 
Authority.--If the preliminary determination of the 
administering authority under subsection (b) is affirmative, 
the administering authority--
          (1) \189\ (A) shall--
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    \189\ Sec. 264(a) of Public Law 103-465 (108 Stat. 4912) struck out 
para. (2), redesignated para. (1) as para. (2) and added ``and'' at the 
end of that paragraph, and added a new para. (1).
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                  (i) determine an estimated individual 
                countervailable subsidy rate for each exporter 
                and producer individually investigated, and, in 
                accordance with section 705(c)(5), an estimated 
                all-others rate for all exporters and producers 
                not individually investigated and for new 
                exporters and producers within the meaning of 
                section 751(a)(2)(B), or
                  (ii) if section 777A(e)(2)(B) applies, 
                determine a single estimated country-wide 
                subsidy rate, applicable to all exporters and 
                producers, and
          (B) shall order the posting of a cash deposit, bond, 
        or other security, as the administering authority deems 
        appropriate, for each entry of the subject merchandise 
        in an amount based on the estimated individual 
        countervailable subsidy rate, the estimated all-others 
        rate, or the estimated country-wide subsidy rate, 
        whichever is applicable,
          (2) \190\ shall order the suspension of liquidation 
        of all entries of merchandise subject to the 
        determination which are entered, or withdrawn from 
        warehouse, for consumption on or after the later of--
                  (A) the date on which notice of the 
                determination is published in the Federal 
                Register, or
                  (B) the date that is 60 days after the date 
                on which notice of the determination to 
                initiate the investigation is published in the 
                Federal Register,\190\ and \189\
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    \190\ Sec. 215(a)(1)(A) of Public Law 103-465 (108 Stat. 4852) 
struck out ``warehouse, for consumption on or after the date of 
publication of the notice of the determination in the Federal 
Register'' and inserted in lieu thereof text from ``warehouse'' through 
subpara. (B).
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          (3) shall make available to the Commission all 
        information upon which its determination was based and 
        which the Commission considers relevant to its injury 
        determination, under such procedures as the 
        administering authority and the Commission may 
        establish to prevent disclosure, other than with the 
        consent of the party providing it or under protective 
        order, of any information to which confidential 
        treatment has been given by the administering 
        authority.
The instructions of the administering authority under 
paragraphs (1) and (2) may not remain in effect for more than 4 
months.\191\
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    \191\ Sec. 215(a)(1)(B) of Public Law 103-465 (108 Stat. 4852) 
added this sentence.
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    (e) Critical Circumstances Determinations.--
          (1) In general.--If a petitioner alleges critical 
        circumstances in its original petition, or by amendment 
        at any time more than 20 days before the date of a 
        final determination by the administering authority, 
        then the administering authority shall promptly (at any 
        time after the initiation of the investigation under 
        this subtitle) \192\ determine, on the basis of the 
        information \193\ available to it at that time, whether 
        there is a reasonable basis to believe or suspect 
        that--
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    \192\ Sec. 1324(a)(2) of Public Law 100-418 (102 Stat. 1200) added 
``(at any time after the initiation of the investigation under this 
subtitle)''.
    \193\ Sec. 214(a)(1)(A) of Public Law 103-465 (108 Stat. 4850) 
struck out ``best information'' and inserted in lieu thereof 
``information''.
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                  (A) \194\ the alleged countervailable subsidy 
                is inconsistent with the Subsidies Agreement, 
                and
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    \194\ Sec. 214(a)(1)(A) of Public Law 103-465 (108 Stat. 4850) 
amended and restated subparas. (A) and (B).
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                  (B) \194\ there have been massive imports of 
                the subject merchandise over a relatively short 
                period.
          (2) Suspension of liquidation.--If the determination 
        of the administering authority under paragraph (1) is 
        affirmative, then any suspension of liquidation ordered 
        under subsection (d)(2) \195\ shall apply, or, if 
        notice of such suspension of liquidation is already 
        published, be amended to apply, to unliquidated entries 
        of merchandise entered, or withdrawn from warehouse, 
        for consumption on or after the later of--
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    \195\ Sec. 264(c)(2) of Public Law 103-465 (108 Stat. 4914) struck 
out ``subsection (d)(1)'' and inserted in lieu thereof ``subsection 
(d)(2)''.
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                  (A) the date which is 90 days before the date 
                on which the suspension of liquidation was 
                first ordered, or
                  (B) the date on which notice of the 
                determination to initiate the investigation is 
                published in the Federal Register.\196\
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    \196\ Sec. 215(a)(2) of Public Law 103-465 (108 Stat. 4852) struck 
out ``warehouse, for consumption on or after the date which is 90 days 
before the date on which suspension of liquidation was first ordered'' 
and inserted language from ``warehouse'' through subpara. (B).
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    (f) \197\ Notice of Determination.--Whenever the Commission 
or the administering authority makes a determination under this 
section, the Commission or the administering authority, as the 
case may be, shall notify the petitioner, and other parties to 
the investigation, and the Commission or the administering 
authority (whichever is appropriate) of its determination. The 
administering authority shall include with such notification 
the facts and conclusions on which its determination is based. 
Not later than 5 days after the date on which the determination 
is required to be made under subsection (a)(2), the Commission 
shall transmit to the administering authority the facts and 
conclusions on which its determination is based.
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    \197\ Sec. 212(b)(1)(F) of Public Law 103-465 (108 Stat. 4848) 
amended and restated subsec. (f).
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    (g) \198\ Time Period Where Upstream Subsidization 
Involved.--
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    \198\ Sec. 613(c) of Public Law 98-573 (98 Stat. 3036) added this 
subsection as subsec. (h). The subsection designation was redesignated 
as subsec. (g) by sec. 1886(a)(3) of Public Law 99-514 (100 Stat. 
2921).
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          (1) In general.--Whenever the administering authority 
        concludes prior to a preliminary determination under 
        section 703(b), that there is a reasonable basis to 
        believe or suspect that an upstream subsidy is being 
        bestowed, the time period within which a preliminary 
        determination must be made shall be extended to 250 
        days after the filing of a petition under section 
        702(b) or initiation \199\ of an investigation under 
        section 702(a) (310 days in cases declared 
        extraordinarily complicated under section 703(c)), if 
        the administering authority concludes that such 
        additional time is necessary to make the required 
        determination concerning upstream subsidization.
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    \199\ Sec. 233(a)(6)(B) of Public Law 103-465 (108 Stat. 4901) 
struck out ``commencement'' and inserted in lieu thereof 
``initiation''.
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          (2) Exceptions.--Whenever the administering authority 
        concludes, after a preliminary determination under 
        section 703(b), that there is a reasonable basis to 
        believe or suspect that an upstream subsidy is being 
        bestowed--
                  (A) in cases in which the preliminary 
                determination was negative, the time period 
                within which a final determination must be made 
                shall be extended to 165 or 225 days, as 
                appropriate, under section 705(a)(1); \200\ or
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    \200\ The words to this point beginning with ``or 225 days'' were 
substituted in lieu of ``days under section 705(a)(1) or 225 days under 
section 705(a)(2), as appropriate'' by sec. 1886(a)(3)(A) of Public Law 
99-514 (100 Stat. 2921).
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                  (B) in cases in which the preliminary 
                determination is affirmative, the determination 
                concerning upstream subsidization--
                          (i) need not be made until the 
                        conclusion of the first annual review 
                        under section 751 of any eventual 
                        Countervailing Duty Order, or, at the 
                        option of the petitioner, or
                          (ii) will be made in the 
                        investigation and the time period 
                        within which a final determination must 
                        be made shall be extended to 165 or 225 
                        days as appropriate under section 
                        705(a)(1),\201\ as appropriate, except 
                        that the suspension of liquidation 
                        ordered in the preliminary 
                        determination shall terminate at the 
                        end of 120 days from the date of 
                        publication of that determination and 
                        not be resumed unless and until the 
                        publication of a Countervailing Duty 
                        Order under section 706(a).
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    \201\ The words to this point beginning with ``or 225 days as 
appropriate'' were substituted in lieu of ``days under section 
705(a)(2)'' by sec. 1886(a)(3)(A) of Public Law 99-514 (100 Stat. 
2921). The ``as appropriate'' following this note probably should have 
been deleted.
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There may be an extension of time for the making of a final 
determination under this subsection only if the administering 
authority determines that such additional time is necessary to 
make the required determination concerning upstream 
subsidization.

SEC. 704.\202\ TERMINATION OR SUSPENSION OF INVESTIGATION.

    (a) \203\ Termination of Inspection Upon Withdrawal of 
Petition.--
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    \202\ 19 U.S.C. 1671c.
    \203\ Sec. 604(a)(1) of Public Law 98-573 (98 Stat. 3025) amended 
and restated subsec. (a).
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          (1) In general.--
                  (A) \204\ Withdrawal of petition.--Except as 
                provided in paragraphs (2) and (3), an 
                investigation under this subtitle may be 
                terminated by either the administering 
                authority or the Commission, after notice to 
                all parties to the investigation, upon 
                withdrawal of the petition by the petitioner or 
                by the administering authority if the 
                investigation was initiated under section 
                702(a).
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    \204\ Sec. 217(a) of Public Law 103-465 (108 Stat. 4853) struck out 
``Except'' and inserted in lieu thereof ``(A) Withdrawal of petition.--
Except'', indented the newly designated subpara. (A), and added new 
subpara. (B).
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                  (B) Refiling of petition.--If, within 3 
                months after the withdrawal of a petition under 
                subparagraph (A), a new petition is filed 
                seeking the imposition of duties on both the 
                subject merchandise of the withdrawn petition 
                and the subject merchandise from another 
                country, the administering authority and the 
                Commission may use in the investigation 
                initiated pursuant to the new petition any 
                records compiled in an investigation conducted 
                pursuant to the withdrawn petition. This 
                subparagraph applies only with respect to the 
                first withdrawal of a petition.
          (2) Special rules for quantitative restriction 
        agreements.--
                  (A) In general.--Subject to subparagraphs (B) 
                and (C), the administering authority may not 
                terminate an investigation under paragraph (1) 
                by accepting, with the government of the 
                country in which the countervailable subsidy 
                \205\ practice is alleged to occur, an 
                understanding or other kind of agreement to 
                limit the volume of imports into the United 
                States of the subject merchandise \206\ unless 
                the administering authority is satisfied that 
                termination on the basis on that agreement is 
                in the public interest.
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    \205\ Sec. 270(a)(1)(E) of Public Law 103-465 (108 Stat. 4917) 
struck out ``subsidy'' each place it appeared and inserted in lieu 
thereof ``countervailable subsidy''.
    \206\ Sec. 233(a)(5)(D) of Public Law 103-465 (108 Stat. 4899) 
struck out ``merchandise that is subject to the investigation'' and 
inserted in lieu thereof ``subject merchandise''.
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                  (B) Public interest factors.--In making a 
                decision under subparagraph (A) regarding the 
                public interest, the administering authority 
                shall take into account--
                          (i) whether, based upon the relative 
                        impact on consumer prices and the 
                        availability of supplies of the 
                        merchandise, the agreement would have a 
                        greater adverse impact on United States 
                        consumers than the imposition of 
                        countervailing duties;
                          (ii) the relative impact on the 
                        international economic interests of the 
                        United States; and
                          (iii) the relative impact on the 
                        competitiveness of the domestic 
                        industry producing the like 
                        merchandise, including any such impact 
                        on employment and investment in that 
                        industry.
                  (C) Prior consultations.--Before making a 
                decision under subparagraph (A) regarding the 
                public interest, the administering authority 
                shall, to the extent practicable, consult 
                with--
                          (i) potentially affected consuming 
                        industries; and
                          (ii) potentially affected producers 
                        and workers in the domestic industry 
                        producing the like merchandise, 
                        including producers and workers not 
                        party to the investigation.
          (3) Limitation on termination by commission.--The 
        Commission may not terminate an investigation under 
        paragraph (1) before a preliminary determination is 
        made by the administering authority under section 
        703(b).
    (b) \207\ Agreements To Eliminate or Offset Completely a 
Countervailable Subsidy or To Cease Exports of Subject 
Merchandise.--The administering authority may suspend an 
investigation if the government of the country in which the 
countervailable subsidy \205\ practice is alleged to occur 
agrees, or exporters who account for substantially all of the 
imports of the subject merchandise \208\ agree--
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    \207\ Sec. 270(a)(1)(E) and sec. 270(a)(2)(A) of Public Law 103-465 
(108 Stat. 4917) both struck out ``Subsidy'' and inserted in lieu 
thereof ``Countervailable Subsidy'' in the subsection heading. Sec. 
270(c)(1) of that Act struck out ``Subsidized Merchandise'' and 
inserted in lieu thereof ``Subject Merchandise'' in the subsection 
heading.
    \208\ Sec. 233(a)(5)(E) of Public Law 103-465 (108 Stat. 4899) 
struck out ``merchandise which is the subject of the investigation'' 
and inserted in lieu thereof ``subject merchandise''.
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          (1) to eliminate the countervailable subsidy \205\ 
        completely or to offset completely the amount of the 
        net countervailable subsidy,\205\ with respect to that 
        merchandise exported directly or indirectly to the 
        United States, within 6 months after the date on which 
        the investigation is suspended, or
          (2) to cease exports of the merchandise to the United 
        States within 6 months after the date on which the 
        investigation is suspended.
    (c) Agreements Eliminating Injurious Effect.--
          (1) General rule.--If the administering authority 
        determines that extraordinary circumstances are present 
        in a case, it may suspend an investigation upon the 
        acceptance of an agreement from a government described 
        in subsection (b) or from exporters described in 
        subsection (b), if the agreement will eliminate 
        completely the injurious effect of the exports to the 
        United States of the subject merchandise.\209\
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    \209\ Sec. 233(a)(5)(F) of Public Law 103-465 (108 Stat. 4899) 
struck out ``merchandise which is the subject of the investigation'' 
and inserted in lieu thereof ``subject merchandise''.
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          (2) Certain additional requirements.--Except in the 
        case of an agreement by a foreign government to 
        restrict the volume of imports of the subject 
        merchandise \210\ into the United States, the 
        administering authority may not accept an agreement 
        under this subsection unless--
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    \210\ Sec. 233(a)(5)(G) of Public Law 103-465 (108 Stat. 4899) 
struck out ``merchandise which is the subject of the investigation'' 
and inserted in lieu thereof ``subject merchandise''.
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                  (A) the suppression or undercutting of price 
                levels of domestic products by imports of that 
                merchandise will be prevented, and
                  (B) at least 85 percent of the net 
                countervailable subsidy \205\ will be offset.
          (3) Quantitative restrictions agreements.--The 
        administering authority may accept an agreement with a 
        foreign government under this subsection to restrict 
        the volume of imports of subject merchandise \211\ into 
        the United States, but it may not accept such an 
        agreement with exporters.
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    \211\ Sec. 233(a)(5)(H) of Public Law 103-465 (108 Stat. 4899) 
struck out ``merchandise which is the subject of the investigation'' 
and inserted in lieu thereof ``subject merchandise''.
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          (4) Definition of extraordinary circumstances.--
                  (A) Extraordinary circumstances.--For 
                purposes of this subsection, the term 
                ``extraordinary circumstances'' means 
                circumstances in which--
                          (i) suspension of an investigation 
                        will be more beneficial to the domestic 
                        industry than continuation of the 
                        investigation, and
                          (ii) the investigation is complex.
                  (B) Complex.--For purposes of this paragraph, 
                the term ``complex'' means--
                          (i) there are a large number of 
                        alleged countervailable subsidy \205\ 
                        practices and the practices are 
                        complicated,
                          (ii) the issues raised are novel, or
                          (iii) the number of exporters 
                        involved is large.
    (d) Additional Rules and Conditions.--
          (1) Public interest; monitoring.--The administering 
        authorities shall not accept an agreement under 
        subsection (b) or (c) unless--
                  (A) it is satisfied that suspension of the 
                investigation is in the public interest, and
                  (B) effective monitoring of the agreement by 
                the United States is practicable.
Where practicable, the administering authority shall provide to 
the exporters who would have been subject to the agreement the 
reasons for not accepting the agreement and, to the extent 
possible, an opportunity to submit comments thereon. In 
applying \212\ subparagraph (A) with respect to any 
quantitative restriction agreement under subsection (c), the 
administering authority shall take into account, in addition to 
such other factors as are considered necessary or appropriate, 
the factors set forth in subsection (a)(2)(B) (i), (ii), and 
(iii) as they apply to the proposed suspension and agreement, 
after consulting with the appropriate consuming industries, 
producers, and workers referred to in subsection (a)(2)(C) (i) 
and (ii).\213\
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    \212\ Sec. 216(a) of Public Law 103-465 (108 Stat. 4853) struck out 
``In applying'' and inserted text to this point beginning with ``Where 
practicable,''.
    \213\ Sec. 604(a)(2) of Public Law 98-573 (98 Stat. 3026) amended 
subsec. (d) by adding the final sentence in para. (1), by striking out 
para. (2), and by redesignating existing para. (3) as para. (2). 
Subsequently, sec. 1886(a)(4) of Public Law 99-514 (100 Stat. 2921) 
redesignated para. (2) as para. (3) and reinserted the para. (2) 
deleted by Public Law 98-573.
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          (2) \213\ Exports of merchandise to united states not 
        to increase during interim period.--The administering 
        authority may not accept any agreement under subsection 
        (b) unless that agreement provides a means of ensuring 
        that the quantity of the merchandise covered by that 
        agreement exported to the United States during the 
        period provided for elimination or offset of the 
        countervailable subsidy \205\ or cessation of exports 
        does not exceed the quantity of such merchandise 
        exported to the United States during the most recent 
        representative period determined by the administering 
        authority.
          (3) \213\ Regulations governing entry or 
        withdrawals.--In order to carry out an agreement 
        concluded under subsection (b) or (c), administering 
        authority is authorized to prescribe regulations 
        governing the entry, or withdrawal from warehouse, for 
        consumption of subject merchandise.\214\
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    \214\ Sec. 233(a)(5)(I) of Public Law 103-465 (108 Stat. 4899) 
struck out ``merchandise covered by such agreement'' and inserted in 
lieu thereof ``subject merchandise''.
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    (e) Suspension of Investigation Procedure.--Before an 
investigation may be suspended under subsection (b) or (c) the 
administering authority shall--
          (1) notify the petitioner of, and consult with the 
        petitioner concerning, its intention to suspend the 
        investigation, and notify other parties to the 
        investigation and the Commission not less than 30 days 
        before the date on which it suspends the investigation.
          (2) provide a copy of the proposed agreement to the 
        petitioner at the time of the notification, together 
        with an explanation of how the agreement will be 
        carried out and enforced (including any action required 
        of foreign governments), and of how the agreement will 
        meet the requirements of subsections (b) and (d) or (c) 
        and (d), and
          (3) permit all interested parties described in 
        section 771(9) \215\ to submit comments and information 
        for the record before the date on which notice of 
        suspension of the investigation is published under 
        subsection (f)(1)(A).
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    \215\ Sec. 604(a)(3) of Public Law 98-573 (98 Stat. 3026) struck 
out ``all parties to the investigation'' and inserted in lieu thereof 
``all interested parties described in section 771(9)''.
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    (f) Effects of Suspension of Investigation.--
          (1) In general.--If the administering authority 
        determines to suspend an investigation upon acceptance 
        of an agreement described in subsection (b) or (c), 
        then--
                  (A) it shall suspend the investigation, 
                publish notice of suspension of the 
                investigation, and issue an affirmative 
                preliminary determination under section 703(b) 
                with respect to the subject merchandise,\216\ 
                unless it has previously issued such a 
                determination in the same investigation,
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    \216\ Sec. 233(a)(5)(J) of Public Law 103-465 (108 Stat. 4899) 
struck out ``merchandise which is the subject of an investigation'' and 
inserted in lieu thereof ``subject merchandise''.
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                  (B) the Commission shall suspend any 
                investigation it is conducting with respect to 
                that merchandise, and
                  (C) the suspension of investigation shall 
                take effect on the day on which such notice is 
                published.
          (2) Liquidation of entries.--
                  (A) Cessation of exports; complete 
                elimination of net countervailable 
                subsidy.\205\--If the agreement accepted by the 
                administering authority is an agreement 
                described in subsection (b), then--
                          (i) notwithstanding the affirmative 
                        preliminary determination required 
                        under paragraph (1)(A), the liquidation 
                        of entries of subject merchandise \217\ 
                        shall not be suspended under section 
                        703(d)(2).\218\
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    \217\ Sec. 233(a)(5)(K) of Public Law 103-465 (108 Stat. 4899) 
struck out ``merchandise which is the subject of the investigation'' 
and inserted in lieu thereof ``subject merchandise''.
    \218\ Sec. 264(c)(3)(A) of Public Law 103-465 (108 Stat. 4914) 
struck out ``section 703(d)(1)'' and inserted in lieu thereof ``section 
703(d)(2)''.
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                          (ii) if the liquidation of entries of 
                        such merchandise was suspended pursuant 
                        to a previous affirmative preliminary 
                        determination in the same case with 
                        respect to such merchandise, that 
                        suspension of liquidation shall 
                        terminate, and
                          (iii) the administering authority 
                        shall refund any cash deposit and 
                        release any bond or other security 
                        deposited under section 
                        703(d)(1)(B).\219\
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    \219\ Sec. 264(c)(3)(B) of Public Law 103-465 (108 Stat. 4914) 
struck out ``section 703(d)(1)'' and inserted in lieu thereof ``section 
703(d)(1)(B)''.
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                  (B) Other agreements.--If the agreement 
                accepted by the administering authority is an 
                agreement described in subsection (c), then the 
                liquidation of entries of the subject 
                merchandise \217\ shall be suspended under 
                section 703(d)(2),\220\ or, if the liquidation 
                of entries of such merchandise was suspended 
                pursuant to a previous affirmative preliminary 
                determination in the same case, that suspension 
                of liquidation shall continue in effect, 
                subject to subsection (h)(3), but the security 
                required under section 703(d)(2)(B) \221\ may 
                be adjusted to reflect the effect of the 
                agreement.
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    \220\ Sec. 264(c)(4)(A) of Public Law 103-465 (108 Stat. 4914) 
struck out ``section 703(d)(1)'' and inserted in lieu thereof ``section 
703(d)(2)''.
    \221\ Sec. 264(c)(4)(B) of Public Law 103-465 (108 Stat. 4914) 
struck out ``section 703(d)(1)'' and inserted in lieu thereof ``section 
703(d)(1)(B)''.
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          (3) Where investigation is continued.--If, pursuant 
        to subsection (g), the administering authority and the 
        Commission continue an investigation in which an 
        agreement has been accepted under subsection (b) or 
        (c), then--
                  (A) if the final determination by the 
                administering authority or the Commission under 
                section 705 is negative, the agreement shall 
                have no force or effect and the investigation 
                shall be terminated, or
                  (B) if the final determinations by the 
                administering authority and the Commission 
                under such section are affirmative, the 
                agreement shall remain in force, but the 
                administering authority shall not issue a 
                countervailing duty order in the case so long 
                as--
                          (i) the agreement remains in force,
                          (ii) the agreement continues to meet 
                        the requirements of subsections (b) and 
                        (d) or (c) and (d), and
                          (iii) the parties to the agreement 
                        carry out their obligations under the 
                        agreement in accordance with its terms.
    (g) Investigation To Be Continued Upon Request.--If the 
administering authority, within 20 days after the date of 
publication of the notice of suspension of an investigation, 
receives a request for the continuation of the investigation 
from--
          (1) the government of the country in which the 
        countervailable subsidy \205\ practice is alleged to 
        occur, or
          (2) an interested party described in subparagraph 
        (C), (D), (E), (F), or (G) \160\ of section 771(9) 
        which is a party to the investigation, then the 
        administering authority and the Commission shall 
        continue the investigation.
    (h) Review of Suspension.--
          (1) In general.--Within 20 days after the suspension 
        of an investigation under subsection (c), an interested 
        party which is a party to the investigation and which 
        is described in subparagraph (C), (D), (E), (F), or (G) 
        \160\ of section 771(9) may, by petition filed with the 
        Commission and with notice to the administering 
        authority, ask for a review of the suspension.
          (2) Commission investigation.--Upon receipt of a 
        review petition under paragraph (1), the Commission 
        shall, within 75 days after the date on which the 
        petition is filed with it, determine whether the 
        injurious effect of imports of the subject merchandise 
        \222\ is eliminated completely by the agreement. If the 
        Commission's determination under this subsection is 
        negative, the investigation shall be resumed on the 
        date of publication of notice of such determination as 
        if the affirmative preliminary determination under 
        section 703(b) had been made on that date.
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    \222\ Sec. 233(a)(5)(L) of Public Law 103-465 (108 Stat. 4899) 
struck out ``merchandise which is the subject of the investigation'' 
and inserted in lieu thereof ``subject merchandise''.
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          (3) Suspension of liquidation to continue during 
        review period.--The suspension of liquidation of 
        entries of the subject merchandise \222\ shall 
        terminate at the close of the 20-day period beginning 
        on the day after the date on which notice of suspension 
        of the investigation is published in the Federal 
        Register, or, if a review petition is filed under 
        paragraph (1) with respect to the suspension of the 
        investigation, in the case of an affirmative 
        determination by the Commission under paragraph (2), 
        the date on which notice of the affirmative 
        determination by the Commission is published. If the 
        determination of the Commission under paragraph (2) is 
        affirmative, then the administering authority shall--
                  (A) terminate the suspension of liquidation 
                under section 703(d)(2),\223\ and
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    \223\ Sec. 264(c)(5)(A) of Public Law 103-465 (108 Stat. 4914) 
struck out ``section 703(d)(1)'' and inserted in lieu thereof ``section 
703(d)(2)''.
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                  (B) release any bond or other security, and 
                refund any cash deposit, required under section 
                703(d)(2)(B).\224\
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    \224\ Sec. 264(c)(5)(B) of Public Law 103-465 (108 Stat. 4914) 
struck out ``section 703(d)(1)'' and inserted in lieu thereof ``section 
703(d)(1)(B)''.
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    (i) Violation of Agreement.--
          (1) In general.--If the administering authority 
        determines that an agreement accepted under subsection 
        (b) or (c) is being, or has been, violated, or no 
        longer meets the requirements of such subsection (other 
        than the requirement, under subsection (c)(1), of 
        elimination of injury) and subsection (d), then, on the 
        date of publication of its determination, it shall--
                  (A) suspend liquidation under section 
                703(d)(2) \225\ of unliquidated entries of the 
                merchandise made on or after the later of--
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    \225\ Sec. 264(c)(6) of Public Law 103-465 (108 Stat. 4914) struck 
out ``section 703(d)(1)'' and inserted in lieu thereof ``section 
703(d)(2)''.
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                          (i) the date which is 90 days before 
                        the date of publication of the notice 
                        of suspension of liquidation, or
                          (ii) the date on which the 
                        merchandise, the sale or export to the 
                        United States of which was in violation 
                        of the agreement, or under an agreement 
                        which no longer meets the requirements 
                        of subsections (b) and (d) or (c) and 
                        (d), was first entered, or withdrawn 
                        from warehouse, for consumption.
                  (B) if the investigation was not completed, 
                resume the investigation as if its affirmative 
                preliminary determination under section 703(b) 
                were made on the date of its determination 
                under this paragraph.
                  (C) if the investigation was completed under 
                subsection (g), issue a countervailing duty 
                order under section 706(a) effective with 
                respect to entries of merchandise the 
                liquidation of which was suspended,
                  (D) \226\ if it considers the violation to be 
                intentional,\227\ notify the Commissioner of 
                Customs who shall take appropriate action under 
                paragraph (2), and
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    \226\ Sec. 604(a)(4) of Public Law 98-573 (98 Stat. 3026) 
redesignated existing subpara. (D) as subpara. (E) and added a new 
subpara. (D).
    \227\ Sec. 1886(a)(2)(B) of Public Law 99-514 (100 Stat. 2921) 
substituted ``intentional'' in lieu of ``international'' which 
previously appeared at this point.
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                  (E) \226\ notify the petitioner, interested 
                parties who are or were parties to the 
                investigation, and the Commission of its action 
                under this paragraph.
          (2) Intentional violation to be punished by civil 
        penalty.--Any person who intentionally violates an 
        agreement accepted by the administering authority under 
        subsection (b) or (c) shall be subject to a civil 
        penalty assessed in the same amount, in the same 
        manner, and under the same procedure, as the penalty 
        imposed for a fraudulent violation of section 592(a) of 
        this Act.
    (j) Determination Not To Take Agreement Into Account.--In 
making a final determination under section 705, or in 
conducting a review under section 751, in a case in which the 
administering authority has terminated a suspension of 
investigation under subsection (i)(1), or continued as 
investigation under subsection (g), the Commission and the 
administering authority shall consider all of the subject 
merchandise,\228\ without regard to the effect of any agreement 
under subsection (b) or (c).
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    \228\ Sec. 233(a)(5)(M) of Public Law 103-465 (108 Stat. 4899) 
struck out ``merchandise which is the subject of the investigation'' 
and inserted in lieu thereof ``subject merchandise''.
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    (k) \229\ Termination of Investigations Initiated by 
Administering Authority.--The administering authority may 
terminate any investigation initiated by the administering 
authority under section 702(a) after providing notice of such 
termination to all parties to the investigation.
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    \229\ Sec. 604(a)(5) of Public Law 98-573 (98 Stat. 3026) added 
subsec. (k).
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    (l) \230\ Special Rule for Regional Industry 
Investigations.--
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    \230\ Sec. 218(a)(1) of Public Law 103-465 (108 Stat. 4854) added 
subsec. (l).
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          (1) Suspension agreements.--If the Commission makes a 
        regional industry determination under section 
        771(4)(C), the administering authority shall offer 
        exporters of the subject merchandise who account for 
        substantially all exports of that merchandise for sale 
        in the region concerned the opportunity to enter into 
        an agreement described in subsection (b) or (c).
          (2) Requirements for suspension agreements.--Any 
        agreement described in paragraph (1) shall be subject 
        to all the requirements imposed under this section for 
        other agreements under subsection (b) or (c), except 
        that if the Commission makes a regional industry 
        determination described in paragraph (1) in the final 
        affirmative determination under section 705(b) but not 
        in the preliminary affirmative determination under 
        section 703(a), any agreement described in paragraph 
        (1) may be accepted within 60 days after the 
        countervailing duty order is published under section 
        706.
          (3) Effect of suspension agreement on countervailing 
        duty order.--If an agreement described in paragraph (1) 
        is accepted after the countervailing duty order is 
        published, the administering authority shall rescind 
        the order, refund any cash deposit and release any bond 
        or other security deposited under section 703(d)(1)(B), 
        and instruct the Customs Service that entries of the 
        subject merchandise that were made during the period 
        that the order was in effect shall be liquidated 
        without regard to countervailing duties.

SEC. 705.\231\ FINAL DETERMINATIONS.

    (a) Final Determination by Administering Authority.--
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    \231\ 19 U.S.C. 1671d.
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          (1) \232\ In general.--Within 75 days after the date 
        of the preliminary determination under section 703(b), 
        the administering authority shall make a final 
        determination of whether or not a countervailable 
        subsidy \233\ is being provided with respect to the 
        subject merchandise; \234\ except that when an 
        investigation under this subtitle is initiated 
        simultaneously with an investigation under subtitle B, 
        which involves imports of the same class or kind of 
        merchandise from the same or other countries, the 
        administering authority, if requested by the 
        petitioner, shall extend the date of the final 
        determination under this paragraph to the date of the 
        final determination of the administering authority in 
        such investigation initiated under subtitle B.
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    \232\ Sec. 606 of Public Law 98-573 (98 Stat. 3029) amended and 
restated para. (1).
    \233\ Sec. 270(a)(1)(F) of Public Law 103-465 (108 Stat. 4917) 
struck out ``subsidy'' and inserted in lieu thereof ``countervailable 
subsidy''.
    \234\ Sec. 233(a)(5)(N) of Public Law 103-465 (108 Stat. 4899) 
struck out ``the merchandise'' and inserted in lieu thereof ``the 
subject merchandise''.
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          (2) Critical circumstances determinations.--If the 
        final determination of the administering authority is 
        affirmative, then that determination, in any 
        investigation in which the presence of critical 
        circumstances has been alleged under section 703(e), 
        shall also contain a finding as to whether--
                  (A) the countervailable subsidy \235\ is 
                inconsistent with the Subsidies Agreement,\236\ 
                and
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    \235\ Sec. 270(a)(1)(G) of Public Law 103-465 (108 Stat. 4917) 
struck out ``subsidy'' and inserted in lieu thereof ``countervailable 
subsidy''.
    \236\ Sec. 214(a)(2)(A)(i) of Public Law 103-465 (108 Stat. 4850) 
inserted ``Subsidies'' before ``Agreement''.
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                  (B) there have been massive imports of the 
                subject merchandise \237\ over a relatively 
                short period.
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    \237\ Sec. 214(a)(2)(A)(ii) of Public Law 103-465 (108 Stat. 4850) 
struck out ``class or kind of merchandise involved'' and inserted in 
lieu thereof ``subject merchandise''.
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        Such findings may be affirmative even though the 
        preliminary determination under section 703(e)(1) was 
        negative.\238\
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    \238\ Sec. 605(a)(1) of Public Law 98-573 (98 Stat. 3028) added 
this sentence.
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          (3) \239\ De minimis countervailable subsidy.--In 
        making a determination under this subsection, the 
        administering authority shall disregard any 
        countervailable subsidy that is de minimis as defined 
        in section 703(b)(4).
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    \239\ Sec. 263(b) of Public Law 103-465 (108 Stat. 4912) added 
para. (3).
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    (b) Final Determination by Commission.--
          (1) In general.--The Commission shall make a final 
        determination of whether--
                  (A) an industry in the United States--
                          (i) is materially injured, or
                          (ii) is threatened with material 
                        injury, or
                  (B) the establishment of an industry in the 
                United States is materially retarded,
        by reason of imports, or sales (or the likelihood of 
        sale) for importation,\240\ of the merchandise with 
        respect to which the administering authority has made 
        an affirmative determination under subsection (a). If 
        the Commission determines that imports of the subject 
        merchandise are negligible, the investigation shall be 
        terminated.\241\
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    \240\ Sec. 602(a)(2) of Public Law 98-573 (98 Stat. 3024) added the 
words ``, or sales (or the likelihood of sales) for importation,''. 
Sec. 626(b) of Public Law 98-573 further states that this amendment 
shall apply with respect to investigations initiated by petition or by 
the administering authority under subtitles A and B of title VII of the 
Tariff Act of 1930 on or after the effective date of this Act (Oct. 30, 
1984).
    \241\ Sec. 212(b)(1)(B) of Public Law 103-465 (108 Stat. 4848) 
added this sentence.
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          (2) Period for injury determination following 
        affirmative preliminary determination by administering 
        authority.--If the preliminary determination by the 
        administering authority under section 703(b) is 
        affirmative then the Commission shall make the 
        determination required by paragraph (1) before the 
        later of--
                  (A) the 120th day after the day on which the 
                administering authority makes its affirmative 
                preliminary determination under section 703(b), 
                or
                  (B) the 45th day after the day on which the 
                administering authority makes its affirmative 
                final determination under subsection (a).
          (3) Period for injury determination following 
        negative preliminary determination by administering 
        authority.--If the preliminary determination by the 
        administering authority under section 703(b) is 
        negative, and its final determination under subsection 
        (a) is affirmative, then the final determination by the 
        Commission under this subsection shall be made within 
        75 days after the date of that affirmative final 
        determination.
          (4) Certain additional findings.--
                  (A) \242\ Commission standard for retroactive 
                application.--
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    \242\ Sec. 214(a)(2)(B) of Public Law 103-465 (108 Stat. 4850) 
amended and restated subpara. (A). It was previously amended and 
restated by sec. 1324(a)(3) of Public Law 100-418 (102 Stat. 1200).
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                          (i) In general--If the finding of the 
                        administering authority under 
                        subsection (a)(2) is affirmative, then 
                        the final determination of the 
                        Commission shall include a finding as 
                        to whether the imports subject to the 
                        affirmative determination under 
                        subsection (a)(2) are likely to 
                        undermine seriously the remedial effect 
                        of the countervailing duty order to be 
                        issued under section 706.
                          (ii) Factors to consider.--In making 
                        the evaluation under clause (i), the 
                        Commission shall consider, among other 
                        factors it considers relevant--
                                  (I) the timing and the volume 
                                of the imports,
                                  (II) any rapid increase in 
                                inventories of the imports, and
                                  (III) any other circumstances 
                                indicating that the remedial 
                                effect of the countervailing 
                                duty order will be seriously 
                                undermined.
    (c) Effect of Final Determinations.--
          (1) Effect of affirmative determination by the 
        administering authority.--If the determination of the 
        administering authority under subsection (a) is 
        affirmative, the--
                  (A) the administering authority shall make 
                available to the Commission all information 
                upon which such determination was based and 
                which the Commission considers relevant to its 
                determination, under such procedures as the 
                administering authority and the Commission may 
                establish to prevent disclosure, other than 
                with the consent of the party providing it or 
                under protective order, of any information to 
                which confidential treatment has been given by 
                the administering authority,\243\
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    \243\ Sec. 264(b) of Public Law 103-465 (108 Stat. 4913) struck out 
``and'' at the end of subpara. (A), redesignated subpara. (B) as 
subpara. (C), and added a new subpara. (B).
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                  (B) \243\ (i) the administering authority 
                shall--
                          (I) determine an estimated individual 
                        countervailable subsidy rate for each 
                        exporter and producer individually 
                        investigated, and, in accordance with 
                        paragraph (5), an estimated all-others 
                        rate for all exporters and producers 
                        not individually investigated and for 
                        new exporters and producers within the 
                        meaning of section 751(a)(2)(B), or
                          (II) if section \244\ 777A(e)(2)(B) 
                        applies, determine a single estimated 
                        country-wide subsidy rate, applicable 
                        to all exporters and producers,
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    \244\ Sec. 20(b)(15) of Public Law 104-295 (110 Stat. 3527) 
inserted ``section'' after ``if''.
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                  (ii) shall order the posting of a cash 
                deposit, bond, or other security, as the 
                administering authority deems appropriate, for 
                each entry of the subject merchandise in an 
                amount based on the estimated individual 
                countervailable subsidy rate, the estimated 
                all-others rate, or the estimated country-wide 
                subsidy rate, whichever is applicable, and
                  (C) \243\ in cases where the preliminary 
                determination by the administering authority 
                under section 703(b) was negative, the 
                administering authority shall order the 
                suspension of liquidation under paragraph (2) 
                of section 703(d).\245\
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    \245\ Sec. 264(b)(1)(ii) of Public Law 103-465 (108 Stat. 4913) 
struck out ``under paragraphs (1) and (2) of section 703(d) the 
suspension of liquidation and the posting of a cash deposit, bond, or 
other security'' and inserted in lieu thereof ``the suspension of 
liquidation under paragraph (2) of section 703(d)''.
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          (2) Issuance of order; effect of negative 
        determination.--If the determinations of the 
        administering authority and the Commission under 
        subsections (a)(1) and (b)(1) are affirmative, then the 
        administering authority shall issue a countervailing 
        duty order under section 706(a). If either of such 
        determinations is negative, the investigation shall be 
        terminated upon the publication of notice of that 
        negative determination and the administering authority 
        shall--
                  (A) terminate the suspension of liquidation 
                under section 703(d)(2),\246\ and
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    \246\ Sec. 264(c)(7)(A) of Public Law 103-465 (108 Stat. 4914) 
struck out ``section 703(d)(1)'' and inserted in lieu thereof ``section 
703(d)(2)''.
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                  (B) release any bond or other security and 
                refund any cash deposit required under section 
                703(d)(2)(B).\247\
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    \247\ Sec. 264(c)(7)(B) of Public Law 103-465 (108 Stat. 4914) 
struck out ``section 703(d)(1)'' and inserted in lieu thereof ``section 
703(d)(1)(B)''.
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          (3) Effect of negative determinations under 
        subsections (a)(2) and (b)(4)(A).--If the determination 
        of the administering authority or the Commission under 
        subsection (a)(2) and (b)(4)(A), respectively, is 
        negative, then the administering authority shall--
                  (A) terminate any retroactive suspension of 
                liquidation required under paragraph (4) or 
                \248\ section 703(e)(2), and
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    \248\ Sec. 605(a) of Public Law 98-573 (98 Stat. 3028) amended 
subsec. (c) by inserting the reference to para. (4) in para. (3) and by 
added a new para. (4).
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                  (B) release any bond or other security, and 
                refund any cash deposit required, under section 
                703(d)(2)(B) \249\ with respect to entries of 
                the merchandise the liquidation of which was 
                suspended retroactively under section 
                703(e)(2).
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    \249\ Sec. 264(c)(8) of Public Law 103-465 (108 Stat. 4914) struck 
out ``section 703(d)(1)'' and inserted in lieu thereof ``section 
703(d)(1)(B)''.
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          (4) \248\ Effect of affirmative determination under 
        subsection (a)(2).--If the determination of the 
        administering authority under subsection (a)(2) is 
        affirmative, then the administering authority shall--
                  (A) in cases where the preliminary 
                determinations by the administering authority 
                under sections 703(b) and 703(e)(1) were both 
                affirmative, continue the retroactive 
                suspension of liquidation and the posting of a 
                cash deposit, bond, or other security 
                previously ordered under section 703(e)(2);
                  (B) in cases where the preliminary 
                determination by the administering authority 
                under section 703(b) was affirmative, but the 
                preliminary determination under section 
                703(e)(1) was negative, shall modify any 
                suspension of liquidation and security 
                requirement previously ordered under section 
                703(d) to apply to unliquidated entries of 
                merchandise entered, or withdrawn from 
                warehouse, for consumption on or after the date 
                which is 90 days before the date on which 
                suspension of liquidation was first ordered; or
                  (C) in cases where the preliminary 
                determination by the administering authority 
                under section 703(b) was negative, shall apply 
                any suspension of liquidation and security 
                requirement ordered under subsection 
                705(c)(1)(B) to unliquidated entries of 
                merchandise entered, or withdrawn from 
                warehouse, for consumption on or after the date 
                which is 90 days before the date on which 
                suspension of liquidation is first ordered.
          (5) \250\ Method for determining the all-others rate 
        and the country-wide subsidy rate.--
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    \250\ Sec. 265(b)(2) of Public Law 103-465 (108 Stat. 4913) added 
para. (5).
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                  (A) All-others rate.--
                          (i) General rule.--For purposes of 
                        this subsection and section 703(d), the 
                        all-others rate shall be an amount 
                        equal to the weighted average 
                        countervailable subsidy rates 
                        established for exporters and producers 
                        individually investigated, excluding 
                        any zero and de minimis countervailable 
                        subsidy rates, and any rates determined 
                        entirely under section 776.
                          (ii) Exception.--If the 
                        countervailable subsidy rates 
                        established for all exporters and 
                        producers individually investigated are 
                        zero or de minimis rates, or are 
                        determined entirely under section 776, 
                        the administering authority may use any 
                        reasonable method to establish an all-
                        others rate for exporters and producers 
                        not individually investigated, 
                        including averaging the weighted 
                        average countervailable subsidy rates 
                        determined for the exporters and 
                        producers individually investigated.
                  (B) Country-wide subsidy rate.--The 
                administering authority may calculate a single 
                country-wide subsidy rate, applicable to all 
                exporters and producers, if the administering 
                authority limits its examination pursuant to 
                section 777A(e)(2)(B). The estimated country-
                wide rate determined under section 
                703(d)(1)(A)(ii) or paragraph (1)(B)(i)(II) of 
                this subsection shall be based on industry-wide 
                data regarding the use of subsidies determined 
                to be countervailable.
    (d) Publication of Notice of Determinations.--Whenever the 
administering authority or the Commission makes a determination 
under this section, it shall notify the petitioner, other 
parties to the investigation, and the other agency of its 
determination and of the facts and conclusions of law upon 
which the determination is based, and it shall publish notice 
of its determination in the Federal Register.
  (e) \251\ Correction of Ministerial Errors.--The 
administering authority shall establish procedures for the 
correction of ministerial errors in final determinations within 
a reasonable time after the determinations are issued under 
this section. Such procedures shall ensure opportunity for 
interested parties to present their views regarding any such 
errors. As used in this subsection, the term ``ministerial 
error'' includes errors in addition, subtraction, or other 
arithmetic function, clerical errors resulting from inaccurate 
copying, duplication, or the like, and any other type of 
unintentional error which the administering authority considers 
ministerial.
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    \251\ Sec. 1333(a) of Public Law 100-418 (102 Stat. 1209) inserted 
subsec. (e).
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SEC. 706.\252\ ASSESSMENT OF DUTY.

    (a) Publication of Countervailing Duty Order.--Within 7 
days after being notified by the Commission of an affirmative 
determination under section 705(b), the administering authority 
shall publish a countervailing duty order which--
---------------------------------------------------------------------------
    \252\ 19 U.S.C. 1671e.
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          (1) directs customs officers to assess a 
        countervailing duty equal to the amount of the net 
        countervailable subsidy \253\ determined or estimated 
        to exist, within 6 months after the date on which the 
        administering authority receives satisfactory 
        information upon which the assessment may be based, but 
        in no event later than 12 months after the end of the 
        annual accounting period of the manufacturer or 
        exporter within which the merchandise is entered, or 
        withdrawn from warehouse, for consumption,
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    \253\ Sec. 270(a)(1)(H) of Public Law 103-465 (108 Stat. 4917) 
struck out ``subsidy'' and inserted in lieu thereof ``countervailable 
subsidy''.
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          (2) \254\ includes a description of the subject 
        merchandise,\255\ in such detail as the administering 
        authority deems necessary, and
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    \254\ Para. (2), added by sec. 607 of Public Law 98-573 (98 Stat. 
3029), was struck out by sec. 265 of Public Law 103-465 (108 Stat. 
4914). Paras. (3) and (4) were subsequently redesignated as paras. (2) 
and (3).
    \255\ Sec. 233(a)(5)(O) of Public Law 103-465 (108 Stat. 4899) 
struck out ``class or kind of merchandise to which it applies'' and 
inserted in lieu thereof ``subject merchandise''.
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          (3) \254\ requires the deposit of estimated 
        countervailing duties pending liquidation of entries on 
        the merchandise are deposited.
    (b) Imposition of Duties.--
          (1) General rule.--If the Commission, it its final 
        determination under section 705(b), finds material 
        injury or threat of material injury which, but for the 
        suspension of liquidation under section 703(d)(2),\256\ 
        would have led to a finding of material injury, then 
        entries of the merchandise subject to the 
        countervailing duty order, the liquidation of which has 
        been suspended under section 703(d)(2),\250\ shall be 
        subject to the imposition of countervailing duties 
        under section 701(a).
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    \256\ Sec. 264(c)(9) of Public Law 103-465 (108 Stat. 4914) struck 
out ``section 703(d)(1)'' and inserted in lieu thereof ``section 
703(d)(2)''.
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          (2) Special rule.--If the Commission, in its final 
        determination under section 705(b), finds threat of 
        material injury, other than threat of material injury 
        described in paragraph (1), or material retardation of 
        the establishment of an industry in the United States, 
        then merchandise subject to a countervailing duty order 
        which is entered, or withdrawn from warehouse, for 
        consumption on or after the date of publication of 
        notice of an affirmative determination of the 
        Commission under section 705(b) shall be subject to the 
        imposition of countervailing duties under section 
        701(a), and the administering authority shall release 
        any bond or other security, and refund any cash deposit 
        made, to secure the payment of countervailing duties 
        with respect to entries of the merchandise entered, or 
        withdrawn from warehouse, for consumption before that 
        date.
    (c) \257\ Special Rule for Regional Industries.--
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    \257\ Sec. 218(b)(1) of Public Law 103-465 (108 Stat. 4855) added 
subsec. (c).
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          (1) In general.--In an investigation under this 
        subtitle in which the Commission makes a regional 
        industry determination under section 771(4)(C), the 
        administering authority shall, to the maximum extent 
        possible, direct that duties be assessed only on the 
        subject merchandise of the specific exporters or 
        producers that exported the subject merchandise for 
        sale in the region concerned during the period of 
        investigation.
          (2) Exception for new exporters and producers.--After 
        publication of the countervailing duty order, if the 
        administering authority finds that a new exporter or 
        producer is exporting the subject merchandise for sale 
        in the region concerned, the administering authority 
        shall direct that duties be assessed on the subject 
        merchandise of the new exporter or producer consistent 
        with the provisions of section 751(a)(2)(B).

SEC. 707.\258\ TREATMENT OF DIFFERENCE BETWEEN DEPOSIT OF ESTIMATED 
                    COUNTERVAILING DUTY AND FINAL ASSESSED DUTY UNDER 
                    COUNTERVAILING DUTY ORDER.

    (a) Deposit of Estimated Countervailing Duty Under Section 
703(d)(1)(B).--If the amount of a cash deposit, or the amount 
of any bond or other security, required as security for an 
estimated countervailing duty under section 703(d)(1)(B) \259\ 
is different from the amount of the countervailing duty 
determined under a countervailing duty order issued under 
section 706, then the difference for entries of merchandise 
entered, or withdrawn from warehouse, for consumption before 
notice of the affirmative determination of the Commission under 
section 705(b) is published shall be--
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    \258\ 19 U.S.C. 1671f.
    \259\ Sec. 264(c)(10) of Public Law 103-465 (108 Stat. 4914) struck 
out ``section 703(d)(2)'' and inserted in lieu thereof ``section 
703(d)(1)(B)''.
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          (1) disregarded, to the extent that the cash deposit, 
        bond, or other security is lower than the duty under 
        the order, or
          (2) refunded or released, to the extent that the cash 
        deposit, bond, or other security is higher than the 
        duty under the order.
    (b) Deposit of Estimated Countervailing Duty Under Section 
706(a)(3).--If the amount of an estimated countervailing duty 
deposited under section 706(a)(3) is different from the amount 
of the countervailing duty determined under a countervailing 
duty order issued under section 706, then the difference for 
entries of merchandise entered, or withdrawn from warehouse, 
for consumption after notice of the affirmative determination 
of the Commission under section 705(b) is published shall be--
          (1) collected, to the extent that the deposit under 
        section 706(a)(3) is lower than the duty determined 
        under the order, or
          (2) refunded, to the extent that the deposit under 
        section 706(a)(3) is higher than the duty determined 
        under the order,
together with interest as provided by section 778.

SEC. 708.\260\ EFFECT OF DEROGATION OF EXPORT-IMPORT BANK FINANCING.

    Nothing in this title shall be interpreted as superseding 
the provisions of section 1912 of the Export-Import Bank Act 
Amendments of 1978, except that in the event of an assessment 
of duty based on a derogation under section 706 or action under 
section 703(d)(1)(B),\261\ the Secretary of the Treasury shall 
not authorize the Bank to provide guarantees, insurance and 
credits to competing United States sellers pursuant to section 
1912 of such Act.
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    \260\ 19 U.S.C. 1671g. Sec. 650(c) of the Export-Import Bank Act 
Amendments of 1983 (title VI of Public Law 98-181; 97 Stat. 1266) added 
sec. 708. Sec. 1886(a)(2) of Public Law 99-514 (100 Stat. 2921) amended 
sec. 708 by adding a section heading.
    \261\ Sec. 264(c)(11) of Public Law 103-465 (108 Stat. 4914) struck 
out ``section 703(d)(2)'' and inserted in lieu thereof ``section 
703(d)(1)(B)''.
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SEC. 709.\262\ CONDITIONAL PAYMENT OF COUNTERVAILING DUTY.

    (a) In General.--For all entries, or withdrawals from 
warehouse, for consumption of merchandise subject to a 
countervailing duty order on or after the date of publication 
of such order, no customs officer may deliver merchandise of 
that class or kind to the person by whom or for whose account 
it was imported unless that person complies with the 
requirement of subsection (b) and deposits with the appropriate 
customs officer an estimated countervailing duty in an amount 
determined by the administering authority.
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    \262\ 19 U.S.C. 1671h. Sec. 608 of Public Law 98-573 (98 Stat. 
3029) added sec. 709.
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    (b) Importer Requirements.--In order to meet the 
requirements of this subsection, a person shall--
          (1) furnish, or arrange to have furnished, to the 
        appropriate customs officer such information as the 
        administering authority deems necessary for 
        ascertaining any countervailing duty to be imposed 
        under this subtitle,
          (2) maintain and furnish to the customs officer such 
        records concerning such merchandise as the 
        administering authority, by regulation, requires, and
          (3) pay, or agree to pay on demand, to the customs 
        officer the amount of countervailing duty imposed under 
        this subtitle on that merchandise.

           Subtitle B--Imposition of Antidumping Duties \263\

SEC. 731.\264\ ANTIDUMPING DUTIES IMPOSED.

    If--
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    \263\ Subtitle B, as added by Public Law 96-39, replaces the 
Antidumping Act of 1921, which was repealed by Public Law 96-39.
    \264\ 19 U.S.C. 1673.
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          (1) the administering authority determines that a 
        class or kind of foreign merchandise is being, or is 
        likely to be, sold in the United States at less than 
        its fair value, and
          (2) the Commission determines that--
                  (A) an industry in the United States--
                          (i) is materially injured, or
                          (ii) is threatened with material 
                        injury, or
                  (B) the establishment of an industry in the 
                United States is materially retarded,
        by reason of imports of that merchandise or by reason 
        of sales (or the likelihood of sales) of that 
        merchandise for importation,\265\
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    \265\ Sec. 602(b) of Public Law 98-573 (98 Stat. 3024) amended sec. 
731 by inserting the words ``or by reason of sales (or the likelihood 
of sales) of that merchandise for importation'', and by adding the 
final sentence.
    Sec. 626(b) of Public Law 98-573 further states that this amendment 
shall apply with respect to investigations initiated by petition or by 
the administering authority under subtitles A and B of title VII of the 
Tariff Act of 1930 on or after the effective date of this Act (Oct. 30, 
1984).
    Sec. 626(c) of Public Law 98-573 (98 Stat. 3042) further provides 
the following:
    ``(c)(1) No provision of title VII of the Tariff Act of 1980 shall 
be interpreted to prevent the refilling of a petition under section 702 
or 732 of that title that was filed before the date of the enactment of 
this title, if the purpose of such refiling is to avail the petitioner 
of the amendment made by section 612(a)(1).
    ``(2) The amendment made by section 612(a)(1) shall not apply with 
respect to petitions filed (or refiled under paragraph (1)) under 
section 702 or 732 of the Tariff Act of 1930 after September 30, 
1986.''.
    Sec. 612(a)(1) of Public Law 98-573 amended sec. 771(4)(A) of this 
Act.
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then there shall be imposed upon such merchandise an 
antidumping duty, in addition to any other duty imposed, in an 
amount equal to the amount by which the normal value \266\ 
exceeds the export price (or the constructed export price) 
\267\ for the merchandise. For purposes of this section and 
section 735(b)(1), a reference to the sale of foreign 
merchandise includes the entering into of any leasing 
arrangement regarding the merchandise that is equivalent to the 
sale of the merchandise.\265\
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    \266\ Sec. 233(a)(1)(A) of Public Law 103-465 (108 Stat. 4898) 
struck out ``foreign market value'' and inserted in lieu thereof 
``normal value''.
    \267\ Sec. 233(a)(2)(A)(i) of Public Law 103-465 (108 Stat. 4898) 
struck out ``United States price'' and inserted in lieu thereof 
``export price (or the constructed export price)''.
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SEC. 732.\268\ PROCEDURES FOR INITIATING AN ANTIDUMPING DUTY 
                    INVESTIGATION.

    (a) \269\ Initiation by Administering Authority.--
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    \268\ 19 U.S.C. 1673a.
    \269\ Sec. 609 of Public Law 98-573 (98 Stat. 3030) amended and 
restated subsec. (a). Subsec. (a) previously read as follows:
    ``(a) Initiation by Administering Authority.--An antidumping duty 
investigation shall be commenced whenever the administering authority 
determines, from information available to it, that a formal 
investigation is warranted into the question of whether the elements 
necessary for the imposition of a duty under section 731 exist.''.
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          (1) In general.--An antidumping duty investigation 
        shall be initiated \270\ whenever the administering 
        authority determines, from information available to it, 
        that a formal investigation is warranted into the 
        question of whether the elements necessary for the 
        imposition of a duty under section 731 exist.
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    \270\ Sec. 233(a)(6)(A)(v) of Public Law 103-465 (108 Stat. 4901) 
struck out ``commenced'' and inserted in lieu thereof ``initiated''.
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          (2) Cases involving persistent dumping.--
                  (A) Monitoring.--The administering authority 
                may establish a monitoring program with respect 
                to imports of a class or kind of merchandise 
                from any additional supplier country for a 
                period not to exceed one year if--
                          (i) more than one antidumping order 
                        is in effect with respect to that class 
                        or kind of merchandise;
                          (ii) in the judgment of the 
                        administering authority there is reason 
                        to believe or suspect an extraordinary 
                        pattern of persistent injurious dumping 
                        from one or more additional supplier 
                        countries; and
                          (iii) in the judgment of the 
                        administering authority this 
                        extraordinary pattern is causing a 
                        serious commercial problem for the 
                        domestic industry.
                  (B) If during the period of monitoring 
                referred to in subparagraph (A), the 
                administering authority determines that there 
                is sufficient information to initiate \271\ a 
                formal investigation under this subsection 
                regarding an additional supplier country, the 
                administering authority shall immediately 
                commence such an investigation.
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    \271\ Sec. 233(a)(6)(C) of Public Law 103-465 (108 Stat. 4901) 
struck out ``commence'' and inserted in lieu thereof ``initiate''.
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                  (C) Definition.--For purposes of this 
                paragraph, the term ``additional supplier 
                country'' means a country regarding which no 
                antidumping investigation is currently pending, 
                and no antidumping duty order is currently in 
                effect, with respect to imports of the class or 
                kinds of merchandise covered by subparagraph 
                (A).
                  (D) Expeditious action.--The administering 
                authority and the Commission, to the extent 
                practicable, shall expedite proceedings under 
                this subtitle undertaken as a result of a 
                formal investigation initiated \272\ under 
                subparagraph (B).
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    \272\ Sec. 233(a)(6)(A)(vi) of Public Law 103-465 (108 Stat. 4901) 
struck out ``commenced'' and inserted in lieu thereof ``initiated''.
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  (b) Initiation by Petition.--
          (1) Petition requirements.--An antidumping proceeding 
        shall be initiated \273\ whenever an interested party 
        described in subparagraph (C), (D), (E), (F), or (G) 
        \160\ of section 771(9) files a petition with the 
        administering authority, on behalf of an industry, 
        which alleges the elements necessary for the imposition 
        of the duty imposed by section 731, and which is 
        accompanied by information reasonably available to the 
        petitioner supporting those allegations. The petition 
        may be amended at such time, and upon such conditions, 
        as the administering authority and the Commission may 
        permit.
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    \273\ Sec. 233(a)(6)(A)(vii) of Public Law 103-465 (108 Stat. 4901) 
struck out ``commenced'' and inserted in lieu thereof ``initiated''.
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          (2) Simultaneous filing with commission.--The 
        petitioner shall file a copy of the petition with the 
        Commission on the same day as it is filed with the 
        administering authority.
          (3) \274\ Action with respect to petitions.--
---------------------------------------------------------------------------
    \274\ Sec. 211(b) of Public Law 103-465 (108 Stat. 4843) added 
para. (3).
---------------------------------------------------------------------------
                  (A) Notification of governments.--Upon 
                receipt of a petition filed under paragraph 
                (1), the administering authority shall notify 
                the government of any exporting country named 
                in the petition by delivering a public version 
                of the petition to an appropriate 
                representative of such country.
                  (B) Acceptance of communications.--The 
                administering authority shall not accept any 
                unsolicited oral or written communication from 
                any person other than an interested party 
                described in section 771(9) (C), (D), (E), (F), 
                or (G) \160\ before the administering authority 
                makes its decision whether to initiate an 
                investigation, except as provided in subsection 
                (c)(4)(D), and except for inquiries regarding 
                the status of the administering authority's 
                consideration of the petition.
                  (C) Nondisclosure of certain information.--
                The administering authority and the Commission 
                shall not disclose information with regard to 
                any draft petition submitted for review and 
                comment before it is filed under paragraph (1).
    (c) \275\ Petition Determination.--
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    \275\ Sec. 212(a)(2) of Public Law 103-465 (108 Stat. 4845) amended 
and restated subsec. (c).
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          (1) In general.--
                  (A) Time for initial determination.--Except 
                as provided in subparagraph (B), within 20 days 
                after the date on which a petition is filed 
                under subsection (b), the administering 
                authority shall--
                          (i) after examining, on the basis of 
                        sources readily available to the 
                        administering authority, the accuracy 
                        and adequacy of the evidence provided 
                        in the petition, determine whether the 
                        petition alleges the elements necessary 
                        for the imposition of a duty under 
                        section 731 and contains information 
                        reasonably available to the petitioner 
                        supporting the allegations, and
                          (ii) determine if the petition has 
                        been filed by or on behalf of the 
                        industry.
                  (B) Extension of time.--In any case in which 
                the administering authority is required to poll 
                or otherwise determine support for the petition 
                by the industry under paragraph (4)(D), the 
                administering authority may, in exceptional 
                circumstances, apply subparagraph (A) by 
                substituting ``a maximum of 40 days'' for ``20 
                days''.
                  (C) Time limits where petition involves same 
                merchandise as an order that has been 
                revoked.--If a petition is filed under this 
                section with respect to merchandise that was 
                the subject merchandise of--
                          (i) an antidumping duty order or 
                        finding that was revoked under section 
                        751(d) in the 24 months preceding the 
                        date the petition is filed, or
                          (ii) a suspended investigation that 
                        was terminated under section 751(d) in 
                        the 24 months preceding the date the 
                        petition is filed,
                the administering authority and the Commission 
                shall, to the maximum extent practicable, 
                expedite any investigation initiated under this 
                section with respect to the petition.
          (2) Affirmative determinations.--If the 
        determinations under clauses (i) and (ii) of paragraph 
        (1)(A) are affirmative, the administering authority 
        shall initiate an investigation to determine whether 
        the subject merchandise is being, or is likely to be, 
        sold in the United States at less than its fair value.
          (3) Negative determinations.--If the determination 
        under clause (i) or (ii) of paragraph (1)(A) is 
        negative, the administering authority shall dismiss the 
        petition, terminate the proceeding, and notify the 
        petitioner in writing of the reasons for the 
        determination.
          (4) Determination of industry support.--
                  (A) General rule.--For purposes of this 
                subsection, the administering authority shall 
                determine that the petition has been filed by 
                or on behalf of the industry, if--
                          (i) the domestic producers or workers 
                        who support the petition account for at 
                        least 25 percent of the total 
                        production of the domestic like 
                        product, and
                          (ii) the domestic producers or 
                        workers who support the petition 
                        account for more than 50 percent of the 
                        production of the domestic like product 
                        produced by that portion of the 
                        industry expressing support for or 
                        opposition to the petition.
                  (B) Certain positions disregarded.--
                          (i) Producers related to foreign 
                        producers.--In determining industry 
                        support under subparagraph (A), the 
                        administering authority shall disregard 
                        the position of domestic producers who 
                        oppose the petition, if such producers 
                        are related to foreign producers, as 
                        defined in section 771(4)(B)(ii), 
                        unless such domestic producers 
                        demonstrate that their interests as 
                        domestic producers would be adversely 
                        affected by the imposition of an 
                        antidumping duty order.
                          (ii) Producers who are importers.--
                        The administering authority may 
                        disregard the position of domestic 
                        producers of a domestic like product 
                        who are importers of the subject 
                        merchandise.
                  (C) Special rule for regional industries.--If 
                the petition alleges the industry is a regional 
                industry, the administering authority shall 
                determine whether the petition has been filed 
                by or on behalf of the industry by applying 
                subparagraph (A) on the basis of production in 
                the region.
                  (D) Polling the industry.--If the petition 
                does not establish support of domestic 
                producers or workers accounting for more than 
                50 percent of the total production of the 
                domestic like product, the administering 
                authority shall--
                          (i) poll the industry or rely on 
                        other information in order to determine 
                        if there is support for the petition as 
                        required by subparagraph (A), or
                          (ii) if there is a large number of 
                        producers in the industry, the 
                        administering authority may determine 
                        industry support for the petition by 
                        using any statistically valid sampling 
                        method to poll the industry.
                  (E) Comments by interested parties.--Before 
                the administering authority makes a 
                determination with respect to initiating an 
                investigation, any person who would qualify as 
                an interested party under section 771(9) if an 
                investigation were initiated, may submit 
                comments or information on the issue of 
                industry support. After the administering 
                authority makes a determination with respect to 
                initiating an investigation, the determination 
                regarding industry support shall not be 
                reconsidered.
          (5) Definition of domestic producers or workers.--For 
        purposes of this subsection, the term ``domestic 
        producers or workers'' means those interested parties 
        who are eligible to file a petition under subsection 
        (b)(1).\276\
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    \276\ Sec. 20(b)(4) of Public Law 104-295 (110 Stat. 3527) struck 
out ``(b)(1)(A)'' and inserted in lieu thereof ``(b)(1)''.
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    (d) Notification to Commission of Determination.--The 
administering authority shall--
          (1) notify the Commission immediately of any 
        determination it makes under subsection (a) or (c), and
          (2) if the determination is affirmative, make 
        available to the Commission such information as it may 
        have relating to the matter under investigation, under 
        such procedures as the administering authority and the 
        Commission may establish to prevent disclosure, other 
        than with the consent of the party providing it or 
        under protective order, of any information to which 
        confidential treatment has been given by the 
        administering authority.
  (e) \277\ Information Regarding Critical Circumstances.--If, 
at any time after the initiation of an investigation under this 
subtitle, the administering authority finds a reasonable basis 
to suspect that--
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    \277\ Subsec. (e) was added by sec. 1324(b)(1) of Public Law 100-
418 (102 Stat. 1200).
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          (1) there is a history of dumping in the United 
        States or elsewhere of the subject merchandise,\278\ or
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    \278\ Sec. 233(a)(5)(P) of Public Law 103-465 (108 Stat. 4900) 
struck out ``class or kind of the merchandise which is the subject of 
the investigation'' and inserted in lieu thereof ``the subject 
merchandise'', resulting in a double ``the''. Sec. 20(b)(8) of Public 
Law 104-295 (110 Stat. 3527) struck out the second ``the''.
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          (2) the person by whom, or for whose account, the 
        merchandise was imported knew, or should have known, 
        that the exporter was selling the merchandise which is 
        the subject of the investigation at less than its fair 
        value,
the administering authority may request the Commissioner of 
Customs to compile information on an expedited basis regarding 
entries of the subject merchandise.\279\ Upon receiving such 
request, the Commissioner of Customs shall collect information 
regarding the volume and value of entries of the subject 
merchandise \279\ and shall transmit such information to the 
administering authority at such times as the administering 
authority shall direct (at least once every 30 days), until a 
final determination is made under section 735(a), the 
investigation is terminated, or the administering authority 
withdraws the request.
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    \279\ Sec. 233(a)(5)(Q) and (R) of Public Law 103-465 (108 Stat. 
4900) struck out ``class or kind of the merchandise which is the 
subject of the investigation'' and ``class or kind of the merchandise 
that is the subject of the investigation'', and inserted ``subject 
merchandise''.
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SEC. 733.\280\ PRELIMINARY DETERMINATIONS.

    (a) \281\ Determination by Commission of Reasonable 
Indication of Injury.--
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    \280\ 19 U.S.C. 1673b. Added by sec. 101 of Public Law 96-39 (93 
Stat. 163).
    \281\ Sec. 212(b)(2)(A) of Public Law 103-465 (108 Stat. 4848) 
amended and restated subsec. (a).
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          (1) General rule.--Except in the case of a petition 
        dismissed by the administering authority under section 
        732(c)(3), the Commission, within the time specified in 
        paragraph (2), shall determine, based on the 
        information available to it at the time of the 
        determination, whether there is a reasonable indication 
        that--
                  (A) an industry in the United States--
                          (i) is materially injured, or
                          (ii) is threatened with material 
                        injury, or
                  (B) the establishment of an industry in the 
                United States is materially retarded,
        by reason of imports of the subject merchandise and 
        that imports of the subject merchandise are not 
        negligible. If the Commission finds that imports of the 
        subject merchandise are negligible or otherwise makes a 
        negative determination under this paragraph, the 
        investigation shall be terminated.
          (2) Time for commission determination.--The 
        Commission shall make the determination described in 
        paragraph (1)--
                  (A) in the case of a petition filed under 
                section 732(b)--
                          (i) within 45 days after the date on 
                        which the petition is filed, or
                          (ii) if the time has been extended 
                        pursuant to section 732(c)(1)(B), 
                        within 25 days after the date on which 
                        the Commission receives notice from the 
                        administering authority of initiation 
                        of the investigation, and
                  (B) in the case of an investigation initiated 
                under section 732(a), within 45 days after the 
                date on which the Commission receives notice 
                from the administering authority that an 
                investigation has been initiated under such 
                section.
    (b) Preliminary Determination by Administering Authority.--
          (1) \282\ Period of antidumping duty investigation.--
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    \282\ Sec. 1323(b) of Public Law 100-418 (102 Stat. 1198) amended 
and restated para. (1).
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                  (A) In general.--Except as provided in 
                subparagraph (B), 140 days after the date on 
                which the administering authority initiates an 
                investigation under section 732(c),\283\ or an 
                investigation is initiated \284\ under section 
                732(a), but not before an affirmative 
                determination by the Commission under 
                subsection (a) of this section, the 
                administering authority shall make a 
                determination, based upon the information \285\ 
                available to it at the time of the 
                determination, of whether there is a reasonable 
                basis to believe or suspect that the 
                merchandise is being sold, or is likely to be 
                sold, at less than fair value.\286\
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    \283\ Sec. 212(b)(2)(C)(i)(I) of Public Law 103-465 (108 Stat. 
4849) struck out ``within 160 days after the date on which a petition 
is filed under section 732(b)'' and inserted in lieu thereof ``140 days 
after the date on which the administering authority initiates an 
investigation under section 732(c)''.
    \284\ Sec. 233(a)(6)(A)(viii) of Public Law 103-465 (108 Stat. 
4901) struck out ``commenced'' and inserted in lieu thereof 
``initiated''.
    \285\ Sec. 212(b)(2)(C)(i)(II) of Public Law 103-465 (108 Stat. 
4849) struck out ``best information'' and inserted in lieu thereof 
``information''.
    \286\ Sec. 219(a)(2) of Public Law 103-465 (108 Stat. 4856) deleted 
``If the determination of the administering authority under this 
subsection is affirmative, the determination shall include the 
estimated average amount by which the foreign market value exceeds the 
United States price.'' at this point.
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                  (B) If certain short life cycle merchandise 
                involved.--If a petition filed under section 
                732(b), or an investigation initiated \284\ 
                under section 732(a), concerns short life cycle 
                merchandise that is included in a product 
                category established under section 739(a), 
                subparagraph (A) shall be applied--
                          (i) by substituting ``100 days'' for 
                        ``140 days'' \287\ if manufacturers 
                        that are second offenders account for a 
                        significant proportion of the 
                        merchandise under investigation, and
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    \287\ Sec. 212(b)(2)(C)(ii) of Public Law 103-465 (108 Stat. 4849) 
struck out ``120'' and ``160'' and inserted ``100'' and ``140'' 
respectively.
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                          (ii) by substituting ``80 days'' for 
                        ``140 days'' \288\ if manufacturers 
                        that are multiple offenders account for 
                        a significant proportion of the 
                        merchandise under investigation.
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    \288\ Sec. 212(b)(2)(C)(ii) of Public Law 103-465 (108 Stat. 4849) 
struck out ``100'' and ``160'' and inserted ``80'' and ``140'' 
respectively.
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                  (C) Definitions of offenders.--For purposes 
                of subparagraph (B)--
                          (i) The term ``second offender'' 
                        means a manufacturer that is specified 
                        in 2 affirmative dumping determinations 
                        (within the meaning of section 739) as 
                        the manufacturer of short life cycle 
                        merchandise that is--
                                  (I) specified in both such 
                                determinations, and
                                  (II) within the scope of the 
                                product category referred to in 
                                subparagraph (B).
                          (ii) The term ``multiple offender'' 
                        means a manufacturer that is specified 
                        in 3 or more affirmative dumping 
                        determinations (within the meaning of 
                        section 739) as the manufacturer of 
                        short life cycle merchandise that is--
                                  (I) specified in each of such 
                                determinations, and
                                  (II) within the scope of the 
                                product category referred to in 
                                subparagraph (B).
          (2) Preliminary determination under waiver of 
        verification.--Within 75 days after the initiation of 
        an investigation to administering authority shall cause 
        an official designated for such purpose to review the 
        information concerning the case received during the 
        first 60 days of the investigation, and if there 
        appears to be sufficient information available upon 
        which the preliminary determination can reasonably be 
        based, to disclose to the petitioner and any interested 
        party, then a party to the proceedings that requests 
        such disclosure, all available nonconfidential 
        information and all other information which is 
        disclosed pursuant to section 777. Within 3 days (not 
        counting Saturdays, Sundays, or legal public holidays) 
        after such disclosure, the petitioner and each party 
        which is an interested party described in subparagraph 
        (C), (D), or (E) of section 771(9) to whom such 
        disclosure was made may furnish to the administering 
        authority an irrevocable written waiver of verification 
        of the information received by the authority, and an 
        agreement that it is willing to have a preliminary 
        determination made on the basis of the record then 
        available to the authority. If a timely waiver and 
        agreement have been received from the petitioner and 
        each party which is an interested party described in 
        subparagraph (C), (D), or (E) of section 771(9) to whom 
        the disclosure was made, and the authority finds that 
        sufficient information is then available upon which the 
        preliminary determination can reasonably be based, a 
        preliminary determination shall be made within 90 days 
        after the initiation \289\ of the investigation on the 
        basis of the record established during the first 60 
        days after the investigation was initiated.\290\
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    \289\ Sec. 233(a)(6)(B) of Public Law 103-465 (108 Stat. 4901) 
struck out ``commencement'' and inserted in lieu thereof 
``initiation''.
    \290\ Sec. 233(a)(6)(A)(ix) of Public Law 103-465 (108 Stat. 4901) 
struck out ``commenced'' and inserted in lieu thereof ``initiated''.
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          (3) \291\ De minimis dumping margin.--In making a 
        determination under this subsection, the administering 
        authority shall disregard any weighted average dumping 
        margin that is de minimis. For purposes of the 
        preceding sentence, a weighted average dumping margin 
        is de minimis if the administering authority determines 
        that it is less than 2 percent ad valorem or the 
        equivalent specific rate for the subject merchandise.
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    \291\ Sec. 213(a) of Public Law 103-465 (108 Stat. 4850) added 
para. (3).
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    (c) Extension of Period in Extraordinarily Complicated 
Cases.--
          (1) In general.--If--
                  (A) the petitioner makes a timely request for 
                an extension of the period within which the 
                determination must be made under subsection 
                (b)(1), or
                  (B) the administering authority concludes 
                that the parties concerned are cooperating and 
                determines that--
                          (i) the case is extraordinarily 
                        complicated by reason of--
                                  (I) the number and complexity 
                                of the transactions to be 
                                investigated or adjustments to 
                                be considered,
                                  (II) the novelty of the 
                                issues presented, or
                                  (III) the number of firms 
                                whose activities must be 
                                investigated, and
                          (ii) additional time is necessary to 
                        make the preliminary determination,
        then the administering authority may postpone making 
        the preliminary determination under subsection (b)(1) 
        until not later than the 190th day after the date on 
        which the administering authority initiates an 
        investigation under section 732(c),\293\ or an 
        investigation is initiated \292\ under section 732(a). 
        No extension of a determination date may be made under 
        this paragraph for any investigation in which a 
        determination date provided for in subsection (b)(1)(B) 
        applies unless the petitioner submits written notice to 
        the administering authority of its consent to the 
        extension.\294\
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    \292\ Sec. 212(b)(2)(D) of Public Law 103-465 (108 Stat. 4849) 
struck out ``210th day after the date on which a petition is filed 
under section 732(b)'' and inserted in lieu thereof ``190th day after 
the date on which the administering authority initiates an 
investigation under section 732(c)''.
    \293\ Sec. 233(a)(6)(A)(x) of Public Law 103-465 (108 Stat. 4901) 
struck out ``commenced'' and inserted in lieu thereof ``initiated''.
    \294\ Sec. 1323(b)(2) of Public Law 100-418 (102 Stat. 1199) 
inserted this sentence.
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          (2) Notice of postponement.--The administering 
        authority shall notify the parties to the 
        investigation, not later than 20 days before the date 
        on which the preliminary determination would otherwise 
        be required under subsection (b)(1), if it intends to 
        postpone making the preliminary determination under 
        paragraph (1). The notification shall include an 
        explanation of the reasons for the postponement, and 
        notice of the postponement shall be published in the 
        Federal Register.
    (d) Effect of Determination by the Administering 
Authority.--If the preliminary determination of the 
administering authority under subsection (b) is affirmative, 
the administering authority--
          (1) \295\ (A) shall--
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    \295\ Sec. 219(a)(1) of Public Law 103-465 (108 Stat. 4855) struck 
out para. (2); redesignated para. (1) as para. (2); inserted ``and'' at 
the end of para. (2); and added a new para. (1).
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                  (i) determine an estimated weighted average 
                dumping margin for each exporter and producer 
                individually investigated, and
                  (ii) determine, in accordance with section 
                735(c)(5), an estimated all-others rate for all 
                exporters and producers not individually 
                investigated, and
          (B) shall order the posting of a cash deposit, bond, 
        or other security, as the administering authority deems 
        appropriate, for each entry of the subject merchandise 
        in an amount based on the estimated weighted average 
        dumping margin or the estimated all-others rate, 
        whichever is applicable,
          (2) \295\ shall order the suspension of liquidation 
        of all entries of merchandise subject to the 
        determination which are entered, or withdrawn from 
        warehouse, for consumption on or after the later of--
                  (A) the date on which notice of the 
                determination is published in the Federal 
                Register, or
                  (B) the date that is 60 days after the date 
                on which notice of the determination to 
                initiate the investigation is published in the 
                Federal Register, and \296\
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    \296\ Sec. 215(b)(1)(A) of Public Law 103-465 (108 Stat. 4852) 
struck out ``warehouse, for consumption on or after the date of 
publication of the notice of the determination in the Federal 
Register'' and inserted in lieu thereof language from ``warehouse,'' 
through subpara. (B).
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          (3) shall make available to the Commission all 
        information upon which such determination was based and 
        which the Commission considers relevant to its injury 
        determination, under such procedures as the 
        administering authority and the Commission may 
        establish to prevent disclosure, other than with the 
        consent of the party providing it or under protective 
        order, of any information to which confidential 
        treatment has been given by the administering 
        authority.
The instructions of the administering authority under 
paragraphs (1) and (2) may not remain in effect for more than 4 
months, except that the administering authority may, at the 
request of exporters representing a significant proportion of 
exports of the subject merchandise, extend that 4-month period 
to not more than 6 months.\297\
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    \297\ Sec. 215(b)(1)(B) of Public Law 103-465 (108 Stat. 4852) 
added this sentence.
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    (e) Critical Circumstances Determinations.--
          (1) In general.--If a petitioner alleges critical 
        circumstances in its original petition, or by amendment 
        at any time more than 20 days before the date of a 
        final determination by the administering authority, 
        then the administering authority shall promptly (at any 
        time after the initiation of the investigation under 
        this subtitle) \298\ determine, on the basis of the 
        information \299\ available to it at that time, whether 
        there is a reasonable basis to believe or suspect 
        that--
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    \298\ The text within the parentheses to this point was added by 
sec. 1324(b)(2) of Public Law 100-418 (102 Stat. 1201).
    \299\ Sec. 214(b)(1)(A) of Public Law 103-465 (108 Stat. 4851) 
struck ``best information'' and inserted ``information''.
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                  (A) \300\ the alleged countervailable subsidy 
                is inconsistent with the Subsidies Agreement, 
                and
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    \300\ Sec. 214(b)(1)(A) of Public Law 103-465 (108 Stat. 4851) 
amended and restated subparas. (A) and (B).
---------------------------------------------------------------------------
                  (B) there have been massive imports of the 
                subject merchandise over a relatively short 
                period.
        The administering authority shall be treated as having 
        made an affirmative determination under subparagraph 
        (A) in any investigation to which subsection (b)(1)(B) 
        is applied.\301\
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    \301\ Sec. 1323(b)(3) of Public Law 100-418 (102 Stat. 1199) added 
this sentence.
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          (2) Suspension of liquidation.--If the determination 
        of the administering authority under paragraph (1) is 
        affirmative, then any suspension of liquidation ordered 
        under subsection (d)(2) \302\ shall apply, or, if 
        notice of such suspension of liquidation is already 
        published, be amended to apply, to unliquidated entries 
        of merchandise entered, or withdrawn from warehouse, 
        for consumption on or after the later of--
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    \302\ Sec. 219(c)(1) of Public Law 103-465 (108 Stat. 4857) struck 
out ``subsection (d)(1)'' and inserted ``subsection (d)(2)''.
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                  (A) the date which is 90 days before the date 
                on which the suspension of liquidation was 
                first ordered, or
                  (B) the date on which notice of the 
                determination to initiate the investigation is 
                published in the Federal Register.\303\
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    \303\ Sec. 215(b)(2) of Public Law 103-465 (108 Stat. 4853) struck 
out ``warehouse, for consumption on or after the date which is 90 days 
before the date on which suspension of liquidation was first ordered.'' 
and inserted in lieu thereof language beginning at ``warehouse,'' 
through subpara. (B).
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    (f) \304\ Notice of Determination.--Whenever the Commission 
or the administering authority makes a determination under this 
section, the Commission or the administering authority, as the 
case may be, shall notify the petitioner, and other parties to 
the investigation, and the Commission or the administering 
authority (whichever is appropriate) of its determination. The 
administering authority shall include with such notification 
the facts and conclusions on which its determination is based. 
Not later than 5 days after the date on which the determination 
is required to be made under subsection (a)(2), the Commission 
shall transmit to the administering authority the facts and 
conclusions on which its determination is based.
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    \304\ Sec. 212(b)(2)(E) of Public Law 103-465 (108 Stat. 4850) 
amended and restated subsec. (f).
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SEC. 734.\305\ TERMINATION OR SUSPENSION OF INVESTIGATION.

    (a) \306\ Termination of Investigation Upon Withdrawal of 
Petition.--
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    \305\ 19 U.S.C. 1673c.
    \306\ Sec. 604(b) of Public Law 98-573 (98 Stat. 3026) amended and 
restated subsec. (a).
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          (1) In general.--
                  (A) \307\ Withdrawal of petition.--Except as 
                provided in paragraphs (2) and (3), an 
                investigation under this subtitle may be 
                terminated by either the administering 
                authority or the Commission, after notice to 
                all parties to the investigation, upon 
                withdrawal of the petition by the petitioner or 
                by the administering authority if the 
                investigation was initiated under section 
                702(a).
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    \307\ Sec. 217(b) of Public Law 103-465 (108 Stat. 4853) struck out 
``Except'', inserted in lieu thereof ``(A) Withdrawal of petition.--
Except'', indented subpara. (A), and added a new subpara. (B).
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                  (B) \307\ Refiling of petition.--If, within 3 
                months after the withdrawal of a petition under 
                subparagraph (A), a new petition is filed 
                seeking the imposition of duties on both the 
                subject merchandise of the withdrawn petition 
                and the subject merchandise from another 
                country, the administering authority and the 
                Commission may use in the investigation 
                initiated pursuant to the new petition any 
                records compiled in an investigation conducted 
                pursuant to the withdrawn petition. This 
                subparagraph applies only with respect to the 
                first withdrawal of a petition.
          (2) Special rules for quantitative restriction 
        agreement.--
                  (A) In general.--Subject to subparagraphs (B) 
                and (C), the administering authority may not 
                terminate an investigation under paragraph (1) 
                by accepting an understanding or other kind of 
                agreement to limit the volume of imports into 
                the United States of the subject merchandise 
                \308\ unless the administering authority is 
                satisfied that termination on the basis of that 
                agreement is in the public interest.
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    \308\ Sec. 233(a)(5)(S) of Public Law 103-465 (108 Stat. 4900) 
struck out ``merchandise that is subject to the investigation'' and 
inserted in lieu thereof ``subject merchandise''.
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                  (B) Public interest factors.--In making a 
                decision under subparagraph (A) regarding the 
                public interest the administering authority 
                shall take into account--
                          (i) whether, based upon the relative 
                        impact on consumer prices and the 
                        availability of supplies of the 
                        merchandise, the agreement would have a 
                        greater adverse impact on United States 
                        consumers than the imposition of 
                        antidumping duties;
                          (ii) the relative impact on the 
                        international economic interests of the 
                        United States; and
                          (iii) the relative impact on the 
                        competitiveness of the domestic 
                        industry producing the like merchandise 
                        including any such impact on employment 
                        and investment in that industry.
                  (C) Prior consultations.--Before making a 
                decision under subparagraph (A) regarding the 
                public interest, the administering authority 
                shall, to the extent practicable, consult 
                with--
                          (i) potentially affected consuming 
                        industries; and
                          (ii) Potentially affected producers 
                        and workers in the domestic industry 
                        producing the like merchandise, 
                        including producers and workers not 
                        party to the investigation.
          (3) Limitation on termination by commission.--The 
        Commission may not terminate an investigation under 
        paragraph (1) before a preliminary determination is 
        made by the administrative authority under section 
        703(b).
    (b) Agreements To Eliminate Completely Sales at Less Than 
Fair Value or To Cease Export of Merchandise.--The 
administering authority may suspend an investigation if the 
exporters of the subject merchandise \309\ who account for 
substantially all of the imports of that merchandise agree--
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    \309\ Sec. 233(a)(5)(T) of Public Law 103-465 (108 Stat. 4900) 
struck out ``merchandise which is the subject of the investigation'' 
and inserted in lieu thereof ``subject merchandise'' in subsecs. (b), 
(c)(1), (f)(1)(A), (f)(2)(A)(i), (g)(1), (h)(2), (h)(3), and (j) of 
sec. 734.
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          (1) to cease exports of the merchandise to the United 
        States within 6 months after the date on which the 
        investigation is suspended, or
          (2) to revise their prices to eliminate completely 
        any amount by which the normal value \310\ of the 
        merchandise which is the subject of the agreement 
        exceeds the export price (or the constructed export 
        price) \311\ of that merchandise.
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    \310\ Sec. 233(a)(1)(B) of Public Law 103-465 (108 Stat. 4898) 
struck out ``foreign market value'' and inserted in lieu thereof 
``normal value''.
    \311\ Sec. 233(a)(2)(A)(ii) of Public Law 103-465 (108 Stat. 4898) 
struck out ``United States price'' and inserted in lieu thereof 
``export price (or the constructed export price)''.
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    (c) Agreements Eliminating Injurious Efforts.--
          (1) General rule.--If the administering authority 
        determines that extraordinary circumstances are present 
        in a case, it may suspend an investigation upon the 
        acceptance of an agreement to revise prices from 
        exporters of the subject merchandise \309\ who account 
        for substantially all of the imports of that 
        merchandise into the United States, if the agreement 
        will eliminate completely the injurious effect of 
        exports to the United States of that merchandise and 
        if--
                  (A) the suppression or undercutting of price 
                levels of domestic products by imports of that 
                merchandise will be prevented, and
                  (B) for each entry of each exporter the 
                amount by which the estimated normal value 
                \310\ exceeds the export price (or the 
                constructed export price) \311\ will not exceed 
                15 percent of the weighted average amount by 
                which the estimated normal value \310\ exceeded 
                the export price (or the constructed export 
                price) \311\ for all less-than-fair-value 
                entries of the exporter examined during the 
                course of the investigation.
          (2) Definition of extraordinary circumstances.--
                  (A) Extraordinary circumstances.--For 
                purposes of this subsection, the term 
                ``extraordinary circumstances'' means 
                circumstances in which--
                          (i) suspension of an investigation 
                        will be more beneficial to the domestic 
                        industry than continuation of the 
                        investigation, and
                          (ii) the investigation is complex.
                  (B) Complex.--For purposes of this paragraph, 
                the term ``complex'' means--
                          (i) there are a large number of 
                        transactions to be investigated or 
                        adjustments to be considered,
                          (ii) the issues raised are novel, or
                          (iii) the number of firms involved is 
                        large.
    (d) \312\ Additional Rules and Conditions.--The 
administering authority may not accept an agreement under 
subsection (b) or (c) unless--
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    \312\ Sec. 604(b)(2) of Public Law 98-573 (98 Stat. 3027) amended 
and restated subsec. (d).
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          (1) it is satisfied that suspension of the 
        investigation is in the public interest, and
          (2) effective monitoring of the agreement by the 
        United States is practicable.
Where practicable, the administering authority shall provide to 
the exporters who would have been subject to the agreement the 
reasons for not accepting the agreement and, to the extent 
possible, an opportunity to submit comments thereon.\313\
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    \313\ Sec. 216(b) of Public Law 103-465 (108 Stat. 4853) added this 
sentence.
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    (e) Suspension of Investigation Procedure.--Before an 
investigation may be suspended under subsection (b) or (c) the 
administering authority shall--
          (1) notify the petitioner of, and consult with the 
        petitioner concerning, its intention to suspend the 
        investigation, and notify other parties to the 
        investigation and the Commission not less than 30 days 
        before the date on which it suspends the investigation,
          (2) provide a copy of the proposed agreement to the 
        petitioner at the time of the notification, together 
        with an explanation of how the agreement will be 
        carried out and enforced, and of how the agreement will 
        meet the requirements of subsections (b) and (d) or (c) 
        and (d), and
          (3) permit all interested parties described in 
        section 771(9) \314\ to submit comments and information 
        for the record before the date on which notice of 
        suspension of the investigation is published under 
        subsection (f)(1)(A).
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    \314\ Sec. 604(b)(3) of Public Law 98-573 (98 Stat. 3027) 
substituted the words ``all interested parties described in section 
771(9)'' in lieu of the words ``all parties to the investigation''.
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    (f) Effects of Suspension of Investigation.--
          (1) In general.--If the administering authority 
        determines to suspend an investigation upon acceptance 
        of an agreement described in subsection (b) or (c), 
        then--
                  (A) it shall suspend the investigation, 
                publish notice of suspension of the 
                investigation, and issue an affirmative 
                preliminary determination under section 733(b) 
                with respect to the subject merchandise,\309\ 
                unless it has previously issued such a 
                determination in the same investigation,
                  (B) the Commission shall suspend any 
                investigation it is conducting with respect to 
                that merchandise, and
                  (C) the suspension of investigation shall 
                take effect on the day on which such notice is 
                published.
          (2) Liquidation of entries.--
                  (A) Cessation of exports; complete 
                elimination of dumping margin.--If the 
                agreement accepted by the administering 
                authority is an agreement described in 
                subsection (b), then--
                          (i) notwithstanding the affirmative 
                        preliminary determination required 
                        under paragraph (1)(A), the liquidation 
                        of entries of subject merchandise \309\ 
                        shall not be suspended under section 
                        733(d)(2),\315\
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    \315\ Sec. 219(c)(2)(A) of Public Law 103-465 (108 Stat. 4857) 
struck out ``section 733(d)(1)'' and inserted ``section 733(d)(2)''.
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                          (ii) if the liquidation of entries of 
                        such merchandise was suspended pursuant 
                        to a previous affirmative preliminary 
                        determination in the same case with 
                        respect to such merchandise, that 
                        suspension of liquidation shall 
                        terminate, and
                          (iii) the administering authority 
                        shall refund any cash deposit and 
                        release any bond or other security 
                        deposited under section 
                        733(d)(1)(B).\316\
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    \316\ Sec. 219(c)(2)(B) of Public Law 103-465 (108 Stat. 4857) 
struck out ``section 733(d)(2)'' and inserted ``section 733(d)(1)(B)''.
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                  (B) Other agreements.--If the agreement 
                accepted by the administering authority is an 
                agreement described in subsection (c), the 
                liquidation of entries of the subject 
                merchandise \317\ shall be suspended under 
                section 733(d)(2),\318\ or, if the liquidation 
                of entries of such merchandise was suspended 
                pursuant to a previous affirmative preliminary 
                determination in the same case, that suspension 
                of liquidation shall continue in effect, 
                subject to subsection (h)(3), but the security 
                required under section 733(d)(1)(B) \318\ may 
                be adjusted to reflect the effect of the 
                agreement.
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    \317\ Sec. 233(a)(5)(U) of Public Law 103-465 (108 Stat. 4900) 
struck out ``merchandise subject to the investigation'' and inserted in 
lieu thereof ``subject merchandise''.
    \318\ Sec. 219(c)(3) of Public Law 103-465 (108 Stat. 4857) struck 
out ``section 733(d)(1)'' and inserted ``section 733(d)(2)'', and 
struck out ``section 733(d)(2)'' and inserted ``section 733(d)(1)(B)'', 
respectively.
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          (3) Where investigation is continued.--If, pursuant 
        to subsection (g), the administering authority and the 
        Commission continue an investigation in which an 
        agreement has been accepted under subsection (b) or 
        (c), then--
                  (A) if the final determination by the 
                administering authority or the Commission under 
                section 735 is negative, the agreement shall 
                have no force or effect and the investigation 
                shall be terminated, or
                  (B) if the final determinations by the 
                administering authority and the Commission 
                under such section are affirmative, the 
                agreement shall remain in force, but the 
                administering authority shall not issue an 
                antidumping duty order in the case so long as--
                          (i) the agreement remains in force,
                          (ii) the agreement continues to meet 
                        the requirements of subsections (b) and 
                        (d), or (c) and (d), and
                          (iii) the parties to the agreement 
                        carry out their obligations under the 
                        agreement in accordance with its terms.
    (g) Investigation To Be Continued Upon Request.--If the 
administering authority, within 20 days after the date of 
publication of the notice of suspension of an investigation, 
receives a request for the continuation of the investigation 
from--
          (1) an exporter or exporters accounting for a 
        significant proportion of exports of the United States 
        of the subject merchandise,\309\ or
          (2) an interested party described in subparagraph 
        (C), (D), (E), (F), or (G) \160\ of section 771(9) 
        which is a party to the investigation,
then the administering authority and the Commission shall 
continue the investigation.
    (h) Review of Suspension.--
          (1) In general.--Within 20 days after the suspension 
        of an investigation under subsection (c), an interested 
        party which is a party to the investigation and which 
        is described in subparagraph (C), (D), (E), (F), or (G) 
        \160\ of section 771(9) may, by petition filed with the 
        Commission and with notice to the administering 
        authority, ask for a review of the suspension.
          (2) Commission investigation.--Upon receipt of a 
        review petition under paragraph (1), the Commission 
        shall, within 75 days after the date on which the 
        petition is filed with it, determine whether the 
        injurious effect of imports of the subject merchandise 
        \309\ is eliminated completely by the agreement. If the 
        Commission's determination under this subsection is 
        negative, the investigation shall be resumed on the 
        date of publication of notice of such determination as 
        if the affirmative preliminary determination under 
        section 733(b) had been made on that date.
          (3) Suspension of liquidation to continue during 
        review period.--The suspension of liquidation of 
        entries of the subject merchandise \309\ shall 
        terminate at the close of the 20-day period beginning 
        on the day after the date on which notice of suspension 
        of the investigation is published in the Federal 
        Register, or, if a review petition is filed under 
        paragraph (1) with respect to the suspension of the 
        investigation, in the case of an affirmative 
        determination by the Commission under paragraph (2), 
        the date on which notice of an affirmative 
        determination by the Commission is published. If the 
        determination of the Commission under paragraph (2) is 
        affirmative, then the administering authority shall--
                  (A) terminate the suspension of liquidation 
                under section 733(d)(2),\319\ and
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    \319\ Sec. 219(c)(4)(A) of Public Law 103-465 (108 Stat. 4857) 
struck out ``section 733(d)(1)'' and inserted ``section 733(d)(2)''.
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                  (B) release any bond or other security, and 
                refund any cash deposit, required under section 
                733(d)(1)(B).\320\
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    \320\ Sec. 219(c)(4)(B) of Public Law 103-465 (108 Stat. 4857) 
struck out ``section 733(d)(2)'' and inserted ``section 733(d)(1)(B)''.
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    (i) Violation of Agreement.--
          (1) In general.--If the administering authority 
        determines that an agreement accepted under subsection 
        (b) or (c) is being, or has been, violated, or no 
        longer meets the requirements of such subsection (other 
        than the requirement, under subsection (c)(1), of 
        elimination of injury) and subsection (d), then, on the 
        date of publication of its determination, it shall--
                  (A) suspend liquidation under section 
                733(d)(2) \321\ of unliquidated entries of the 
                merchandise made on the later of--
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    \321\ Sec. 219(c)(5) of Public Law 103-465 (108 Stat. 4857) struck 
out ``section 733(d)(1)'' and inserted ``section 733(d)(2)''.
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                          (i) the date which is 90 days before 
                        the date of publication of the notice 
                        of suspension of liquidation, or
                          (ii) the date on which the 
                        merchandise, the sale or export to the 
                        United States of which was in violation 
                        of the agreement, or under an agreement 
                        which no longer meets the requirements 
                        of subsections (b) and (d), or (c) and 
                        (d), was first entered, or withdrawn 
                        from warehouse, for consumption,
                  (B) if the investigation was not completed, 
                resume the investigation as if its affirmative 
                preliminary determination were made on the date 
                of its determination under this paragraph,
                  (C) if the investigation was completed under 
                subsection (g), issue an antidumping duty order 
                under section 736(a) effective with respect to 
                entries of merchandise liquidation of which was 
                suspended,
                  (D) \322\ if it considers the violation to be 
                intentional, notify the Commissioner of Customs 
                who shall take appropriate action under 
                paragraph (2), and
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    \322\ Sec. 604(b) (4) of Public Law 98-573 (98 Stat. 3027) 
redesignated existing subpara. (D) as subpara. (E), and added a new 
subpara. (D).
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                  (E) \322\ notify the petitioner, interested 
                parties who are or were parties to the 
                investigation, and the Commission of its action 
                under this paragraph.
          (2) Intentional violation to be punished by civil 
        penalty.--Any person who intentionally violates an 
        agreement accepted by the administering authority under 
        subsection (b) or (c) shall be subject to a civil 
        penalty assessed in the same amount, in the same 
        manner, and under the same procedures, as the penalty 
        imposed for a fraudulent violation of section 592(a) of 
        this Act.
    (j) Determination Not To Take Agreement Into Account.--In 
making a final determination under section 735, or in 
conducting a review under section 751, in a case in which the 
administering authority has terminated a suspension of 
investigation under subsection (i)(1), or continued an 
investigation under subsection (g), the Commission and the 
administering authority shall consider all of the subject 
merchandise \309\ without regard to the effect of any agreement 
under subsection (b) or (c).
    (k) \323\ Termination of Investigation Initiated by 
Administering Authority.--The administering authority may 
terminate any investigation initiated by the administering 
authority under section 732(a) after providing notice of such 
termination to all parties to the investigation.
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    \323\ Sec. 604(b) (5) of Public Law 98-573 (98 Stat. 3027) added 
subsec. (k).
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    (l) \324\ Special Rule for Nonmarket Economy Countries.--
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    \324\ Subsec. (l) was added by sec. 1316(c) of Public Law 100-418 
(102 Stat. 1187). Sec. 1337(b) of that Act further stated that the 
amendments made by section 1316 shall only apply with respect to 
investigations initiated after the date of enactment of that Act, and 
to reviews initiated under secs. 736(c) or 751 of the Tariff Act of 
1930 after the date of enactment of that Act.
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          (1) In general.--The administering authority may 
        suspend an investigation under this subtitle upon 
        acceptance of an agreement with a nonmarket economy 
        country to restrict the volume of imports into the 
        United States of the merchandise under investigation 
        only if the administering authority determines that--
                  (A) such agreement satisfies the requirements 
                of subsection (d), and
                  (B) will prevent the suppression or 
                undercutting of price levels of domestic 
                products by imports of the merchandise under 
                investigation.
          (2) Failure of agreements.--If the administering 
        authority determines that an agreement accepted under 
        this subsection no longer prevents the suppression or 
        undercutting of domestic prices of merchandise 
        manufactured in the United States, the provisions of 
        subsection (i) shall apply.
    (m) \325\ Special Rule for Regional Industry 
Investigations.--
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    \325\ Sec. 218(a)(2) of Public Law 103-465 (108 Stat. 4854) added 
subsec. (m).
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          (1) Suspension agreements.--If the Commission makes a 
        regional industry determination under section 
        771(4)(C), the administering authority shall offer 
        exporters of the subject merchandise who account for 
        substantially all exports of that merchandise for sale 
        in the region concerned the opportunity to enter into 
        an agreement described in subsection (b), (c), or (l).
          (2) Requirements for suspension agreements.--Any 
        agreement described in paragraph (1) shall be subject 
        to all the requirements imposed under this section for 
        other agreements under subsection (b), (c), or (l), 
        except that if the Commission makes a regional industry 
        determination described in paragraph (1) in the final 
        affirmative determination under section 735(b) but not 
        in the preliminary affirmative determination under 
        section 733(a), any agreement described in paragraph 
        (1) may be accepted within 60 days after the 
        antidumping order is published under section 736.
          (3) Effect of suspension agreement on antidumping 
        duty order.--If an agreement described in paragraph (1) 
        is accepted after the antidumping duty order is 
        published, the administering authority shall rescind 
        the order, refund any cash deposit and release any bond 
        or other security deposited under section 733(d)(1)(B), 
        and instruct the Customs Service that entries of the 
        subject merchandise that were made during the period 
        that the order was in effect shall be liquidated 
        without regard to antidumping duties.

SEC. 735.\326\ FINAL DETERMINATIONS.

    (a) Final Determination by Administering Authority.--
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    \326\ 19 U.S.C. 1673d.
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          (1) General rule.--Within 75 days after the date of 
        its preliminary determination under section 733(b), the 
        administering authority shall make a final 
        determination of whether the subject merchandise \327\ 
        is being, or is likely to be, sold in the United States 
        at less than its fair value.
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    \327\ Sec. 233(a)(5)(V) of Public Law 103-465 (108 Stat. 4900) 
struck out ``merchandise which was the subject of the investigation'' 
and inserted in lieu thereof ``subject merchandise''.
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          (2) Extension of period for determination.--The 
        administering authority may postpone making the final 
        determination under paragraph (1) until not later than 
        the 135th day after the date on which it published 
        notice of its preliminary determination under section 
        733(b) if a request in writing for such a postponement 
        is made by--
                  (A) exporters who account for a significant 
                proportion of exports of the merchandise which 
                is the subject of the investigation, in a 
                proceeding in which the preliminary 
                determination by the administering authority 
                under section 733(b) was affirmative, or
                  (B) the petitioner, in a proceeding in which 
                the preliminary determination by the 
                administering authority under section 733(b) 
                was negative.
          (3) Critical circumstances determinations.--If the 
        final determination of the administering authority is 
        affirmative, then that determination, in any 
        investigation in which the presence of critical 
        circumstances has been alleged under section 733(e), 
        shall also contain a finding of whether--
                  (A)(i) there is a history of dumping and 
                material injury by reason of dumped imports 
                \328\ in the United States or elsewhere of the 
                subject merchandise,\329\ or
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    \328\ Sec. 214(b)(2)(A)(i)(I) of Public Law 103-465 (108 Stat. 
4851) inserted ``and material injury by reason of dumped imports'' 
after ``history of dumping''.
    \329\ Sec. 214(b)(2)(A)(i)(II) of Public Law 103-465 (108 Stat. 
4851) struck out ``class or kind of merchandise which is the subject of 
the investigation'' and inserted in lieu thereof ``subject 
merchandise''.
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                  (ii) the person by whom, or for whose 
                account, the merchandise was imported knew or 
                should have known that the exporter was selling 
                the subject merchandise at less than its fair 
                value and that there would be material injury 
                by reason of such sales,\330\ and
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    \330\ Sec. 214(b)(2)(A)(ii) of Public Law 103-465 (108 Stat. 4851) 
struck out ``merchandise which is the subject of the investigation at 
less than its fair value'' and inserted in lieu thereof ``subject 
merchandise at less than its fair value and that there would be 
material injury by reason of such sales''.
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                  (B) there have been massive imports of the 
                subject merchandise \331\ over a relatively 
                short period.
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    \331\ Sec. 214(b)(2)(A)(iii) of Public Law 103-465 (108 Stat. 4851) 
struck out ``merchandise which is the subject of the investigation'' 
and inserted in lieu thereof ``subject merchandise''.
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          (4) \332\ De minimis dumping margin.--In making a 
        determination under this subsection, the administering 
        authority shall disregard any weighted average dumping 
        margin that is de minimis as defined in section 
        733(b)(3).
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    \332\ Sec. 213(b) of Public Law 103-465 (108 Stat. 4850) added 
para. (4).
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Such findings may be affirmative even though the preliminary 
determination under section 733(e)(1) was negative.\333\
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    \333\ Sec. 605(b)(1) of Public Law 98-573 (98 Stat. 3028) added 
this sentence.
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    (b) Final Determination by Commission.--
          (1) In general.--The Commission shall make a final 
        determination of whether--
                  (A) an industry in the United States--
                          (i) is materially injured, or
                          (ii) is threatened with material 
                        injury, or
                  (B) the establishment of an industry in the 
                United States is materially retarded,
        by reason of imports, or sales (or the likelihood of 
        sales) for importation,\334\ of the merchandise with 
        respect to which the administering authority has made 
        an affirmative determination under subsection (a)(1). 
        If the Commission determines that imports of the 
        subject merchandise are negligible, the investigation 
        shall be terminated.\335\
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    \334\ Sec. 212(b)(1)(B) of Public Law 103-465 (108 Stat. 4849) 
added this sentence.
    \335\ Sec. 602(c) of Public Law 98-573 (98 Stat. 3024) added the 
words ``, or sales (or the likelihood of importation,''. Sec 626(b) of 
Public Law 98-573 further stated that this amendment shall apply with 
respect to investigations initiated by petition or by the administering 
authority under subtitles A and B of title VII of the Tariff Act of 
1930 on or after the effective date of this Act (Oct. 30, 1984).
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          (2) Period for injury determination following 
        affirmative preliminary determination by administering 
        authority.--If the preliminary determination by the 
        administering authority under section 733(b) is 
        affirmative, then the Commission shall make the 
        determination required by paragraph (1) before the 
        later of--
                  (A) the 120th day after the day on which the 
                administering authority makes its affirmative 
                preliminary determination under section 733(b), 
                or
                  (B) the 45th day after the day on which the 
                administering authority makes its affirmative 
                final determination under subsection (a).
          (3) Period for injury determination following 
        negative preliminary determination by administering 
        authority.--If the preliminary determination by the 
        administering authority under section 733(b) is 
        negative, and its final determination under subsection 
        (a) is affirmative, then the final determination by the 
        Commission under this subsection shall be made within 
        75 days after the date of that affirmative final 
        determination.
          (4) Certain additional findings.--
                  (A) \336\ Commission standard for retroactive 
                application.--
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    \336\ Subpara. (A) was amended and restated by sec. 1324(b)(3) of 
Public Law 100-418 (102 Stat. 1201), and amended and restated again by 
sec. 214(b)(2)(B) of Public Law 103-465 (108 Stat. 4851).
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                          (i) In general.--If the finding of 
                        the administering authority under 
                        subsection (a)(3) is affirmative, then 
                        the final determination of the 
                        Commission shall include a finding as 
                        to whether the imports subject to the 
                        affirmative determination under 
                        subsection (a)(3) are likely to 
                        undermine seriously the remedial effect 
                        of the antidumping duty order to be 
                        issued under section 736.
                          (ii) Factors to consider.--In making 
                        the evaluation under clause (i), the 
                        Commission shall consider, among other 
                        factors it considers relevant--
                                  (I) the timing and the volume 
                                of the imports,
                                  (II) a rapid increase in 
                                inventories of the imports, and
                                  (III) any other circumstances 
                                indicating that the remedial 
                                effect of the antidumping order 
                                will be seriously undermined.
                  (B) If the final determination of the 
                commission is that there is no material injury 
                but that there is threat of material injury, 
                then its determination shall also include a 
                finding as to whether material injury by reason 
                of the imports of the merchandise with respect 
                to which the administering authority has made 
                an affirmative determination under subsection 
                (a) of this section would have been found but 
                for any suspension of liquidation of entries of 
                the merchandise.
    (c) Effect of Final Determinations.--
          (1) Effect of affirmative determination by the 
        administering authority.--If the determination of the 
        administering authority under subsection (a) is 
        affirmative, then--
                  (A) the administering authority shall make 
                available to the Commission all information 
                upon which such determination was based and 
                which the Commission considers relevant to its 
                determination, under such procedures as the 
                administering authority and the Commission may 
                establish to prevent disclosure, other than 
                with the consent of the party providing it or 
                under protective order, of any information as 
                to which confidential treatment has been given 
                by the administering authority,\337\
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    \337\ Sec. 219(b)(1) of Public Law 103-465 (108 Stat. 4856) 
redesignated subpara. (B) as subpara. (C); struck out ``and'' at the 
end of subpara. (A); and inserted a new subpara. (B).
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                  (B) \331\ (i) the administering authority 
                shall--
                          (I) determine the estimated weighted 
                        average dumping margin for each 
                        exporter and producer individually 
                        investigated, and
                          (II) determine, in accordance with 
                        paragraph (5), the estimated all-others 
                        rate for all exporters and producers 
                        not individually investigated, and
                  (ii) the administering authority shall order 
                the posting of a cash deposit, bond, or other 
                security, as the administering authority deems 
                appropriate, for each entry of the subject 
                merchandise in an amount based on the estimated 
                weighted average dumping margin or the 
                estimated all-others rate, whichever is 
                applicable, and
                  (C) \331\ in cases where the preliminary 
                determination by the administering authority 
                under section 733(b) was negative, the 
                administering authority shall order the 
                suspension of liquidation under section 
                733(d)(2).\338\
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    \338\ Sec. 219(b)(1)(A)(ii) of Public Law 103-465 (108 Stat. 4856) 
struck out ``under paragraphs (1) and (2) of section 733(d) the 
suspension of liquidation and the posting of a cash deposit, bond, or 
other security'' and inserted in lieu thereof ``the suspension of 
liquidation under section 733(d)(2)''.
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          (2) Issuance of order; effect of negative 
        determination.--If the determinations of the 
        administering authority and the Commission under 
        subsections (a)(1) and (b)(1) are affirmative then the 
        administering authority shall issue an antidumping duty 
        order under section 736(a). If either of such 
        determinations is negative, the investigation shall be 
        terminated upon the publication of notice of that 
        negative determination and the administering authority 
        shall--
                  (A) terminate the suspension of liquidation 
                under section 733(d)(2),\339\ and
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    \339\ Sec. 219(c)(6) of Public Law 103-465 (108 Stat. 4857) struck 
out ``section 703(d)(1)'' and inserted in lieu thereof ``section 
733(d)(2)''.
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                  (B) release any bond or other security, and 
                refund any cash deposit, required under section 
                733(d)(1)(B).\340\
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    \340\ Sec. 219(c)(7) of Public Law 103-465 (108 Stat. 4857) struck 
out ``section 733(d)(2)'' and inserted in lieu thereof ``section 
733(d)(1)(B)''.
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          (3) Effect of negative determinations under 
        subsections (a)(3)  and (b)(4)(A).--If the 
        determination of the administering authority or the 
        Commission under subsection (a)(3) or (b)(4)(A), 
        respectively, is negative, then the administering 
        authority shall--
                  (A) terminate any retroactive suspension of 
                liquidation required under paragraph (4) \341\ 
                or section 733(e)(2), and
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    \341\ Sec. 605(b) of Public Law 98-573 (98 Stat. 3028) amended 
subsec. (c) by inserting the reference to para. (4) in para. (3), and 
by adding a new para. (4).
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                  (B) release any bond or other security, and 
                refund any cash deposit required, under section 
                733(d)(1)(B) \342\ with respect to entries of 
                the merchandise the liquidation of which was 
                suspended retroactively under section 
                733(e)(2).
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    \342\ Sec. 219(c)(8) of Public Law 103-465 (108 Stat. 4857) struck 
out ``section 733(d)(2)'' and inserted ``section 733(d)(1)(B)''.
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          (4) \341\ Effect of affirmative determination under 
        subsection (a)(3).--If the determination of the 
        administering authority under subsection (a)(3) is 
        affirmative, then the administering authority shall--
                  (A) in cases where the preliminary 
                determinations by the administering authority 
                under sections 733(b) and 733(e)(1) were both 
                affirmative, continue the retroactive 
                suspension of liquidation and the posting of a 
                cash deposit, bond, or other security 
                previously ordered under section 733(e)(2);
                  (B) in cases where the preliminary 
                determination by the administering authority 
                under section 733(b) was affirmative, but the 
                preliminary determination under section 
                733(e)(1) was negative, shall modify any 
                suspension of liquidation and security 
                requirement previously ordered under section 
                733(d) to apply to unliquidated entries of 
                merchandise entered, or withdrawn from 
                warehouse, for consumption on or after the date 
                which is 90 days before the date on which 
                suspension of liquidation was first ordered; or
                  (C) in cases where the preliminary 
                determination by the administering authority 
                under section 733(b) was negative, shall apply 
                any suspension of liquidation and security 
                requirement ordered under subsection 
                735(c)(1)(B) to unliquidated entries of 
                merchandise entered, or withdrawn from 
                warehouse, for consumption on or after the date 
                which is 90 days before the date on which 
                suspension of liquidation is first ordered.
          (5) \343\ Method for determining estimated all-others 
        rate.--
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    \343\ Sec. 219(b)(2) of Public Law 103-465 (108 Stat. 4856) added 
para. (5).
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                  (A) General rule.--For purposes of this 
                subsection and section 733(d), the estimated 
                all-others rate shall be an amount equal to the 
                weighted average of the estimated weighted 
                average dumping margins established for 
                exporters and producers individually 
                investigated, excluding any zero and de minimis 
                margins, and any margins determined entirely 
                under section 776.
                  (B) Exception.--If the estimated weighted 
                average dumping margins established for all 
                exporters and producers individually 
                investigated are zero or de minimis margins, or 
                are determined entirely under section 776, the 
                administering authority may use any reasonable 
                method to establish the estimated all-others 
                rate for exporters and producers not 
                individually investigated, including averaging 
                the estimated weighted average dumping margins 
                determined for the exporters and producers 
                individually investigated.
    (d) Publication of Notice of Determinations.--Whenever the 
administering authority or the Commission makes a determination 
under this section, it shall notify the petitioner, other 
parties to the investigation, and the other agency of its 
determination and of the facts and conclusions of law upon 
which the determination is based, and it shall publish notice 
of its determination in the Federal Register.
  (e) \344\ Correction of Ministerial Errors.--The 
administering authority shall establish procedures for the 
correction of ministerial errors in final determinations within 
a reasonable time after the determinations are issued under 
this section. Such procedures shall ensure opportunity for 
interested parties to present their views regarding any such 
errors. As used in this subsection, the term ``ministerial 
error'' includes errors in addition, subtraction, or other 
arithmetic function, clerical errors resulting from inaccurate 
copying, duplication, or the like, and any other type of 
unintentional error which the administering authority considers 
ministerial.
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    \344\ Subsec. (e) was added by sec. 1333(a) of Public Law 100-418 
(102 Stat. 1209).
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SEC. 736.\345\ ASSESSMENT OF DUTY.

    (a) Publication of Antidumping Duty Order.--Within 7 days 
after being notified by the Commission of an affirmative 
determination under section 735(b), the administering authority 
shall publish an antidumping duty order which--
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    \345\ 19 U.S.C. 1673e.
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          (1) directs customs officers to assess an antidumping 
        duty equal to the amount by which the normal value 
        \346\ of the merchandise exceeds the export price (or 
        the constructed export price) \347\ of the merchandise, 
        within 6 months after the date on which the 
        administering authority receives satisfactory 
        information upon which the assessment may be based, but 
        in no event later than--
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    \346\ Sec. 233(a)(1)(C) of Public Law 103-465 (108 Stat. 4898) 
struck out ``foreign market value'' and inserted in lieu thereof 
``normal value''.
    \347\ Sec. 233(a)(2)(A)(iii) of Public Law 103-465 (108 Stat. 4898) 
struck out ``United States price'' and inserted in lieu thereof 
``export price (or the constructed export price)''.
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                  (A) 12 months after the end of the annual 
                accounting period of the manufacturer or 
                exporter within which the merchandise is 
                entered, or withdrawn from warehouse, for 
                consumption, or
                  (B) in the case of merchandise not sold prior 
                to its importation of the United States, 12 
                months after the end of the annual accounting 
                period of the manufacturer or exporter within 
                which it is sold in the United States to a 
                person who is not the exporter of the 
                merchandise.
          (2) includes a description of the subject 
        merchandise,\348\ in such detail as the administering 
        authority deems necessary, and
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    \348\ Sec. 233(a)(5)(W) of Public Law 103-465 (108 Stat. 4900) 
struck out ``class or kind of merchandise to which it applies'' and 
inserted in lieu thereof ``subject merchandise''.
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          (3) requires the deposit of estimated antidumping 
        duties pending liquidation of entries of merchandise at 
        the same time as estimated normal customs duties on 
        that merchandise are deposited.
    (b) Imposition of Duty.--
          (1) General rule.--If the Commission in its final 
        determination under section 735(b), finds material 
        injury or threat of material injury which, but for the 
        suspension of liquidation under section 733(d)(2) \349\ 
        would have led to a finding of material injury, then 
        entries of the subject merchandise,\350\ the 
        liquidation of which has been suspended under section 
        733(d)(2),\343\ shall be subject to the imposition of 
        antidumping duties under section 731.
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    \349\ Sec. 219(c)(9) of Public Law 103-465 (108 Stat. 4857) struck 
out ``section 733(d)(1)'' and inserted ``section 733(d)(2)''.
    \350\ Sec. 233(a)(5)(X) of Public Law 103-465 (108 Stat. 4900) 
struck out ``merchandise subject to the antidumping duty order'' and 
inserted in lieu thereof ``subject merchandise''.
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          (2) Special rule.--If the Commission, in its final 
        determination under section 735(b), finds threat of 
        material injury, other than threat of material injury 
        described in paragraph (1), or material retardation of 
        the establishment of an industry in the United States, 
        then subject merchandise \351\ which is entered, or 
        withdrawn from warehouse, for consumption on or after 
        the date of publication of notice of an affirmative 
        determination of the Commission under section 735(b) 
        shall be subject to the assessment of antidumping 
        duties under section 731, and the administering 
        authority shall release any bond or other security, and 
        refund any cash deposit made, to secure the payment of 
        antidumping duties with respect to entries of the 
        merchandise entered, or withdrawn from warehouse, for 
        consumption before that date.
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    \351\ Sec. 233(a)(5)(Y) of Public Law 103-465 (108 Stat. 4900) 
struck out ``merchandise subject to an antidumping duty order'' and 
inserted in lieu thereof ``subject merchandise''.
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    (c) Security in Lieu of Estimated Duty Pending Early 
Determination of Duty.--
          (1) \352\ Conditions for waiver of deposit of 
        estimated duties.--The administering authority may 
        permit, for not more than 90 days after the date of 
        publication of an order under subsection (a), the 
        posting of a bond or other security in lieu of the 
        deposit of estimated antidumping duties required under 
        subsection (a)(3) if--
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    \352\ Sec. 1325(a) of Public Law 100-418 (102 Stat. 1201) amended 
and restated para. (1). Sec. 1337(b) of that Act further stated that 
the amendments made by sec. 1325 shall only apply with respect to 
investigations initiated after the date of enactment of that Act, and 
to reviews initiated under secs. 736(c) or 751 of the Tariff Act of 
1930 after the date of enactment of that Act.
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                  (A) the investigation has not been designated 
                as extraordinarily complicated by reason of--
                          (i) the number and complexity of the 
                        transactions to be investigated or 
                        adjustments to be considered,
                          (ii) the novelty of the issues 
                        presented, or
                          (iii) the number of firms whose 
                        activities must be investigated,
                  (B) the final determination in the 
                investigation has not been postponed under 
                section 735(a)(2)(A);
                  (C) on the basis of information presented to 
                the administering authority by any 
                manufacturer, producer, or exporter in such 
                form and within such time as the administering 
                authority may require, the administering 
                authority is satisfied that a determination 
                will be made, within 90 days after the date of 
                publication of an order under subsection (a), 
                of the normal value \346\ and the export price 
                (or the constructed export price) \347\ for all 
                merchandise of such manufacturer, producer, or 
                exporter described in that order which was 
                entered, or withdrawn from warehouse, for 
                consumption on or after the date of publication 
                of--
                          (i) an affirmative preliminary 
                        determination by the administering 
                        authority under section 733(b), or
                          (ii) if its determination under 
                        section 733(b) was negative, an 
                        affirmative final determination by the 
                        administering authority under section 
                        735(a),
                and before the date of publication of the 
                affirmative final determination by the 
                Commission under section 735(b);
                  (D) the party described in subparagraph (C) 
                provides credible evidence that the amount by 
                which the normal value \346\ of the merchandise 
                exceeds the export price (or the constructed 
                export price) \347\ of the merchandise is 
                significantly less than the amount of such 
                excess specified in the antidumping duty order 
                published under subsection (a); and
                  (E) the data concerning the normal value 
                \346\ and the export price (or the constructed 
                export price) \347\ apply to sales in the usual 
                commercial quantities and in the ordinary 
                course of trade and the number of such sales 
                are sufficient to form an adequate basis for 
                comparison.
          (2) Notice; hearing.--If the administering authority 
        permits the posting of a bond or other security in lieu 
        of the deposit of estimated antidumping duties under 
        paragraph (1), it shall--
                  (A) publish notice of its action in the 
                Federal Register, and
                  (B) upon the request of any interested party, 
                hold a hearing in accordance with section 774 
                before determining the normal value \346\ and 
                the export price (or the constructed export 
                price) \347\ of merchandise.
          (3) Determinations to be basis of antidumping duty.--
        The administering authority shall publish notice in the 
        Federal Register of the results of its determination of 
        normal value \346\ and the export price (or the 
        constructed export price),\347\ and that determination 
        shall be the basis for the assessment of antidumping 
        duties on entries of merchandise to which the notice 
        under this subsection applies and also shall be the 
        basis for the deposit of estimated antidumping duties 
        on future entries of merchandise of manufacturers, 
        producers, or exporters described in paragraph (1) to 
        which the order issued under subsection (a) applies.
          (4) \353\ Provision of business proprietary 
        information; written comments.--Before determining 
        whether to permit the posting of bond or other security 
        under paragraph (1) in lieu of the deposit of estimated 
        antidumping duties, the administering authority shall--
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    \353\ Sec. 1325(b) of Public Law 100-418 (102 Stat. 1202) added 
para. (4).
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                  (A) make all business proprietary information 
                supplied to the administering authority under 
                paragraph (1) available under a protective 
                order in accordance with section 777(c) to all 
                interested parties described in subparagraph 
                (C), (D), (E), (F), or (G) of section 771(9), 
                and
                  (B) afford all interested parties an 
                opportunity to file written comments on whether 
                the posting of bond or other security under 
                paragraph (1) in lieu of the deposit of 
                estimated antidumping duties should be 
                permitted.
    (d) \354\ Special Rule for Regional Industries.--
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    \354\ Sec. 218(b)(2) of Public Law 103-465 (108 Stat. 4855) added 
subsec. (d).
---------------------------------------------------------------------------
          (1) In general.--In an investigation in which the 
        Commission makes a regional industry determination 
        under section 771(4)(C), the administering authority 
        shall, to the maximum extent possible, direct that 
        duties be assessed only on the subject merchandise of 
        the specific exporters or producers that exported the 
        subject merchandise for sale in the region concerned 
        during the period of investigation.
          (2) Exception for new exporters and producers.--After 
        publication of the antidumping duty order, if the 
        administering authority finds that a new exporter or 
        producer is exporting the subject merchandise for sale 
        in the region concerned, the administering authority 
        shall direct that duties be assessed on the subject 
        merchandise of the new exporter or producer consistent 
        with the provisions of section 751(a)(2)(B).

SEC. 737.\355\ TREATMENT OF DIFFERENCE BETWEEN DEPOSIT OF ESTIMATED 
                    ANTIDUMPING DUTY AND FINAL ASSESSED DUTY UNDER 
                    ANTIDUMPING DUTY ORDER.

    (a) \356\ Deposit of Estimated Antidumping Duty Under 
Section 733(d)(1)(B).--If the amount of a cash deposit, or the 
amount of any bond or other security, required \357\ as 
security for an estimated antidumping duty under section 
733(d)(1)(B) is different from the amount of the antidumping 
duty determined under an antidumping duty order published under 
section 736, then the difference for entries of merchandise 
entered, or withdrawn from warehouse, for consumption before 
notice of the affirmative determination of the Commission under 
section 735(b) is published shall be--
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    \355\ 19 U.S.C. 1673f.
    \356\ Sec. 219(c)(10) of Public Law 103-465 (108 Stat. 4857) struck 
out ``section 733(d)(2)'' and inserted ``section 733(d)(1)(B)'' at each 
point it appeared in this subsection.
    \357\ Sec. 40(1) of Public Law 104-295 (110 Stat. 3541) struck out 
``deposit collected'' and inserted in lieu thereof ``deposit, or the 
amount of any bond or other security, required''.
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          (1) disregarded, to the extent that the cash deposit, 
        bond, or other security \358\ is lower than the duty 
        under the order, or
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    \358\ Sec. 40(2) of Public Law 104-295 (110 Stat. 3541) struck out 
``the cash deposit collected'' and inserted in lieu thereof ``that the 
cash deposit, bond, or other security''.
---------------------------------------------------------------------------
          (2) refunded or released, to the extent that the cash 
        deposit, bond, or other security \359\ is higher than 
        the duty under the order.
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    \359\ Sec. 40(2) of Public Law 104-295 (110 Stat. 3541) struck out 
``refunded, to the extent the cash deposit'' and inserted ``refunded or 
released, to the extent that the cash deposit, bond, or other 
security''.
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    (b) Deposit of Estimated Antidumping Duty Under Section 
736(a)(3).--If the amount of an estimated antidumping duty 
deposited under section 736(a)(3) is different from the amount 
of the antidumping duty determined under an antidumping duty 
order published under section 736, then the difference for 
entries of merchandise entered, or withdrawn from warehouse, 
for consumption after notice of the affirmative determination 
of the Commission under section 735(b) is published shall be--
          (1) collected, to the extent that the deposit under 
        section 736(a)(3) is lower than the duty determined 
        under the order, or
          (2) refunded, to the extent that the deposit under 
        section 736(a)(3) is higher than the duty determined 
        under the order, together with interest as provided by 
        section 778.

SEC. 738.\360\ CONDITIONAL PAYMENT OF ANTIDUMPING DUTY.

    (a) General Rule.--For all entries, or withdrawals from 
warehouse, for consumption of merchandise subject to an 
antidumping duty order on or after the date of publication of 
such order, no customs officer may deliver merchandise of that 
class or kind to the person by whom or for whose account it was 
imported unless that person complies with the requirements of 
subsection (b) and deposits with the appropriate customs 
officer an estimated antidumping duty in an amount determined 
by the administering authority.
---------------------------------------------------------------------------
    \360\ 19 U.S.C. 1673g.
---------------------------------------------------------------------------
    (b) Importer Requirements.--In order to meet the 
requirements of this subsection, a person shall--
          (1) furnish, or arrange to have furnished, to the 
        appropriate customs officer such information as the 
        administering authority deems necessary for determining 
        the export price (or the constructed export price) 
        \361\ of the merchandise imported by or for the account 
        of that person, and such other information as the 
        administering authority deems necessary for 
        ascertaining any antidumping duty to be imposed under 
        this title;
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    \361\ Sec. 233(a)(2)(A)(iv) of Public Law 103-465 (108 Stat. 4898) 
struck out ``United States price'' and inserted in lieu thereof 
``export price (or the constructed export price)''.
---------------------------------------------------------------------------
          (2) maintain and furnish to the customs officer such 
        records concerning the sale of the merchandise as the 
        administering authority, by regulation, requires;
          (3) state under oath before the customs officer that 
        he is not an exporter, or if he is an exporter, declare 
        under oath at the time of entry the constructed export 
        price \362\ of the merchandise to the customs officer 
        if it is then known, or, if not, so declare within 30 
        days after the merchandise has been sold, or has been 
        made the subject of an agreement to be sold, in the 
        United States; and
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    \362\ Sec. 233(a)(2)(B) of Public Law 103-465 (108 Stat. 4898) 
struck out ``exporter's sales price'' and inserted in lieu thereof 
``constructed export price''.
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          (4) pay, or agree to pay on demand, to the customs 
        officer the amount of antidumping duty imposed under 
        section 731 on that merchandise.
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    \363\ 19 U.S.C. 1673h. Sec. 1323(a) of Public Law 100-418 (102 
Stat. 1195) added sec. 739. A previous sec. 739, entitled ``Duties of 
Customs Officers'', was repealed in 1984 by Public Law 98-573 (98 Stat. 
3031).
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SEC. 739.\363\ ESTABLISHMENT OF PRODUCT CATEGORIES FOR SHORT LIFE CYCLE 
                    MERCHANDISE.

  (a) Establishment of Product Categories.--
          (1) Petitions.--
                  (A) In general.--An eligible domestic entity 
                may file a petition with the Commission 
                requesting that a product category be 
                established with respect to short life cycle 
                merchandise at any time after the merchandise 
                becomes the subject of 2 or more affirmative 
                dumping determinations.
                  (B) Contents.--A petition filed under 
                subparagraph (A) shall--
                          (i) identify the short life cycle 
                        merchandise that is the subject of the 
                        affirmative dumping determinations,
                          (ii) specify the short life cycle 
                        merchandise that the petitioner seeks 
                        to have included in the same product 
                        category as the merchandise that is 
                        subject to the affirmative dumping 
                        determinations,
                          (iii) specify any short life cycle 
                        merchandise the petitioner particularly 
                        seeks to have excluded from the product 
                        category,
                          (iv) provide reasons for the 
                        inclusions and exclusions specified 
                        under clauses (ii) and (iii), and
                          (v) identify such merchandise in 
                        terms of the designations used in the 
                        Harmonized Tariff Schedule of the 
                        United States.\364\
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    \364\ Sec. 139(a)(2) of the Customs and Trade Act of 1990 (Public 
Law 101-382; 104 Stat. 653) struck out ``Tariff Schedules of the United 
States'' and inserted in lieu thereof ``Harmonized Tariff Schedule of 
the United States''.
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          (2) Determinations on sufficiency of petition.--Upon 
        receiving a petition under paragraph (1), the 
        Commission shall--
                  (A) request the administering authority to 
                confirm promptly the affirmative determinations 
                on which the petition is based, and
                  (B) upon receipt of such confirmation, 
                determine whether the merchandise covered by 
                the confirmed affirmative determinations is 
                short life cycle merchandise and whether the 
                petitioner is an eligible domestic entity.
          (3) Notice; hearings.--If the determinations under 
        paragraph (2)(B) are affirmative, the Commission 
        shall--
                  (A) publish notice in the Federal Register 
                that the petition has been received, and
                  (B) provide opportunity for the presentation 
                of views regarding the establishment of the 
                requested product category, including a public 
                hearing if requested by any interested person.
          (4) Determinations.--
                  (A) In general.--By no later than the date 
                that is 90 days after the date on which a 
                petition is filed under paragraph (1), the 
                Commission shall determine the scope of the 
                product category into which the short life 
                cycle merchandise that is the subject of the 
                affirmative dumping determinations identified 
                in such petition shall be classified for 
                purposes of this section.
                  (B) Modifications not requested by 
                petition.--
                          (i) In general.--The Commission may, 
                        on its own initiative, make a 
                        determination modifying the scope of 
                        any product category established under 
                        subparagraph (A) at any time.
                          (ii) Notice and hearing.--
                        Determinations may be made under clause 
                        (i) only after the Commission has--
                                  (I) published in the Federal 
                                Register notice of the proposed 
                                modification, and
                                  (II) provided interested 
                                parties an opportunity for a 
                                hearing, and a period for the 
                                submission of written comments, 
                                on the classification of 
                                merchandise into the product 
                                categories to be affected by 
                                such determination.
                  (C) Basis of determinations.--In making 
                determinations under subparagraph (A) or (B), 
                the Commission shall ensure that each product 
                category consists of similar short life cycle 
                merchandise which is produced by similar 
                processes under similar circumstances and has 
                similar uses.
  (b) Definitions.--For purposes of this section--
          (1) Eligible domestic entity.--The term ``eligible 
        domestic entity'' means a manufacturer or producer in 
        the United States, or a certified union or recognized 
        union or group of workers which is representative of an 
        industry in the United States, that manufactures or 
        produces short life cycle merchandise that is--
                  (A) like or directly competitive with other 
                merchandise that is the subject of 2 or more 
                affirmative dumping determinations, or
                  (B) is similar enough to such other 
                merchandise as to be considered for inclusion 
                with such merchandise in a product monitoring 
                category established under this section.
          (2) Affirmative dumping determination.--The term 
        ``affirmative dumping determination'' means--
                  (A) any affirmative final determination made 
                by the administering authority under section 
                735(a) during the 8-year period preceding the 
                filing of the petition under this section that 
                results in the issuance of an antidumping duty 
                order under section 736 which requires the 
                deposit of estimated antidumping duties at a 
                rate of not less than 15 percent ad valorem, or
                  (B) any affirmative preliminary determination 
                that--
                          (i) is made by the administering 
                        authority under section 733(b) during 
                        the 8-year period preceding the filing 
                        of the petition under this section in 
                        the course of an investigation for 
                        which no final determination is made 
                        under section 735 by reason of a 
                        suspension of the investigation under 
                        section 734, and
                          (ii) includes a determination that 
                        the estimated average amount by which 
                        the normal value \365\ of the 
                        merchandise exceeds the export price 
                        (or the constructed export price) \366\ 
                        of the merchandise is not less than 15 
                        percent ad valorem.
---------------------------------------------------------------------------
    \365\ Sec. 233(a)(1)(D) of Public Law 103-465 (108 Stat. 4898) 
struck out ``foreign market value'' and inserted in lieu thereof 
``normal value''.
    \366\ Sec. 233(a)(2)(A)(v) of Public Law 103-465 (108 Stat. 4898) 
struck out ``United States price'' and inserted in lieu thereof 
``export price (or the constructed export price)''.
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          (3) Subject of affirmative dumping determination.--
                  (A) In general.--Short life cycle merchandise 
                of a manufacturer shall be treated as being the 
                subject of an affirmative dumping determination 
                only if the administering authority--
                          (i) makes a separate determination of 
                        the amount by which the normal value 
                        \365\ of such merchandise of the 
                        manufacturer exceeds the export price 
                        (or the constructed export price) \366\ 
                        of such merchandise of the 
                        manufacturer, and
                          (ii) specifically identifies the 
                        manufacturer by name with such amount 
                        in the affirmative dumping 
                        determination or in an antidumping duty 
                        order issued as a result of the 
                        affirmative dumping determination.
                  (B) Exclusion.--Short life cycle merchandise 
                of a manufacturer shall not be treated as being 
                the subject of an affirmative dumping 
                determination if--
                          (i) such merchandise of the 
                        manufacturer is part of a group of 
                        merchandise to which the administering 
                        authority assigns (in lieu of making 
                        separate determinations described in 
                        subparagraph (A)(i)(I)) an amount 
                        determined to be the amount by which 
                        the normal value \359\ of the 
                        merchandise in such group exceeds the 
                        export price (or the constructed export 
                        price) \360\ of the merchandise in such 
                        group, and
                          (ii) the merchandise and the 
                        manufacturer are not specified by name 
                        in the affirmative dumping 
                        determination or in any antidumping 
                        duty order issued as a result of such 
                        affirmative dumping determination.
          (4) Short life cycle merchandise.--The term ``short 
        life cycle merchandise'' means any product that the 
        Commission determines is likely to become outmoded 
        within 4 years, by reason of technological advances, 
        after the product is commercially available. For 
        purposes of this paragraph, the term ``outmoded'' 
        refers to a kind of style that is no longer state-of-
        the-art.
  (c) Transitional Rules.--
          (1) For purposes of this section and section 
        733(b)(1) (B) and (C), all affirmative dumping 
        determinations described in subsection (b)(2)(A) that 
        were made after December 31, 1980, and before the date 
        of enactment of the Omnibus Trade and Competitiveness 
        Act of 1988, and all affirmative dumping determinations 
        described in subsection (b)(2)(B) that were made after 
        December 31, 1984, and before the date of enactment of 
        such Act, with respect to each category of short life 
        cycle merchandise of the same manufacturer shall be 
        treated as one affirmative dumping determination with 
        respect to that category for that manufacturer which 
        was made on the date on which the latest of such 
        determinations was made.
          (2) No affirmative dumping determination that--
                  (A) is described in subsection (b)(2)(A) and 
                was made before January 1, 1981, or
                  (B) is described in subsection (b)(2)(B) and 
                was made before January 1, 1985,
        may be taken into account under this section or section 
        733(b)(1) (B) and (C).

SEC. 740.\367\ ANTIDUMPING DUTY TREATED AS REGULAR DUTY FOR DRAWBACK 
                    PURPOSES. * * * [Repealed--1984]
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    \367\ Sec. 622(a)(1) of Public Law 98-573 (98 Stat. 3039) repealed 
sec. 740. See sec. 779 of this Act for new text regarding drawbacks.
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     Subtitle C--Reviews; Other Actions Regarding Agreements \368\

     Chapter 1--Review of Amount of Duty and Agreements Other Than 
               Quantitative Restriction Agreements \368\

SEC. 751.\369\ ADMINISTRATIVE REVIEW OF DETERMINATIONS.

    (a) Periodic Review of Amount of Duty.--
---------------------------------------------------------------------------
    \368\ Sec. 611(a)(1) of Public Law 98-573 (98 Stat. 3031) amended 
the subtitle heading and added the chapter heading. Previously, the 
subtitle heading read: ``Subtitle C--Review of Determinations''.
    \369\ 19 U.S.C. 1675. Sec. 220(a) of Public Law 103-465 (108 Stat. 
4857) amended and restated sec. 751.
---------------------------------------------------------------------------
          (1) In general.--At least once during each 12-month 
        period beginning on the anniversary of the date of 
        publication of a countervailing duty order under this 
        title or under section 303 of this Act, an antidumping 
        duty order under this title or a finding under the 
        Antidumping Act, 1921, or a notice of the suspension of 
        an investigation, the administering authority, if a 
        request for such a review has been received and after 
        publication of notice of such review in the Federal 
        Register, shall--
                  (A) review and determine the amount of any 
                net countervailable subsidy,
                  (B) review, and determine (in accordance with 
                paragraph (2)), the amount of any antidumping 
                duty, and
                  (C) review the current status of, and 
                compliance with, any agreement by reason of 
                which an investigation was suspended, and 
                review the amount of any net countervailable 
                subsidy or dumping margin involved in the 
                agreement, and shall publish in the Federal 
                Register the results of such review, together 
                with notice of any duty to be assessed, 
                estimated duty to be deposited, or 
                investigation to be resumed.
          (2) Determination of antidumping duties.--
                  (A) In general.--For the purpose of paragraph 
                (1)(B), the administering authority shall 
                determine--
                          (i) the normal value and export price 
                        (or constructed export price) of each 
                        entry of the subject merchandise, and
                          (ii) the dumping margin for each such 
                        entry.
                  (B) Determination of antidumping or 
                countervailing duties for new exporters and 
                producers.--
                          (i) In general.--If the administering 
                        authority receives a request from an 
                        exporter or producer of the subject 
                        merchandise establishing that--
                                  (I) such exporter or producer 
                                did not export the merchandise 
                                that was the subject of an 
                                antidumping duty or 
                                countervailing duty order to 
                                the United States (or, in the 
                                case of a regional industry, 
                                did not export the subject 
                                merchandise for sale in the 
                                region concerned) during the 
                                period of investigation, and
                                  (II) such exporter or 
                                producer is not affiliated 
                                (within the meaning of section 
                                771(33)) with any exporter or 
                                producer who exported the 
                                subject merchandise to the 
                                United States (or in the case 
                                of a regional industry, who 
                                exported the subject 
                                merchandise for sale in the 
                                region concerned) during that 
                                period, the administering 
                                authority shall conduct a 
                                review under this subsection to 
                                establish an individual 
                                weighted average dumping margin 
                                or an individual countervailing 
                                duty rate (as the case may be) 
                                for such exporter or producer.
                          (ii) Time for review under clause 
                        (i).--The administering authority shall 
                        commence a review under clause (i) in 
                        the calendar month beginning after--
                                  (I) the end of the 6-month 
                                period beginning on the date of 
                                the countervailing duty or 
                                antidumping duty order under 
                                review, or
                                  (II) the end of any 6-month 
                                period occurring thereafter,
                        if the request for the review is made 
                        during that 6-month period.
                          (iii) Posting bond or security.--The 
                        administering authority shall, at the 
                        time a review under this subparagraph 
                        is initiated, direct the Customs 
                        Service to allow, at the option of the 
                        importer, the posting, until the 
                        completion of the review, of a bond or 
                        security in lieu of a cash deposit for 
                        each entry of the subject merchandise.
                          (iv) Time limits.--The administering 
                        authority shall make a preliminary 
                        determination in a review conducted 
                        under this subparagraph within 180 days 
                        after the date on which the review is 
                        initiated, and a final determination 
                        within 90 days after the date the 
                        preliminary determination is issued, 
                        except that if the administering 
                        authority concludes that the case is 
                        extraordinarily complicated, it may 
                        extend the 180-day period to 300 days 
                        and may extend the 90-day period to 150 
                        days.
                  (C) Results of determinations.--The 
                determination under this paragraph shall be the 
                basis for the assessment of countervailing or 
                antidumping duties on entries of merchandise 
                covered by the determination and for deposits 
                of estimated duties.
          (3) Time limits.--
                  (A) Preliminary and final determinations.--
                The administering authority shall make a 
                preliminary determination under subparagraph 
                (A), (B), or (C) of paragraph (1) within 245 
                days after the last day of the month in which 
                occurs the anniversary of the date of 
                publication of the order, finding, or 
                suspension agreement for which the review under 
                paragraph (1) is requested, and a final 
                determination under paragraph (1) within 120 
                days after the date on which the preliminary 
                determination is published. If it is not 
                practicable to complete the review within the 
                foregoing time, the administering authority may 
                extend that 245-day period to 365 days and may 
                extend that 120-day period to 180 days. The 
                administering authority may extend the time for 
                making a final determination without extending 
                the time for making a preliminary 
                determination, if such final determination is 
                made not later than 300 days after the date on 
                which the preliminary determination is 
                published.
                  (B) Liquidation of entries.--If the 
                administering authority orders any liquidation 
                of entries pursuant to a review under paragraph 
                (1), such liquidation shall be made promptly 
                and, to the greatest extent practicable, within 
                90 days after the instructions to Customs are 
                issued. In any case in which liquidation has 
                not occurred within that 90-day period, the 
                Secretary of the Treasury shall, upon the 
                request of the affected party, provide an 
                explanation thereof.
                  (C) Effect of pending review under section 
                516a.--In a case in which a final determination 
                under paragraph (1) is under review under 
                section 516A and a liquidation of entries 
                covered by the determination is enjoined under 
                section 516A(c)(2) or suspended under section 
                516A(g)(5)(C), the administering authority 
                shall, within 10 days after the final 
                disposition of the review under section 516A, 
                transmit to the Federal Register for 
                publication the final disposition and issue 
                instructions to the Customs Service with 
                respect to the liquidation of entries pursuant 
                to the review. In such a case, the 90-day 
                period referred to in subparagraph (B) shall 
                begin on the day on which the administering 
                authority issues such instructions.
          (4) Absorption of antidumping duties.--During any 
        review under this subsection initiated 2 years or 4 
        years after the publication of an antidumping duty 
        order under section 736(a), the administering 
        authority, if requested, shall determine whether 
        antidumping duties have been absorbed by a foreign 
        producer or exporter subject to the order if the 
        subject merchandise is sold in the United States 
        through an importer who is affiliated with such foreign 
        producer or exporter. The administering authority shall 
        notify the Commission of its findings regarding such 
        duty absorption for the Commission to consider in 
        conducting a review under subsection (c).
    (b) Reviews Based on Changed Circumstances.--
          (1) In general.--Whenever the administering authority 
        or the Commission receives information concerning, or a 
        request from an interested party for a review of--
                  (A) a final affirmative determination that 
                resulted in an antidumping duty order under 
                this title or a finding under the Antidumping 
                Act, 1921, or in a countervailing duty order 
                under this title or section 303,
                  (B) a suspension agreement accepted under 
                section 704 or 734, or
                  (C) a final affirmative determination 
                resulting from an investigation continued 
                pursuant to section 704(g) or 734(g), which 
                shows changed circumstances sufficient to 
                warrant a review of such determination or 
                agreement, the administering authority or the 
                Commission (as the case may be) shall conduct a 
                review of the determination or agreement after 
                publishing notice of the review in the Federal 
                Register.
          (2) Commission review.--In conducting a review under 
        this subsection, the Commission shall--
                  (A) in the case of a countervailing duty 
                order or antidumping duty order or finding, 
                determine whether revocation of the order or 
                finding is likely to lead to continuation or 
                recurrence of material injury,
                  (B) in the case of a determination made 
                pursuant to section 704(h)(2) or 734(h)(2), 
                determine whether the suspension agreement 
                continues to eliminate completely the injurious 
                effects of imports of the subject merchandise, 
                and
                  (C) in the case of an affirmative 
                determination resulting from an investigation 
                continued under section 704(g) or 734(g), 
                determine whether termination of the suspended 
                investigation is likely to lead to continuation 
                or recurrence of material injury.
          (3) Burden of persuasion.--During a review conducted 
        by the Commission under this subsection--
                  (A) the party seeking revocation of an order 
                or finding described in paragraph (1)(A) shall 
                have the burden of persuasion with respect to 
                whether there are changed circumstances 
                sufficient to warrant such revocation, and
                  (B) the party seeking termination of a 
                suspended investigation or a suspension 
                agreement shall have the burden of persuasion 
                with respect to whether there are changed 
                circumstances sufficient to warrant such 
                termination.
          (4) Limitation on period for review.--In the absence 
        of good cause shown--
                  (A) the Commission may not review a 
                determination made under section 705(b) or 
                735(b), or an investigation suspended under 
                section 704 or 734, and
                  (B) the administering authority may not 
                review a determination made under section 
                705(a) or 735(a), or an investigation suspended 
                under section 704 or 734, less than 24 months 
                after the date of publication of notice of that 
                determination or suspension.
    (c) Five-Year Review.--
          (1) In general.--Notwithstanding subsection (b) and 
        except in the case of a transition order defined in 
        paragraph (6), 5 years after the date of publication 
        of--
                  (A) a countervailing duty order (other than a 
                countervailing duty order to which subparagraph 
                (B) applies or which was issued without an 
                affirmative determination of injury by the 
                Commission under section 303), an antidumping 
                duty order, or a notice of suspension of an 
                investigation, described in subsection (a)(1),
                  (B) a notice of injury determination under 
                section 753 with respect to a countervailing 
                duty order, or
                  (C) a determination under this section to 
                continue an order or suspension agreement,
        the administering authority and the Commission shall 
        conduct a review to determine, in accordance with 
        section 752, whether revocation of the countervailing 
        or antidumping duty order or termination of the 
        investigation suspended under section 704 or 734 would 
        be likely to lead to continuation or recurrence of 
        dumping or a countervailable subsidy (as the case may 
        be) and of material injury.
          (2) Notice of initiation of review.--Not later than 
        30 days before the fifth anniversary of the date 
        described in paragraph (1), the administering authority 
        shall publish in the Federal Register a notice of 
        initiation of a review under this subsection and 
        request that interested parties submit--
                  (A) a statement expressing their willingness 
                to participate in the review by providing 
                information requested by the administering 
                authority and the Commission,
                  (B) a statement regarding the likely effects 
                of revocation of the order or termination of 
                the suspended investigation, and
                  (C) such other information or industry data 
                as the administering authority or the 
                Commission may specify.
          (3) Responses to notice of initiation.--
                  (A) No response.--If no interested party 
                responds to the notice of initiation under this 
                subsection, the administering authority shall 
                issue a final determination, within 90 days 
                after the initiation of a review, revoking the 
                order or terminating the suspended 
                investigation to which such notice relates. For 
                purposes of this paragraph, an interested party 
                means a party described in section 771(9) (C), 
                (D), (E), (F), or (G).
                  (B) Inadequate response.--If interested 
                parties provide inadequate responses to a 
                notice of initiation, the administering 
                authority, within 120 days after the initiation 
                of the review, or the Commission, within 150 
                days after such initiation, may issue, without 
                further investigation, a final determination 
                based on the facts available, in accordance 
                with section 776.
          (4) Waiver of participation by certain interested 
        parties.--
                  (A) In general.--An interested party 
                described in section 771(9) (A) or (B) may 
                elect not to participate in a review conducted 
                by the administering authority under this 
                subsection and to participate only in the 
                review conducted by the Commission under this 
                subsection.
                  (B) Effect of waiver.--In a review in which 
                an interested party waives its participation 
                pursuant to this paragraph, the administering 
                authority shall conclude that revocation of the 
                order or termination of the investigation would 
                be likely to lead to continuation or recurrence 
                of dumping or a countervailable subsidy (as the 
                case may be) with respect to that interested 
                party.
          (5) Conduct of review.--
                  (A) Time limits for completion of review.--
                Unless the review has been completed pursuant 
                to paragraph (3) or paragraph (4) applies, the 
                administering authority shall make its final 
                determination pursuant to section 752 (b) or 
                (c) within 240 days after the date on which a 
                review is initiated under this subsection. If 
                the administering authority makes a final 
                affirmative determination, the Commission shall 
                make its final determination pursuant to 
                section 752(a) within 360 days after the date 
                on which a review is initiated under this 
                subsection.
                  (B) Extension of time limit.--The 
                administering authority or the Commission (as 
                the case may be) may extend the period of time 
                for making their respective determinations 
                under this subsection by not more than 90 days, 
                if the administering authority or the 
                Commission (as the case may be) determines that 
                the review is extraordinarily complicated. In a 
                review in which the administering authority 
                extends the time for making a final 
                determination, but the Commission does not 
                extend the time for making a determination, the 
                Commission's determination shall be made not 
                later than 120 days after the date on which the 
                final determination of the administering 
                authority is published.
                  (C) Extraordinarily complicated.--For 
                purposes of this subsection, the administering 
                authority or the Commission (as the case may 
                be) may treat a review as extraordinarily 
                complicated if--
                          (i) there is a large number of 
                        issues,
                          (ii) the issues to be considered are 
                        complex,
                          (iii) there is a large number of 
                        firms involved,
                          (iv) the orders or suspended 
                        investigations have been grouped as 
                        described in subparagraph (D), or
                          (v) it is a review of a transition 
                        order.
                  (D) Grouped reviews.--The Commission, in 
                consultation with the administering authority, 
                may group orders or suspended investigations 
                for review if it considers that such grouping 
                is appropriate and will promote administrative 
                efficiency. Where orders or suspended 
                investigations have been grouped, the 
                Commission shall, subject to subparagraph (B), 
                make its final determination under this 
                subsection not later than 120 days after the 
                date that the administering authority publishes 
                notice of its final determination with respect 
                to the last order or agreement in the group.
          (6) Special transition rules.--
                  (A) Schedule for reviews of transition 
                orders.--
                          (i) Initiation.--The administering 
                        authority shall begin its review of 
                        transition orders in the 42d calendar 
                        month after the date such orders are 
                        issued. A review of all transition 
                        orders shall be initiated not later 
                        than the 5th anniversary after the date 
                        such orders are issued.
                          (ii) Completion.--A review of a 
                        transition order shall be completed not 
                        later than 18 months after the date 
                        such review is initiated. Reviews of 
                        all transition orders shall be 
                        completed not later than 18 months 
                        after the 5th anniversary of the date 
                        such orders are issued.
                          (iii) Subsequent reviews.--The time 
                        limits set forth in clauses (i) and 
                        (ii) shall be applied to all subsequent 
                        5-year reviews of transition orders by 
                        substituting ``date of the 
                        determination to continue such orders'' 
                        for ``date such orders are issued''.
                          (iv) Revocation and termination.--No 
                        transition order may be revoked under 
                        this subsection before the date that is 
                        5 years after the date the WTO 
                        Agreement enters into force with 
                        respect to the United States.
                  (B) Sequence of transition reviews.--The 
                administering authority, in consultation with 
                the Commission, shall determine such sequence 
                of review of transition orders as it deems 
                appropriate to promote administrative 
                efficiency. To the extent practicable, older 
                orders shall be reviewed first.
                  (C) Definition of transition order.--For 
                purposes of this section, the term ``transition 
                order'' means--
                          (i) a countervailing duty order under 
                        this title or under section 303,
                          (ii) an antidumping duty order under 
                        this title or a finding under the 
                        Antidumping Act, 1921, or
                          (iii) a suspension of an 
                        investigation under section 704 or 734,
                which is in effect on the date the WTO 
                Agreement enters into force with respect to the 
                United States.
                  (D) Issue date for transition orders.--For 
                purposes of this subsection, a transition order 
                shall be treated as issued on the date the WTO 
                Agreement enters into force with respect to the 
                United States, if such order is based on an 
                investigation conducted by both the 
                administering authority and the Commission.
          (7) \370\ Exclusions from computations.
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    \370\ Sec. 2410 of Public Law 106-36 (113 Stat. 171) inserted para. 
(7).
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                  (A) In general.--Subject to subparagraph (B), 
                there shall be excluded from the computation of 
                the 5-year period described in paragraph (1) 
                and the periods described in paragraph (6) any 
                period during which the importation of the 
                subject merchandise is prohibited on account of 
                the imposition, under the International 
                Emergency Economic Powers Act or other 
                provision of law, of sanctions by the United 
                States against the country in which the subject 
                merchandise originates.
                  (B) application of exclusion--Subparagraph 
                (A) shall apply only with respect to subject 
                merchandise which originates in a country that 
                is not a WTO member.
    (d) Revocation of Order or Finding; Termination of 
Suspended Investigation.--
          (1) In general.--The administering authority may 
        revoke, in whole or in part, a countervailing duty 
        order or an antidumping duty order or finding, or 
        terminate a suspended investigation, after review under 
        subsection (a) or (b). The administering authority 
        shall not revoke, in whole or in part, a countervailing 
        duty order or terminate a suspended investigation on 
        the basis of any export taxes, duties, or other charges 
        levied on the export of the subject merchandise to the 
        United States which are specifically intended to offset 
        the countervailable subsidy received.
          (2) Five-year reviews.--In the case of a review 
        conducted under subsection (c), the administering 
        authority shall revoke a countervailing duty order or 
        an antidumping duty order or finding, or terminate a 
        suspended investigation, unless--
                  (A) the administering authority makes a 
                determination that dumping or a countervailable 
                subsidy, as the case may be, would be likely to 
                continue or recur, and
                  (B) the Commission makes a determination that 
                material injury would be likely to continue or 
                recur as described in section 752(a).
          (3) Application of revocation or termination.--A 
        determination under this section to revoke an order or 
        finding or terminate a suspended investigation shall 
        apply with respect to unliquidated entries of the 
        subject merchandise which are entered, or withdrawn 
        from warehouse, for consumption on or after the date 
        determined by the administering authority.
    (e) Hearings.--Whenever the administering authority or the 
Commission conducts a review under this section, it shall, upon 
the request of an interested party, hold a hearing in 
accordance with section 774(b) in connection with that review.
    (f) Determination That Basis for Suspension No Longer 
Exists.--If the determination of the Commission under 
subsection (b)(2)(B) is negative, the suspension agreement 
shall be treated as not accepted, beginning on the date of 
publication of the Commission's determination, and the 
administering authority and the Commission shall proceed, under 
section 704(i) or 734(i), as if the suspension agreement had 
been violated on that date, except that no duty under any order 
subsequently issued shall be assessed on merchandise entered, 
or withdrawn from warehouse, for consumption before that date.
    (g) \371\ Reviews To Implement Results of Subsidies 
Enforcement Proceeding.--
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    \371\ Sec. 283(c) of Public Law 103-465 (108 Stat. 4930) 
redesignated subsec. (g) as subsec. (h), and added a new subsec. (g).
---------------------------------------------------------------------------
          (1) Violations of article 8 of the subsidies 
        agreement.--If--
                  (A) the administering authority receives 
                notice from the Trade Representative of a 
                violation of Article 8 of the Subsidies 
                Agreement,
                  (B) the administering authority has reason to 
                believe that merchandise subject to an existing 
                countervailing duty order or suspended 
                investigation is benefiting from the subsidy or 
                subsidy program found to have been in violation 
                of Article 8 of the Subsidies Agreement, and
                  (C) no review pursuant to subsection (a)(1) 
                is in progress,
        the administering authority shall conduct a review of 
        the order or suspended investigation to determine 
        whether the subject merchandise benefits from the 
        subsidy or subsidy program found to have been in 
        violation of Article 8 of the Subsidies Agreement. If 
        the administering authority determines that the subject 
        merchandise is benefiting from the subsidy or subsidy 
        program, it shall make appropriate adjustments in the 
        estimated duty to be deposited or appropriate revisions 
        to the terms of the suspension agreement.
          (2) Withdrawal of subsidy or imposition of 
        countermeasures.--If the Trade Representative notifies 
        the administering authority that, pursuant to Article 4 
        or Article 7 of the Subsidies Agreement--
                  (A)(i) the United States has imposed 
                countermeasures, and
                  (ii) such countermeasures are based on the 
                effects in the United States of imports of 
                merchandise that is the subject of a 
                countervailing duty order, or
                  (B) a WTO member country has withdrawn a 
                countervailable subsidy provided with respect 
                to merchandise subject to a countervailing duty 
                order,
        the administering authority shall conduct a review to 
        determine if the amount of the estimated duty to be 
        deposited should be adjusted or the order should be 
        revoked.
          (3) Expedited review.--The administering authority 
        shall conduct reviews under this subsection on an 
        expedited basis, and shall publish the results of such 
        reviews in the Federal Register.
    (h) \364\ Correction of Ministerial Errors.--The 
administering authority shall establish procedures for the 
correction of ministerial errors in final determinations within 
a reasonable time after the determinations are issued under 
this section. Such procedures shall ensure opportunity for 
interested parties to present their views regarding any such 
errors. As used in this subsection, the term ``ministerial 
error'' includes errors in addition, subtraction, or other 
arithmetic function, clerical errors resulting from inaccurate 
copying, duplication, or the like, and any other type of 
unintentional error which the administering authority considers 
ministerial.

SEC. 752.\372\ SPECIAL RULES FOR SECTION 751(b) AND 751(c) REVIEWS.

    (a) Determination of Likelihood of Continuation or 
Recurrence of Material Injury.--
---------------------------------------------------------------------------
    \372\ 19 U.S.C. 1675a. Added by sec. 221(a) of Public Law 103-465 
(108 Stat. 4865).
---------------------------------------------------------------------------
          (1) In general.--In a review conducted under section 
        751 (b) or (c), the Commission shall determine whether 
        revocation of an order, or termination of a suspended 
        investigation, would be likely to lead to continuation 
        or recurrence of material injury within a reasonably 
        foreseeable time. The Commission shall consider the 
        likely volume, price effect, and impact of imports of 
        the subject merchandise on the industry if the order is 
        revoked or the suspended investigation is terminated. 
        The Commission shall take into account--
                  (A) its prior injury determinations, 
                including the volume, price effect, and impact 
                of imports of the subject merchandise on the 
                industry before the order was issued or the 
                suspension agreement was accepted,
                  (B) whether any improvement in the state of 
                the industry is related to the order or the 
                suspension agreement,
                  (C) whether the industry is vulnerable to 
                material injury if the order is revoked or the 
                suspension agreement is terminated, and
                  (D) in an antidumping proceeding under 
                section 751(c), the findings of the 
                administering authority regarding duty 
                absorption under section 751(a)(4).
          (2) Volume.--In evaluating the likely volume of 
        imports of the subject merchandise if the order is 
        revoked or the suspended investigation is terminated, 
        the Commission shall consider whether the likely volume 
        of imports of the subject merchandise would be 
        significant if the order is revoked or the suspended 
        investigation is terminated, either in absolute terms 
        or relative to production or consumption in the United 
        States. In so doing, the Commission shall consider all 
        relevant economic factors, including--
                  (A) any likely increase in production 
                capacity or existing unused production capacity 
                in the exporting country,
                  (B) existing inventories of the subject 
                merchandise, or likely increases in 
                inventories,
                  (C) the existence of barriers to the 
                importation of such merchandise into countries 
                other than the United States, and
                  (D) the potential for product-shifting if 
                production facilities in the foreign country, 
                which can be used to produce the subject 
                merchandise, are currently being used to 
                produce other products.
          (3) Price.--In evaluating the likely price effects of 
        imports of the subject merchandise if the order is 
        revoked or the suspended investigation is terminated, 
        the Commission shall consider whether--
                  (A) there is likely to be significant price 
                underselling by imports of the subject 
                merchandise as compared to domestic like 
                products, and
                  (B) imports of the subject merchandise are 
                likely to enter the United States at prices 
                that otherwise would have a significant 
                depressing or suppressing effect on the price 
                of domestic like products.
          (4) Impact on the industry.--In evaluating the likely 
        impact of imports of the subject merchandise on the 
        industry if the order is revoked or the suspended 
        investigation is terminated, the Commission shall 
        consider all relevant economic factors which are likely 
        to have a bearing on the state of the industry in the 
        United States, including, but not limited to--
                  (A) likely declines in output, sales, market 
                share, profits, productivity, return on 
                investments, and utilization of capacity,
                  (B) likely negative effects on cash flow, 
                inventories, employment, wages, growth, ability 
                to raise capital, and investment, and
                  (C) likely negative effects on the existing 
                development and production efforts of the 
                industry, including efforts to develop a 
                derivative or more advanced version of the 
                domestic like product.
        The Commission shall evaluate all relevant economic 
        factors described in this paragraph within the context 
        of the business cycle and the conditions of competition 
        that are distinctive to the affected industry.
          (5) Basis for determination.--The presence or absence 
        of any factor which the Commission is required to 
        consider under this subsection shall not necessarily 
        give decisive guidance with respect to the Commission's 
        determination of whether material injury is likely to 
        continue or recur within a reasonably foreseeable time 
        if the order is revoked or the suspended investigation 
        is terminated. In making that determination, the 
        Commission shall consider that the effects of 
        revocation or termination may not be imminent, but may 
        manifest themselves only over a longer period of time.
          (6) Magnitude of margin of dumping and net 
        countervailable subsidy; nature of countervailable 
        subsidy.--In making a determination under section 751 
        (b) or (c), the Commission may consider the magnitude 
        of the margin of dumping or the magnitude of the net 
        countervailable subsidy. If a countervailable subsidy 
        is involved the Commission shall consider information 
        regarding the nature of the countervailable subsidy and 
        whether the subsidy is a subsidy described in Article 3 
        or 6.1 of the Subsidies Agreement.
          (7) Cumulation.--For purposes of this subsection, the 
        Commission may cumulatively assess the volume and 
        effect of imports of the subject merchandise from all 
        countries with respect to which reviews under section 
        751 (b) or (c) were initiated on the same day, if such 
        imports would be likely to compete with each other and 
        with domestic like products in the United States 
        market. The Commission shall not cumulatively assess 
        the volume and effects of imports of the subject 
        merchandise in a case in which it determines that such 
        imports are likely to have no discernible adverse 
        impact on the domestic industry.
          (8) Special rule for regional industries.--In a 
        review under section 751 (b) or (c) involving a 
        regional industry, the Commission may base its 
        determination on the regional industry defined in the 
        original investigation under this title, another region 
        that satisfies the criteria established in section 
        771(4)(C), or the United States as a whole. In 
        determining if a regional industry analysis is 
        appropriate for the determination in the review, the 
        Commission shall consider whether the criteria 
        established in section 771(4)(C) are likely to be 
        satisfied if the order is revoked or the suspended 
        investigation is terminated.
    (b) Determination of Likelihood of Continuation or 
Recurrence of a Countervailable Subsidy.--
          (1) In general.--In a review conducted under section 
        751(c), the administering authority shall determine 
        whether revocation of a countervailing duty order or 
        termination of a suspended investigation under section 
        704 would be likely to lead to continuation or 
        recurrence of a countervailable subsidy. The 
        administering authority shall consider--
                  (A) the net countervailable subsidy 
                determined in the investigation and subsequent 
                reviews, and
                  (B) whether any change in the program which 
                gave rise to the net countervailable subsidy 
                described in subparagraph (A) has occurred that 
                is likely to affect that net countervailable 
                subsidy.
          (2) Consideration of other factors.--If good cause is 
        shown, the administering authority shall also 
        consider--
                  (A) programs determined to provide 
                countervailable subsidies in other 
                investigations or reviews under this title, but 
                only to the extent that such programs--
                          (i) can potentially be used by the 
                        exporters or producers subject to the 
                        review under section 751(c), and
                          (ii) did not exist at the time that 
                        the countervailing duty order was 
                        issued or the suspension agreement was 
                        accepted, and
                  (B) programs newly alleged to provide 
                countervailable subsidies but only to the 
                extent that the administering authority makes 
                an affirmative countervailing duty 
                determination with respect to such programs and 
                with respect to the exporters or producers 
                subject to the review.
          (3) Net countervailable subsidy.--The administering 
        authority shall provide to the Commission the net 
        countervailable subsidy that is likely to prevail if 
        the order is revoked or the suspended investigation is 
        terminated. The administering authority shall normally 
        choose a net countervailable subsidy that was 
        determined under section 705 or subsection (a) or 
        (b)(1) of section 751.
          (4) Special rule.--
                  (A) Treatment of zero and de minimis rates.--
                A net countervailable subsidy described in 
                paragraph (1)(A) that is zero or de minimis 
                shall not by itself require the administering 
                authority to determine that revocation of a 
                countervailing duty order or termination of a 
                suspended investigation would not be likely to 
                lead to continuation or recurrence of a 
                countervailable subsidy.
                  (B) Application of de minimis standards.--For 
                purposes of this paragraph, the administering 
                authority shall apply the de minimis standards 
                applicable to reviews conducted under 
                subsections (a) and (b)(1) of section 751.
    (c) Determination of Likelihood of Continuation or 
Recurrence of Dumping.--
          (1) In general.--In a review conducted under section 
        751(c), the administering authority shall determine 
        whether revocation of an antidumping duty order or 
        termination of a suspended investigation under section 
        734 would be likely to lead to continuation or 
        recurrence of sales of the subject merchandise at less 
        than fair value. The administering authority shall 
        consider--
                  (A) the weighted average dumping margins 
                determined in the investigation and subsequent 
                reviews, and
                  (B) the volume of imports of the subject 
                merchandise for the period before and the 
                period after the issuance of the antidumping 
                duty order or acceptance of the suspension 
                agreement.
          (2) Consideration of other factors.--If good cause is 
        shown, the administering authority shall also consider 
        such other price, cost, market, or economic factors as 
        it deems relevant.
          (3) Magnitude of the margin of dumping.--The 
        administering authority shall provide to the Commission 
        the magnitude of the margin of dumping that is likely 
        to prevail if the order is revoked or the suspended 
        investigation is terminated. The administering 
        authority shall normally choose a margin that was 
        determined under section 735 or under subsection (a) or 
        (b)(1) of section 751.
          (4) Special rule.--
                  (A) Treatment of zero or de minimis 
                margins.--A dumping margin described in 
                paragraph (1)(A) that is zero or de minimis 
                shall not by itself require the administering 
                authority to determine that revocation of an 
                antidumping duty order or termination of a 
                suspended investigation would not be likely to 
                lead to continuation or recurrence of sales at 
                less than fair value.
                  (B) Application of de minimis standards.--For 
                purposes of this paragraph, the administering 
                authority shall apply the de minimis standards 
                applicable to reviews conducted under 
                subsections (a) and (b) of section 751.

SEC. 753.\373\ SPECIAL RULES FOR INJURY INVESTIGATIONS FOR CERTAIN 
                    SECTION 303 OR SECTION 701(c) COUNTERVAILING DUTY 
                    ORDERS AND INVESTIGATIONS.

    (a) In General.--
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    \373\ 19 U.S.C. 1675b. Added by sec. 271(a) of Public Law 103-465 
(108 Stat. 4918). Sec. 39(1) of Public Law 104-295 (110 Stat. 3540) 
inserted ``or section 701(c)'' after ``section 303'' each place it 
appeared in sec. 753.
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          (1) Investigation by the commission upon request.--In 
        the case of a countervailing duty order described in 
        paragraph (2), which--
                  (A) applies to merchandise that is the 
                product of a Subsidies Agreement country, and
                  (B)(i) is in effect on the date on which such 
                country becomes a Subsidies Agreement country, 
                or
                  (ii) is issued on a date that is after the 
                date described in clause (i) pursuant to a 
                court order in an action brought under section 
                516A,
        the Commission, upon receipt of a request from an 
        interested party described in section 771(9) (C), (D), 
        (E), (F), or (G) for an injury investigation with 
        respect to such order, shall initiate an investigation 
        and shall determine whether an industry in the United 
        States is likely to be materially injured by reason of 
        imports of the subject merchandise if the order is 
        revoked.
          (2) Description of countervailing duty orders.--A 
        countervailing duty order described in this paragraph 
        is an order issued under section 303 or section 701(c) 
        with respect to which the requirement of an affirmative 
        determination of material injury \374\ was not 
        applicable at the time such order was issued.
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    \374\ Sec. 39(2) of Public Law 104-295 (110 Stat. 3541) struck out 
``under section 303(a)(2)'' in subsecs. (a)(2) and (c).
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          (3) Requirements of request for investigation.--A 
        request for an investigation under this subsection 
        shall be submitted--
                  (A) in the case of an order described in 
                paragraph (1)(B)(i), within 6 months after the 
                date on which the country described in 
                paragraph (1)(A) becomes a Subsidies Agreement 
                country, or
                  (B) in the case of an order described in 
                paragraph (1)(B)(ii), within 6 months after the 
                date the order is issued.
          (4) Suspension of liquidation.--With respect to 
        entries of subject merchandise made on or after--
                  (A) in the case of an order described in 
                paragraph (1)(B)(i), the date on which the 
                country described in paragraph (1)(A) becomes a 
                Subsidies Agreement country, or
                  (B) in the case of an order described in 
                paragraph (1)(B)(ii), the date on which the 
                order is issued,
        liquidation shall be suspended at the cash deposit rate 
        in effect on the date described in subparagraph (A) or 
        (B) (whichever is applicable).
    (b) Investigation Procedure and Schedule.--
          (1) Commission procedure.--
                  (A) In general.--Except as otherwise provided 
                in this section, the provisions of this title 
                regarding evidence in and procedures for 
                investigations conducted under subtitle A shall 
                apply to investigations conducted by the 
                Commission under this section.
                  (B) Time for commission determination.--
                Except as otherwise provided in subparagraph 
                (C), the Commission shall issue its 
                determination under subsection (a)(1), to the 
                extent possible, not later than 1 year after 
                the date on which the investigation is 
                initiated under this section.
                  (C) Special rule to permit administrative 
                flexibility.--In the case of requests for 
                investigations received under this section 
                within 1 year after the date on which the WTO 
                Agreement enters into force with respect to the 
                United States, the Commission may, after 
                consulting with the administering authority, 
                initiate its investigations in a manner that 
                results in determinations being made in all 
                such investigations during the 4-year period 
                beginning on such date.
          (2) Net countervailable subsidy; nature of subsidy.--
                  (A) Net countervailable subsidy.--The 
                administering authority shall provide to the 
                Commission the net countervailable subsidy that 
                is likely to prevail if the order which is the 
                subject of the investigation is revoked. The 
                administering authority normally shall choose a 
                net countervailable subsidy that was determined 
                under section 705 or subsection (a) or (b)(1) 
                of section 751. If the Commission considers the 
                magnitude of the net countervailable subsidy in 
                making its determination under this section, 
                the Commission shall use the net 
                countervailable subsidy provided by the 
                administering authority.
                  (B) Nature of subsidy.--The administering 
                authority shall inform the Commission of, and 
                the Commission, in making its determination 
                under this section, shall consider, the nature 
                of the countervailable subsidy and whether the 
                countervailable subsidy is a subsidy described 
                in Article 3 or Article 6.1 of the Subsidies 
                Agreement.
          (3) Effect of commission determination.--
                  (A) Affirmative determination.--Upon being 
                notified by the Commission that it has made an 
                affirmative determination under subsection 
                (a)(1)--
                          (i) the administering authority shall 
                        order the termination of the suspension 
                        of liquidation required pursuant to 
                        subsection (a)(4), and
                          (ii) the countervailing duty order 
                        shall remain in effect until revoked, 
                        in whole or in part, under section 
                        751(d).
                For purposes of section 751(c), a 
                countervailing duty order described in this 
                section shall be treated as issued on the date 
                of publication of the Commission's 
                determination under this subsection.
                  (B) Negative determination.--
                          (i) In general.--Upon being notified 
                        by the Commission that it has made a 
                        negative determination under subsection 
                        (a)(1), the administering authority 
                        shall revoke the countervailing duty 
                        order, and shall refund, with interest, 
                        any estimated countervailing duties 
                        collected during the period liquidation 
                        was suspended pursuant to subsection 
                        (a)(4).
                          (ii) Limitation on negative 
                        determination.--A determination by the 
                        Commission that revocation of the order 
                        is not likely to result in material 
                        injury to an industry by reason of 
                        imports of the subject merchandise 
                        shall not be based, in whole or in 
                        part, on any export taxes, duties, or 
                        other charges levied on the export of 
                        the subject merchandise to the United 
                        States that were specifically intended 
                        to offset the countervailable subsidy 
                        received.
          (4) Countervailing duty orders with respect to which 
        no request for injury investigation is made.--If, with 
        respect to a countervailing duty order described in 
        subsection (a), a request for an investigation is not 
        made within the time required by subsection (a)(3), the 
        Commission shall notify the administering authority 
        that a negative determination has been made under 
        subsection (a) and the provisions of paragraph (3)(B) 
        shall apply with respect to the order.
    (c) Pending and Suspended Countervailing Duty 
Investigations.--If, on the date on which a country becomes a 
Subsidies Agreement country, there is a countervailing duty 
investigation in progress or suspended under section 303 or 
section 701(c) that applies to merchandise which is a product 
of that country and with respect to which the requirement of an 
affirmative determination of material injury \367\ was not 
applicable at the time the investigation was initiated, the 
Commission shall--
          (1) in the case of an investigation in progress, make 
        a final determination under section 705(b) within 75 
        days after the date of an affirmative final 
        determination, if any, by the administering authority,
          (2) in the case of a suspended investigation to which 
        section 704(i)(1)(B) applies, make a final 
        determination under section 705(b) within 120 days 
        after receiving notice from the administering authority 
        of the resumption of the investigation pursuant to 
        section 704(i), or within 45 days after the date of an 
        affirmative final determination, if any, by the 
        administering authority, whichever is later, or
          (3) in the case of a suspended investigation to which 
        section 704(i)(1)(C) applies, treat the countervailing 
        duty order issued pursuant to such section as if it 
        were--
                  (A) an order issued under subsection 
                (a)(1)(B)(ii) for purposes of subsection 
                (a)(3); and
                  (B) an order issued under subsection 
                (a)(1)(B)(i) for purposes of subsection (a)(4).
    (d) Publication in Federal Register.--The administering 
authority or the Commission, as the case may be, shall publish 
in the Federal Register a notice of the initiation of any 
investigation, and a notice of any determination or revocation, 
made pursuant to this section.
    (e) Request for Simultaneous Expedited Review Under Section 
751(c).--
          (1) General rule.--
                  (A) Requests for reviews.--Notwithstanding 
                section 751(c)(6)(A) and except as provided in 
                subparagraph (B), an interested party may 
                request a review of an order under section 
                751(c) at the same time the party requests an 
                investigation under subsection (a), if the 
                order involves the same or comparable subject 
                merchandise. Upon receipt of such request, the 
                administering authority, after consulting with 
                the Commission, shall initiate a review of the 
                order under section 751(c). The Commission 
                shall combine such review with the 
                investigation under this section.
                  (B) Exception.--If the administering 
                authority determines that the interested party 
                who requested an investigation under this 
                section is a related party or an importer 
                within the meaning of section 771(4)(B), the 
                administering authority may decline a request 
                by such party to initiate a review of an order 
                under section 751(c) which involves the same or 
                comparable subject merchandise.
          (2) Cumulation.--If a review under section 751(c) is 
        initiated under paragraph (1), such review shall be 
        treated as having been initiated on the same day as the 
        investigation under this section, and the Commission 
        may, in accordance with section 771(7)(G), cumulatively 
        assess the volume and effect of imports of the subject 
        merchandise from all countries with respect to which 
        such investigations are treated as initiated on the 
        same day.
          (3) Time and procedure for commission 
        determination.--The Commission shall render its 
        determination in the investigation conducted under this 
        section at the same time as the Commission's 
        determination is made in the review under section 
        751(c) that is initiated pursuant to this subsection. 
        The Commission shall in all other respects apply the 
        procedures and standards set forth in section 751(c) to 
        such section 751(c) reviews.

SEC. 754.\375\ CONTINUED DUMPING AND SUBSIDY OFFSET.

    (a) In General.--Duties assessed pursuant to a 
countervailing duty order, an antidumping duty order, or a 
finding under the Antidumping Act of 1921 shall be distributed 
on an annual basis under this section to the affected domestic 
producers for qualifying expenditures. Such distribution shall 
be known as the ``continued dumping and subsidy offset''.
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    \375\ 19 U.S.C. 1675c. Sec. 1003(a) of Public Law 106-387 amended 
Title VII of the Tariff Act of 1930 by inserting a new sec. 754 after 
sec. 753 (114 Stat. 1549A-73). Title X further provided the following:
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``SEC. 1001. SHORT TITLE.
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    ``This title may be cited as the `Continued Dumping and Subsidy 
Offset Act of 2000'.
---------------------------------------------------------------------------

``SEC. 1002. FINDINGS OF CONGRESS.
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    ``Congress makes the following findings:
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          ``(1) Consistent with the rights of the United States under 
        the World Trade Organization, injurious dumping is to be 
        condemned and actionable subsidies which cause injury to 
        domestic industries must be effectively neutralized.
          ``(2) United States unfair trade laws have as their purpose 
        the restoration of conditions of fair trade so that jobs and 
        investment that should be in the United States are not lost 
        through the false market signals.
          ``(3) The continued dumping or subsidization of imported 
        products after the issuance of antidumping orders or findings 
        or countervailing duty orders can frustrate the remedial 
        purpose of the laws by preventing market prices from returning 
        to fair levels.
          ``(4) Where dumping or subsidization continues, domestic 
        producers will be reluctant to reinvest or rehire and may be 
        unable to maintain pension and health care benefits that 
        conditions of fair trade would permit. Similarly, small 
        businesses and American farmers and ranchers may be unable to 
        pay down accumulated debt, to obtain working capital, or to 
        otherwise remain viable.
          ``(5) United States trade laws should be strengthened to see 
        that the remedial purpose of those laws is achieved.''.
---------------------------------------------------------------------------
    Sec. 1003(c) further provided:
    ``(c) Effective Date.--The amendments made by this section shall 
apply with respect to all antidumping and countervailing duty 
assessments made on or after October 1, 2000.''.
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    (b) Definitions.--As used in this section:
          (1) Affected domestic producer.--The term ``affected 
        domestic producer'' means any manufacturer, producer, 
        farmer, rancher, or worker representative (including 
        associations of such persons) that--
                  (A) was a petitioner or interested party in 
                support of the petition with respect to which 
                an antidumping duty order, a finding under the 
                Antidumping Act of 1921, or a countervailing 
                duty order has been entered, and
                  (B) remains in operation.
    Companies, businesses, or persons that have ceased the 
production of the product covered by the order or finding or 
who have been acquired by a company or business that is related 
to a company that opposed the investigation shall not be an 
affected domestic producer.
          (2) Commissioner.--The term ``Commissioner'' means 
        the Commissioner of Customs.
          (3) Commission.--The term ``Commission'' means the 
        United States International Trade Commission.
          (4) Qualifying expenditure.--The term ``qualifying 
        expenditure'' means an expenditure incurred after the 
        issuance of the antidumping duty finding or order or 
        countervailing duty order in any of the following 
        categories:
                  (A) Manufacturing facilities.
                  (B) Equipment.
                  (C) Research and development.
                  (D) Personnel training.
                  (E) Acquisition of technology.
                  (F) Health care benefits to employees paid 
                for by the employer.
                  (G) Pension benefits to employees paid for by 
                the employer.
                  (H) Environmental equipment, training, or 
                technology.
                  (I) Acquisition of raw materials and other 
                inputs.
                  (J) Working capital or other funds needed to 
                maintain production.
          (5) Related to.--A company, business, or person shall 
        be considered to be ``related to'' another company, 
        business, or person if--
                  (A) the company, business, or person directly 
                or indirectly controls or is controlled by the 
                other company, business, or person,
                  (B) a third party directly or indirectly 
                controls both companies, businesses, or 
                persons,
                  (C) both companies, businesses, or persons 
                directly or indirectly control a third party 
                and there is reason to believe that the 
                relationship causes the first company, 
                business, or persons to act differently than a 
                nonrelated party.
    For purposes of this paragraph, a party shall be considered 
to directly or indirectly control another party if the party is 
legally or operationally in a position to exercise restraint or 
direction over the other party.
    (c) Distribution Procedures.--The Commissioner shall 
prescribe procedures for distribution of the continued dumping 
or subsidies offset required by this section. Such distribution 
shall be made not later than 60 days after the first day of a 
fiscal year from duties assessed during the preceding fiscal 
year.
    (d) Parties Eligible for Distribution of Antidumping and 
Countervailing Duties Assessed.--
          (1) List of affected domestic producers.--The 
        Commission shall forward to the Commissioner within 60 
        days after the effective date of this section in the 
        case of orders or findings in effect on January 1, 
        1999, or thereafter, or in any other case, within 60 
        days after the date an antidumping or countervailing 
        duty order or finding is issued, a list of petitioners 
        and persons with respect to each order and finding and 
        a list of persons that indicate support of the petition 
        by letter or through questionnaire response. In those 
        cases in which a determination of injury was not 
        required or the Commission's records do not permit an 
        identification of those in support of a petition, the 
        Commission shall consult with the administering 
        authority to determine the identity of the petitioner 
        and those domestic parties who have entered appearances 
        during administrative reviews conducted by the 
        administering authority under section 751.
          (2) Publication of list; certification.--The 
        Commissioner shall publish in the Federal Register at 
        least 30 days before the distribution of a continued 
        dumping and subsidy offset, a notice of intention to 
        distribute the offset and the list of affected domestic 
        producers potentially eligible for the distribution 
        based on the list obtained from the Commission under 
        paragraph (1). The Commissioner shall request a 
        certification from each potentially eligible affected 
        domestic producer--
                  (A) that the producer desires to receive a 
                distribution;
                  (B) that the producer is eligible to receive 
                the distribution as an affected domestic 
                producer; and
                  (C) the qualifying expenditures incurred by 
                the producer since the issuance of the order or 
                finding for which distribution under this 
                section has not previously been made.
          (3) Distribution of funds.--The Commissioner shall 
        distribute all funds (including all interest earned on 
        the funds) from assessed duties received in the 
        preceding fiscal year to affected domestic producers 
        based on the certifications described in paragraph (2). 
        The distributions shall be made on a pro rata basis 
        based on new and remaining qualifying expenditures.
    (e) Special Accounts.--
          (1) Establishments.--Within 14 days after the 
        effective date of this section, with respect to 
        antidumping duty orders and findings and countervailing 
        duty orders notified under subsection (d)(1), and 
        within 14 days after the date an antidumping duty order 
        or finding or countervailing duty order issued after 
        the effective date takes effect, the Commissioner shall 
        establish in the Treasury of the United States a 
        special account with respect to each such order or 
        finding.
          (2) Deposits into accounts.--The Commissioner shall 
        deposit into the special accounts, all antidumping or 
        countervailing duties (including interest earned on 
        such duties) that are assessed after the effective date 
        of this section under the antidumping order or finding 
        or the countervailing duty order with respect to which 
        the account was established.
          (3) Time and manner of distributions.--Consistent 
        with the requirements of subsections (c) and (d), the 
        Commissioner shall by regulation prescribe the time and 
        manner in which distribution of the funds in a special 
        account shall be made.
          (4) Termination.--A special account shall terminate 
        after--
                  (A) the order or finding with respect to 
                which the account was established has 
                terminated;
                  (B) all entries relating to the order or 
                finding are liquidated and duties assessed 
                collected;
                  (C) the Commissioner has provided notice and 
                a final opportunity to obtain distribution 
                pursuant to subsection (c); and
                  (D) 90 days has elapsed from the date of the 
                notice described in subparagraph (C).
    Amounts not claimed within 90 days of the date of the 
notice described in subparagraph (C), shall be deposited into 
the general fund of the Treasury.

  Chapter 2--Consultations and Determinations Regarding Quantitative 
                         Restriction Agreements

SEC. 761.\376\ REQUIRED CONSULTATIONS.
    (a) Agreements in Response of Countervailable 
Subsidies.\377\--Within 90 days after the administering 
authority accepts a quantitative restriction agreement under 
section 704(a)(2) or (c)(3), the President shall enter into 
consultations with the government that is party to the 
agreement for purposes of--
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    \376\ 19 U.S.C. 1676. Sec. 611(a)(4) of Public Law 98-573 (98 Stat. 
3031) added sec. 761. Sec. 626(b) of Public Law 98-573 further stated 
that this amendment shall apply with respect to investigations 
initiated by petition or by the administering authority under subtitles 
A and B of title VII of the Tariff Act of 1930 on or after the 
effective date of this Act (Oct. 30, 1984).
    \377\ Sec. 270(b)(1)(C) and 270(b)(2) of Public Law 103-465 (108 
Stat. 4917) struck out ``subsidies'' and inserted in lieu thereof 
``countervailable subsidies''.
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          (1) eliminating the countervailable subsidy \378\ 
        completely, or
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    \378\ Sec. 270(a)(1)(I) of Public Law 103-465 (108 Stat. 4917) 
struck out ``subsidy'' and inserted in lieu thereof ``countervailable 
subsidy''.
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          (2) reducing the net countervailable subsidy \376\ to 
        a level that eliminates completely the injurious effect 
        of exports to the United States of the merchandise.
    (b) Modification of Agreements on Basis of Consultations.--
At the direction of the President, the administering authority 
shall modify a quantitative restriction agreement as a result 
of consultations entered into under subsection (a).
    (c) Special Rule Regarding Agreements Under Section 
704(c)(3).--This chapter shall cease to apply to a quantitative 
restriction agreement described in section 704(c)(3) at such 
time as that agreement ceases to have force and effect under 
section 704(f) or violation is found under section 704(i).

SEC. 762.\379\ REQUIRED DETERMINATIONS.
    (a) In General.--Before the expiration date, if any, of a 
quantitative restriction agreement accepted under section 
704(a)(2) or 704(c)(3) (if suspension of the related 
investigation is still in effect)--
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    \379\ 19 U.S.C. 1676a. Sec. 611(a)(4) of Public Law 98-573 (89 
Stat. 3031) added sec. 762. Sec. 626(b) of Public Law 98-573 further 
stated that this amendment shall apply with respect to investigations 
initiated by petition or by the administering authority under subtitles 
A and B of title VII of the Tariff Act of 1930 on or after the 
effective date of this Act (Oct. 30, 1984).
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          (1) the administering authority shall, at the 
        direction of the President, initiate a proceeding to 
        determine whether any countervailable subsidy \380\ is 
        being provided with respect to the subject merchandise 
        \381\ and, if being so provided, the net 
        countervailable subsidy; \372\ and
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    \380\ Sec. 270(a)(1)(J) of Public Law 103-465 (108 Stat. 4917) 
struck out ``subsidy'' and inserted in lieu thereof ``countervailable 
subsidy''.
    \381\ Sec. 233(a)(5)(Z) of Public Law 103-465 (108 Stat. 4900) 
struck out ``merchandise subject to the agreement'' and inserted in 
lieu thereof ``subject merchandise''.
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          (2) if the administering authority initiates a 
        proceeding under paragraph (1), the Commission shall 
        determine whether imports of the merchandise of the 
        kind subject to the agreement will, upon termination of 
        the agreement, materially injure, or threaten with 
        material injury, an industry in the United States or 
        materially retard the establishment of such an 
        industry.
    (b) Determinations.--The determinations required to be made 
by the administering authority and the Commission under 
subsection (a) shall be made under such procedures as the 
administering authority and the Commission, respectively, shall 
by regulation prescribe, and shall be treated as final 
determinations made under section 705 for purposes of judicial 
review under section 516A. If the determinations by each are 
affirmative, the administering authority shall--
          (1) issue a countervailing duty order under section 
        706 effective with respect to merchandise entered on 
        and after the date on which the agreement terminates; 
        and
          (2) order the suspension of liquidation of all 
        entries of subject merchandise \382\ which are entered, 
        or withdrawn from warehouse for consumption, on or 
        after the date of publication of the order in the 
        Federal Register.
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    \382\ Sec. 233(a)(5)(AA) of Public Law 103-465 (108 Stat. 4900) 
struck out ``merchandise subject to the order'' and inserted in lieu 
thereof ``subject merchandise''.
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    (c) Hearings.--The determination proceedings required to be 
prescribed under subsection (b) shall provide that the 
administering authority and the Commission must, upon the 
request of any interested party, hold a hearing in accordance 
with section 774 on the issues involved.

                     Subtitle D--General Provisions

SEC. 771.\383\ DEFINITIONS; SPECIAL RULES.
    For purposes of this title--
---------------------------------------------------------------------------
    \383\ 19 U.S.C. 1677.
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          (1) Administering authority.--The term 
        ``administering authority'' means the Secretary of 
        Commerce,\384\ or any other officer of the United 
        States to whom the responsibility for carrying out the 
        duties of the administering authority under this title 
        are transferred by law.
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    \384\ Sec. 233(b)(2) of Public Law 103-465 (108 Stat. 4901) struck 
out ``the Treasury'' and inserted in lieu thereof ``Commerce''.
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          (2) Commission.--The term ``Commission'' means the 
        United States International Trade Commission.
          (3) Country.--The term ``country'' means a foreign 
        country, a political subdivision, dependent territory, 
        or possession of a foreign country, and, except for the 
        purpose of antidumping proceedings, may include an 
        association of 2 or more foreign countries, political 
        subdivisions, dependent territories, or possessions of 
        countries into a customs union outside the United 
        States.
          (4) Industry.--
                  (A) \385\ In general.--The term ``industry'' 
                means the producers as a whole of a domestic 
                like product, or those producers whose 
                collective output of a domestic like product 
                constitutes a major proportion of the total 
                domestic production of the product.
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    \385\ Sec. 222(a)(1) of Public Law 103-465 (108 Stat. 4869) amended 
and restated subparas. (A) and (B).
---------------------------------------------------------------------------
                  (B) Related parties.--
                          (i) If a producer of a domestic like 
                        product and an exporter or importer of 
                        the subject merchandise are related 
                        parties, or if a producer of the 
                        domestic like product is also an 
                        importer of the subject merchandise, 
                        the producer may, in appropriate 
                        circumstances, be excluded from the 
                        industry.
                          (ii) For purposes of clause (i), a 
                        producer and an exporter or importer 
                        shall be considered to be related 
                        parties, if--
                                  (I) the producer directly or 
                                indirectly controls the 
                                exporter or importer,
                                  (II) the exporter or importer 
                                directly or indirectly controls 
                                the producer,
                                  (III) a third party directly 
                                or indirectly controls the 
                                producer and the exporter or 
                                importer, or
                                  (IV) the producer and the 
                                exporter or importer directly 
                                or indirectly control a third 
                                party and there is reason to 
                                believe that the relationship 
                                causes the producer to act 
                                differently than a nonrelated 
                                producer.
                For purposes of this subparagraph, a party 
                shall be considered to directly or indirectly 
                control another party if the party is legally 
                or operationally in a position to exercise 
                restraint or direction over the other party.
                  (C) Regional industries.--In appropriate 
                circumstances, the United States, for a 
                particular product market, may be divided into 
                2 or more markets and the producers within each 
                market may be treated as if they were a 
                separate industry if--
                          (i) the producers within such market 
                        sell all or almost all of their 
                        production of the domestic like product 
                        \386\ in question in that market, and
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    \386\ Sec. 233(a)(3)(A)(i) of Public Law 103-465 (108 Stat. 4898) 
struck out ``like product'' and inserted in lieu thereof ``domestic 
like product''.
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                          (ii) the demand in that market is not 
                        supplied, to any substantial degree, by 
                        producers of the product in question 
                        located elsewhere in the United States.
                In such appropriate circumstances, material 
                injury, the threat of material injury, or 
                material retardation of the establishment of an 
                industry may be found to exist with respect to 
                an industry even if the domestic industry as a 
                whole, or those producers whose collective 
                output of a domestic like product \378\ 
                constitutes a major proportion of the total 
                domestic production of that product, is not 
                injured, if there is a concentration of dumped 
                imports or imports of merchandise benefiting 
                from a countervailable subsidy \379\ into such 
                an isolated market and if the producers of all, 
                or almost all, of the production within that 
                market are being materially injured or 
                threatened by material injury, or if the 
                establishment of an industry is being 
                materially retarded, by reason of the dumped 
                imports or imports of merchandise benefiting 
                from a countervailable subsidy.\387\ The term 
                ``regional industry'' means the domestic 
                producers within a region who are treated as a 
                separate industry under this subparagraph.\388\
---------------------------------------------------------------------------
    \387\ Sec. 270(c)(2) of Public Law 103-465 (108 Stat. 4917) struck 
out ``subsidized or'' before ``dumped imports'' and inserted ``or 
imports of merchandise benefiting from a countervailable subsidy'' 
after ``dumped imports''.
    \388\ Sec. 222(a)(2) of Public Law 103-465 (108 Stat. 4869) added 
this sentence.
---------------------------------------------------------------------------
                  (D) Product lines.--The effect of dumped 
                imports or imports of merchandise benefiting 
                from a countervailable subsidy \387\ shall be 
                assessed in relation to the United States 
                production of a domestic like product \386\ if 
                available data permit the separate 
                identification of production in terms of such 
                criteria as the production process or the 
                producer's profits. If the domestic production 
                of the domestic like product \386\ has no 
                separate identity in terms of such criteria, 
                then the effect of the dumped imports or 
                imports of merchandise benefiting from a 
                countervailable subsidy \387\ shall be assessed 
                by the examination of the production of the 
                narrowest group or range of products, which 
                include a domestic like product,\386\ for which 
                the necessary information can be provided.
                  (E) \389\ Industry producing processed 
                agricultural products.--
---------------------------------------------------------------------------
    \389\ Sec. 1326(a) of Public Law 100-418 (102 Stat. 1203) inserted 
subpara. (E).
---------------------------------------------------------------------------
                          (i) In general.--Subject to clause 
                        (v), in an investigation involving a 
                        processed agricultural product produced 
                        from any raw agricultural product, the 
                        producers or growers of the raw 
                        agricultural product may be considered 
                        part of the industry producing the 
                        processed product if--
                                  (I) the processed 
                                agricultural product is 
                                produced from the raw 
                                agricultural product through a 
                                single continuous line of 
                                production; and
                                  (II) there is a substantial 
                                coincidence of economic 
                                interest between the producers 
                                or growers of the raw 
                                agricultural product and the 
                                processors of the processed 
                                agricultural product based upon 
                                relevant economic factors, 
                                which may, in the discretion of 
                                the Commission, include price, 
                                added market value, or other 
                                economic interrelationships 
                                (regardless of whether such 
                                coincidence of economic 
                                interest is based upon any 
                                legal relationship).
                          (ii) Processing.--For purposes of 
                        this subparagraph, the processed 
                        agricultural product shall be 
                        considered to be processed from a raw 
                        agricultural product through a single 
                        continuous line of production if--
                                  (I) the raw agricultural 
                                product is substantially or 
                                completely devoted to the 
                                production of the processed 
                                agricultural product; and
                                  (II) the processed 
                                agricultural product is 
                                produced substantially or 
                                completely from the raw 
                                product.
                          (iii) Relevant economic factors.--For 
                        purposes of clause (i)(II), in addition 
                        to such other factors it considers 
                        relevant to the question of coincidence 
                        of economic interest, the Commission 
                        shall--
                                  (I) if price is taken into 
                                account, consider the degree of 
                                correlation between the price 
                                of the raw agricultural product 
                                and the price of the processed 
                                agricultural product; and
                                  (II) if added market value is 
                                taken into account, consider 
                                whether the value of the raw 
                                agricultural product 
                                constitutes a significant 
                                percentage of the value of the 
                                processed agricultural product.
                          (iv) Raw agricultural product.--For 
                        purposes of this subparagraph, the term 
                        ``raw agricultural product'' means any 
                        farm or fishery product.
                          (v) Termination of this 
                        subparagraph.--This subparagraph shall 
                        cease to have effect if the United 
                        States Trade Representative notifies 
                        the administering authority and the 
                        Commission that the application of this 
                        subparagraph is inconsistent with the 
                        international obligations of the United 
                        States.
          (5) \390\ Countervailable subsidy.--
---------------------------------------------------------------------------
    \390\ Sec. 251(a) of Public Law 103-465 (108 Stat. 4902) amended 
and restated para. (5). The paragraph was previously amended and 
restated by sec. 1312 of Public Law 100-418 (102 Stat. 1184).
---------------------------------------------------------------------------
                  (A) In general.--Except as provided in 
                paragraph (5B), a countervailable subsidy is a 
                subsidy described in this paragraph which is 
                specific as described in paragraph (5A).
                  (B) Subsidy described.--A subsidy is 
                described in this paragraph in the case in 
                which an authority--
                          (i) provides a financial 
                        contribution,
                          (ii) provides any form of income or 
                        price support within the meaning of 
                        Article XVI of the GATT 1994, or
                          (iii) makes a payment to a funding 
                        mechanism to provide a financial 
                        contribution, or entrusts or directs a 
                        private entity to make a financial 
                        contribution, if providing the 
                        contribution would normally be vested 
                        in the government and the practice does 
                        not differ in substance from practices 
                        normally followed by governments, to a 
                        person and a benefit is thereby 
                        conferred. For purposes of this 
                        paragraph and paragraphs (5A) and (5B), 
                        the term ``authority'' means a 
                        government of a country or any public 
                        entity within the territory of the 
                        country.
                  (C) Other factors.--The determination of 
                whether a subsidy exists shall be made without 
                regard to whether the recipient of the subsidy 
                is publicly or privately owned and without 
                regard to whether the subsidy is provided 
                directly or indirectly on the manufacture, 
                production, or export of merchandise. The 
                administering authority is not required to 
                consider the effect of the subsidy in 
                determining whether a subsidy exists under this 
                paragraph.
                  (D) Financial contribution.--The term 
                ``financial contribution'' means--
                          (i) the direct transfer of funds, 
                        such as grants, loans, and equity 
                        infusions, or the potential direct 
                        transfer of funds or liabilities, such 
                        as loan guarantees,
                          (ii) foregoing or not collecting 
                        revenue that is otherwise due, such as 
                        granting tax credits or deductions from 
                        taxable income,
                          (iii) providing goods or services, 
                        other than general infrastructure, or
                          (iv) purchasing goods.
                  (E) Benefit conferred.--A benefit shall 
                normally be treated as conferred where there is 
                a benefit to the recipient, including--
                          (i) in the case of an equity 
                        infusion, if the investment decision is 
                        inconsistent with the usual investment 
                        practice of private investors, 
                        including the practice regarding the 
                        provision of risk capital, in the 
                        country in which the equity infusion is 
                        made,
                          (ii) in the case of a loan, if there 
                        is a difference between the amount the 
                        recipient of the loan pays on the loan 
                        and the amount the recipient would pay 
                        on a comparable commercial loan that 
                        the recipient could actually obtain on 
                        the market,
                          (iii) in the case of a loan 
                        guarantee, if there is a difference, 
                        after adjusting for any difference in 
                        guarantee fees, between the amount the 
                        recipient of the guarantee pays on the 
                        guaranteed loan and the amount the 
                        recipient would pay for a comparable 
                        commercial loan if there were no 
                        guarantee by the authority, and
                          (iv) in the case where goods or 
                        services are provided, if such goods or 
                        services are provided for less than 
                        adequate remuneration, and in the case 
                        where goods are purchased, if such 
                        goods are purchased for more than 
                        adequate remuneration.
                For purposes of clause (iv), the adequacy of 
                remuneration shall be determined in relation to 
                prevailing market conditions for the good or 
                service being provided or the goods being 
                purchased in the country which is subject to 
                the investigation or review. Prevailing market 
                conditions include price, quality, 
                availability, marketability, transportation, 
                and other conditions of purchase or sale.
                  (F) Change in ownership.--A change in 
                ownership of all or part of a foreign 
                enterprise or the productive assets of a 
                foreign enterprise does not by itself require a 
                determination by the administering authority 
                that a past countervailable subsidy received by 
                the enterprise no longer continues to be 
                countervailable, even if the change in 
                ownership is accomplished through an arm's 
                length transaction.
          (5A) Specificity.--
                  (A) In general.--A subsidy is specific if it 
                is an export subsidy described in subparagraph 
                (B) or an import substitution subsidy described 
                in subparagraph (C), or if it is determined to 
                be specific pursuant to subparagraph (D).
                  (B) Export subsidy.--An export subsidy is a 
                subsidy that is, in law or in fact, contingent 
                upon export performance, alone or as 1 of 2 or 
                more conditions.
                  (C) Import substitution subsidy.--An import 
                substitution subsidy is a subsidy that is 
                contingent upon the use of domestic goods over 
                imported goods, alone or as 1 of 2 or more 
                conditions.
                  (D) Domestic subsidy.--In determining whether 
                a subsidy (other than a subsidy described in 
                subparagraph (B) or (C)) is a specific subsidy, 
                in law or in fact, to an enterprise or industry 
                within the jurisdiction of the authority 
                providing the subsidy, the following guidelines 
                shall apply:
                          (i) Where the authority providing the 
                        subsidy, or the legislation pursuant to 
                        which the authority operates, expressly 
                        limits access to the subsidy to an 
                        enterprise or industry, the subsidy is 
                        specific as a matter of law.
                          (ii) Where the authority providing 
                        the subsidy, or the legislation 
                        pursuant to which the authority 
                        operates, establishes objective 
                        criteria or conditions governing the 
                        eligibility for, and the amount of, a 
                        subsidy, the subsidy is not specific as 
                        a matter of law, if--
                                  (I) eligibility is automatic,
                                  (II) the criteria or 
                                conditions for eligibility are 
                                strictly followed, and
                                  (III) the criteria or 
                                conditions are clearly set 
                                forth in the relevant statute, 
                                regulation, or other official 
                                document so as to be capable of 
                                verification.
                        For purposes of this clause, the term 
                        ``objective criteria or conditions'' 
                        means criteria or conditions that are 
                        neutral and that do not favor one 
                        enterprise or industry over another.
                          (iii) Where there are reasons to 
                        believe that a subsidy may be specific 
                        as a matter of fact, the subsidy is 
                        specific if one or more of the 
                        following factors exist:
                                  (I) The actual recipients of 
                                the subsidy, whether considered 
                                on an enterprise or industry 
                                basis, are limited in number.
                                  (II) An enterprise or 
                                industry is a predominant user 
                                of the subsidy.
                                  (III) An enterprise or 
                                industry receives a 
                                disproportionately large amount 
                                of the subsidy.
                                  (IV) The manner in which the 
                                authority providing the subsidy 
                                has exercised discretion in the 
                                decision to grant the subsidy 
                                indicates that an enterprise or 
                                industry is favored over 
                                others.
                        In evaluating the factors set forth in 
                        subclauses (I), (II), (III), and (IV), 
                        the administering authority shall take 
                        into account the extent of 
                        diversification of economic activities 
                        within the jurisdiction of the 
                        authority providing the subsidy, and 
                        the length of time during which the 
                        subsidy program has been in operation.
                          (iv) Where a subsidy is limited to an 
                        enterprise or industry located within a 
                        designated geographical region within 
                        the jurisdiction of the authority 
                        providing the subsidy, the subsidy is 
                        specific.
        For purposes of this paragraph and paragraph (5B), any 
        reference to an enterprise or industry is a reference 
        to a foreign enterprise or foreign industry and 
        includes a group of such enterprises or industries.
          (5B) Categories of noncountervailable subsidies.--
                  (A) In general.--Notwithstanding the 
                provisions of paragraphs (5) and (5A), in the 
                case of merchandise imported from a Subsidies 
                Agreement country, a subsidy shall be treated 
                as noncountervailable if the administering 
                authority determines in an investigation under 
                subtitle A or a review under subtitle C that 
                the subsidy meets all of the criteria described 
                in subparagraph (B), (C), or (D), as the case 
                may be, or the provisions of subparagraph 
                (E)(i) apply.
                  (B) Research subsidy.--
                          (i) In general.--Except for a subsidy 
                        provided on the manufacture, 
                        production, or export of civil 
                        aircraft, a subsidy for research 
                        activities conducted by a person, or by 
                        a higher education or research 
                        establishment on a contract basis with 
                        a person, shall be treated as 
                        noncountervailable, if the subsidy 
                        covers not more than 75 percent of the 
                        costs of industrial research or not 
                        more than 50 percent of the costs of 
                        precompetitive development activity, 
                        and such subsidy is limited exclusively 
                        to--
                                  (I) the costs of researchers, 
                                technicians, and other 
                                supporting staff employed 
                                exclusively in the research 
                                activity,
                                  (II) the costs of 
                                instruments, equipment, land, 
                                or buildings that are used 
                                exclusively and permanently 
                                (except when disposed of on a 
                                commercial basis) for the 
                                research activity,
                                  (III) the costs of 
                                consultancy and equivalent 
                                services used exclusively for 
                                the research activity, 
                                including costs for bought-in 
                                research, technical knowledge, 
                                and patents,
                                  (IV) additional overhead 
                                costs incurred directly as a 
                                result of the research 
                                activity, and
                                  (V) other operating costs 
                                (such as materials and 
                                supplies) incurred directly as 
                                a result of the research 
                                activity.
                          (ii) Definitions.--For purposes of 
                        this subparagraph--
                                  (I) Industrial research.--The 
                                term ``industrial research'' 
                                means planned search or 
                                critical investigation aimed at 
                                the discovery of new knowledge, 
                                with the objective that such 
                                knowledge may be useful in 
                                developing new products, 
                                processes, or services, or in 
                                bringing about a significant 
                                improvement to existing 
                                products, processes, or 
                                services.
                                  (II) Precompetitive 
                                development activity.--The term 
                                ``precompetitive development 
                                activity'' means the 
                                translation of industrial 
                                research findings into a plan, 
                                blueprint, or design for new, 
                                modified, or improved products, 
                                processes, or services, whether 
                                intended for sale or use, 
                                including the creation of a 
                                first prototype that would not 
                                be capable of commercial use. 
                                The term also may include the 
                                conceptual formulation and 
                                design of products, processes, 
                                or services alternatives and 
                                initial demonstration or pilot 
                                projects, if these same 
                                projects cannot be converted or 
                                used for industrial application 
                                or commercial exploitation. The 
                                term does not include routine 
                                or periodic alterations to 
                                existing products, production 
                                lines, manufacturing processes, 
                                services, or other ongoing 
                                operations even if those 
                                alterations may represent 
                                improvements.
                          (iii) Calculation rules.--
                                  (I) In general.--In the case 
                                of a research activity that 
                                spans both industrial research 
                                and precompetitive development 
                                activity, the allowable level 
                                of the noncountervailable 
                                subsidy shall not exceed 62.5 
                                percent of the costs set forth 
                                in subclauses (I), (II), (III), 
                                (IV), and (V) of clause (i).
                                  (II) Total eligible costs.--
                                The allowable level of a 
                                noncountervailable subsidy 
                                described in clause (i) shall 
                                be based on the total eligible 
                                costs incurred over the 
                                duration of a particular 
                                project.
                  (C) Subsidy to disadvantaged regions--
                          (i) In general.--A subsidy provided, 
                        pursuant to a general framework of 
                        regional development, to a person 
                        located in a disadvantaged region 
                        within a country shall be treated as 
                        noncountervailable, if it is not 
                        specific (within the meaning of 
                        paragraph (5A)) within eligible regions 
                        and if the following conditions are 
                        met:
                                  (I) Each region identified as 
                                disadvantaged within the 
                                territory of a country is a 
                                clearly designated, contiguous 
                                geographical area with a 
                                definable economic and 
                                administrative identity.
                                  (II) Each region is 
                                considered a disadvantaged 
                                region on the basis of neutral 
                                and objective criteria 
                                indicating that the region is 
                                disadvantaged because of more 
                                than temporary circumstances, 
                                and such criteria are clearly 
                                stated in the relevant statute, 
                                regulation, or other official 
                                document so as to be capable of 
                                verification.
                                  (III) The criteria described 
                                in subclause (II) include a 
                                measurement of economic 
                                development.
                                  (IV) Programs provided within 
                                a general framework of regional 
                                development include ceilings on 
                                the amount of assistance that 
                                can be granted to a subsidized 
                                project. Such ceilings are 
                                differentiated according to the 
                                different levels of development 
                                of assisted regions, and are 
                                expressed in terms of 
                                investment costs or costs of 
                                job creation. Within such 
                                ceilings, the distribution of 
                                assistance is sufficiently 
                                broad and even to avoid the 
                                predominant use of a subsidy 
                                by, or the provision of 
                                disproportionately large 
                                amounts of a subsidy to, an 
                                enterprise or industry as 
                                described in paragraph (5A)(D).
                          (ii) Measurement of economic 
                        development.--For purposes of clause 
                        (i), the measurement of economic 
                        development shall be based on one or 
                        more of the following factors:
                                  (I) Per capita income, 
                                household per capita income, or 
                                per capita gross domestic 
                                product that does not exceed 85 
                                percent of the average for the 
                                country subject to 
                                investigation or review.
                                  (II) An unemployment rate 
                                that is at least 110 percent of 
                                the average unemployment rate 
                                for the country subject to 
                                investigation or review.
                        The measurement of economic development 
                        shall cover a 3-year period, but may be 
                        a composite measurement and may include 
                        factors other than those set forth in 
                        this clause.
                          (iii) Definitions.--For purposes of 
                        this subparagraph--
                                  (I) General framework of 
                                regional development.--The term 
                                ``general framework of regional 
                                development'' means that the 
                                regional subsidy programs are 
                                part of an internally 
                                consistent and generally 
                                applicable regional development 
                                policy, and that regional 
                                development subsidies are not 
                                granted in isolated 
                                geographical points having no, 
                                or virtually no, influence on 
                                the development of a region.
                                  (II) Neutral and objective 
                                criteria.--The term ``neutral 
                                and objective criteria'' means 
                                criteria that do not favor 
                                certain regions beyond what is 
                                appropriate for the elimination 
                                or reduction of regional 
                                disparities within the 
                                framework of the regional 
                                development policy.
                  (D) Subsidy for adaptation of existing 
                facilities to new environmental requirements.--
                          (i) In general.--A subsidy that is 
                        provided to promote the adaptation of 
                        existing facilities to new 
                        environmental requirements that are 
                        imposed by statute or by regulation, 
                        and that result in greater constraints 
                        and financial burdens on the recipient 
                        of the subsidy, shall be treated as 
                        noncountervailable, if the subsidy--
                                  (I) is a one-time 
                                nonrecurring measure,
                                  (II) is limited to 20 percent 
                                of the cost of adaptation,
                                  (III) does not cover the cost 
                                of replacing and operating the 
                                subsidized investment, a cost 
                                that must be fully borne by the 
                                recipient,
                                  (IV) is directly linked and 
                                proportionate to the 
                                recipient's planned reduction 
                                of nuisances and pollution, and 
                                does not cover any 
                                manufacturing cost savings that 
                                may be achieved, and
                                  (V) is available to all 
                                persons that can adopt the new 
                                equipment or production 
                                processes.
                          (ii) Existing facilities.--For 
                        purposes of this subparagraph, the term 
                        ``existing facilities'' means 
                        facilities that have been in operation 
                        for at least 2 years before the date on 
                        which the new environmental 
                        requirements are imposed.
                  (E) Notified subsidy program.--
                          (i) General rule.--If a subsidy is 
                        provided pursuant to a program that has 
                        been notified in accordance with 
                        Article 8.3 of the Subsidies Agreement, 
                        the subsidy shall be treated as 
                        noncountervailable and shall not be 
                        subject to investigation or review 
                        under this title.
                          (ii) Exception.--Notwithstanding 
                        clause (i), a subsidy shall be treated 
                        as countervailable if--
                                  (I) the Trade Representative 
                                notifies the administering 
                                authority that a determination 
                                has been made pursuant to 
                                Article 8.4 or 8.5 of the 
                                Subsidies Agreement that the 
                                subsidy, or the program 
                                pursuant to which the subsidy 
                                was provided, does not satisfy 
                                the conditions and criteria of 
                                Article 8.2 of the Subsidies 
                                Agreement; and
                                  (II) the subsidy is specific 
                                within the meaning of paragraph 
                                (5A).
                  (F) Certain subsidies on agricultural 
                products.--Domestic support measures that are 
                provided with respect to products listed in 
                Annex 1 to the Agreement on Agriculture, and 
                that the administering authority determines 
                conform fully to the provisions of Annex 2 to 
                that Agreement, shall be treated as 
                noncountervailable. Upon request by the 
                administering authority, the Trade 
                Representative shall provide advice regarding 
                the interpretation and application of Annex 2.
                  (G) Provisional application.--
                          (i) Subparagraphs (B), (C), (D), and 
                        (E) shall not apply on or after the 
                        first day of the month that is 66 
                        months after the WTO Agreement enters 
                        into force, unless the provisions of 
                        such subparagraphs are extended 
                        pursuant to section 282(c) of the 
                        Uruguay Round Agreements Act.
                          (ii) Subparagraph (F) shall not apply 
                        to imports from a WTO member country at 
                        the end of the 9-year period beginning 
                        on January 1, 1995. The Trade 
                        Representative shall determine the 
                        precise termination date for each WTO 
                        member country in accordance with 
                        paragraph (i) of Article 1 of the 
                        Agreement on Agriculture and such date 
                        shall be notified to the administering 
                        authority.
          (6) \391\ Net countervailable subsidy.--For the 
        purpose of determining the net countervailable subsidy, 
        the administering authority may subtract from the gross 
        countervailable subsidy the amount of--
---------------------------------------------------------------------------
    \391\ Sec. 251(b) of Public Law 103-465 (108 Stat. 4908) inserted 
``countervailable'' before ``subsidy'' throughout para. (6).
---------------------------------------------------------------------------
                  (A) any application fee, deposit, or similar 
                payment paid in order to qualify for, or to 
                receive, the benefit of the countervailable 
                subsidy,
                  (B) any loss in the value of the 
                countervailable subsidy resulting from its 
                deferred receipt, if the deferral is mandated 
                by Government order, and
                  (C) export taxes, duties, or other charges 
                levied on the export of merchandise to the 
                United States specifically intended to offset 
                the countervailable subsidy received.
          (7) Material injury.--
                  (A) In general.--The term ``material injury'' 
                means harm which is not inconsequential, 
                immaterial, or unimportant.
                  (B) \392\ Volume and consequent impact.--In 
                making determinations under sections 703(a), 
                705(b), 733(a), and 735(b), the Commission, in 
                each case--
---------------------------------------------------------------------------
    \392\ Sec. 1328 of the Omnibus Trade and Competitiveness Act of 
1988 (Public Law 100-418; 102 Stat. 1205) amended and restated subpara. 
(B).
---------------------------------------------------------------------------
                          (i) shall consider--
                                  (I) the volume of imports of 
                                the subject merchandise,\393\
---------------------------------------------------------------------------
    \393\ Sec. 233(a)(5)(BB) of Public Law 103-465 (108 Stat. 4900) 
struck out ``merchandise which is the subject of the investigation'' 
and inserted in lieu thereof ``subject merchandise''.
---------------------------------------------------------------------------
                                  (II) the effect of imports of 
                                that merchandise on prices in 
                                the United States for domestic 
                                like products,\394\ and
---------------------------------------------------------------------------
    \394\ Sec. 233(a)(3)(B) of Public Law 103-465 (108 Stat. 4898) 
struck out ``like products'' and inserted in lieu thereof ``domestic 
like products''.
---------------------------------------------------------------------------
                                  (III) the impact of imports 
                                of such merchandise on domestic 
                                producers of domestic like 
                                products,\394\ but only in the 
                                context of production 
                                operations within the United 
                                States; and
                          (ii) may consider such other economic 
                        factors as are relevant to the 
                        determination regarding whether there 
                        is material injury by reason of 
                        imports.
                In the notification required under section 
                705(d) or 735(d), as the case may be, the 
                Commission shall explain its analysis of each 
                factor considered under clause (i), and 
                identify each factor considered under clause 
                (ii) and explain in full its relevance to the 
                determination.
                  (C) \395\ Evaluation of relevant factors.--
                For purposes of subparagraph (B)--
---------------------------------------------------------------------------
    \395\ Sec. 1328(2) of Public Law 100-418 (102 Stat. 1205) amended 
subpara. (C) by amending the heading which previously read ``Evaluation 
of volume and of price effects''; by striking out ``price 
undercutting'' in clause (ii) and inserting ``price underselling''; and 
by restating clause (iii).
---------------------------------------------------------------------------
                          (i) Volume.--In evaluating the volume 
                        of imports of merchandise, the 
                        Commission shall consider whether the 
                        volume of imports of the merchandise, 
                        or any increase in that volume, either 
                        in absolute terms or relative to 
                        production or consumption in the United 
                        States, is significant.
                          (ii) Price.--In evaluating the effect 
                        of imports of such merchandise on 
                        prices, the Commission shall consider 
                        whether--
                                  (I) there has been 
                                significant price underselling 
                                \395\ by the imported 
                                merchandise as compared with 
                                the price of domestic like 
                                products \394\ of the United 
                                States, and
                                  (II) the effect of imports of 
                                such merchandise otherwise 
                                depresses prices to a 
                                significant degree or prevents 
                                price increases, which 
                                otherwise would have occurred, 
                                to a significant degree.
                          (iii) \395\ Impact on affected 
                        domestic industry.--In examining the 
                        impact required to be considered under 
                        subparagraph (B)(i)(III),\396\ the 
                        Commission shall evaluate all relevant 
                        economic factors which have a bearing 
                        on the state of the industry in the 
                        United States, including, but not 
                        limited to--
---------------------------------------------------------------------------
    \396\ Sec. 222(b)(3) of Public Law 103-465 (108 Stat. 4870) struck 
out ``subparagraph (B)(iii)'' and inserted in lieu thereof 
``subparagraph (B)(i)(III)''.
---------------------------------------------------------------------------
                                  (I) actual and potential 
                                decline in output, sales, 
                                market share, profits, 
                                productivity, return on 
                                investments, and utilization of 
                                capacity,
                                  (II) factors affecting 
                                domestic prices,
                                  (III) actual and potential 
                                negative effects on cash flow, 
                                inventories, employment, wages, 
                                growth, ability to raise 
                                capital, and investment,\397\
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    \397\ Sec. 222(b)(1) of Public Law 103-465 (108 Stat. 4870) struck 
out ``and'' at the end of subclause (III), struck out a period and 
replaced it with ``, and'' at the end of subclause (IV), and added a 
new subclause (V).
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                                  (IV) actual and potential 
                                negative effects on the 
                                existing development and 
                                production efforts of the 
                                domestic industry, including 
                                efforts to develop a derivative 
                                or more advanced version of the 
                                domestic like product,\398\ and 
                                \397\
---------------------------------------------------------------------------
    \398\ Sec. 233(a)(3)(A)(ii) of Public Law 103-465 (108 Stat. 4898) 
struck out ``like product'' and inserted in lieu thereof ``domestic 
like product''.
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                                  (V) \397\ in a proceeding 
                                under subtitle B, the magnitude 
                                of the margin of dumping.
                        The Commission shall evaluate all 
                        relevant economic factors described in 
                        this clause within the context of the 
                        business cycle and conditions of 
                        competition that are distinctive to the 
                        affected industry.
                          (iv) \399\ Captive production.--If 
                        domestic producers internally transfer 
                        significant production of the domestic 
                        like product for the production of a 
                        downstream article and sell significant 
                        production of the domestic like product 
                        in the merchant market, and the 
                        Commission finds that--
---------------------------------------------------------------------------
    \399\ Sec. 222(b)(2) of Public Law 103-465 (108 Stat. 4870) amended 
and restated clause (iv).
---------------------------------------------------------------------------
                                  (I) the domestic like product 
                                produced that is internally 
                                transferred for processing into 
                                that downstream article does 
                                not enter the merchant market 
                                for the domestic like product,
                                  (II) the domestic like 
                                product is the predominant 
                                material input in the 
                                production of that downstream 
                                article, and
                                  (III) the production of the 
                                domestic like product sold in 
                                the merchant market is not 
                                generally used in the 
                                production of that downstream 
                                article,
                        then the Commission, in determining 
                        market share and the factors affecting 
                        financial performance set forth in 
                        clause (iii), shall focus primarily on 
                        the merchant market for the domestic 
                        like product.
                          (v) \400\ * * * [Repealed--1994]
---------------------------------------------------------------------------
    \400\ Sec. 222(d)(1) of Public Law 103-465 (108 Stat. 4871) 
repealed clause (v), relating to the treatment of negligible imports. 
See sec. 771(24).
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                  (D) Special rules for agricultural 
                products.--
                          (i) The Commission shall not 
                        determine that there is no material 
                        injury or threat of material injury to 
                        United States producers of an 
                        agricultural commodity merely because 
                        of the prevailing market price is at or 
                        above the minimum support price.
                          (ii) In the case of agricultural 
                        products, the Commission shall consider 
                        any increased burden on government 
                        income or price support programs.
                  (E) Special rules.--For purposes of this 
                paragraph--
                          (i) \401\ Nature of countervailable 
                        subsidy.--In determining whether there 
                        is a threat of material injury, the 
                        Commission shall consider information 
                        provided to it by the administering 
                        authority regarding the nature of the 
                        countervailable subsidy granted by a 
                        foreign country (particularly whether 
                        the countervailable subsidy is a 
                        subsidy described in Article 3 or 6.1 
                        of the Subsidies Agreement) and the 
                        effects likely to be caused by the 
                        countervailable subsidy.
---------------------------------------------------------------------------
    \401\ Sec. 266 of Public Law 103-465 (108 Stat. 4915) amended and 
restated clause (i).
---------------------------------------------------------------------------
                          (ii) Standard for determination.--The 
                        presence or absence of any factor which 
                        the Commission is required to evaluate 
                        under subparagraph (C) or (D) shall not 
                        necessarily give decisive guidance with 
                        respect to the determination by the 
                        Commission of material injury.
                  (F) \402\ Threat of material injury.--
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    \402\ Sec. 612(a)(2)(B) of Public Law 98-573 (98 Stat. 3033) added 
subpara. (F). Sec. 626(b) of Public Law 98-573 further stated that this 
amendment shall apply with respect to investigations initiated by 
petition or by the administering authority under subtitles A and B of 
title VII of the Tariff Act of 1930 on or after the effective date of 
this Act (Oct. 30, 1984).
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                          (i) \403\ In general.--In determining 
                        whether an industry in the United 
                        States is threatened with material 
                        injury by reason of imports (or sales 
                        for importation) of the subject 
                        merchandise, the Commission shall 
                        consider, among other relevant economic 
                        factors--
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    \403\ Sec. 222(c) of Public Law 103-465 (108 Stat. 4870) amended 
and restated clauses (i) and (ii).
---------------------------------------------------------------------------
                                  (I) if a countervailable 
                                subsidy is involved, such 
                                information as may be presented 
                                to it by the administering 
                                authority as to the nature of 
                                the subsidy (particularly as to 
                                whether the countervailable 
                                subsidy is a subsidy described 
                                in Article 3 or 6.1 of the 
                                Subsidies Agreement), and 
                                whether imports of the subject 
                                merchandise are likely to 
                                increase,
                                  (II) any existing unused 
                                production capacity or 
                                imminent, substantial increase 
                                in production capacity in the 
                                exporting country indicating 
                                the likelihood of substantially 
                                increased imports of the 
                                subject merchandise into the 
                                United States, taking into 
                                account the availability of 
                                other export markets to absorb 
                                any additional exports,
                                  (III) a significant rate of 
                                increase of the volume or 
                                market penetration of imports 
                                of the subject merchandise 
                                indicating the likelihood of 
                                substantially increased 
                                imports,
                                  (IV) whether imports of the 
                                subject merchandise are 
                                entering at prices that are 
                                likely to have a significant 
                                depressing or suppressing 
                                effect on domestic prices, and 
                                are likely to increase demand 
                                for further imports,
                                  (V) inventories of the 
                                subject merchandise,
                                  (VI) the potential for 
                                product-shifting if production 
                                facilities in the foreign 
                                country, which can be used to 
                                produce the subject 
                                merchandise, are currently 
                                being used to produce other 
                                products,
                                  (VII) in any investigation 
                                under this title which involves 
                                imports of both a raw 
                                agricultural product (within 
                                the meaning of paragraph 
                                (4)(E)(iv)) and any product 
                                processed from such raw 
                                agricultural product, the 
                                likelihood that there will be 
                                increased imports, by reason of 
                                product shifting, if there is 
                                an affirmative determination by 
                                the Commission under section 
                                705(b)(1) or 735(b)(1) with 
                                respect to either the raw 
                                agricultural product or the 
                                processed agricultural product 
                                (but not both),
                                  (VIII) the actual and 
                                potential negative effects on 
                                the existing development and 
                                production efforts of the 
                                domestic industry, including 
                                efforts to develop a derivative 
                                or more advanced version of the 
                                domestic like product, and
                                  (IX) any other demonstrable 
                                adverse trends that indicate 
                                the probability that there is 
                                likely to be material injury by 
                                reason of imports (or sale for 
                                importation) of the subject 
                                merchandise (whether or not it 
                                is actually being imported at 
                                the time).
                          (ii) Basis for determination.--The 
                        Commission shall consider the factors 
                        set forth in clause (i) as a whole in 
                        making a determination of whether 
                        further dumped or subsidized imports 
                        are imminent and whether material 
                        injury by reason of imports would occur 
                        unless an order is issued or a 
                        suspension agreement is accepted under 
                        this title. The presence or absence of 
                        any factor which the Commission is 
                        required to consider under clause (i) 
                        shall not necessarily give decisive 
                        guidance with respect to the 
                        determination. Such a determination may 
                        not be made on the basis of mere 
                        conjecture or supposition.
                          (iii) \404\ Effect of dumping in 
                        third-country markets.--
---------------------------------------------------------------------------
    \404\ Sec. 1329(4) of Public Law 100-418 (102 Stat. 1206) added 
clause (iii).
---------------------------------------------------------------------------
                                  (I) In general.--In 
                                investigations under subtitle 
                                B, the Commission shall 
                                consider whether dumping in the 
                                markets of foreign countries 
                                (as evidenced by dumping 
                                findings or antidumping 
                                remedies in other WTO member 
                                \405\ markets against the same 
                                class or kind of merchandise 
                                manufactured or exported by the 
                                same party as under 
                                investigation) suggests a 
                                threat of material injury to 
                                the domestic industry. In the 
                                course of its investigation, 
                                the Commission shall request 
                                information from the foreign 
                                manufacturer, exporter, or 
                                United States importer 
                                concerning this issue.
---------------------------------------------------------------------------
    \405\ Sec. 233(b)(1)(A) of Public Law 103-465 (108 Stat. 4901) 
struck out ``GATT member'' and inserted in lieu thereof ``WTO member''.
---------------------------------------------------------------------------
                                  (II) \406\ WTO member 
                                market.--For purposes of this 
                                clause, the term ``WTO member 
                                market'' means the market of 
                                any country which is a WTO 
                                member.\407\
---------------------------------------------------------------------------
    \406\ Sec. 233(b)(1)(B) of Public Law 103-465 (108 Stat. 4901) 
struck out ``GATT member'' and inserted in lieu thereof ``WTO member'' 
in the subclause heading and in the text.
    \407\ Sec. 233(b)(1)(B)(iii) of Public Law 103-465 (108 Stat. 4901) 
struck out ``signatory to The Agreement on Implementation of Article VI 
of the General Agreement on Tariffs and Trade (relating to antidumping 
measures)'' and inserted in lieu thereof ``WTO member''.
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                                  (III) European communities.--
                                For purposes of this clause, 
                                the European Communities shall 
                                be treated as a foreign 
                                country.
                          (iv) \408\ * * * [Repealed--1994]
---------------------------------------------------------------------------
    \408\ Sec. 222(e) of Public Law 103-465 (108 Stat. 4873) struck out 
clause (iv), relating to cumulation, and added new subparas. (G) and 
(H).
---------------------------------------------------------------------------
                  (G) \406\ Cumulation for determining material 
                injury.--
                          (i) In general.--For purposes of 
                        clauses (i) and (ii) of subparagraph 
                        (C), and subject to clause (ii), the 
                        Commission shall cumulatively assess 
                        the volume and effect of imports of the 
                        subject merchandise from all countries 
                        with respect to which--
                                  (I) petitions were filed 
                                under section 702(b) or 732(b) 
                                on the same day,
                                  (II) investigations were 
                                initiated under section 702(a) 
                                or 732(a) on the same day, or
                                  (III) petitions were filed 
                                under section 702(b) or 732(b) 
                                and investigations were 
                                initiated under section 702(a) 
                                or 732(a) on the same day,
                        if such imports compete with each other 
                        and with domestic like products in the 
                        United States market.
                          (ii) Exceptions.--The Commission 
                        shall not cumulatively assess the 
                        volume and effect of imports under 
                        clause (i)--
                                  (I) with respect to which the 
                                administering authority has 
                                made a preliminary negative 
                                determination, unless the 
                                administering authority 
                                subsequently made a final 
                                affirmative determination with 
                                respect to those imports before 
                                the Commission's final 
                                determination is made;
                                  (II) from any country with 
                                respect to which the 
                                investigation has been 
                                terminated;
                                  (III) from any country 
                                designated as a beneficiary 
                                country under the Caribbean 
                                Basin Economic Recovery Act (19 
                                U.S.C. 2701 et seq.) for 
                                purposes of making a 
                                determination with respect to 
                                that country, except that the 
                                volume and effect of imports of 
                                the subject merchandise from 
                                such country may be 
                                cumulatively assessed with 
                                imports of the subject 
                                merchandise from any other 
                                country designated as such a 
                                beneficiary country to the 
                                extent permitted by clause (i); 
                                or
                                  (IV) from any country that is 
                                a party to an agreement with 
                                the United States establishing 
                                a free trade area, which 
                                entered into force and effect 
                                before January 1, 1987, unless 
                                the Commission determines that 
                                a domestic industry is 
                                materially injured or 
                                threatened with material injury 
                                by reason of imports from that 
                                country.
                          (iii) Records in final 
                        investigations.--In each final 
                        determination in which it cumulatively 
                        assesses the volume and effect of 
                        imports under clause (i), the 
                        Commission shall make its 
                        determinations based on the record 
                        compiled in the first investigation in 
                        which it makes a final determination, 
                        except that when the administering 
                        authority issues its final 
                        determination in a subsequently 
                        completed investigation, the Commission 
                        shall permit the parties in the 
                        subsequent investigation to submit 
                        comments concerning the significance of 
                        the administering authority's final 
                        determination, and shall include such 
                        comments and the administering 
                        authority's final determination in the 
                        record for the subsequent 
                        investigation.
                          (iv) Regional industry 
                        determinations.--In an investigation 
                        which involves a regional industry, and 
                        in which the Commission decides that 
                        the volume and effect of imports should 
                        be cumulatively assessed under this 
                        subparagraph, such assessment shall be 
                        based upon the volume and effect of 
                        imports into the region or regions 
                        determined by the Commission. The 
                        provisions of clause (iii) shall apply 
                        to such investigations.
                  (H) Cumulation for determining threat of 
                material injury.--To the extent practicable and 
                subject to subparagraph (G)(ii), for purposes 
                of clause (i)(III) and (IV) of subparagraph 
                (F), the Commission may cumulatively assess the 
                volume and price effects of imports of the 
                subject merchandise from all countries with 
                respect to which
                          (i) petitions were filed under 
                        section 702(b) or 732(b) on the same 
                        day,
                          (ii) investigations were initiated 
                        under section 702(a) or 732(a) on the 
                        same day, or
                          (iii) petitions were filed under 
                        section 702(b) or 732(b) and 
                        investigations were initiated under 
                        section 702(a) or 732(a) on the same 
                        day, if such imports compete with each 
                        other and with domestic like products 
                        in the United States market.
                  (I) \409\ Consideration of post-petition 
                information.--The Commission shall consider 
                whether any change in the volume, price 
                effects, or impact of imports of the subject 
                merchandise since the filing of the petition in 
                an investigation under subtitle A or B is 
                related to the pendency of the investigation 
                and, if so, the Commission may reduce the 
                weight accorded to the data for the period 
                after the filing of the petition in making its 
                determination of material injury, threat of 
                material injury, or material retardation of the 
                establishment of an industry in the United 
                States.
---------------------------------------------------------------------------
    \409\ Sec. 222(f) of Public Law 103-465 (108 Stat. 4874) added 
subpara. (I).
---------------------------------------------------------------------------
          (8) \410\ Subsidies agreement; agreement on 
        agriculture.--
---------------------------------------------------------------------------
    \410\ Sec. 270(e) of Public Law 103-465 (108 Stat. 4918) amended 
and restated para. (8).
---------------------------------------------------------------------------
                  (A) Subsidies agreement.--The term 
                ``Subsidies Agreement'' means the Agreement on 
                Subsidies and Countervailing Measures referred 
                to in section 101(d)(12) of the Uruguay Round 
                Agreements Act.
                  (B) Agreement on agriculture.--The term 
                ``Agreement on Agriculture'' means the 
                Agreement on Agriculture referred to in section 
                101(d)(2) of the Uruguay Round Agreements Act.
          (9) Interested party.--The term ``interested party'' 
        means--
                  (A) a foreign manufacturer, producer, or 
                exporter, or the United States importer, of 
                subject merchandise \411\ or a trade or 
                business association a majority of the members 
                of which are producers, exporters, or \412\ 
                importers of such merchandise,
---------------------------------------------------------------------------
    \411\ Sec. 233(a)(5)(CC) of Public Law 103-465 (108 Stat. 4900) 
struck out ``merchandise which is the subject of an investigation under 
this title'' and inserted in lieu thereof ``subject merchandise''.
    \412\ Sec. 222(g)(1) of Public Law 103-465 (108 Stat. 4874) 
inserted ``producers, exporters, or'' before ``importers''.
---------------------------------------------------------------------------
                  (B) the government of a country in which such 
                merchandise is produced or manufactured or from 
                which such merchandise is exported,\413\
---------------------------------------------------------------------------
    \413\ Sec. 222(g)(2) of Public Law 103-465 (108 Stat. 4874) 
inserted ``or from which such merchandise is exported'' after 
``manufactured''.
---------------------------------------------------------------------------
                  (C) a manufacturer, producer, or wholesaler 
                in the United States of a domestic like 
                product,\414\
---------------------------------------------------------------------------
    \414\ Sec. 233(a)(3)(A)(iii) of Public Law 103-465 (108 Stat. 4898) 
struck out ``like product'' and inserted in lieu thereof ``domestic 
like product''.
---------------------------------------------------------------------------
                  (D) a certified union or recognized union or 
                group of workers which is representative of an 
                industry engaged in the manufacture, 
                production, or wholesale in the United States 
                of a domestic like product,\414\ and
                  (E) a trade or business association a 
                majority of whose members manufacture, produce, 
                or wholesale a domestic like product \414\ in 
                the United States,\415\
---------------------------------------------------------------------------
    \415\ Subsec. (9) was amended by sec. 1326(c) of Public Law 100-418 
(102 Stat. 1204) which struck out ``and'' at the end of subpara. (E); 
struck out the period at the end of subpara. (F) and inserted ``, 
and''; and added new subpara. (G).
---------------------------------------------------------------------------
                  (F) \416\ an association, a majority of whose 
                members is composed of interested parties 
                described in subparagraph (C), (D), or (E) with 
                respect to a domestic like product,\414\ and 
                \415\
---------------------------------------------------------------------------
    \416\ Sec. 612(a)(3) of Public Law 98-573 (98 Stat. 3034) added 
subpara. (F). Sec. 626(b) of Public Law 98-573 further stated that this 
amendment shall apply with respect to investigations initiated by 
petition or by the administering authority under subtitles A and B of 
title VII of the Tariff Act of 1930 on or after the effective date of 
this Act (Oct. 30, 1984).
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                  (G) \415\ in any investigation under this 
                title involving an industry engaged in 
                producing a processed agricultural product, as 
                defined in paragraph (4)(E), a coalition or 
                trade association which is representative of 
                either--
                          (i) processors,
                          (ii) processors and producers, or
                          (iii) processors and growers,
                but this subparagraph shall cease to have 
                effect if the United States Trade 
                Representative notifies the administering 
                authority and the Commission that the 
                application of this subparagraph is 
                inconsistent with the international obligations 
                of the United States.
          (10) \417\ Domestic like product.--The term 
        ``domestic like product'' means a product which is 
        like, or in the absence of like, most similar in 
        characteristics and uses with, the article subject to 
        an investigation under this title.
---------------------------------------------------------------------------
    \417\ Sec. 233(a)(3)(A)(iv) of Public Law 103-465 (108 Stat. 4898) 
struck out ``like product'' and inserted in lieu thereof ``domestic 
like product''.
---------------------------------------------------------------------------
          (11) Affirmative determinations by divided 
        commission.--If the Commission voting on a 
        determination by the Commission, including a 
        determination under section 751,\418\ are evenly 
        divided as to whether the determination should be 
        affirmative or negative, the Commission shall be deemed 
        to have made an affirmative determination. For the 
        purpose of applying this paragraph when the issue 
        before the Commission is to determine whether there 
        is--
---------------------------------------------------------------------------
    \418\ Sec. 221(b) of Public Law 103-465 (108 Stat. 4869) inserted 
``, including a determination under section 751,''.
---------------------------------------------------------------------------
                  (A) material injury to an industry in the 
                United States,
                  (B) threat of material injury to such an 
                industry, or
                  (C) material retardation of the establishment 
                of an industry in the United States,
        by reason of imports of the merchandise, an affirmative 
        vote on any of the issues shall be treated as a vote 
        that the determination should be affirmative.
          (12) Attribution of merchandise to country of 
        manufacture or production.--For purposes of subtitle A, 
        merchandise shall be treated as the product of the 
        country in which it was manufactured or produced 
        without regard to whether it is imported directly from 
        that country and without regard to whether it is 
        imported in the same condition as when exported from 
        that country or in a changed condition by reason of 
        remanufacture or otherwise.
          (13) \419\ * * * [Repealed--1994]
---------------------------------------------------------------------------
    \419\ Sec. 222(i)(2) of Public Law 103-465 (108 Stat. 4876) struck 
para. (13), relating to the term ``exporter''.
---------------------------------------------------------------------------
          (14) Sold or, in the absence of sales, offered for 
        sale.--The term ``sold or, in the absence of sales, 
        offered for sale'' means sold or, in the absence of 
        sales, offered--
                  (A) to all purchasers in commercial 
                quantities,\420\ or
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    \420\ Sec. 612(a)(4) of Public Law 98-573 (98 Stat. 3034) 
substituted the words ``in commercial quantities'' in lieu of the words 
``at wholesale''. Sec. 626(b) of Public Law 98-573 further stated that 
this amendment shall apply with respect to investigations initiated by 
petition or by the administering authority under subtitles A and B of 
title VII of the Tariff Act of 1930 on or after the effective date of 
this Act (Oct. 30, 1984).
---------------------------------------------------------------------------
                  (B) in the ordinary course of trade to one or 
                more selected purchasers at wholesale at a 
                price which fairly reflects the market value of 
                the merchandise.
        without regard to restrictions as to the disposition or 
        use of the merchandise by the purchaser except that, 
        where such restrictions are found to affect the market 
        value of the merchandise, adjustment shall be made 
        therefore in calculating the price at which the 
        merchandise is sold or offered for sale.
          (15) Ordinary course of trade.--The term ``ordinary 
        course of trade'' means the conditions and practices 
        which, for a reasonable time prior to the exportation 
        of the subject merchandise,\421\ have been normal in 
        the trade under consideration with respect to 
        merchandise of the same class or kind. The 
        administering authority shall consider the following 
        sales and transactions, among others, to be outside the 
        ordinary course of trade:
---------------------------------------------------------------------------
    \421\ Sec. 222(h)(1) of Public Law 103-465 (108 Stat. 4874) struck 
out ``merchandise which is the subject of an investigation'' and 
inserted in lieu thereof ``subject merchandise''.
---------------------------------------------------------------------------
                  (A) Sales disregarded under section 
                773(b)(1).
                  (B) Transactions disregarded under section 
                773(f)(2).\422\
---------------------------------------------------------------------------
    \422\ Sec. 222(h)(2) of Public Law 103-465 (108 Stat. 4874) added 
the last sentence through subpara. (B).
---------------------------------------------------------------------------
          (16) \423\ Foreign like product.--The term ``foreign 
        like product'' means merchandise in the first of the 
        following categories in respect of which a 
        determination for the purposes of subtitle B of this 
        title can be satisfactorily made:
---------------------------------------------------------------------------
    \423\ Sec. 233(a)(4) of Public Law 103-465 (108 Stat. 4899) struck 
out ``such or similar merchandise'' and inserted in lieu thereof 
``foreign like product''.
---------------------------------------------------------------------------
                  (A) The subject merchandise \424\ and other 
                merchandise which is identical in physical 
                characteristics with, and was produced in the 
                same country by the same person as, that 
                merchandise.
---------------------------------------------------------------------------
    \424\ Sec. 233(a)(5)(DD) of Public Law 103-465 (108 Stat. 4900) 
struck out ``merchandise which is the subject of an investigation'' and 
inserted in lieu thereof ``subject merchandise''.
---------------------------------------------------------------------------
                  (B) Merchandise--
                          (i) produced in the same country and 
                        by the same person as the subject 
                        merchandise,\425\
---------------------------------------------------------------------------
    \425\ Sec. 233(a)(5)(EE) of Public Law 103-465 (108 Stat. 4900) 
struck out ``merchandise which is the subject of the investigation'' 
and inserted in lieu thereof ``subject merchandise''. Sec. 20(b)(7) of 
Public Law 104-295 (110 Stat. 3527) made the same amendment.
---------------------------------------------------------------------------
                          (ii) like that merchandise in 
                        component material or materials and in 
                        the purposes for which used, and
                          (iii) approximately equal in 
                        commercial value to that merchandise.
                  (C) Merchandise--
                          (i) produced in the same country and 
                        by the same person and of the same 
                        general class or kind as the 
                        merchandise which is the subject of the 
                        investigation,
                          (ii) like that merchandise in the 
                        purposes for which used, and
                          (iii) which the administering 
                        authority determines may reasonably be 
                        compared with that merchandise.
          (17) Usual commercial \426\ quantities.--The term 
        ``usual commercial quantities'', in any case in which 
        the subject merchandise \427\ is sold in the market 
        under consideration at different prices for different 
        quantities, means the quantities in which such 
        merchandise is there sold at the price or prices for 
        one quantity in an aggregate volume which is greater 
        than the aggregate volume sold at the price or prices 
        for any other quantity.
---------------------------------------------------------------------------
    \426\ Sec. 612(a)(5) of Public Law 98-573 (98 Stat. 3034) 
substituted the word ``commercial'' in lieu of the word ``wholesale''. 
Sec. 626(b) of Public Law 98-573 further stated that this amendment 
shall apply with respect to investigations initiated by petition or by 
the administering authority under subtitles A and B of title VII of the 
Tariff Act of 1930 on or after the effective date of this Act (Oct. 30, 
1984).
    \427\ Sec. 233(a)(5)(FF) of Public Law 103-465 (108 Stat. 4901) 
struck out ``merchandise which is the subject of the investigation'' 
and inserted in lieu thereof ``subject merchandise''.
---------------------------------------------------------------------------
          (18) \428\ Nonmarket economy country.--
---------------------------------------------------------------------------
    \428\ Sec. 1316(b) of Public Law 100-418 (102 Stat. 1187) added 
para. 18.
---------------------------------------------------------------------------
                  (A) In general.--The term ``nonmarket economy 
                country'' means any foreign country that the 
                administering authority determines does not 
                operate on market principles of cost or pricing 
                structures, so that sales of merchandise in 
                such country do not reflect the fair value of 
                the merchandise.
                  (B) Factors to be considered.--In making 
                determinations under subparagraph (A) the 
                administering authority shall take into 
                account--
                          (i) the extent to which the currency 
                        of the foreign country is convertible 
                        into the currency of other countries;
                          (ii) the extent to which wage rates 
                        in the foreign country are determined 
                        by free bargaining between labor and 
                        management,
                          (iii) the extent to which joint 
                        ventures or other investments by firms 
                        of other foreign countries are 
                        permitted in the foreign country,
                          (iv) the extent of government 
                        ownership or control of the means of 
                        production,
                          (v) the extent of government control 
                        over the allocation of resources and 
                        over the price and output decisions of 
                        enterprises, and
                          (vi) such other factors as the 
                        administering authority considers 
                        appropriate.
                  (C) Determination in effect.--
                          (i) Any determination that a foreign 
                        country is a nonmarket economy country 
                        shall remain in effect until revoked by 
                        the administering authority.
                          (ii) The administering authority may 
                        make a determination under subparagraph 
                        (A) with respect to any foreign country 
                        at any time.
                  (D) Determinations not in issue.--
                Notwithstanding any other provision of law, any 
                determination made by the administering 
                authority under subparagraph (A) shall not be 
                subject to judicial review in any investigation 
                conducted under subtitle B.
                  (E) Collection of information.--Upon request 
                by the administering authority, the 
                Commissioner of Customs shall provide the 
                administering authority a copy of all public 
                and proprietary information submitted to, or 
                obtained by, the Commissioner of Customs that 
                the administering authority considers relevant 
                to proceedings involving merchandise from 
                nonmarket economy countries. The administering 
                authority shall protect proprietary information 
                obtained under this section from public 
                disclosure in accordance with section 777.
          (19) \429\ Equivalency of leases to sales.--In 
        determining whether a lease is equivalent to a sale for 
        purposes of this title, the administering authority 
        shall consider--
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    \429\ Sec. 1327 of Public Law 100-418 (102 Stat. 1205) added para. 
(19).
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                  (A) the terms of the lease,
                  (B) commercial practice within the industry,
                  (C) the circumstances of the transaction,
                  (D) whether the product subject to the lease 
                is integrated into the operations of the lessee 
                or importer,
                  (E) whether in practice there is a likelihood 
                that the lease will be continued or renewed for 
                a significant period of time, and
                  (F) other relevant factors, including whether 
                the lease transaction would permit avoidance of 
                antidumping or countervailing duties.
          (20) \430\ Application to governmental 
        importations.--
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    \430\ Para. (20) was added as para. ``(19)'' by sec. 1335 of Public 
Law 100-418 (102 Stat. 1210), and redesignated as para. (20) by sec. 
9001(a)(5) of the Technical and Miscellaneous Revenue Act of 1988 
(Public Law 100-647; 102 Stat. 3342). Sec. 1337(e) of Public Law 100-
418 further stated that the amendments made by sec. 1335 shall apply 
with respect to entries, and withdrawals from warehouse for 
consumption, that are liquidated on or after the date of enactment of 
this Act.
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                  (A) In general.--Except as otherwise provided 
                by this paragraph, merchandise imported by, or 
                for the use of, a department or agency of the 
                United States Government (including merchandise 
                provided for under chapter 98 of the Harmonized 
                Tariff Schedule of the United States) \431\ is 
                subject to the imposition of countervailing 
                duties or antidumping duties under this title 
                or section 303.
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    \431\ Sec. 139(a)(3) of the Customs and Trade Act (Public Law 101-
382; 104 Stat. 653) struck out ``schedule 8 of the Tariff Schedules of 
the United States'' and inserted in lieu thereof ``chapter 98 of the 
Harmonized Tariff Schedule of the United States''.
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                  (B) Exceptions.--Merchandise imported by, or 
                for the use of, the Department of Defense shall 
                not be subject to the imposition of 
                countervailing or antidumping duties under this 
                title if--
                          (i) the merchandise is acquired by, 
                        or for use of, such Department--
                                  (I) from a country with which 
                                such Department had a 
                                Memorandum of Understanding 
                                which was in effect on January 
                                1, 1988, and has continued to 
                                have a comparable agreement 
                                (including renewals) or 
                                superceding agreements, and
                                  (II) in accordance with terms 
                                of the Memorandum of 
                                Understanding in effect at the 
                                time of importation, or
                          (ii) the merchandise has no 
                        substantial nonmilitary use.
          (21) \432\ United states-canada agreement.--The term 
        ``United States-Canada Agreement'' means the United 
        States-Canada Free-Trade Agreement.
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    \432\ Redesignated as para. (21) by sec. 412(b)(1) of the NAFTA 
Implementation Act (Public Law 103-182; 107 Stat. 2146); originally 
added as a second para. (18) by sec. 403(d) of Public Law 100-449 (102 
Stat. 1887).
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          (22) \433\ NAFTA.--The term ``NAFTA'' means the North 
        American Free Trade Agreement.
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    \433\ Sec. 412(b)(2) of the NAFTA Implementation Act (Public Law 
103-182; 107 Stat. 2146) added para. (22).
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          (23) \434\ Entry.--The term ``entry'' includes, in 
        appropriate circumstances as determined by the 
        administering authority, a reconciliation entry created 
        under a reconciliation process, defined in section 
        401(s), that is initiated by an importer. The liability 
        of an importer under an antidumping or countervailing 
        duty proceeding for entries of merchandise subject to 
        the proceeding will attach to the corresponding 
        reconciliation entry or entries. Suspension of 
        liquidation of the reconciliation entry or entries, for 
        the purpose of enforcing this title, is equivalent to 
        the suspension of liquidation of the corresponding 
        individual entries; but the suspension of liquidation 
        of the reconciliation entry or entries for such purpose 
        does not preclude liquidation for any other purpose.
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    \434\ Sec. 637(b) of the NAFTA Implementation Act (Public Law 103-
182; 107 Stat. 2203) added para. (23).
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          (24) \435\ Negligible imports.--
---------------------------------------------------------------------------
    \435\ Sec. 221(d)(2) of Public Law 103-465 (108 Stat. 4871) added 
para. (24).
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                  (A) In general.--
                          (i) Less than 3 percent.--Except as 
                        provided in clauses (ii) and (iv), 
                        imports from a country of merchandise 
                        corresponding to a domestic like 
                        product identified by the Commission 
                        are ``negligible'' if such imports 
                        account for less than 3 percent of the 
                        volume of all such merchandise imported 
                        into the United States in the most 
                        recent 12-month period for which data 
                        are available that precedes--
                                  (I) the filing of the 
                                petition under section 702(b) 
                                or 732(b), or
                                  (II) the initiation of the 
                                investigation, if the 
                                investigation was initiated 
                                under section 702(a) or 732(a).
                          (ii) Exception.--Imports that would 
                        otherwise be negligible under clause 
                        (i) shall not be negligible if the 
                        aggregate volume of imports of the 
                        merchandise from all countries 
                        described in clause (i) with respect to 
                        which investigations were initiated on 
                        the same day exceeds 7 percent of the 
                        volume of all such merchandise imported 
                        into the United States during the 
                        applicable 12-month period.
                          (iii) Determination of aggregate 
                        volume.--In determining aggregate 
                        volume under clause (ii) or (iv), the 
                        Commission shall not consider imports 
                        from any country specified in paragraph 
                        (7)(G)(ii).
                          (iv) Negligibility in threat 
                        analysis.--Notwithstanding clauses (i) 
                        and (ii), the Commission shall not 
                        treat imports as negligible if it 
                        determines that there is a potential 
                        that imports from a country described 
                        in clause (i) will imminently account 
                        for more than 3 percent of the volume 
                        of all such merchandise imported into 
                        the United States, or that the 
                        aggregate volumes of imports from all 
                        countries described in clause (ii) will 
                        imminently exceed 7 percent of the 
                        volume of all such merchandise imported 
                        into the United States. The Commission 
                        shall consider such imports only for 
                        purposes of determining threat of 
                        material injury.
                  (B) Negligibility for certain countries in 
                countervailing investigations.--In the case of 
                an investigation under section 701, 
                subparagraph (A) shall be applied to imports of 
                subject merchandise from developing countries 
                by substituting ``4 percent'' for ``3 percent'' 
                in subparagraph (A)(i) and by substituting ``9 
                percent'' for ``7 percent'' in subparagraph 
                (A)(ii).
                  (C) Computation of import volumes.--In 
                computing import volumes for purposes of 
                subparagraphs (A) and (B), the Commission may 
                make reasonable estimates on the basis of 
                available statistics.
                  (D) Regional industries.--In an investigation 
                in which the Commission makes a regional 
                industry determination under paragraph (4)(C), 
                the Commission's examination under 
                subparagraphs (A) and (B) shall be based upon 
                the volume of subject merchandise exported for 
                sale in the regional market in lieu of the 
                volume of all subject merchandise imported into 
                the United States.
          (25) \436\ Subject merchandise.--The term ``subject 
        merchandise'' means the class or kind of merchandise 
        that is within the scope of an investigation, a review, 
        a suspension agreement, an order under this title or 
        section 303, or a finding under the Antidumping Act, 
        1921.
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    \436\ Sec. 222(i)(1) of Public Law 103-465 (108 Stat. 4875) added 
paras. (25) through (34).
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          (26) \436\ Section 303.--The terms ``section 303'' 
        and ``303'' mean section 303 of this Act as in effect 
        on the day before the effective date of title II of the 
        Uruguay Round Agreements Act.
          (27) \436\ Suspension agreement.--The term 
        ``suspension agreement'' means an agreement described 
        in section 704(b), 704(c), 734(b), 734(c), or 734(l).
          (28) \436\ Exporter or producer.--The term ``exporter 
        or producer'' means the exporter of the subject 
        merchandise, the producer of the subject merchandise, 
        or both where appropriate. For purposes of section 773, 
        the term `exporter or producer' includes both the 
        exporter of the subject merchandise and the producer of 
        the same subject merchandise to the extent necessary to 
        accurately calculate the total amount incurred and 
        realized for costs, expenses, and profits in connection 
        with production and sale of that merchandise.
          (29) \436\ WTO agreement.--The term ``WTO Agreement'' 
        means the Agreement defined in section 2(9) of the 
        Uruguay Round Agreements Act.
          (30) \436\ WTO member and wto member country.--The 
        terms ``WTO member'' and ``WTO member country'' mean a 
        state, or separate customs territory (within the 
        meaning of Article XII of the WTO Agreement), with 
        respect to which the United States applies the WTO 
        Agreement.\437\
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    \437\ Sec. 20(b)(14) of Public Law 104-295 (110 Stat. 3527) struck 
out ``agreement'' and inserted in lieu thereof ``Agreement''.
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          (31) \436\ GATT 1994.--The term ``GATT 1994'' means 
        the General Agreement on Tariffs and Trade annexed to 
        the WTO Agreement.
          (32) \436\ Trade representative.--The term ``Trade 
        Representative'' means the United States Trade 
        Representative.
          (33) \436\ Affiliated persons.--The following persons 
        shall be considered to be ``affiliated'' or 
        ``affiliated persons'':
                  (A) Members of a family, including brothers 
                and sisters (whether by the whole or half 
                blood), spouse, ancestors, and lineal 
                descendants.
                  (B) Any officer or director of an 
                organization and such organization.
                  (C) Partners.
                  (D) Employer and employee.
                  (E) Any person directly or indirectly owning, 
                controlling, or holding with power to vote, 5 
                percent or more of the outstanding voting stock 
                or shares of any organization and such 
                organization.
                  (F) Two or more persons directly or 
                indirectly controlling, controlled by, or under 
                common control with, any person.
                  (G) Any person who controls any other person 
                and such other person.
        For purposes of this paragraph, a person shall be 
        considered to control another person if the person is 
        legally or operationally in a position to exercise 
        restraint or direction over the other person.
          (34) \436\ Dumped; dumping.--The terms ``dumped'' and 
        ``dumping'' refer to the sale or likely sale of goods 
        at less than fair value.
          (35) \438\ Dumping margin; weighted average dumping 
        margin.--
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    \438\ Sec. 229(b) of Public Law 103-465 (108 Stat. 4890) added 
para. (35).
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                  (A) Dumping margin.--The term ``dumping 
                margin'' means the amount by which the normal 
                value exceeds the export price or constructed 
                export price of the subject merchandise.
                  (B) Weighted average dumping margin.--The 
                term ``weighted average dumping margin'' is the 
                percentage determined by dividing the aggregate 
                dumping margins determined for a specific 
                exporter or producer by the aggregate export 
                prices and constructed export prices of such 
                exporter or producer.
                  (C) Magnitude of the margin of dumping.--The 
                magnitude of the margin of dumping used by the 
                Commission shall be--
                          (i) in making a preliminary 
                        determination under section 733(a) in 
                        an investigation (including any 
                        investigation in which the Commission 
                        cumulatively assesses the volume and 
                        effect of imports under paragraph 
                        (7)(G)(i)), the dumping margin or 
                        margins published by the administering 
                        authority in its notice of initiation 
                        of the investigation;
                          (ii) in making a final determination 
                        under section 735(b), the dumping 
                        margin or margins most recently 
                        published by the administering 
                        authority prior to the closing of the 
                        Commission's administrative record;
                          (iii) in a review under section 
                        751(b)(2), the most recent dumping 
                        margin or margins determined by the 
                        administering authority under section 
                        752(c)(3), if any, or under section 
                        733(b) or 735(a); and
                          (iv) in a review under section 
                        751(c), the dumping margin or margins 
                        determined by the administering 
                        authority under section 752(c)(3).
          (36) \439\ Developing and least developed country.--
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    \439\ Sec. 267 of Public Law 103-465 (108 Stat. 4915) added para. 
(36).
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                  (A) Developing country.--The term 
                ``developing country'' means a country 
                designated as a developing country by the Trade 
                Representative.
                  (B) Least developed country.--The term 
                ``least developed country'' means a country 
                which the Trade Representative determines is--
                          (i) a country referred to as a least 
                        developed country within the meaning of 
                        paragraph (a) of Annex VII to the 
                        Subsidies Agreement, or
                          (ii) any other country listed in 
                        Annex VII to the Subsidies Agreement, 
                        but only if the country has a per 
                        capita gross national product of less 
                        than $1,000 per annum as measured by 
                        the most recent data available from the 
                        World Bank.
                  (C) Publication of list.--The Trade 
                Representative shall publish in the Federal 
                Register, and update as necessary, a list of--
                          (i) developing countries that have 
                        eliminated their export subsidies on an 
                        expedited basis within the meaning of 
                        Article 27.11 of the Subsidies 
                        Agreement, and
                          (ii) countries determined by the 
                        Trade Representative to be least 
                        developed or developing countries.
                  (D) Factors to consider.--In determining 
                whether a country is a developing country under 
                subparagraph (A), the Trade Representative 
                shall consider such economic, trade, and other 
                factors which the Trade Representative 
                considers appropriate, including the level of 
                economic development of such country (the 
                assessment of which shall include a review of 
                the country's per capita gross national 
                product) and the country's share of world 
                trade.
                  (E) Limitation on designation.--A 
                determination that a country is a developing or 
                least developed country pursuant to this 
                paragraph shall be for purposes of this title 
                only and shall not affect the determination of 
                a country's status as a developing or least 
                developed country with respect to any other 
                law.

SEC. 771A.\440\ UPSTREAM SUBSIDIES.

    (a) \441\ Definition.--The term ``upstream subsidy'' means 
any countervailable subsidy, other than an export subsidy, 
that--
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    \440\ 19 U.S.C. 1677-1. Sec. 613(a) of Public Law 98-573 (98 Stat. 
3035) added sec. 771A.
    \441\ Sec. 268(1) of Public Law 103-465 (108 Stat. 4916) amended 
and restated subsec. (a) through para. (1).
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          (1) is paid or bestowed by an authority (as defined 
        in section 771(5)) with respect to a product (hereafter 
        in this section referred to as an ``input product'') 
        that is used in the same country as the authority in 
        the manufacture or production of merchandise which is 
        the subject of a countervailing duty proceeding;
          (2) in the judgment of the administering authority 
        bestows a competitive benefit on the merchandise; and
          (3) has a significant effect on the cost of 
        manufacturing or producing the merchandise.
In applying this subsection, an association of two or more 
foreign countries, political subdivisions, dependent 
territories, or possessions of foreign countries organized into 
a customs union outside the United States shall be treated as 
being one country if the countervailable \442\ subsidy is 
provided by the customs union.
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    \442\ Sec. 268(2) of Public Law 103-465 (108 Stat. 4916) inserted 
``countervailable'' before ``subsidy''.
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    (b) Determination of Competitive Benefit.--
          (1) In general.--Except as provided in paragraph (2), 
        the administering authority shall decide that a 
        competitive benefit has been bestowed when the price 
        for the input product referred to in subsection (a)(1) 
        for such use is lower than the price that the 
        manufacturer or producer of merchandise which is the 
        subject of a countervailing duty proceeding would 
        otherwise pay for the product in obtaining it from 
        another seller in an arms-length transaction.
          (2) Adjustments.--If the administering authority has 
        determined in a previous proceeding that a 
        countervailable subsidy \443\ is paid or bestowed on 
        the input product that is used for comparison under 
        paragraph (1), the administering authority may (A) 
        where appropriate, adjust the price that the 
        manufacturer or producer of merchandise which is the 
        subject of such proceeding would otherwise pay for the 
        product to reflect the effects of the countervailable 
        subsidy,\434\ or (B) select in lieu of that price a 
        price from another source.
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    \443\ Sec. 270(a)(1)(K) of Public Law 103-465 (108 Stat. 4917) 
struck out ``subsidy'' and inserted in lieu thereof ``countervailable 
subsidy''.
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    (c) Inclusion of Amount of Countervailable Subsidy.\444\--
If the administering authority decides, during the course of a 
countervailing duty proceeding that an upstream countervailable 
subsidy is being or has been paid or bestowed regarding the 
subject merchandise,\445\ the administering authority shall 
include in the amount of any countervailing duty imposed on the 
merchandise an amount equal to the amount of the competitive 
benefit referred to in subparagraph (1)(B), except that in no 
event shall the amount be greater than the amount of 
countervailable subsidy determined with respect to the upstream 
product.
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    \444\ Sec. 270(a)(1)(L) and sec. 270(2)(B) of Public Law 103-465 
(108 Stat. 4917) struck out ``subsidy'' and inserted in lieu thereof 
``countervailable subsidy'' in subsec. (c) and the subsection heading. 
Sec. 270(c)(3) of that Act struck out ``subsidization'' and inserted in 
lieu thereof ``countervailable subsidy''.
    \445\ Sec. 233(a)(5)(GG) of Public Law 103-465 (108 Stat. 4901) 
struck out ``merchandise under investigation'' and inserted in lieu 
thereof ``subject merchandise''.
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SEC. 771B.\446\ CALCULATION OF COUNTERVAILABLE SUBSIDIES ON CERTAIN 
                    PROCESSED AGRICULTURAL PRODUCTS.

    In the case of an agricultural product processed from a raw 
agricultural product in which--
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    \446\ 19 U.S.C. 1677-2. Sec. 771B was added by sec. 1313 of Public 
Law 100-418 (102 Stat. 1185), and amended by sec. 9001(a)(3) of the 
Technical and Miscellaneous Revenue Act of 1988 (Public Law 100-647; 
102 Stat. 3342) which changed the format of the section. Sec. 
270(b)(1)(D) and 270(b)(2) of Public Law 103-465 (108 Stat. 4917) 
inserted ``countervailable'' before ``subsidies'' in the section 
catchline.
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          (1) the demand for the prior stage product is 
        substantially dependent on the demand for the latter 
        stage product, and
          (2) the processing operation adds only limited value 
        to the raw commodity,
subsidies found to be provided to either producers or 
processors of the product shall be deemed to be provided with 
respect to the manufacture, production, or exportation of the 
processed product.

SEC. 772.\447\ EXPORT PRICE AND CONSTRUCTED EXPORT PRICE.

    (a) Export Price.--The term ``export price'' means the 
price at which the subject merchandise is first sold (or agreed 
to be sold) before the date of importation by the producer or 
exporter of the subject merchandise outside of the United 
States to an unaffiliated purchaser in the United States or to 
an unaffiliated purchaser for exportation to the United States, 
as adjusted under subsection (c).
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    \447\ 19 U.S.C. 1677a. Sec. 223 of Public Law 103-465 (108 Stat. 
4876) amended and restated sec. 772.
---------------------------------------------------------------------------
    (b) Constructed Export Price.--The term ``constructed 
export price'' means the price at which the subject merchandise 
is first sold (or agreed to be sold) in the United States 
before or after the date of importation by or for the account 
of the producer or exporter of such merchandise or by a seller 
affiliated with the producer or exporter, to a purchaser not 
affiliated with the producer or exporter, as adjusted under 
subsections (c) and (d).
    (c) Adjustments for Export Price and Constructed Export 
Price.--The price used to establish export price and 
constructed export price shall be--
          (1) increased by--
                  (A) when not included in such price, the cost 
                of all containers and coverings and all other 
                costs, charges, and expenses incident to 
                placing the subject merchandise in condition 
                packed ready for shipment to the United States,
                  (B) the amount of any import duties imposed 
                by the country of exportation which have been 
                rebated, or which have not been collected, by 
                reason of the exportation of the subject 
                merchandise to the United States, and
                  (C) the amount of any countervailing duty 
                imposed on the subject merchandise under 
                subtitle A to offset an export subsidy, and
          (2) reduced by--
                  (A) except as provided in paragraph (1)(C), 
                the amount, if any, included in such price, 
                attributable to any additional costs, charges, 
                or expenses, and United States import duties, 
                which are incident to bringing the subject 
                merchandise from the original place of shipment 
                in the exporting country to the place of 
                delivery in the United States, and
                  (B) the amount, if included in such price, of 
                any export tax, duty, or other charge imposed 
                by the exporting country on the exportation of 
                the subject merchandise to the United States, 
                other than an export tax, duty, or other charge 
                described in section 771(6)(C).
    (d) Additional Adjustments to Constructed Export Price.--
For purposes of this section, the price used to establish 
constructed export price shall also be reduced by--
          (1) the amount of any of the following expenses 
        generally incurred by or for the account of the 
        producer or exporter, or the affiliated seller in the 
        United States, in selling the subject merchandise (or 
        subject merchandise to which value has been added)--
                  (A) commissions for selling the subject 
                merchandise in the United States;
                  (B) expenses that result from, and bear a 
                direct relationship to, the sale, such as 
                credit expenses, guarantees and warranties;
                  (C) any selling expenses that the seller pays 
                on behalf of the purchaser; and
                  (D) any selling expenses not deducted under 
                subparagraph (A), (B), or (C);
          (2) the cost of any further manufacture or assembly 
        (including additional material and labor), except in 
        circumstances described in subsection (e); and
          (3) the profit allocated to the expenses described in 
        paragraphs (1) and (2).
    (e) Special Rule for Merchandise With Value Added After 
Importation.--Where the subject merchandise is imported by a 
person affiliated with the exporter or producer, and the value 
added in the United States by the affiliated person is likely 
to exceed substantially the value of the subject merchandise, 
the administering authority shall determine the constructed 
export price for such merchandise by using one of the following 
prices if there is a sufficient quantity of sales to provide a 
reasonable basis for comparison and the administering authority 
determines that the use of such sales is appropriate:
          (1) The price of identical subject merchandise sold 
        by the exporter or producer to an unaffiliated person.
          (2) The price of other subject merchandise sold by 
        the exporter or producer to an unaffiliated person.
If there is not a sufficient quantity of sales to provide a 
reasonable basis for comparison under paragraph (1) or (2), or 
the administering authority determines that neither of the 
prices described in such paragraphs is appropriate, then the 
constructed export price may be determined on any other 
reasonable basis.
    (f) Special Rule for Determining Profit.--
          (1) In general.--For purposes of subsection (d)(3), 
        profit shall be an amount determined by multiplying the 
        total actual profit by the applicable percentage.
          (2) Definitions.--For purposes of this subsection:
                  (A) Applicable percentage.--The term 
                ``applicable percentage'' means the percentage 
                determined by dividing the total United States 
                expenses by the total expenses.
                  (B) Total united states expenses.--The term 
                ``total United States expenses'' means the 
                total expenses described in subsection (d) (1) 
                and (2).
                  (C) Total expenses.--The term ``total 
                expenses'' means all expenses in the first of 
                the following categories which applies and 
                which are incurred by or on behalf of the 
                foreign producer and foreign exporter of the 
                subject merchandise and by or on behalf of the 
                United States seller affiliated with the 
                producer or exporter with respect to the 
                production and sale of such merchandise:
                          (i) The expenses incurred with 
                        respect to the subject merchandise sold 
                        in the United States and the foreign 
                        like product sold in the exporting 
                        country if such expenses were requested 
                        by the administering authority for the 
                        purpose of establishing normal value 
                        and constructed export price.
                          (ii) The expenses incurred with 
                        respect to the narrowest category of 
                        merchandise sold in the United States 
                        and the exporting country which 
                        includes the subject merchandise.
                          (iii) The expenses incurred with 
                        respect to the narrowest category of 
                        merchandise sold in all countries which 
                        includes the subject merchandise.
                  (D) Total actual profit.--The term ``total 
                actual profit'' means the total profit earned 
                by the foreign producer, exporter, and 
                affiliated parties described in subparagraph 
                (C) with respect to the sale of the same 
                merchandise for which total expenses are 
                determined under such subparagraph.

SEC. 773.\448\ NORMAL VALUE.

    (a) Determination.--In determining under this title whether 
subject merchandise is being, or is likely to be, sold at less 
than fair value, a fair comparison shall be made between the 
export price or constructed export price and normal value. In 
order to achieve a fair comparison with the export price or 
constructed export price, normal value shall be determined as 
follows:
---------------------------------------------------------------------------
    \448\ 19 U.S.C. 1677b. Sec. 224 of Public Law 103-465 (108 Stat. 
4878) amended and restated sec. 773.
---------------------------------------------------------------------------
          (1) Determination of normal value.--
                  (A) In general.--The normal value of the 
                subject merchandise shall be the price 
                described in subparagraph (B), at a time 
                reasonably corresponding to the time of the 
                sale used to determine the export price or 
                constructed export price under section 772(a) 
                or (b).
                  (B) Price.--The price referred to in 
                subparagraph (A) is--
                          (i) the price at which the foreign 
                        like product is first sold (or, in the 
                        absence of a sale, offered for sale) 
                        for consumption in the exporting 
                        country, in the usual commercial 
                        quantities and in the ordinary course 
                        of trade and, to the extent 
                        practicable, at the same level of trade 
                        as the export price or constructed 
                        export price, or
                          (ii) in a case to which subparagraph 
                        (C) applies, the price at which the 
                        foreign like product is so sold (or 
                        offered for sale) for consumption in a 
                        country other than the exporting 
                        country or the United States, if--
                                  (I) such price is 
                                representative,
                                  (II) the aggregate quantity 
                                (or, if quantity is not 
                                appropriate, value) of the 
                                foreign like product sold by 
                                the exporter or producer in 
                                such other country is 5 percent 
                                or more of the aggregate 
                                quantity (or value) of the 
                                subject merchandise sold in the 
                                United States or for export to 
                                the United States, and
                                  (III) the administering 
                                authority does not determine 
                                that the particular market 
                                situation in such other country 
                                prevents a proper comparison 
                                with the export price or 
                                constructed export price.
                  (C) Third country sales.--This subparagraph 
                applies when--
                          (i) the foreign like product is not 
                        sold (or offered for sale) for 
                        consumption in the exporting country as 
                        described in subparagraph (B)(i),
                          (ii) the administering authority 
                        determines that the aggregate quantity 
                        (or, if quantity is not appropriate, 
                        value) of the foreign like product sold 
                        in the exporting country is 
                        insufficient to permit a proper 
                        comparison with the sales of the 
                        subject merchandise to the United 
                        States, or
                          (iii) the particular market situation 
                        in the exporting country does not 
                        permit a proper comparison with the 
                        export price or constructed export 
                        price.
                For purposes of clause (ii), the aggregate 
                quantity (or value) of the foreign like product 
                sold in the exporting country shall normally be 
                considered to be insufficient if such quantity 
                (or value) is less than 5 percent of the 
                aggregate quantity (or value) of sales of the 
                subject merchandise to the United States.
          (2) Fictitious markets.--No pretended sale or offer 
        for sale, and no sale or offer for sale intended to 
        establish a fictitious market, shall be taken into 
        account in determining normal value. The occurrence of 
        different movements in the prices at which different 
        forms of the foreign like product are sold (or, in the 
        absence of sales, offered for sale) in the exporting 
        country after the issuance of an antidumping duty order 
        may be considered by the administering authority as 
        evidence of the establishment of a fictitious market 
        for the foreign like product if the movement in such 
        prices appears to reduce the amount by which the normal 
        value exceeds the export price (or the constructed 
        export price) of the subject merchandise.
          (3) Exportation from an intermediate country.--Where 
        the subject merchandise is exported to the United 
        States from an intermediate country, normal value shall 
        be determined in the intermediate country, except that 
        normal value may be determined in the country of origin 
        of the subject merchandise if--
                  (A) the producer knew at the time of the sale 
                that the subject merchandise was destined for 
                exportation;
                  (B) the subject merchandise is merely 
                transshipped through the intermediate country;
                  (C) sales of the foreign like product in the 
                intermediate country do not satisfy the 
                conditions of paragraph (1)(C); or
                  (D) the foreign like product is not produced 
                in the intermediate country.
          (4) Use of constructed value.--If the administering 
        authority determines that the normal value of the 
        subject merchandise cannot be determined under 
        paragraph (1)(B)(i), then, notwithstanding paragraph 
        (1)(B)(ii), the normal value of the subject merchandise 
        may be the constructed value of that merchandise, as 
        determined under subsection (e).
          (5) Indirect sales or offers for sale.--If the 
        foreign like product is sold or, in the absence of 
        sales, offered for sale through an affiliated party, 
        the prices at which the foreign like product is sold 
        (or offered for sale) by such affiliated party may be 
        used in determining normal value.
          (6) Adjustments.--The price described in paragraph 
        (1)(B) shall be--
                  (A) increased by the cost of all containers 
                and coverings and all other costs, charges, and 
                expenses incident to placing the subject 
                merchandise in condition packed ready for 
                shipment to the United States;
                  (B) reduced by--
                          (i) when included in the price 
                        described in paragraph (1)(B), the cost 
                        of all containers and coverings and all 
                        other costs, charges, and expenses 
                        incident to placing the foreign like 
                        product in condition packed ready for 
                        shipment to the place of delivery to 
                        the purchaser,
                          (ii) the amount, if any, included in 
                        the price described in paragraph 
                        (1)(B), attributable to any additional 
                        costs, charges, and expenses incident 
                        to bringing the foreign like product 
                        from the original place of shipment to 
                        the place of delivery to the purchaser, 
                        and
                          (iii) the amount of any taxes imposed 
                        directly upon the foreign like product 
                        or components thereof which have been 
                        rebated, or which have not been 
                        collected, on the subject merchandise, 
                        but only to the extent that such taxes 
                        are added to or included in the price 
                        of the foreign like product, and
                  (C) increased or decreased by the amount of 
                any difference (or lack thereof) between the 
                export price or constructed export price and 
                the price described in paragraph (1)(B) (other 
                than a difference for which allowance is 
                otherwise provided under this section) that is 
                established to the satisfaction of the 
                administering authority to be wholly or partly 
                due to--
                          (i) the fact that the quantities in 
                        which the subject merchandise is sold 
                        or agreed to be sold to the United 
                        States are greater than or less than 
                        the quantities in which the foreign 
                        like product is sold, agreed to be 
                        sold, or offered for sale,
                          (ii) the fact that merchandise 
                        described in subparagraph (B) or (C) of 
                        section 771(16) is used in determining 
                        normal value, or
                          (iii) other differences in the 
                        circumstances of sale.
          (7) Additional adjustments.--
                  (A) Level of trade.--The price described in 
                paragraph (1)(B) shall also be increased or 
                decreased to make due allowance for any 
                difference (or lack thereof) between the export 
                price or constructed export price and the price 
                described in paragraph (1)(B) (other than a 
                difference for which allowance is otherwise 
                made under this section) that is shown to be 
                wholly or partly due to a difference in level 
                of trade between the export price or 
                constructed export price and normal value, if 
                the difference in level of trade--
                          (i) involves the performance of 
                        different selling activities; and
                          (ii) is demonstrated to affect price 
                        comparability, based on a pattern of 
                        consistent price differences between 
                        sales at different levels of trade in 
                        the country in which normal value is 
                        determined.
                In a case described in the preceding sentence, 
                the amount of the adjustment shall be based on 
                the price differences between the two levels of 
                trade in the country in which normal value is 
                determined.
                  (B) Constructed export price offset.--When 
                normal value is established at a level of trade 
                which constitutes a more advanced stage of 
                distribution than the level of trade of the 
                constructed export price, but the data 
                available do not provide an appropriate basis 
                to determine under subparagraph (A)(ii) a level 
                of trade adjustment, normal value shall be 
                reduced by the amount of indirect selling 
                expenses incurred in the country in which 
                normal value is determined on sales of the 
                foreign like product but not more than the 
                amount of such expenses for which a deduction 
                is made under section 772(d)(1)(D).
          (8) Adjustments to constructed value.--Constructed 
        value as determined under subsection (e), may be 
        adjusted, as appropriate, pursuant to this subsection.
    (b) Sales at Less Than Cost of Production.--
          (1) Determination; sales disregarded.--Whenever the 
        administering authority has reasonable grounds to 
        believe or suspect that sales of the foreign like 
        product under consideration for the determination of 
        normal value have been made at prices which represent 
        less than the cost of production of that product, the 
        administering authority shall determine whether, in 
        fact, such sales were made at less than the cost of 
        production. If the administering authority determines 
        that sales made at less than the cost of production--
                  (A) have been made within an extended period 
                of time in substantial quantities, and
                  (B) were not at prices which permit recovery 
                of all costs within a reasonable period of 
                time,
        such sales may be disregarded in the determination of 
        normal value. Whenever such sales are disregarded, 
        normal value shall be based on the remaining sales of 
        the foreign like product in the ordinary course of 
        trade. If no sales made in the ordinary course of trade 
        remain, the normal value shall be based on the 
        constructed value of the merchandise.
          (2) Definitions and special rules.--For purposes of 
        this subsection--
                  (A) Reasonable grounds to believe or 
                suspect.--There are reasonable grounds to 
                believe or suspect that sales of the foreign 
                like product were made at prices that are less 
                than the cost of production of the product, 
                if--
                          (i) in an investigation initiated 
                        under section 732 or a review conducted 
                        under section 751, an interested party 
                        described in subparagraph (C), (D), 
                        (E), (F), or (G) of section 771(9) 
                        provides information, based upon 
                        observed prices or constructed prices 
                        or costs, that sales of the foreign 
                        like product under consideration for 
                        the determination of normal value have 
                        been made at prices which represent 
                        less than the cost of production of the 
                        product; or
                          (ii) in a review conducted under 
                        section 751 involving a specific 
                        exporter, the administering authority 
                        disregarded some or all of the 
                        exporter's sales pursuant to paragraph 
                        (1) in the investigation or if a review 
                        has been completed, in the most 
                        recently completed review.
                  (B) Extended period of time.--The term 
                ``extended period of time'' means a period that 
                is normally 1 year, but not less than 6 months.
                  (C) Substantial quantities.--Sales made at 
                prices below the cost of production have been 
                made in substantial quantities if--
                          (i) the volume of such sales 
                        represents 20 percent or more of the 
                        volume of sales under consideration for 
                        the determination of normal value, or
                          (ii) the weighted average per unit 
                        price of the sales under consideration 
                        for the determination of normal value 
                        is less than the weighted average per 
                        unit cost of production for such sales.
                  (D) Recovery of costs.--If prices which are 
                below the per unit cost of production at the 
                time of sale are above the weighted average per 
                unit cost of production for the period of 
                investigation or review, such prices shall be 
                considered to provide for recovery of costs 
                within a reasonable period of time.
          (3) Calculation of cost of production.--For purposes 
        of this subtitle, the cost of production shall be an 
        amount equal to the sum of--
                  (A) the cost of materials and of fabrication 
                or other processing of any kind employed in 
                producing the foreign like product, during a 
                period which would ordinarily permit the 
                production of that foreign like product in the 
                ordinary course of business;
                  (B) an amount for selling, general, and 
                administrative expenses based on actual data 
                pertaining to production and sales of the 
                foreign like product by the exporter in 
                question; and
                  (C) the cost of all containers and coverings 
                of whatever nature, and all other expenses 
                incidental to placing the foreign like product 
                in condition packed ready for shipment.
        For purposes of subparagraph (A), if the normal value 
        is based on the price of the foreign like product sold 
        for consumption in a country other than the exporting 
        country, the cost of materials shall be determined 
        without regard to any internal tax in the exporting 
        country imposed on such materials or their disposition 
        which are remitted or refunded upon exportation.
    (c) Nonmarket Economy Countries.--
          (1) In general.--If--
                  (A) the subject merchandise is exported from 
                a nonmarket economy country, and
                  (B) the administering authority finds that 
                available information does not permit the 
                normal value of the subject merchandise to be 
                determined under subsection (a),
        the administering authority shall determine the normal 
        value of the subject merchandise on the basis of the 
        value of the factors of production utilized in 
        producing the merchandise and to which shall be added 
        an amount for general expenses and profit plus the cost 
        of containers, coverings, and other expenses. Except as 
        provided in paragraph (2), the valuation of the factors 
        of production shall be based on the best available 
        information regarding the values of such factors in a 
        market economy country or countries considered to be 
        appropriate by the administering authority.
          (2) Exception.--If the administering authority finds 
        that the available information is inadequate for 
        purposes of determining the normal value of subject 
        merchandise under paragraph (1), the administering 
        authority shall determine the normal value on the basis 
        of the price at which merchandise that is--
                  (A) comparable to the subject merchandise, 
                and
                  (B) produced in one or more market economy 
                countries that are at a level of economic 
                development comparable to that of the nonmarket 
                economy country,
        is sold in other countries, including the United 
        States.
          (3) Factors of production.--For purposes of paragraph 
        (1), the factors of production utilized in producing 
        merchandise include, but are not limited to--
                  (A) hours of labor required,
                  (B) quantities of raw materials employed,
                  (C) amounts of energy and other utilities 
                consumed, and
                  (D) representative capital cost, including 
                depreciation.
          (4) Valuation of factors of production.--The 
        administering authority, in valuing factors of 
        production under paragraph (1), shall utilize, to the 
        extent possible, the prices or costs of factors of 
        production in one or more market economy countries that 
        are--
                  (A) at a level of economic development 
                comparable to that of the nonmarket economy 
                country, and
                  (B) significant producers of comparable 
                merchandise.
    (d) Special Rule for Certain Multinational Corporations.--
Whenever, in the course of an investigation under this title, 
the administering authority determines that--
          (1) subject merchandise exported to the United States 
        is being produced in facilities which are owned or 
        controlled, directly or indirectly, by a person, firm, 
        or corporation which also owns or controls, directly or 
        indirectly, other facilities for the production of the 
        foreign like product which are located in another 
        country or countries,
          (2) subsection (a)(1)(C) applies, and
          (3) the normal value of the foreign like product 
        produced in one or more of the facilities outside the 
        exporting country is higher than the normal value of 
        the foreign like product produced in the facilities 
        located in the exporting country,
it shall determine the normal value of the subject merchandise 
by reference to the normal value at which the foreign like 
product is sold in substantial quantities from one or more 
facilities outside the exporting country. The administering 
authority, in making any determination under this paragraph, 
shall make adjustments for the difference between the cost of 
production (including taxes, labor, materials, and overhead) of 
the foreign like product produced in facilities outside the 
exporting country and costs of production of the foreign like 
product produced in facilities in the exporting country, if 
such differences are demonstrated to its satisfaction. For 
purposes of this subsection, in determining the normal value of 
the foreign like product produced in a country outside of the 
exporting country, the administering authority shall determine 
its price at the time of exportation from the exporting country 
and shall make any adjustments required by subsection (a) for 
the cost of all containers and coverings and all other costs, 
charges, and expenses incident to placing the merchandise in 
condition packed ready for shipment to the United States by 
reference to such costs in the exporting country.
    (e) Constructed Value.--For purposes of this title, the 
constructed value of imported merchandise shall be an amount 
equal to the sum of--
          (1) the cost of materials and fabrication or other 
        processing of any kind employed in producing the 
        merchandise, during a period which would ordinarily 
        permit the production of the merchandise in the 
        ordinary course of business;
          (2)(A) the actual amounts incurred and realized by 
        the specific exporter or producer being examined in the 
        investigation or review for selling, general, and 
        administrative expenses, and for profits, in connection 
        with the production and sale of a foreign like product, 
        in the ordinary course of trade, for consumption in the 
        foreign country, or
          (B) if actual data are not available with respect to 
        the amounts described in subparagraph (A), then--
                  (i) the actual amounts incurred and realized 
                by the specific exporter or producer being 
                examined in the investigation or review for 
                selling, general, and administrative expenses, 
                and for profits, in connection with the 
                production and sale, for consumption in the 
                foreign country, of merchandise that is in the 
                same general category of products as the 
                subject merchandise,
                  (ii) the weighted average of the actual 
                amounts incurred and realized by exporters or 
                producers that are subject to the investigation 
                or review (other than the exporter or producer 
                described in clause (i)) for selling, general, 
                and administrative expenses, and for profits, 
                in connection with the production and sale of a 
                foreign like product, in the ordinary course of 
                trade, for consumption in the foreign country, 
                or
                  (iii) the amounts incurred and realized for 
                selling, general, and administrative expenses, 
                and for profits, based on any other reasonable 
                method, except that the amount allowed for 
                profit may not exceed the amount normally 
                realized by exporters or producers (other than 
                the exporter or producer described in clause 
                (i)) in connection with the sale, for 
                consumption in the foreign country, of 
                merchandise that is in the same general 
                category of products as the subject 
                merchandise; and
          (3) the cost of all containers and coverings of 
        whatever nature, and all other expenses incidental to 
        placing the subject merchandise in condition packed 
        ready for shipment to the United States.
For purposes of paragraph (1), the cost of materials shall be 
determined without regard to any internal tax in the exporting 
country imposed on such materials or their disposition which 
are remitted or refunded upon exportation of the subject 
merchandise produced from such materials.
    (f) Special Rules for Calculation of Cost of Production and 
for Calculation of Constructed Value.--For purposes of 
subsections (b) and (e).--
          (1) Costs.--
                  (A) In general.--Costs shall normally be 
                calculated based on the records of the exporter 
                or producer of the merchandise, if such records 
                are kept in accordance with the generally 
                accepted accounting principles of the exporting 
                country (or the producing country, where 
                appropriate) and reasonably reflect the costs 
                associated with the production and sale of the 
                merchandise. The administering authority shall 
                consider all available evidence on the proper 
                allocation of costs, including that which is 
                made available by the exporter or producer on a 
                timely basis, if such allocations have been 
                historically used by the exporter or producer, 
                in particular for establishing appropriate 
                amortization and depreciation periods, and 
                allowances for capital expenditures and other 
                development costs.
                  (B) Nonrecurring costs.--Costs shall be 
                adjusted appropriately for those nonrecurring 
                costs that benefit current or future 
                production, or both.
                  (C) Startup costs.--
                          (i) In general.--Costs shall be 
                        adjusted appropriately for 
                        circumstances in which costs incurred 
                        during the time period covered by the 
                        investigation or review are affected by 
                        startup operations.
                          (ii) Startup operations.--Adjustments 
                        shall be made for startup operations 
                        only where--
                                  (I) a producer is using new 
                                production facilities or 
                                producing a new product that 
                                requires substantial additional 
                                investment, and
                                  (II) production levels are 
                                limited by technical factors 
                                associated with the initial 
                                phase of commercial production.
                For purposes of subclause (II), the initial 
                phase of commercial production ends at the end 
                of the startup period. In determining whether 
                commercial production levels have been 
                achieved, the administering authority shall 
                consider factors unrelated to startup 
                operations that might affect the volume of 
                production processed, such as demand, 
                seasonality, or business cycles.
                          (iii) Adjustment for startup 
                        operations.--The adjustment for startup 
                        operations shall be made by 
                        substituting the unit production costs 
                        incurred with respect to the 
                        merchandise at the end of the startup 
                        period for the unit production costs 
                        incurred during the startup period. If 
                        the startup period extends beyond the 
                        period of the investigation or review 
                        under this title, the administering 
                        authority shall use the most recent 
                        cost of production data that it 
                        reasonably can obtain, analyze, and 
                        verify without delaying the timely 
                        completion of the investigation or 
                        review. For purposes of this 
                        subparagraph, the startup period ends 
                        at the point at which the level of 
                        commercial production that is 
                        characteristic of the merchandise, 
                        producer, or industry concerned is 
                        achieved.
          (2) Transactions disregarded.--A transaction directly 
        or indirectly between affiliated persons may be 
        disregarded if, in the case of any element of value 
        required to be considered, the amount representing that 
        element does not fairly reflect the amount usually 
        reflected in sales of merchandise under consideration 
        in the market under consideration. If a transaction is 
        disregarded under the preceding sentence and no other 
        transactions are available for consideration, the 
        determination of the amount shall be based on the 
        information available as to what the amount would have 
        been if the transaction had occurred between persons 
        who are not affiliated.
          (3) Major input rule.--If, in the case of a 
        transaction between affiliated persons involving the 
        production by one of such persons of a major input to 
        the merchandise, the administering authority has 
        reasonable grounds to believe or suspect that an amount 
        represented as the value of such input is less than the 
        cost of production of such input, then the 
        administering authority may determine the value of the 
        major input on the basis of the information available 
        regarding such cost of production, if such cost is 
        greater than the amount that would be determined for 
        such input under paragraph (2).

SEC. 773A.\449\ CURRENCY CONVERSION.

    (a) In General.--In an antidumping proceeding under this 
title, the administering authority shall convert foreign 
currencies into United States dollars using the exchange rate 
in effect on the date of sale of the subject merchandise, 
except that, if it is established that a currency transaction 
on forward markets is directly linked to an export sale under 
consideration, the exchange rate specified with respect to such 
currency in the forward sale agreement shall be used to convert 
the foreign currency. Fluctuations in exchange rates shall be 
ignored.
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    \449\ 19 U.S.C. 1677b-1. Sec. 225(a) of Public Law 103-465 (108 
Stat. 4886) added sec. 773A.
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    (b) Sustained Movement in Foreign Currency Value.--In an 
investigation under subtitle B, if there is a sustained 
movement in the value of the foreign currency relative to the 
United States dollar, the administering authority shall allow 
exporters at least 60 days to adjust their export prices to 
reflect such sustained movement.

SEC. 774.\450\ HEARINGS.

    (a) \451\ Investigation Hearings.--
---------------------------------------------------------------------------
    \450\ 19 U.S.C. 1677c.
    \451\ Sec. 616 of Public Law 98-573 (98 Stat. 3037) amended and 
restated subsec. (a).
---------------------------------------------------------------------------
          (1) In general.--Except as provided in paragraph (2), 
        the administering authority and the Commission shall 
        each hold a hearing in the course of an investigation 
        upon the request of any party to the investigation 
        before making a final determination under section 705 
        or 735.
          (2) Exception.--If investigations are initiated under 
        subtitle A and subtitle B regarding the same 
        merchandise from the same country within 6 months of 
        each other (but before a final determination is made in 
        either investigation), the holding of a hearing by the 
        Commission in the course of one of the investigations 
        shall be treated as compliance with paragraph (1) for 
        both investigations, unless the Commission considers 
        that special circumstances require that a hearing be 
        held in the course of each of the investigations. 
        During any investigation regarding which the holding of 
        a hearing is waived under this paragraph, the 
        Commission shall allow any party to submit such 
        additional written comment as it considers relevant.
    (b) Procedures.--Any hearing required or permitted under 
this title shall be conducted after notice published in the 
Federal Register, and a transcript of the hearing shall be 
prepared and made available to the public. The hearing shall 
not be subject to the provisions of subchapter II of chapter 5 
of title 5, United States Code, or to section 702 of such 
title.

SEC. 775.\452\ COUNTERVAILABLE SUBSIDY PRACTICES DISCOVERED DURING A 
                    PROCEEDING.

    If, in the course of a proceeding under this title, the 
administering authority discovers a practice which appears to 
be a countervailable subsidy, but was not included in the 
matters alleged in a countervailing duty petition, or if the 
administering authority receives notice from the Trade 
Representative that a subsidy or subsidy program is in 
violation of Article 8 of the Subsidies Agreement, then the 
administering authority--
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    \452\ 19 U.S.C. 1677d. Sec. 283(b) of Public Law 103-465 (108 Stat. 
4930) amended and restated sec. 775.
---------------------------------------------------------------------------
          (1) shall include the practice, subsidy, or subsidy 
        program in the proceeding if the practice, subsidy, or 
        subsidy program appears to be a countervailable subsidy 
        with respect to the merchandise which is the subject of 
        the proceeding, or
          (2) shall transfer the information (other than 
        confidential information) concerning the practice, 
        subsidy, or subsidy program to the library maintained 
        under section 777(a)(1), if the practice, subsidy, or 
        subsidy program appears to be a countervailable subsidy 
        with respect to any other merchandise.

SEC. 776.\453\ DETERMINATIONS ON THE BASIS OF THE FACTS AVAILABLE.

    (a) In General.--If--
---------------------------------------------------------------------------
    \453\ 19 U.S.C. 1677e. Sec. 231(c) of Public Law 103-465 (108 Stat. 
4896) amended and restated sec. 776.
---------------------------------------------------------------------------
          (1) necessary information is not available on the 
        record, or
          (2) an interested party or any other person--
                  (A) withholds information that has been 
                requested by the administering authority or the 
                Commission under this title,
                  (B) fails to provide such information by the 
                deadlines for submission of the information or 
                in the form and manner requested, subject to 
                subsections (c)(1) and (e) of section 782,
                  (C) significantly impedes a proceeding under 
                this title, or
                  (D) provides such information but the 
                information cannot be verified as provided in 
                section 782(i),
the administering authority and the Commission shall, subject 
to section 782(d), use the facts otherwise available in 
reaching the applicable determination under this title.
    (b) Adverse Inferences.--If the administering authority or 
the Commission (as the case may be) finds that an interested 
party has failed to cooperate by not acting to the best of its 
ability to comply with a request for information from the 
administering authority or the Commission, the administering 
authority or the Commission (as the case may be), in reaching 
the applicable determination under this title, may use an 
inference that is adverse to the interests of that party in 
selecting from among the facts otherwise available. Such 
adverse inference may include reliance on information derived 
from--
          (1) the petition,
          (2) a final determination in the investigation under 
        this title,
          (3) any previous review under section 751 or 
        determination under section 753, or
          (4) any other information placed on the record.
    (c) Corroboration of Secondary Information.--When the 
administering authority or the Commission relies on secondary 
information rather than on information obtained in the course 
of an investigation or review, the administering authority or 
the Commission, as the case may be, shall, to the extent 
practicable, corroborate that information from independent 
sources that are reasonably at their disposal.

SEC. 777.\454\ ACCESS TO INFORMATION.

    (a) Information Generally Made Available.--
---------------------------------------------------------------------------
    \454\ 19 U.S.C. 1677f.
---------------------------------------------------------------------------
          (1) Public information function.--There shall be 
        established a library of information relating to 
        foreign subsidy practices and countervailing measures. 
        Copies of material in the library shall be made 
        available to the public upon payment of the costs of 
        preparing such copies.
          (2) Progress of investigation reports.--The 
        administering authority and the Commission shall, from 
        time to time upon request, inform the parties to an 
        investigation of the progress of that investigation.
          (3) \455\ Ex parte meetings.--The administering 
        authority and the Commission shall maintain a record of 
        any ex parte meeting between--
---------------------------------------------------------------------------
    \455\ Sec. 619(1) of Public Law 98-573 (98 Stat. 3038) amended and 
restated para. (3). Previously, para. (3) read as follows:
---------------------------------------------------------------------------

          ``(3) Ex parte meetings.--The administering authority and the 
        Commission shall maintain a record of ex parte meetings 
        between--

                  ``(A) interested parties or other persons providing 
                factual information in connection with an 
                investigation, and
                  ``(B) the person charged with making the 
                determination, and any person charged with making a 
                final recommendation to that person, in connection with 
                that investigation.

          The record of the ex parte meeting shall include the identity 
        of the persons present at the meeting, the date, time, and 
        place of the meeting, and a summary of the matters discussed or 
        submitted. The record of the ex parte meeting shall be included 
        in the record of the proceeding.''.
                  (A) interested parties or other persons 
                providing factual information in connection 
                with a proceeding, and
                  (B) the person charged with making the 
                determination, or any person charged with 
                making a final recommendation to that person, 
                in connection with that proceeding,
        if information relating to that proceeding was 
        presented or discussed at such meeting. The record of 
        such an ex parte meeting shall include the identity of 
        the persons present at the meeting, the date, time, and 
        place of the meeting, and a summary of the matters 
        discussed or submitted. The record of the ex parte 
        meeting shall be included in the record of the 
        proceeding.
          (4) Summaries; non-proprietary \456\ submissions.--
        The administering authority and the Commission shall 
        \457\ disclose--
---------------------------------------------------------------------------
    \456\ Sec. 1886(a)(13) of Public Law 99-514 (100 Stat. 2922) 
amended sec. 777 by substituting the terms ``proprietary'', ``non-
proprietary'', and ``proprietary status'' in lieu of ``confidential'', 
``nonconfidential'', and ``confidentiality'', respectively each place 
they appeared in the text.
    \457\ Sec. 231(b) of Public Law 103-465 (108 Stat. 4896) struck out 
``may disclose'' and inserted in lieu thereof ``shall disclose''.
---------------------------------------------------------------------------
                  (A) any proprietary \456\ information 
                received in the course of a proceeding if it is 
                disclosed in a form which cannot be associated 
                with, or otherwise be used to identify, 
                operations of a particular person, and
                  (B) any information submitted in connection 
                with a proceeding which is not designated as 
                proprietary \456\ by the person submitting it.
    (b) Proprietary \456\ Information.--
          (1) \458\ Proprietary status maintained.--
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    \458\ Sec. 226(a)(1) of Public Law 103-465 (108 Stat. 4886) amended 
and restated para. (1).
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                  (A) In general.--Except as provided in 
                subsection (a)(4)(A) and subsection (c), 
                information submitted to the administering 
                authority or the Commission which is designated 
                as proprietary by the person submitting the 
                information shall not be disclosed to any 
                person without the consent of the person 
                submitting the information, other than--
                          (i) to an officer or employee of the 
                        administering authority or the 
                        Commission who is directly concerned 
                        with carrying out the investigation in 
                        connection with which the information 
                        is submitted or any review under this 
                        title covering the same subject 
                        merchandise, or
                          (ii) to an officer or employee of the 
                        United States Customs Service who is 
                        directly involved in conducting an 
                        investigation regarding fraud under 
                        this title.
                  (B) Additional requirements.--The 
                administering authority and the Commission 
                shall require that information for which 
                proprietary treatment is requested be 
                accompanied by--
                          (i) either--
                                  (I) a non-proprietary summary 
                                in sufficient detail to permit 
                                a reasonable understanding of 
                                the substance of the 
                                information submitted in 
                                confidence, or
                                  (II) a statement that the 
                                information is not susceptible 
                                to summary accompanied by a 
                                statement of the reasons in 
                                support of the contention, and
                          (ii) either--
                                  (I) a statement which permits 
                                the administering authority or 
                                the Commission to release under 
                                administrative protective 
                                order, in accordance with 
                                subsection (c), the information 
                                submitted in confidence, or
                                  (II) a statement to the 
                                administering authority or the 
                                Commission that the business 
                                proprietary information is of a 
                                type that should not be 
                                released under administrative 
                                protective order.
          (2) Unwarranted designation.--If the administering 
        authority or the Commission determines, on the basis of 
        the nature and extent of the information or its 
        availability from public sources, that designation of 
        any information as proprietary \456\ is unwarranted, 
        then it shall notify the person who submitted it and 
        ask for an explanation of the reasons for the 
        designation. Unless that person persuades the 
        administering authority or the Commission that the 
        designation is warranted, or withdraws the designation, 
        the administering authority or the Commission, as the 
        case may be, shall return it to the party submitting 
        it. In a case in which the administering authority or 
        the Commission returns the information to the person 
        submitting it, the person may thereafter submit other 
        material concerning the subject matter of the returned 
        information if the submission is made within the time 
        otherwise provided for submitting such material.\459\
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    \459\ Sec. 226(b) of Public Law 103-465 (108 Stat. 4887) added this 
sentence.
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          (3) \460\ Section 751 reviews.--Notwithstanding the 
        provisions of paragraph (1), information submitted to 
        the administering authority or the Commission in 
        connection with a review under section 751(b) or 751(c) 
        which is designated as proprietary by the person 
        submitting the information may, if the review results 
        in the revocation of an order or finding (or 
        termination of a suspended investigation) under section 
        751(d), be used by the agency to which the information 
        was originally submitted in any investigation initiated 
        within 2 years after the date of the revocation or 
        termination pursuant to a petition covering the same 
        subject merchandise.
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    \460\ Sec. 226(a)(2) of Public Law 103-465 (108 Stat. 4887) added 
para. (3).
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    (c) Limited Disclosure of Certain Proprietary \456\ 
Information Under Protective Order.--
          (1) Disclosure by administering authority or 
        commission.--
                  (A) \461\ In general.--Upon receipt of an 
                application (before or after receipt of the 
                information requested) which describes in 
                general terms the information requested and 
                sets forth the reasons for the request, the 
                administering authority or the Commission shall 
                make all business proprietary information 
                presented to, or obtained by it, during a 
                proceeding (except privileged information, 
                classified information, and specific 
                information of a type for which there is a 
                clear and compelling need to withhold from 
                disclosure) available to interested parties who 
                are parties to the proceeding under a 
                protective order described in subparagraph (B), 
                regardless of when the information is submitted 
                during a proceeding. Customer names obtained 
                during any investigation which requires a 
                determination under section 705(b) or 735(b) 
                may not be disclosed by the administering 
                authority under protective order until either 
                an order is published under section 706(a) or 
                736(a) as a result of the investigation or the 
                investigation is suspended or terminated. The 
                Commission may delay disclosure of customer 
                names under protective order during any such 
                investigation until a reasonable time prior to 
                any hearing provided under section 774.\462\
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    \461\ Sec. 1332(2)(A) of Public Law 100-418 (102 Stat. 1208) 
amended and restated subpara. (A).
    \462\ Sec. 135(b)(1) of the Customs and Trade Act of 1990 (Public 
Law 101-382; 104 Stat. 650) added text beginning at ``Customer names * 
* *''.
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                  (B) Protective order.--The protective order 
                under which information is made available shall 
                contain such requirements as the administering 
                authority or the Commission may determine by 
                regulation to be appropriate. The administering 
                authority and the Commission shall provide by 
                regulation for such sanctions as the 
                administering authority and the Commission 
                determine to be appropriate, including 
                disbarment from practice before the agency.
                  (C) \463\ Time limitation on 
                determinations.--The administering authority or 
                the Commission, as the case may be, shall 
                determine whether to make information available 
                under this paragraph--
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    \463\ Sec. 1332(2)(B) of Public Law 100-418 (102 Stat. 1208) 
inserted subparas. (C), (D) and (E).
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                          (i) not later than 14 days (7 days if 
                        the submission pertains to a proceeding 
                        under section 703(a) or 733(a)) after 
                        the date on which the information is 
                        submitted, or
                          (ii) if--
                                  (I) the person that submitted 
                                the information raises 
                                objection to its release, or
                                  (II) the information is 
                                unusually voluminous or 
                                complex,
                        not later than 30 days (10 days if the 
                        submission pertains to a proceeding 
                        under section 703(a) or 733(a)) after 
                        the date on which the information is 
                        submitted.
                  (D) \463\ Availability after determination.--
                If the determination under subparagraph (C) is 
                affirmative, then--
                          (i) the business proprietary 
                        information submitted to the 
                        administering authority or the 
                        Commission on or before the date of the 
                        determination shall be made available, 
                        subject to the terms and conditions of 
                        the protective order, on such date; and
                          (ii) the business proprietary 
                        information submitted to the 
                        administering authority or the 
                        Commission after the date of the 
                        determination shall be served as 
                        required by subsection (d).
                  (E) \463\ Failure to disclose.--If a person 
                submitting information to the administering 
                authority refuses to disclose business 
                proprietary information which the administering 
                authority determines should be released under a 
                protective order described in subparagraph (B), 
                the administering authority shall return the 
                information, and any nonconfidential summary 
                thereof, to the person submitting the 
                information and summary and shall not consider 
                either.
          (2) Disclosure under court order.--If the 
        administering authority denies a request for 
        information under paragraph (1),\464\ then application 
        may be made to the United States Customs Court for an 
        order directing the administering authority or the 
        Commission to make the information available. After 
        notification of all parties to the investigation and 
        after an opportunity for a hearing on the record, the 
        court may issue an order, under such conditions as the 
        court deems appropriate, which shall not have the 
        effect of stopping or suspending the investigation, 
        directing the administering authority or the Commission 
        to make all or a portion of the requested information 
        described in the preceding sentence available under a 
        protective order and setting forth sanctions for 
        violation of such order if the court finds that, under 
        the standards applicable in proceedings of the court, 
        such an order is warranted, and that--
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    \464\ The text ``or the Commission denies a request for proprietary 
information submitted by the petitioner or an interested party in 
support of the petitioner concerning the domestic price or cost of 
production of the like product,'' which previously appeared at this 
point was struck out by sec. 1332(3) of Public Law 100-418 (102 Stat. 
1208).
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                  (A) the administering authority or the 
                Commission has denied access to the information 
                under subsection (b)(1),
                  (B) the person on whose behalf the 
                information is requested is an interested party 
                who is a party to the investigation in 
                connection with which the information was 
                obtained or developed, and
                  (C) the party which submitted the information 
                to which the request relates has been notified, 
                in advance of the hearing, of the request made 
                under this section and of its right to appear 
                and be heard.
  (d) \465\ Service.--Any party submitting written information, 
including business proprietary information, to the 
administering authority or the Commission during a proceeding 
shall, at the same time, serve the information upon all 
interested parties who are parties to the proceeding, if the 
information is covered by a protective order. The administering 
authority or the Commission shall not accept any such 
information that is not accompanied by a certificate of service 
and a copy of the protective order version of the document 
containing the information. Business proprietary information 
shall only be served upon interested parties who are parties to 
the proceeding that are subject to protective order; however, a 
nonconfidential summary thereof shall be served upon all other 
interested parties who are parties to the proceeding.
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    \465\ Subsecs. (d) and (e), relating to timely submissions, were 
added by sec. 1332(4) of Public Law 100-418 (102 Stat. 1209). Sec. 
231(d)(1) of Public Law 103-465 (108 Stat. 4897) subsequently repealed 
subsec. (e).
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    (e) \465\ * * * [Repealed--1994]
  (f) \466\ Disclosure of Proprietary Information Under 
Protective Orders Issued Pursuant to the North American Free 
Trade Agreement or the United States-Canada Agreement.--
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    \466\ Originally added as a second subsec. (d) by sec. 403(c) of 
the United States-Canada Free-Trade Agreement Implementation Act of 
1988 (Public Law 100-449; 102 Stat. 1884), was redesignated subsec. (f) 
by sec. 134(a)(4) of the Customs and Trade Act of 1990 (Public Law 101-
382; 104 Stat. 650). Sec. 412(c)(1) of the NAFTA Implementation Act 
(Public Law 103-182; 107 Stat. 2146) inserted ``the North American Free 
Trade Agreement or'' before ``the United States-Canada Agreement'' in 
the subsection heading.
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          (1) Issuance of protective orders.--
                  (A) In general.--If binational panel review 
                of a determination under this title is 
                requested pursuant to article 1904 of the NAFTA 
                or \467\ the United States-Canada Agreement, or 
                an extraordinary challenge committee is 
                convened under Annex 1904.13 of the NAFTA or 
                \467\ the United States-Canada Agreement, the 
                administering authority or the Commission, as 
                appropriate, may make available to authorized 
                persons, under a protective order described in 
                paragraph (2), a copy of all proprietary 
                material \468\ in the administrative record 
                made during the proceeding in question. If the 
                administering authority or the Commission 
                claims a privilege as to a document or portion 
                of a document in the administrative record of 
                the proceeding in question and a binational 
                panel or extraordinary challenge committee 
                \469\ finds that in camera inspection or 
                limited disclosure of that document or portion 
                thereof is required by United States law, the 
                administering authority or the Commission, as 
                appropriate, may restrict access to such 
                document or portion thereof to the authorized 
                persons identified by the panel or committee 
                \470\ as requiring access and may require such 
                persons to obtain access under a protective 
                order described in paragraph (2).\471\
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    \467\ Sec. 412(c)(2) of the NAFTA Implementation Act (Public Law 
103-182; 107 Stat. 2146) inserted ``the NAFTA or'' before ``the United 
States-Canada Agreement'' each place it appears in para. (1)(A).
    \468\ Sec. 134(a)(4)(A)(i) of the Customs and Trade Act of 1990 
(Public Law 101-382; 104 Stat. 650) struck out ``(but not privileged 
material as defined by the rules of procedure referred to in article 
1904(14) of the United States-Canada Agreement)'' here.
    \469\ Sec. 412(c)(3)(A) of the NAFTA Implementation Act (Public Law 
103-182; 107 Stat. 2146) inserted ``or extraordinary challenge 
committee'' after ``binational panel''.
    \470\ Sec. 412(c)(3)(B) of the NAFTA Implementation Act (Public Law 
103-182; 107 Stat. 2146) inserted ``or committee'' after ``the panel''.
    \471\ Sec. 134(a)(4)(A)(ii) of the Customs and Trade Act of 1990 
(Public Law 101-382; 104 Stat. 650) inserted this sentence.
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                  (B) Authorized persons.--For purposes of this 
                subsection, the term ``authorized persons'' 
                means--
                          (i) the members of, and the 
                        appropriate staff of, the binational 
                        panel or the extraordinary challenge 
                        committee, as the case may be, and the 
                        Secretariat,
                          (ii) counsel for parties to such 
                        panel or committee proceeding, and 
                        employees, and persons under the 
                        direction and control,\472\ of such 
                        counsel,\473\
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    \472\ Sec. 134(a)(4)(B)(i) of the Customs and Trade Act of 1990 
(Public Law 101-382; 104 Stat. 650) inserted ``, and persons under the 
direction and control,'' after ``employees''.
    \473\ Sec. 134(a)(4)(B)(ii) of the Customs and Trade Act of 1990 
(Public Law 101-382; 104 Stat. 650) struck out ``and'' at the end of 
clause (ii).
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                          (iii) any officer or employee of the 
                        United States Government designated by 
                        the administering authority or the 
                        Commission, as appropriate, to whom 
                        disclosure is necessary in order to 
                        make recommendations to the Trade 
                        Representative regarding the convening 
                        of extraordinary challenge committees 
                        under chapter 19 of the NAFTA or the 
                        Agreement, and \474\
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    \474\ Sec. 134(a)(4)(B)(iii) of the Customs and Trade Act of 1990 
(Public Law 101-382; 104 Stat. 650) struck out ``implement the United 
States-Canada Agreement with respect to such proceeding.'' following 
``in order to'', and inserted in lieu thereof ``make recommendations to 
the Trade Representative regarding the convening of extraordinary 
challenge committees under chapter 19 of the Agreement, and''.
    Subsequently, sec. 412(c)(4)(A) of the NAFTA Implementation Act 
(Public Law 103-182; 107 Stat. 2146) inserted ``the NAFTA or'' before 
``the Agreement'' in clauses (iii) and (iv).
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                          (iv) \475\ any officer or employee of 
                        the Government of a free trade area 
                        country (as defined in section 
                        516A(f)(10)) designated by an 
                        authorized agency of such country \476\ 
                        to whom disclosure is necessary in 
                        order to make decisions regarding the 
                        convening of extraordinary challenge 
                        committees under chapter 19 of the 
                        NAFTA or \474\ the Agreement.
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    \475\ Sec. 134(a)(4)(B)(iv) of the Customs and Trade Act of 1990 
(Public Law 101-382; 104 Stat. 650) added clause (iv).
    \476\ Sec. 412(c)(4)(B) of the NAFTA Implementation Act (Public Law 
103-182; 107 Stat. 2146) struck out ``Government of Canada designated 
by an authorized agency of Canada'' and inserted in lieu thereof 
``Government of a free trade area country (as defined in section 
516A(f)(10)) designated by an authorized agency of such country''.
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                  (C) Review.--A decision concerning the 
                disclosure or nondisclosure of material under 
                protective order by the administering authority 
                or the Commission shall not be subject to 
                judicial review, and no court of the United 
                States shall have power or jurisdiction to 
                review such decision on any question of law or 
                fact by an action in the nature of mandamus or 
                otherwise.
          (2) Contents of protective order.-- Each protective 
        order issued under this subsection shall be in such 
        form and contain such requirements as the administering 
        authority or the Commission may determine by regulation 
        to be appropriate. The administering authority and the 
        Commission shall ensure that regulations issued 
        pursuant to this paragraph shall be designed to provide 
        an opportunity for participation in the binational 
        panel proceeding, including any extraordinary 
        challenge,\477\ equivalent to that available for 
        judicial review of determinations by the administering 
        authority or the Commission that are not subject to 
        review by a binational panel.
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    \477\ Sec. 412(c)(5) of the NAFTA Implementation Act (Public Law 
103-182; 107 Stat. 2146) inserted ``, including any extraordinary 
challenge,'' after ``binational panel proceeding''.
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          (3) \478\ Prohibited acts.--It is unlawful for any 
        person to violate, to induce the violation of, or 
        knowingly to receive information the receipt of which 
        constitutes a violation of any provision of a 
        protective order issued under this subsection or to 
        violate, to induce the violation of, or knowingly to 
        receive information the receipt of which constitutes a 
        violation of any provision of an undertaking entered 
        into with an authorized agency of a free trade area 
        country (as defined in section 516A(f)(10)) \479\ to 
        protect proprietary material during binational panel or 
        extraordinary challenge committee \480\ review pursuant 
        to article 1904 of the NAFTA or \481\ the United 
        States-Canada Agreement.
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    \478\ Sec. 134(a)(4)(C) of the Customs and Trade Act of 1990 
(Public Law 101-382; 104 Stat. 650) struck out ``or'' after 
``violate,''; and inserted ``or knowingly to receive information the 
receipt of which constitutes a violation of'' after ``violation of,''.
    \479\ Sec. 412(c)(7) of the NAFTA Implementation Act (Public Law 
103-182; 107 Stat. 2146) struck out ``agency of Canada'' in each of 
paras. (3) and (4) and inserted ``agency of a free trade area country 
(as defined in section 516A(f)(10))''.
    \480\ Sec. 412(c)(6)(A) of the NAFTA Implementation Act (Public Law 
103-182; 107 Stat. 2146) inserted ``or extraordinary challenge 
committee'' after ``binational panel''.
    \481\ Sec. 412(c)(6)(B) of the NAFTA Implementation Act (Public Law 
103-182; 107 Stat. 2146) inserted ``the NAFTA or''.
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          (4) Sanctions for violation of protective orders.--
        Any person, except a judge appointed to a binational 
        panel or an extraordinary challenge committee under 
        section 402(b) of the North American Free Trade 
        Agreement Implementation Act,\482\ who is found by the 
        administering authority or the Commission, as 
        appropriate, after notice and an opportunity for a 
        hearing in accordance with section 554 of title 5, 
        United States Code, to have committed an act prohibited 
        by paragraph (3) shall be liable to the United States 
        for a civil penalty and shall be subject to such other 
        administrative sanctions, including, but not limited 
        to, debarment from practice before the administering 
        authority or the Commission, as the administering 
        authority or the Commission determines to be 
        appropriate. The amount of the civil penalty shall not 
        exceed $100,000 for each violation. Each day of a 
        continuing violation shall constitute a separate 
        violation. The amount of such civil penalty and other 
        sanctions shall be assessed by the administering 
        authority or the Commission by written notice, except 
        that assessment shall be made by the administering 
        authority for violation, inducement of a violation or 
        receipt of information with reason to know that such 
        information was disclosed in violation,\483\ of an 
        undertaking entered into by any person with an 
        authorized agency of a free trade area country (as 
        defined in section 516A(f)(10)).\479\
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    \482\ Sec. 412(c)(8) of the NAFTA Implementation Act (Public Law 
103-182; 107 Stat. 2146) inserted ``, except a judge appointed to a 
binational panel or an extraordinary challenge committee under section 
402(b) of the North American Free Trade Agreement Implementation Act,'' 
after ``Any person''.
    \483\ Sec. 134(a)(4)(D) of the Customs and Trade Act of 1990 
(Public Law 101-382; 104 Stat. 650) struck out ``or inducement of a 
violation,'' and inserted in lieu thereof ``inducement of a violation 
or receipt of information with reason to know that such information was 
disclosed in violation,''.
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          (5) Review of sanctions.--Any person against whom 
        sanctions are imposed under paragraph (4) may obtain 
        review of such sanctions by filing a notice of appeal 
        in the United States Court of International Trade 
        within 30 days from the date of the order imposing the 
        sanction and by simultaneously sending a copy of such 
        notice by certified mail to the administering authority 
        or the Commission, as appropriate. The administering 
        authority or the Commission shall promptly file in such 
        court a certified copy of the record upon which such 
        violation was found or such sanction imposed, as 
        provided in section 2112 of title 28, United States 
        Code. The findings and order of the administering 
        authority or the Commission shall be set aside by the 
        court only if the court finds that such findings and 
        order are not supported by substantial evidence, as 
        provided in section 706(2) of title 5, United States 
        Code.
          (6) Enforcement of sanctions.--If any person fails to 
        pay an assessment of a civil penalty or to comply with 
        other administrative sanctions after the order imposing 
        such sanctions becomes a final and unappealable order, 
        or after the United States Court of International Trade 
        has entered final judgment in favor of the 
        administering authority or the Commission, an action 
        may be filed in such court to enforce the sanctions. In 
        such action, the validity and appropriateness of the 
        final order imposing the sanctions shall not be subject 
        to review.
          (7) Testimony and production of papers.--
                  (A) Authority to obtain information.--For the 
                purpose of conducting any hearing and carrying 
                out other functions and duties under this 
                subsection, the administering authority and the 
                Commission, or their duly authorized agents--
                          (i) shall have access to and the 
                        right to copy any pertinent document, 
                        paper, or record in the possession of 
                        any individual, partnership, 
                        corporation, association, organization, 
                        or other entity,
                          (ii) may summon witnesses, take 
                        testimony, and administer oaths,
                          (iii) and may require any individual 
                        or entity to produce pertinent 
                        documents, books, or records.
                Any member of the Commission, and any person so 
                designated by the administering authority, may 
                sign subpoenas, and members and agents of the 
                administering authority and the Commission, 
                when authorized by the administering authority 
                or the Commission, as appropriate, may 
                administer oaths and affirmations, examine 
                witnesses, take testimony, and receive 
                evidence.
                  (B) Witnesses and evidence.--The attendance 
                of witnesses who are authorized to be summoned, 
                and the production of documentary evidence 
                authorized to be ordered, under subparagraph 
                (A) may be required from any place in the 
                United States at any designated place of 
                hearing. In the case of disobedience to a 
                subpoena issued under subparagraph (A), an 
                action may be filed in any district or 
                territorial court of the United States to 
                require the attendance and testimony of 
                witnesses and the production of documentary 
                evidence. Such court, within the jurisdiction 
                of which such inquiry is carried on, may, in 
                case of contumacy or refusal to obey a subpoena 
                issued to any individual, partnership, 
                corporation, association, organization or other 
                entity, issue any order requiring such 
                individual or entity to appear before the 
                administering authority or the Commission, or 
                to produce documentary evidence if so ordered 
                or to give evidence concerning the matter in 
                question. Any failure to obey such order of the 
                court may be punished by the court as a 
                contempt thereof.
                  (C) Mandamus.--Any court referred to in 
                subparagraph (B) shall have jurisdiction to 
                issue writs of mandamus commanding compliance 
                with the provisions of this subsection or any 
                order of the administering authority or the 
                Commission made in pursuance thereof.
                  (D) Depositions.--For purposes of carrying 
                out any functions or duties under this 
                subsection, the administering authority or the 
                Commission may order testimony to be taken by 
                deposition. Such deposition may be taken before 
                any person designated by the administering 
                authority or Commission and having power to 
                administer oaths. Such testimony shall be 
                reduced to writing by the person taking the 
                deposition, or under the direction of such 
                person, and shall then be subscribed by the 
                deponent. Any individual, partnership, 
                corporation, association, organization or other 
                entity may be compelled to appear and depose 
                and to produce documentary evidence in the same 
                manner as witnesses may be compelled to appear 
                and testify and produce documentary evidence 
                before the administering authority or 
                Commission, as provided in this paragraph.
                  (E) Fees and mileage of witnesses.--Witnesses 
                summoned before the administering authority or 
                the Commission shall be paid the same fees and 
                mileage that are paid witnesses in the courts 
                of the United States.
    (g) \484\ Information Relating to Violations of Protective 
Orders and Sanctions.--The administering authority and the 
Commission may withhold from disclosure any correspondence, 
private letters of reprimand, settlement agreements, and 
documents and files compiled in relations to investigations and 
actions involving a violation or possible violation of a 
protective order issued under subsection (c) or (d), and such 
information shall be treated as information described in 
section 552(b)(3) of title 5, United States Code.
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    \484\ Sec. 135(b)(2) of the Customs and Trade Act of 1990 (Public 
Law 101-382; 104 Stat. 650) added subsec. (g).
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    (h) \485\ Opportunity for Comment by Consumers and 
Industrial Users.--The administering authority and the 
Commission shall provide an opportunity for industrial users of 
the subject merchandise and, if the merchandise is sold at the 
retail level, for representative consumer organizations, to 
submit relevant information to the administering authority 
concerning dumping or a countervailable subsidy, and to the 
Commission concerning material injury by reason of dumped or 
subsidized imports.
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    \485\ Sec. 227 of Public Law 103-465 (108 Stat. 4888) added subsec. 
(h).
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    (i) \486\ Publication of Determinations; Requirements for 
Final Determinations.--
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    \486\ Sec. 228 of Public Law 103-465 (108 Stat. 4888) added subsec. 
(i).
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          (1) In general.--Whenever the administering authority 
        makes a determination under section 702 or 732 whether 
        to initiate an investigation, or the administering 
        authority or the Commission makes a preliminary 
        determination under section 703 or 733, a final 
        determination under section 705 or section 735, a 
        preliminary or final determination in a review under 
        section 751, a determination to suspend an 
        investigation under this title, or a determination 
        under section 753, the administering authority or the 
        Commission, as the case may be, shall publish the facts 
        and conclusions supporting that determination, and 
        shall publish notice of that determination in the 
        Federal Register.
          (2) Contents of notice or determination.--The notice 
        or determination published under paragraph (1) shall 
        include, to the extent applicable--
                  (A) in the case of a determination of the 
                administering authority--
                          (i) the names of the exporters or 
                        producers of the subject merchandise 
                        or, when providing such names is 
                        impracticable, the countries exporting 
                        the subject merchandise to the United 
                        States,
                          (ii) a description of the subject 
                        merchandise that is sufficient to 
                        identify the subject merchandise for 
                        customs purposes,
                          (iii)(I) with respect to a 
                        determination in an investigation under 
                        subtitle A or section 753 or in a 
                        review of a countervailing duty order, 
                        the amount of the countervailable 
                        subsidy established and a full 
                        explanation of the methodology used in 
                        establishing the amount, and
                          (II) with respect to a determination 
                        in an investigation under subtitle B or 
                        in a review of an antidumping duty 
                        order, the weighted average dumping 
                        margins established and a full 
                        explanation of the methodology used in 
                        establishing such margins, and
                          (iv) the primary reasons for the 
                        determination; and
                  (B) in the case of a determination of the 
                Commission--
                          (i) considerations relevant to the 
                        determination of injury, and
                          (ii) the primary reasons for the 
                        determination.
          (3) Additional requirements for final 
        determinations.--In addition to the requirements set 
        forth in paragraph (2)--
                  (A) the administering authority shall include 
                in a final determination described in paragraph 
                (1) an explanation of the basis for its 
                determination that addresses relevant 
                arguments, made by interested parties who are 
                parties to the investigation or review (as the 
                case may be), concerning the establishment of 
                dumping or a countervailable subsidy, or the 
                suspension of the investigation, with respect 
                to which the determination is made; and
                  (B) the Commission shall include in a final 
                determination of injury an explanation of the 
                basis for its determination that addresses 
                relevant arguments that are made by interested 
                parties who are parties to the investigation or 
                review (as the case may be) concerning volume, 
                price effects, and impact on the industry of 
                imports of the subject merchandise.''

SEC. 777A.\487\ SAMPLING AND AVERAGING; DETERMINATION OF WEIGHTED 
                    AVERAGE DUMPING MARGIN AND COUNTERVAILABLE SUBSIDY 
                    RATE.

    (a) In General.--For purposes of determining the export 
price (or constructed export price) under section 772 or the 
normal value under section 773, and in carrying out reviews 
under section 751, the administering authority may--
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    \487\ 19 U.S.C. 1677f-1. Sec. 620(a) of Public Law 98-573 (98 Stat. 
3039) inserted sec. 777A. Sec. 229(a) of Public Law 103-465 (108 Stat. 
4889) amended and restated the section. Sec. 269(b)(1) of Public Law 
103-465 (108 Stat. 4916) added ``and countervailable subsidy rate'' 
after ``margin'' in the section catchline.
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          (1) use averaging and statistically valid samples, if 
        there is a significant volume of sales of the subject 
        merchandise or a significant number or types of 
        products, and
          (2) decline to take into account adjustments which 
        are insignificant in relation to the price or value of 
        the merchandise.
    (b) Selection of Averages and Samples.--The authority to 
select averages and statistically valid samples shall rest 
exclusively with the administering authority. The administering 
authority shall, to the greatest extent possible, consult with 
the exporters and producers regarding the method to be used to 
select exporters, producers, or types of products under this 
section.
    (c) Determination of Dumping Margin.--
          (1) General rule.--In determining weighted average 
        dumping margins under section 733(d), 735(c), or 
        751(a), the administering authority shall determine the 
        individual weighted average dumping margin for each 
        known exporter and producer of the subject merchandise.
          (2) Exception.--If it is not practicable to make 
        individual weighted average dumping margin 
        determinations under paragraph (1) because of the large 
        number of exporters or producers involved in the 
        investigation or review, the administering authority 
        may determine the weighted average dumping margins for 
        a reasonable number of exporters or producers by 
        limiting its examination to--
                  (A) a sample of exporters, producers, or 
                types of products that is statistically valid 
                based on the information available to the 
                administering authority at the time of 
                selection, or
                  (B) exporters and producers accounting for 
                the largest volume of the subject merchandise 
                from the exporting country that can be 
                reasonably examined.
    (d) Determination of Less Than Fair Value.--
          (1) Investigations.--
                  (A) In general.--In an investigation under 
                subtitle B, the administering authority shall 
                determine whether the subject merchandise is 
                being sold in the United States at less than 
                fair value--
                          (i) by comparing the weighted average 
                        of the normal values to the weighted 
                        average of the export prices (and 
                        constructed export prices) for 
                        comparable merchandise, or
                          (ii) by comparing the normal values 
                        of individual transactions to the 
                        export prices (or constructed export 
                        prices) of individual transactions for 
                        comparable merchandise.
                  (B) Exception.--The administering authority 
                may determine whether the subject merchandise 
                is being sold in the United States at less than 
                fair value by comparing the weighted average of 
                the normal values to the export prices (or 
                constructed export prices) of individual 
                transactions for comparable merchandise, if--
                          (i) there is a pattern of export 
                        prices (or constructed export prices) 
                        for comparable merchandise that differ 
                        significantly among purchasers, 
                        regions, or periods of time, and
                          (ii) the administering authority 
                        explains why such differences cannot be 
                        taken into account using a method 
                        described in paragraph (1)(A)(i) or 
                        (ii).
          (2) Reviews.--In a review under section 751, when 
        comparing export prices (or constructed export prices) 
        of individual transactions to the weighted average 
        price of sales of the foreign like product, the 
        administering authority shall limit its averaging of 
        prices to a period not exceeding the calendar month 
        that corresponds most closely to the calendar month of 
        the individual export sale.
    (e) \488\ Determination of Countervailable Subsidy Rate.--
---------------------------------------------------------------------------
    \488\ Sec. 269(a) of Public Law 103-465 (108 Stat. 4916) inserted 
subsec. (e).
---------------------------------------------------------------------------
          (1) General rule.--In determining countervailable 
        subsidy rates under section 703(d), 705(c), or 751(a), 
        the administering authority shall determine an 
        individual countervailable subsidy rate for each known 
        exporter or producer of the subject merchandise.
          (2) Exception.--If the administering authority 
        determines that it is not practicable to determine 
        individual countervailable subsidy rates under 
        paragraph (1) because of the large number of exporters 
        or producers involved in the investigation or review, 
        the administering authority may--
                  (A) determine individual countervailable 
                subsidy rates for a reasonable number of 
                exporters or producers by limiting its 
                examination to--
                          (i) a sample of exporters or 
                        producers that the administering 
                        authority determines is statistically 
                        valid based on the information 
                        available to the administering 
                        authority at the time of selection, or
                          (ii) exporters and producers 
                        accounting for the largest volume of 
                        the subject merchandise from the 
                        exporting country that the 
                        administering authority determines can 
                        be reasonably examined; or
                  (B) determine a single country-wide subsidy 
                rate to be applied to all exporters and 
                producers.
        The individual countervailable subsidy rates determined 
        under subparagraph (A) shall be used to determine the 
        all-others rate under section 705(c)(5).''

SEC. 778.\489\ INTEREST ON CERTAIN OVERPAYMENTS AND UNDERPAYMENTS.

    (a) General Rule.--Interest shall be payable on 
overpayments and underpayments of amounts deposited on 
merchandise entered, or withdrawn from warehouse, for 
consumption on and after--
---------------------------------------------------------------------------
    \489\ 19 U.S.C. 1677g. Sec. 621 of Public Law 98-573 (98 Stat. 
3039) amended and restated sec. 778.
---------------------------------------------------------------------------
          (1) the date of publication of a countervailing or 
        antidumping duty order under this title or section 303, 
        or
          (2) the date of a finding under the Antidumping Act, 
        1921.
    (b) Rate.--The rate of interest payable under subsection 
(a) for any period of time is the rate of interest established 
under section 6621 of the Internal Revenue Code of 1986 \490\ 
for such period.
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    \490\ Sec. 2 of the Tax Reform Act of 1986 (Public Law 99-514; 100 
Stat. 2095) struck out ``Internal Revenue Code of 1954'' and inserted 
in lieu thereof ``Internal Revenue Code of 1986'', wherever it is cited 
in any law.
---------------------------------------------------------------------------

SEC. 779.\491\ DRAWBACK TREATMENT.

    For purposes of any law relating to the drawback of customs 
duties, countervailing duties and antidumping duties imposed by 
this title shall \492\ not be treated as being regular customs 
duties.
---------------------------------------------------------------------------
    \491\ 19 U.S.C. 1677h. Sec. 622(a)(2) of Public Law 98-573 (98 
Stat. 3039) added sec. 779. Sec. 626(b) of Public Law 98-573 further 
stated that this amendment shall apply with respect to investigations 
initiated by petition or by the administering authority under subtitles 
A and B of title VII of the Tariff Act of 1930 on or after the 
effective date of this Act (Oct. 30, 1984).
    \492\ Sec. 1334 of Public Law 100-418 (102 Stat. 1209) inserted the 
text ``shall not be treated as being regular customs duties'' in lieu 
of ``shall be treated as any other customs duties'' which previously 
appeared at this point, and amended the section heading which 
previously read ``Drawbacks''.
---------------------------------------------------------------------------

SEC. 780.\493\ DOWNSTREAM PRODUCT MONITORING.

  (a) Petition Requesting Monitoring.--
---------------------------------------------------------------------------
    \493\ 19 U.S.C. 1677i. Sec. 1320 of Public Law 100-418 (102 Stat. 
1189) inserted sec. 780.
---------------------------------------------------------------------------
          (1) In general.--A domestic producer of an article 
        that is like a component part or a downstream product 
        may petition the administering authority to designate a 
        downstream product for monitoring under subsection (b). 
        The petition shall specify--
                  (A) the downstream product,
                  (B) the component product incorporated into 
                such downstream product, and
                  (C) the reasons for suspecting that the 
                imposition of antidumping or countervailing 
                duties has resulted in a diversion of exports 
                of the component part into increased production 
                and exportation to the United States of such 
                downstream product.
          (2) Determination regarding petition.--Within 14 days 
        after receiving a petition submitted under paragraph 
        (1), the administering authority shall determine--
                  (A) whether there is a reasonable likelihood 
                that imports into the United States of the 
                downstream product will increase as an indirect 
                result of any diversion with respect to the 
                component part, and
                  (B) whether--
                          (i) the component part is already 
                        subject to monitoring to aid in the 
                        enforcement of a bilateral arrangement 
                        (within the meaning of section 804 of 
                        the Trade and Tariff Act of 1984),
                          (ii) merchandise related to the 
                        component part and manufactured in the 
                        same foreign country in which the 
                        component part is manufactured has been 
                        the subject of a significant number of 
                        investigations suspended under section 
                        704 or 734 or countervailing or 
                        antidumping duty orders issued under 
                        this title or section 303, or
                          (iii) merchandise manufactured or 
                        exported by the manufacturer or 
                        exporter of the component part that is 
                        similar in description and use to the 
                        component part has been the subject of 
                        at least 2 investigations suspended 
                        under section 704 or 734 or 
                        countervailing or antidumping duty 
                        orders issued under this title or 
                        section 303.
          (3) Factors to take into account.--In making a 
        determination under paragraph (2)(A), the administering 
        authority may, if appropriate, take into account such 
        factors as--
                  (A) the value of the component part in 
                relation to the value of the downstream 
                product,
                  (B) the extent to which the component part 
                has been substantially transformed as a result 
                of its incorporation into the downstream 
                product, and
                  (C) the relationship between the producers of 
                component parts and producers of downstream 
                products.
          (4) Publication of determination.--The administering 
        authority shall publish in the Federal Register notice 
        of each determination made under paragraph (2) and, if 
        the determination made under paragraph (2)(A) and a 
        determination made under any subparagraph of paragraph 
        (2)(B) are affirmative, shall transmit a copy of such 
        determinations and the petition to the Commission.
          (5) Determinations not subject to judicial review.--
        Notwithstanding any other provision of law, any 
        determination made by the administering authority under 
        paragraph (2) shall not be subject to judicial review.
  (b) Monitoring by the Commission.--
          (1) In general.--If the determination made under 
        subsection (a)(2)(A) and a determination made under any 
        clause of subsection (a)(2)(B) with respect to a 
        petition are affirmative, the Commission shall 
        immediately commence monitoring of trade in the 
        downstream product that is the subject of the 
        determination made under subsection (a)(2)(A). If the 
        Commission finds that imports of a downstream product 
        being monitored increased during any calendar quarter 
        by 5 percent or more over the preceding quarter, the 
        Commission shall analyze that increase in the context 
        of overall economic conditions in the product sector.
          (2) Reports.--The Commission shall make quarterly 
        reports to the administering authority regarding the 
        monitoring and analyses conducted under paragraph (1). 
        The Commission shall make the reports available to the 
        public.
  (c) Action on Basis of Monitoring Reports.--The administering 
authority shall review the information in the reports submitted 
by the Commission under subsection (b)(2) and shall--
          (1) consider the information in determining whether 
        to initiate an investigation under section 702(a) or 
        732(a) \494\ regarding any downstream product, and
---------------------------------------------------------------------------
    \494\ Sec. 261(d)(1)(B)(iv) of Public Law 103-465 (108 Stat. 4910) 
struck out ``, 732(a), or 303'' and inserted in lieu thereof ``or 
732(a)''.
---------------------------------------------------------------------------
          (2) request the Commission to cease monitoring any 
        downstream product if the information indicates that 
        imports into the United States are not increasing and 
        there is no reasonable likelihood of diversion with 
        respect to component parts.
  (d) Definitions.--For purposes of this section--
          (1) The term ``component part'' means any imported 
        article that--
                  (A) during the 5-year period ending on the 
                date on which the petition is filed under 
                subsection (a), has been subject to--
                          (i) a countervailing or antidumping 
                        duty order issued under this title or 
                        section 303 that requires the deposit 
                        of estimated countervailing or 
                        antidumping duties imposed at a rate of 
                        at least 15 percent ad valorem, or
                          (ii) an agreement entered into under 
                        section 704, 734, or 303 after a 
                        preliminary affirmative determination 
                        under section 703(b), 733(b)(1), or 303 
                        was made by the administering authority 
                        which included a determination that the 
                        estimated net countervailable subsidy 
                        \495\ was at least 15 percent ad 
                        valorem or that the estimated average 
                        amount by which the normal value \496\ 
                        exceeded the export price (or the 
                        constructed export price) \497\ was at 
                        least 15 percent ad valorem, and
---------------------------------------------------------------------------
    \495\ Sec. 270(a)(1)(M) of Public Law 103-465 (108 Stat. 4917) 
struck out ``subsidy'' and inserted in lieu thereof ``countervailable 
subsidy''.
    \496\ Sec. 233(a)(1)(E) of Public Law 103-465 (108 Stat. 4898) 
struck out ``foreign market value'' and inserted in lieu thereof 
``normal value''.
    \497\ Sec. 233(a)(2)(A)(vi) of Public Law 103-465 (108 Stat. 4898) 
struck out ``United States price'' and inserted in lieu thereof 
``export price (or the constructed export price)''.
---------------------------------------------------------------------------
                  (B) because of its inherent characteristics, 
                is routinely used as a major part, component, 
                assembly, subassembly, or material in a 
                downstream product.
          (2) The term ``downstream product'' means any 
        manufactured article--
                  (A) which is imported into the United States, 
                and
                  (B) into which is incorporated any component 
                part.

SEC. 781.\498\ PREVENTION OF CIRCUMVENTION OF ANTIDUMPING AND 
                    COUNTERVAILING DUTY ORDERS.

  (a)  Merchandise Completed or Assembled in the United 
States.--
---------------------------------------------------------------------------
    \498\ 19 U.S.C. 1677j. Sec. 1321(a) of Public Law 100-418 (102 
Stat. 1192) added sec. 781. Sec. 1337(d) of that Act further provided 
that the provisions of sec. 781 of the Tariff Act of 1930, as added by 
sec. 1321(a), and the amendments made by sec. 1334 should apply with 
respect to articles entered, or withdrawn from warehouse for 
consumption, on or after the date of enactment of that Act. Sec. 230(a) 
of Public Law 103-465 (108 Stat. 4891) amended and restated subsecs. 
(a) and (b).
---------------------------------------------------------------------------
          (1) In general.--If--
                  (A) merchandise sold in the United States is 
                of the same class or kind as any other 
                merchandise that is the subject of--
                          (i) an antidumping duty order issued 
                        under section 736,
                          (ii) a finding issued under the 
                        Antidumping Act, 1921, or
                          (iii) a countervailing duty order 
                        issued under section 706 or section 
                        303,
                  (B) such merchandise sold in the United 
                States is completed or assembled in the United 
                States from parts or components produced in the 
                foreign country with respect to which such 
                order or finding applies,
                  (C) the process of assembly or completion in 
                the United States is minor or insignificant, 
                and
                  (D) the value of the parts or components 
                referred to in subparagraph (B) is a 
                significant portion of the total value of the 
                merchandise,
        the administering authority, after taking into account 
        any advice provided by the Commission under subsection 
        (e), may include within the scope of such order or 
        finding the imported parts or components referred to in 
        subparagraph (B) that are used in the completion or 
        assembly of the merchandise in the United States at any 
        time such order or finding is in effect.
          (2) Determination of whether process is minor or 
        insignificant.--In determining whether the process of 
        assembly or completion is minor or insignificant under 
        paragraph (1)(C), the administering authority shall 
        take into account--
                  (A) the level of investment in the United 
                States,
                  (B) the level of research and development in 
                the United States,
                  (C) the nature of the production process in 
                the United States,
                  (D) the extent of production facilities in 
                the United States, and
                  (E) whether the value of the processing 
                performed in the United States represents a 
                small proportion of the value of the 
                merchandise sold in the United States.
          (3) Factors to consider.--In determining whether to 
        include parts or components in a countervailing or 
        antidumping duty order or finding under paragraph (1), 
        the administering authority shall take into account 
        such factors as--
                  (A) the pattern of trade, including sourcing 
                patterns,
                  (B) whether the manufacturer or exporter of 
                the parts or components is affiliated with the 
                person who assembles or completes the 
                merchandise sold in the United States from the 
                parts or components produced in the foreign 
                country with respect to which the order or 
                finding described in paragraph (1) applies, and
                  (C) whether imports into the United States of 
                the parts or components produced in such 
                foreign country have increased after the 
                initiation of the investigation which resulted 
                in the issuance of such order or finding.
    (b) Merchandise Completed or Assembled in Other Foreign 
Countries.--
          (1) In general.--If--
                  (A) merchandise imported into the United 
                States is of the same class or kind as any 
                merchandise produced in a foreign country that 
                is the subject of--
                          (i) an antidumping duty order issued 
                        under section 736,
                          (ii) a finding issued under the 
                        Antidumping Act, 1921, or
                          (iii) a countervailing duty order 
                        issued under section 706 or section 
                        303,
                  (B) before importation into the United 
                States, such imported merchandise is completed 
                or assembled in another foreign country from 
                merchandise which--
                          (i) is subject to such order or 
                        finding, or
                          (ii) is produced in the foreign 
                        country with respect to which such 
                        order or finding applies,
                  (C) the process of assembly or completion in 
                the foreign country referred to in subparagraph 
                (B) is minor or insignificant,
                  (D) the value of the merchandise produced in 
                the foreign country to which the antidumping 
                duty order applies is a significant portion of 
                the total value of the merchandise exported to 
                the United States, and
                  (E) the administering authority determines 
                that action is appropriate under this paragraph 
                to prevent evasion of such order or finding,
        the administering authority, after taking into account 
        any advice provided by the Commission under subsection 
        (e), may include such imported merchandise within the 
        scope of such order or finding at any time such order 
        or finding is in effect.
          (2) Determination of whether process is minor or 
        insignificant.--In determining whether the process of 
        assembly or completion is minor or insignificant under 
        paragraph (1)(C), the administering authority shall 
        take into account--
                  (A) the level of investment in the foreign 
                country,
                  (B) the level of research and development in 
                the foreign country,
                  (C) the nature of the production process in 
                the foreign country,
                  (D) the extent of production facilities in 
                the foreign country, and
                  (E) whether the value of the processing 
                performed in the foreign country represents a 
                small proportion of the value of the 
                merchandise imported into the United States.
          (3) Factors to consider.--In determining whether to 
        include merchandise assembled or completed in a foreign 
        country in a countervailing duty order or an 
        antidumping duty order or finding under paragraph (1), 
        the administering authority shall take into account 
        such factors as--
                  (A) the pattern of trade, including sourcing 
                patterns,
                  (B) whether the manufacturer or exporter of 
                the merchandise described in paragraph (1)(B) 
                is affiliated with the person who uses the 
                merchandise described in paragraph (1)(B) to 
                assemble or complete in the foreign country the 
                merchandise that is subsequently imported into 
                the United States, and
                  (C) whether imports into the foreign country 
                of the merchandise described in paragraph 
                (1)(B) have increased after the initiation of 
                the investigation which resulted in the 
                issuance of such order or finding.
  (c) Minor Alterations of Merchandise.--
          (1) In general.--The class or kind of merchandise 
        subject to--
                  (A) an investigation under this title,
                  (B) an antidumping duty order issued under 
                section 736,
                  (C) a finding issued under the Antidumping 
                Act, 1921, or
                  (D) a countervailing duty order issued under 
                section 706 or section 303,
        shall include articles altered in form or appearance in 
        minor respects (including raw agricultural products 
        that have undergone minor processing), whether or not 
        included in the same tariff classification.
          (2) Exception.--Paragraph (1) shall not apply with 
        respect to altered merchandise if the administering 
        authority determines that it would be unnecessary to 
        consider the altered merchandise within the scope of 
        the investigation, order, or finding.
  (d) Later-Developed Merchandise.--
          (1) In general.--For purposes of determining whether 
        merchandise developed after an investigation is 
        initiated under this title or section 303 (hereafter in 
        this paragraph referred to as the ``later-developed 
        merchandise'') is within the scope of an outstanding 
        antidumping or countervailing duty order issued under 
        this title or section 303 as a result of such 
        investigation, the administering authority shall 
        consider whether--
                  (A) the later-developed merchandise has the 
                same general physical characteristics as the 
                merchandise with respect to which the order was 
                originally issued (hereafter in this paragraph 
                referred to as the ``earlier product''),
                  (B) the expectations of the ultimate 
                purchasers of the later-developed merchandise 
                are the same as for the earlier product,
                  (C) the ultimate use of the earlier product 
                and the later-developed merchandise are the 
                same,
                  (D) the later-developed merchandise is sold 
                through the same channels of trade as the 
                earlier product, and
                  (E) the later-developed merchandise is 
                advertised and displayed in a manner similar to 
                the earlier product.
        The administering authority shall take into account any 
        advice provided by the Commission under subsection (e) 
        before making a determination under this subparagraph.
          (2) Exclusion from orders.--The administering 
        authority may not exclude a later-developed merchandise 
        from a countervailing or antidumping duty order merely 
        because the merchandise--
                  (A) is classified under a tariff 
                classification other than that identified in 
                the petition or the administering authority's 
                prior notices during the proceeding, or
                  (B) permits the purchaser to perform 
                additional functions, unless such additional 
                functions constitute the primary use of the 
                merchandise and the cost of the additional 
                functions constitute more than a significant 
                proportion of the total cost of production of 
                the merchandise.
  (e) Commission Advice.--
          (1) Notification to commission of proposed action.--
        Before making a determination--
                  (A) under subsection (a) with respect to 
                merchandise completed or assembled in the 
                United States (other than minor completion or 
                assembly),
                  (B) under subsection (b) with respect to 
                merchandise completed or assembled in other 
                foreign countries, or
                  (C) under subsection (d) with respect to any 
                later-developed merchandise which incorporates 
                a significant technological advance or 
                significant alteration of an earlier product,
        with respect to an antidumping or countervailing duty 
        order or finding as to which the Commission has made an 
        affirmative injury determination, the administering 
        authority shall notify the Commission of the proposed 
        inclusion of such merchandise in such countervailing or 
        antidumping order or finding. Notwithstanding any other 
        provision of law, a decision by the administering 
        authority regarding whether any merchandise is within a 
        category for which notice is required under this 
        paragraph is not subject to judicial review.
          (2) Request for consultation.--After receiving notice 
        under paragraph (1), the Commission may request 
        consultations with the administering authority 
        regarding the inclusion. Upon the request of the 
        Commission, the administering authority shall consult 
        with the Commission and any such consultation shall be 
        completed within 15 days after the date of the request.
          (3) Commission advice.--If the Commission believes, 
        after consultation under paragraph (2), that a 
        significant injury issue is presented by the proposed 
        inclusion, the Commission may provide written advice to 
        the administering authority as to whether the inclusion 
        would be inconsistent with the affirmative 
        determination of the Commission on which the order or 
        finding is based. If the Commission decides to provide 
        such written advice, it shall promptly notify the 
        administering authority of its intention to do so, and 
        must provide such advice within 60 days after the date 
        of notification under paragraph (1). For purposes of 
        formulating its advice with respect to merchandise 
        completed or assembled in the United States from parts 
        or components produced in a foreign country, the 
        Commission shall consider whether the inclusion of such 
        parts or components taken as a whole would be 
        inconsistent with its prior affirmative determination.
    (f) \499\ Time Limits for Administering Authority 
Determinations.--The administering authority shall, to the 
maximum extent practicable, make the determinations under this 
section within 300 days from the date of the initiation of a 
countervailing duty or antidumping circumvention inquiry under 
this section.
---------------------------------------------------------------------------
    \499\ Sec. 230(b) of Public Law 103-465 (108 Stat. 4893) added 
subsec. (f).
---------------------------------------------------------------------------

SEC. 782.\500\ CONDUCT OF INVESTIGATIONS AND ADMINISTRATIVE REVIEWS.

    (a) Treatment of Voluntary Responses in Countervailing or 
Antidumping Duty Investigations and Reviews.--In any 
investigation under subtitle A or B or a review under section 
751(a) in which the administering authority has, under section 
777A(c)(2) or section 777A(e)(2)(A) (whichever is applicable), 
limited the number of exporters or producers examined, or 
determined a single country-wide rate, the administering 
authority shall establish an individual countervailable subsidy 
rate or an individual weighted average dumping margin for any 
exporter or producer not initially selected for individual 
examination under such sections who submits to the 
administering authority the information requested from 
exporters or producers selected for examination, if--
---------------------------------------------------------------------------
    \500\ 19 U.S.C. 1677m. Sec. 231(a) of Public Law 103-465 (108 Stat. 
4893) added sec. 782.
---------------------------------------------------------------------------
          (1) such information is so submitted by the date 
        specified--
                  (A) for exporters and producers that were 
                initially selected for examination, or
                  (B) for the foreign government, in a 
                countervailing duty case where the 
                administering authority has determined a single 
                country-wide rate; and
          (2) the number of exporters or producers who have 
        submitted such information is not so large that 
        individual examination of such exporters or producers 
        would be unduly burdensome and inhibit the timely 
        completion of the investigation.
    (b) Certification of Submissions.--Any person providing 
factual information to the administering authority or the 
Commission in connection with a proceeding under this title on 
behalf of the petitioner or any other interested party shall 
certify that such information is accurate and complete to the 
best of that person's knowledge.
    (c) Difficulties in Meeting Requirements.--
          (1) Notification by interested party.--If an 
        interested party, promptly after receiving a request 
        from the administering authority or the Commission for 
        information, notifies the administering authority or 
        the Commission (as the case may be) that such party is 
        unable to submit the information requested in the 
        requested form and manner, together with a full 
        explanation and suggested alternative forms in which 
        such party is able to submit the information, the 
        administering authority or the Commission (as the case 
        may be) shall consider the ability of the interested 
        party to submit the information in the requested form 
        and manner and may modify such requirements to the 
        extent necessary to avoid imposing an unreasonable 
        burden on that party.
          (2) Assistance to interested parties.--The 
        administering authority and the Commission shall take 
        into account any difficulties experienced by interested 
        parties, particularly small companies, in supplying 
        information requested by the administering authority or 
        the Commission in connection with investigations and 
        reviews under this title, and shall provide to such 
        interested parties any assistance that is practicable 
        in supplying such information.
    (d) Deficient Submissions.--If the administering authority 
or the Commission determines that a response to a request for 
information under this title does not comply with the request, 
the administering authority or the Commission (as the case may 
be) shall promptly inform the person submitting the response of 
the nature of the deficiency and shall, to the extent 
practicable, provide that person with an opportunity to remedy 
or explain the deficiency in light of the time limits 
established for the completion of investigations or reviews 
under this title. If that person submits further information in 
response to such deficiency and either--
          (1) the administering authority or the Commission (as 
        the case may be) finds that such response is not 
        satisfactory, or
          (2) such response is not submitted within the 
        applicable time limits,
then the administering authority or the Commission (as the case 
may be) may, subject to subsection (e), disregard all or part 
of the original and subsequent responses.
    (e) Use of Certain Information.--In reaching a 
determination under section 703, 705, 733, 735, 751, or 753 the 
administering authority and the Commission shall not decline to 
consider information that is submitted by an interested party 
and is necessary to the determination but does not meet all the 
applicable requirements established by the administering 
authority or the Commission, if--
          (1) the information is submitted by the deadline 
        established for its submission,
          (2) the information can be verified,
          (3) the information is not so incomplete that it 
        cannot serve as a reliable basis for reaching the 
        applicable determination,
          (4) the interested party has demonstrated that it 
        acted to the best of its ability in providing the 
        information and meeting the requirements established by 
        the administering authority or the Commission with 
        respect to the information, and
          (5) the information can be used without undue 
        difficulties.
    (f) Nonacceptance of Submissions.--If the administering 
authority or the Commission declines to accept into the record 
any information submitted in an investigation or review under 
this title, it shall, to the extent practicable, provide to the 
person submitting the information a written explanation of the 
reasons for not accepting the information.
    (g) Public Comment on Information.--Information that is 
submitted on a timely basis to the administering authority or 
the Commission during the course of a proceeding under this 
title shall be subject to comment by other parties to the 
proceeding within such reasonable time as the administering 
authority or the Commission shall provide. The administering 
authority and the Commission, before making a final 
determination under section 705, 735, 751, or 753 shall cease 
collecting information and shall provide the parties with a 
final opportunity to comment on the information obtained by the 
administering authority or the Commission (as the case may be) 
upon which the parties have not previously had an opportunity 
to comment. Comments containing new factual information shall 
be disregarded.
    (h) Termination of Investigation or Revocation of Order for 
Lack of Interest.--The administering authority may--
          (1) terminate an investigation under subtitle A or B 
        with respect to a domestic like product if, prior to 
        publication of an order under section 706 or 736, the 
        administering authority determines that producers 
        accounting for substantially all of the production of 
        that domestic like product have expressed a lack of 
        interest in issuance of an order; and
          (2) revoke an order issued under section 706 or 736 
        with respect to a domestic like product, or terminate 
        an investigation suspended under section 704 or 734 
        with respect to a domestic like product, if the 
        administering authority determines that producers 
        accounting for substantially all of the production of 
        that domestic like product, have expressed a lack of 
        interest in the order or suspended investigation.
    (i) Verification.--The administering authority shall verify 
all information relied upon in making--
          (1) a final determination in an investigation,
          (2) a revocation under section 751(d), and
          (3) a final determination in a review under section 
        751(a), if--
                  (A) verification is timely requested by an 
                interested party as defined in section 
                771(9)(C), (D), (E), (F), or (G), and
                  (B) no verification was made under this 
                subparagraph during the 2 immediately preceding 
                reviews and determinations under section 751(a) 
                of the same order, finding, or notice, except 
                that this clause shall not apply if good cause 
                for verification is shown.

SEC. 783.\501\ ANTIDUMPING PETITIONS BY THIRD COUNTRIES.

    (a) Filing of Petition.--The government of a WTO member may 
file with the Trade Representative a petition requesting that 
an investigation be conducted to determine if--
---------------------------------------------------------------------------
    \501\ 19 U.S.C. 1677n. Sec. 232(a) of Public Law 103-465 (108 Stat. 
4897) added sec. 783.
---------------------------------------------------------------------------
          (1) imports from another country are being sold in 
        the United States at less than fair value, and
          (2) an industry in the petitioning country is 
        materially injured by reason of those imports.
    (b) Initiation.--The Trade Representative, after 
consultation with the administering authority and the 
Commission and obtaining the approval of the WTO Council for 
Trade in Goods, shall determine whether to initiate an 
investigation described in subsection (a).
    (c) Determinations.--Upon initiation of an investigation 
under this section, the Trade Representative shall request the 
following determinations be made according to substantive and 
procedural requirements specified by the Trade Representative, 
notwithstanding any other provision of this title:
          (1) The administering authority shall determine 
        whether imports into the United States of the subject 
        merchandise are being sold at less than fair value.
          (2) The Commission shall determine whether an 
        industry in the petitioning country is materially 
        injured by reason of imports of the subject merchandise 
        into the United States.
    (d) Public Comment.--An opportunity for public comment 
shall be provided, as appropriate--
          (1) by the Trade Representative, in making the 
        determination required by subsection (b), and
          (2) by the administering authority and the 
        Commission, in making the determination required by 
        subsection (c).
    (e) Issuance of Order.--If the administering authority 
makes an affirmative determination under paragraph (1) of 
subsection (c), and the Commission makes an affirmative 
determination under paragraph (2) of subsection (c), the 
administering authority shall issue an antidumping duty order 
in accordance with section 736 and take such other actions as 
are required by section 736.
    (f) Reviews of Determinations.--For purposes of review 
under section 516A or review under section 751, if an order is 
issued under subsection (e),\502\ the final determinations of 
the administering authority and the Commission under this 
section shall be treated as final determinations made under 
section 735.
---------------------------------------------------------------------------
    \502\ Sec. 20(b)(17) of Public Law 104-295 (110 Stat. 3528) struck 
out ``subsection (d)'' and inserted in lieu thereof ``subsection (e)''.
---------------------------------------------------------------------------
    (g) Access to Information.--Section 777 shall apply to 
investigations under this section, to the extent specified by 
the Trade Representative, after consultation with the 
administering authority and the Commission.
                 (7) Trade and Development Act of 2000

Partial text of Public Law 106-200 [H.R. 434], 114 Stat. 251, approved 
                              May 18, 2000

 AN ACT To authorize a new trade and investment policy for sub-Saharan 
Africa, expand trade benefits to the countries in the Caribbean Basin, 
renew the generalized system of preferences, and reauthorize the trade 
                    adjustment assistance programs.

  Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

SECTION 1.\1\ SHORT TITLE; TABLE OF CONTENTS.

  (a) Short Title.--This Act may be cited as the ``Trade and 
Development Act of 2000''.
---------------------------------------------------------------------------
    \1\ 19 U.S.C. 3701 note.
---------------------------------------------------------------------------
  (b) \2\ * * *
---------------------------------------------------------------------------
    \2\ Para. (b) provides the table of contents for the Act.
---------------------------------------------------------------------------
          * * * * * * *

   TITLE I--EXTENSION OF CERTAIN TRADE BENEFITS TO SUB-SAHARAN AFRICA

            Subtitle A--Trade Policy for Sub-Saharan Africa

SEC. 101.\3\ SHORT TITLE.
---------------------------------------------------------------------------

    \3\ 19 U.S.C. 3701 note.
---------------------------------------------------------------------------
  This title may be cited as the ``African Growth and 
Opportunity Act''.

SEC. 102.\4\ FINDINGS.
---------------------------------------------------------------------------

    \4\ 19 U.S.C. 3701.
---------------------------------------------------------------------------
  Congress finds that--
          (1) it is in the mutual interest of the United States 
        and the countries of sub-Saharan Africa to promote 
        stable and sustainable economic growth and development 
        in sub-Saharan Africa;
          (2) the 48 countries of sub-Saharan Africa form a 
        region richly endowed with both natural and human 
        resources;
          (3) sub-Saharan Africa represents a region of 
        enormous economic potential and of enduring political 
        significance to the United States;
          (4) the region has experienced the strengthening of 
        democracy as countries in sub-Saharan Africa have taken 
        steps to encourage broader participation in the 
        political process;
          (5) certain countries in sub-Saharan Africa have 
        increased their economic growth rates, taken 
        significant steps towards liberalizing their economies, 
        and made progress toward regional economic integration 
        that can have positive benefits for the region;
          (6) despite those gains, the per capita income in 
        sub-Saharan Africa averages approximately $500 
        annually;
          (7) trade and investment, as the American experience 
        has shown, can represent powerful tools both for 
        economic development and for encouraging broader 
        participation in a political process in which political 
        freedom can flourish;
          (8) increased trade and investment flows have the 
        greatest impact in an economic environment in which 
        trading partners eliminate barriers to trade and 
        capital flows and encourage the development of a 
        vibrant private sector that offers individual African 
        citizens the freedom to expand their economic 
        opportunities and provide for their families;
          (9) offering the countries of sub-Saharan Africa 
        enhanced trade preferences will encourage both higher 
        levels of trade and direct investment in support of the 
        positive economic and political developments under way 
        throughout the region; and
          (10) encouraging the reciprocal reduction of trade 
        and investment barriers in Africa will enhance the 
        benefits of trade and investment for the region as well 
        as enhance commercial and political ties between the 
        United States and sub-Saharan Africa.

SEC. 103.\5\ STATEMENT OF POLICY.
---------------------------------------------------------------------------

    \5\ 19 U.S.C. 3702.
---------------------------------------------------------------------------
  Congress supports--
          (1) encouraging increased trade and investment 
        between the United States and sub-Saharan Africa;
          (2) reducing tariff and nontariff barriers and other 
        obstacles to sub-Saharan African and United States 
        trade;
          (3) expanding United States assistance to sub-Saharan 
        Africa's regional integration efforts;
          (4) negotiating reciprocal and mutually beneficial 
        trade agreements, including the possibility of 
        establishing free trade areas that serve the interests 
        of both the United States and the countries of sub-
        Saharan Africa;
          (5) focusing on countries committed to the rule of 
        law, economic reform, and the eradication of poverty;
          (6) strengthening and expanding the private sector in 
        sub-Saharan Africa, especially enterprises owned by 
        women and small businesses;
          (7) facilitating the development of civil societies 
        and political freedom in sub-Saharan Africa;
          (8) establishing a United States-Sub-Saharan Africa 
        Trade and Economic Cooperation Forum; and
          (9) the accession of the countries in sub-Saharan 
        Africa to the Organization for Economic Cooperation and 
        Development (OECD) Convention on Combating Bribery of 
        Foreign Public Officials in International Business 
        Transactions.

SEC. 104.\6\ ELIGIBILITY REQUIREMENTS.
---------------------------------------------------------------------------

    \6\ 19 U.S.C. 3703.
---------------------------------------------------------------------------
  (a) In General.--The President is authorized to designate a 
sub-Saharan African country as an eligible sub-Saharan African 
country if the President determines that the country--
          (1) has established, or is making continual progress 
        toward establishing--
                  (A) a market-based economy that protects 
                private property rights, incorporates an open 
                rules-based trading system, and minimizes 
                government interference in the economy through 
                measures such as price controls, subsidies, and 
                government ownership of economic assets;
                  (B) the rule of law, political pluralism, and 
                the right to due process, a fair trial, and 
                equal protection under the law;
                  (C) the elimination of barriers to United 
                States trade and investment, including by--
                          (i) the provision of national 
                        treatment and measures to create an 
                        environment conducive to domestic and 
                        foreign investment;
                          (ii) the protection of intellectual 
                        property; and
                          (iii) the resolution of bilateral 
                        trade and investment disputes;
                  (D) economic policies to reduce poverty, 
                increase the availability of health care and 
                educational opportunities, expand physical 
                infrastructure, promote the development of 
                private enterprise, and encourage the formation 
                of capital markets through micro-credit or 
                other programs;
                  (E) a system to combat corruption and 
                bribery, such as signing and implementing the 
                Convention on Combating Bribery of Foreign 
                Public Officials in International Business 
                Transactions; and
                  (F) protection of internationally recognized 
                worker rights, including the right of 
                association, the right to organize and bargain 
                collectively, a prohibition on the use of any 
                form of forced or compulsory labor, a minimum 
                age for the employment of children, and 
                acceptable conditions of work with respect to 
                minimum wages, hours of work, and occupational 
                safety and health;
          (2) does not engage in activities that undermine 
        United States national security or foreign policy 
        interests; and
          (3) does not engage in gross violations of 
        internationally recognized human rights or provide 
        support for acts of international terrorism and 
        cooperates in international efforts to eliminate human 
        rights violations and terrorist activities.
  (b) Continuing Compliance.--If the President determines that 
an eligible sub-Saharan African country is not making continual 
progress in meeting the requirements described in subsection 
(a)(1), the President shall terminate the designation of the 
country made pursuant to subsection (a).

SEC. 105.\7\ UNITED STATES-SUB-SAHARAN AFRICA TRADE AND ECONOMIC 
                    COOPERATION FORUM.
---------------------------------------------------------------------------

    \7\ 19 U.S.C. 3704.
---------------------------------------------------------------------------
  (a) Declaration of Policy.--The President shall convene 
annual high-level meetings between appropriate officials of the 
United States Government and officials of the governments of 
sub-Saharan African countries in order to foster close economic 
ties between the United States and sub-Saharan Africa.
  (b) Establishment.--Not later than 12 months after the date 
of the enactment of this Act, the President, after consulting 
with Congress and the governments concerned, shall establish a 
United States-Sub-Saharan Africa Trade and Economic Cooperation 
Forum (in this section referred to as the ``Forum'').
  (c) Requirements.--In creating the Forum, the President shall 
meet the following requirements:
          (1) The President shall direct the Secretary of 
        Commerce, the Secretary of the Treasury, the Secretary 
        of State, and the United States Trade Representative to 
        host the first annual meeting with their counterparts 
        from the governments of sub-Saharan African countries 
        eligible under section 104, and those sub-Saharan 
        African countries that the President determines are 
        taking substantial positive steps towards meeting the 
        eligibility requirements in section 104. The purpose of 
        the meeting shall be to discuss expanding trade and 
        investment relations between the United States and sub-
        Saharan Africa and the implementation of this title 
        including encouraging joint ventures between small and 
        large businesses. The President shall also direct the 
        Secretaries and the United States Trade Representative 
        to invite to the meeting representatives from 
        appropriate sub-Saharan African regional organizations 
        and government officials from other appropriate 
        countries in sub-Saharan Africa.
          (2)(A) The President, in consultation with the 
        Congress, shall encourage United States nongovernmental 
        organizations to host annual meetings with 
        nongovernmental organizations from sub-Saharan Africa 
        in conjunction with the annual meetings of the Forum 
        for the purpose of discussing the issues described in 
        paragraph (1).
          (B) The President, in consultation with the Congress, 
        shall encourage United States representatives of the 
        private sector to host annual meetings with 
        representatives of the private sector from sub-Saharan 
        Africa in conjunction with the annual meetings of the 
        Forum for the purpose of discussing the issues 
        described in paragraph (1).
          (3) The President shall, to the extent practicable, 
        meet with the heads of governments of sub-Saharan 
        African countries eligible under section 104, and those 
        sub-Saharan African countries that the President 
        determines are taking substantial positive steps toward 
        meeting the eligibility requirements in section 104, 
        not less than once every 2 years for the purpose of 
        discussing the issues described in paragraph (1). The 
        first such meeting should take place not later than 12 
        months after the date of the enactment of this Act.
  (d) Dissemination of Information by USIS.--In order to assist 
in carrying out the purposes of the Forum, the United States 
Information Service shall disseminate regularly, through 
multiple media, economic information in support of the free 
market economic reforms described in this title.
  (e) HIV/AIDS Effect on the sub-Saharan African Workforce.--In 
selecting issues of common interest to the United States-Sub-
Saharan Africa Trade and Economic Cooperation Forum, the 
President shall instruct the United States delegates to the 
Forum to promote a review by the Forum of the HIV/AIDS epidemic 
in each sub-Saharan African country and the effect of the HIV/
AIDS epidemic on economic development in each country.

SEC. 106.\8\ REPORTING REQUIREMENT.

  The President shall submit to the Congress, not later than 1 
year after the date of the enactment of this Act, and annually 
thereafter through 2008, a comprehensive report on the trade 
and investment policy of the United States for sub-Saharan 
Africa, and on the implementation of this title and the 
amendments made by this title.
---------------------------------------------------------------------------
    \8\ 19 U.S.C. 3705.
---------------------------------------------------------------------------

SEC. 107.\9\ SUB-SAHARAN AFRICA DEFINED.
---------------------------------------------------------------------------

    \9\ 19 U.S.C. 3706.
---------------------------------------------------------------------------
  For purposes of this title, the terms ``sub-Saharan Africa'', 
``sub-Saharan African country'', ``country in sub-Saharan 
Africa'', and ``countries in sub-Saharan Africa'' refer to the 
following or any successor political entities:
          Republic of Angola (Angola).
          Republic of Benin (Benin).\10\,\11\
---------------------------------------------------------------------------
    \10\ On October 2, 2000, in Presidential Proclamation 7350 (65 F.R. 
59321), the President designated these countries as beneficiary sub-
Saharan African countries persuant to sec. 506A(a) of the Trade Act of 
1974. In addtion, the President authorized the United States Trade 
Representative (USTR) ``to perform the functions specified in sections 
112(c) and 113(b)(1)(B) of the AGOA [African Growth and Opportunity 
Act] and to make the findings identified in section 113(a) of the AGOA 
and to perform certain functions under section 604 of the 1974 Act.'' 
The President also determined that ``it is appropriate to authorize the 
USTR to determine the effective date of [Sierra Leone's] designation as 
a beneficiary sub-Saharan African country.''.
    \11\ On October 2, 2000, in Presidential Proclamation 7350 (65 F.R. 
53921), the President designated these countries as lesser developed 
beneficiary sub-Saharan African countries for purposes of sec. 
112(b)(3)(b) of the AGOA.
---------------------------------------------------------------------------
          Republic of Botswana (Botswana).\10\
          Burkina Faso (Burkina).
          Republic of Burundi (Burundi).
          Republic of Cameroon (Cameroon).\10\,\11\
          Republic of Cape Verde (Cape 
        Verde).\10\,\11\
          Central African Republic.\10\,\11\
          Republic of Chad (Chad).\10\,\11\
          Federal Islamic Republic of the Comoros (Comoros).
          Democratic Republic of Congo.
          Republic of the Congo (Congo).\10\,\11\
          Republic of Cote d'Ivoire (Cote d'Ivoire).
          Republic of Djibouti (Djibouti).\10\,\11\
          Republic of Equatorial Guinea (Equatorial Guinea).
          State of Eritrea (Eritrea).\10\,\11\
          Ethiopia.\10\,\11\
          Gabonese Republic (Gabon).\10\
          Republic of the Gambia (Gambia).
          Republic of Ghana (Ghana).\10\,\11\
          Republic of Guinea (Guinea).\10\,\11\
          Republic of Guinea-Bissau (Guinea-
        Bissau).\10\,\11\
          Republic of Kenya (Kenya).\10\,\11\
          Kingdom of Lesotho (Lesotho).\10\,\11\
          Republic of Liberia (Liberia).
          Republic of Madagascar 
        (Madagascar).\10\,\11\
          Republic of Malawi (Malawi).\10\,\11\
          Republic of Mali (Mali).\10\,\11\
          Islamic Republic of Mauritania 
        (Mauritania).\10\,\11\
          Republic of Mauritius (Mauritius).\10\
          Republic of Mozambique 
        (Mozambique).\10\,\11\
          Republic of Namibia (Namibia).\10\
          Republic of Niger (Niger).\10\,\11\
          Federal Republic of Nigeria 
        (Nigeria).\10\,\11\
          Republic of Rwanda (Rwanda).\10\,\11\
          Democratic Republic of Sao Tomei and Principe (Sao 
        Tomei and Principe).\10\,\11\
          Republic of Senegal (Senegal).\10\,\11\
          Republic of Seychelles (Seychelles).\10\
          Republic of Sierra Leone (Sierra 
        Leone).\10\,\11\
          Somalia.
          Republic of South Africa (South Africa).\10\
          Republic of Sudan (Sudan).
          Kingdom of Swaziland (Swaziland).
          United Republic of Tanzania 
        (Tanzania).\10\,\11\
          Republic of Togo (Togo).
          Republic of Uganda (Uganda).\10\,\11\
          Republic of Zambia (Zambia).\10\,\11\
          Republic of Zimbabwe (Zimbabwe).

                       Subtitle B--Trade Benefits

SEC. 111.\12\ ELIGIBILITY FOR CERTAIN BENEFITS * * *
---------------------------------------------------------------------------

    \12\ Sec. 111 amends the Trade Act of 1974 by inserting a new sec. 
506A (19 U.S.C. 2466a).
---------------------------------------------------------------------------

SEC. 112.\13\ TREATMENT OF CERTAIN TEXTILES AND APPAREL.
---------------------------------------------------------------------------

    \13\ 19 U.S.C. 3721.
---------------------------------------------------------------------------
  (a) Preferential Treatment.--Textile and apparel articles 
described in subsection (b) that are imported directly into the 
customs territory of the United States from a beneficiary sub-
Saharan African country described in section 506A(c) of the 
Trade Act of 1974, shall enter the United States free of duty 
and free of any quantitative limitations in accordance with the 
provisions set forth in subsection (b), if the country has 
satisfied the requirements set forth in section 113.
  (b) Products Covered.--The preferential treatment described 
in subsection (a) shall apply only to the following textile and 
apparel products:
          (1) Apparel articles assembled in beneficiary sub-
        saharan african countries.--Apparel articles assembled 
        in one or more beneficiary sub-Saharan African 
        countries from fabrics wholly formed and cut in the 
        United States, from yarns wholly formed in the United 
        States, (including fabrics not formed from yarns, if 
        such fabrics are classifiable under heading 5602 or 
        5603 of the Harmonized Tariff Schedule of the United 
        States and are wholly formed and cut in the United 
        States) that are--
                  (A) entered under subheading 9802.00.80 of 
                the Harmonized Tariff Schedule of the United 
                States; or
                  (B) entered under chapter 61 or 62 of the 
                Harmonized Tariff Schedule of the United 
                States, if, after such assembly, the articles 
                would have qualified for entry under subheading 
                9802.00.80 of the Harmonized Tariff Schedule of 
                the United States but for the fact that the 
                articles were embroidered or subjected to 
                stone-washing, enzyme-washing, acid washing, 
                perma-pressing, oven-baking, bleaching, 
                garment-dyeing, screen printing, or other 
                similar processes.
          (2) Apparel articles cut and assembled in beneficiary 
        sub-saharan african countries.--Apparel articles cut in 
        one or more beneficiary sub-Saharan African countries 
        from fabric wholly formed in the United States from 
        yarns wholly formed in the United States, (including 
        fabrics not formed from yarns, if such fabrics are 
        classifiable under heading 5602 or 5603 of the 
        Harmonized Tariff Schedule of the United States and are 
        wholly formed in the United States) if such articles 
        are assembled in one or more beneficiary sub-Saharan 
        African countries with thread formed in the United 
        States.
          (3) Apparel articles assembled from regional and 
        other fabric.--Apparel articles wholly assembled in one 
        or more beneficiary sub-Saharan African countries from 
        fabric wholly formed in one or more beneficiary sub-
        Saharan African countries from yarn originating either 
        in the United States or one or more beneficiary sub-
        Saharan African countries (including fabrics not formed 
        from yarns, if such fabrics are classifiable under 
        heading 5602 or 5603 of the Harmonized Tariff Schedule 
        of the United States and are wholly formed and cut in 
        one or more beneficiary sub-Saharan African countries), 
        subject to the following:
                  (A) Limitations on benefits.--
                          (i) In general.--Preferential 
                        treatment under this paragraph shall be 
                        extended in the 1-year period beginning 
                        on October 1, 2000, and in each of the 
                        seven succeeding 1-year periods, to 
                        imports of apparel articles in an 
                        amount not to exceed the applicable 
                        percentage of the aggregate square 
                        meter equivalents of all apparel 
                        articles imported into the United 
                        States in the preceding 12-month period 
                        for which data are available.
                          (ii)  Applicable percentage.--For 
                        purposes of this subparagraph, the term 
                        ``applicable percentage'' means 1.5 
                        percent for the 1-year period beginning 
                        October 1, 2000, increased in each of 
                        the seven succeeding 1-year periods by 
                        equal increments, so that for the 
                        period beginning October 1, 2007, the 
                        applicable percentage does not exceed 
                        3.5 percent.
                  (B) Special rule for lesser developed 
                countries.--
                          (i) In general.--Subject to 
                        subparagraph (A), preferential 
                        treatment shall be extended through 
                        September 30, 2004, for apparel 
                        articles wholly assembled in one or 
                        more lesser developed beneficiary sub-
                        Saharan African countries regardless of 
                        the country of origin of the fabric 
                        used to make such articles.
                          (ii) Lesser developed beneficiary 
                        sub-saharan african country.--For 
                        purposes of this subparagraph the term 
                        ``lesser developed beneficiary sub-
                        Saharan African country'' means a 
                        beneficiary sub-Saharan African country 
                        that had a per capita gross national 
                        product of less than $1,500 a year in 
                        1998, as measured by the World Bank.
                  (C) Surge mechanism.--
                          (i) Import monitoring.--The Secretary 
                        of Commerce shall monitor imports of 
                        articles described in this paragraph on 
                        a monthly basis to determine if there 
                        has been a surge in imports of such 
                        articles. In order to permit public 
                        access to preliminary international 
                        trade data and to facilitate the early 
                        identification of potentially 
                        disruptive import surges, the Director 
                        of the Office of Management and Budget 
                        may grant an exception to the 
                        publication dates established for the 
                        release of data on United States 
                        international trade in covered 
                        articles, if the Director notifies 
                        Congress of the early release of the 
                        data.
                          (ii) Determination of damage or 
                        threat thereof.--Whenever the Secretary 
                        of Commerce determines, based on the 
                        data described in clause (i), or 
                        pursuant to a written request made by 
                        an interested party, that there has 
                        been a surge in imports of an article 
                        described in this paragraph from a 
                        beneficiary sub-Saharan African 
                        country, the Secretary shall determine 
                        whether such article from such country 
                        is being imported in such increased 
                        quantities as to cause serious damage, 
                        or threat thereof, to the domestic 
                        industry producing a like or directly 
                        competitive article. If the Secretary's 
                        determination is affirmative, the 
                        President shall suspend the duty-free 
                        treatment provided for such article 
                        under this paragraph. If the inquiry is 
                        initiated at the request of an 
                        interested party, the Secretary shall 
                        make the determination within 60 days 
                        after the date of the request.
                          (iii) Factors to consider.--In 
                        determining whether a domestic industry 
                        has been seriously damaged, or is 
                        threatened with serious damage, the 
                        Secretary shall examine the effect of 
                        the imports on relevant economic 
                        indicators such as domestic production, 
                        sales, market share, capacity 
                        utilization, inventories, employment, 
                        profits, exports, prices, and 
                        investment.
                          (iv) Procedure.--
                                  (I) Initiation.--The 
                                Secretary of Commerce shall 
                                initiate an inquiry within 10 
                                days after receiving a written 
                                request and supporting 
                                information for an inquiry from 
                                an interested party. Notice of 
                                initiation of an inquiry shall 
                                be published in the Federal 
                                Register.
                                  (II) Participation by 
                                interested parties.--The 
                                Secretary of Commerce shall 
                                establish procedures to ensure 
                                participation in the inquiry by 
                                interested parties.
                                  (III) Notice of 
                                determination.--The Secretary 
                                shall publish the determination 
                                described in clause (ii) in the 
                                Federal Register.
                                  (IV) Information available.--
                                If relevant information is not 
                                available on the record or any 
                                party withholds information 
                                that has been requested by the 
                                Secretary, the Secretary shall 
                                make the determination on the 
                                basis of the facts available. 
                                When the Secretary relies on 
                                information submitted in the 
                                inquiry as facts available, the 
                                Secretary shall, to the extent 
                                practicable, corroborate the 
                                information from independent 
                                sources that are reasonably 
                                available to the Secretary.
                          (v) Interested party.--For purposes 
                        of this subparagraph, the term 
                        ``interested party'' means any producer 
                        of a like or directly competitive 
                        article, a certified union or 
                        recognized union or group of workers 
                        which is representative of an industry 
                        engaged in the manufacture, production, 
                        or sale in the United States of a like 
                        or directly competitive article, a 
                        trade or business association 
                        representing producers or sellers of 
                        like or directly competitive articles, 
                        producers engaged in the production of 
                        essential inputs for like or directly 
                        competitive articles, a certified union 
                        or group of workers which is 
                        representative of an industry engaged 
                        in the manufacture, production, or sale 
                        of essential inputs for the like or 
                        directly competitive article, or a 
                        trade or business association 
                        representing companies engaged in the 
                        manufacture, production, or sale of 
                        such essential inputs.
          (4) Sweaters knit-to-shape from cashmere or merino 
        wool.--
                  (A) Cashmere.--Sweaters, in chief weight of 
                cashmere, knit-to-shape in one or more 
                beneficiary sub-Saharan African countries and 
                classifiable under subheading 6110.10 of the 
                Harmonized Tariff Schedule of the United 
                States.
                  (B) Merino wool.--Sweaters, 50 percent or 
                more by weight of wool measuring 18.5 microns 
                in diameter or finer, knit-to-shape in one or 
                more beneficiary sub-Saharan African countries.
          (5) Apparel articles wholly assembled from fabric or 
        yarn not available in commercial quantities in the 
        united states.--
                  (A) In general.--Apparel articles that are 
                both cut (or knit-to-shape) and sewn or 
                otherwise assembled in one or more beneficiary 
                sub-Saharan African countries, from fabric or 
                yarn that is not formed in the United States or 
                a beneficiary sub-Saharan African country, to 
                the extent that apparel articles of such 
                fabrics or yarns would be eligible for 
                preferential treatment, without regard to the 
                source of the fabric or yarn, under Annex 401 
                to the NAFTA.
                  (B) Additional apparel articles.--At the 
                request of any interested party and subject to 
                the following requirements, the President is 
                authorized to proclaim the treatment provided 
                under subparagraph (A) for yarns or fabrics not 
                described in subparagraph (A) if--
                          (i) the President determines that 
                        such yarns or fabrics cannot be 
                        supplied by the domestic industry in 
                        commercial quantities in a timely 
                        manner;
                          (ii) the President has obtained 
                        advice regarding the proposed action 
                        from the appropriate advisory committee 
                        established under section 135 of the 
                        Trade Act of 1974 (19 U.S.C. 2155) and 
                        the United States International Trade 
                        Commission;
                          (iii) within 60 calendar days after 
                        the request, the President has 
                        submitted a report to the Committee on 
                        Ways and Means of the House of 
                        Representatives and the Committee on 
                        Finance of the Senate that sets forth--
                                  (I) the action proposed to be 
                                proclaimed and the reasons for 
                                such action; and
                                  (II) the advice obtained 
                                under clause (ii);
                          (iv) a period of 60 calendar days, 
                        beginning with the first day on which 
                        the President has met the requirements 
                        of subclauses (I) and (II) of clause 
                        (iii), has expired; and
                          (v) the President has consulted with 
                        such committees regarding the proposed 
                        action during the period referred to in 
                        clause (iii).
          (6) Handloomed, handmade, and folklore articles.--A 
        handloomed, handmade, or folklore article of a 
        beneficiary sub-Saharan African country or countries 
        that is certified as such by the competent authority of 
        such beneficiary country or countries. For purposes of 
        this paragraph, the President, after consultation with 
        the beneficiary sub-Saharan African country or 
        countries concerned, shall determine which, if any, 
        particular textile and apparel goods of the country (or 
        countries) shall be treated as being handloomed, 
        handmade, or folklore articles.
  (c) Treatment of Quotas on Textile and Apparel Imports from 
Kenya and Mauritius.--The President shall eliminate the 
existing quotas on textile and apparel articles imported into 
the United States--
          (1) from Kenya within 30 days after that country 
        adopts an effective visa system to prevent unlawful 
        transshipment of textile and apparel articles and the 
        use of counterfeit documents relating to the 
        importation of the articles into the United States; and
          (2) from Mauritius within 30 days after that country 
        adopts such a visa system.
The Customs Service shall provide the necessary technical 
assistance to Kenya and Mauritius in the development and 
implementation of the visa systems.
  (d) Special Rules.--
          (1) Findings and trimmings.--
                  (A) General rule.--An article otherwise 
                eligible for preferential treatment under this 
                section shall not be ineligible for such 
                treatment because the article contains findings 
                or trimmings of foreign origin, if the value of 
                such findings and trimmings do not exceed 25 
                percent of the cost of the components of the 
                assembled article. Examples of findings and 
                trimmings are sewing thread, hooks and eyes, 
                snaps, buttons, ``bow buds'', decorative lace 
                trim, elastic strips, and zippers, including 
                zipper tapes and labels. Elastic strips are 
                considered findings or trimmings only if they 
                are each less than 1 inch in width and used in 
                the production of brassieres.
                  (B) Certain interlinings.--
                          (i) General rule.--An article 
                        otherwise eligible for preferential 
                        treatment under this section shall not 
                        be ineligible for such treatment 
                        because the article contains certain 
                        interlinings of foreign origin, if the 
                        value of such interlinings (and any 
                        findings and trimmings) does not exceed 
                        25 percent of the cost of the 
                        components of the assembled article.
                          (ii) Interlinings described.--
                        Interlinings eligible for the treatment 
                        described in clause (i) include only a 
                        chest type plate, a ``hymo'' piece, or 
                        ``sleeve header'', of woven or weft-
                        inserted warp knit construction and of 
                        coarse animal hair or man-made 
                        filaments.
                          (iii) Termination of treatment.--The 
                        treatment described in this 
                        subparagraph shall terminate if the 
                        President makes a determination that 
                        United States manufacturers are 
                        producing such interlinings in the 
                        United States in commercial quantities.
                  (C) Exception.--In the case of an article 
                described in subsection (b)(2), sewing thread 
                shall not be treated as findings or trimmings 
                under subparagraph (A).
          (2) De minimis rule.--An article otherwise eligible 
        for preferential treatment under this section shall not 
        be ineligible for such treatment because the article 
        contains fibers or yarns not wholly formed in the 
        United States or one or more beneficiary sub-Saharan 
        African countries if the total weight of all such 
        fibers and yarns is not more than 7 percent of the 
        total weight of the article.
  (e) Definitions.--In this section and section 113:
          (1) Agreement on textiles and clothing.--The term 
        ``Agreement on Textiles and Clothing'' means the 
        Agreement on Textiles and Clothing referred to in 
        section 101(d)(4) of the Uruguay Round Agreements Act 
        (19 U.S.C. 3511(d)(4)).
          (2) Beneficiary sub-saharan african country, etc.--
        The terms ``beneficiary sub-Saharan African country'' 
        and ``beneficiary sub-Saharan African countries'' have 
        the same meaning as such terms have under section 
        506A(c) of the Trade Act of 1974.
          (3) NAFTA.--The term ``NAFTA'' means the North 
        American Free Trade Agreement entered into between the 
        United States, Mexico, and Canada on December 17, 1992.
  (f ) Effective Date.--This section takes effect on October 1, 
2000, and shall remain in effect through September 30, 2008.

SEC. 113.\14\ PROTECTIONS AGAINST TRANSSHIPMENT.
---------------------------------------------------------------------------

    \14\ 19 U.S.C. 3722.
---------------------------------------------------------------------------
  (a) Preferential Treatment Conditioned on Enforcement 
Measures.--
          (1) In general.--The preferential treatment under 
        section 112(a) shall not be provided to textile and 
        apparel articles that are imported from a beneficiary 
        sub-Saharan African country unless that country--
                  (A) has adopted an effective visa system, 
                domestic laws, and enforcement procedures 
                applicable to covered articles to prevent 
                unlawful transshipment of the articles and the 
                use of counterfeit documents relating to the 
                importation of the articles into the United 
                States;
                  (B) has enacted legislation or promulgated 
                regulations that would permit United States 
                Customs Service verification teams to have the 
                access necessary to investigate thoroughly 
                allegations of transshipment through such 
                country;
                  (C) agrees to report, on a timely basis, at 
                the request of the United States Customs 
                Service, on the total exports from and imports 
                into that country of covered articles, 
                consistent with the manner in which the records 
                are kept by that country;
                  (D) will cooperate fully with the United 
                States to address and take action necessary to 
                prevent circumvention as provided in Article 5 
                of the Agreement on Textiles and Clothing;
                  (E) agrees to require all producers and 
                exporters of covered articles in that country 
                to maintain complete records of the production 
                and the export of covered articles, including 
                materials used in the production, for at least 
                2 years after the production or export (as the 
                case may be); and
                  (F) agrees to report, on a timely basis, at 
                the request of the United States Customs 
                Service, documentation establishing the country 
                of origin of covered articles as used by that 
                country in implementing an effective visa 
                system.
          (2) Country of origin documentation.--For purposes of 
        paragraph (1)(F), documentation regarding the country 
        of origin of the covered articles includes 
        documentation such as production records, information 
        relating to the place of production, the number and 
        identification of the types of machinery used in 
        production, the number of workers employed in 
        production, and certification from both the 
        manufacturer and the exporter.
  (b) Customs Procedures and Enforcement.--
          (1) In general.--
                  (A) Regulations.--Any importer that claims 
                preferential treatment under section 112 shall 
                comply with customs procedures similar in all 
                material respects to the requirements of 
                Article 502(1) of the NAFTA as implemented 
                pursuant to United States law, in accordance 
                with regulations promulgated by the Secretary 
                of the Treasury.
                  (B) Determination.--
                          (i) In general.--In order to qualify 
                        for the preferential treatment under 
                        section 112 and for a Certificate of 
                        Origin to be valid with respect to any 
                        article for which such treatment is 
                        claimed, there shall be in effect a 
                        determination by the President that 
                        each country described in clause (ii)--
                                  (I) has implemented and 
                                follows; or
                                  (II) is making substantial 
                                progress toward implementing 
                                and following,
                        procedures and requirements similar in 
                        all material respects to the relevant 
                        procedures and requirements under 
                        chapter 5 of the NAFTA.
                          (ii) Country described.--A country is 
                        described in this clause if it is a 
                        beneficiary sub-Saharan African 
                        country--
                                  (I) from which the article is 
                                exported; or
                                  (II) in which materials used 
                                in the production of the 
                                article originate or in which 
                                the article or such materials, 
                                undergo production that 
                                contributes to a claim that the 
                                article is eligible for 
                                preferential treatment.
          (2) Certificate of origin.--The Certificate of Origin 
        that otherwise would be required pursuant to the 
        provisions of paragraph (1) shall not be required in 
        the case of an article imported under section 112 if 
        such Certificate of Origin would not be required under 
        Article 503 of the NAFTA (as implemented pursuant to 
        United States law), if the article were imported from 
        Mexico.
          (3) Penalties for exporters.--If the President 
        determines, based on sufficient evidence, that an 
        exporter has engaged in transshipment as defined in 
        paragraph (4), then the President shall deny for a 
        period of 5 years all benefits under section 112 to 
        such exporter, any successor of such exporter, and any 
        other entity owned or operated by the principal of the 
        exporter.
          (4) Transshipment described.--Transshipment within 
        the meaning of this subsection has occurred when 
        preferential treatment for a textile or apparel article 
        under this Act has been claimed on the basis of 
        material false information concerning the country of 
        origin, manufacture, processing, or assembly of the 
        article or any of its components. For purposes of this 
        paragraph, false information is material if disclosure 
        of the true information would mean or would have meant 
        that the article is or was ineligible for preferential 
        treatment under section 112.
          (5) Monitoring and reports to congress.--The Customs 
        Service shall monitor and the Commissioner of Customs 
        shall submit to Congress, not later than March 31 of 
        each year, a report on the effectiveness of the visa 
        systems and the implementation of legislation and 
        regulations described in subsection (a) and on measures 
        taken by countries in sub-Saharan Africa which export 
        textiles or apparel to the United States to prevent 
        circumvention as described in Article 5 of the 
        Agreement on Textiles and Clothing.
  (c) Customs Service Enforcement.--The Customs Service shall--
          (1) make available technical assistance to the 
        beneficiary sub-Saharan African countries--
                  (A) in the development and implementation of 
                visa systems, legislation, and regulations 
                described in subsection (a)(1)(A); and
                  (B) to train their officials in anti-
                transshipment enforcement;
          (2) send production verification teams to at least 
        four beneficiary sub-Saharan African countries each 
        year; and
          (3) to the extent feasible, place beneficiary sub-
        Saharan African countries on the Electronic Visa 
        (ELVIS) program.
  (d) Authorization of Appropriations.--There is authorized to 
be appropriated to carry out subsection (c) the sum of 
$5,894,913.

SEC. 115.\15\ CLERICAL AMENDMENTS.
---------------------------------------------------------------------------

    \15\ Sec. 115 provides for additions to the table of contents of 
the Trade Act of 1974.
---------------------------------------------------------------------------
          * * * * * * *

SEC. 116.\16\  FREE TRADE AGREEMENTS WITH SUB-SAHARAN AFRICAN 
                    COUNTRIES.
---------------------------------------------------------------------------

    \16\ 19 U.S.C. 3723.
---------------------------------------------------------------------------
  (a) Declaration of Policy.--Congress declares that free trade 
agreements should be negotiated, where feasible, with 
interested countries in sub-Saharan Africa, in order to serve 
as the catalyst for increasing trade between the United States 
and sub-Saharan Africa and increasing private sector investment 
in sub-Saharan Africa.
  (b) Plan Requirement.--
          (1) In general.--The President, taking into account 
        the provisions of the treaty establishing the African 
        Economic Community and the willingness of the 
        governments of sub-Saharan African countries to engage 
        in negotiations to enter into free trade agreements, 
        shall develop a plan for the purpose of negotiating and 
        entering into one or more trade agreements with 
        interested beneficiary sub-Saharan African countries.
          (2) Elements of plan.--The plan shall include the 
        following:
                  (A) The specific objectives of the United 
                States with respect to negotiations described 
                in paragraph (1) and a suggested timetable for 
                achieving those objectives.
                  (B) The benefits to both the United States 
                and the relevant sub-Saharan African countries 
                with respect to the applicable free trade 
                agreement or agreements.
                  (C) A mutually agreed-upon timetable for the 
                negotiations.
                  (D) The implications for and the role of 
                regional and sub-regional organizations in sub-
                Saharan Africa with respect to such free trade 
                agreement or agreements.
                  (E) Subject matter anticipated to be covered 
                by the negotiations and United States laws, 
                programs, and policies, as well as the laws of 
                participating eligible African countries and 
                existing bilateral and multilateral and 
                economic cooperation and trade agreements, that 
                may be affected by the agreement or agreements.
                  (F) Procedures to ensure the following:
                          (i) Adequate consultation with the 
                        Congress and the private sector during 
                        the negotiations.
                          (ii) Consultation with the Congress 
                        regarding all matters relating to 
                        implementation of the agreement or 
                        agreements.
                          (iii) Approval by the Congress of the 
                        agreement or agreements.
                          (iv) Adequate consultations with the 
                        relevant African governments and 
                        African regional and subregional 
                        intergovernmental organizations during 
                        the negotiation of the agreement or 
                        agreements.
  (c) Reporting Requirement.--Not later than 12 months after 
the date of the enactment of this Act, the President shall 
prepare and transmit to the Congress a report containing the 
plan developed pursuant to subsection (b).

SEC. 117.\17\ ASSISTANT UNITED STATES TRADE REPRESENTATIVE FOR AFRICAN 
                    AFFAIRS.
---------------------------------------------------------------------------

    \17\ 19 U.S.C. 3724.
---------------------------------------------------------------------------
  It is the sense of the Congress that--
          (1) the position of Assistant United States Trade 
        Representative for African Affairs is integral to the 
        United States commitment to increasing United States-
        sub-Saharan African trade and investment;
          (2) the position of Assistant United States Trade 
        Representative for African Affairs should be maintained 
        within the Office of the United States Trade 
        Representative to direct and coordinate interagency 
        activities on United States-Africa trade policy and 
        investment matters and serve as--
                  (A) a primary point of contact in the 
                executive branch for those persons engaged in 
                trade between the United States and sub-Saharan 
                Africa; and
                  (B) the chief advisor to the United States 
                Trade Representative on issues of trade and 
                investment with Africa; and
          (3) the United States Trade Representative should 
        have adequate funding and staff to carry out the duties 
        of the Assistant United States Trade Representative for 
        African Affairs described in paragraph (2), subject to 
        the availability of appropriations.

            Subtitle C--Economic Development Related Issues


          Note.--Secs. 121-131 of the Act are found in 
        Legislation on Foreign Relations Through 2002, vol. I-
        B.


          * * * * * * *

              TITLE II--TRADE BENEFITS FOR CARIBBEAN BASIN


          Note.--The United States-Caribbean Basin Trade 
        Partnership can be found on page 866.



          * * * * * * *

                   TITLE III--NORMAL TRADE RELATIONS

SEC. 301.\18\ NORMAL TRADE RELATIONS FOR ALBANIA.
---------------------------------------------------------------------------

    \18\ 19 U.S.C. 2434 note. Sec. 301 can be found in this volume on 
page 1024.
---------------------------------------------------------------------------
  (a) * * *

SEC. 302.\19\ NORMAL TRADE RELATIONS FOR KYRGYZSTAN.
---------------------------------------------------------------------------

    \19\ 19 U.S.C. 2434 note. Sec. 302 can be found in this volume on 
page 1025.
---------------------------------------------------------------------------
  (a) * * *

                    TITLE IV--OTHER TRADE PROVISIONS

SEC. 401. REPORT ON EMPLOYMENT AND TRADE ADJUSTMENT ASSISTANCE.

  (a) In General.--Not later than 9 months after the date of 
the enactment of this section, the Comptroller General of the 
United States shall submit to Congress a report regarding the 
efficiency and effectiveness of Federal and State coordination 
of employment and retraining activities associated with the 
following programs and legislation:
          (1) Trade adjustment assistance (including NAFTA 
        trade adjustment assistance) provided for under title 
        II of the Trade Act of 1974.
          (2) The Job Training Partnership Act.
          (3) The Workforce Investment Act of 1998.
          (4) Unemployment insurance.
  (b) Period Covered.--The report shall cover the activities 
involved in the programs and legislation listed in subsection 
(a) from January 1, 1994, to December 31, 1999.
  (c) Data and Recommendations.--The report shall at a minimum 
include specific data and recommendations regarding--
          (1) the compatibility of program requirements related 
        to the employment and retraining of dislocated workers 
        in the United States, with particular emphasis on the 
        trade adjustment assistance programs provided for under 
        title II of the Trade Act of 1974;
          (2) the compatibility of application procedures 
        related to the employment and retraining of dislocated 
        workers in the United States;
          (3) the capacity of the programs in addressing 
        foreign trade and the transfer of production to other 
        countries on workers in the United States measured in 
        terms of loss of employment and wages;
          (4) the capacity of the programs in addressing 
        foreign trade and the transfer of production to other 
        countries on secondary workers in the United States 
        measured in terms of loss of employment and wages;
          (5) how the impact of foreign trade and the transfer 
        of production to other countries would have changed the 
        number of beneficiaries covered under the trade 
        adjustment assistance program if the trade adjustment 
        assistance program covered secondary workers in the 
        United States; and
          (6) the effectiveness of the programs described in 
        subsection (a) in achieving reemployment of United 
        States workers and maintaining wage levels of United 
        States workers who have been dislocated as a result of 
        foreign trade and the transfer of production to other 
        countries.

SEC. 402. TRADE ADJUSTMENT ASSISTANCE.

  (a) Certification of Eligibility for Workers Required for 
Decommissioning or Closure of Facility.--
          (1) In general.--Notwithstanding any other provision 
        of law or any decision by the Secretary of Labor 
        denying certification or eligibility for certification 
        for adjustment assistance under title II of the Trade 
        Act of 1974, a qualified worker described in paragraph 
        (2) shall be certified by the Secretary as eligible to 
        apply for adjustment assistance under such title II.
          (2) Qualified worker.--For purposes of this 
        subsection, a ``qualified worker'' means a worker who--
                  (A) was determined to be covered under Trade 
                Adjustment Assistance Certification TA-W-
                28,438; and
                  (B) was necessary for the decommissioning or 
                closure of a nuclear power facility.
  (b) Effective Date.--The amendment made by this section shall 
take effect on the date of the enactment of this Act.
---------------------------------------------------------------------------
    \20\ Sec. 403 refers to the customs treatment of particular 
imported commodities.
    \21\ Sec. 404 makes technical corrections to reporting requirements 
in particular trade laws. These reporting requirements appear, as 
amended, in this volume.
    \22\ Sec. 405 amends the Uruguay Round Agreements Act by revising 
the rules of origin for textile and apparel products.
    \23\ Sec. 406 amends section 141 of the Trade Act of 1974 (19 
U.S.C. 2171) to establish the position of Chief Agricultural Negotiator 
in the office of the United States Trade Representative, as found on 
page 359.
---------------------------------------------------------------------------

SEC. 403.\20\ RELIQUIDATION OF CERTAIN NUCLEAR FUEL ASSEMBLIES. * * *

SEC. 404.\21\ REPORTS TO THE FINANCE AND WAYS AND MEANS COMMITTEES. * * 
                    *

SEC. 405.\22\ CLARIFICATION OF SECTION 334 OF THE URUGUAY ROUND 
                    AGREEMENTS ACT. * * *

SEC. 406.\23\ CHIEF AGRICULTURAL NEGOTIATOR. * * *

SEC. 407.\24\ REVISION OF RETALIATION LIST OR OTHER REMEDIAL ACTION. * 
                    * *

SEC. 408. REPORT ON TRADE ADJUSTMENT ASSISTANCE FOR AGRICULTURAL 
                    COMMODITY PRODUCERS.

  (a) In General.--Not later than 4 months after the date of 
the enactment of this Act, the Secretary of Labor, in 
consultation with the Secretary of Agriculture and the 
Secretary of Commerce, shall submit to the Committee on Ways 
and Means of the House of Representatives and the Committee on 
Finance of the Senate a report that--
---------------------------------------------------------------------------
    \24\ Sec. 407 amends section 306 of the Trade Act of 1974 (19 
U.S.C. 2417, on page 432, this volume) directing the United States 
Trade Representative to periodically revise the commodities on a 
retaliation list if one is initiated as a result of a trade dispute.
---------------------------------------------------------------------------
          (1) examines the applicability to agricultural 
        commodity producers of trade adjustment assistance 
        programs established under title II of the Trade Act of 
        1974; and
          (2) sets forth recommendations to improve the 
        operation of those programs as the programs apply to 
        agricultural commodity producers or to establish a new 
        trade adjustment assistance program for agricultural 
        commodity producers.
  (b) Contents.--In preparing the report required by subsection 
(a), the Secretary of Labor shall--
          (1) assess the degree to which the existing trade 
        adjustment assistance programs address the adverse 
        effects on agricultural commodity producers due to 
        price suppression caused by increased imports of like 
        or directly competitive agricultural commodities; and
          (2) examine the effectiveness of the program benefits 
        authorized under subchapter B of chapter 2 and chapter 
        3 of title II of the Trade Act of 1974 in remedying the 
        adverse effects, including price suppression, caused by 
        increased imports of like or directly competitive 
        agricultural commodities.
  (c) Definitions.--In this section:
          (1) Agricultural commodity.--The term ``agricultural 
        commodity'' means any agricultural commodity, including 
        livestock, fish or harvested seafood in its raw or 
        natural state.
          (2) Agricultural commodity producer.--The term 
        ``agricultural commodity producer'' means any person 
        who is engaged in the production and sale of an 
        agricultural commodity in the United States and who 
        owns or shares the ownership and risk of loss of the 
        agricultural commodity.

SEC. 409.\25\ AGRICULTURAL TRADE NEGOTIATING OBJECTIVES AND 
                    CONSULTATIONS WITH CONGRESS.
---------------------------------------------------------------------------

    \25\ 7 U.S.C. 1736r note.
---------------------------------------------------------------------------
  (a) Findings.--Congress finds that--
          (1) United States agriculture contributes positively 
        to the United States balance of trade and United States 
        agricultural exports support in excess of 1,000,000 
        United States jobs;
          (2) United States agriculture competes successfully 
        worldwide despite the fact that United States producers 
        are at a competitive disadvantage because of the trade 
        distorting support and subsidy practices of other 
        countries and despite the fact that significant tariff 
        and nontariff barriers exist to United States exports; 
        and
          (3) a successful conclusion of the current World 
        Trade Organization agricultural negotiations is 
        critically important to the United States agricultural 
        sector.
  (b) Objectives.--The agricultural trade negotiating 
objectives of the United States with respect to the current 
World Trade Organization agricultural negotiations include as 
matters of the highest priority--
          (1) the expeditious elimination of all export 
        subsidies worldwide while maintaining bona fide food 
        aid and preserving United States market development and 
        export credit programs that allow the United States to 
        compete with other foreign export promotion efforts;
          (2) leveling the playing field for United States 
        producers of agricultural products by eliminating blue 
        box subsidies and disciplining domestic supports in a 
        way that forces producers to face world prices on all 
        production in excess of domestic food security needs 
        while allowing the preservation of nontrade distorting 
        programs to support family farms and rural communities;
          (3) the elimination of state trading enterprises or 
        the adoption of rigorous disciplines that ensure 
        operational transparency, competition, and the end of 
        discriminatory pricing practices, including policies 
        supporting cross-subsidization and price undercutting 
        in export markets;
          (4) affirming that the World Trade Organization 
        Agreement on the Application of Sanitary and 
        Phytosanitary Measures applies to new technologies, 
        including biotechnology, and that labeling requirements 
        to allow consumers to make choices regarding 
        biotechnology products or other regulatory requirements 
        may not be used as disguised barriers to trade;
          (5) increasing opportunities for United States 
        exports of agricultural products by reducing tariffs to 
        the same levels that exist in the United States or to 
        lower levels and by eliminating all nontariff barriers, 
        including--
                  (A) restrictive or trade distorting 
                practices, including those that adversely 
                impact perishable or cyclical products;
                  (B) restrictive rules in the administration 
                of tariff-rate quotas; and
                  (C) other barriers to agriculture trade, 
                including unjustified restrictions or 
                commercial requirements affecting new 
                technologies, including biotechnology;
          (6) eliminating government policies that create 
        price-depressing surpluses; and
          (7) strengthening dispute settlement procedures to 
        ensure prompt compliance by foreign governments with 
        their World Trade Organization obligations including 
        commitments not to maintain unjustified restrictions on 
        United States exports.
  (c) Consultation With Congressional Committees.--
          (1) Consultation before offer made.--In developing 
        and before submitting an initial or revised negotiating 
        proposal that would reduce United States tariffs on 
        agricultural products or require a change in United 
        States agricultural law, the United States Trade 
        Representative shall consult with the Committee on 
        Agriculture, Nutrition, and Forestry and the Committee 
        on Finance of the Senate and the Committee on 
        Agriculture and the Committee on Ways and Means of the 
        House of Representatives.
          (2) Consultation with congressional trade advisers.--
        Prior to and during the course of current negotiations 
        on agricultural trade, the United States Trade 
        Representative shall consult closely with the 
        congressional trade advisers.
          (3) Consultation before agreement initialed.--Not 
        less than 48 hours before initialing an agreement 
        reached as part of current World Trade Organization 
        agricultural negotiations, the United States Trade 
        Representative shall consult closely with the 
        committees referred to in paragraph (1) regarding--
                  (A) the details of the agreement;
                  (B) the potential impact of the agreement on 
                United States agricultural producers; and(C) 
                any changes in United States law necessary to 
                implement the agreement.
          (4) Disclosure of commitments.--Any agreement or 
        other understanding addressing agricultural trade with 
        a foreign government or governments (whether oral or in 
        writing) that relates to a trade agreement with respect 
        to which Congress must enact implementing legislation 
        and that is not disclosed to Congress before 
        legislation implementing that agreement is introduced 
        in either House of Congress shall not be considered to 
        be part of the agreement approved by Congress and shall 
        have no force and effect under United States law or in 
        any dispute settlement body.
  (d) Sense of the Congress.--It is the sense of the Congress 
that--
          (1) granting the President trade negotiating 
        authority is essential to the successful conclusion of 
        the new round of World Trade Organization agricultural 
        negotiations;
          (2) reaching a successful agreement on agriculture 
        should be the top priority of United States 
        negotiators; and
          (3) if by the conclusion of the negotiations, the 
        primary agricultural competitors of the United States 
        do not agree to reduce their trade distorting domestic 
        supports and eliminate export subsidies in accordance 
        with the negotiating objectives expressed in this 
        section, the United States should take steps to 
        increase the leverage of United States negotiators and 
        level the playing field for United States producers.
---------------------------------------------------------------------------
    \26\ Subsec. 410(a) amends sec. 484 of the Tariff Act of 1930 (19 
U.S.C. 1484) to require that merchandise withdrawn from a foreign trade 
zone during a seven-day period to be treated upon entry as a single 
entry (at the option of the operator or user of the zone) for purposes 
of customs user fees by making technical changes to customs laws 
relating to treatment
---------------------------------------------------------------------------

SEC. 410.\26\ ENTRY PROCEDURES FOR FOREIGN TRADE ZONE OPERATIONS. * * *

  (b) \27\ Effective Date.--The amendment made by this section 
shall take effect on the date that is 60 days after the date of 
the enactment of this Act.
---------------------------------------------------------------------------
    \27\ 19 U.S.C. 1484 note.
---------------------------------------------------------------------------

SEC. 411.\28\ GOODS MADE WITH FORCED OR INDENTURED CHILD LABOR. * * *
---------------------------------------------------------------------------

    \28\ 19 U.S.C. 1307 note. Sec. 411 amends sec. 307 of the Tariff 
Act of 1930 (19 U.S.C. 1307) by including ``forced or indentured child 
labor'' within the prohibition of the importation of goods manufactured 
by forced or indentured labor.
---------------------------------------------------------------------------

SEC. 412. WORST FORMS OF CHILD LABOR.

    (a) \29\ * * *
---------------------------------------------------------------------------
    \29\ Subsec. 412(a) amends the Trade Act of 1974 sec. 502(b)(2) of 
the Trade Act of 1974 (19 U.S.C. 2462(b)(2) by making ineligible for 
the Generalized System of Preferences any country that has not 
implemented its commitment to eliminate the worst forms of child labor.
---------------------------------------------------------------------------
    (b) \30\ Definition of Worst Forms of Child Labor. * * *
---------------------------------------------------------------------------
    \30\ Subsec. 412(b) amends sec. 507 of the Trade Act of 1974 (19 
U.S.C. 2467) by adding at the end a new paragraph defining the term 
``worst forms of child labor'' as (1) all forms of slavery or practices 
similar to slavery; (2) child prostitution or use of a child for 
pornographic purposes; (3) use of a child for the production or 
traffiking of drugs; and (4) work which, by nature, is likely to harm 
the health or safety of children. See page 471.
---------------------------------------------------------------------------
  (c) \31\ Annual Report. * * *
---------------------------------------------------------------------------
    \31\ Amends sec. 504 of the Trade Act of 1974 (19 U.S.C. 2464) by 
requiring that annual reports to the Congress on labor rights in 
Generalized System of Preferences (GSP) beneficiary countries include 
finding with respect to implementation of its international commitments 
to eliminate the worst forms of child labor.
---------------------------------------------------------------------------

             TITLE V--IMPORTS OF CERTAIN WOOL ARTICLES \32\

          * * * * * * *
---------------------------------------------------------------------------
    \32\ Secs. 501 to 505 of this title amend the Harmonized Tariff 
Schedule of the United States (HTSUS) to reduce or suspend the duty on 
certain wool yarn, wool fiber, and wool top of a specified fiber 
diameter from January 1, 2001 through December 31, 2003. The President 
is authorized to proclaim a reduction in rate of duty for certain 
imports of worsted wool fabrics similar to the rate of duty for such 
fabrics imported from Canada. The President is further directed to 
monitor U.S. market conditions for these fabrics, and to consider 
requests made by U.S. manufacturers of apparel products to modify the 
quantity of such articles imported into the United States.
---------------------------------------------------------------------------

SEC. 505. REFUND OF DUTIES PAID ON IMPORTS OF CERTAIN WOOL ARTICLES.

  (a) Worsted Wool Fabrics.--In each of the calendar years 
2000, 2001, and 2002, a manufacturer of men's or boys' suits, 
suit-type jackets, or trousers (not a broker or other 
individual acting on behalf of the manufacturer to process the 
import) of imported worsted wool fabrics of the kind described 
in heading 9902.51.11 or 9902.51.12 of the Harmonized Tariff 
Schedule of the United States shall be eligible for a refund of 
duties paid on entries of such fabrics in each such calendar 
year in an amount equal to one-third of the amount of duties 
paid by the importer on such worsted wool fabrics (without 
regard to micron level) imported in calendar year 1999.
  (b) Wool Yarn.--In each of the calendar years 2000, 2001, and 
2002, a manufacturer of worsted wool fabrics who imports wool 
yarn of the kind described in heading 9902.51.13 of the 
Harmonized Tariff Schedule of the United States shall be 
eligible for a refund of duties paid on entries of such wool 
yarn in each such calendar year in an amount equal to one-third 
of the amount of duties paid by the manufacturer on such wool 
yarn (without regard to micron level) imported in calendar year 
1999.
  (c) Wool Fiber and Wool Top.--In each of the calendar years 
2000, 2001, and 2002, a manufacturer of wool yarn or wool 
fabric who imports wool fiber or wool top of the kind described 
in heading 9902.51.14 of the Harmonized Tariff Schedule of the 
United States shall be eligible for a refund of duties paid on 
entries of such wool fiber in each such calendar year in an 
amount equal to one-third of the amount of duties paid by the 
manufacturer on such wool fiber (without regard to micron 
level) imported in calendar year 1999.
  (d) Proper Identification and Appropriate Claim.--Any person 
applying for a rebate under this section shall properly 
identify and make appropriate claim to the United States 
Customs Service for each entry involved.

SEC. 506.\33\ WOOL RESEARCH, DEVELOPMENT, AND PROMOTION TRUST FUND.
---------------------------------------------------------------------------

    \33\ 7 U.S.C. 7101 note.
---------------------------------------------------------------------------
  (a) Establishment.--There is hereby established within the 
Treasury of the United States a trust fund to be known as the 
Wool Research, Development, and Promotion Trust Fund (hereafter 
in this section referred to as the ``Trust Fund''), consisting 
of such amounts as may be transferred to the Trust Fund under 
subsection (b)(1) and any amounts as may be credited to the 
Trust Fund under subsection (c)(2).
  (b) Transfer of Amounts.--
          (1) In general.--The Secretary of the Treasury shall 
        transfer to the Trust Fund out of the general fund of 
        the Treasury of the United States amounts determined by 
        the Secretary of the Treasury to be equivalent to the 
        amounts received into such general fund that are 
        attributable to the duty received on articles under 
        chapters 51 and 52 of the Harmonized Tariff Schedule of 
        the United States, subject to the limitation in 
        paragraph (2).
          (2) Limitation.--The Secretary shall not transfer 
        more than $2,250,000 to the Trust Fund in any fiscal 
        year.
          (3) Transfers based on estimates.--The amounts 
        required to be transferred under paragraph (1) shall be 
        transferred at least quarterly from the general fund of 
        the Treasury of the United States to the Trust Fund on 
        the basis of estimates made by the Secretary of the 
        Treasury of the amounts referred to in paragraph (1) 
        that are received into the Treasury. Proper adjustments 
        shall be made in the amounts subsequently transferred 
        to the extent prior estimates were in excess of, or 
        less than, the amounts required to be transferred.
  (c) Investment of Trust Fund.--
          (1) In general.--It shall be the duty of the 
        Secretary of the Treasury to invest such portion of the 
        Trust Fund as is not, in the Secretary's judgment, 
        required to meet current withdrawals. Such investments 
        may be made only in interest-bearing obligations of the 
        United States or in obligations guaranteed as to both 
        principal and interest by the United States. For such 
        purpose, such obligations may be acquired on original 
        issue at the issue price or by purchase of outstanding 
        obligations at the market price. Any obligation 
        acquired by the Trust Fund may be sold by the Secretary 
        of the Treasury at the market price.
          (2) Interest and proceeds from sale or redemption of 
        obligations.--The interest on, and the proceeds from 
        the sale or redemption of, any obligations held in the 
        Trust Fund shall be credited to and form a part of the 
        Trust Fund.
  (d) Availability of Amounts from Trust Fund.--From amounts 
available in the Trust Fund (including any amounts not 
obligated in previous fiscal years), the Secretary of 
Agriculture is authorized to provide grants to a nationally-
recognized council established for the development of the 
United States wool market for the following purposes:
          (1) Assist United States wool producers to improve 
        the quality of wool produced in the United States, 
        including to improve wool production methods.
          (2) Disseminate information on improvements described 
        in paragraph (1) to United States wool producers 
        generally.
          (3) Assist United States wool producers in the 
        development and promotion of the wool market.
  (e) Reports to Congress.--The Secretary of the Treasury, in 
consultation with the Secretary of Agriculture, shall prepare 
and submit to Congress an annual report on the financial 
condition and the results of the operations of the Trust Fund, 
including a description of the use of amounts of grants 
provided under subsection (d), during the preceding fiscal year 
and on its expected condition and operations during the next 
fiscal year.
  (f) Sunset Provision.--Effective January 1, 2004, the Trust 
Fund shall be abolished and all amounts in the Trust Fund on 
such date shall be transferred to the general fund of the 
Treasury of the United States.

                      TITLE VI--REVENUE PROVISIONS

SEC. 601. APPLICATION OF DENIAL OF FOREIGN TAX CREDIT REGARDING TRADE 
                    AND INVESTMENT WITH RESPECT TO CERTAIN FOREIGN 
                    COUNTRIES. * * * \34\
---------------------------------------------------------------------------

    \34\ Subsec. 601 amends sec. 901(j) of the Internal Revenue Code of 
1986 to provide for a waiver of the denial of a foreign tax credit for 
certain taxes paid or accrued to a foreign country, if the President 
determines and reports to Congress that such waiver is in the U.S. 
national interest and will expand trade and investment opportunities 
for U.S. companies in such country.
---------------------------------------------------------------------------

SEC. 602.\35\ ACCELERATION OF COVER OVER PAYMENTS TO PUERTO RICO AND 
                    VIRGIN ISLANDS.

  (a) \36\ Initial Payment.--Section 512(b) of the Ticket to 
Work and Work Incentives Improvement Act of 1999 is amended--
---------------------------------------------------------------------------
    \35\ 26 U.S.C. 7652 note.
    \36\ Sec. 602 amends the Ticket to Work and Work Incentives 
Improvement Act of 1999 to accelerate the deadline for the Secretary of 
the Treasury to make the second transfer to Puerto Rico and the Virgin 
Islands of incremental increases in cover over excise taxes on 
distilled spirits imported from such places.
---------------------------------------------------------------------------
          * * * * * * *
              (8) Clarification of Normal Trade Relations

Partial text of Public Law 105-206 [H.R. 2676], 112 Stat. 686, approved 
                             July 22, 1998

 AN ACT To amend the Internal Revenue Code of 1986 to restructure and 
      reform the Internal Revenue Service, and for other purposes.


          Note.--Public Law 105-206 consists primarily of 
        amendments to the Internal Revenue Code. Section 5003 
        substitutes the term ``most-favored-nation'' (MFN) for 
        ``normal trade relations'' (NTR) and amends applicable 
        trade statutes.



                     TITLE V--ADDITIONAL PROVISIONS

          * * * * * * *

SEC. 5003.\1\ CLARIFICATION OF DESIGNATION OF NORMAL TRADE RELATIONS.
---------------------------------------------------------------------------

    \1\ 19 U.S.C. 2481 note.
---------------------------------------------------------------------------
    (a) Findings and Policy.--
          (1) Findings.--The Congress makes the following 
        findings:
                  (A) Since the 18th century, the principle of 
                nondiscrimination among countries with which 
                the United States has trade relations, commonly 
                referred to as ``most-favored-nation'' 
                treatment, has been a cornerstone of United 
                States trade policy.
                  (B) Although the principle remains firmly in 
                place as a fundamental concept in United States 
                trade relations, the term ``most-favored-
                nation'' is a misnomer which has led to public 
                misunderstanding.
                  (C) It is neither the purpose nor the effect 
                of the most-favored-nation principle to treat 
                any country as ``most favored''. To the 
                contrary, the principle reflects the intention 
                to confer on a country the same trade benefits 
                that are conferred on any other country, that 
                is, the intention not to discriminate among 
                trading partners.
                  (D) The term ``normal trade relations'' is a 
                more accurate description of the principle of 
                nondiscrimination as it applies to the tariffs 
                applicable generally to imports from United 
                States trading partners, that is, the general 
                rates of duty set forth in column 1 of the 
                Harmonized Tariff Schedule of the United 
                States.
          (2) Policy.--It is the sense of the Congress that--
                  (A) the language used in United States laws, 
                treaties, agreements, executive orders, 
                directives, and regulations should more clearly 
                and accurately reflect the underlying 
                principles of United States trade policy; and
                  (B) accordingly, the term ``normal trade 
                relations'' should, where appropriate, be 
                substituted for the term ``most-favored-
                nation''.
    (b) Change in Terminology.-- \2\ * * *
---------------------------------------------------------------------------
    \2\ Subsec. (b) makes amendments to U.S. trade laws to reflect 
terminology changes.
---------------------------------------------------------------------------
    (c) Savings Provisions.--Nothing in this section shall 
affect the meaning of any provision of law, Executive order, 
Presidential proclamation, rule, regulation, delegation of 
authority, other document, or treaty or other international 
agreement of the United States relating to the principle of 
``most-favored-nation'' (or ``most favored nation'') treatment. 
Any Executive order, Presidential proclamation, rule, 
regulation, delegation of authority, other document, or treaty 
or other international agreement of the United States that has 
been issued, made, granted, or allowed to become effective and 
that is in effect on the effective date of this Act, or was to 
become effective on or after the effective date of this Act, 
shall continue in effect according to its terms until modified, 
terminated, superseded, set aside, or revoked in accordance 
with law.
          * * * * * * *
               (9) World Trade Organization Transparency

 Partial text of Public Law 105-174 [1998 Supplemental Appropriations 
   and Recissions Act, H.R. 3579], 112 Stat. 58, approved May 1, 1998

AN ACT Making emergency supplemental appropriations for the fiscal year 
           ending September 30, 1998, and for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,
          * * * * * * *

                 TITLE III--SUPPLEMENTAL APPROPRIATIONS

          * * * * * * *

                     GENERAL PROVISIONS--THIS TITLE

          * * * * * * *
    Sec. 10006. The President shall instruct the United States 
Representatives to the World Trade Organization to seek the 
adoption of procedures that will ensure broader application of 
the principles of transparency and openness in the activities 
of the organization, including by urging the World Trade 
Organization General Council to--
          (1) permit appropriate meetings of the Council, the 
        Ministerial conference, dispute settlement panels, and 
        the Appellate Body to be made open to the public; and
          (2) provide for timely public summaries of the 
        matters discussed and decisions made in any closed 
        meeting of the Conference or Council.
          * * * * * * *
                (10) Trade Deficit Review Commission Act

Partial text of Public Law 105-277 [Omnibus Consolidated and Emergency 
  Appropriations Act, 1999; H.R. 4328], 112 Stat. 2681-547, approved 
                            October 21, 1998

     AN ACT Making omnibus consolidated and emergency supplemental 
 appropriations for the fiscal year ending September 30, 1999, and for 
                            other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled, 

DIVISION A--OMNIBUS CONSOLIDATED APPROPRIATIONS

          * * * * * * *
  Sec. 127.\1\ (a) Short Title.--This section may be cited as 
the ``Trade Deficit Review Commission Act''.
---------------------------------------------------------------------------
    \1\ 19 U.S.C. 2213 note.
---------------------------------------------------------------------------
  (b) Findings.--Congress makes the following findings:
          (1) The United States continues to run substantial 
        merchandise trade and current account deficits.
          (2) Economic forecasts anticipate continued growth in 
        such deficits in the next few years.
          (3) The positive net international asset position 
        that the United States built up over many years was 
        eliminated in the 1980s. The United States today has 
        become the world's largest debtor nation.
          (4) The United States merchandise trade deficit is 
        characterized by large bilateral trade imbalances with 
        a handful of countries.
          (5) The United States has one of the most open 
        borders and economies in the world. The United States 
        faces significant tariff and nontariff trade barriers 
        with its trading partners. The United States does not 
        benefit from fully reciprocal market access.
          (6) The United States is once again at a critical 
        juncture in trade policy development. The nature of the 
        United States trade deficit and its causes and 
        consequences must be analyzed and documented.
  (c) Establishment of Commission.--
          (1) Establishment.--There is established a commission 
        to be known as the Trade Deficit Review Commission 
        (hereafter in this section referred to as the 
        ``Commission'').
          (2) Purpose.--The purpose of the Commission is to 
        study the nature, causes, and consequences of the 
        United States merchandise trade and current account 
        deficits.
          (3) Membership of commission.--
                  (A) Composition.--The Commission shall be 
                composed of 12 members as follows:
                          (i) Three persons shall be appointed 
                        by the President pro tempore of the 
                        Senate upon the recommendation of the 
                        Majority Leader of the Senate, after 
                        consultation with the Chairman of the 
                        Committee on Finance.
                          (ii) Three persons shall be appointed 
                        by the President pro tempore of the 
                        Senate upon the recommendation of the 
                        Minority Leader of the Senate, after 
                        consultation with the ranking minority 
                        member of the Committee on Finance.
                          (iii) Three persons shall be 
                        appointed by the Speaker of the House 
                        of Representatives, after consultation 
                        with the Chairman of the Committee on 
                        Ways and Means.
                          (iv) Three persons shall be appointed 
                        by the Minority Leader of the House of 
                        Representatives, after consultation 
                        with the ranking minority member of the 
                        Committee on Ways and Means.
                  (B) Qualifications of members.--
                          (i) Appointments.--Persons who are 
                        appointed under subparagraph (A) shall 
                        be persons who--
                                  (I) have expertise in 
                                economics, international trade, 
                                manufacturing, labor, 
                                environment, business, or have 
                                other pertinent qualifications 
                                or experience; and
                                  (II) are not officers or 
                                employees of the United States.
                          (ii) Other considerations.--In 
                        appointing Commission members, every 
                        effort shall be made to ensure that the 
                        members--
                                  (I) are representative of a 
                                broad cross-section of economic 
                                and trade perspectives within 
                                the United States; and
                                  (II) provide fresh insights 
                                to analyzing the causes and 
                                consequences of United States 
                                merchandise trade and current 
                                account deficits.
          (4) Period of appointment; vacancies.--
                  (A) In general.--Members shall be appointed 
                not later than 60 days after the date of 
                enactment of this Act and the appointment shall 
                be for the life of the Commission.
                  (B) Vacancies.--Any vacancy in the Commission 
                shall not affect its powers, but shall be 
                filled in the same manner as the original 
                appointment.
          (5) Initial meeting.--Not later than 30 days after 
        the date on which all members of the Commission have 
        been appointed, the Commission shall hold its first 
        meeting.
          (6) Meetings.--The Commission shall meet at the call 
        of the Chairperson.
          (7) Chairperson and vice chairperson.--The members of 
        the Commission shall elect a chairperson and vice 
        chairperson from among the members of the Commission.
          (8) Quorum.--A majority of the members of the 
        Commission shall constitute a quorum for the 
        transaction of business.
          (9) Voting.--Each member of the Commission shall be 
        entitled to 1 vote, which shall be equal to the vote of 
        every other member of the Commission.
  (d) Duties of the Commission.--
          (1) In general.--The Commission shall be responsible 
        for examining the nature, causes, and consequences of, 
        and the accuracy of available data on, the United 
        States merchandise trade and current account deficits.
          (2) Issues to be addressed.--The Commission shall 
        examine and report to the President, the Committee on 
        Ways and Means of the House of Representatives, the 
        Committee on Finance of the Senate, and other 
        appropriate committees of Congress on the following:
                  (A) The relationship of the merchandise trade 
                and current account balances to the overall 
                well-being of the United States economy, and to 
                wages and employment in various sectors of the 
                United States economy.
                  (B) The impact that United States monetary 
                and fiscal policies may have on United States 
                merchandise trade and current account deficits.
                  (C) The extent to which the coordination, 
                allocation, and accountability of trade 
                responsibilities among Federal agencies may 
                contribute to the trade and current account 
                deficits.
                  (D) The causes and consequences of the 
                merchandise trade and current account deficits 
                and specific bilateral trade deficits, 
                including--
                          (i) identification and quantification 
                        of--
                                  (I) the macroeconomic factors 
                                and bilateral trade barriers 
                                that may contribute to the 
                                United States merchandise trade 
                                and current account deficits;
                                  (II) any impact of the 
                                merchandise trade and current 
                                account deficits on the 
                                domestic economy, industrial 
                                base, manufacturing capacity, 
                                technology, number and quality 
                                of jobs, productivity, wages, 
                                and the United States standard 
                                of living;
                                  (III) any impact of the 
                                merchandise trade and current 
                                account deficits on the defense 
                                production and innovation 
                                capabilities of the United 
                                States; and
                                  (IV) trade deficits within 
                                individual industrial, 
                                manufacturing, and production 
                                sectors, and any relationship 
                                between such deficits and the 
                                increasing volume of intra-
                                industry and intra-company 
                                transactions;
                          (ii) a review of the adequacy and 
                        accuracy of the current collection and 
                        reporting of import and export data, 
                        and the identification and development 
                        of additional data bases and economic 
                        measurements that may be needed to 
                        properly quantify the merchandise trade 
                        and current account balances, and any 
                        impact the merchandise trade and 
                        current account balances may have on 
                        the United States economy; and
                          (iii) the extent to which there is 
                        reciprocal market access substantially 
                        equivalent to that afforded by the 
                        United States in each country with 
                        which the United States has a 
                        persistent and substantial bilateral 
                        trade deficit, and the extent to which 
                        such deficits have become structural.
                  (E) Any relationship of United States 
                merchandise trade and current account deficits 
                to both comparative and competitive trade 
                advantages within the global economy, 
                including--
                          (i) a systematic analysis of the 
                        United States trade patterns with 
                        different trading partners and to what 
                        extent the trade patterns are based on 
                        comparative and competitive trade 
                        advantages;
                          (ii) the extent to which the 
                        increased mobility of capital and 
                        technology has changed both comparative 
                        and competitive trade advantages;
                          (iii) any impact that labor, 
                        environmental, or health and safety 
                        standards may have on comparative and 
                        competitive trade advantages;
                          (iv) the effect that offset and 
                        technology transfer agreements have on 
                        the long-term competitiveness of the 
                        United States manufacturing sectors; 
                        and
                          (v) any effect that international 
                        trade, labor, environmental, or other 
                        agreements may have on United States 
                        competitiveness.
                  (F) The extent to which differences in the 
                growth rates of the United States and its 
                trading partners may impact on United States 
                merchandise trade and current account deficits.
                  (G) The impact that currency exchange rate 
                fluctuations and any manipulation of exchange 
                rates may have on United States merchandise 
                trade and current account deficits.
                  (H) The flow of investments both into and out 
                of the United States, including--
                          (i) any consequences for the United 
                        States economy of the current status of 
                        the United States as a debtor nation;
                          (ii) any relationship between such 
                        investment flows and the United States 
                        merchandise trade and current account 
                        deficits and living standards of United 
                        States workers;
                          (iii) any impact such investment 
                        flows may have on United States labor, 
                        community, environmental, and health 
                        and safety standards, and how such 
                        investment flows influence the location 
                        of manufacturing facilities; and
                          (iv) the effect of barriers to United 
                        States foreign direct investment in 
                        developed and developing nations, 
                        particularly nations with which the 
                        United States has a merchandise trade 
                        and current account deficit.
  (e) Final Report.--
          (1) In general.--Not later than 15 months \2\ after 
        the date of the initial meeting of the Commission, the 
        Commission shall submit to the President and Congress a 
        final report which contains--
---------------------------------------------------------------------------
    \2\ Sec. 2501 of Public Law 106-246 amended sec. 127(e)(1) by 
striking ``12 months'' and inserting ``15 months''.
---------------------------------------------------------------------------
                  (A) the findings and conclusions of the 
                Commission described in subsection (d); and
                  (B) recommendations for addressing the 
                problems identified as part of the Commission's 
                analysis.
          (2) Separate views.--Any member of the Commission may 
        submit additional findings and recommendations as part 
        of the final report.
  (f) Powers of Commission.--
          (1) Hearings.--The Commission may hold such hearings, 
        sit and act at such times and places, take such 
        testimony, and receive such evidence as the Commission 
        may find advisable to fulfill the requirements of this 
        section. The Commission shall hold at least 1 or more 
        hearings in Washington, D.C., and 4 in different 
        regions of the United States.
          (2) Information from federal agencies.--The 
        Commission may secure directly from any Federal 
        department or agency such information as the Commission 
        considers necessary to carry out the provisions of this 
        section. Upon request of the Chairperson of the 
        Commission, the head of such department or agency shall 
        furnish such information to the Commission.
          (3) Postal services.--The Commission may use the 
        United States mails in the same manner and under the 
        same conditions as other departments and agencies of 
        the Federal Government.
  (g) Commission Personnel Matters.--
          (1) Compensation of members.--Each member of the 
        Commission shall be compensated at a rate equal to the 
        daily equivalent of the annual rate of basic pay 
        prescribed for level IV of the Executive Schedule under 
        section 5315 of title 5, United States Code, for each 
        day (including travel time) during which such member is 
        engaged in the performance of the duties of the 
        Commission.
          (2) Travel expenses.--The members of the Commission 
        shall be allowed travel expenses, including per diem in 
        lieu of subsistence, at rates authorized for employees 
        of agencies under subchapter I of chapter 57 of title 
        5, United States Code, while away from their homes or 
        regular places of business in the performance of 
        services for the Commission.
          (3) Staff.--
                  (A) In general.--The Chairperson of the 
                Commission may, without regard to the civil 
                service laws and regulations, appoint and 
                terminate an executive director and such other 
                additional personnel as may be necessary to 
                enable the Commission to perform its duties. 
                The employment of an executive director shall 
                be subject to confirmation by the Commission.
                  (B) Compensation.--The Chairperson of the 
                Commission may fix the compensation of the 
                executive director and other personnel without 
                regard to the provisions of chapter 51 and 
                subchapter III of chapter 53 of title 5, United 
                States Code, relating to classification of 
                positions and General Schedule pay rates, 
                except that the rate of pay for the executive 
                director and other personnel may not exceed the 
                rate payable for level V of the Executive 
                Schedule under section 5316 of such title.
          (4) Detail of government employees.--Any Federal 
        Government employee may be detailed to the Commission 
        without reimbursement, and such detail shall be without 
        interruption or loss of civil service status or 
        privilege.
          (5) Procurement of temporary and intermittent 
        services.--The Chairperson of the Commission may 
        procure temporary and intermittent services under 
        section 3109(b) of title 5, United States Code, at 
        rates for individuals which do not exceed the daily 
        equivalent of the annual rate of basic pay prescribed 
        for level V of the Executive Schedule under section 
        5316 of such title.
  (h) Support Services.--The Administrator of the General 
Services Administration shall provide to the Commission on a 
reimbursable basis such administrative support services as the 
Commission may request.
  (i) Appropriations.--There are appropriated $2,000,000 to the 
Commission to carry out the provisions of this section.
          * * * * * * *
               (11) Steel Imports Into the United States

Partial text of Public Law 105-277 [Omnibus Consolidated and Emergency 
  Appropriations Act, 1999; H.R. 4328], 112 Stat. 2681-591, approved 
                            October 21, 1998

     AN ACT Making omnibus consolidated and emergency supplemental 
 appropriations for the fiscal year ending September 30, 1999, and for 
                            other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled, 
          * * * * * * *
  Sec. 111. (a) Findings.--Congress makes the following 
findings:
          (1) The current financial crises in Asia, the 
        independent States of the former Soviet Union (as 
        defined in section 3 of the FREEDOM Support Act), 
        Russia, and other areas of the world, involve 
        significant depreciation in the currencies of several 
        key steel-producing and steel-consuming countries, 
        along with a collapse in the domestic demand for steel 
        in the countries.
          (2) The crises have generated and will continue to 
        generate increases in United States imports of steel, 
        both from the countries whose currencies have been 
        depreciated and from other Asian steel-producing 
        countries that are no longer able to export steel to 
        the countries that are experiencing an economic crisis.
          (3) United States imports of finished steel mill 
        products from Asian steel-producing countries, such as 
        the People's Republic of China, Japan, Korea, India, 
        Taiwan, Indonesia, Thailand, and Malaysia, increased by 
        79 percent in the first 5 months of 1998.
          (4) Year-to-date imports of steel from Russia now 
        exceed the record import levels of 1997, and steel 
        imports from Russia and the Ukraine now approach 
        2,500,000 net tons.
          (5) Foreign government trade restrictions and private 
        restraints of trade distort international trade and 
        investment patterns and result in burdens on United 
        States commerce, including absorption of a 
        disproportionate share of steel diverted from other 
        countries.
          (6) The European Union, for example, despite also 
        being a major economy, in 1997 imported only one-tenth 
        as much finished steel products from Asian steel-
        producing countries as the United States did and has 
        restricted imports of steel from the independent states 
        of the former Soviet Union and Russia.
          (7) The United States is simultaneously facing a 
        substantial increase in steel imports from the 
        independent states of the former Soviet Union and 
        Russia, caused in part by the closure of Asian markets 
        to steel imports.
          (8) There is a well recognized need for improvement 
        in the enforcement of the United States trade laws to 
        provide an effective response to situations of such 
        increased imports.
  (b) Sense of Congress.--Congress calls upon the President 
to--
          (1) pursue enhanced enforcement of the United States 
        trade laws with respect to the increase in steel 
        imports into the United States, using all remedies 
        available under United States laws including imposition 
        of offsetting duties, quantitative restrictions, and 
        other appropriate remedial measures;
          (2) pursue with all methods at the President's 
        disposal to achieve a more equitable sharing of the 
        burden of accepting imports of finished steel products 
        from Asia and the independent states of the former 
        Soviet Union;
          (3) establish a task force within the executive 
        branch that has responsibility for closely monitoring 
        imports of steel into the United States; and
          (4) report to Congress not later than January 5, 
        1999, with a comprehensive plan for responding to the 
        increase in steel imports, including ways of limiting 
        the deleterious effects on employment, prices, and 
        investment in the United States steel industry.
          * * * * * * *
             (12) Tariffs, Trade Barriers, and the Internet

Partial text of Public Law 105-277 [Omnibus Consolidated and Emergency 
  Appropriations Act, 1999; H.R. 4328], 112 Stat. 2681-727, approved 
                            October 21, 1998

     AN ACT Making omnibus consolidated and emergency supplemental 
 appropriations for the fiscal year ending September 30, 1999, and for 
                            other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled, 
          * * * * * * *

                       DIVISION C--OTHER MATTERS

          * * * * * * *

                      TITLE XII--OTHER PROVISIONS

          * * * * * * *

SEC. 1203. DECLARATION THAT THE INTERNET SHOULD BE FREE OF FOREIGN 
                    TARIFFS, TRADE BARRIERS, AND OTHER RESTRICTIONS.

  (a) In General.--It is the sense of Congress that the 
President should seek bilateral, regional, and multilateral 
agreements to remove barriers to global electronic commerce 
through the World Trade Organization, the Organization for 
Economic Cooperation and Development, the Trans-Atlantic 
Economic Partnership, the Asia Pacific Economic Cooperation 
forum, the Free Trade Area of the Americas, the North American 
Free Trade Agreement, and other appropriate venues.
  (b) Negotiating Objectives.--The negotiating objectives of 
the United States shall be--
          (1) to assure that electronic commerce is free from--
                  (A) tariff and nontariff barriers;
                  (B) burdensome and discriminatory regulation 
                and standards; and
                  (C) discriminatory taxation; and
          (2) to accelerate the growth of electronic commerce 
        by expanding market access opportunities for--
                  (A) the development of telecommunications 
                infrastructure;
                  (B) the procurement of telecommunications 
                equipment;
                  (C) the provision of Internet access and 
                telecommunications services; and
                  (D) the exchange of goods, services, and 
                digitalized information.
  (c) Electronic Commerce.--For purposes of this section, the 
term ``electronic commerce'' has the meaning given that term in 
section 1104(3).
          * * * * * * *
                 (13) Jobs Through Exports Act of 1992

 Partial text of Public Law 102-549 [Jobs Through Exports Act of 1992; 
   H.R. 4996], 106 Stat. 3651, approved October 28, 1992; amended by 
Public Law 104-66 [Federal Reports Elimination and Sunset Act of 1995; 
           S. 790], 109 Stat. 707, approved December 21, 1995


          Note.--The Jobs Through Exports Act of 1992 primarily 
        consists of amendments to the Foreign Assistance Act of 
        1961, Trade and Development Enhancement Act of 1983, 
        Agricultural Trade Development and Assistance Act of 
        1954, and 5 U.S.C. These amendments have been 
        incorporated into those Acts and sections of the U.S. 
        Code at the appropriate locations.
          These freestanding sections are also printed in 
        Legislation on Foreign Relations Through 2002, vols. I-
        A and I-B.



  AN ACT To extend the authorities of the Overseas Private Investment 
                  Corporation, and for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

SECTION 1.\1\ SHORT TITLE.

    This Act may be cited as the ``Jobs Through Exports Act of 
1992''.
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    \1\ 22 U.S.C. 2151 note.
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          * * * * * * *

               TITLE III--AID, TRADE, AND COMPETITIVENESS

SEC. 301.\2\ SHORT TITLE.

    This title may be cited as the ``Aid, Trade, and 
Competitiveness Act of 1992''.
---------------------------------------------------------------------------
    \2\ 22 U.S.C. 2421a note.
---------------------------------------------------------------------------

SEC. 302.\3\ CAPITAL PROJECTS OFFICE WITHIN THE AGENCY FOR 
                    INTERNATIONAL DEVELOPMENT.

    (a) Establishment of Office.--The Administrator of AID 
shall establish a capital projects office to carry out the 
purposes described in subsection (b).
---------------------------------------------------------------------------
    \3\ 22 U.S.C. 2421a.
---------------------------------------------------------------------------
    (b) Purposes of Office.--The purposes referred to in 
subsection (a) are--
          (1) to develop an AID program that would focus solely 
        on developmentally sound capital projects, taking into 
        consideration development needs of the host country and 
        the export opportunities for the United States; and
          (2) to consider specifically opportunities for United 
        States high-technology firms, including small- and 
        medium-sized firms, in supporting capital projects for 
        developing countries and for countries making the 
        transition from nonmarket to market economies.
    (c) Activities of AID.--The Administrator of AID (acting 
through the capital projects office), in coordination with the 
appropriate members of the Trade Promotion Coordination 
Committee--
          (1) shall support capital projects in developing 
        countries and in countries making the transition from 
        nonmarket to market economies;
          (2) shall periodically review infrastructure needs in 
        developing countries and countries making the 
        transition from nonmarket to market economies and shall 
        explore opportunities for United States firms in the 
        development of new capital projects in these countries, 
        keeping both United States firms and the Congress 
        informed of these reviews;
          (3) shall ensure that each capital project for which 
        AID provides funding is developmentally sound, as 
        determined under the criteria developed by the 
        Development Assistance Committee of the Organization 
        for Economic Cooperation and Development;
          (4) shall coordinate its activities with other AID 
        offices, and work with AID country missions, in 
        developing capital projects that provide opportunities 
        for United States firms consistent with AID's primary 
        mission to help developing countries with traditional 
        development projects;
          (5) shall coordinate, where appropriate, funds 
        available to AID for tied-aid purposes; and
          (6) shall play a special role in helping to meet the 
        infrastructure needs of countries making the transition 
        from nonmarket to market economies by meeting the 
        challenge of infrastructure assistance provided by 
        foreign governments to those countries, including by 
        undertaking a comprehensive study of the infrastructure 
        needs of the various countries making the transition 
        from nonmarket to market economies--
                  (A) to identify those sectors in the 
                economies of these countries that are most in 
                need of rebuilding, and
                  (B) to identify the state of technology in 
                these countries and the opportunity for United 
                States high technology firms to help develop a 
                technological infrastructure in these 
                countries, including an assessment of export 
                opportunities for United States high technology 
                companies.
The results of the study conducted pursuant to paragraph (6) 
shall be reported to the appropriate congressional committees 
within 12 months after the date of the enactment of this Act.

SEC. 303.\4\ CAPITAL PROJECTS FOR POVERTY ALLEVIATION AND ENVIRONMENTAL 
                    SAFETY AND SUSTAINABILITY.

    (a) Purposes.--The Administrator of AID shall develop a 
program, in accordance with subsection (b), that focuses on 
developmentally sound capital projects for basic infrastructure 
that will measurably alleviate the worst manifestations of 
poverty or directly promote environmental safety and 
sustainability at the community level, taking into 
consideration development needs of the host country and export 
opportunities for services and goods from the United States.
---------------------------------------------------------------------------
    \4\ 22 U.S.C. 2421b.
---------------------------------------------------------------------------
    (b) Activities of AID.--In order to carry out subsection 
(a), the Administrator of AID shall, working with AID technical 
support staff, regional bureau staff, and country missions, 
identify and provide funding for capital projects to alleviate 
the worst manifestations of poverty or to promote environmental 
safety and sustainability at the community level in countries 
receiving assistance under part I of the Foreign Assistance Act 
of 1961. Such projects may include basic sanitation systems, 
basic water supply and treatment, pollution control, and rural 
infrastructure benefiting poor communities or establishing 
environmentally sustainable patterns of rural development. Such 
projects should have measurable positive effects on indicators 
of human and environmental health.

SEC. 304.\5\ COORDINATION.

    The President shall use the Trade Promotion Coordination 
Committee to coordinate activities under this title with other 
relevant activities of the United States Government.
---------------------------------------------------------------------------
    \5\ 22 U.S.C. 2421c.
---------------------------------------------------------------------------

SEC. 305.\6\ REPORTS TO CONGRESS ON CAPITAL PROJECTS.

    Not later than May 1, 1993, the President shall submit to 
the Congress a report describing--
---------------------------------------------------------------------------
    \6\ 22 U.S.C. 2421a note.
---------------------------------------------------------------------------
          (1) the extent to which United States Government 
        resources have been expended specifically to support 
        the projects described in this title in developing 
        countries and countries making the transition from 
        nonmarket to market economies;
          (2) the extent to which the activities of the United 
        States Government have been coordinated pursuant to 
        section 304; and
          (3) the extent to which United States Government 
        capital projects and tied-aid credit programs have 
        affected United States exports.

SEC. 306.\7\ FUNDING FOR CAPITAL PROJECTS.

    (a) Funding Level.--The Congress strongly urges the 
President to use at least $650,000,000 for fiscal year 1993 and 
at least $700,000,000 for fiscal year 1994 of the total amounts 
made available for assistance under chapter 4 of part II of the 
Foreign Assistance Act of 1961 (relating to the economic 
support fund), assistance under the Support for East European 
Democracy (SEED) Act of 1989, assistance under the Freedom for 
Russia and Emerging Eurasian Democracies and Open Markets 
Support Act of 1992, and assistance under the Multilateral 
Assistance Initiative for the Philippines, for grants for 
developmentally sound capital projects. Such grants may be 
combined with financing offered by private financial entities 
or other entities.
---------------------------------------------------------------------------
    \7\ 22 U.S.C. 2421d.
---------------------------------------------------------------------------
    (b) Development Assistance Capital Projects.--Funds 
appropriated to carry out chapter 1 or chapter 10 of part I of 
the Foreign Assistance Act of 1961 (relating to development 
assistance and the Development Fund for Africa) may not be used 
for capital projects that do not meet the criteria contained in 
section 303 of this Act. This subsection does not apply with 
respect to capital projects for which funds have been obligated 
or expended before the date of the enactment of this Act.

SEC. 307.\8\ REPORT ON THE FEASIBILITY OF AID CREDIT GUARANTEES TO 
                    FINANCE CAPITAL PROJECTS.

    Not later than May 1, 1993, the President shall submit to 
the Committee on Foreign Affairs \9\ and the Committee on 
Appropriations of the House of Representatives and the 
Committee on Foreign Relations and the Committee on 
Appropriations of the Senate a report on the feasibility of 
allowing AID to offer credit guarantees for the financing of 
capital projects.
---------------------------------------------------------------------------
    \8\ 22 U.S.C. 2421a note.
    \9\ Sec. 1(a)(5) of Public Law 104-14 (109 Stat. 186) provided that 
references to the Committee on Foreign Affairs of the House of 
Representatives shall be treated as referring to the Committee on 
International Relations of the House of Representatives.
---------------------------------------------------------------------------

SEC. 308.\10\ DEFINITIONS.

    For purposes of this title--
---------------------------------------------------------------------------
    \10\ 22 U.S.C. 2421e.
---------------------------------------------------------------------------
          (1) the term ``AID'' means the Agency for 
        International Development; and
          (2) the term ``capital project'' means a project 
        involving the construction, expansion, alteration of, 
        or the acquisition of equipment for, a physical 
        facility or physical infrastructure, including related 
        engineering design (concept and detail) and other 
        services, the procurement of equipment (including any 
        related services), and feasibility studies or similar 
        engineering and economic services.

               TITLE IV--UNITED STATES COMMERCIAL CENTERS

SEC. 401.\11\ UNITED STATES COMMERCIAL CENTERS.

    (a) Establishment.--The Secretary of Commerce, in his or 
her role as chairperson of the Trade Promotion Coordinating 
Committee, is authorized and encouraged to establish United 
States Commercial Centers (hereinafter in this section referred 
to as ``Centers'') in Asia, in Latin America, and in Africa.
---------------------------------------------------------------------------
    \11\ 22 U.S.C. 4723a.
---------------------------------------------------------------------------
    (b) Purpose of the Centers.--The purpose of the Centers 
shall be to provide additional resources for the promotion of 
exports of United States goods and services to the host 
countries, by familiarizing United States exporters with the 
industries, markets, and customs of the host countries, thus 
facilitating commercial ties and trade.
    (c) Functions of the Centers.--Each Center shall--
          (1) collect and publish economic and market data with 
        respect to the host country;
          (2) provide, on a user-fee basis, preliminary 
        technical and clerical assistance, language 
        translation, and administrative assistance, and 
        information regarding the legal systems, laws, 
        regulations, and procedures of the host country, to 
        United States exporters seeking to do business in the 
        host country; and
          (3) in other ways promote exports of United States 
        goods and services to the host country.
    (d) Specific Services To Be Provided.--To carry out its 
objectives, each Center shall make available the following (on 
a user-fee basis):
          (1) Business facilities.--Business facilities, 
        including exhibition space, conference rooms, office 
        space (including telephones and other basic office 
        equipment), and, where warranted by impeding 
        deficiencies in the public system, high quality 
        international telecommunications facilities.
          (2) Business services.--Business support services, 
        including language translation services, clerical 
        services, and a commercial library containing a 
        comprehensive collection of reference materials 
        covering United States and host country industries and 
        markets.
          (3) Commercial law information services.--Commercial 
        law information services, including--
                  (A) a clearinghouse for information regarding 
                the relevant commercial laws, practices, and 
                regulations of the host country;
                  (B) publications to assist United States 
                businesses;
                  (C) legal referral services; and
                  (D) lists of local agents and distributors.
    (e) Other Trade Promotion Activities.--Each Center shall 
also promote United States export trade by--
          (1) facilitating contacts between buyers, sellers, 
        bankers, traders, distributors, agents, and necessary 
        government officials from the United States and the 
        host country;
          (2) coordinating trade missions; and
          (3) assisting with applications, contracts, and 
        clearances for imports into the host country and 
        exports from the United States.
    (f) Staffing of Centers.--Each Center shall be staffed by 
members of the United States and Foreign Commercial Service, 
participants in the Market Development Cooperator Program 
established under section 2303 of the Export Enhancement Act of 
1988 (15 U.S.C. 4723), other employees of the Department of 
Commerce, and employees of appropriate executive branch 
departments and agencies which are members of the Trade 
Promotion Coordinating Committee.
    (g) Center Facilities and Their Relationship to United 
States Department of Commerce Operations in Host Countries.--
          (1) Physical accommodations for the centers.--The 
        Secretary of Commerce shall locate each Center in the 
        primary commercial city of the host country. The 
        Secretary shall acquire office space, exhibition space, 
        and other facilities and equipment that are necessary 
        for each Center to perform its functions. To the extent 
        feasible, each Center shall be located in the central 
        commercial district of the host city.
          (2) Consolidation of department of commerce 
        operations in host countries.--For the purpose of 
        obtaining maximum effectiveness and efficiency and to 
        the extent consistent with the purposes of the Centers, 
        the Secretary of Commerce is encouraged to place all 
        personnel of the Department of Commerce who are 
        assigned to the city in which a Center is located in 
        the same facilities as those in which the Center 
        conducts its activities.
    (h) Use of Market Development Cooperator Program.--The 
Secretary of Commerce shall, to the greatest extent feasible, 
use the Market Development Cooperator Program established under 
section 2303 of the Export Enhancement Act of 1988 (15 U.S.C. 
4723) to assist in carrying out the purposes of the Centers 
established under this section.
    (i) Authorization of Appropriations.--There are authorized 
to be appropriated to the Secretary of Commerce to carry out 
this section $8,000,000 for fiscal year 1993, and $5,500,000 
for fiscal year 1994. Funds made available under this 
subsection may be used for the acquisition of real property.
    (j) \12\ * * * [Repealed--1996]
---------------------------------------------------------------------------
    \12\ Sec. 1021(b) of Public Law 104-66 (109 Stat. 712) repealed 
subsec. (j), which had required the Secretary of Commerce to report 
annually to the House Committee on International Relations and the 
Senate Committee on Banking, Housing and Urban Affairs on the status, 
activities, and effectiveness of Commercial Centers.
---------------------------------------------------------------------------
    (k) Definitions.--For purposes of this section--
          (1) the term ``United States exporter'' means--
                  (A) a United States citizen,
                  (B) a corporation, partnership, or other 
                association created under the laws of the 
                United States or of any State, or
                  (C) a foreign corporation, partnership, or 
                other association, more than 95 percent of 
                which is owned by persons described in 
                subparagraphs (A) and (B),
        that exports, or seeks to export, goods or services 
        produced in the United States;
          (2) the term ``State'' means any of the several 
        States, the District of Columbia, or any commonwealth, 
        territory, or possession of the United States; and
          (3) the term ``United States'' means the several 
        States, the District of Columbia, and any commonwealth, 
        territory, or possession of the United States.

               TITLE V--OTHER EXPORT PROMOTION ACTIVITIES

SEC. 501.\13\ ADDITIONAL PROCUREMENT OFFICERS.

    (a) Appointment.--The Secretary of Commerce, in 
consultation with the Secretary of the Treasury, shall appoint 
one or more full-time additional procurement officers, for each 
multilateral development bank, to promote exports of goods and 
services from the United States by doing the following:
---------------------------------------------------------------------------
    \13\ 22 U.S.C. 262s-2 note.
---------------------------------------------------------------------------
          (1) Acting as the liaison between the business 
        community and one or more multilateral development 
        banks, whether or not the banks have offices in the 
        United States. The Secretary of Commerce shall ensure 
        that the procurement officer has access to, and 
        disseminates to United States businesses, information 
        relating to projects which are being proposed by the 
        multilateral development bank involved, and bid 
        specifications and deadlines for projects about to be 
        developed by the bank. The procurement officer shall 
        make special efforts to disseminate such information to 
        small- and medium-sized businesses interested in 
        participating in such projects. The procurement officer 
        shall explore opportunities for disseminating such 
        information through private sector, nonprofit 
        organizations.
          (2) Taking actions to assure that United States 
        businesses are fully informed of bidding opportunities 
        for projects for which loans have been made by the 
        multilateral development bank involved.
          (3) Taking actions to assure that United States 
        businesses can focus on projects in which they have a 
        particular interest or competitive advantage, and to 
        permit them to compete and have an equal opportunity in 
        submitting timely and conforming bidding documents.
    (b) Definition.--As used in this section, the term 
``multilateral development bank'' has the meaning given that 
term in section 1701(c) of the International Financial 
Institutions Act (22 U.S.C. 262r(c)).
    (c) Authorization of Appropriations.--There are authorized 
to be appropriated to the Secretary of Commerce $1,000,000 for 
each of the fiscal years 1993 and 1994 to carry out this 
section. Amounts appropriated pursuant to this subsection shall 
be available only for the purpose of making the appointment of 
additional procurement officers required by subsection (a).
          * * * * * * *

                  TITLE VII--TRADE PROMOTION EXPANSION

SEC. 701. INCREASE IN COMMERCIAL SERVICE OFFICERS IN CERTAIN COUNTRIES.

    (a) Authorization of Appropriations.--In addition to 
amounts otherwise available, there are authorized to be 
appropriated $5,000,000 for each of the fiscal years 1993 and 
1994 for use by the Assistant Secretary of Commerce and 
Director General of the United States and Foreign Commercial 
Service in accordance with subsection (b).
    (b) Use of Funds.--Amounts appropriated pursuant to 
subsection (a) shall be available only for placing and 
maintaining 20 additional Commercial Service Officers abroad. 
The Secretary of Commerce, acting through the Assistant 
Secretary of Commerce and Director General of the United States 
and Foreign Commercial Service, may place such additional 
Commercial Service Officers--
          (1) in countries with which the United States has the 
        largest trade deficit, and
          (2) in newly emerging market economy countries, with 
        democratically elected governments, in Central and 
        Eastern Europe and elsewhere.
    (c) Report to Congress.--The Secretary of Commerce, acting 
through the Assistant Secretary of Commerce and the Director 
General of the United States and Foreign Commercial Service, 
shall, not later than December 31, 1994, submit to the 
Committee on Foreign Affairs of the House of Representatives 
\9\ and the Committee on Banking, Housing, and Urban Affairs of 
the Senate on the implementation of subsection (b). Each report 
shall specify--
          (1) in what countries the additional Commercial 
        Service Officers were placed, and the number of such 
        officers placed in each such country; and
          (2) the effectiveness of the presence of the 
        additional Commercial Service Officers in increasing 
        United States exports to the countries in which such 
        officers were placed.

                     TITLE VIII--GENERAL PROVISIONS

SEC. 801.\14\ IMPACT ON EMPLOYMENT IN THE UNITED STATES.

    No funds made available to carry out any provision of this 
Act or the amendments made by this Act may be obligated or 
expended for any financial incentive to a business enterprise 
currently located in the United States for the purpose of 
inducing such an enterprise to relocate outside the United 
States, if such incentive or inducement is likely to reduce the 
number of employees in the United States because United States 
production is being replaced by such enterprise outside the 
United States.
---------------------------------------------------------------------------
    \14\ 22 U.S.C. 2151 note.
---------------------------------------------------------------------------

SEC. 802.\15\ INTERNATIONALLY RECOGNIZED WORKER RIGHTS.

    No funds made available to carry out any provision of this 
Act or the amendments made by this Act may be obligated or 
expended for any project or activity that contributes to the 
violation of internationally recognized workers rights, as 
defined in section 502(a)(4) of the Trade Act of 1974, of 
workers in the recipient country, including any designated zone 
in that country.
---------------------------------------------------------------------------
    \15\ 22 U.S.C. 2151 note.
                 (14) Federal Triangle Development Act

 Partial text of Public Law 100-113 [S. 1550], 101 Stat. 735, approved 
August 21, 1987, as amended by Public Law 105-277 [Omnibus Consolidated 
  and Emergency Appropriations Act, 1999; H.R. 4328], 112 Stat. 2681, 
                       approved October 21, 1998

AN ACT To complete the Federal Triangle in the District of Columbia, to 
 construct a public building to provide Federal office space and space 
for an international cultural and trade center, and for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,
          * * * * * * *

SEC. 7.\1\ INTERNATIONAL CULTURAL AND TRADE CENTER COMMISSION

    (a) Establishment.--There is established a commission to be 
known as the International Cultural and Trade Center 
Commission.
---------------------------------------------------------------------------
    \1\ 40 U.S.C. 1106.
---------------------------------------------------------------------------
    (b) Duties of Commission.--The duties of the Commission are 
as follows:
          (1) To participate in accordance with section 4 in 
        the planning of the building to be constructed under 
        section 5.
          (2) To enter into an agreement with the Administrator 
        under section 8 for the lease of space in the building 
        constructed under section 5 for establishment, 
        operation, and maintenance of an international cultural 
        and trade center.
          (3) To operate and manage any space leased under 
        section 8 in accordance with the objectives of this 
        Act.
          (4) To prepare under section 8 an annual report on 
        the operation and management of such space.
    (c) Membership.--
          (1) Number and appointment.\2\ --The Commission shall 
        be composed of 14 members as follows:
---------------------------------------------------------------------------
    \2\ Sec. 1335(h)(1)(A) of Division G of Public Law 105-277, the 
Foreign Affairs Reform and Restructuring Act of 1998 (112 Stat. 2681-
788), amended sec. 7(c)(1) by striking ``15 members'' and inserting 
``14 members''.
---------------------------------------------------------------------------
                  (A) The Secretary of State or his delegate.
                  (B) The Secretary of Commerce or his delegate
                  (C) The Secretary of Agriculture or his 
                delegate.
                  (D) The United States Trade Representative or 
                his delegate.
                  (E) The Administrator or his delegate.
                  (F) \3\ The Chairman of the Corporation or 
                his delegate.
---------------------------------------------------------------------------
    \3\ Sec. 1335(h)(1)(B) and (C) of Division G of Public Law 105-277, 
the Foreign Affairs Reform and Restructuring Act of 1998 (112 Stat. 
2681-788), struck out subpara. (F) and redesignated subparas. (G) 
through (J) as subparas. (F) through (I), respectively. Subpara. (F) 
originally read ``The Director of the United States Information Agency 
or his delegate.''.
---------------------------------------------------------------------------
                  (G) \3\ The Mayor of the District of Columbia 
                or his delegate.
                  (H) \3\ The Chairman of the National 
                Endowment for the Arts or his delegate.
                  (I) \3\ 6 individuals appointed by the 
                President one of whom shall be a resident and 
                registered voter of the District of Columbia 
                and all of whom shall be specially qualified to 
                serve on the Commission by virtue of their 
                education, training, or experience in 
                international trade, commerce, cultural 
                exchange, finance, business, or management of 
                facilities similar to the international 
                cultural and trade center described in section 
                8.
          A vacancy in the Commission shall be filled in the 
        manner in which the original appointment was made.
          (2) Terms.--
                  (A) General rule.--Except as provided in 
                subparagraph (B), the terms of office of the 
                private sector Members first taking office 
                shall begin on the date of the enactment of 
                this Act and shall expire as designated at the 
                time of appointment, two at the end of two 
                years, two at the end of four years, and two at 
                the end of six years.
                  (B) Filling vacancy.--Any member of the 
                Commission appointed to fill a vacancy 
                occurring before the expiration of the term for 
                which his predecessor was appointed shall be 
                appointed only for the remainder of such term. 
                A member may serve after the expiration of his 
                term until his successor has taken office.
          (3) Pay.--Members of the Commission shall serve 
        without pay; except that any member of the Commission 
        appointed under paragraph (1)(I) \4\ shall while 
        attending meetings of and attending hearing held by the 
        Commission be entitled to travel or transportation 
        expenses in accordance with section 5703 of title 5, 
        United States Code.
---------------------------------------------------------------------------
    \4\ Sec. 1335(h)(2) of Division G of Public Law 105-277 the Foreign 
Affairs Reform and Restructuring Act of 1998 (112 Stat. 2681-788), 
struck ``paragraph (1)(J)'' each place it appeared in paras. (3) and 
(5) in subsec. (c) and inserted ``paragraph (1)(i)''.
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          (4) Quorum.--8 members of the Commission shall 
        constitute a quorum but lesser number may hold 
        hearings.
          (5) Designation of chairman.--The Chairman and Vice 
        Chairman of the Commission shall be designated by the 
        President; except that the Chairman may only be 
        designated from individuals appointed under paragraph 
        (1)(I) \4\.
          (6) Meetings.--The Commission shall meet at the call 
        of the Chairman but no less often than every 4 months.
    (d) Staff of Commission.--
          (1) General Rule.--The Commission shall have a staff, 
        including an executive director. Such staff shall be 
        composed of individuals who may either be appointed 
        under paragraph (2) or detailed under paragraph (3); 
        except that the staff of the Commission may not at any 
        time be composed of more than 15 individuals.
          (2) Authority to appoint.--The Commission may appoint 
        and fix the pay of not to exceed 10 individuals, 
        including an individual to serve as the executive 
        director of the Commission. Staff appointed under this 
        paragraph shall be appointed subject to the provisions 
        of title 5, United States Code, governing appointments 
        in the competitive service, and shall be paid in 
        accordance with the provisions of chapter 51 and 
        subchapter III of chapter 53 of such title relating to 
        classification and General Schedule pay rates; except 
        that--
                  (A) the individual appointed to serve as the 
                executive director and one other individuals 
                appoint to the staff of the Commission may be 
                appointed and compensated without regard to 
                such provisions; and
                  (B) the pay of any individual (other than the 
                2 individuals referred to in subparagraph (A)) 
                appointed under this paragraph shall be at a 
                rate not to exceed the maximum rate of basic 
                pay payable to GS-17 of the General Schedule.
          (3) Detail.--Subject to paragraph (1), upon request 
        of the Commission, the Secretary of State, the 
        Secretary of Commerce, the Secretary of Agriculture, 
        the Special Trade Representative, and the Administrator 
        \5\ may detail, on a reimbursable basis, such of the 
        personnel of the department or agency such person heads 
        as may be necessary to assist the Commission in 
        carrying out it duties under this Act.
---------------------------------------------------------------------------
    \5\ Sec. 1335(h)(3) Division G of Public Law 105-277, the Foreign 
Affairs Reform and Restructuring Act of 1998 (112 Stat. 2681-788) 
amended para. (3) by striking ``the Administrator and the Director of 
the United States Information Agency'' and inserting ``and the 
Administrator''.
---------------------------------------------------------------------------
    (e) Office Space and Supplies.--Upon request of the 
Commission, the Secretary of State, the Secretary of Commerce, 
the Secretary of Agriculture, The Special Trade Representative, 
the Administrator, and the Director of the United States 
Information Agency may provide, on a reimbursable basis, such 
office space, supplies, equipment, and other support services 
as may be necessary for the Commission to carry out it duties 
under this Act.
    (f) Powers of Commission.--
          (1) Hearings and sessions.--The Commission may, for 
        the purpose of carrying out it duties under this Act, 
        hold such hearings, sit and act at such times and 
        places, take such testimony, and receive such evidence, 
        as the Commission considers appropriate.
          (2) Powers of members and agents.--Any member or 
        agent of the Commission may, if so authorized by the 
        Commission, take any action which the Commission is 
        authorized to take by this subsection.
          (3) Obtaining official data.--The Commission may 
        obtain from any department or agency of the United 
        States information necessary to enable it to carry out 
        its duties under this Act. Upon request of the Chairman 
        of the Commission, the head of such department or 
        agency shall furnish such information to the 
        Commission.
          (4) Gifts.--The Commission may accept, use, and 
        dispose of gifts or donations of services or property.
          (5) Mails.--The Commission may use the United States 
        mails in the same manner and under the same conditions 
        as other departments and agencies of the United States.
          (6) Authority to contract out.--Subject to applicable 
        provisions of law, the Commission may enter into such 
        contracts or agreements as the Commission considers 
        appropriate to carry out any of its duties under this 
        Act.
          (7) Experts and consultants.--The Commission may 
        procure temporary and intermittent services under 
        section 3109(b) of title 5 of the United States Code.
    (g) Limitation on Expenses.--
          (1) Maximum amount.--The maximum amount of expenses 
        (including salaries, travel expenses, expenses for 
        temporary and intermittent services, expenses under 
        contracts or agreements entered into under subsection 
        (f)(7), and supply expenses) which the Commission may 
        incur in any fiscal year may not exceed $1,000,000 in 
        any fiscal year.
          (2) Adjustment for inflation.--Any dollar amount 
        referred to in this subsection, subsection (h)(3), and 
        section 8(d) may be adjusted by the Commission annually 
        to reflect a percentage increase or decrease in the 
        Consumer Price Index for All Urban Consumers for the 
        preceding calendar year, as determined by the United 
        States Department of Labor, Bureau of Labor Statistics.
    (h) Funding.--
          (1) Requests for transfers.--If the Commission incurs 
        any expenses in carrying out its duties under this Act, 
        the Commission may request the Secretary of State, the 
        Administrator, or any other Federal official referred 
        to in subsection (c)(1) to transfer to the Commission 
        an amount equal to such expenses from funds 
        appropriated to such official.
          (2) Authority for transfers.--Subject to paragraphs 
        (3) and (5), any official referred to in paragraph (1) 
        may transfer such amounts from funds appropriated to 
        such official as may be necessary to enable the 
        Commission to carry out its duties under this Act.
          (3) Maximum amount of requests and transfers.--The 
        aggregate amount of requests for transfers, and the 
        aggregate amount of transfers, under this subsection 
        may not exceed $1,000,000 in any fiscal year.
          (4) Deposit of receipts.--The Commission shall 
        deposit all amounts it receives under this subsection 
        into the account established by section 8(d).
          (5) Limitation on effect.--This subsection shall not 
        be effective with respect to any fiscal year beginning 
        after the last day of the 2-year period beginning on 
        the first day the Commission deposits under section 
        8(c) funds into the account established by section 
        8(d).

SEC. 8.\6\ OPERATION AND MANAGEMENT OF INTERNATIONAL CULTURAL AND TRADE 
                    CENTER

    (a) Lease of Space.--
---------------------------------------------------------------------------
    \6\ 40 U.S.C. 1107.
---------------------------------------------------------------------------
          (1) Agreement.--The Administrator and the Commission 
        shall enter into an agreement for the Commission to 
        lease from the Administrator not to exceed 500,000 
        square feet of occupiable space in the building to be 
        constructed under section 5 to serve as an 
        international cultural and trade center.
          (2) Size.--The Commission shall determine the amount 
        of space necessary for operation of the international 
        cultural and trade center based upon demand, except 
        that such space may not exceed 500,000 square feet of 
        occupiable space. Upon certification of such demand by 
        the Commission, the Administrator shall lease such 
        amount of space to the Commission.
          (3) Terms.--The agreement entered into under this 
        subsection shall include at a minimum the following 
        terms:
                  (A) The Commission will be permitted to 
                sublease its space in such building to foreign 
                missions, commercial establishments sponsored 
                by foreign governments, and international 
                cultural and trade organizations, including 
                domestic organizations and State and local 
                governments.
                  (B) All space leased by the Commission from 
                the Administrator will be at such rate as the 
                Administrator and the Commission may agree but 
                not less than the rate established under 
                section 6(b)(2) plus such amount as the 
                Administrator determines is necessary to pay on 
                an annual basis for the costs of administering 
                such building (including operation, 
                maintenance, and rehabilitation costs) which 
                are attributable to such space.
                  (C) Such terms relating to default and 
                nonperformance as the Administrator considers 
                appropriate to protect the interests of the 
                United States.
    (b) Establishment of Center.--
          (1) By commission.--The Commission shall establish, 
        operate, and maintain an international cultural and 
        trade center in the space leased from the Administrator 
        under subsection (a).
          (2) Contents.--The international cultural and trade 
        center may include the following:
                  (A) Office space for foreign missions and 
                domestic and international organizations 
                involved in international trade or cultural 
                activities.
                  (B) A world exhibition center providing space 
                for exhibits from foreign nations.
                  (C) An international bazaar providing space 
                for commercial establishments sponsored by 
                foreign governments.
                  (D) An international center providing a 
                centralized foreign trade reference facility, 
                conference and meeting facilities, and audio-
                visual facilities for translating foreign 
                languages.
                  (E) Such other facilities as are consistent 
                with the objectives of this section.
          (3) Subleasing of space.--
                  (A) Agreements.--The Commission may enter 
                into agreements with foreign missions and 
                international cultural and trade organizations 
                (including domestic organizations and State and 
                local governments) to sublease any or all of 
                the space it leased from the Administrator 
                under subsection (a). Space subleased to such 
                missions and organizations may only be used for 
                establishment of trade centers and exhibitions, 
                offices, and commercial establishments 
                described in paragraph (2) and such other 
                facilities as the Commission determines are 
                consistent with an international cultural and 
                trade center.
                  (B) Terms and conditions.--An agreement 
                entered into under this subsection shall be 
                subject to such terms and conditions as the 
                Commission determines are appropriate to carry 
                out the objectives of this Act. The rental rate 
                per square foot of occupiable space for space 
                subleased under this subsection shall be 
                determined in accordance with subsection (c); 
                except that the Commission may adjust such rate 
                with respect to any space subleased to a 
                foreign mission in accordance with the 
                recommendations of the Secretary of State 
                acting in accordance with section 204(b) of the 
                State Department Basic Authorities Act of 1956 
                (22 U.S. C. 4304(b)). The Secretary of State 
                may reimburse the Commission for any expenses 
                which are incurred by the Commission as a 
                result of making adjustments in the rental rate 
                for space under this subparagraph.
          (4) Reference facility and cultural events.--The 
        Commission may establish in a portion of the space 
        leased from the Administrator under this section a 
        centralized foreign trade reference facility and 
        conference and meeting facilities and audio-visual 
        facilities for translating foreign languages. The 
        Commission may permit cultural events and other 
        activities to be held in a portion of such space. The 
        Commission shall establish in accordance with 
        subsection (c) fees and charges for--
                  (A) the use of such facilities and 
                auditorium, and
                  (B) the holding of such events and 
                activities.
    (c) Rents and Fees.--
          (1) Establishment of amount.--The Commission shall 
        establish the amounts of fees under subsection (b)(4), 
        and establish a rental rate for space subleased under 
        subsection (b)(3), taking into account the objectives 
        of this section and the best interests of the United 
        States. In any fiscal year beginning after the last day 
        of the 2-year period beginning on the first day the 
        Commission deposits under this subsection funds into 
        the account established under subsection (d), the 
        aggregate amount of such fees and rent shall not be 
        less than the cost to the Commission of subleasing 
        space from the Administrator under subsection (a) in 
        such fiscal year plus the expenses (including salaries, 
        travel expenses, expenses for temporary and 
        intermittent services, expenses under contracts or 
        agreements entered into under subsection 7(f)(7), 
        supply expenses and any reimbursable expenses) incurred 
        by the Commission in carrying out its duties under this 
        Act in such fiscal year.
          (2) Collection.--The Commission shall collect--
                  (A) rent for space subleased under subsection 
                (b); and
                  (B) fees and charges under subsection (b).
          (3) Deposit.--The Commission shall deposit all 
        amounts collected under this subsection and all amounts 
        transferred by the Secretary of State to the Commission 
        under subsection (b)(3)(B) into the account established 
        under subsection (d).
    (d) Separate Account.--
          (1) Establishment.--There is established in the 
        Treasury of the United States a separate account.
          (2) Contents.--The account shall include all amounts 
        deposited by the Commission under subsection (c) and 
        section 7(h).
          (3) Availability.--Amounts in the account established 
        under this subsection shall be available to the 
        Commission to pay--
                  (A) all rents owed to the Administrator for 
                lease of space under subsection (a); and
                  (B) all expenses (including salaries, travel 
                expenses, expenses for temporary and 
                intermittent services, expenses under contracts 
                or agreements entered into under section 
                7(f)(7), and supply expenses) incurred by the 
                Commission in carrying out its duties under 
                this Act but not exceeding $1,000,000 in any 
                fiscal year.
          (4) Payments.--The Commission shall pay, from amounts 
        in the account established by this subsection--
                  (A) for lease of space under subsection (a) 
                on an annual basis amounts owed to the 
                Administrator for deposit into the fund 
                established by section 210(f) of the Federal 
                Property and Administrative Services Act of 
                1949 (40 U.S.C. 490 (f)); and
                  (B) all expenses incurred by it in carrying 
                out its duties under this Act but not exceeding 
                $1,000,000 in any fiscal year.
          (5) Transfer of excess funds.--Periodically, but not 
        less often than once per fiscal year, funds which the 
        Commission determines are in excess of those needed to 
        make the payments described in paragraph (4) shall be 
        transferred by the Commission from the account 
        established under this subsection to the fund 
        established under section 210(f) of the Federal 
        Property and Administrative Services Act of 1949 (40 
        U.S.C. 490 (f)).
    (h) \7\ Annual Report and Budget.--The Commission shall 
prepare and transmit to the Committee on Environment and Public 
Works of the Senate and the Committee of Public Works and 
Transportation \8\ of the House of Representatives (1) an 
annual report in January of each calendar year on the operation 
and management of the space leased by the Commission under 
subsection (a) and the international cultural and trade center, 
and (2) a budget for such fiscal year for operation, 
maintenance, and alteration of such center, including amounts 
received and projected to be received by the Commission in such 
fiscal year and expenses incurred and projected to be incurred 
by the Commission in such fiscal year.
---------------------------------------------------------------------------
    \7\ Designated as ``(h)'' in Public Law; no subsecs. (e), (f), or 
(g).
    \8\ Sec. 1(a)(9) of Public Law 104-14 (109 Stat. 186) provided that 
references to the Committee on Public Works and Transportation of the 
House of Representatives shall be treated as referring to the Committee 
on Transportation and Infrastructure of the House of Representatives.
---------------------------------------------------------------------------
          * * * * * * *
               (15) Customs and Miscellaneous Amendments

Partial text of Title II of Public Law 98-573 [Trade and Tariff Act of 
1984; H.R. 3398], 98 Stat. 2948 at 2973, approved October 30, 1984, as 
amended by Public Law 100-418 [Omnibus Trade and Competitiveness Act of 
       1988; H.R. 4848], 102 Stat. 1107, approved August 23, 1988

  AN ACT To amend the trade laws, authorize the negotiation of trade 
agreements, extend trade preferences, change the tariff treatment with 
          respect to certain articles, and for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled, That this 
Act with the following table of contents may be cited as the 
``Trade and Tariff Act of 1984''.
          * * * * * * *

             TITLE II--CUSTOMS AND MISCELLANEOUS AMENDMENTS

            Subtitle A--Amendments to the Tariff Act of 1930

          * * * * * * *

              Subtitle B--Small Business Trade Assistance

          * * * * * * *

                  Subtitle C--Miscellaneous Provisions

SEC. 231. FOREIGN TRADE ZONE PROVISIONS.

    (a)(1) The Congress finds that a delicate balance of the 
interests of the bicycle industry and the bicycle component 
parts industry has been reached through repeated revision of 
the Harmonized Tariff Schedule of the United States \1\ so as 
to allow duty-free import of those categories of bicycle 
component parts which are not manufactured domestically. The 
Congress further finds that this balance would be destroyed by 
exempting otherwise dutiable bicycle component parts from the 
customs laws of the United States through granting foreign 
trade zone status to bicycle manufacturing and assembly plants 
in the United States and that the preservation of such balance 
is in the public interest and in the interest of the domestic 
bicycle industry.
---------------------------------------------------------------------------
    \1\ Sec. 1214(s)(1) of Public Law 100-418 (102 Stat. 1160) 
substituted the text ``Harmonized Tariff Schedule of * * *'' in lieu of 
``Tariff Schedules of * * *''.
---------------------------------------------------------------------------
    (2) \2\ * * *
---------------------------------------------------------------------------
    \2\ Para. (2) amended sec. 3 of the Act of June 18, 1934 (Foreign 
Trade Zones Act; 19 U.S.C. 81c), effective on the fifteenth day after 
the date of the enactment of this Act. Para. (2) also amended sec. 15 
of that Act, effective January 1, 1983.
---------------------------------------------------------------------------
          * * * * * * *

SEC. 235.\3\ PRODUCTS OF CARIBBEAN BASIN COUNTRIES ENTERED IN PUERTO 
                    RICO.
---------------------------------------------------------------------------

    \3\ Sec. 235 amended the Caribbean Basin Economic Recovery Act.
---------------------------------------------------------------------------
          * * * * * * *

SEC. 245. SENSE OF CONGRESS REGARDING POSSIBLE EEC ACTION ON CORN 
                    GLUTEN.

    Whereas--
          (1) the European Council of Ministers has directed 
        the Commission of the European Community (EC) to 
        initiate consultations with the United States and other 
        interested parties under article XXVIII of the General 
        Agreement on Tariffs and Trade (GATT) for the purpose 
        of imposing tariff or tariff quota restrictions on 
        imports of nongrain feed ingredients, including corn 
        gluten feed;
          (2) the EC has considered proposals to impose a 
        domestic consumption tax on vegetable fats and oils, 
        which would undermine the intention of the duty-free 
        binding on certain corn and soybean products imported 
        from the United States;
          (3) the EC has bound in the GATT that it will impose 
        no import duties on soybeans, soybean meal, corn gluten 
        feed, and other corn by-products, and such zero-tariff 
        bindings were agreed to in return for United States 
        trade concessions to the EC during previous rounds of 
        trade negotiations;
          (4) the EC has not demonstrated sound economic 
        justification for restrictions on the import of 
        nongrain feed ingredients and such restrictions would 
        only shift the financial burden of EC Common 
        Agricultural Policy (CAP) reform from the EC to other 
        countries, with negligible improvement in the current 
        EC budget situation;
          (5) action by the EC to breach a negotiated 
        concession would severely erode the basic GATT 
        principle of comparative advantage and set a dangerous 
        precedent which could threaten other previously 
        negotiated concessions and serve as a precursor to 
        restrictions on the import of soybeans and soybean 
        products; and
          (6) the official position of the United States, as 
        stated by the Secretary of Agriculture, is that there 
        is strong support for the EC efforts to balance the 
        agricultural budget, but that the United States will 
        oppose any efforts to limit its exports of corn gluten 
        feed to the EC;
it is the sense of Congress that--
                  (A) the President should continue to firmly 
                oppose the imposition of any restriction on 
                European Community imports of nongrain feed 
                ingredients, including corn gluten, and should 
                support the current duty-free binding on such 
                products;
                  (B) the President should continue to 
                rigorously oppose any European Community 
                proposals which would violate the intent of the 
                existing duty-free binding in the General 
                Agreement on Tariffs and Trade on soybeans and 
                soybean products and reaffirm the United States 
                conviction that the imposition of a consumption 
                tax on vegetable fats and oils by the European 
                Community would represent a restraint of trade; 
                and
                  (C) if unilateral action is taken by the 
                European Community to restrict or inhibit the 
                importation of either nongrain feed 
                ingredients, including corn gluten feed, or 
                vegetable fats and oils, including soybean 
                products, the United States should act 
                immediately to restrict European Community 
                imports of at least the aggregate value of the 
                reduced and potentially reduced United States 
                export products.

SEC. 246. STUDY ON HONEY IMPORTS.

    (a) The Senate finds that--
          (1) in 1976 the International Trade Commission found 
        that honey imports threatened serious injury to the 
        domestic honey industry and recommended action to 
        control honey imports.
          (2) the domestic honey industry is essential for 
        production of many agricultural crops.
          (3) a significant part of our total diet is dependent 
        directly or indirectly on insect pollination, and
          (4) it is imperative that the domestic honey bee 
        industry be maintained at a level sufficient to provide 
        crop pollination.
    (b) It is the sense of the Senate that the Secretary of 
Agriculture should promptly request the President to call for 
an International Trade Commission investigation of honey 
imports, under section 22 of the Agriculture Adjustment Act.

SEC. 247. COPPER IMPORTS.

    (a) The Congress finds that--
          (1) The United States International Trade Commission 
        unanimously found that the United States copper 
        producing industry is being seriously injured by copper 
        imports;
          (2) worldwide copper prices are at record low levels;
          (3) foreign copper producers have increased their 
        copper production in spite of depressed world prices in 
        an effort to meet their external debt obligations;
          (4) United State copper production has been reduced 
        by over forty percent and over half of the work force 
        has been laid off;
          (5) continuation of the current depressed world price 
        for copper threatens severe economic distress for less 
        developed countries which are dependent on copper 
        exports as their major source of foreign exchange;
          (6) the competitiveness of United States copper 
        producers could be enhanced through the investment 
        which could be generated if worldwide copper prices 
        returned to more historically representative levels; 
        and
          (7) a balanced reduction in foreign copper production 
        which raises marginally the world price for copper 
        would not disadvantage domestic fabricators by creating 
        a two-tier pricing system.
    (b) It is the sense of Congress that the President should 
negotiate with the principal foreign copper-producing countries 
to conclude voluntary restraint agreements with those 
governments for the purpose of effecting a balanced reduction 
of total annual foreign copper production for a period of 
between three and five years in order to--
          (1) allow the price of copper on international 
        markets to rise modestly to levels which will permit 
        the remaining copper operations located in the United 
        States to attract needed capital, and
          (2) achieve a secure domestic supply of copper.
    (c) It is the further sense of the Congress that the 
President should submit a report to Congress, within twelve 
months of the date of enactment of this Act, explaining--
          (1) the results of his negotiations; or
          (2) why he felt it was inappropriate or unnecessary 
        to undertake such negotiations.
          * * * * * * *

SEC. 250. HOGS AND PORK PRODUCTS FROM CANADA.

    The pork industry contributes $9,000,000,000 annually to 
the United States economy;
    Over four hundred and fifty thousand United States farmers 
produce pork for domestic and foreign markets;
    United States imports of live hogs from Canada averaged one 
hundred thousand animals each year between 1970 and 1974, yet 
since 1981, such imports have increased yearly from one hundred 
and forty-six thousand head to an estimated more than one 
million head in 1984;
    The adverse economic effect of the recent surge in imports 
of Canadian hogs and pork products on United States pork 
producers has been estimated to be in excess of $500,000,000 in 
1982 and 1983, and approximately $300,000,000 during the first 
five months of 1984;
    The Canadian Government provides price support for hogs at 
a level equal to 90 per centum of the previous five-year 
average market price, indexed for changes in cash costs of 
production of hogs, which represented a payment of $6.54 per 
head to Canadian pork producers last year, and all but one 
provincial government of Canada also provide direct production 
assistance to support Canadian pork producers; and
    It is essential that the administration act immediately to 
address the threat to the United States pork production 
industry caused by the dramatic increase in imports of hogs and 
pork products from Canada.
    It is the sense of the Senate that the President should 
direct appropriate members of the administration, including the 
United States Trade Representative, the Secretary of 
Agriculture, and the Secretary of Commerce, to aggressively 
pursue discussions with the Canadian Government directed toward 
resolving this situation and use all available authorities in 
an effort to protect the economic viability of the United 
States pork industry and to promote free and fair trade.

SEC. 251. COPYRIGHT PROTECTION OF COMPUTER SOFTWARE.

    Since the development of computer software and other 
information technologies is increasingly important to economic 
growth and productivity in the United States and other nations;
    Since the United States is the world leader in the 
technological development of computer software and in the 
production and sale of computer software;
    Since the United States has since 1964 considered computer 
software a work of authorship protected by copyright and this 
form of intellectual property right protection has served to 
encourage continuing research, development, and innovation of 
computer software;
    Since copyright protection is afforded computer software by 
most industrialized nations including Japan, the Netherlands, 
France, the Federal Republic of Germany, the United Kingdom, 
South Africa, Hungary, Taiwan, and Australia;
    Since Japan is reviewing a proposal to abandon copyright 
protection of software and to adopt a system that rejects the 
principle that software is a work of authorship;
    Since Japan is reviewing a proposal that also provides 
broadly for the compulsory licensing of software; and
    Since the enactment by Japan of such a proposal could 
prompt the adoption of similar proposals by other nations 
currently considering this question, with serious adverse 
effects on the existing international order for the protection 
of intellectual property rights: Now, therefore, be it
    Declared that it is the sense of the Congress that--
          (1) copyright protection is an essential form of 
        intellectual property right protection for computer 
        software;
          (2) any proposal to abandon copyright protection of 
        software or to provide a new system of legal protection 
        that incorporates compulsory licensing of software 
        would (A) disserve the goal of promoting continuing 
        development and innovation in computer software; (B) 
        undermine the international consensus that computer 
        software is a work of authorship protected by 
        copyright; (C) result in economic harm to the computer 
        software industry of the United States, and also of 
        Japan and of other nations; and (D) contribute to 
        increasing trade tensions among the nations of the 
        world; and
          (3) if a nation withdraws copyright protection of 
        software or provides for broad compulsory licensing of 
        software, it would be in the interests of the United 
        States and other nations to seek appropriate relief, 
        including that provided under the Universal Copyright 
        Convention, to ensure the just protection of 
        intellectual property rights and the promotion of free 
        and fair trade.
              (16) International Trade and Investment Act

Partial text of Title III of Public Law 98-573 [Trade and Tariff Act of 
1984; H.R. 3398], 98 Stat. 2948 at 3000, approved October 30, 1984, as 
 amended by sec. 101(h) of Division A of Public Law 105-277 (Treasury 
  and General Government Appropriations Act, 1999; 112 Stat. 2681-524)

  AN ACT To amend the trade laws, authorize the negotiation of trade 
agreements, extend trade preferences, change the tariff treatment with 
          respect to certain articles, and for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled, That this 
Act with the following table of contents may be cited as the 
``Trade and Tariff Act of 1984''.
          * * * * * * *

             TITLE III--INTERNATIONAL TRADE AND INVESTMENT

SEC. 301.\1\ SHORT TITLE; AMENDMENT OF TRADE ACT OF 1974.

    (a) This title may be cited as the ``International Trade 
and Investment Act''.
---------------------------------------------------------------------------
    \1\ 19 U.S.C. 2101 note.
---------------------------------------------------------------------------
    (b) Except as otherwise expressly provided, whenever in 
this title an amendment or repeal is expressed in terms of an 
amendment to, or repeal of, a section or other provision, the 
reference shall be considered to be made to a section or other 
provision the Trade Act of 1974.

SEC. 302.\2\ STATEMENT OF PURPOSES.

    The purposes of this title are--
---------------------------------------------------------------------------
    \2\ 19 U.S.C. 2102 note.
---------------------------------------------------------------------------
          (1) To foster the economic growth of, and full 
        employment in, the United States by expanding 
        competitive United States exports through the 
        achievement of commercial opportunities in foreign 
        markets substantially equivalent to those accorded by 
        the United States;
          (2) to improve the ability of the President--
                  (A) To identify and to analyze barriers to 
                (and restrictions on) United States Trade and 
                investment, and
                  (B) to achieve the elimination of such 
                barriers and restrictions;
          (3) to encourage the expansion of--
                  (A) international trade in services through 
                the negotiation of agreements (both bilateral 
                and multilateral) which reduce or eliminate 
                barriers to international trade in services, 
                and
                  (B) United States service industries in 
                foreign commerce; and
          (4) to enhance the free flow of foreign direct 
        investment through the negotiation of agreements (both 
        bilateral and multilateral) which reduce or eliminate 
        the trade distortive effects of certain investment-
        related measures.
          * * * * * * *

SEC. 306.\3\ PROVISIONS RELATING TO INTERNATIONAL TRADE IN SERVICES.

    (a)(1) The Secretary of Commerce shall establish a service 
industries development program designated to--
---------------------------------------------------------------------------
    \3\ 19 U.S.C. 2114b.
---------------------------------------------------------------------------
          (A) develop, in consultation with other Federal 
        agencies as appropriate, policies regarding services 
        that are designed to increase the competitiveness of 
        United States service industries in foreign commerce;
          (B) develop a data base for assessing the adequacy of 
        Government policies and actions pertaining to services, 
        including, but not limited to, data on trade, both 
        aggregate and pertaining to individual service 
        industries;
          (C) collect and analyze, in consultation with 
        appropriate agencies, information pertaining to the 
        international operations and competitiveness of United 
        States service industries, including information with 
        respect to--
                  (i) policies of foreign governments toward 
                foreign and United States service industries;
                  (ii) Federal, State, and local regulation of 
                both foreign and United States suppliers of 
                services, and the effect of such regulation on 
                trade;
                  (iii) the adequacy of current United States 
                policies to strengthen the competitiveness of 
                United States service industries in foreign 
                commerce, including export promotion activities 
                in the service sector.
                  (iv) tax treatment of services, with 
                particular emphasis on the effect of United 
                States taxation on the international 
                competitiveness of United States firms and 
                exports;
                  (v) treatment of services under international 
                agreements of the United States;
                  (vi) antitrust policies as such policies 
                affect the competitiveness of United States 
                firms; and
                  (vii) treatment of services in international 
                agreements of the United States;
          (D) conduct a program of research and analysis of 
        services-related issues and problems, including 
        forecasts and industrial strategies; and
          (E) conduct sectoral studies of domestic service 
        industries;
    (2) For purposes of the collection and analysis required by 
paragraph (1), and for the purpose of any reporting the 
Department of Commerce makes under paragraph (3), such 
collection and reporting shall distinguish between income from 
investment and income from noninvestment services.
    (3) On not less than a biennial basis beginning in 1986, 
the Secretary shall prepare a report which analyzes the 
information collected under paragraph (1). Such report shall be 
submitted to the Congress and to the President by not later 
than the date that is 120 days after the close of the period 
covered by the report.
    (4) The Secretary of Commerce shall carry out the 
provisions of this subsection from funds otherwise make 
available to him which may be used for such purposes.
    (5) For purposes of this section, the term ``services'' 
economic activities whose outputs are other than tangible 
goods. Such term includes, but not is limited to, banking, 
insurance, transportation, postal and delivery services,\4\ 
communications and data processing, retail and wholesale trade, 
advertising, accounting, construction, design, engineering, 
management consulting, real estate, professional services, 
entertainment, education health care, and tourism.
---------------------------------------------------------------------------
    \4\ Sec. 633(c) of sec. 101(h) of Division A of Public Law 105-277 
(Treasury and General Government Appropriations Act, 1999; 112 Stat. 
2681-524) inserted ``postal and delivery services'' after 
``transportation''.
---------------------------------------------------------------------------
    (b) \5\ * * *
---------------------------------------------------------------------------
    \5\ Subsec. (b) redesignated the International Investment Survey 
Act of 1976 as the International Investment and Trade in Services 
Survey Act and made a number of amendments to such Act.
---------------------------------------------------------------------------
    (c) \6\ (1)(A) The United States Trade Representative, 
through the interagency trade organization established pursuant 
to section 242(a) of the Trade Expansion Act of 1962 or any 
subcommittee thereof, shall, in conformance with this Act and 
other provisions of law, develop (and coordinate the 
implementation of) United States policies concerning trade in 
services.
---------------------------------------------------------------------------
    \6\ 19 U.S.C. 2114c.
---------------------------------------------------------------------------
    (B) In order to encourage effective development, 
coordination, and implementation of United States policies on 
trade in services--
          (i) each department or agency of the United States 
        responsible for the regulation of any service sector 
        industry shall, as appropriate, advise and work with 
        the United States Trade Representative concerning 
        matters that have come to the department's or agency's 
        attention with respect to--
                  (I) the treatment afforded United States 
                service sector interest in foreign markets; or
                  (II) allegations of unfair practices by 
                foreign governments or companies in a service 
                sector; and
          (ii) the Department of Commerce, together with other 
        appropriate agencies as requested by the United States 
        Trade Representatives, shall provide staff support and 
        other assistance for negotiations on service-related 
        issues by the United States Trade Representatives and 
        the domestic implementation of service-related 
        agreements.
    (C) Nothing in this paragraph shall be construed to alter 
any existing authority or responsibility with respect to any 
specific service sector.
    (2)(A) The President shall, as he deems appropriate--
          (i) consult with State governments on issues of trade 
        policy, including negotiating objectives an 
        implementation of trade agreements, affecting the 
        regulatory authority of non-Federal governments, or 
        their procurement of goods and services;
          (ii) establish one or more intergovernmental policy 
        advisory committees on trade which shall serve as a 
        principal forum in which State and local governments 
        may consult with the Federal Government with respect to 
        the matters described in clause (i); and
          (iii) provide to State and local governments and to 
        United States service industries, upon their request, 
        advice, assistance, and (except as may be otherwise 
        prohibited by law) data, analyses, and information 
        concerning United States policies on international 
        trade in services.
    (B) \7\ * * *
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    \7\ Subparas. (B) and (C) amended the Trade Act of 1974.
---------------------------------------------------------------------------
    (C) \7\ * * *

SEC. 307.\8\ NEGOTIATING AUTHORITY WITH RESPECT TO FOREIGN DIRECT 
                    INVESTMENT.
---------------------------------------------------------------------------

    \8\ 19 U.S.C. 2114d.
---------------------------------------------------------------------------
    (a) \9\ * * *
---------------------------------------------------------------------------
    \9\ Subsec. (a) amended the Trade Act of 1974.
---------------------------------------------------------------------------
    (b)(1) If the United States Trade Representative, with the 
advice of the committee established by section 242 of the Trade 
Expansion of 1962 (19 U.S.C. 1872), determines that action by 
the United States is appropriate to respond to any export 
performance requirements of any foreign country or 
instrumentality that adversely affect the economic interests of 
the United States, then the United States Trade Representative 
shall seek to obtain the reduction and elimination of such 
export performance requirements through consultations and 
negotiations with the foreign country or instrumentality 
concerned.
    (2) In addition to the action referred to in subsection 
(1), the United States Trade Representative may impose duties 
or other import restrictions on the products or services of 
such foreign country or instrumentality for such time as he 
determines appropriate, including the exclusion from entry into 
the United States of products subject to such requirements.
    (3) Nothing in paragraph (2) \10\ shall apply to any 
products or services with respect to which--
---------------------------------------------------------------------------
    \10\ Sec. 1889 of Public Law 99-514 (100 Stat. 2926) struck out the 
words ``or paragraph (3)'' which previously appeared at this point.
---------------------------------------------------------------------------
          (A) any foreign direct investment (including a 
        purchase of land or facilities) has been made directly 
        or indirectly by any United States person before the 
        date of enactment of this Act, or
          (B) any written commitment relating to a foreign 
        direct investment that is binding on the date of 
        enactment of this Act has been made directly or 
        indirectly by any United States person.
    (4) Whenever the international obligations of the United 
States and actions taken under paragraph (2) make compensation 
necessary or appropriate, compensation may be provided by the 
United States Trade Representative subject to the limitations 
and conditions contained in section 123 of the Trade Act of 
1974 (19 U.S.C. 2133) for providing compensation for actions 
taken under section 203 of that Act.

SEC. 308.\11\ NEGOTIATION OF AGREEMENTS CONCERNING HIGH TECHNOLOGY 
                    INDUSTRIES.

    (a) The President may enter into such bilateral or 
multilateral agreements as may be necessary or appropriate to 
achieve the objectives of this section and the negotiating 
objectives under section 104A(c) of the Trade Act of 1974.
---------------------------------------------------------------------------
    \11\ 19 U.S.C. 2114e.
---------------------------------------------------------------------------
    (b) \12\ * * *
---------------------------------------------------------------------------
    \12\ Subsec. (b) added a new sec. 128, titled ``Modification and 
Continuance of Treatment with Respect to Duties on High Technology 
Products'' to the Trade Act of 1974.
                         (17) Trade Law Reform

Partial text of Title VI of Public Law 98-573 [Trade and Tariff Act of 
   1984; H.R. 3398], 98 Stat. 2948 at 3024, approved October 30, 1984

    AN ACT To amend trade laws, authorize the negotiation of trade 
agreements, extend trade preferences, change the tariff treatment with 
          respect to certain articles, and for other purposes.

          * * * * * * *

                       TITLE VI--TRADE LAW REFORM


          Note.--Except for the sections set out below, Title 
        VI consists of amendments to the Trade Agreements Act 
        of 1979, the Tariff Act of 1930, and to title 28, 
        United States Code. The amendments to the Trade 
        Agreements Act of 1979, and the Tariff Act of 1930 have 
        been incorporated into those Acts.



SEC. 624. ADJUSTMENTS STUDY.

    The Secretary of Commerce shall undertake a study of the 
current practices that are applied in the making of adjustments 
to purchase prices and exporter's sales prices under section 
772 (d) and (e) (19 U.S.C. 1677a (d) and (e)) and foreign 
market value and constructed value under section 773 (19 U.S.C. 
1677b) in determining antidumping duties. The study shall 
include, but not be limited to--
          (1) a review of the types of adjustments currently 
        being made;
          (2) a review of private sector comments and 
        recommendations regarding the subject that were made at 
        congressional hearings during the first session of the 
        ninety-eighth Congress; and
          (3) the manner and extent to which such adjustments 
        led to inequitable results.
Within one year after the date of the enactment of this Act, 
the Secretary of Commerce shall complete the study required 
under this section and shall submit to Congress a written 
report regarding the study and containing such recommendations 
as the Secretary deems appropriate regarding the need, and the 
means, for simplifying and modifying current practices in the 
making of such adjustments.

SEC. 625. INDUSTRIAL TARGETING STUDIES.

    The Secretary of Commerce, the Secretary of Labor, the 
United States Trade Representative, and the Comptroller General 
of the United States shall each undertake, and submit to the 
Congress not later than June 1, 1985, a comprehensive study of 
the problem of foreign industrial targeting, whereby foreign 
governments adopt plans or schemes of coordinated activities to 
foster and benefit specific industries, and of the desirability 
or need to amend the United States trade laws in order to 
provide effective remedies for domestic industries against the 
adverse effects of such targeting. To the extent consistent 
with agency jurisdiction, such studies shall include, but are 
not limited to--
          (1) an analysis of--
                  (A) whether foreign industrial targeting 
                should be considered as an unfair trade 
                practice under United States law;
                  (B) whether current law, including the 
                remedies under title VII of the Tariff Act of 
                1930, adequately address the subsidy element of 
                foreign industrial policy measures; and
                  (C) the extent to which foreign industrial 
                targeting practices are significantly affecting 
                United States commerce; and
          (2) any recommended legislation considered necessary 
        based on the study results.

SEC. 626. EFFECTIVE DATES.

    (a) Except as provided in subsections (b) and (c), this 
Act, and the amendments made by it, shall take effect on the 
date of the enactment of this Act.
    (b)(1) The amendments made by sections 602, 609, 611, 612, 
and 620 shall apply with respect to investigations initiated by 
petition or by the administering authority under subtitles A 
and B of title VII of the Tariff Act of 1930 on or after such 
effective date.
    (2) The amendments made by section 623 shall apply with 
respect to civil actions pending on, or filed on or after, the 
date of the enactment of this Act.
    (c)(1) No provision of title VII of the Tariff Act of 1930 
shall be interpreted to prevent the refiling of a petition 
under section 702 or 732 of that title that was filed before 
the date of the enactment of this title, if the purpose of such 
refiling is to avail the petitioner of the amendment made by 
section 612(a)(1).
    (2) The amendment made by section 612(a)(1) shall not apply 
with respect to petitions filed (or refiled under paragraph 
(1)) under section 702 or 732 of the Tariff Act of 1930 after 
September 30, 1986.
                  (18) Steel Import Stabilization Act

  Title VIII of Public Law 98-573 [Trade and Tariff Act of 1984; H.R. 
3398], 98 Stat. 2948 at 3043, approved October 30, 1984; as amended by 
Public Law 100-418 [Omnibus Trade and Competitiveness Act of 1988; H.R. 
4848], 102 Stat. 1107, approved August 23, 1988; and by Public Law 101-
221 [Steel Trade Liberalization Program Implementation Act; H.R. 3275], 
               103 Stat. 1886, approved December 12, 1989

    AN ACT To amend trade laws, authorize the negotiation of trade 
agreements, extend trade preferences, change the tariff treatment with 
          respect to certain articles, and for other purposes.

          * * * * * * *

TITLE VIII--ENFORCEMENT AUTHORITY FOR THE NATIONAL POLICY FOR THE STEEL 
                                INDUSTRY

SEC. 801.\1\ SHORT TITLE.

    This title may be cited as the ``Steel Import Stabilization 
Act''.
---------------------------------------------------------------------------
    \1\ 19 U.S.C. 2253 note.
---------------------------------------------------------------------------

SEC. 802.\1\,\2\ FINDINGS AND PURPOSES.

    (a) The Congress finds that--
---------------------------------------------------------------------------
    \2\ Sec. 2(a) of Public Law 101-221 (103 Stat. 1886) restated sec. 
802.
---------------------------------------------------------------------------
          (1) since 1984, the United States steel industry has 
        made significant progress toward adjustment, through 
        modernization of production facilities, elimination of 
        excess capacity, reduction of production costs, and 
        improvement of productivity;
          (2) an extension of import relief, through 
        transitional bilateral arrangements, for a period of 
        two and one-half years will facilitate the steel 
        industry's continued modernization and worker 
        retraining;
          (3) liberalization of market access during the period 
        of transitional bilateral arrangements, with 
        preferential treatment for countries who support fair 
        and open trade, will held ensure an orderly return to 
        an open market;
          (4) the negotiation of an international consensus 
        through the Uruguay Round of trade negotiations and 
        through bilateral agreements to address subsidies and 
        tariff and nontariff barriers will strengthen the 
        international trading system and conditions of global 
        steel trade; and
          (5) the termination of transitional bilateral 
        arrangements by March 31, 1992, and the full and 
        forceful application of the United States unfair trade 
        laws, will protect the United States national interest 
        in preserving conditions of fair and open trade in the 
        United States market.
    (b) The purposes of this title are--
          (1) to endorse the principles and goals of the steel 
        trade liberalization program as announced by the 
        President on July 25, 1989,\3\ and provided for its 
        implementation;
---------------------------------------------------------------------------
    \3\ On July 25, 1989, the President issued a memorandum for the 
United States Trade Representative (reprinted in Weekly Compilation of 
Presidential Documents. July 31, 1989, vol. 25, number 30, p. 1155), 
which stated:
    ``I have decided to establish a two and one-half year Steel Trade 
Liberalization Program and hereby direct the United States Trade 
Representative (USTR) to begin immediately its implementation. The 
program is designed to phase out in a responsible and orderly manner 
the voluntary restraint arrangements (VRAs) that currently limit steel 
imports into the U.S. market, and to negotiate an international 
consensus to remove unfair trade practices.
    ``1. Transitional Voluntary Restraint Arrangements. The USTR shall 
negotiate extensions of VRAs for a transitional period of two and one-
half years. During this period, the overall ceiling on imports from VRA 
countries will be increased at an annual rate of one percentage point. 
This increase will be allocated to countries that undertake and abide 
by acceptable multilateral or bilateral disciplines with respect to 
unfair trade practices and market access. The allocation of this one-
percentage-point annual increase may be delayed, if necessary, as 
leverage to achieve acceptable disciplines.
    ``2. International Consensus. The United States Trade 
Representative shall seek to negotiate an international consensus to 
provide for both fair and open trade in steel. This consensus, which 
should be pursued through the Uruguay Round of Multilateral Trade 
Negotiations and complementary bilateral agreements, will provide 
effective disciplines over trade-distorting subsidies, as well as 
reductions in tariff and non-tariff barriers to international steel 
trade.
    ``3. Expiration Date. The voluntary restraint arrangements will be 
terminated no later than March 31, 1992. Thereafter, U.S. steel 
producers will rely on domestic trade laws to remedy foreign trade-
distorting practices.
    ``4. Legislation. The Administration will support the extension of 
existing legislation to make such transitional voluntary restraint 
arrangements enforceable at our borders, as well as to encourage 
continued industry modernization and worker retraining.
    ``5. Impact on Steel Users. The USTR shall implement the program in 
a way that recognizes the legitimate concerns of U.S. steel consumers. 
In particular, the existing short supply mechanism will be liberalized 
and streamlined.
    ``6. Enforcement. The Department of Commerce shall continue to 
enforce rigorously our unfair trade laws to prevent injurious dumping 
and subsidization.
    ``7. Monitoring. The United State International Trade Commission 
will be asked to continue to monitor the efforts of the steel industry 
to adjust and modernize, and to prepare an annual report for the 
President on those efforts.
    ``The Steel Trade Liberalization Program described above is 
designed to establish the conditions for fair and open steel trade 
throughout the world, so that steel can be produced and traded on the 
basis of market forces, rather than governmental aid and intervention.
    ``The USTR shall coordinate and implement this program in 
consultation with the appropriate Economic Policy Council agencies.''.
---------------------------------------------------------------------------
          (2) to grant specific enforcement powers to the 
        President to carry out the terms and conditions of 
        bilateral arrangements entered into for purposes of 
        implementing that program; and
          (3) to make the continuation of those powers subject 
        to the condition that the steel industry continue to 
        modernize its plant and equipment and provide for 
        appropriate worker retraining.

SEC. 803.\1\,\4\ SENSE OF CONGRESS REGARDING THE STEEL TRADE 
                    LIBERALIZATION PROGRAM.

    (a) The Congress support the full and effective 
implementation of the steel trade liberalization program.
---------------------------------------------------------------------------
    \4\ Sec. 2(b) of Public Law 101-221 (103 Stat. 1887) amended and 
restated sec. 803.
---------------------------------------------------------------------------
    (b) It is the sense of the Congress that the steel trade 
liberalization program should be implemented in a manner which 
provides for liberalized market access for steel products 
during the period in which bilateral arrangements remain 
authorized in order to prepare for the eventual termination of 
such arrangements in 1992 and reliance thereafter on market 
forces and the full enforcement of United States trade laws. In 
particular, liberalized market access should be provided to 
those foreign countries that work with the United States to 
achieve the goals referred to in subsection (c).
    (c) It is further the sense of the Congress that the United 
States Trade Representative should promptly conduct 
negotiations, through the Uruguay Round of negotiations under 
the General Agreement on Tariffs and Trade and through 
complementary bilateral arrangements, to seek an international 
consensus regarding steel trade that provides for--
          (1) strong disciplines over trade-distorting 
        government subsidies;
          (2) the lowering of trade barriers so as to ensure 
        market access; and
          (3) enforcement measures to deal with violations of 
        consensus obligations.
    (d) The President shall provide to the Congress an annual 
assessment of the progress of the negotiations referred to in 
subsection (c). The President may include the assessment in the 
annual report required under section 163(a) of the Trade Act of 
1974 (19 U.S.C. 2139a)) regarding the trade agreements program.

SEC. 804.\1\ DEFINITIONS.

    As used in this title--
          (1) The term ``bilateral arrangement'' means any 
        arrangement, agreement, or understanding (including, 
        but not limited to, any surge control understanding or 
        suspension agreement) entered into or undertaken, or 
        previously entered into or undertaken, by the United 
        States and any foreign country or customs union 
        containing such quantitative limitations, restrictions, 
        or other terms relating to the importation into, or 
        exportation to, the United States of categories of 
        steel products as may be necessary to implement the 
        national policy for the steel industry or the steel 
        trade liberalization program.\5\
---------------------------------------------------------------------------
    \5\ Sec. 5(1) of Public Law 101-221 (103 Stat. 1889) inserted ``or 
the steel trade liberalization program'' here.
---------------------------------------------------------------------------
          (2) The term ``national policy for the steel 
        industry'' means those actions and elements described 
        in Executive Communication 4046, dated September 18, 
        1984 (printed as House Document 98-263).
          (3) The term ``steel industry'' means producers in 
        the United States of steel products.
          (4) The term ``steel trade liberalization program'' 
        means the program, announced by the President on July 
        25, 1989,\3\ designed to achieve an orderly transition 
        to open markets, the continued modernization and 
        adjustment of the steel industry, and the negotiation 
        of an international consensus to restore fair and open 
        steel trade.

SEC. 805.\1\ ENFORCEMENT AUTHORITY.

    (a) Subject to section 806, the President is authorized to 
carry out such actions as may be necessary or appropriate to 
enforce the quantitative limitations, restrictions, and other 
terms agreed to between the United States and steel-exporting 
nations as contained in bilateral arrangements. Such actions 
may include, but are not limited to, requirements that valid 
export licenses or other documentation issued by a foreign 
government be presented as a condition for the entry into the 
United States of steel products. The President is further 
authorized to carry out, between October 1, 1989, and the date 
of the concluding of any bilateral agreement, such actions as 
may be necessary or appropriate to ensure an orderly transition 
to that arrangement.\6\
---------------------------------------------------------------------------
    \6\ Sec. 4(a) of Public Law 101-221 (103 Stat. 1888) added the last 
sentence here.
---------------------------------------------------------------------------
    (b) \7\ (1) If--
---------------------------------------------------------------------------
    \7\ Sec. 4(b) of Public Law 101-221 (103 Stat. 1888) extensively 
amended and restated subsec. (b).
---------------------------------------------------------------------------
          (A) a bilateral arrangement includes a provision 
        relating to short supply situations; and
          (B) the Secretary of Commerce (hereinafter in this 
        subsection referred to as the ``Secretary'') 
        determines, in accordance with this subsection, that a 
        short supply situation exists in the United States with 
        respect to a steel product that is subject to a 
        quantitative limitation under such arrangement;
the Secretary shall authorize the importation of additional 
quantities of that product without regard to any aggregate 
quantitative import limitation in effect under such 
arrangement.
    (2) In determining under this subsection whether a short 
supply situation exists in the United States with respect to a 
steel product, the Secretary shall take into account all 
relevant factors, including--
          (A) (to the extent information is available) the 
        recent levels of capacity utilization for domestic 
        facilities producing the product;
          (B) the quantity of the steel product requested in a 
        short supply petition and the ability of domestic 
        producers to supply the product in such quantity;
          (C) the willingness of a domestic producer to supply 
        the steel product at a price which is not an aberration 
        from prevailing domestic market prices;
          (D) reasonable specification requested by the 
        purchased or any end user; and
          (E) delivery times to the purchaser and any end user 
        of the steel product.
    (3)(A) A petition requesting a determination under this 
subsection may be filed with the Secretary. The petition must 
be in such form and contain such relevant information as the 
Secretary requires.
    (B) If the Secretary considers that a petition filed under 
subparagraph (A) is adequate,the Secretary shall promptly cause 
to be published in the Federal Register a notice that a 
determination under this subsection with respect to the steel 
product concerned is under consideration.
    (C) The Secretary shall provide opportunity for comment by 
interested persons regarding the issues raised in a petition.
    (D)(i) The petitioner shall certify that the factual 
information contained in the petition and any additional 
submission is accurate and complete to the best of the 
petitioner's knowledge.
    (ii) An interested person shall certify that the factual 
information submitted by that person to the Secretary is 
accurate and complete to the best of the person's knowledge.
    (4)(A) If an adequate petition is filed under paragraph 
(3)(A), the Secretary shall determine, not later than the day 
specified in subparagraph (B)--
          (i) whether a short supply situation exists in the 
        United States with respect to the steel product; and
          (ii) if the determination under clause (i) is 
        affirmative, the quantity of the steel product that the 
        secretary will authorize for importation.
    (B) The Secretary must make a determination with respect to 
a petition not later than--
          (i) the 15th day after the day on which the petition 
        is filed if--
                  (I) the raw steel making capacity utilization 
                in the United states equals or exceeds 90 
                percent,
                  (II) the importation of additional quantities 
                of the steel product was authorized by the 
                Secretary during each of the 2 immediately 
                preceding years, or
                  (III) the Secretary finds, on the basis of 
                available information (and whether or not in 
                the context of a determination under this 
                subsection), that the steel product is not 
                produced in the United States; or
          (ii) the 30th day after the day on which the petition 
        was filed if neither subclause (I), (II), or (III) of 
        clause (i) applies.
    (C) In making a determination with respect to which 
subparagraph (B)(i) applies, the Secretary shall apply a 
rebuttable presumption that the short supply situation alleged 
in the petition exists.
    (D) The Secretary shall cause to be published in the 
Federal Register notice of each determination made under this 
subsection setting forth the reasons for the determination.
    (5) If under this subsection the Secretary authorized the 
importation of a specified quantity of a steel product, the 
Secretary shall notify a representative of the appropriate 
foreign government and issue to the petitioner the necessary 
documentation to permit the importation of that quantity.
    (6) The Secretary shall prescribe regulations to carry out 
this subsection. The interim text of such regulations shall be 
issued on or before the 30th day after the date of enactment of 
the Steel Trade Liberalization Program Implementation Act. The 
regulations shall provide for transparency and fairness in the 
process of making short supply determinations, and shall be 
consistent with the President's announcement on July 25, 
1989,\3\ establishing the steel trade liberalization program.
    (c) For purposes of carrying out this title, the Secretary 
of the Treasury, in consultation with the Secretary of 
Commerce, shall provide \8\ by regulation for the terms and 
conditions under which steel products may be denied entry into 
the United States.
---------------------------------------------------------------------------
    \8\ Sec. 5(c)(1) of Public Law 101-221 (103 Stat. 1889) struck out 
``may provide'' and inserted in lieu thereof ``, the Secretary of the 
Treasury, in consultation with the Secretary of Commerce, shall 
provide''.
---------------------------------------------------------------------------
    (d) \9\(1) Any steel product that is manufactured in a 
country that is not party to a bilateral arrangement from steel 
which was melted and poured in a country that is party to a 
bilateral arrangement (hereafter in this subsection referred to 
as an `arrangement country') may be treated for purposes of the 
quantitative restrictions and related terms under that 
arrangement as if it were a product of the arrangement country.
---------------------------------------------------------------------------
    \9\ Subsec. (d) was added by sec. 1322 of Public Law 100-418 (102 
Stat. 1195).
---------------------------------------------------------------------------
    (2) The President may implement such procedures as may be 
necessary or appropriate to carry out the purpose of paragraph 
(1).
    (3) The United States Trade Representative may, in a manner 
consistent with the purpose of any so-called `third country 
equity provision' of an arrangement entered into under the 
steel trade liberalization program,\10\ take such actions as he 
deems necessary with respect to steel imports of any other 
country or countries so as to ensure the effectiveness of any 
portion of such arrangement.
---------------------------------------------------------------------------
    \10\ Sec. 5(c)(2) of Public Law 101-221 (103 Stat. 1889) struck out 
``President's Steel Policy'' and inserted in lieu thereof ``steel trade 
liberalization program''. See also note 3.
---------------------------------------------------------------------------

SEC. 806. EFFECTIVE PERIOD OF TITLE.

    (a) In General.--Section 805 shall terminate--
          (1) at the close of March 31, 1992; \11\ or
---------------------------------------------------------------------------
    \11\ Sec. 3(a)(1) of Public Law 101-221 (103 Stat. 1887) struck out 
``the fifth anniversary of the effective date of this title'' at this 
point and inserted in lieu thereof ``March 31, 1992''.
---------------------------------------------------------------------------
          (2) \12\ at the close of the first, second, third, 
        fourth, fifth, sixth, or seventh \13\ anniversary of 
        the effective date of this title, unless the President, 
        before each such anniversary, submits to the Committee 
        on Ways and Means of the House of Representatives and 
        the Committee on Finance of the Senate (in writing and 
        together with the reasons therefor) an affirmative 
        annual determination described in subsection (b).
---------------------------------------------------------------------------
    \12\ Sec. 3(b) of Public Law 101-221 (103 Stat. 1887; 19 U.S.C. 
2253) provided the following:
    ``(b) Special Provision.--If the Steel Trade Liberalization Program 
Implementation Act is not enacted on or before October 1, 1989, then 
section 806(a)(2) of the Steel Import Stabilization Act (as amended by 
subsection (a)) shall be applied by treating the reference therein to 
the close of the fifth anniversary of the effective date of the Steel 
Import stabilization Act as a reference to the close of the 30th day 
after the date of the enactment of the Steel Trade Liberalization 
Program Implementation Act.''. [Public Law 101-221; enacted December 
12, 1989.]
    \13\ Sec. 3(a)(2) of Public Law 101-221 (103 Stat. 1887) struck out 
``or fourth'' and inserted in lieu thereof ``fourth, fifth, sixth, or 
seventh''.
---------------------------------------------------------------------------
    (b)(1) An affirmative annual determination is a 
determination by the President that--
          (A) the major companies of the steel industry, taken 
        as a whole, have, during the 12-month period ending at 
        the close of an anniversary referred to in subsection 
        (a)(2)--
                  (i) committed substantially all of their net 
                cash flow from steel product operations for 
                purposes of reinvestment in, and modernization 
                of, that industry through investment in modern 
                plant and equipment, research and development, 
                and other appropriate projects, such as working 
                capital for steel operations and programs for 
                the retraining of workers; and
                  (ii) taken sufficient action to maintain 
                their international competitiveness, including 
                action to produce price-competitive and 
                quality-competitive products, to control costs 
                of production, including employment costs, and 
                to improve productivity; and
          (B) each of the major companies committed for the 
        applicable 12-month period not less than 1 percent of 
        net cash flow to the retraining of workers; except that 
        this requirement may be waived by the President with 
        respect to a major company in noncompliance, if he 
        finds unusual economic circumstances exist with respect 
        to that company; and
          (C) the enforcement authority provided under section 
        905 remains necessary to maintain the effectiveness of 
        bilateral arrangements undertaken to eliminate unfair 
        trade practices in the steel sector.
    (2) For purposes of this subsection--
          (A) \14\ The term ``major company'' means an 
        enterprise that produces iron and steel and whose raw 
        steel production in the United States during 1988 
        exceeded 2,000,000 net tons.
---------------------------------------------------------------------------
    \14\ Sec. 6(a)(1) of Public Law 101-221 (103 Stat. 1890) amended 
and restated clause (A). Sec. 6(b) of Public Law 101-221 also provided 
the following:
    ``(b) Special Rule.--The amendment made by subsection (a)(1) shall 
not affect the definition of `qualified corporation' contained in 
section 212(g)(1)(A) of the Tax Reform Act of 1986.''.
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          (B) The term ``net cash flow'' means annual net 
        (after-tax) income plus depreciation, depletion 
        allowances, amortization, and changes in reserves minus 
        dividends and payments on short-term and long-term 
        debts and liabilities.
    (3) For purposes of carrying out this subsection, the 
President shall take into account such information as may be 
available from the United States International Trade Commission 
and other appropriate sources relating to the modernization 
efforts of the steel industry.

SEC. 807.\1\ DEPARTMENT OF LABOR WORKER ASSISTANCE PLAN.

    Within 6 months after the effective date of this title, the 
Secretary of Labor shall prepare (in consultation with the 
Steel Advisory Committee established on November 3, 1983, by 
the Secretary of Commerce and the Secretary of Labor (48 F.R. 
51165)) and submit to the Congress a proposed plan of action 
for assisting workers in communities that are adversely 
affected by imports of steel products; which assistance shall 
include retraining and relocation for former workers in the 
steel industry who will likely be unable to return to 
employment in that industry. The plan required under this 
section shall be based upon existing authorities for providing 
such assistance, but shall be accompanied by such 
recommendations for additional statutory authority as the 
Secretary of Labor considers necessary to carry out the 
purposes of the plan.

SEC. 808.\1\ EFFECTIVE DATE.

    This title shall take effect on October 1, 1984.
           (19) Wine Equity and Export Expansion Act of 1984

   Title IX of Public Law 98-573 [Trade and Tariff Act of 1984; H.R. 
        3398], 98 Stat. 2948 at 3047, approved October 30, 1984

    AN ACT To amend trade laws, authorize the negotiation of trade 
agreements, extend trade preferences, change the tariff treatment with 
          respect to certain articles, and for other purposes.

          * * * * * * *

                          TITLE IX--WINE TRADE

SEC. 901. SHORT TITLE.

    This title may be cited as the ``Wine Equity and Export 
Expansion Act of 1984''.

SEC. 902.\1\ CONGRESSIONAL FINDINGS AND PURPOSES.

    (a) Congress finds that--
---------------------------------------------------------------------------
    \1\ 19 U.S.C. 2801.
---------------------------------------------------------------------------
          (1) there is a substantial imbalance in international 
        wine trade resulting, in part, from the relative 
        accessibility enjoyed by foreign wines to the United 
        States market while the United States wine industry 
        faces restrictive tariff and nontariff barriers in 
        virtually every existing or potential foreign market;
          (2) the restricted access to foreign markets and the 
        continued low prices for United States wine and grape 
        products adversely affect the economic position of our 
        Nation's winemakers and grape growers, as well as all 
        other domestic sectors that depend upon wine 
        production;
          (3) the competitive position of United States wine in 
        international trade has been weakened by foreign trade 
        practices, high domestic interest rates, and 
        unfavorable foreign exchange rates;
          (4) wine consumption per capita is very low in many 
        major non-wine producing markets and the demand 
        potential for United States wine is significant; and
          (5) The United States winemaking industry has the 
        capacity and the ability to export substantial volumes 
        of wine and an increase in United States wine export 
        will create new jobs, improve this Nation's balance of 
        trade, and otherwise strengthen the national economy.
    (b) The purposes of this title are--
          (1) to provide wine consumers with the greatest 
        possible choice of wines from wine-producing countries;
          (2) to encourage the initiation of an export 
        promotion program to develop, maintain, and expand 
        foreign markets for United States wine; and
          (3) to achieve greater access to foreign markets for 
        United States wine and grape products through the 
        reduction or elimination of tariff barriers and 
        nontariff barriers to (or other distortions of) trade 
        in wine.

SEC. 903.\2\ DEFINITIONS.

    For purposes of this title--
---------------------------------------------------------------------------
    \2\ 19 U.S.C. 2802.
---------------------------------------------------------------------------
          (1) The term ``Committees'' means the Committee on 
        Ways and Means of the House of Representatives and the 
        Committee on Finance of the Senate.
          (2) The term ``grape product'' means grapes and any 
        product (other than wine) made from grapes, including, 
        but not limited to, raisins and grape juice, whether or 
        not concentrated.
          (3) The term ``major wine trading country'' means any 
        foreign country, or group of foreign countries, 
        designated as such under section 904.
          (4) The phrase ``nontariff barrier to (or other 
        distortion of)'', in the context of trade in United 
        States wine, includes any measure implemented by the 
        government of a major wine trading country that either 
        gives a competitive advantage to the wine industry of 
        that country or restricts the importation of United 
        States wine into that country.
          (5) The term ``Trade Representative'' means the 
        United States Trade Representative.
          (6) The term ``United States wine'' means wine 
        produced within the customs territory of the United 
        States.
          (7) The term ``wine'' means any fermented alcoholic 
        beverage that--
                  (A) is made from grapes or other fruit;
                  (B) contains not less than 0.5 percent 
                alcohol by volume and not more than 24 percent 
                alcohol by volume, including all dilutions and 
                mixtures thereof by whatever process produced; 
                and
                  (C) is for nonindustrial use.

SEC. 904.\3\ DESIGNATION OF MAJOR WINE TRADING COUNTRIES.

    (a) The Trade Representative shall designate as a major 
wine trading country each foreign country, or group of foreign 
countries represented as an economic union, that, in the 
judgment of the Trade Representative--
---------------------------------------------------------------------------
    \3\ 19 U.S.C. 2803.
---------------------------------------------------------------------------
          (1) is a potential significant market for United 
        States wine; and
          (2) maintains tariff or nontariff barriers to (or 
        other distortions of) trade in United States wine.
    (b) In deciding, for purposes of subsection (a)(2), whether 
a foreign country or group of countries maintains nontariff 
barriers to (or other distortions of) trade in United States 
wine, the Trade Representative shall take into account--
          (1) the review and report required under section 
        854(a) of the Trade Agreements Act of 1979 (19 U.S.C. 
        2135 note);
          (2) such relevant actions that may have been taken by 
        that country or group since that review was conducted; 
        and
          (3) such information as may be submitted under 
        section 906 by representatives of the wine and grape 
        products industries in the United States, as well as 
        other sources.

SEC. 905.\4\ ACTIONS TO REDUCE OR ELIMINATE TARIFF AND NONTARIFF 
                    BARRIERS AFFECTING UNITED STATES WINE.

    (a) The President shall direct the Trade Representative to 
enter into consultations with each major wine trading country 
to seek a reduction or elimination of that country's tariff 
barriers and nontariff barriers to (or other distortions of) 
trade in United States wine.
---------------------------------------------------------------------------
    \4\ 19 U.S.C. 2804.
---------------------------------------------------------------------------
    (b)(1) the President shall notify each of the Committees 
regarding the extent and effect of the efforts undertaken since 
the submission of the report required under section 854(a) of 
the Trade Agreements Act of 1979, and during the 12-month 
period beginning on the date of the enactment of this Act, to 
expand opportunities in each major wine trading country for 
exports of United States wine. Such notification, which shall 
be in the form of a separate written report (that must be 
submitted within 30 days after the close of that 12-month 
period) for each major wine trading country, shall include--
          (A) a description of each act, policy, and practice 
        (and of its legal basis and operation) in that country 
        that constitutes a tariff barrier or nontariff barrier 
        to (or other distortion of) trade in United States wine 
        (and that description shall be based upon an updating 
        of the report that was submitted to the Congress under 
        section 854(a) of the Trade Agreements Act of 1979);
          (B) an assessment of the extent to which each such 
        act, policy, or practice is subject to international 
        agreements to which the United States is a party;
          (C) information with respect to any action taken, or 
        proposed to be taken, under existing authority to 
        eliminate or reduce each such act, policy, or practice, 
        including, but not limited to--
                  (i) any action under the Trade Act of 1974, 
                and
                  (ii) any negotiation or consultation with any 
                foreign government;
          (D) if action referred to in subparagraph (C) was not 
        taken, an explanation of the reasons therefore; and
          (E) recommendations to the Congress of any additional 
        legislative authority or other action which the 
        President believes is necessary and appropriate to 
        obtain in elimination or reduction of foreign tariff 
        barriers or nontariff barriers to (or other distortions 
        of) trade in United States wine.
    (2) The reports required under paragraph (1) shall be 
developed and coordinated by the Trade Representative through 
the inter-agency trade organization established by section 
242(a) of the Trade Expansion Act of 1962.
    (c) If the President, after taking into account information 
and advice received under subsections (a) and (b), section 906 
or from other sources, determines that action is appropriate to 
respond to any act, policy or practice of a major wine trading 
country constitutes a tariff barrier or nontariff barrier to 
(or other distortion of) trade in United States wine and--
          (1) is inconsistent with the provisions of, or 
        otherwise denies benefits to the United States under, 
        any trade agreement; or
          (2) is unjustifiable, unreasonable, or discriminatory 
        and burdens or restricts United States commerce;
the President, shall take all appropriate and feasible action 
under the Trade Act of 1974 to enforce the rights of the United 
States under any such trade agreement or to obtain the 
elimination of such act, policy, or practice.

SEC. 906.\5\ REQUIRED CONSULTATIONS.

    The Trade Representative shall consult with the Committees 
and with representatives of the wine and grape products 
industries in the United States--
---------------------------------------------------------------------------
    \5\ 19 U.S.C. 2805.
---------------------------------------------------------------------------
          (1) before identifying tariff barriers and nontariff 
        barriers to (or other distortions of) trade in United 
        States wine and designating major wine trading 
        countries under section 904;
          (2) in developing the reports required under section 
        905(b); and
          (3) for purposes of determining whether action by the 
        President is appropriate under any provision of the 
        Trade Act of 1974 with respect to any act, policy, or 
        practice referred to in section 905(b)(1).

SEC. 907.\6\ UNITED STATES WINE EXPORT PROMOTION.

    In order to develop, maintain, and expand foreign markets 
for United States wine, the President is encouraged to--
---------------------------------------------------------------------------
    \6\ 19 U.S.C. 2806.
---------------------------------------------------------------------------
          (1) utilize, for the fiscal year ending September 30, 
        1985, the authority provided under section 135 of the 
        Omnibus Budget Reconciliation Act of 1982 to make 
        available sufficient funds to initiate, in cooperation 
        with nongovernmental trade associations representative 
        of United States wineries, an export promotion program 
        for United States; and
          (2) request, for each subsequent fiscal year, an 
        appropriation for such a wine export promotion program 
        that will not be at the expense of any appropriations 
        requested for export promotion programs involving other 
        agriculture commodities.
                (20) Export Trading Company Act of 1982

Public Law 97-290 [S. 734], 96 Stat. 1233, approved October 8, 1982, as 
  amended by Public Law 98-181 [Export-Import Bank Act Amendments of 
  1983; H.R. 3959], 97 Stat. 1153 at 1257, approved November 30, 1983

AN ACT To encourage exports by facilitating the formation and operation 
    of export trading companies, export trade associations, and the 
              expansion of export trade services generally

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

                      TITLE I--GENERAL PROVISIONS

                              SHORT TITLE

    Section 101. This title may be cited as the ``Export 
Trading Company Act of 1982''.

                    FINDINGS; DECLARATION OF PURPOSE

    Sec. 102.\1\ (a) The Congress finds that--
---------------------------------------------------------------------------
    \1\ 15 U.S.C. 4001.
---------------------------------------------------------------------------
          (1) United States exports are responsible for 
        creating and maintaining one out of every nine 
        manufacturing jobs in the United States and for 
        generating one out of every seven dollars of total 
        United States goods produced;
          (2) the rapidly growing service-related industries 
        are vital to the well-being of the United States 
        economy inasmuch as they create jobs for seven out of 
        every ten Americans, provide 65 per centum of the 
        Nation's gross national product, and offer the greatest 
        potential for significantly increased industrial trade 
        involving finished products;
          (3) trade deficits contribute to the decline of the 
        dollar on international currency markets and have an 
        inflationary impact on the United States economy;
          (4) tens of thousands of small- and medium-sized 
        United States businesses produce exportable goods or 
        services but do not engage in exporting;
          (5) although the United States is the world's leading 
        agricultural exporting nation, many farm products are 
        not marketed as widely and effectively abroad as they 
        could be through export trading companies;
          (6) export trades services in the United States are 
        fragmented into a multitude of separate functions, and 
        companies attempting to offer export trade services 
        lack financial leverage to reach a significant number 
        of potential United States exporters;
          (7) the United States needs well-developed export 
        trade intermediaries which can achieve economies of 
        scale and acquire expertise enabling them to export 
        goods and services profitably, at low per unit cost to 
        producers;
          (8) the development of export trading companies in 
        the United States has been hampered by business 
        attitudes and by Government regulations;
          (9) those activities of State and local governmental 
        authorities which initiate, facilitate, or expand 
        exports of goods and services can be an important 
        source for expansion of total United States exports, as 
        well as for experimentation in the development of 
        innovative export programs keyed to local, State, and 
        regional economic needs;
          (10) if United States trading companies are to be 
        successful in promoting United States exports and in 
        competing with foreign trading companies, they should 
        be able to draw on the resources, expertise, and 
        knowledge of the United States banking system, both in 
        the United States and abroad; and
          (11) the Department of Commerce is responsible for 
        the development and promotion of United States exports, 
        and especially for facilitating the export of finished 
        products by United States manufacturers.
    (b) It is the purpose of this Act to increase United States 
exports of products and services by encouraging more efficient 
provision of export trade services to United States producers 
and suppliers, in particular by establishing an office within 
the Department of Commerce to promote the formation of export 
trade associations and export trading companies, by permitting 
bank holding companies, bankers' banks, and Edge Act 
corporations and agreement corporations that are subsidiaries 
of bank holding companies to invest in export trading 
companies, by reducing restrictions on trade financing provided 
by financial institutions, and by modifying the application of 
the antitrust laws to certain export trade.

                              DEFINITIONS

    Sec. 103.\2\ (a) For purposes of this title--
---------------------------------------------------------------------------
    \2\ 15 U.S.C. 4002.
---------------------------------------------------------------------------
          (1) the term ``export trade'' means trade or commerce 
        in goods or services produced in the United States 
        which are exported, or in the course of being exported, 
        from the United States to any other country;
          (2) the term ``services'' includes, but is not 
        limited to, accounting, amusement, architectural, 
        automatic data processing, business, communications, 
        construction franchising and licensing, consulting, 
        engineering, financial, insurance, legal, management, 
        repair, tourism, training, and transportation services;
          (3) the term ``export trade services'' includes, but 
        is not limited to, consulting, international market 
        research, advertising, marketing, insurance, product 
        research and design, legal assistance, transportation, 
        including trade documentation and freight forwarding, 
        communication and processing of foreign orders to and 
        for exporters and foreign purchasers, warehousing, 
        foreign exchange, financing, and taking title to goods, 
        when provided in order to facilitate the export of 
        goods or services produced in the United States;
          (4) the term ``export trading company'' means a 
        person, partnership, association, or similar 
        organization, whether operated for profit or as a 
        nonprofit organization, which does business under the 
        laws of the United States or any State and which is 
        organized and operated principally for purposes of--
                  (A) exporting goods or services produced in 
                the United States; or
                  (B) facilitating the exportation of goods or 
                services produced in the United States by 
                unaffiliated persons by providing one or more 
                export trade services;
          (5) the term ``State'' means any of the several 
        States of the United States, the District of Columbia, 
        the Commonwealth of Puerto Rico, the Virgin Islands, 
        American Samoa, Guam, the Commonwealth of the Northern 
        Mariana Islands, and the Trust Territory of the Pacific 
        Islands;
          (6) the term ``United States'' means the several 
        States of the United States, the District of Columbia, 
        the Commonwealth of Puerto Rico, the Virgin Islands, 
        American Samoa, Guam, the Commonwealth of the Northern 
        Mariana Islands, and the Trust Territory of the Pacific 
        Islands; and
          (7) the term ``antitrust laws'' means the antitrust 
        laws as defined in subsection (a) of the first section 
        of the Clayton Act (15 U.S.C. 12(a)), section 5 of the 
        Federal Trade Commission Act (15 U.S.C. 45) to the 
        extent that section 5 applies to unfair methods of 
        competition, and any State antitrust or unfair 
        competition law.
    (b) The Secretary of Commerce may by regulation further 
define any term defined in subsection (a), in order to carry 
out this title.

            OFFICE OF EXPORT TRADE IN DEPARTMENT OF COMMERCE

    Sec. 104.\3\ The Secretary of Commerce shall establish 
within the Department of Commerce an office to promote and 
encourage to the greatest extent feasible the formation of 
export trade associations and export trading companies. Such 
office shall provide information and advice to interested 
persons and shall provide a referral service to facilitate 
contact between producers of exportable goods and services and 
firms offering export trade services.
---------------------------------------------------------------------------
    \3\ 15 U.S.C. 4003.
---------------------------------------------------------------------------

                     TITLE II--BANK EXPORT SERVICES

                              SHORT TITLE

    Sec. 201. This title may be cited as the ``Bank Export 
Services Act''.
    Sec. 202.\4\ The Congress hereby declares that it is the 
purpose of this title to provide for meaningful and effective 
participation by bank holding companies, bankers' banks, and 
Edge Act corporations, in the financing and development of 
export trading companies in the United States. In furtherance 
of such purpose, the Congress intends that, in implementing its 
authority under section 4(c)(14) of the Bank Holding Company 
Act of 1956, the Board of Governors of the Federal Reserve 
System should pursue regulatory policies that--
---------------------------------------------------------------------------
    \4\ 12 U.S.C. 1843 note.
---------------------------------------------------------------------------
          (1) provide for the establishment of export trading 
        companies with powers sufficiently broad to enable them 
        to compete with similar foreign-owned institutions in 
        the United States and abroad;
          (2) afford to United States commerce, industry, and 
        agriculture, especially small- and medium-size firms, a 
        means of exporting at all times;
          (3) foster the participation by regional and smaller 
        banks in the development of export trading companies; 
        and
          (4) facilitate the formation of joint venture export 
        trading companies between bank holding companies and 
        nonbank firms that provide for the efficient 
        combination of complementary trade and financing 
        services designed to create export trading companies 
        that can handle all of an exporting company's needs.

                INVESTMENTS IN EXPORT TRADING COMPANIES

    Sec. 203.\5\ * * *
---------------------------------------------------------------------------
    \5\ Sec. 203 amended sec. 4(c) of the Bank Holding Company Act of 
1956 (12 U.S.C. 1843(c)).
---------------------------------------------------------------------------
          * * * * * * *
    Sec. 205.\4\ On or before two years after the date of the 
enactment of this Act, the Federal Reserve Board shall report 
to the Committee on Banking, Housing, and Urban Affairs of the 
Senate and the Committee on Banking, Finance and Urban Affairs 
\6\ of the House of Representatives the Board's recommendations 
with respect to the implementation of this section, the Board's 
recommendations on any changes in United States law to 
facilitate the financing of United States exports, especially 
by small, medium-size and minority business concerns, and the 
Board's recommendations on the effects of ownership of United 
States banks by foreign banking organizations affiliated with 
trading companies doing business in the United States.
---------------------------------------------------------------------------
    \6\ Sec. 1(a)(2) of Public Law 104-14 (109 Stat. 186) provided that 
references to the Committee on Banking, Finance and Urban Affairs of 
the House of Representatives shall be treated as referring to the 
Committee on Banking and Financial Services of the House of 
Representatives.
---------------------------------------------------------------------------

        GUARANTEES FOR EXPORT ACCOUNTS RECEIVABLE AND INVENTORY

    Sec. 206.\7\ The Export-Import Bank of the United States is 
authorized and directed to establish a program to provide 
guarantees for loans extended by financial institutions or 
other public or private creditors to export trading companies 
as defined in section 4(c)(14)(F)(i) of the Bank Holding 
Company Act of 1956, or to other exporters, when such loans are 
secured by export accounts receivable, inventories of 
exportable goods, accounts, receivable from leases, performance 
contracts, grant commitments, participation fees, member dues, 
revenue from publications, or such other collateral as the 
Board of Directors may deem appropriate,\8\ and when in the 
judgment of the Board of Directors--
---------------------------------------------------------------------------
    \7\ 12 U.S.C. 635a-4.
    \8\ The words to this point beginning with ``accounts, receivable 
from leases, performance contracts, * * *'' were added by sec. 616(b) 
of the Export-Import Bank Act Amendments of 1983 (title VI of Public 
Law 98-181; 97 Stat. 1257).
---------------------------------------------------------------------------
          (1) the private credit market is not providing 
        adequate financing to enable otherwise creditworthy 
        export trading companies or exporters to consummate 
        export transactions; and
          (2) such guarantees would facilitate expansion of 
        exports which would not otherwise occur.
The Board of Directors shall attempt to insure that a major 
share of any loan guarantees ultimately serves to promote 
exports from small, medium-size, and minority businesses or 
agricultural concerns. Guarantees provided under the authority 
of this section shall be subject to limitations contained in 
annual appropriations Acts.

                          BANKERS' ACCEPTANCES

    Sec. 207.\9\ * * *
---------------------------------------------------------------------------
    \9\ Sec. 207 amended the seventh paragraph of sec. 13 of the 
Federal Reserve Act (12 U.S.C. 372).
---------------------------------------------------------------------------

             TITLE III--EXPORT TRADE CERTIFICATES OF REVIEW

         export trade promotion duties of secretary of commerce

    Sec. 301.\10\ To promote and encourage export trade, the 
Secretary may issue certificates of review and advise and 
assist any person with respect to applying for certificates of 
review.
---------------------------------------------------------------------------
    \10\ 15 U.S.C. 4011.
---------------------------------------------------------------------------

           APPLICATION FOR ISSUANCE OF CERTIFICATE OF REVIEW

    Sec. 302.\11\,\12\ (a) To apply for a 
certificate of review, a person shall submit to the Secretary a 
written application which--
---------------------------------------------------------------------------
    \11\ 15 U.S.C. 4012.
    \12\ Secs. 302 and 303 will not become effective until 90 days 
after the effective date of the rules and regulations first promulgated 
under sec. 310.
---------------------------------------------------------------------------
          (1) specifies conduct limited to export trade, and
          (2) is in a form and contains any information, 
        including information pertaining to the overall market 
        in which the applicant operates, required by rule or 
        regulation promulgated under section 310.
    (b)(1) Within ten days after an application submitted under 
subsection (a) is received by the Secretary, the Secretary 
shall publish in the Federal Register a notice that announces 
that an application for a certificate of review has been 
submitted, identifies each person submitting the application, 
and describes the conduct for which the application is 
submitted.
    (2) Not later than seven days after an application 
submitted under subsection (a) is received by the Secretary, 
the Secretary shall transmit to the Attorney General--
          (A) a copy of the application,
          (B) any information submitted to the Secretary in 
        connection with the application, and
          (C) any other relevant information (as determined by 
        the Secretary) in the possession of the Secretary, 
        including information regarding the market share of the 
        applicant in the line of commerce to which the conduct 
        specified in the application relates.

                        ISSUANCE OF CERTIFICATE

    Sec. 303.\12\,\13\ (a) A certificate of review 
shall be issued to any applicant that establishes that its 
specified export trade, export trade activities, and methods of 
operation will--
---------------------------------------------------------------------------
    \13\ 15 U.S.C. 4013.
---------------------------------------------------------------------------
          (1) result in neither a substantial lessening of 
        competition or restraint of trade within the United 
        States nor a substantial restraint of the export trade 
        of any competitor of the applicant,
          (2) not unreasonably enhance, stabilize, or depress 
        prices within the United States of the goods, wares, 
        merchandise, or services of the class exported by the 
        applicant,
          (3) not constitute unfair methods of competition 
        against competitors engaged in the export of goods, 
        wares, merchandise, or services of the class exported 
        by the applicant, and
          (4) not include any act that may reasonably be 
        expected to result in the sale for consumption or 
        resale within the United States of the goods, wares, 
        merchandise, or services exported by the applicant.
    (b) Within ninety days after the Secretary receives an 
application for a certificate of review, the Secretary shall 
determine whether the applicant's export trade, export trade 
activities, and methods of operation meet the standards of 
subsection (a). If the Secretary, with the concurrence of the 
Attorney General, determines that such standards are met, the 
Secretary shall issue to the applicant a certificate of review. 
The certificate of review shall specify--
          (1) the export trade, export trade activities, and 
        methods of operation to which the certificate applies,
          (2) the person to whom the certificate of review is 
        issued, and
          (3) any terms and conditions the Secretary or the 
        Attorney General deems necessary to assure compliance 
        with the standards of subsection (a).
    (c) If the applicant indicates a special need for prompt 
disposition, the Secretary and the Attorney General may 
expedite action on the application, except that no certificate 
of review may be issued within thirty days of publication of 
notice in the Federal Register under section 302(b)(1).
    (d)(1) If the Secretary denies in whole or in part an 
application for a certificate, he shall notify the applicant of 
his determination and the reasons for it.
    (2) An applicant may, within thirty days of receipt of 
notification that the application has been denied in whole or 
in part, request the Secretary to reconsider the determination. 
The Secretary, with the concurrence of the Attorney General, 
shall notify the applicant of the determination upon 
reconsideration within thirty days of receipt of the request.
    (e) If the Secretary denies an application for the issuance 
of a certificate of review and thereafter receives from the 
applicant a request for the return of documents submitted by 
the applicant in connection with the application for the 
certificate, the Secretary and the Attorney General shall 
return to the applicant, not later than thirty days after 
receipt of the request, the documents and all copies of the 
documents available to the Secretary and the Attorney General, 
except to the extent that the information contained in a 
document has been made available to the public
    (f) A certificate shall be void ab initio with respect to 
any export trade, export trade activities, or methods of 
operation for which a certificate was procured by fraud.

    REPORTING REQUIREMENT; AMENDMENT OF CERTIFICATE; REVOCATION OF 
                              CERTIFICATE

    Sec. 304.\14\ (a)(1) Any applicant who receives a 
certificate of review--
---------------------------------------------------------------------------
    \14\ 15 U.S.C. 4014.
---------------------------------------------------------------------------
          (A) shall promptly report to the Secretary any change 
        relevant to the matters specified in the certificate, 
        and
          (B) may submit to the Secretary an application to 
        amend the certificate to reflect the effect of the 
        change on the conduct specified in the certificate.
    (2) An application for an amendment to a certificate of 
review shall be treated as an application for the issuance of a 
certificate. The effective date of an amendment shall be the 
date on which the application for the amendment is submitted to 
the Secretary.
    (b)(1) If the Secretary or the Attorney General has reason 
to believe that the export trade, export trade activities, or 
methods of operation of a person holding a certificate of 
review no longer comply with the standards of section 303(a), 
the Secretary shall request such information from such person 
as the Secretary or the Attorney General deem necessary to 
resolve the matter of compliance. Failure to comply with such 
request shall be grounds for revocation of the certificate 
under paragraph (2).
    (2) If the Secretary or the Attorney General determines 
that the export trade, export trade activities, or methods of 
operation of a person holding a certificate no longer comply 
with the standards of section 303(a), or that such person has 
failed to comply with a request made under paragraph (1), the 
Secretary shall give written notice of the determination to 
such person. The notice shall include a statement of the 
circumstances underlying, and the reasons in support of, the 
determination. In the 60-day period beginning 30 days after the 
notice is given, the Secretary shall revoke the certificate or 
modify it as the Secretary or the Attorney General deem 
necessary to cause the certificate to apply only to the export 
trade, export trade activities, or methods of operation which 
are in compliance with the standards of section 303(a).
    (3) For purposes of carrying out this subsection, the 
Attorney General, and the Assistant Attorney General in charge 
of the antitrust division of the Department of Justice, may 
conduct investigations in the same manner as the Attorney 
General and the Assistant Attorney General conduct 
investigations under section 3 of the Antitrust Civil Process 
Act, except that no civil investigative demand may be issued to 
a person to whom a certificate of review is issued if such 
person is the target of such investigation.

                     JUDICIAL REVIEW; ADMISSIBILITY

    Sec. 305.\15\ (a) If the Secretary grants or denies, in 
whole or in part, an application for a certificate of review or 
for an amendment to a certificate, or revokes or modifies a 
certificate pursuant to section 304(b), any person aggrieved by 
such determination may, within 30 days of the determination, 
bring an action in any appropriate district court of the United 
States to set aside the determination on the ground that such 
determination is erroneous.
---------------------------------------------------------------------------
    \15\ 15 U.S.C. 4015.
---------------------------------------------------------------------------
    (b) Except as provided in subsection (a), no action by the 
Secretary or the Attorney General pursuant to this title shall 
be subject to judicial review.
    (c) If the Secretary denies, in whole or in part, an 
application for a certificate of review or for an amendment to 
a certificate, or revokes or amends a certificate, neither the 
negative determination nor the statement or reasons therefor 
shall be admissible in evidence, in any administrative or 
judicial proceeding, in support of any claim under the 
antitrust laws.

             PROTECTION CONFERRED BY CERTIFICATE OF REVIEW

    Sec. 306.\16\ (a) Except as provided in subsection (b), no 
criminal or civil action may be brought under the antitrust 
laws against a person to whom a certificate of review is issued 
which is based on conduct which is specified in, and complies 
with the terms of, a certificate issued under section 303 which 
certificate was in effect when the conduct occurred.
---------------------------------------------------------------------------
    \16\ 15 U.S.C. 4016.
---------------------------------------------------------------------------
    (b)(1) Any person who has been injured as a result of 
conduct engaged in under a certificate of review may bring a 
civil action for injunctive relief, actual damages, the loss of 
interest on actual damages, and the cost of suit (including a 
reasonable attorney's fee) for the failure to comply with the 
standards of section 303(a). Any action commenced under this 
title shall proceed as if it were an action commenced under 
section 4 or section 16 of the Clayton Act, except that the 
standards of section 303(a) of this title and the remedies 
provided in this paragraph shall be the exclusive standards and 
remedies applicable to such action.
    (2) Any action brought under paragraph (1) shall be filed 
within two years of the date the plaintiff has notice of the 
failure to comply with the standards of section 303(a) but in 
any event within four years after the cause of action accrues.
    (3) In any action brought under paragraph (1), there shall 
be a presumption that conduct which is specified in and 
complies with a certificate of review does not comply with the 
standards of section 303(a).
    (4) In any action brought under paragraph (1), if the court 
finds that the conduct does comply with the standards of 
section 303(a), the court shall award to the person against 
whom the claim is brought the cost of suit attributable to 
defending against the claim (including a reasonable attorney's 
fee).
    (5) The Attorney General may file suit pursuant to section 
15 of the Clayton Act (15 U.S.C. 25) to enjoin conduct 
threatening clear and irreparable harm to the national 
interest.

                               GUIDELINES

    Sec. 307.\17\ (a) To promote greater certainty regarding 
the application of the antitrust laws to export trade, the 
Secretary, with the concurrence of the Attorney General, may 
issue guidelines--
---------------------------------------------------------------------------
    \17\ 15 U.S.C. 4017.
---------------------------------------------------------------------------
          (1) describing specific types of conduct with respect 
        to which the Secretary, with the concurrence of the 
        Attorney General, has made or would make, 
        determinations under sections 303 and 304, and
          (2) summarizing the factual and legal bases in 
        support of the determinations.
    (b) Section 553 of title 5, United States Code, shall not 
apply to the issuance of guidelines under subsection (a).

                             ANNUAL REPORTS

    Sec. 308.\18\ Every person to whom a certificate of review 
is issued shall submit to the Secretary an annual report, in 
such form and at such time as the Secretary may require, that 
updates where necessary the information required by section 
302(a).
---------------------------------------------------------------------------
    \18\ 15 U.S.C. 4018.
---------------------------------------------------------------------------

                       DISCLOSURE OF INFORMATION

    Sec. 309.\19\ (a) Information submitted by any person in 
connection with the issuance, amendment, or revocation of a 
certificate of review shall be exempt from disclosure under 
section 552 of title 5, United States Code.
---------------------------------------------------------------------------
    \19\ 15 U.S.C. 4019.
---------------------------------------------------------------------------
    (b)(1) Except as provided in paragraph (2), no officer or 
employee of the United States shall disclose commercial or 
financial information submitted in connection with the 
issuance, amendment, or revocation of a certificate of review 
if the information is privileged or confidential and if 
disclosure of the information would cause harm to the person 
who submitted the information.
    (2) Paragraph (1) shall not apply with respect to 
information disclosed--
          (A) upon a request made by the Congress or any 
        committee of the Congress,
          (B) in a judicial or administrative proceeding, 
        subject to appropriate protective orders,
          (C) with the consent of the person who submitted the 
        information,
          (D) in the course of making a determination with 
        respect to the issuance, amendment, or revocation of a 
        certificate of review, if the Secretary deems 
        disclosure of the information to be necessary in 
        connection with making the determination,
          (E) in accordance with any requirement imposed by a 
        statute of the United States, or
          (F) in accordance with any rule or regulation 
        promulgated under section 310 permitting the disclosure 
        of the information to an agency of the United States or 
        of a State on the condition that an agency will 
        disclose the information only under the circumstances 
        specified in subparagraphs (A) through (E).

                         RULES AND REGULATIONS

    Sec. 310.\20\ The Secretary, with the concurrence of the 
Attorney General, shall promulgate such rules and regulations 
as are necessary to carry out the purposes of this Act.
---------------------------------------------------------------------------
    \20\ 15 U.S.C. 4020.
---------------------------------------------------------------------------

                              DEFINITIONS

    Sec. 311.\21\ As used in this title--
---------------------------------------------------------------------------
    \21\ 15 U.S.C. 4021.
---------------------------------------------------------------------------
          (1) the term ``export trade'' means trade or commerce 
        in goods, wares, merchandise, or services exported, or 
        in the course of being exported, from the United States 
        or any territory thereof to any foreign nation,
          (2) the term ``service'' means intangible economic 
        output, including, but not limited to--
                  (A) business, repair, and amusement services,
                  (B) management, legal, engineering, 
                architectural, and other professional services, 
                and
                  (C) financial, insurance, transportation, 
                informational and any other data-based 
                services, and communication services,
          (3) the term ``export trade activities'' means 
        activities or agreements in the course of export trade,
          (4) the term ``methods of operation'' means any 
        method by which a person conducts or proposes to 
        conduct export trade,
          (5) the term ``person'' means an individual who is a 
        resident of the United States; a partnership that is 
        created under and exists pursuant to the laws of any 
        State or of the United States; a State or local 
        government entity; a corporation, whether organized as 
        a profit or nonprofit corporation, that is created 
        under and exists pursuant to the laws of any State or 
        of the United States; or any association or 
        combination, by contract or other arrangement, between 
        or among such persons,
          (6) the term ``antitrust laws'' means the antitrust 
        laws, as such term is defined in the first section of 
        the Clayton Act (15 U.S.C. 12), and section 5 of the 
        Federal Trade Commission Act (15 U.S.C. 45) (to the 
        extent that section 5 prohibits unfair methods of 
        competition), and any State antitrust or unfair 
        competition law,
          (7) the term ``Secretary'' means the Secretary of 
        Commerce or his designee, and
          (8) the term ``Attorney General'' means the Attorney 
        General of the United States or his designee.

                            EFFECTIVE DATES

    Sec. 312.\22\ (a) Except as provided in subsection (b), 
this title shall take effect on the date of the enactment of 
this Act.
---------------------------------------------------------------------------
    \22\ 15 U.S.C. 4011 note.
---------------------------------------------------------------------------
    (b) Section 302 and section 303 shall take effect 90 days 
after the effective date of the rules and regulations first 
promulgated under section 310.

             TITLE IV--FOREIGN TRADE ANTITRUST IMPROVEMENTS

                              SHORT TITLE

    Sec. 401. This title may be cited as the ``Foreign Trade 
Antitrust Improvements Act of 1982''.

                        AMENDMENT TO SHERMAN ACT

    Sec. 402.\23\ * * *
---------------------------------------------------------------------------
    \23\ Sec. 402 amended the Sherman Act (15 U.S.C. 1 et seq.) by 
inserting a new sec. 7.
---------------------------------------------------------------------------

               AMENDMENT TO FEDERAL TRADE COMMISSION ACT

    Sec. 403.\24\ * * *
---------------------------------------------------------------------------
    \24\ Sec. 403 amended sec. 5(a) of the Federal Trade Commission Act 
(15 U.S.C. 45(a)).
(21) International Trade Functions in Reorganization Plan No. 3 of 1979 
                                  \1\

 Prepared by the President and transmitted to the Senate and the House 
of Representatives in Congress assembled, September 25, 1979, pursuant 
  to the provisions of chapter 9 of title 5 of the United States Code

      Reorganization of Functions Relating to International Trade

Section 1.\1\ Office of the United States Trade Representative.

  (a) The Office of the Special Representative for Trade 
Negotiations is redesignated the Office of the United States 
Trade Representative.
---------------------------------------------------------------------------
    \1\ 5 U.S.C. Appendix. With the exception of secs. 2(b)(1) and 
5(b)(1), this Reorganization Plan became effective January 2, 1980.
---------------------------------------------------------------------------
  (b)(1) The Special Representative for Trade Negotiations is 
redesignated the United States Trade Representative 
(hereinafter referred to as the ``Trade Representative''). The 
Trade Representative shall have primary responsibility, with 
the advice of the interagency organization established under 
section 242 of the Trade Expansion Act of 1962 (19 U.S.C. 1872) 
(hereinafter referred to as the ``Committee''), for developing, 
and for coordinating the implementation of, United States 
international trade policy, including commodity matters and, to 
the extent they are related to international trade policy, 
direct investment matters. The Trade Representative shall serve 
as the principal advisor to the President on international 
trade policy and shall advise the President on the impact of 
other policies of the United States Government on international 
trade.
  (2) The Trade Representative shall have lead responsibility 
for the conduct of international trade negotiations, including 
commodity and direct investment negotiations in which the 
United States participates.
  (3) To the extent necessary to assure the coordination of 
international trade policy, and consistent with any other law, 
the Trade Representative, with the advice of the Committee, 
shall issue policy guidance to departments and agencies on 
basic issues of policy and interpretation arising in the 
exercise of the following international trade functions. Such 
guidance shall determine the policy of the United States with 
respect to international trade issues arising in the exercise 
of such functions:
          (A) matters concerning the General Agreement on 
        Tariffs and Trade, including implementation of the 
        trade agreements set forth in section 2(c) of the Trade 
        Agreements Act of 1979; United States Government 
        positions on trade and commodity matters dealt with by 
        the Organization for Economic Cooperation and 
        Development, the United Nations Conference on Trade and 
        Development, and other multilateral organizations; and 
        the assertion and protection of the rights of the 
        United States under bilateral and multilateral 
        international trade and commodity agreements:
          (B) expansion of exports from the United States;
          (C) policy research on international trade, 
        commodity, and direct investment matters;
          (D) to the extent permitted by law, overall United 
        States policy with regard to unfair trade practices, 
        including enforcement of countervailing duties and 
        antidumping functions under section 303 and title VII 
        of the Tariff Act of 1930;
          (E) bilateral trade and commodity issues, including 
        East-West trade matters; and
          (F) international trade issues involving energy.
  (4) All functions of the Trade Representative shall be 
conducted under the direction of the President.
  (c) The Deputy Special Representatives for Trade Negotiations 
are redesignated Deputy United States Trade Representatives.

Sec. 2. Department of Commerce.

  (a) The Secretary of Commerce (hereinafter referred to as the 
``Secretary'') shall have, in addition to any other functions 
assigned by law, general operational responsibility for major 
nonagricultural international trade functions of the United 
States Government, including export development, commercial 
representation abroad, the administration of the antidumping 
and countervailing duty laws, export controls, trade adjustment 
assistance to firms and communities, research and analysis, and 
monitoring compliance with international trade agreements to 
which the United States is a party.
  (b)(1) \2\ There shall be in the Department of Commerce 
(hereinafter referred to as the ``Department'') a Deputy 
Secretary appointed by the President, by and with the advice 
and consent of the Senate. The Deputy Secretary shall receive 
compensation at the rate payable for Level II of the Executive 
Schedule, and shall perform such duties and exercise such 
powers as the Secretary may from time to time prescribe.
---------------------------------------------------------------------------
    \2\ Pursuant to Executive Order 12175, December 7, 1979, 44 F.R. 
70703, sec. 2(b)(1) of this plan became effective on that date.
---------------------------------------------------------------------------
  (2) The position of Under Secretary of Commerce established 
under section 1 of the Act of June 5, 1939 (ch. 180, 53 Stat. 
808; 15 U.S.C. 1502) is abolished.
  (c) There shall be in the Department an Under Secretary for 
International Trade appointed by the President, by and with the 
advice and consent of the Senate. The Under Secretary for 
International Trade shall receive compensation at the rate 
payable for Level III of the Executive Schedule, and shall 
perform such duties and exercise such powers as the Secretary 
may from time to time prescribe.
  (d) There shall be in the Department two additional Assistant 
Secretaries appointed by the President, by and with the advice 
and consent of the Senate. Each such Assistant Secretary \3\ 
shall perform such duties and exercise such powers as the 
Secretary may from time to time prescribe.
---------------------------------------------------------------------------
    \3\ Public Law 97-195 (96 Stat. 115) struck out the words ``shall 
receive compensation at the rate payable for Level IV of the Executive 
Schedule, and'' previously appearing at this point.
---------------------------------------------------------------------------
  (e) \4\ There shall be in the Department of Commerce a 
Director General of the United States and Foreign Commercial 
Services who shall be appointed by the President, by and with 
the advice and consent of the Senate, and shall receive 
compensation at the rate prescribed by law for level IV of the 
Executive Schedule.
---------------------------------------------------------------------------
    \4\ Subsec. 2(e) was added by Public Law 97-377 (96 Stat. 1913).
---------------------------------------------------------------------------

Sec. 3. Export-Import Bank of the United States.

  The Trade Representative and the Secretary shall serve, ex 
officio and without vote, as additional members of the Board of 
Directors of the Export-Import Bank of the United States.

Sec. 4. Overseas Private Investment Corporation.

  (a) The Trade Representative shall serve, ex officio, as an 
additional voting member of the Board of Directors of the 
Overseas Private Investment Corporation. The Trade 
Representative shall be the Vice Chairman of such Board.
  (b) There shall be an additional member of the Board of 
Directors of the Overseas Private Investment Corporation who 
shall be appointed by the President of the United States, by 
and with the advice and consent of the Senate, and who shall 
not be an official or employee of the Government of the United 
States. Such Director shall be appointed for a term of no more 
than three years.

Sec. 5. Transfer of Functions.

  (a)(1) There are transferred to the Secretary all functions 
of the Secretary of the Treasury, the General Counsel of the 
Department of the Treasury, or the Department of the Treasury 
pursuant to the following:
          (A) section 305(b) of the Trade Agreements Act of 
        1979 (19 U.S.C. 2515(b)), to be exercised in 
        consultation with the Secretary of the Treasury;
          (B) section 232 of the Trade Expansion Act of 1962 
        (19 U.S.C. 1862);
          (C) section 303 and title VII (including section 
        771(1)) of the Tariff Act of 1930 (19 U.S.C. 1303, 1671 
        et seq.), except that the Customs Service of the 
        Department of the Treasury shall accept such deposits, 
        bonds, or other security as deemed appropriate by the 
        Secretary, shall assess and collect such duties as may 
        be directed by the Secretary, and shall furnish such of 
        its important records or copies thereof as may be 
        requested by the Secretary incident to the functions 
        transferred by this subparagraph;
          (D) sections 514, 515, and 516 of the Tariff Act of 
        1930 (19 U.S.C. 1514, 1515, and 1516) insofar as they 
        relate to any protest, petition, or notice of desire to 
        contest described in section 1002(b)(1) of the Trade 
        Agreements Act of 1979;
          (E) with respect to the functions transferred by 
        subparagraph (C) of this paragraph, section 318 of the 
        Tariff Act of 1930 (19 U.S.C. 1318), to be exercised in 
        consultation with the Secretary of the Treasury;
          (F) with respect to the functions transferred by 
        subparagraph (C) of this paragraph, section 502(b) of 
        the Tariff Act of 1930 (19 U.S.C. 1502(b)), and, 
        insofar as it provides authority to issue regulations 
        and disseminate information, to be exercised in 
        consultation with the Secretary of the Treasury to the 
        extent that the Secretary of the Treasury has 
        responsibility under subparagraph (C), section 502(a) 
        of such Act (19 U.S.C. 1502(a));
          (G) with respect to the functions transferred by 
        subparagraph (C) of this paragraph, section 617 of the 
        Tariff Act of 1930 (19 U.S.C. 1617); and
          (H) section 2632(e) of title 28 of the United States 
        Code, insofar as it relates to actions taken by the 
        Secretary reviewable under section 516A of the Tariff 
        Act of 1930 (19 U.S.C. 1516(a)).
  (2) The secretary shall consult with the Trade Representative 
regularly in exercising the functions transferred by 
subparagraph (C) of paragraph (1) of this subsection, and shall 
consult with the Trade Representative regarding any substantive 
regulation proposed to be issued to enforce such functions.
  (b)(1) \5\ There are transferred to the Secretary all trade 
promotion and commercial functions of the Secretary of State or 
the Department of State that are--
---------------------------------------------------------------------------
    \5\ This section became effective April 1, 1980.
---------------------------------------------------------------------------
          (A) performed in full-time overseas trade promotion 
        and commercial positions; or
          (B) performed in such countries as the President may 
        from time to time prescribe.
  (2) To carry out the functions transferred by paragraph (1) 
of this subsection, the President, to the extent he deems it 
necessary, may authorize the Secretary to utilize Foreign 
Service personnel authorities and to exercise the functions 
vested in the Secretary of State by the Foreign Service Act of 
1946 (22 U.S.C. 801 et seq.) and by any other laws with respect 
to personnel performing such functions.
  (c) There are transferred to the President all functions of 
the East-West Foreign Trade Board under section 411(c) of the 
Trade Act of 1974 (19 U.S.C. 2441 (c)).
  (d) Appropriations available to the Department of State for 
Fiscal Year 1980 for representation of the United States 
concerning matters arising under the General Agreement on 
Tariffs and Trade and trade and commodity matters dealt with 
under the auspices of the United Nations Conference on Trade 
and Development are transferred to the Trade Representative.
  (e) There are transferred to the interagency organization 
established under section 242 of the Trade Expansion Act of 
1962 (19 U.S.C. 1872) all functions of the East-West Foreign 
Trade Board under section 411 (a) and (b) of the Trade Act of 
1974 (19 U.S.C. 2441 (a) and (b)).

Sec. 6. Abolition.

  The East-West Foreign Trade Board established under section 
411 of the Trade Act of 1974 (19 U.S.C 2441) is abolished.

Sec. 7. Responsibility of the Secretary of State.

  Nothing in this reorganization plan is intended to derogate 
from the responsibility of the Secretary of State for advising 
the President on foreign policy matters, including the foreign 
policy aspects of international trade and trade-related 
matters.

Sec. 8. Incidental Transfers; Interim Officers.

  (a) So much of the personnel, property, records, and 
unexpended balances, of appropriations, allocations, and other 
funds employed, used, held, available, or to be made available 
in connection with the functions transferred under this 
reorganization plan as the Director of the Office of Management 
and Budget shall determine shall be transferred to the 
appropriate agency, organization, or component at such time or 
times as such Director shall provide, except that no such 
unexpended balances transferred shall be used for purposes 
other than those for which the appropriation originally was 
made. The Director of the Office of Management and Budget shall 
provide for terminating the affairs of any agency abolished 
herein and for such further measures and dispositions as such 
Director deems necessary to effectuate the purposes of the 
reorganization plan.
  (b) Pending the assumption of office by the initial officers 
provided for in section 2 of this reorganization plan, the 
functions of each such office may be performed, for up to a 
total of 60 days, by such individuals as the President may 
designate. Any individual so designated shall be compensated at 
the rate provided herein for such position.

Sec. 9. Effective Date.

  The provisions of this reorganization plan shall take effect 
October 1, 1980, or at such earlier time or times as the 
President shall specify, but not sooner than the earliest time 
allowable under section 906 of title 5 of the United States 
Code.
 (22) Designated Beneficiary Developing Countries for Purposes of the 
    Generalized System of Preferences, the Caribbean Basin Economic 
           Recovery Act, and the Andean Trade Preference Act

  Partial text of Harmonized Tariff Schedule of the United States, as 
reported by the United States International Trade Commission, pursuant 
   to sec. 1207 of the Omnibus Trade and Competitiveness Act of 1988 
                 (Public Law 100-418; 19 U.S.C. 3007).

                             GENERAL NOTES


          Note.--The general notes to the Harmonized Tariff 
        Schedule of the United States (HTS), listing those 
        countries whose products are eligible for benefits with 
        respect to the Generalized System of Preferences (GSP), 
        the Caribbean Basin Economic Recovery Act (CBERA), and 
        the Andean Trade Preference Act (ATPA), and the 
        articles of those countries that are eligible for 
        benefits, are modified and amended throughout the year 
        by Executive Order or by Presidential Proclamation. 
        Information on the latest changes in country and 
        product designations may be obtained by consulting the 
        Code of Federal Regulations (CFR, Title 3--The 
        President), the Federal Register Index, the U.S. Code 
        Congressional and Administrative News, or the current 
        version of the Tariff Schedules that is maintained and 
        published periodically by the United States 
        International Trade Commission (USITC Publication 3477, 
        available at http://dataweb.usitc.gov/scripts/tariff/
        toc.html). The lists of countries reproduced below are 
        current as of the date of publication of this volume.



          * * * * * * *
    3. Rates of Duty--The rates of duty in the ``Rate of Duty'' 
columns designated 1 (``General'' and ``Special'') and 2 of the 
tariff schedule apply to goods imported into the customs 
territory of the United States as hereinafter provided in this 
note:
    (a) Rate of Duty Column 1.
          (i) Except as provided in subparagraphs (iv) of this 
        paragraph, the rate of duty in column 1 are rates which 
        are applicable to all products other than those of 
        countries enumerated in paragraph (b) of this note. 
        Column 1 is divided into two subcolumns, ``General'' 
        and ``Special'', which are applicable as provided 
        below.
          (ii) The ``General'' subcolumn sets forth the general 
        normal trade relations (NTR) \1\ rates which are 
        applicable to products of those countries described in 
        subparagraph (i) above which are not entitled to 
        special tariff treatment as set forth below.
---------------------------------------------------------------------------
    \1\ Sec. 5003 of Public Law 105-206 (112 Stat. 789) struck all 
references to ``most-favored-nation'' or ``MFN'' and inserted in lieu 
thereof ``normal trade relations'' or ``NTR''.
---------------------------------------------------------------------------
          (iii) The ``Special'' subcolumn reflects rates of 
        duty under one or more special tariff treatment 
        programs described in paragraph (c) of this note and 
        identified in parentheses immediately following the 
        duty rate specified in such subcolumn. These rates 
        apply to those products which are properly classified 
        under a provision for which a special rate is indicated 
        and for which all of the legal requirements for 
        eligibility for such program or programs have been met. 
        Where a product is eligible for special treatment under 
        more than one program, the lowest rate of duty is 
        provided for a provision, or where the country from 
        which a product otherwise eligible for special 
        treatment was imported is not designated as a 
        beneficiary country under a program appearing with the 
        appropriate provision, the rate of duty in the 
        ``General'' subcolumn of column 1 shall apply.
          (iv) Products of Insular Possessions. * * *
          (v) \2\ Products of the West Bank, the Gaza Strip or 
        a qualifying industrial zone.
---------------------------------------------------------------------------
    \2\ Subpara. (v) was added by Presidential Proclamation 6955 of 
November 13, 1996 (61 F.R. 58761), as authorized by sec. 906 of the 
United States-Israel Free Trade Area Implementation Act of 1985 (Public 
Law 99-47, 99 Stat. 82, as amended).
---------------------------------------------------------------------------
                  (A) Subject to the provisions of this 
                paragraph, articles which are imported directly 
                from the West Bank, the Gaza Strip, a 
                qualifying industrial zone as defined in 
                subdivision (G) of this subparagraph or Israel 
                and are--
                          (1) wholly the growth, product or 
                        manufacture of the West Bank, the Gaza 
                        Strip or a qualifying industrial zone; 
                        or
                          (2) new or different articles of 
                        commerce that have been grown, produced 
                        or manufactured in the West Bank, the 
                        Gaza Strip or a qualifying industrial 
                        zone, and the sum of --
                                  (I) the cost or value of the 
                                materials produced in the West 
                                Bank, the Gaza Strip or a 
                                qualifying industrial zone or 
                                Israel, plus
                                  (II) the direct costs of 
                                processing operations (not 
                                including simple combining or 
                                packaging operations, and not 
                                including mere dilution with 
                                water or with another substance 
                                that does not materially alter 
                                the characteristics of such 
                                articles) performed in the West 
                                Bank, the Gaza Strip or a 
                                qualifying industrial zone or 
                                Israel,
                                is not less than 35 percent of 
                                the appraised value of such 
                                articles;
                        shall be eligible for duty-free entry 
                        into the customs territory of the 
                        United States. For purposes of 
                        subdivision (A)(2), materials which are 
                        used in the production of articles in 
                        the West Bank, the Gaza Strip or a 
                        qualifying industrial zone, and which 
                        are the product of the United States, 
                        may be counted in an amount up to 15 
                        percent of the appraised value of such 
                        articles.
                  (B) Articles are ``imported directly'' for 
                the purposes of this paragraph if--
                          (1) they are shipped directly from 
                        the West Bank, the Gaza Strip or a 
                        qualifying industrial zone or Israel 
                        into the United States without passing 
                        through the territory of any 
                        intermediate country; or
                          (2) they are shipped through the 
                        territory of an intermediate country, 
                        and the articles in the shipment do not 
                        enter into the commerce of any 
                        intermediate country and the invoices, 
                        bills of lading and other shipping 
                        documents specify the United States as 
                        the final destination; or
                          (3) they are shipped through an 
                        intermediate country and the invoices 
                        and other documents do not specify the 
                        United States as the final destination, 
                        and the articles--
                                  (I) remain under the control 
                                of the customs authority in an 
                                intermediate country;
                                  (II) do not enter into the 
                                commerce of an intermediate 
                                country except for the purpose 
                                of a sale other than at retail, 
                                but only if the articles are 
                                imported as a result of the 
                                original commercial 
                                transactions between the 
                                importer and producer or the 
                                producer's sales agent; and
                                  (III) have not been subjected 
                                to operations other than 
                                loading, unloading or other 
                                activities necessary to 
                                preserve the articles in good 
                                condition.
                  (C) the term ``new or different articles of 
                commerce'' means that articles must have been 
                substantially transformed in the West Bank, the 
                Gaza Strip or a qualifying industrial zone into 
                articles with a new name, character or use.
                  (D)(1) for the purposes of subdivision 
                (A)(2)(I), the cost or value or materials 
                produced in the West Bank, the Gaza Strip or a 
                qualifying industrial zone includes--
                          (I) the manufacturer's actual cost 
                        for the materials;
                          (II) when not included in the 
                        manufacturer's actual cost for the 
                        materials, the freight, insurance, 
                        packing and all other costs incurred in 
                        transporting the materials to the 
                        manufacturer's plant;
                          (III) the actual cost of waste or 
                        spoilage, less the value of recoverable 
                        scrap; and
                          (IV) taxes or duties imposed on the 
                        materials by the West Bank, the Gaza 
                        Strip or a qualifying industrial zone, 
                        if such taxes are not remitted on 
                        exportation.
                  (2) If a material is provided to the 
                manufacturer without charge, or at less than 
                fair market value, its cost or value shall be 
                determined by computing the sum of--
                          (I) all expenses incurred in the 
                        growth, production or manufacture of 
                        the material, including general 
                        expenses;
                          (II) an amount for profit; and
                          (III) freight, insurance, packing and 
                        all other costs incurred in 
                        transporting the material to the 
                        manufacturer's plant.
                  (3) If the information necessary to compute 
                the cost or value of a material is not 
                available, the Customs Service may ascertain or 
                estimate the value thereof using all reasonable 
                methods.
                  (E)(1) For purposes of this paragraph, the 
                ``direct costs of processing operations 
                performed in the West Bank, the Gaza Strip or a 
                qualifying industrial zone'' with respect to an 
                article are those costs either directly 
                incurred in, or which can be reasonable 
                allocated to, the growth, production, 
                manufacture or assembly of that article. Such 
                costs include, but are not limited to, the 
                following to the extent that they are 
                includable in the appraised value of articles 
                imported into the United States:
                          (I) All actual labor costs involved 
                        in the growth, production, manufacture 
                        or assembly of the article, including 
                        fringe benefits, on-the-job training 
                        and costs of engineering, supervisory, 
                        quality control and similar personnel;
                          (II) Dies, molds, tooling and 
                        depreciation on machinery and equipment 
                        which are allocable to such articles;
                          (III) Research, development, design, 
                        engineering and blueprint costs insofar 
                        as they are allocable to such articles; 
                        and
                          (IV) Costs of inspecting and testing 
                        such articles.
                  (2) Those items that are not included as 
                direct costs of processing operations with 
                respect to an article are those which are not 
                directly attributable to the article or are not 
                costs of manufacturing the article. Such items 
                include, but are not limited to--
                          (I) profit; and
                          (II) general expenses of doing 
                        business which are either not allocable 
                        to the article or are not related to 
                        the growth, production, manufacture or 
                        assembly of the article, such as 
                        administrative salaries, casualty and 
                        liability insurance, advertising and 
                        salesmen's salaries, commissions or 
                        expenses.
                  (F) Whenever articles are entered with a 
                claim for the duty exemption provided in this 
                paragraph--
                          (1) the importer shall be deemed to 
                        certify that such articles meet all of 
                        the conditions for duty exemption; and
                          (2) when requested by the Customs 
                        Service, the importer, manufacturer or 
                        exporter submits a declaration setting 
                        forth all pertinent information with 
                        respect to such articles, including the 
                        following:
                                  (I) A description of such 
                                articles, quantities, numbers 
                                and marks of packages, invoice 
                                numbers and bills of lading;
                                  (II) A description of the 
                                operations performed in the 
                                production of such articles in 
                                the West Bank, the Gaza Strip 
                                or a qualifying industrial zone 
                                or Israel and an identification 
                                of the direct costs of 
                                processing operations;
                                  (III) A description of the 
                                materials used in the 
                                production of such articles 
                                which are wholly the growth, 
                                product, or manufacture of the 
                                West Bank, the Gaza Strip or a 
                                qualifying industrial zone, 
                                Israel or the United States, 
                                and a statement as the cost or 
                                value of such materials;
                                  (IV) A description of the 
                                operations performed on, and a 
                                statement as to the origin and 
                                cost or value of, any foreign 
                                materials used in such articles 
                                which are claimed to have been 
                                sufficiently processed in the 
                                West Bank, the Gaza Strip or a 
                                qualifying industrial zone or 
                                Israel so as to be materially 
                                produced in the West Bank, the 
                                Gaza Strip or a qualifying 
                                industrial zone or Israel; and
                                  (V) A description of the 
                                origin and cost or value of any 
                                foreign materials used in the 
                                article which have not been 
                                substantially transformed in 
                                the West Bank, the Gaza Strip 
                                or a qualifying industrial 
                                zone.
                  (G) For the purposes of this paragraph, a 
                ``qualifying industrial zone'' means any area 
                that--
                          (1) encompasses portions of the 
                        territory of Israel and Jordan or 
                        Israel and Egypt;
                          (2) has been designated by local 
                        authority as an enclave where 
                        merchandise may enter without payment 
                        of duty or excise taxes; and
                          (3) has been designated by the United 
                        States Trade Representative in a notice 
                        published in the Federal Register as a 
                        qualifying industrial zone.
    (b) \3\ Rate of Duty Column 2.--Notwithstanding any of the 
foregoing provisions of this note, the rates of duty shown in 
column 2 shall apply to products, whether imported directly or 
indirectly, of the following countries and areas pursuant to 
section 401 of the Tariff Classification Act of 1962, to 
section 231 or 257(e)(2) of the Trade Expansion Act of 1962, to 
section 404(a) of the Trade Act of 1974 or to any other 
applicable section of law, or to action taken by the President 
thereunder:
---------------------------------------------------------------------------
    \3\ The duty rate in column 2 applies to countries to which normal 
trade relations (NTR) status is currently denied.
    Albania was removed from the list by Presidential Proclamation 6445 
of June 15, 1992 (57 F.R. 26921), effective on the date of exchange of 
written notice of acceptance in accordance with article XVII of the 
Agreement on Trade Relations Between the United States of America and 
the Republic of Albania (Nov. 2, 1992).
    The term ``Union of Soviet Socialist Republics'' was deleted by 
Presidential Proclamation 6544 of April 13, 1993 (58 F.R. 19547) and 
para. (7) of that proclamation instead inserted in alphabetical 
sequence ``Azerbaijan'', ``Georgia'', ``Tajikistan'', ``Turkmenistan'', 
and ``Uzbekistan''. That proclamation further provided: ``Upon notice 
by the USTR in the Federal Register that a trade agreement has been 
concluded between the United States and a republic listed in paragraph 
(7) of this proclamation and general note 3(b) to the HTS, such 
republic shall be deleted from general note 3(b) as of the date 
announced by the USTR as the effective date of such trade agreement.''.
    Romania was removed from the list by Presidential Proclamation 6577 
of July 2, 1993 (58 F.R. 36301), upon the signing of an Agreement on 
Trade Relations Between the United States of America and Romania. See 
also note 6.
    Kampuchea (Cambodia) was struck from the list pursuant to sec. 2(a) 
of Public Law 104-203 (110 Stat. 2872), upon the entry into force of a 
trade agreement obligating reciprocal normal trade relations treatment 
between Cambodia and the United States. Such an agreement entered into 
force on October 25, 1996 (USTR notice, 61 F.R. 56256).
    Vietnam was struck from the list pursuant to Executive Order No. 
13079 of April 7, 1998 (63 F.R. 17309).
    Yugoslavia (Serbia and Montenegro) were restricted pursuant to 
Public Law 102-420 (106 Stat. 2149). In Presidential Determination No. 
96-7 of December 27, 1995 (61 F.R. 2887), the President suspended the 
application of sanctions imposed on Serbia and Montenegro.

---------------------------------------------------------------------------
    Vietnam

    4. Products of Countries Designated Beneficiary Developing 
Countries for Purposes of the Generalized System of Preferences 
(GSP).\5\
---------------------------------------------------------------------------
    \4\ Afghanistan was added to the list by Presidential Proclamation 
5437 (1986).
    \5\ Presidential Proclamation 6030 of September 28, 1989 (54 F.R. 
40839) struck the Marshall Islands and Federated States of Micronesia 
from this list, and, pursuant to secs. 101 and 401 of the Compact of 
Free Association Act of 1985 (99 Stat. 1773 and 1838). See general note 
10.
---------------------------------------------------------------------------
    (a) The following countries, territories, and associations 
of countries eligible for treatment as one country (pursuant to 
section 502(a)(3) of the Trade Act of 1974 (19 U.S.C. 
2462(a)(3))) are designated beneficiary developing countries 
for the purposes of the Generalized System of Preferences, 
provided for in Title V of the Trade Act of 1974, as amended 
(19 U.S.C. 2461 et seq.):
---------------------------------------------------------------------------
    \6\ Deletions from the list of independent countries include:
---------------------------------------------------------------------------

          Sudan (Presidential Proclamation 6282 of April 25, 1991 (56 
        F.R. 19525)); Yugoslavia (Presidential Proclamation 6389 of 
        December 5, 1991 (56 F.R. 64467)); Syria (Presidential 
        Proclamation 6447 of June 15, 1992 (57 F.R. 26981)); Mauritania 
        (Presidential Proclamation 6575 of June 25, 1993 (58 F.R. 
        34855)); Mexico (as part of implementing NAFTA; Presidential 
        Proclamation 6641 of December 15, 1993 (58 F.R. 66867)); The 
        Bahamas and Israel (Presidential Proclamation 6767 of February 
        3, 1995 (60 F.R. 7427)); Maldives (Presidential Proclamation 
        6813 of July 28, 1995 (60 F.R. 39095)); Cyprus and Malaysia 
        (Presidential Proclamation 6942 of October 17, 1996 (61 F.R. 
        54719)); That proclamation also corrected how Guinea-Bissau and 
        the Republic of Yemen were listed; Belarus, Malta and Slovenia, 
        effective January 1, 2002 (Presidential Proclamation 7328 of 
        July 6, 2000 (65 F.R. 42595).
---------------------------------------------------------------------------
    Additions to the list of independent countries:
---------------------------------------------------------------------------

          Czechoslovakia (Presidential Proclamation 6282 of April 25, 
        1991 (56 F.R. 19525); Czechoslovakia redesignated as the Czech 
        Republic and Slovakia (Presidential Proclamation 6544 of April 
        13, 1993 (58 F.R. 19547)); Bulgaria (Presidential Proclamation 
        6388 of December 4, 1991 (56 F.R. 63863)); Estonia, Latvia, and 
        Lithuania (Presidential Proclamation 6402 of February 5, 1992 
        (57 F.R. 4833)); ``Each of the former republics of the 
        Socialist Federal Republic of Yugoslavia other than Serbia and 
        Montenegro'' (Presidential Proclamation 6465 of August 25, 1992 
        (57 F.R. 39095)) (subsequently changed to separately listed: 
        Bosnia and Hercegovina, Croatia, Macedonia, and Slovenia by 
        Presidential Proclamation 6804 of May 22, 1995 (60 F.R. 27657); 
        Ethiopia (Presidential Proclamation 6517 of December 23, 1992 
        (57 F.R. 61757)); Albania (Presidential Proclamation 6575 of 
        June 25, 1993 (58 F.R. 34855)); Russia (Presidential 
        Proclamation 6599 of September 30, 1993 (58 F.R. 51561)); 
        Kyrgyzstan (Presidential Proclamation 6635 of December 9, 1993 
        (58 F.R. 65279)); Kazakhstan and Romania (Presidential 
        Proclamation 6650 of February 16, 1994 (59 F.R. 8115)); Ukraine 
        (Presidential Proclamation 6655 of March 3, 1994 (59 F.R. 
        10725)); South Africa (Presidential Proclamation 6676 of April 
        21, 1994; (59 F.R. 19629)); Belarus and Uzbekistan 
        (Presidential Proclamation 6714 of August 17, 1994 (59 F.R. 
        43023)); Armenia (Presidential Proclamation 6767 of February 3, 
        1995 (60 F.R. 7427)); Moldova (Presidential Proclamation 6813 
        of July 28, 1996 (60 F.R. 39095)); and Cambodia (Presidential 
        Proclamation 7007 of May 30, 1997 (62 F.R. 30415); Gabon, 
        Mauritania (suspension pursuant to Presidential Proclamation of 
        6575 of June 25,1993 ended), Mongolia (Presidential 
        Proclamation 7206 of June 30, 1999 (64 F.R. 36229); Nigeria 
        (Presidential Proclamation 7335 of August 27, 2000 (65 F.R. 
        52903)); Eritrea (Presidential Proclamation 7350 of October 2, 
        2000 (65 F.R. 59321)); Samoa (designation of Western Samoa 
        modified to apply to Samoa, and Samoa designated a least-
        developed beneficiary country by Presidential Proclamation 7383 
        of December 1, 2000 (65 F.R. 76551)).

                       Independent Countries \6\

    Albania
    Angola
    Antigua and Barbuda
    Argentinaea
    Armenia
    Bahrain \7\
    Bangladesh
    Barbados
    Belize
    Benin
    Bhutan
    Bolivia
    Bosnia and Hercegovina
    Botswana
    Brazil
    Bulgaria
    Burkina Faso
    Burundi
    Cambodia\6\
    Cameroon
    Cape Verde
    Central African Republic
    Chad
    Chile
    Colombia
    Comoros
    Congo (Brazzaville) \8\
    Congo (Kinshasa) \8\
    Costa Rica
    Cote d'Ivoire
    Croatia
    Czech Republic
    Djibouti
    Dominica
    Dominican Republic \9\
    Ecuador
    Egypt
    El Salvador \7\
    Equatorial Guinea
    Eritrea
    Estonia
    Ethiopia
    Fiji \7\
    Gabon
    Gambia, The
    Ghana
    Grenada
    Guatemala \7\,\9\
    Guinea
    Guinea-Bissau
    Guyana
    Haiti
    Honduras \9\
    Hungary
    India
    Indonesia \7\
    Jamaica
    Jordan
    Kazakhstan
    Kenya
    Kiribati
    Kyrgyzstan
    Latvia
    Lebanon
    Lesotho
    Lithuania
    Macedonia, Former Yugoslav
      Republic of
    Madagascar
    Malawi \7\
    Mali
    Mauritania
    Mauritius
    Moldova
    Mongolia
    Morocco
    Mozambique
    Namibia
    Nepal
---------------------------------------------------------------------------
    \7\ In a memorandum of June 25, 1993, to the United States Trade 
Representative (58 F.R. 34861), the President determined ``that Panama 
has taken or is taking steps to afford international recognized worker 
rights, and I have determined that Mauritania has not taken and is not 
taking steps to afford such internationally recognized rights. 
Therefore, I am notifying the Congress of my intention to suspend the 
GSP eligibility of Mauritania. Finally, I have determined to continue 
to review the status of such worker rights in Bahrain, El Salvador, 
Fiji, Guatemala, Indonesia, Malawi, Oman, and Thailand.''. Mauritania 
subsequently was deleted from the list of independent countries and 
from the list of least-developed beneficiary countries; see note 5. The 
suspension pursuant to this Presidential Proclamation was lifted by 
Presidential Proclamation 7206 of June 30, 1999 (64 F.R. 36229).
    \8\ In Presidential Proclamation 7206 of June 30, 1999, the 
President deleted ``Congo'' and ``Zaire'' from the list of independent 
countries, and inserted in lieu thereof ``Congo (Brazzaville)'' and 
``Congo (Kinshasa)'' respectively.
    \9\ In a memorandum of June 25, 1993, to the United States Trade 
Representative (58 F.R. 34861), the President determined that, ``after 
considered various private sector requests for a review of whether or 
not certain beneficiary developing countries are providing adequate and 
effective means under their laws for foreign nationals to secure, to 
exercise, and to enforce exclusive rights in intellectual property, 
including patents, trademarks, and copyrights, I have determined to 
continue the review of the Dominican Republic, Guatemala, and 
Honduras.''.
    On June 14, 1996, the Office of the U.S. Trade Representative 
issued a notice to retroactively suspend certain GSP benefits for 
Pakistan (61 F.R. 30646).
    On May 27, 1997, the Office of the U.S. Trade Representative issued 
a notice of intention to recommend withdrawal of certain benefits with 
respect to Honduras, stating that, ``in light of a determination that 
Honduras fails to provide adequate and effective means under its laws 
for foreign nationals to secure, exercise, and enforce exclusive rights 
in intellectual property, the Trade Policy Staff Committee (TPSC) will 
recommend to the President that he partially withdraw duty-free 
treatment accorded Honduras under the Generalized System of Preferences 
(GSP) program and the Caribbean Basin Initiative (CBI).'' (62 F.R. 
28915).
---------------------------------------------------------------------------
    Niger
    Nigeria \10\
    Oman \7\
    Pakistan
    Panama \7\
    Papua New Guinea
    Paraguay
    Peru \11\
    Philippines
    Poland
    Romania
    Russia
    Rwanda
    Saint Kitts and Nevis
    Saint Lucia
    Saint Vincent and the Grenadines
    Samoa \6\
    Sao Tome and Principe
    Senegal
    Seychelles
    Sierra Leone
    Slovakia
    Solomon Islands
    Somalia
    South Africa
    Sri Lanka
    Suriname
    Swaziland
    Tanzania
    Thailand \7\
    Togo
    Tonga
    Trinidad and Tobago
    Tunisia
    Turkey
    Tuvalu
    Uganda
    Uruguay
    Uzbekistan
    Vanuatu
    Venezuela
    Republic of Yemen
    Zaire
    Zambia
    Zimbabwe
---------------------------------------------------------------------------
    \10\ In Proclamation 7335 of August 27, 2000 (65 F.R. 52901), the 
President determined ``that it is appropriate to designate Nigeria as a 
beneficiary developing country for purposes of the GSP.''
    \11\ In a memorandum of June 25, 1993, to the United States Trade 
Representative (58 F.R. 34861), the President continued a review of 
alleged expropriation without compensation of property of a U.S. 
citizen in Peru. See also note 20.
    \12\ Palau was deleted from this list and added under headnote 10 
by Presidential Proclamation 6763 of December 23, 1994 (60 F.R. 1007). 
French Polynesia and New Caledonia will be deleted from the list 
effective January 1, 2002 (Proclamation No. 7328 of July 6, 2000, 65 
F.R. 42595) because the president has determined that they met the 
definition of a ``high income'' country pursuant to sec. 502(e) of the 
Trade Act of 1974.
    The West Bank and the Gaza Strip were added pursuant to 
Presidential Proclamation 6778 of March 17, 1995 (60 F.R. 15455; 
amended at 60 F.R. 25266). That proclamation further provided that:
---------------------------------------------------------------------------

          ``(3) The extension of the Generalized System of Preferences 
        program to the West Bank and Gaza Strip pursuant to this 
        proclamation applies only to goods produced in the areas for 
        which arrangements are being established for Palestinian 
        Interim Self-Government, as set forth in Articles I, III, and 
        IV of the Declaration of Principles on Interim Self-Government 
        Arrangements.''.
---------------------------------------------------------------------------
    Presidential Proclamation 6942 of October 17, 1996 (61 F.R. 54719) 
deleted Aruba, Cayman Islands, Greenland, Macau, and Netherlands 
Antilles.
---------------------------------------------------------------------------
             Non-Independent Countries and Territories \12\
    Anguilla
    British Indian Ocean Territory
    Christmas Island (Australia)
    Cocos (Keeling) Islands
    Cook Islands
    Falkland Islands (Islas Malvinas)
    Gibraltar
    Heard Island and McDonald Islands
    Montserrat
    Niue
    Norfolk Island
    Pitcairn Island
    Saint Helena
    Tokelau
    Turks and Caicos Islands
    Virgin Islands, British
    Wallis and Futuna
    West Bank and Gaza Strip
    Western Sahara
           Associations of Countries (treated as one country)
       Member Countries of the Cartagena Agreement (Andean Group)
  Consisting of:
    Bolivia
    Colombia
    Ecuador
    
    Peru \10\
    Venezuela
  Members of the Association of South East Asian Nations (ASEAN) \13\
  Consisting of:
    Cambodia\14\
    Indonesia \7\
    
    Philippines
    Thailand

     Member Countries of the Caribbean Common Market (CARICOM) \15\

  Consisting of:
    Antigua and Barbuda
    Bahamas
    Barbados
    Belize
    Dominica
    Grenada
    Guyana
    
    Jamaica
    Montserrat
    Saint Kitts and Nevis
    Saint Lucia
    Saint Vincent and the Grenadines
    Trinidad and Tobago
   Member Countries of the West African Economic and Monetary Union 
                              (WAEMU) \16\
  Consisting of:
     Benin
     Burkina Faso
     Cote d'Ivoire
     Mali
    
     Niger
     Senegal
     Togo

 Member Countries of the Southern Africa Development Community (SADC) 
                                  \17\

  Currently qualifying:
     Botswana
     Mauritius
    
     Tanzania

    (b) The following beneficiary countries are designated as 
least-developed beneficiary developing countries pursuant to 
section 504(c)(6) of the Trade Act of 1974, as amended: \18\
---------------------------------------------------------------------------
    \13\ Presidential Proclamation 6942 of October 17, 1996 (61 F.R. 
54719) struck Malaysia from this list and restated the title to reflect 
the change.
    \14\ Cambodia was added to the list of countries identified as 
members of ASEAN pursuant to Presidential Proclamation 7206 of June 30, 
1999 (64 F.R. 36229). The same proclamation deleted ``Members of the 
Association of South East Asian Nations (ASEAN) Eligible for GSP except 
Brunei Darussalam, Malaysia, and Singapore'' and inserted in lieu 
thereof the title heading and countries listed above.
    \15\ The Bahamas was deleted from this list pursuant to 
Presidential Proclamation 6767 of February 3, 1995 (60 F.R. 7427).
    \16\ In Presidential Proclamation 7107 of June 30, 1998 (63 F.R. 
36532) the President determined that members of the West African 
Economic and Monetary Union (WAEMU) should be treated as one country 
pursuant to sec. 507(2) of the Trade Act of 1974 for the purposes of 
title V of the Act.
    \17\ In Presidential Proclamation 7107 of June 30, 1998(63 F.R. 
36532), the President determined that members of the West African 
Economic and Monetary Union (WAEMU) should be treated as one country 
pursuant to section 507(2) of the Trade Act of 1974 for the purposes of 
title V of the Act.
    \18\ Presidential Proclamation 6813 of July 28, 1995 (60 F.R. 
39095) struck Maldives from General Note 4(b). Presidential 
Proclamation 6942 of October 17,1996 (61 F.R. 54719) struck Botswana 
and Western Samoa from General Note 4(b), and added Angola, Ethiopia, 
Madagascar, Zaire, and Zambia. That proclamation also corrected how the 
Republic of Yemen is listed. Presidential Proclamation 7007 of May 30, 
1997 (62 F.R. 30415) added Cambodia. In Presidential Proclamation 7206 
of June 30, 1999 (64 F.R. 36229), general note 4(b)(1) was modified by 
deleting ``Zaire'' and inserting in alphabetical order ``Congo 
(Kinshasa)'' in lieu thereof. Also in Presidential Proclamation 7206, 
Mauritania was restored as a least-developed beneficiary developing 
country under the GSP. In Presidential Proclamation 7383 of December 1, 
2000 (65 F.R. 76551), the President determined, ``the designation of 
Western Samoa as a beneficiary developing country under the GSP should 
be modified so that the designation applies to Samoa. Furthermore, 
pursuant to section 502 of the 1974 Act, and having due regard for the 
eligibility criteria set forth therein, I have determined that it is 
appropriate to designate Samoa as a least-developed beneficiary 
developing country for purposes of the GSP.''

---------------------------------------------------------------------------
    Zambia

Whenever an eligible article which is the growth, product or 
manufacture of one of the countries designated as a least-
developed beneficiary developing country is imported into the 
customs territory of the United States directly from such 
country, such article shall be entitled to receive the duty-
free treatment provided for in subdivision (c) of this note 
without regard to the limitations on preferential treatment of 
eligible articles in section 504(c) of the Trade Act, as 
amended (19 U.S.C. 2464(c)).
          * * * * * * *
    7. Products of Countries Designated as Beneficiary 
Countries for Purposes of the Caribbean Basin Economic Recovery 
Act (CBERA).
    (a) The following countries and territories or successor 
political entities are designated beneficiary countries for the 
purposes of the CBERA, pursuant to section 212 of that Act (19 
U.S.C. 2702):

    Antigua and Barbuda
    Arubaadesh
    Bahamas
    Barbados
    Belizea Faso
    Costa Rica
    Dominica
    Dominican Republic \9\
    El Salvador \7\ Republic
    Grenada
    Guatemala \7\, \9\
    Guyana(Kinshasa) \18\
    Haitiuti
    Honduras \9\uinea
    Jamaicaa
    Montserrate
    Netherlands Antilles
    Nicaragua \19\
    Panama \7\
    Saint Kitts and Nevis
    Saint Lucia
    Saint Vincent and the Grenadines
    Trinidad and Tobago
    Virgin Islands, British
          * * * * * * *
---------------------------------------------------------------------------
    \19\ Nicaragua was designated a beneficiary country for purposes of 
the CBERA by the President on November 8, 1990, in Proclamation 6223 
(55 F.R. 47447).
---------------------------------------------------------------------------
    8. United States-Israel Free Trade Implementation Act of 
1985.
    (a) The products of Israel described in Annex 1 of the 
Agreement on the Establishment of a Free Trade Area between the 
Government of the United States of America and the Government 
of Israel, entered into on April 22, 1985, are subject to duty 
as provided herein. Products of Israel, as defined in 
subdivision (b) of this note, imported into the customs 
territory of the United States and entered under a provision 
for which a rate of duty appears in the ``Special'' subcolumn 
followed by the symbol ``IL'' in parentheses are eligible for 
the tariff treatment set for in the ``Special'' subcolumn, in 
accordance with section 4(a) of the United States-Israel Free 
Trade Area Implementation Act of 1985 (99 Stat. 82).
          * * * * * * *
    10. Products of the Freely Associated States.
    (a) Pursuant to sections 101 and 401 of the Compact of Free 
Association Act of 1985 (99 Stat. 1773 and 1838), the following 
countries shall be eligible for treatment as freely associated 
states:
---------------------------------------------------------------------------
    \20\ Palau was added by sec. 9 of Presidential Proclamation 6763 of 
December 23, 1994 (60 F.R. 1007).

    Marshall Islands
    Micronesia, Federated States of
    Republic of Palau \20\
          * * * * * * *
    11.\21\ Products of Countries Designated as Beneficiary 
Countries for Purposes of the Andean Trade Preference Act 
(ATPA).
---------------------------------------------------------------------------
    \21\ General note 11 was added by Presidential Proclamation 6455 of 
July 2, 1992 (57 F.R. 30069).
---------------------------------------------------------------------------
    (a) The following countries or successor political entities 
are designated beneficiary countries for the purposes of the 
ATPA, pursuant to section 203 of the Act (19 U.S.C. 3202):
---------------------------------------------------------------------------
    \22\ Bolivia was designated a beneficiary country for the purposes 
of the Andean Trade Preference Act by Presidential Proclamation 6456 of 
July 2, 1992 (57 F.R. 30097).
    \23\ Ecuador was designated a beneficiary country for the purposes 
of the Andean Trade Preference Act by Presidential Proclamation 6544 of 
April 13, 1993 (58 F.R. 19547).
    \24\ Peru was designated a beneficiary country for the purposes of 
the Andean Trade Preference Act by Presidential Proclamation 6585 of 
August 11, 1993 (58 F.R. 43239).

    Bolivia \22\
    Colombia
    Ecuador \23\
    Peru \24\
          * * * * * * *
    12. North American Free Trade Agreement. * * * \25\
---------------------------------------------------------------------------
    \25\ For text, see Presidential Proclamation 6641 of December 15, 
1993 (58 F.R. 66867).
---------------------------------------------------------------------------
          * * * * * * *
    16. Products of Countries Designated as Beneficiary 
Countries Under the African Growth and Opportunity Act (AGOA).
  (a) The following sub-Saharan African countries, having been 
designated as beneficiary sub-Saharan African countries \26\ 
for purposes of the African Growth and Opportunity Act (AGOA), 
have met the requirements of the AGOA and, therefore, are to be 
afforded the tariff treatment provided in this note, shall be 
treated as beneficiary sub-Saharan African countries for 
purposes of this note:
---------------------------------------------------------------------------
    \26\ Sec. 111(a) of Public Law 106-200 (112 Stat. 257) amended 
Title V of the Trade Act of 1974 to provide in new section 506A ``that 
the President is authorized to designate countries listed in section 
107 of the AGOA as `beneficiary sub-Saharan African countries.' '' The 
AGOA was implemented by Presidential Proclamation 7350 of October 4, 
2000 (65 F.R. 59319). Also designated as ``lesser developed beneficiary 
sub-Saharan African countries'' were: Republic of Benin, Republic of 
Cape Verde, Republic of Cameroon, Central African Republic, Republic of 
Chad, Republic of Congo, Republic of Djibouti, State of Eritrea, 
Ethiopia, Republic of Ghana, Republic of Guinea, Republic of Guinea-
Bissau, Republic of Kenya, Kingdom of Lesotho, Republic of Madagascar, 
Republic of Malawi, Republic of Mali, Islamic Republic of Mauritania, 
Republic of Mozambique, Republic of Niger, Federal Republic of Nigeria, 
Republic of Rwanda, Democratic Republic of Sao Tome and Principe, 
Republic of Senegal, Republic of Sierra Leone, United Republic of 
Tanzania, Republic of Uganda, Republic of Zambia.
---------------------------------------------------------------------------
    Republic of Benin
    Republic of Botswana
    Republic of Cape Verde
    Republic of Cameroon
    Central African Republic
    Republic of Chad
    Republic of Congo
    Republic of Djibouti
    State of Eritrea
    Ethiopia
    Gabonese Republic
    Republic of Ghana
    Republic of Guinea
    Republic of Guinea-Bissau
    Republic of Kenya
    Republic of Lesotho
    Republic of Madagascar
    Republic of Malawi
    Republic of Mali
    Islamic Republic of Mauritania
    Republic of Mauritius
    Republic of Mozambique
    Republic of Namibia
    Republic of Niger
    Federal Republic of Nigeria
    Republic of Rwanda
    Democratic Republic of Sao Tome
      and Principe
    Republic of Senegal
    Republic of Seychelles
    Republic of Sierra Leone
    Republic of South Africa
    Kingdom of Swaziland
    United Republic of Tanzania
    Republic of Uganda
    Republic of Zambia
          * * * * * * *
    17. Products of Countries Designated as Beneficiary 
Countries under the United States-Caribbean Basin Trade 
Partnership Act of 2000.\27\
---------------------------------------------------------------------------
    \27\ The United States-Caribbean Trade Partnership Act, Title II of 
Public Law 106-200 (114 Stat. 275), provided that certain preferential 
tariff treatment may be provided to eligible articles that are the 
product of any country that the President designates as a ``CBTPA 
beneficiary country.'' In Presidential Proclamation 7351 of October 2, 
2000 (65 F.R. 59329) the President designated the countries above as 
``CBTPA beneficiary countries''.
---------------------------------------------------------------------------
    (a) The Caribbean countries that will be enumerated in this 
note in a Federal Register notice by the United States Trade 
Representative, having previously been designated by the 
President pursuant to section 211 of the United States-
Caribbean Basin Trade Partnership Act (CBTPA), shall be treated 
as beneficiary countries for purposes of this note on and after 
the effective date announced in such notice. The following 
countries have been determined by the USTR to have satisfied 
the customs requirements of the CBTPA and, therefore, to be 
afforded the tariff treatment provided for in this note:
                  Barbados, Belize, Costa Rica, Dominican 
                Republic, El Salvador, Guatemala, Guyana, 
                Haiti, Honduras, Jamaica, Nicaragua, Panama, 
                Saint Lucia, Trinidad and Tobago.
          * * * * * * *
(23) Implementing the Omnibus Trade and Competitiveness Act of 1988 and 
                  Related International Trade Matters

 Executive Order 12661, December 27, 1988, 54 F.R. 779, 19 U.S.C. 2901 
 note; as amended by Executive Order 12697, December 22, 1989, 54 F.R. 
   53037; Executive Order 12716, May 24, 1990, 55 F.R. 21831; and by 
        Executive Order 12774, September 27, 1991, 56 F.R. 49835

    By virtue of the authority vested in me as President by the 
Constitution and laws of the United States of America, 
including the Omnibus Trade and Competitiveness Act of 1988 
(P.L. 100-418, 102 Stat. 1107) (``Omnibus Trade Act''), the 
Tariff Act of 1930 (Chapter 497, 46 Stat. 590, June 17, 1930), 
as amended (``Tariff Act''), the National Defense Authorization 
Act, Fiscal Year 1989 (P.L. 100-456, 102 Stat. 1918) (``Defense 
Authorization Act''), section 301 of Title 3 of the United 
States Code, and, in general, to ensure that the international 
trade policy of the United States shall be conducted and 
administered in a way that achieves the economic, foreign 
policy, and national security objectives of the United States 
and in a coordinated manner under the direction of the 
President, it is hereby ordered as follows:

                PART I--TRADE, CUSTOMS, AND TARIFF LAWS

Section 1-101. Accession of State Trading Regimes to the 
        General Agreement on Tariffs and Trade. The functions 
        vested in the President by sections 1106(a), (b) and 
        (d) of the Omnibus Trade Act, regarding the accession 
        of state trading regimes to the General Agreement on 
        Tariffs and Trade, are delegated to the United States 
        Trade Representative.

Sec. 1-201. Wine Barriers. The functions vested in the 
        President by section 1125 of the Omnibus Trade Act, 
        regarding the updated report on barriers to wine trade, 
        are delegated to the United States Trade 
        Representative.

Sec. 1-301. Steel Imports. The functions vested in the 
        President by section 805(d)(1) and (2) of the Trade and 
        Tariff Act of 1984 (19 U.S.C. 2253, note), as amended 
        by section 1322 of the Omnibus Trade Act, are delegated 
        to the United States Trade Representative.

Sec. 1-401. Telecommunications Trade. The functions vested in 
        the President by sections 1375 and 1376(e) of the 
        Omnibus Trade Act, regarding certain telecommunications 
        negotiations as may be ordered by the President and 
        reports thereon to Congressional Committees, are 
        delegated to the United States Trade Representative.

Sec. 1-501. Uniform Fee on Imports. The functions vested in the 
        President by section 1428 of the Omnibus Trade Act, 
        regarding negotiations to obtain authority under the 
        General Agreement on Tariffs and Trade to impose a 
        small uniform fee on imports, are delegated to the 
        United States Trade Representative.

                      PART II--EXPORT ENHANCEMENT

Sec. 2-101. Countertrade and Barter.

    (1) Establishment. There is established an Interagency 
Group on Countertrade, which shall be composed of the 
Secretaries of Commerce, State, Defense, Treasury, Labor, 
Agriculture, and Energy, the Attorney General, the 
Administrator of the Agency for International Development, the 
Director of the Federal Emergency Management Agency, the United 
States Trade Representative and the Director of the Office of 
Management and Budget, or their respective representatives. The 
Secretary of Commerce or his representative shall be the 
Chairman of the interagency group.
    (2) Functions. The interagency group shall carry out the 
functions and duties set out in section 2205(a) of the Omnibus 
Trade Act.

Sec. 2-201. Sanctions Against Toshiba and Kongsberg.\1\

    (1) Procurement Sanctions. Pursuant to section 2443 of the 
Omnibus Trade Act and subject to the exceptions referred to in 
paragraph (3), departments, agencies and instrumentalities of 
the United States Government shall not for the three-year 
period beginning on the date this Order takes effect, contract 
with or procure products and services from Toshiba Machine 
Company, Kongsberg Trading Company, Toshiba Corporation or 
Kongsberg Vaapenfabrikk. The head of each department, agency or 
instrumentality is hereby directed and authorized to implement 
this procurement sanction in accordance with paragraph (3).
---------------------------------------------------------------------------
    \1\ Sanctions expired on December 28, 1991 (Department of Defense; 
FAC 90-10; FAR Case 91-66; Item II; 56 F.R. 67415).
---------------------------------------------------------------------------
    (2) Import Sanctions. Pursuant to section 2443 of the 
Omnibus Trade Act and subject to the exceptions referred to in 
paragraph (3), importation into the United States, its 
territories and possessions, of products produced by Toshiba 
Machine Company or Kongsberg Trading Company is prohibited for 
three years from the effective date of this Order. The 
Secretary of the Treasury is hereby directed and authorized to 
implement this import sanction in accordance with paragraph 
(3).
    (3) Exceptions. Authority to make determinations as to 
exceptions to sanctions and to implement exceptions by 
regulation or otherwise is delegated (i) to the Secretary of 
Defense with respect to determinations under section 2443(c)(1) 
regarding the procurement of defense articles or defense 
services, (ii) to the Secretary of the Treasury with respect to 
exceptions under section 2443(c)(2) regarding importation 
prohibited by section 2443(a)(2), and (iii) to the head of each 
Federal department, agency or instrumentality with respect to 
exceptions under section 2443(c)(2) affecting their respective 
contracting and procurement. All regulations implementing these 
exceptions provisions shall be consistent with any guidelines 
provided by the Office of Federal Procurement Policy, Office of 
Management and Budget.
    (4) Annual Report. The annual report required by section 
2445, concerning estimated increases in defense expenditures 
arising from illegal technology transfers, shall be prepared by 
the Secretary of Defense, in consultation with the Secretaries 
of State and Commerce, for submission to the Congress by the 
President.

    PART III--FOREIGN CORRUPT PRACTICES AMENDMENTS; INVESTMENT; AND 
                               TECHNOLOGY

Sec. 3-101. Foreign Corrupt Practices Act Amendments.

    The functions conferred upon the President by section 
5003(d)(1) (``International Agreement'') of the Omnibus Trade 
Act are delegated to the secretary of State, who in performing 
such functions shall act in consultation with the Attorney 
General, the United States Trade Representative, the Chairman 
of the Securities and Exchange Commission, the Secretary of 
Commerce, the Secretary of the Treasury and the Director of the 
Office of Management and Budget.

Sec. 3-201.\2\ Authority to Review Certain Mergers, 
        Acquisitions, and Takeovers. * * *
---------------------------------------------------------------------------
    \2\ Sec. 3-201 added new secs. 7 and 8 and made other amendments to 
Executive Order 11858.

Sec. 3-301. Reporting Requirement on Semiconductors, Fiber 
---------------------------------------------------------------------------
        Optics and Superconducting Materials. * * *

Sec. 3-401. A National Commission on Superconductivity. * * * 
        [Revoked by Executive Order 12774, September 27, 1991]
          * * * * * * *

                         PART V--MISCELLANEOUS

Sec. 5-101. Executive Oversight. Any actions or determinations 
        taken or made by an officer or agency under the Omnibus 
        Trade Act or this Order shall be subject to the 
        Executive oversight and direction of the President, and 
        such actions or determinations shall be undertaken 
        after appropriate inter-agency consultation as 
        established by the President.

Sec. 5-102. Regulatory Review. Notwithstanding the provisions 
        of section 1(a)(2) of Executive Order 12291 of February 
        17, 1981, the Director of the Office of Management and 
        Budget shall, with regard to regulations, rules, or 
        agency statements of general applicability and future 
        effect designed to implement, interpret, or prescribe 
        law of policy or describing the procedure or practice 
        requirements of an agency relative to the 
        administration of the Export Administration Act, 
        determine whether such regulations, rules, or agency 
        statements are exempted from review under that Order, 
        pursuant to the provisions of section 8(b) thereof.

Sec. 5-201. Offsets. The negotiating functions under section 
        825(c) of the Defense Authorization Act, as may be 
        ordered by the President, are hereby jointly delegated 
        to the Secretary of Defense and the United States Trade 
        Representative. These functions shall be coordinated 
        with the Secretary of State and conducted in 
        consultation with the Secretaries of Commerce, Labor, 
        and the Treasury.

Sec. 5-202. Reporting Functions. The reporting functions of the 
        President under section 825(d) of the Defense 
        Authorization Act are delegated to the Director of the 
        Office of Management and Budget. The Director may 
        further delegate to the heads of Executive departments 
        and agencies responsibility for preparing particular 
        sections of such reports. The heads of Executive 
        departments and agencies shall, to the extent permitted 
        by law, provide the Director with such information as 
        may be necessary for the effective performance of these 
        functions.

Sec. 5-301. International Trade Commission Report. The 
        functions vested in the President by section 332(g) of 
        the Tariff Act, regarding reports by the United States 
        International Trade Commission to the President, are 
        delegated to the United States Trade Representative.

Sec. 5-401. Strengthening International Institutions. To the 
        extent possible, actions undertaken under this Order 
        shall be conducted in a manner that strengthens 
        international institutions that further United States 
        objectives, such as opening foreign markets and 
        preventing the export of strategic goods and 
        technologies to proscribed destinations.

Sec. 5-501. Effective Date. This Order shall take effect at 
        12:01 a.m. on Wednesday, December 28, 1988.
                   (24) International Trade Functions

  Executive Order 12188, January 2, 1980, 45 F.R. 989, 19 U.S.C. 2171 
 note; as amended by Executive Order 12292, February 23, 1981, 46 F.R. 
  13967; as amended by Executive Order 13118, March 31, 1999, 64 F.R. 
                                 16595

    By the authority vested in me by the Trade Agreements Act 
of 1979, the Trade Act of 1974, the Trade Expansion Act of 
1962, section 350 of the Tariff Act of 1930, Reorganization 
Plan No. 3 of 1979, and section 301 of title 3 of the United 
States Code, and as President of the United States, it is 
hereby ordered as follows:

Sec. 1-101. The United States Trade Representative.

    (a) Except as may be otherwise expressly provided by law, 
the United States Trade Representative (hereinafter referred to 
as the ``Trade Representative'') shall be chief representative 
of the United States for:
          (1) all activities of, or under the auspices of the 
        General Agreement on Tariffs and Trade;
          (2) discussions, meetings, and negotiations in the 
        Organization for Economic Cooperation and Development 
        when trade or commodity issues are the primary issues 
        under consideration;
          (3) negotiations in the United Nations Conference on 
        Trade and Development and other multilateral 
        institutions when trade or commodity issues are the 
        primary issues under consideration;
          (4) other bilateral or multilateral negotiations when 
        trade, including East-West trade, or commodities is the 
        primary issue under consideration;
          (5) negotiations under sections 704 and 734 of the 
        Tariff Act of 1930 (19 U.S.C. 1671c and 1673c); and
          (6) negotiations concerning direct investment 
        incentives and disincentives and bilateral investment 
        issues concerning barriers to investment.
    For purposes of this subsection, the term ``negotiations'' 
includes discussions and meetings with foreign governments and 
instrumentalities primarily concerning preparations for formal 
negotiations and policies regarding implementation of 
agreements resulting from such negotiations.
    (b) The Trade Representative, in consultation with the 
Trade Negotiating Committee, shall invite such members of the 
Trade Negotiating Committee and representatives of other 
departments or agencies as may be appropriate to participate in 
the negotiations and other activities listed in subsection (a).
    (c) The Trade Representative, in consultation with the 
Trade Negotiating Committee, may delegate to any member of the 
Trade Negotiating Committee, or to any other appropriate 
department or agency, primary responsibility for representing 
the United States in any of the negotiations and other 
activities set forth in subsection (a).
    (d) The Trade Representative, or any department or agency 
to which responsibility for representing the United States in a 
negotiation or other activity has been delegated pursuant to 
subsection (c), shall consult with the Trade Policy Committee 
and with any affected regulatory agencies on the policy issues 
arising in connection with the negotiations and other 
activities listed in subsection (a).

Sec. 1-102. The Trade Policy Committee.\1\
---------------------------------------------------------------------------

    \1\ For other material concerning the Trade Policy Committee, see 
the remaining text of sec. 3 of Executive Order 11846.
---------------------------------------------------------------------------
    (a) As provided by section 242 of the Trade Expansion Act 
of 1962 (19 U.S.C. 1872), the Trade Policy Committee 
(hereinafter referred to as the ``Committee'') is continued. 
The Committee shall have the functions specified by law or by 
the President, including those specified in section 1(b)(3) of 
Reorganization Plan No. of 1979.
    (b) The Committee shall be composed of the following:
          (1) The Trade Representative, who shall be Chairman
          (2) The Secretary of Commerce, who shall be Vice 
        Chairman
          (3) The Secretary of State
          (4) The Secretary of the Treasury
          (5) The Secretary of Defense
          (6) The Attorney General
          (7) The Secretary of the Interior
          (8) The Secretary of Agriculture
          (9) The Secretary of Labor
          (10) The Secretary of Transportation
          (11) The Secretary of Energy
          (12) The Director of the Office of Management and 
        Budget
          (13) The Chairman of the Council of Economic Advisers
          (14) The Assistant to the President for National 
        Security Affairs
          (15) Administrator of the United States Agency for 
        International Development \2\
---------------------------------------------------------------------------
    \2\ Executive Order 13118 of March 31, 1999 (64 F.R. 13118) struck 
``The Director of the United States International Development 
Cooperation Agency'' and inserted in lieu thereof ``Administrator of 
the United States Agency for International Development''.
---------------------------------------------------------------------------
    The Chairman and any member of the Committee may designate 
a subordinate officer whose status is not below that of an 
Assistant Secretary to serve in his stead when he is unable to 
attend any meetings of the Committee. The Chairman may invite 
representatives from other agencies to attend the meetings of 
the Committee.
    (c)(1) There is established, as a subcommittee of the 
Committee, a Trade Negotiating Committee which shall advise the 
Trade Representative on the management of negotiations referred 
to in section 1-101(a) of this order. The members of such 
subcommittee shall be the Trade Representative (Chair), the 
Secretary of State, the Secretary of the Treasury, the 
Secretary of Agriculture, the Secretary of Commerce, and the 
Secretary of Labor.
    (2) The Trade Representative, with the advice of the 
Committee, may create additional subcommittees thereof.
    (d) In advising the President on international trade and 
related matters, the Trade Representative shall take into 
account and reflect the views of the members of the Committee 
and of other interested agencies.

Sec. 1-103. Delegation of Functions.

    (a) The function vested in the President by section 412(b) 
of the Trade Agreements Act of 1979 (19 U.S.C. 2542(b)) is 
delegated to the Secretary of Commerce with regard to the 
technical office established under section 412(a)(1) of such 
Act and to the Secretary of Agriculture with regard to the 
technical office established under section 412(a)(2) of such 
Act. In prescribing the functions of each technical office, the 
Secretary concerned shall consult with the Trade Representative 
and with all affected regulatory agencies. The functions 
delegated by this section shall be exercised in coordination 
with the Trade Representative.
    (b) The functions of the President under sections 2(b) and 
303 of the Trade Agreements Act of 1979 (19 U.S.C. 2503(b) and 
2513) and section 701(b) of the Tariff Act of 1930 (19 U.S.C. 
1871(b)) are delegated to the Trade Representative, who shall 
exercise such authority with the advice of the Trade Policy 
Committee.

Sec. 1-104. Authority Under the Foreign Service Act and Related Laws.

    (a) The Secretary of Commerce (hereinafter referred to as 
the ``Secretary'') is authorized to establish a Foreign 
Commercial Service in the Department of Commerce, and a 
category of career officers of the Foreign Commercial Service 
to be known as Foreign Commercial Officers. For purposes of the 
utilization by the Secretary of the authorities granted to the 
Secretary under this section, the terms ``Foreign Service'' and 
``Foreign Service Officer'' shall be construed to mean 
``Foreign Commercial Service'' and ``Foreign Commercial 
Officer,'' respectively.
    (b) \3\ * * * [Revoked--1981]
---------------------------------------------------------------------------
    \3\ Sec. 1-104(b), which delegated functions under the Foreign 
Service Act of 1946 (such act repealed in 1980), was revoked by sec. 
9(m) of Executive Order 12292.
---------------------------------------------------------------------------
    (c) The Board of the Foreign Service and the Board of 
Examiners for the Foreign Service established by Executive 
Order 11264 of December 31, 1965, as amended shall exercise 
with respect to Foreign Service personnel of the Department of 
Commerce the functions delegated to them by that order with 
respect to Foreign Service personnel of the Department of 
State. The Boards shall perform such additional functions with 
respect to Foreign Service personnel of the Department of 
Commerce as the Secretary may from time to time delegate or 
otherwise assign, consistent with the functions of such boards.

Sec. 1-105. Prior Executive Orders and Determination.

    (a) Section 1(b) of Executive Order 11269 of February 14, 
1966, as amended by adding ``the United States Trade 
Representative,'' after ``the Secretary of State,''.
    (b)(1) Section 1 of Executive Order 11539 of June 30, 1970, 
is amended to read as follows:
    ``Section 1. The United States Trade Representative, with 
the concurrence of the Secretary of Agriculture and the 
Secretary of State, is authorized to negotiate bilateral 
agreements with representatives of governments of foreign 
countries limiting the export from the respective countries and 
the importation into the United States of--
          ``(1) fresh, chilled, or frozen cattle meat,
          ``(2) fresh, chilled, or frozen meat of goats and 
        sheep (except lambs), and
          ``(3) prepared and preserved beef and veal (except 
        sausage) if articles are prepared, whether fresh, 
        chilled, or frozen, but not otherwise preserved, that 
        are the products of such countries.''.
    (2) Section 4 of such order is amended by striking out 
``the Secretary of State'' and inserting in lieu thereof ``the 
United States Trade Representative''.
    (c) The last sentence of section 1(a) of Executive Order 
11651 of March 3, 1972, as amended, is amended to read as 
follows: ``The United States Trade Representative, or his 
designee, also shall be a member of the Committee.''.
    (d) The first sentence of section 3 of Executive Order 
11703 of February 7, 1973, is amended to read as follows: ``The 
Oil Policy Committee shall henceforth consist of the United 
States Trade Representative, chair, and the Secretaries of 
State, Treasury, Defense, the Interior, Commerce and Energy, 
the Attorney General, and the Chairman of the Council of 
Economic Advisers as members.''.
    (e) Sections 2(b) and 3(a), the first sentence of section 
3(c), and sections 3(e), 3(f), and 6 of Executive Order 11846 
of March 27, 1975, as amended, are revoked.
    (f)(1) Section 1(a)(5) of Executive Order 11858 of May 7, 
1975, is amended to read: ``(5) The United States Trade 
Representative''.
    (2) Section 1(a)(6) of such order is amended to read: ``(6) 
The Chairman of the Council of Economic Advisers''.
    (g) Executive Order 12096 of November 2, 1978, is revoked.
    (h) The last paragraph of the Presidential Determination 
Regarding the Acceptance and Application of Certain 
International Trade Agreements (dated December 14, 1979) (44 FR 
74781, at 74784; December 18, 1979), delegating functions under 
section 2(b) of the Trade Agreements Act of 1979 and section 
701(b) of the Tariff Act of 1930, is revoked.
    (i) Any reference to the Office of the Special 
Representative for Trade Negotiations or to the Special 
Representative for Trade Negotiations in any Executive order, 
proclamation, or other document shall be deemed to refer to the 
Office of the United States Trade Representative or to the 
United States Trade Representative, respectively.

Sec. 1-106. Incidental Transfers and Reassignments.

    So much of the personnel, property, records and unexpended 
balances of appropriations, allocations, and(other funds 
employed, used, held, available, or to be made available in 
connection with functions transferred or reassigned by the 
provisions of this order as the Director of the Office of 
Management and Budget shall determine shall be transferred or 
reassigned for use in connection with such functions.

Sec. 1-107. Effective Dates.

    (a) Sections 1, 2(a), 2(b)(2), 2(c), 3, 4, 5(a), 5(b)(2), 5 
(c) through (e), and 6 through 8 of Reorganization Plan No. 3 
of 1979, and the provisions of this order, shall take effect as 
of January 2, 1980.
    (b) Section 5(b)(1) of such plan shall take effect as of 
April 1, 1980.
          (25) Administration of the Trade Agreements Program

 Executive Order 11846, March 27, 1975, 40 F.R. 14291, 19 U.S.C. 2111 
  note; as amended by Executive Order 11894, January 6, 1976, 41 F.R. 
1041; Executive Order 11947, November 8, 1976, 41 F.R. 49799; Executive 
 Order 12102, November 17, 1978, 43 F.R. 54197; Executive Order 12163, 
   September 29, 1979, 44 F.R. 56673; and by Executive Order 12188, 
                      January 2, 1980, 45 F.R. 989

    By virtue of the authority vested in me by the Trade Act of 
1974, hereinafter referred to as the Act (Public Law 93-618, 88 
Stat. 1978), the Trade Expansion Act of 1962, as amended (19 
U.S.C. 1801), Section 350 of the Tariff Act of 1930, as amended 
(19 U.S.C. 1351), and Section 301 of Title 3 of the United 
States Code, and as President of the United States it is hereby 
ordered as follows:

Section 1. The Trade Agreements Program.

    The ``trade agreements program'' includes all activities 
consisting of, or related to, the negotiation or administration 
of international agreements which primarily concern trade and 
which are concluded pursuant to the authority vested in the 
President by the Constitution, Section 350 of the Tariff Act of 
1930, as amended, the Trade Expansion Act of 1962, as amended, 
or the Act.

Sec. 2. The Special Representative for Trade Negotiations.

    (a) The Special Representative for Trade Negotiations, 
hereinafter referred to as the Special Representative, in 
addition to the functions conferred upon him by the Act, 
including Section 141 thereof, and in addition to the functions 
and responsibilities set forth in this Order, shall be 
responsible for such other functions as the President may 
direct.
    (b) \1\ * * * [Revoked--1980]
---------------------------------------------------------------------------
    \1\ Subsec. (b), which stipulated that the Special Representative 
would be the chief representative of the United States for each 
negotiation under the trade agreements program, was revoked by sec. 1-
105(e) of Executive Order 12188. This responsibility is now vested in 
the United States Trade Representative.
---------------------------------------------------------------------------
    (c) The Special Representative shall prepare, for the 
President's transmission to Congress, the annual report on the 
trade agreements program required by Section 163(a) of the Act. 
At the request of the Special Representative, other agencies 
shall assist in the preparation of that report.
    (d) The Special Representative, except where expressly 
otherwise provided or prohibited by statute, Executive order, 
or instructions of the President, shall be responsible for the 
proper administration of the trade agreements program, and may, 
as he deems necessary, assign to the head of any Executive 
agency or body the performance of his duties which are 
incidental to the administration of the trade agreements 
program.
    (e) The Special Representative shall consult with the Trade 
Policy Committee in connection with the performance of his 
functions, including those established or delegated by this 
Order, and shall, as appropriate, consult with other Federal 
agencies or bodies. with respect to the performance of his 
functions under Title IV of the Act, including those 
established or delegated by this Order, the Special 
Representative shall also consult with the East-West Foreign 
Trade Board.
    (f) The Special Representative shall be responsible for the 
preparation and submission of any Proclamation which relates 
wholly or primarily to the trade agreements program. Any such 
Proclamation shall be subject to all the provisions of 
Executive Order No. 11030, as amended, except that such 
Proclamation need not be submitted to the Director of the 
Office of Management and Budget.
    (g) The Secretary of State shall advise the Special 
Representative, and the Committee, on the foreign policy 
implications of any action under the trade agreements program. 
The Special Representative shall invite appropriate departments 
to participate in trade negotiations of particular interest to 
such departments, and the Department of State shall participate 
in trade negotiations which have a direct and significant 
impact on foreign policy.

Sec. 3. The Trade Policy Committee.

    (a) \2\ * * * [Revoked--1980]
---------------------------------------------------------------------------
    \2\ Subsec. (a), which established the Trade Policy Committee and 
listed the members of the Committee, was revoked by sec. 1-105(e) of 
Executive Order 12188. See sec. 1-102 of Executive Order 12188 for the 
current listing of Committee members and other pertinent information 
concerning the Committee.
---------------------------------------------------------------------------
    (b) The Committee shall have the functions conferred by the 
Trade Expansion Act of 1962, as amended, upon the inter-agency 
organization referred to in Section 242 thereof, as amended, 
the functions delegated to it by the provisions of this Order, 
and such other functions as the President may from time to time 
direct. Recommendations and advice of the Committee shall be 
submitted to the President by the Chairman.
    (c) \3\ The Special Representative or any other officer who 
is chief representative of the United States in a negotiation 
in connection with the trade agreements program shall keep the 
Committee informed with respect to the status and conduct of 
negotiations and shall consult with the Committee regarding the 
basic policy issues arising in the course of negotiations.
---------------------------------------------------------------------------
    \3\ The first sentence of subsec. (c), which stated that the 
Committee's recommendations under sec. 242(b)(1) of the Trade Expansion 
Act of 1962 would guide the administration of the trade agreements 
program, was revoked by sec. 1-105(e) of Executive Order 12188.
---------------------------------------------------------------------------
    (d) Before making recommendations to the President under 
Section 242(b)(2) of the Trade Expansion Act of 1962, as 
amended, the Committee shall, through the Special 
Representative, request the advice of the Adjustment Assistance 
Coordinating Committee, established by Section 281 of the Act.
    (e) \4\ * * * [Revoked--1980]
---------------------------------------------------------------------------
    \4\ Subsec. (e) (directing the Committee to advise the President as 
to what action he should take regarding unfair practices in import 
trade) and (f) (abolishing the Trade Expansion Act Advisory Committee) 
were revoked by sec. 1-105(e) of Executive Order 12188.
---------------------------------------------------------------------------
    (f) \4\ * * * [Revoked--1980]

Sec. 4. Trade Negotiations Under Title I of the Act.

    (a) The functions of the President under Section 102 of the 
Act concerning notice to, and consultation with, Congress, in 
connection with agreements on nontariff barriers to, and other 
distortions of, trade, are hereby delegated to the Special 
Representative.
    (b) The Special Representative, after consultation with the 
Committee, shall prepare, for the President's transmission to 
Congress, all proposed legislation and other documents 
necessary or appropriate for the implementation of, or 
otherwise required in connection with, trade agreements; 
provided, however, that where implementation of an agreement on 
nontariff barriers to, and other distortions of, trade requires 
a change in a domestic law, the department or agency having the 
primary interest in the administration of such domestic law 
shall prepare and transmit to the Special Representative the 
proposed legislation necessary or appropriate for such 
implementation.
    (c) The functions of the President under Section 131(c) of 
the Act with respect to advice of the International Trade 
Commission and under Section 132 of the Act with respect to 
advice of the departments of the Federal Government and other 
sources, are delegated to the Special Representative. The 
functions of the President under Section 133 of the Act with 
respect to public hearings in connection with certain trade 
negotiations are delegated to the Special Representative, who 
shall designate an interagency committee to hold and conduct 
any such hearings.
    (d) The functions of the President under Section 135 of the 
Act with respect to advisory committees and, notwithstanding 
the provisions of any other Executive order, the functions of 
the President under the Federal Advisory Committee Act (86 
Stat. 770, 5 U.S.C. App. I), except that of reporting annually 
to Congress, which are applicable to advisory committees under 
the Act are delegated to the Special Representative. In 
establishing and organizing general policy advisory committees 
or sector advisory committees under Section 135(c) of the Act, 
the Special Representative shall act through the Secretaries of 
Commerce, Labor and Agriculture, as appropriate.
    (e) The functions of the President with respect to 
determining ad valorem amounts and equivalents pursuant to 
Sections 601 (3) and (4) of the Act are hereby delegated to the 
Special Representative. The International Trade Commission is 
requested to advise the Special Representative with respect to 
determining such ad valorem amounts and equivalents. The 
Special Representative shall seek the advice of the Commission 
and consult with the Committee with respect to the 
determination of such ad valorem amounts and equivalents.
    (f) Advice of the International Trade Commission under 
Section 131 of the Act, and other advice or reports by the 
International Trade Commission to the President or the Special 
Representative, the release or disclosure of which is not 
specifically authorized or required by law, shall not be 
released or disclosed in any manner or to any extent not 
specifically authorized by the President or by the Special 
Representative.

Sec. 5. Import Relief and Market Disruption.

    (a) The Special Representative is authorized to request 
from the International Trade Commission the information 
specified in Sections 202(d) and 203(i) (1) and (2) of the Act.
    (b) The Secretary of the Treasury, in consultation with the 
Secretary of Commerce or the Secretary of Agriculture, as 
appropriate, is authorized to issue, under Section 203(g) of 
the Act, regulations governing the administration of any 
quantitative restrictions proclaimed in order to provide import 
relief and is authorized to issue, under Section 203(g) of the 
Act or 352(b) of the Trade Expansion Act of 1962, regulations 
governing the entry, or withdrawal from warehouses for 
consumption, of articles pursuant to any orderly marketing 
agreement.
    (c) The Secretary of Commerce shall exercise primary 
responsibility for monitoring imports under any orderly 
marketing agreement.

Sec. 6.\5\ Unfair Trade Practices. * * * [Revoked--1980]
---------------------------------------------------------------------------

    \5\ Sec. 6, relating to unfair trade practices, was revoked by sec. 
1-105(e) of Executive Order 12188.
---------------------------------------------------------------------------

Sec. 7.\6\ East-West Foreign Trade Board.
---------------------------------------------------------------------------

    \6\ The East-West Foreign Trade Board was abolished by sec. 6 of 
Reorganization Plan No. 3 of 1979 (International Trade).
---------------------------------------------------------------------------
    (a) In accordance with Section 411 of the Act, there is 
hereby established the East-West Foreign Trade Board, 
hereinafter referred to as the Board. The Board shall be 
composed of the following members and such additional members 
of the Executive branch as the President may designate:
          (1) The Secretary of State.
          (2) The Secretary of the Treasury.
          (3) The Secretary of Defense.\7\
---------------------------------------------------------------------------
    \7\ The Secretary of Defense was added to the list by Executive 
Order 11894, Jan. 6, 1976, 41 F.R. 1041.
---------------------------------------------------------------------------
          (4) The Secretary of Agriculture.
          (5) The Secretary of Commerce.
          (6) The Special Representative for Trade 
        Negotiations.
          (7) The Director of the Office of Management and 
        Budget.
          (8) The Chairman of the Council of Economic 
        Advisors.\8\
---------------------------------------------------------------------------
    \8\ Executive Order 12102 struck as members of the East-West 
Foreign Trade Board, the Executive Director of the Council on 
International Economic Policy and the Assistant to the President for 
Economic Affairs and added this new member.
---------------------------------------------------------------------------
          (9) The President of the Export-Import Bank of the 
        United States.
The President shall designate the Chairman and the Deputy 
Chairman of the Board. The President may designate an Executive 
Secretary, who shall be Chairman of a working group which will 
include membership from the agencies represented on the Board.
    (b) The Board shall perform such functions as are required 
by Section 411 of the Act and such other functions as the 
President may direct.
    (c) The Board is authorized to promulgate such rules and 
regulations as are necessary or appropriate to carry out its 
responsibilities under the Act and this Order.
    (d) The Secretary of State shall advise the President with 
respect to determinations required to be made in connection 
with Sections 402 and 409 of the Act (dealing with freedom of 
emigration) and Section 403 (dealing with United States 
personnel missing in action in Southeast Asia), and shall 
prepare, for the President's transmission to Congress, the 
reports and other documents required by Sections 402 and 409 of 
the Act.
    (e) The President's Committee on East-West Trade Policy, 
established by Executive Order No. 11789 of June 25, 1974, as 
amended by Section 6(d) of Executive Order No. 11808 of 
September 30, 1974, is abolished and all of its records are 
transferred to the Board.

Sec. 8. Generalized System of Preferences.

    (a) The Special Representative, in consultation with the 
Secretary of State, shall be responsible for the administration 
of the generalized system of preferences under Title V of the 
Act.
    (b) The Committee, through the Special Representative, 
shall advise the President as to which countries should be 
designated as beneficiary developing countries, and as to which 
articles should be designated as eligible articles for the 
purposes of the system of generalized preferences.

Sec. 9. Prior Executive Orders.

    (a) Executive Order No. 11789 of June 25, 1974, and Section 
6(d) of Executive Order No. 11808 of September 30, 1974, 
relating to the President's Committee on East-West Trade Policy 
are hereby revoked.
    (b)(1) Sections 5(b), 7, and 8 of Executive Order No. 11075 
of January 15, 1963, are hereby revoked effective April 3, 
1975; (2) the remainder of Executive Order No. 11075, and 
Executive Order No. 11106 of April 18, 1963 and Executive Order 
No. 11113 of June 13, 1963, are hereby revoked.
           (26) Identification of Trade Expansion Priorities

  Executive Order 12901, March 3, 1994, 59 F.R. 10727, 19 U.S.C. 2420 
note; as amended by Executive Order 12973, September 27, 1995, 60 F.R. 
                                 51665

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including sections 141 and 301-310 of the Trade Act of 1974, as 
amended (the ``Act'') (19 U.S.C. 2171, 2411-2420), and section 
301 of title 3, United States Code, and to ensure that the 
trade policies of the United States advance, to the greatest 
extent possible, the export of the products and services of the 
United States and that trade policy resources are used 
efficiently, it is hereby ordered as follows:
    Section 1. Identification. (a) Within 6 months of the 
submission of the National Trade Estimate Report (required by 
section 181(b) of the Act (19 U.S.C. 2241)) for 1996 and 
1997,\1\ the United States Trade Representative (``Trade 
Representative'') shall review United States trade expansion 
priorities and identify priority foreign country practices, the 
elimination of which is likely to have the most significant 
potential to increase United States exports, either directly or 
through the establishment of a beneficial precedent. The Trade 
Representative shall submit to the Committee on Finance of the 
Senate and the Committee on Ways and Means of the House of 
Representatives, and shall publish in the Federal Register, a 
report on the priority foreign country practices identified.
---------------------------------------------------------------------------
    \1\ Executive Order 12973 (September 27, 1995; 60 F.R. 51665) 
struck out ``1994 and 1995'' and inserted in lieu thereof ``1996 and 
1997''.
---------------------------------------------------------------------------
    (b) In identifying priority foreign country practices under 
paragraph (a) of this section, the Trade Representative shall 
take into account all relevant factors, including:
          (1) the major barriers and trade distorting practices 
        described in the National Trade Estimate Report;
          (2) the trade agreements to which a foreign country 
        is a party and its compliance with those agreements;
          (3) the medium-term and long-term implications of 
        foreign government procurement plans; and
          (4) the international competitive position and export 
        potential of United States products and services.
    (c) The Trade Representative may include in the report, if 
appropriate, a description of the foreign country practices 
that may in the future warrant identification as priority 
foreign country practices. The Trade Representative also may 
include a statement about other foreign country practices that 
were not identified because they are already being addressed by 
provisions of United States trade law, existing bilateral trade 
agreements, or in trade negotiations with other countries and 
progress is being made toward their elimination.
    Sec. 2. Initiation of Investigation. Within 21 days of the 
submission of the report required by paragraph (a) of section 
1, the Trade Representative shall initiate under section 
302(b)(1) of the Act (19 U.S.C. 2412(b)(1)) investigations 
under title III, chapter 1, of the Act with respect to all of 
the priority foreign country practices identified.
    Sec. 3. Agreements for the Elimination of Barriers. In the 
consultations with a foreign country that the Trade 
Representative is required to request under section 303(a) of 
the Act (19 U.S.C. 2413(a)) with respect to an investigation 
initiated by reason of section 2 of this order, the Trade 
Representative shall seek to negotiate an agreement that 
provides for the elimination of the practices that are the 
subject of the investigation as quickly as possible or, if that 
is not feasible, provides for compensatory trade benefits. The 
Trade Representative shall monitor any agreement entered into 
under this section pursuant to the provisions of section 306 of 
the Act (19 U.S.C. 2416).
    Sec. 4. Reports. The Trade Representative shall include in 
the semiannual report required by section 309 of the Act (19 
U.S.C. 2419) a report on the status of any investigation 
initiated pursuant to section 2 of this order and, where 
appropriate, the extent to which such investigations have led 
to increased opportunities for the export of products and 
services of the United States.
    Sec. 5. Presidential Direction. The authorities delegated 
pursuant to this order shall be exercised subject to any 
subsequent direction by the President in a particular matter.
          (27) Trade and Environment Policy Advisory Committee

 Executive Order 12905, March 25, 1994, 59 F.R. 14733, 19 U.S.C. 2155 
                                  note

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including the Federal Advisory Committee Act, as amended (5 
U.S.C. App.), and section 135(c)(1) of the Trade Act of 1974, 
as amended (19 U.S.C. 2155(c)(1)) (``Act''), it is hereby 
ordered as follows:
    Section 1. Establishment. There is established in the 
Office of the United States Trade Representative (``Trade 
Representative'') the ``Trade and Environment Policy Advisory 
Committee'' (``Committee'').
    Sec. 2. Membership. (a) The Committee shall consist of not 
more than 35 members, including, but not limited to, 
representatives from environmental interest groups, industry 
(including the environmental technology and environmental 
services industries), agriculture, services, non-Federal 
government, and consumer interests. The Committee should be 
broadly representative of the key sectors and groups of the 
economy with an interest in trade and environmental policy 
issues.
    (b) The Chairman of the Committee shall be elected by the 
Committee from among its members. Members of the Committee 
shall be appointed by the Trade Representative, in consultation 
with the Cabinet secretaries described in section 2155(c)(1) of 
title 19, United States Code, for a term of 2 years and may be 
reappointed for any number of terms. Appointments to the 
Committee shall be made without regard to political 
affiliation. Any member may be removed at the discretion of the 
Trade Representative.
    Sec. 3. Functions. (a) The Committee shall provide the 
Trade Representative with policy advice on issues involving 
trade and the environment.
    (b) The Committee shall submit a report to the President, 
to the Congress, and to the Trade Representative at the 
conclusion of negotiations for each trade agreement referred to 
in section 102 of the Act. The report shall include an advisory 
opinion on whether and to what extent the agreement promotes 
the interests of the United States.
    (c) The Committee may establish such subcommittees of its 
members as it deems necessary, subject to the provisions of the 
Federal Advisory Committee Act and the approval of the Trade 
Representative, or his designee.
    (d) The Committee shall report its activities to the Trade 
Representative, or his designee.
    Sec. 4. Administration. (a) The Trade Representative, or 
his designee, with the advice of the Chairman, shall be 
responsible for prior approval of the agendas for all Committee 
meetings.
    (b) The Trade Representative, or his designee, shall be 
responsible for determinations, filings, and other 
administrative requirements of the Federal Advisory Committee 
Act.
    (c)(1) The Trade Representative shall provide funding and 
administrative and staff support for the Committee.
    (2) The Committee shall have an Executive Director who 
shall be a Federal officer or employee designated by the Trade 
Representative.
    (d) Members of the Committee shall serve without either 
compensation or reimbursement of expenses.
    (e) The Committee shall meet as needed at the call of the 
Trade Representative or his designee, depending on various 
factors such as the level of activity of trade negotiations and 
the needs of the Trade Representative, or at the call of two-
thirds of the members of the Committee.
    Sec. 5. General. The Committee shall function for such 
period as may be necessary. In accordance with the Federal 
Advisory Committee Act, the Committee shall terminate after 2 
years from the date of this order unless otherwise extended.\1\
---------------------------------------------------------------------------
    \1\ Sec. 1(o) of Executive Order 12974 (September 29, 1995; 60 F.R. 
51875) extended this Committee until September 30, 1997; which was 
further extended until September 30, 1999, by sec. 1(o) of Executive 
Order 13062 (Sept. 29, 1997; 62 F.R. 51755).
 (28) Identification of Trade Expansion Priorities and Discriminatory 
                         Procurement Practices

 Executive Order 13116, March 31, 1999, 64 F.R. 16333, 19 U.S.C. 2420 
                                  note

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including title III of the Act of March 3, 1993, as amended (41 
U.S.C. 10d), sections 141 and 301-310 of the Trade Act of 1974, 
as amended (the Act) (19 U.S.C. 2171, 2411-2420), title III of 
the Trade Agreements Act of 1979, as amended (19 U.S.C. 2511-
2518), and section 301 of title 3, United States Code, and to 
ensure that the trade policies of the United States advance, to 
the greatest extent possible, the export of the products and 
services of the United States and that trade policy resources 
are used efficiently, it is hereby ordered as follows:

PART I: IDENTIFICATION OF TRADE EXPANSION PRIORITIES

    Section 1. Identification and Annual Report. (a) Within 30 
days of the submission of the National Trade Estimate Report 
required by section 181(b) of the Act (19 U.S.C. 2241(b)) for 
1999, 2000, and 2001, the United States Trade Representative 
(Trade Representative) shall review United States trade 
expansion priorities and identify priority foreign country 
practices, the elimination of which is likely to have the most 
significant potential to increase United States exports, either 
directly or through the establishment of a beneficial 
precedent. The Trade Representative shall submit to the 
Committee on Finance of the Senate and the Committee on Ways 
and Means of the House of Representatives, and shall publish in 
the Federal Register, a report on the priority foreign country 
practices identified.
    (b) In identifying priority foreign country practices under 
paragraph (a) of this section, the Trade Representative shall 
take into account all relevant factors, including:
          (1) the major barriers and trade distorting practices 
        described in the National Trade Estimate Report;
          (2) the trade agreements to which a foreign country 
        is a party and its compliance with those agreements;
          (3) the medium-term and long-term implications of 
        foreign government procurement plans; and
          (4) the international competitive position and export 
        potential of United States products and services.
    (c) The Trade Representative may include in the report, if 
appropriate, a description of the foreign country practices 
that may in the future warrant identification as priority 
foreign country practices. The Trade Representative also may 
include a statement about other foreign country practices that 
were not identified because they are already being addressed by 
provisions of United States trade law, existing bilateral trade 
agreements, or in trade negotiations with other countries and 
progress is being made toward their elimination.
    Sec. 2. Resolution. Upon submission of the report required 
by paragraph (a) of section 1 of this part, the Trade 
Representative shall, with respect to any priority foreign 
country practice identified therein, engage the country 
concerned for the purpose of seeking a satisfactory resolution, 
for example, by obtaining compliance with a trade agreement or 
the elimination of the practice as quickly as possible, or, if 
this is not feasible, by providing for compensatory trade 
benefits.
    Sec. 3. Initiation of Investigations. Within 90 days of the 
submission of the report required by paragraph (a) of section 1 
of this part, the Trade Representative shall initiate under 
section 302(b)(1) of the Act (19 U.S.C. 2412(b)(1)) 
investigations with respect to all of the priority foreign 
country practices identified, unless during the 90-day period 
the Trade Representative determines that a satisfactory 
resolution of the matter to be investigated has been achieved.

PART II: IDENTIFICATION OF DISCRIMINATORY GOVERNMENT PROCUREMENT 
                    PRACTICES

    Section 1. Identification and Annual Report. (a) Within 30 
days of the submission of the National Trade Estimate Report 
for 1999, 2000, and 2001, the Trade Representative shall submit 
to the Committees on Finance and on Governmental Affairs of the 
Senate and the Committees on Ways and Means and Government 
Reform and Oversight of the House of Representatives, and shall 
publish in the Federal Register, a report on the extent to 
which foreign countries discriminate against U.S. products or 
services in making government procurements.
    (b) In the report, the Trade Representative shall identify 
countries that:
          (1) are not in compliance with their obligations 
        under the World Trade Organization Agreement on 
        Government Procurement (the GPA), Chapter 10 of the 
        North American Free Trade Agreement (NAFTA), or other 
        agreements relating to government procurement 
        (procurement agreements) to which that country and the 
        United States are parties; or
          (2) maintain, in government procurement, a 
        significant and persistent pattern or practice of 
        discrimination against U.S. products or services that 
        results in identifiable harm to U.S. businesses and 
        whose products or services are acquired in significant 
        amounts by the United States Government.
    Sec. 2. Considerations in Making Identifications. In making 
the identifications required by section 1 of this part, the 
Trade Representative shall: (a) consider the requirements of 
the GPA, NAFTA, or other procurement agreements, government 
procurement practices, and the effects of such practices on 
U.S. businesses as a basis for evaluating whether the 
procurement practices of foreign governments do not provide 
fair market opportunities for U.S. products or services;
    (b) take into account, among other factors, whether and to 
what extent countries that are parties to the GPA, NAFTA, or 
other procurement agreements, and other countries described in 
section 1 of this part:
          (1) use sole-sourcing or otherwise noncompetitive 
        procedures for procurement that could have been 
        conducted using competitive procedures;
          (2) conduct what normally would have been one 
        procurement as two or more procurements, to decrease 
        the anticipated contract values below the value 
        threshold of the GPA, NAFTA, or other procurement 
        agreements, or to make the procurement less attractive 
        to U.S. businesses;
          (3) announce procurement opportunities with 
        inadequate time intervals for U.S. businesses to submit 
        bids; and
          (4) use specifications in such a way as to limit the 
        ability of U.S. suppliers to participate in 
        procurements; and
    (c) consider information included in the National Trade 
Estimate Report, and any other additional criteria deemed 
appropriate, including, to the extent such information is 
available, the failure to apply transparent and competitive 
procedures or maintain and enforce effective prohibitions on 
bribery and other corrupt practices in connection with 
government procurement.
    Sec. 3. Impact of Noncompliance and Denial of Comparable 
Treatment. The Trade Representative shall take into account, in 
identifying countries in the annual report and in any action 
required by this part, the relative impact of any noncompliance 
with the GPA, NAFTA, or other procurement agreements, or of 
other discrimination on U.S. commerce, and the extent to which 
such noncompliance or discrimination has impeded the ability of 
U.S. suppliers to participate in procurements on terms 
comparable to those available to suppliers of the country in 
question when seeking to sell goods or services to the United 
States Government.
    Sec. 4. Resolution. Upon submission of the report required 
by section 1 of this part, the Trade Representative shall 
engage any country identified therein for the purpose of 
seeking a satisfactory resolution, for example, by obtaining 
compliance with the GPA, NAFTA, or other procurement agreements 
or the elimination of the discriminatory procurement practices 
as quickly as possible, or, if this is not feasible, by 
providing for compensatory trade benefits.
    Sec. 5. Initiation of Investigations. (a) Within 90 days of 
the submission of the report required by section 1 of this 
part, the Trade Representative shall initiate under section 
302(b)(1) of the Act (19 U.S.C. 2412(b)(1)) investigations with 
respect to any practice that:
          (1) was the basis for the identification of a country 
        under section 1; and
          (2) is not at that time the subject of any other 
        investigation or action under title III, chapter 1, of 
        the Act, unless during the 90-day period the Trade 
        Representative determines that a satisfactory 
        resolution of the matter to be investigated has been 
        achieved.
    (b) For investigations initiated under paragraph (a) of 
this section (other than an investigation involving the GPA or 
NAFTA), the Trade Representative shall apply the time limits 
and procedures in section 304(a)(3) of the Act (19 U.S.C. 
2414(a)(3)). The time limits in subsection 304(a)(3)(B) of the 
Act (19 U.S.C. 2414(a)(3)(B)) shall apply if the Trade 
Representative determines that:
          (1) complex or complicated issues are involved in the 
        investigation that require additional time;
          (2) the foreign country involved in the investigation 
        is making substantial progress in drafting or 
        implementing legislative or administrative measures 
        that will end the discriminatory procurement practice; 
        or
          (3) such foreign country is undertaking enforcement 
        measures to end the discriminatory procurement 
        practice.

PART III: DIRECTION

    Section 1. Presidential Direction. The authorities 
delegated pursuant to this order shall be exercised subject to 
any subsequent direction by the President in a particular 
matter.
    Sec. 2. Consultations and Advice. In developing the annual 
reports required by part I and part II of this order, the Trade 
Representative shall consult with executive agencies and seek 
information and advice from U.S. businesses in the United 
States and in the countries involved in the practices under 
consideration.
   (29) Prohibition of Acquisition of Products Produced by Forced or 
                         Indentured Child Labor

  Executive Order 13126, June 12, 1999, 64 F.R. 32383, 19 U.S.C. 1307 
                                  note

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, and 
in order to continue the executive branch's commitment to 
fighting abusive child labor practices, it is hereby ordered as 
follows:
    Section. 1. Policy. It shall be the policy of the United 
States Government, consistent with the Tariff Act of 1930, 19 
U.S.C. 1307, the Fair Labor Standards Act, 29 U.S.C. 201 et. 
seq., and the Walsh-Healey Public Contracts Act, 41 U.S.C. 35 
et seq., the executive agencies shall take appropriate actions 
to enforce the laws prohibiting the manufacture or importation 
of goods, wares, articles, and merchandise mined, produced, or 
manufactured wholly or in part by forced or indentured child 
labor.
    Sec. 2. Publication of List. Within 120 days after the date 
of this order, the Department of Labor, in consultation and 
cooperation with the Department of the Treasury and the 
Department of State, shall publish in the Federal Register a 
list of products, identified by their country of origin, that 
those Departments have a reasonable basis to believe might have 
been mined, produced, or manufactured by forced or indentured 
child labor. The Department of Labor may conduct hearings to 
assist in the identification of those products.
    Sec. 3. Procurement Regulations. Within 120 days after the 
date of this order, the Federal Acquisition Regulatory Council 
shall issue proposed rules to implement the following:
    (a) Required Solicitation Provisions. Each solicitation of 
offers for a contract for the procurement of a product included 
on the list published under section 2 of this order shall 
include the following provisions:
          (1) A provision that requires the contractor to 
        certify to the contracting officer that the contractor 
        or, in the case of an incorporated contractor, a 
        responsible official of the contractor has made a good 
        faith effort to determine whether forced or indentured 
        child labor was used to mine, produce, or manufacture 
        any product furnished under the contract and that, on 
        the basis of those efforts, the contractor is unaware 
        of any such use of child labor; and
          (2) A provision that obligates the contractor to 
        cooperate fully in providing reasonable access to the 
        contractor's records, documents, persons, or premises 
        if reasonably requested by authorized officials of the 
        contracting agency, the Department of the Treasury, or 
        the Department of Justice, for the purpose of 
        determining whether forced or indentured child labor 
        was used to mine, produce, or manufacture any product 
        furnished under the contract.
    (b) Investigations. Whenever a contracting officer of an 
executive agency has reason to believe that forced or 
indentured child labor was used to mine, produce, or 
manufacture a product furnished pursuant to a contract subject 
to the requirements of subsection 3(a) of this order, the head 
of the executive agency shall refer the matter for 
investigation to the Inspector General of the executive agency 
and, as the head of the executive agency or the Inspector 
General determines appropriate, to the Attorney General and the 
Secretary of the Treasury.
    (c) Remedies.
          (1) The head of an executive agency may impose 
        remedies as provided in this subsection in the case of 
        a contractor under a contract of the executive agency 
        if the head of the executive agency finds that the 
        contractor:
                  (i) Has furnished under the contract products 
                that have been mined, produced, or manufactured 
                by forced or indentured child labor or uses 
                forced or indentured child labor in the mining, 
                production, or manufacturing operations of the 
                contractor;
                  (ii) Has submitted a false certification 
                under subsection 3(a)(1) of this order; or
                  (iii) Has failed to cooperate in accordance 
                with the obligation imposed pursuant to 
                subsection 3(a)(2) of this order.
          (2) The head of an executive agency, in his or her 
        sole discretion, may terminate a contract on the basis 
        of any finding described in subsection 3(c)(1) of this 
        order for any contract entered into after the date the 
        regulation called for in section 3 of this order is 
        published in final.
          (3) The head of an executive agency may debar or 
        suspend a contractor from eligibility for Federal 
        contracts on the basis of a finding that the contractor 
        has engaged in an act described in subsection 3(c)(1) 
        of this order. The provision for debarment may not 
        exceed 3 years.
          (4) The Administrator of General Services shall 
        include on the List of Parties Excluded from Federal 
        Procurement and Nonprocurement Programs (maintained by 
        the Administrator as described in the Federal 
        Acquisition Regulation) each party that is debarred, 
        suspended, proposed for debarment or suspension, or 
        declared ineligible by the head of an agency on the 
        basis that the person has engaged in an act described 
        in subsection 3(c)(1) of this order.
          (5) This section shall not be construed to limit the 
        use of other remedies available to the head of an 
        executive agency or any other official of the Federal 
        Government on the basis of a finding described in 
        subsection 3(c)(1) of this order.
    Sec. 4. Report. Within 2 years after implementation of any 
final rule under this order, the Administrator of General 
Services, with the assistance of other executive agencies, 
shall submit to the Office of Management and Budget a report on 
the actions taken pursuant to this order.
    Sec. 5. Scope. (a) Any proposed rules issued pursuant to 
section 3 of this order shall apply only to acquisitions for a 
total amount in excess of the micro-purchase threshold as 
defined in section 32(f) of the Office of Federal Procurement 
Policy Act (41 U.S.C. 428(f)).
    (b) This order does not apply to a contract that is for the 
procurement of any product, or any article, material, or supply 
contained in a product that is mined, produced, or manufactured 
in any foreign country if:
          (1) the foreign country is a party to the Agreement 
        on Government Procurement annexed to the WTO Agreement 
        or a party to the North American Free Trade Agreement 
        (``NAFTA''); and
          (2) the contract is of a value that is equal to or 
        greater than the United States threshold specified in 
        the Agreement on Government Procurement annexed to the 
        WTO Agreement or NAFTA, whichever is applicable.
    Sec. 6. Definitions. (a) ``Executive agency'' and 
``agency'' have the meaning given to ``executive agency'' in 
section 4(1) of the Office of Federal Procurement Policy Act 
(41 U.S.C. 403(1)).
    (b) ``WTO Agreement'' means the Agreement Establishing the 
World Trade Organization, entered into on April 15, 1994.
    (c) ``Forced or indentured child labor'' means all work or 
service (1) exacted from any person under the age of 18 under 
the menace of any penalty for its nonperformance and for which 
the worker does not offer himself voluntarily; or (2) performed 
by any person under the age of 18 pursuant to a contract the 
enforcement of which can be accomplished by process or 
penalties.
    Sec. 7. Judicial Review. This order is intended only to 
improve the internal management of the executive branch and 
does not create any rights or benefits, substantive or 
procedural, enforceable by law by a party against the United 
States, its agencies, its officers, or any other person.
             (30) Environmental Review of Trade Agreements

Executive Order 13141, November 15, 1999, 64 F.R. 63167, 19 U.S.C. 2112 
                                  note

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, and 
in order to further the environmental and trade policy goals of 
the United States, it is hereby ordered as follows:
    Section 1. Policy. The United States is committed to a 
policy of careful assessment and consideration of the 
environmental impacts of trade agreements. The United States 
will factor environmental considerations into the development 
of its trade negotiating objectives. Responsible agencies will 
accomplish these goals through a process of ongoing assessment 
and evaluation, and, in certain instances, written 
environmental reviews.
    Sec. 2. Purpose and Need. Trade agreements should 
contribute to the broader goal of sustainable development. 
Environmental reviews are an important tool to help identify 
potential environmental effects of trade agreements, both 
positive and negative, and to help facilitate consideration of 
appropriate responses to those effects whether in the course of 
negotiations, through other means, or both.
    Sec. 3. (a) Implementation. The United States Trade 
Representative (Trade Representative) and the Chair of the 
Council on Environmental Quality shall oversee the 
implementation of this order, including the development of 
procedures pursuant to this order, in consultation with 
appropriate foreign policy, environmental, and economic 
agencies. (b) Conduct of Environmental Reviews. The Trade 
Representative, through the interagency Trade Policy Staff 
Committee (TPSC), shall conduct the environmental reviews of 
the agreements under section 4 of this order.
    Sec. 4. Trade Agreements.
          (a) Certain agreements that the United States may 
        negotiate shall require an environmental review. These 
        include:
                  (i) comprehensive multilateral trade rounds;
                  (ii) bilateral or plurilateral free trade 
                agreements; and major new trade liberalization 
                agreements in natural resource sectors.
          (b) Agreements reached in connection with enforcement 
        and dispute resolution actions are not covered by this 
        order.
          (c) For trade agreements not covered under 
        subsections 4(a) and (b), environmental reviews will 
        generally not be required. Most sectoral liberalization 
        agreements will not require an environmental review the 
        Trade Representative, through the TPSC, shall determine 
        whether an environmental review of an agreement or 
        category of agreements is warranted based on such 
        factors as the significance of reasonably foreseeable 
        environmental impacts.
    Sec. 5. Environmental Reviews.
          (a) Environmental reviews shall be:
                  (i) written;
                  (ii) initiated through a Federal Register 
                notice, outlining the proposed agreement and 
                soliciting public comment and information on 
                the scope of the environmental review of the 
                agreement;
                  (iii) undertaken sufficiently early in the 
                process to inform the development of 
                negotiating positions, but shall not be a 
                condition for the timely tabling of particular 
                negotiating proposals;
                  (iv) made available in draft form for public 
                comment, where practicable; and (v) made 
                available to the public in final form.
          (b) As a general matter, the focus of environmental 
        reviews will be impacts in the United States. As 
        appropriate and prudent, reviews may also examine 
        global and transboundary impacts.
    Sec. 6. Resources. Upon request by the Trade 
Representative, with the concurrence of the Deputy Director for 
Management of the Office of Management and Budget, Federal 
agencies shall, to the extent permitted by law and subject to 
the availability of appropriations, provide analytical and 
financial resources and support, including the detail of 
appropriate personnel, to the Office of the United States Trade 
Representative to carry out the provisions of this order.
    Sec. 7. General Provisions. This order is intended only to 
improve the internal management of the executive branch and 
does not create any right, benefit, trust, or responsibility, 
substantive or procedural, enforceable at law or equity by a 
party against the United States, its agencies, its officers, or 
any person.
    (31) Access to HIV/AIDS Pharmaceuticals and Medical Technologies

  Executive Order 13155, May 10, 2000 , 64 F.R. 30521, 19 U.S.C. 2411 
                                  note

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including sections 141 and chapter 1 of title III of the Trade 
Act of 1974, as amended (19 U.S.C. 2171, 241-2420), section 307 
of the Public Health Service Act (42 U.S.C. 2421), and section 
104 of the Foreign Assistance Act of 1961, as amended (22 
U.S.C. 2151b), and in accordance with executive branch policy 
on health-related intellectual property matters to promote 
access to essential medicines, it is hereby ordered as follows:
    Section 1. Policy. (a) In administering sections 301-310 of 
the Trade Act of 1974, the United States shall not seek, 
through negotiation or otherwise, the revocation or revision of 
any intellectual property law or policy of a beneficiary sub-
Saharan African country, as determined by the President, that 
regulates HIV/AIDS pharmaceuticals or medical technologies if 
the law or policy of the country:
          (1) promotes access to HIV/AIDS pharmaceuticals or 
        medical technologies for affected populations in that 
        country; and
          (2) provides adequate and effective intellectual 
        property protection consistent with the Agreement on 
        Trade-Related Aspects of Intellectual Property Rights 
        (TRIPS Agreement) referred to in section 101(d)(15) of 
        the Uruguay Round Agreements Act (19 U.S.C. 
        3511(d)(15)).
    (b) The United States shall encourage all beneficiary sub-
Saharan African countries to implement policies designed to 
address the underlying causes of the HIV/AIDS crisis by, among 
other things, making efforts to encourage practices that will 
prevent further transmission and infection and to stimulate 
development of the infrastructure necessary to deliver adequate 
health services, and by encouraging policies that provide an 
incentive for public and private research on, and development 
of, vaccines and other medical innovations that will combat the 
HIV/AIDS epidemic in Africa.
    Sec. 2. Rationale: (a) This order finds that:
          (1) since the onset of the worldwide HIV/AIDS 
        epidemic, approximately 34 million people living in 
        sub-Saharan Africa have been infected with the disease;
          (2) of those infected, approximately 11.5 million 
        have died;
          (3) the deaths represent 83 percent of the total HIV/
        AIDS-related deaths worldwide; and
          (4) access to effective therapeutics for HIV/AIDS is 
        determined by issues of price, health system 
        infrastructure for delivery, and sustainable financing.
    (b) In light of these findings, this order recognizes that:
          (1) it is in the interest of the United States to 
        take all reasonable steps to prevent further spread of 
        infectious disease, particularly HIV/AIDS;
          (2) there is critical need for effective incentives 
        to develop new pharmaceuticals, vaccines, and therapies 
        to combat the HIV/AIDS crisis, including effective 
        global intellectual property standards designed to 
        foster pharmaceutical and medical innovation;
          (3) the overriding priority for responding to the 
        crisis of HIV/AIDS in sub-Saharan Africa should be to 
        improve public education and to encourage practices 
        that will prevent further transmission and infection, 
        and to stimulate development of the infrastructure 
        necessary to deliver adequate health care services;
          (4) the United States should work with individual 
        countries in sub-Saharan Africa to assist them in 
        development of effective public education campaigns 
        aimed at the prevention of HIV/AIDS transmission and 
        infection, and to improve their health care 
        infrastructure to promote improved access to quality 
        health care for their citizens in general, and 
        particularly with respect to the HIV/AIDS epidemic;
          (5) an effective United States response to the crisis 
        in sub-Saharan Africa must focus in the short term on 
        preventive programs designed to reduce the frequency of 
        new infections and remove the stigma of the disease, 
        and should place a priority on basic health services 
        that can be used to treat opportunistic infections, 
        sexually transmitted infections, and complications 
        associated with HIV/AIDS so as to prolong the duration 
        and improve the quality of life of those with the 
        disease;
          (6) an effective United States response to the crisis 
        must also focus on the development of HIV/AIDS vaccines 
        to prevent the spread of the disease;
          (7) the innovative capacity of the United States in 
        the commercial and public pharmaceutical research 
        sectors is unmatched in the world, and the 
        participation of both these sectors will be a critical 
        element in any successful program to respond to the 
        HIV/AIDS crisis in sub-Saharan Africa;
          (8) the TRIPS Agreement recognizes the importance of 
        promoting effective and adequate protection of 
        intellectual property rights and the right of countries 
        to adopt measures necessary to protect public health;
          (9) individual countries should have the ability to 
        take measures to address the HIV/AIDS epidemic, 
        provided that such measures are consistent with their 
        international obligations; and
          (10) successful initiatives will require effective 
        partnerships and cooperation among governments, 
        international organizations, nongovernmental 
        organizations, and the private sector, and greater 
        consideration should be given to financial, legal, and 
        other incentives that will promote improved prevention 
        and treatment actions.
    Sec. 3. Scope. (a) This order prohibits the United States 
Government from taking action pursuant to section 301(b) of the 
Trade Act of 1974 with respect to any law or policy in 
beneficiary sub-Saharan African countries that promotes access 
to HIV/AIDS pharmaceuticals or medical technologies and that 
provides adequate and effective intellectual property 
protection consistent with the TRIPS Agreement. However, this 
order does not prohibit United States Government officials from 
evaluating, determining, or expressing concern about whether 
such a law or policy promotes access to HIV/AIDS 
pharmaceuticals or medical technologies or provides adequate 
and effective intellectual property protection consistent with 
the TRIPS Agreement. In addition, this order does not prohibit 
United States Government officials from consulting with or 
otherwise discussing with sub-Saharan African governments 
whether such law or policy meets the conditions set forth in 
section 1(a) of this order. Moreover, this order does not 
prohibit the United States Government from invoking the dispute 
settlement procedures of the World Trade Organization to 
examine whether any such law or policy is consistent with the 
Uruguay Round Agreements, referred to in section 101(d) of the 
Uruguay Round Agreements Act.
    (b) This order is intended only to improve the internal 
management of the executive branch and is not intended to, and 
does not create, any right or benefit, substantive or 
procedural, enforceable at law or equity by a party against the 
United States, its agencies or instrumentalities, its officers 
or employees, or any other person.
      b. U.S. Trade With Canada, Latin America, and the Caribbean

                (1) U.S.-Caribbean Trade Partnership Act

Partial text of Public Law 106-200 [Trade and Development Act of 2000; 
            H.R. 434], 114 Stat. 251, approved May 18, 2000

  Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

  (a) Short Title.\1\--This Act may be cited as the ``Trade and 
Development Act of 2000''.
---------------------------------------------------------------------------
    \1\ 19 U.S.C. 3701 note.
---------------------------------------------------------------------------
  (b) Table of Contents.--* * *
          * * * * * * *

              TITLE II--TRADE BENEFITS FOR CARIBBEAN BASIN

         Subtitle A--Trade Policy for Caribbean Basin Countries

SEC. 201.\2\ SHORT TITLE.
---------------------------------------------------------------------------

    \2\ 19 U.S.C. 2701 note.
---------------------------------------------------------------------------
  This title may be cited as the ``United States-Caribbean 
Basin Trade Partnership Act''.

SEC. 202.\3\ FINDINGS AND POLICY.
---------------------------------------------------------------------------

    \3\ 19 U.S.C. 2701 note.
---------------------------------------------------------------------------
  (a) Findings.--Congress makes the following findings:
          (1) The Caribbean Basin Economic Recovery Act (in 
        this title referred to as ``CBERA'') represents a 
        permanent commitment by the United States to encourage 
        the development of strong democratic governments and 
        revitalized economies in neighboring countries in the 
        Caribbean Basin.
          (2) In 1998, Hurricane Mitch and Hurricane Georges 
        devastated areas in the Caribbean Basin region, killing 
        more than 10,000 people and leaving 3,000,000 homeless.
          (3) The total direct impact of Hurricanes Mitch and 
        Georges on Honduras, Nicaragua, the Dominican Republic, 
        El Salvador, and Guatemala amounts to $4,200,000,000, 
        representing a severe loss to income levels in this 
        underdeveloped region.
          (4) In addition to short term disaster assistance, 
        United States policy toward the region should focus on 
        expanding international trade with the Caribbean Basin 
        region as an enduring solution for successful economic 
        growth and recovery.
          (5) Thirty-four democratically elected leaders agreed 
        at the 1994 Summit of the Americas to conclude 
        negotiation of a Free Trade Area of the Americas (in 
        this title referred to as ``FTAA'') by the year 2005.
          (6) The economic security of the countries in the 
        Caribbean Basin will be enhanced by the completion of 
        the FTAA.
          (7) Offering temporary benefits to Caribbean Basin 
        countries will preserve the United States commitment to 
        Caribbean Basin beneficiary countries, promote the 
        growth of free enterprise and economic opportunity in 
        these neighboring countries, and thereby enhance the 
        national security interests of the United States.
          (8) Given the greater propensity of countries located 
        in the Western Hemisphere to use United States 
        components and to purchase United States products 
        compared to other countries, increased trade and 
        economic activity between the United States and 
        countries in the Western Hemisphere will create new 
        jobs in the United States as a result of expanding 
        export opportunities.
  (b) Policy.--It is the policy of the United States--
          (1) to offer Caribbean Basin beneficiary countries 
        willing to prepare to become a party to the FTAA or 
        another free trade agreement, tariff treatment 
        essentially equivalent to that accorded to products of 
        NAFTA countries for certain products not currently 
        eligible for duty-free treatment under the CBERA; and
          (2) to seek the participation of Caribbean Basin 
        beneficiary countries in the FTAA or another free trade 
        agreement at the earliest possible date, with the goal 
        of achieving full participation in such agreement not 
        later than 2005.

SEC. 203.\4\ DEFINITIONS.
---------------------------------------------------------------------------

    \4\ 19 U.S.C. 2701 note.
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  In this title:
          (1) NAFTA.--The term ``NAFTA'' means the North 
        American Free Trade Agreement entered into between the 
        United States, Mexico, and Canada on December 17, 1992.
          (2) NAFTA country.--The term ``NAFTA country'' means 
        any country with respect to which the NAFTA is in 
        force.
          (3) WTO and wto member.--The terms ``WTO'' and ``WTO 
        member'' have the meanings given those terms in section 
        2 of the Uruguay Round Agreements Act (19 U.S.C. 3501).

        Subtitle B--Trade Benefits for Caribbean Basin Countries

SEC. 211. TEMPORARY PROVISIONS TO PROVIDE ADDITIONAL TRADE BENEFITS TO 
                    CERTAIN BENEFICIARY COUNTRIES.

  (a) Temporary Provisions.--* * * \5\
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    \5\ Sec. 211 amends sec. 213(b) of the Caribbean Basin Economic 
Recovery Act (19 U.S.C. 2703(b)), as found on page 868.
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          * * * * * * *

SEC. 212.\6\ DUTY-FREE TREATMENT FOR CERTAIN BEVERAGES MADE WITH 
                    CARIBBEAN RUM.
---------------------------------------------------------------------------

    \6\ Sec. 212 amends sec. 213(a) of the Caribbean Basin Economic 
Recovery Act (19 U.S.C. 2703(a)) as found on page 866.
---------------------------------------------------------------------------

SEC. 213.\7\ MEETINGS OF TRADE MINISTERS AND USTR.
---------------------------------------------------------------------------

    \7\ 19 U.S.C. 2701 note.
---------------------------------------------------------------------------
  (a) Schedule of Meetings.--The President shall take the 
necessary steps to convene a meeting with the trade ministers 
of the CBTPA beneficiary countries in order to establish a 
schedule of regular meetings, to commence as soon as is 
practicable, of the trade ministers and the Trade 
Representative, for the purpose set forth in subsection (b).
  (b) Purpose.--The purpose of the meetings scheduled under 
subsection (a) is to reach agreement between the United States 
and CBTPA beneficiary countries on the likely timing and 
procedures for initiating negotiations for CBTPA beneficiary 
countries to enter into mutually advantageous free trade 
agreements with the United States that contain provisions 
comparable to those in the NAFTA and would make substantial 
progress in achieving the negotiating objectives set forth in 
section 108(b)(5) of Public Law 103-182 (19 U.S.C. 3317(b)(5)).
  (c) Definition.--In this section, the term ``CBTPA 
beneficiary country'' has the meaning given that term in 
section 213(b)(5)(B) of the Caribbean Basin Economic Recovery 
Act.
          * * * * * * *
       (2) North American Free Trade Agreement Implementation Act

    Partial text of Public Law 103-182 [H.R. 3450], 107 Stat. 2057, 
approved December 8, 1993, amended by Public Law 105-206 [the Internal 
 Revenue Service Reform and Restructuring Act of 1986 H.R. 2676], 112 
                   Stat. 685, approved July 22, 1998

      AN ACT To implement the North American Free Trade Agreement.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

SECTION 1.\1\ SHORT TITLE AND TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``North 
American Free Trade Agreement Implementation Act''.
---------------------------------------------------------------------------
    \1\ 19 U.S.C. 3301 note.
---------------------------------------------------------------------------
    (b) Table of Contents.--* * *

SEC. 2.\2\ DEFINITIONS.

    For purposes of this Act:
---------------------------------------------------------------------------
    \2\ 19 U.S.C. 3301.
---------------------------------------------------------------------------
          (1) Agreement.--The term ``Agreement'' means the 
        North American Free Trade Agreement approved by the 
        Congress under section 101(a).
          (2) HTS.--The term ``HTS'' means the Harmonized 
        Tariff Schedule of the United States.
          (3) Mexico.--Any reference to Mexico shall be 
        considered to be a reference to the United Mexican 
        States.
          (4) NAFTA country.--Except as provided in section 
        202, the term ``NAFTA country'' means--
                  (A) Canada for such time as the Agreement is 
                in force with respect to, and the United States 
                applies the Agreement to, Canada; and
                  (B) Mexico for such time as the Agreement is 
                in force with respect to, and the United States 
                applies the Agreement to, Mexico.
          (5) International trade commission.--The term 
        ``International Trade Commission'' means the United 
        States International Trade Commission.
          (6) Trade representative.--The term ``Trade 
        Representative'' means the United States Trade 
        Representative.

  TITLE I--APPROVAL OF, AND GENERAL PROVISIONS RELATING TO, THE NORTH 
                     AMERICAN FREE TRADE AGREEMENT

SEC. 101.\3\ APPROVAL AND ENTRY INTO FORCE OF THE NORTH AMERICAN FREE 
                    TRADE AGREEMENT.

    (a) Approval of Agreement and Statement of Administrative 
Action.--Pursuant to section 1103 of the Omnibus Trade and 
Competitiveness Act of 1988 (19 U.S.C. 2903) and section 151 of 
the Trade Act of 1974 (19 U.S.C. 2191), the Congress approves--
---------------------------------------------------------------------------
    \3\ 19 U.S.C. 3311.
---------------------------------------------------------------------------
          (1) the North American Free Trade Agreement entered 
        into on December 17, 1992, with the Governments of 
        Canada and Mexico and submitted to the Congress on 
        November 4, 1993; and
          (2) the statement of administrative action proposed 
        to implement the Agreement that was submitted to the 
        Congress on November 4, 1993.
    (b) Conditions for Entry Into Force of the Agreement.--The 
President is authorized to exchange notes with the Government 
of Canada or Mexico providing for the entry into force, on or 
after January 1, 1994, of the Agreement for the United States 
with respect to such country at such time as--
          (1) the President--
                  (A) determines that such country has 
                implemented the statutory changes necessary to 
                bring that country into compliance with its 
                obligations under the Agreement and has made 
                provision to implement the Uniform Regulations 
                provided for under article 511 of the Agreement 
                regarding the interpretation, application, and 
                administration of the rules of origin, and
                  (B) transmits a report to the House of 
                Representatives and the Senate setting forth 
                the determination under subparagraph (A) and 
                including, in the case of Mexico, a description 
                of the specific measures taken by that country 
                to--
                          (i) bring its laws into conformity 
                        with the requirements of the Schedule 
                        of Mexico in Annex 1904.15 of the 
                        Agreement, and
                          (ii) otherwise ensure the effective 
                        implementation of the binational panel 
                        review process under chapter 19 of the 
                        Agreement regarding final antidumping 
                        and countervailing duty determinations; 
                        and
          (2) the Government of such country exchanges notes 
        with the United States providing for the entry into 
        force of the North American Agreement on Environmental 
        Cooperation and the North American Agreement on Labor 
        Cooperation for that country and the United States.

SEC. 102.\4\ RELATIONSHIP OF THE AGREEMENT TO UNITED STATES AND STATE 
                    LAW.

    (a) Relationship of Agreement to United States Law.--
          (1) United states law to prevail in conflict.--No 
        provision of the Agreement, nor the application of any 
        such provision to any person or circumstance, which is 
        inconsistent with any law of the United States shall 
        have effect.
---------------------------------------------------------------------------
    \4\ 19 U.S.C. 3312.
---------------------------------------------------------------------------
          (2) Construction.--Nothing in this Act shall be 
        construed--
                  (A) to amend or modify any law of the United 
                States, including any law regarding--
                          (i) the protection of human, animal, 
                        or plant life or health,
                          (ii) the protection of the 
                        environment, or
                          (iii) motor carrier or worker safety; 
                        or
                  (B) to limit any authority conferred under 
                any law of the United States, including section 
                301 of the Trade Act of 1974;
        unless specifically provided for in this Act.
    (b) Relationship of Agreement to State Law.--
          (1) Federal-state consultation.--
                  (A) In general.--Upon the enactment of this 
                Act, the President shall, through the 
                intergovernmental policy advisory committees on 
                trade established under section 306(c)(2)(A) of 
                the Trade and Tariff Act of 1984, consult with 
                the States for the purpose of achieving 
                conformity of State laws and practices with the 
                Agreement.
                  (B) Federal-state consultation process.--The 
                Trade Representative shall establish within the 
                Office of the United States Trade 
                Representative a Federal-State consultation 
                process for addressing issues relating to the 
                Agreement that directly relate to, or will 
                potentially have a direct impact on, the 
                States. The Federal-State consultation process 
                shall include procedures under which--
                          (i) the Trade Representative will 
                        assist the States in identifying those 
                        State laws that may not conform with 
                        the Agreement but may be maintained 
                        under the Agreement by reason of being 
                        in effect before the Agreement entered 
                        into force;
                          (ii) the States will be informed on a 
                        continuing basis of matters under the 
                        Agreement that directly relate to, or 
                        will potentially have a direct impact 
                        on, the States;
                          (iii) the States will be provided 
                        opportunity to submit, on a continuing 
                        basis, to the Trade Representative 
                        information and advice with respect to 
                        matters referred to in clause (ii);
                          (iv) the Trade Representative will 
                        take into account the information and 
                        advice received from the States under 
                        clause (iii) when formulating United 
                        States positions regarding matters 
                        referred to in clause (ii); and
                          (v) the States will be involved 
                        (including involvement through the 
                        inclusion of appropriate 
                        representatives of the States) to the 
                        greatest extent practicable at each 
                        stage of the development of United 
                        States positions regarding matters 
                        referred to in clause (ii) that will be 
                        addressed by committees, subcommittees, 
                        or working groups established under the 
                        Agreement or through dispute settlement 
                        processes provided for under the 
                        Agreement.
        The Federal Advisory Committee Act (5 U.S.C. App.) 
        shall not apply to the Federal-State consultation 
        process established by this paragraph.
          (2) Legal challenge.--No State law, or the 
        application thereof, may be declared invalid as to any 
        person or circumstance on the ground that the provision 
        or application is inconsistent with the Agreement, 
        except in an action brought by the United States for 
        the purpose of declaring such law or application 
        invalid.
          (3) Definition of state law.--For purposes of this 
        subsection, the term ``State law'' includes--
                  (A) any law of a political subdivision of a 
                State; and
                  (B) any State law regulating or taxing the 
                business of insurance.
    (c) Effect of Agreement With Respect to Private Remedies.--
No person other than the United States--
          (1) shall have any cause of action or defense under--
                  (A) the Agreement or by virtue of 
                Congressional approval thereof, or
                  (B) the North American Agreement on 
                Environmental Cooperation or the North American 
                Agreement on Labor Cooperation; or
          (2) may challenge, in any action brought under any 
        provision of law, any action or inaction by any 
        department, agency, or other instrumentality of the 
        United States, any State, or any political subdivision 
        of a State on the ground that such action or inaction 
        is inconsistent with the Agreement, the North American 
        Agreement on Environmental Cooperation, or the North 
        American Agreement on Labor Cooperation.

SEC. 103.\5\ CONSULTATION AND LAYOVER REQUIREMENTS FOR, AND EFFECTIVE 
                    DATE OF, PROCLAIMED ACTIONS.

    (a) Consultation and Layover Requirements.--If a provision 
of this Act provides that the implementation of an action by 
the President by proclamation is subject to the consultation 
and layover requirements of this section, such action may be 
proclaimed only if--
---------------------------------------------------------------------------
    \5\ 19 U.S.C. 3313. In a memorandum of September 29, 1995 (60 F.R. 
52061), the President delegated to the U.S. Trade Representative 
certain authority set forth in sec. 103(a) of this Act and sec. 115 of 
the Uruguay Round Agreements Act, as follows:
    ``(1) obtaining advice from the appropriate advisory committees and 
the U.S. International Trade Commission on the proposed implementation 
of an action by Presidential proclamation;
    ``(2) submitting a report on such action to the House Ways and 
Means and Senate Finance Committees; and
    ``(3) consulting with such committees during the 60-day period 
following the date on which the requirements under (1) and (2) have 
been met.
    ``The President retains the sole authority under the NAFTA Act and 
Uruguay Round Act to implement an action by proclamation after the 
consultation and layover requirements set forth in section 103(a)(1) 
through (4) and section 115 of such Acts, respectively, have been 
met.''.
---------------------------------------------------------------------------
          (1) the President has obtained advice regarding the 
        proposed action from--
                  (A) the appropriate advisory committees 
                established under section 135 of the Trade Act 
                of 1974, and
                  (B) the International Trade Commission;
          (2) the President has submitted a report to the 
        Committee on Ways and Means of the House of 
        Representatives and the Committee on Finance of the 
        Senate that sets forth--
                  (A) the action proposed to be proclaimed and 
                the reasons therefor, and
                  (B) the advice obtained under paragraph (1);
          (3) a period of 60 calendar days, beginning with the 
        first day on which the President has met the 
        requirements of paragraphs (1) and (2) with respect to 
        such action, has expired; and
          (4) the President has consulted with such Committees 
        regarding the proposed action during the period 
        referred to in paragraph (3).
    (b) Effective Date of Certain Proclaimed Actions.--Any 
action proclaimed by the President under the authority of this 
Act that is not subject to the consultation and layover 
requirements under subsection (a) may not take effect before 
the 15th day after the date on which the text of the 
proclamation is published in the Federal Register.

SEC. 104.\6\ IMPLEMENTING ACTIONS IN ANTICIPATION OF ENTRY INTO FORCE 
                    AND INITIAL REGULATIONS.

    (a) Implementing Actions.--After the date of the enactment 
of this Act--
---------------------------------------------------------------------------
    \6\ 19 U.S.C. 3314.
---------------------------------------------------------------------------
          (1) the President may proclaim such actions; and
          (2) other appropriate officers of the United States 
        Government may issue such regulations;
as may be necessary to ensure that any provision of this Act, 
or amendment made by this Act, that takes effect on the date 
the Agreement enters into force is appropriately implemented on 
such date, but no such proclamation or regulation may have an 
effective date earlier than the date of entry into force. The 
15-day restriction in section 103(b) on the taking effect of 
proclaimed actions is waived to the extent that the application 
of such restriction would prevent the taking effect on the date 
the Agreement enters into force of any action proclaimed under 
this section.
    (b) Initial Regulations.--Initial regulations necessary or 
appropriate to carry out the actions proposed in the statement 
of administrative action submitted under section 101(a)(2) to 
implement the Agreement shall, to the maximum extent feasible, 
be issued within 1 year after the date of entry into force of 
the Agreement; except that interim or initial regulations to 
implement those Uniform Regulations regarding rules of origin 
provided for under article 511 of the Agreement shall be issued 
no later than the date of entry into force of the Agreement. In 
the case of any implementing action that takes effect on a date 
after the date of entry into force of the Agreement, initial 
regulations to carry out that action shall, to the maximum 
extent feasible, be issued within 1 year after such effective 
date.

SEC. 105.\7\ UNITED STATES SECTION OF THE NAFTA SECRETARIAT.

    (a) Establishment of the United States Section.--The 
President is authorized to establish within any department or 
agency of the United States Government a United States Section 
of the Secretariat established under chapter 20 of the 
Agreement. The United States Section, subject to the oversight 
of the interagency group established under section 402, shall 
carry out its functions within the Secretariat to facilitate 
the operation of the Agreement, including the operation of 
chapters 19 and 20 of the Agreement and the work of the panels, 
extraordinary challenge committees, special committees, and 
scientific review boards convened under those chapters. The 
United States Section may not be considered to be an agency for 
purposes of section 552 of title 5, United States Code.
---------------------------------------------------------------------------
    \7\ 19 U.S.C. 3315.
---------------------------------------------------------------------------
    (b) Authorization of Appropriations.--There are authorized 
to be appropriated for each fiscal year after fiscal year 1993 
to the department or agency within which the United States 
Section is established the lesser of--
          (1) such sums as may be necessary; or
          (2) $2,000,000;
for the establishment and operations of the United States 
Section and for the payment of the United States share of the 
expenses of binational panels and extraordinary challenge 
committees convened under chapter 19, and of the expenses 
incurred in dispute settlement proceedings under chapter 20, of 
the Agreement.
    (c) Reimbursement of Certain Expenses.--If, in accordance 
with Annex 2002.2 of the Agreement, the Canadian Section or the 
Mexican Section of the Secretariat provides funds to the United 
States Section during any fiscal year, as reimbursement for 
expenses by the Canadian Section or the Mexican Section in 
connection with settlement proceedings under chapter 19 or 20 
of the Agreement, the United States Section may retain and use 
such funds to carry out the functions described in subsection 
(a).

SEC. 106.\8\ APPOINTMENTS TO CHAPTER 20 PANEL PROCEEDINGS.

    (a) Consultation.--The Trade Representative shall consult 
with the Committee on Ways and Means of the House of 
Representatives and the Committee on Finance of the Senate 
regarding the selection and appointment of candidates for the 
rosters described in article 2009 of the Agreement.
---------------------------------------------------------------------------
    \8\ 19 U.S.C. 3316.
---------------------------------------------------------------------------
    (b) Selection of Individuals With Environmental 
Expertise.--The United States shall, to the maximum extent 
practicable, encourage the selection of individuals who have 
expertise and experience in environmental issues for service in 
panel proceedings under chapter 20 of the Agreement to hear any 
challenge to a United States or State environmental law.

SEC. 107.\9\ TERMINATION OR SUSPENSION OF UNITED STATES-CANADA FREE-
                    TRADE AGREEMENT. * * *
---------------------------------------------------------------------------

    \9\ Sec. 107 amended sec. 501(c) of the United States-Canada Free-
Trade Implementation Act of 1988 (19 U.S.C. 2112 note).
---------------------------------------------------------------------------

SEC. 108.\10\ CONGRESSIONAL INTENT REGARDING FUTURE ACCESSIONS.

    (a) In General.--Section 101(a) may not be construed as 
conferring Congressional approval of the entry into force of 
the Agreement for the United States with respect to countries 
other than Canada and Mexico.
---------------------------------------------------------------------------
    \10\ 19 U.S.C. 3317.
---------------------------------------------------------------------------
    (b) Future Free Trade Area Negotiations.--
          (1) Findings.--The Congress makes the following 
        findings:
                  (A) Efforts by the United States to obtain 
                greater market opening through multilateral 
                negotiations have not produced agreements that 
                fully satisfy the trade negotiating objectives 
                of the United States.
                  (B) United States trade policy should provide 
                for additional mechanisms with which to pursue 
                greater market access for United States exports 
                of goods and services and opportunities for 
                export-related investment by United States 
                persons.
                  (C) Among the additional mechanisms should be 
                a system of bilateral and multilateral trade 
                agreements that provide greater market access 
                for United States exports and opportunities for 
                export-related investment by United States 
                persons.
                  (D) The system of trade agreements can and 
                should be structured to be consistent with, and 
                complementary to, existing international 
                obligations of the United States and ongoing 
                multilateral efforts to open markets.
          (2) Report on significant market opening.--No later 
        than May 1, 1994, and May 1, 1997, the Trade 
        Representative shall submit to the President, and to 
        the Committee on Finance of the Senate and the 
        Committee on Ways and Means of the House of 
        Representatives (hereafter in this section referred to 
        as the ``appropriate Congressional committees''), a 
        report which lists those foreign countries--
                  (A) that--
                          (i) currently provide fair and 
                        equitable market access for United 
                        States exports of goods and services 
                        and opportunities for export-related 
                        investment by United States persons, 
                        beyond what is required by existing 
                        multilateral trade agreements or 
                        obligations; or
                          (ii) have made significant progress 
                        in opening their markets to United 
                        States exports of goods and services 
                        and export-related investment by United 
                        States persons; and
                  (B) the further opening of whose markets has 
                the greatest potential to increase United 
                States exports of goods and services and 
                export-related investment by United States 
                persons, either directly or through the 
                establishment of a beneficial precedent.
          (3) Presidential determination.--The President, on 
        the basis of the report submitted by the Trade 
        Representative under paragraph (2), shall determine 
        with which foreign country or countries, if any, the 
        United States should seek to negotiate a free trade 
        area agreement or agreements.
          (4) Recommendations on future free trade area 
        negotiations.--No later than July 1, 1994, and July 1, 
        1997, the President shall submit to the appropriate 
        Congressional committees a written report that 
        contains--
                  (A) recommendations for free trade area 
                negotiations with each foreign country selected 
                under paragraph (3);
                  (B) with respect to each country selected, 
                the specific negotiating objectives that are 
                necessary to meet the objectives of the United 
                States under this section; and
                  (C) legislative proposals to ensure adequate 
                consultation with the Congress and the private 
                sector during the negotiations, advance 
                Congressional approval of the negotiations 
                recommended by the President, and Congressional 
                approval of any trade agreement entered into by 
                the President as a result of the negotiations.
          (5) General negotiating objectives.--The general 
        negotiating objectives of the United States under this 
        section are to obtain--
                  (A) preferential treatment for United States 
                goods;
                  (B) national treatment and, where 
                appropriate, equivalent competitive opportunity 
                for United States services and foreign direct 
                investment by United States persons;
                  (C) the elimination of barriers to trade in 
                goods and services by United States persons 
                through standards, testing, labeling, and 
                certification requirements;
                  (D) nondiscriminatory government procurement 
                policies and practices with respect to United 
                States goods and services;
                  (E) the elimination of other barriers to 
                market access for United States goods and 
                services, and the elimination of barriers to 
                foreign direct investment by United States 
                persons;
                  (F) the elimination of acts, policies, and 
                practices which deny fair and equitable market 
                opportunities, including foreign government 
                toleration of anticompetitive business 
                practices by private firms or among private 
                firms that have the effect of restricting, on a 
                basis that is inconsistent with commercial 
                considerations, purchasing by such firms of 
                United States goods and services;
                  (G) adequate and effective protection of 
                intellectual property rights of United States 
                persons, and fair and equitable market access 
                for United States persons that rely upon 
                intellectual property protection;
                  (H) the elimination of foreign export and 
                domestic subsidies that distort international 
                trade in United States goods and services or 
                cause material injury to United States 
                industries;
                  (I) the elimination of all export taxes;
                  (J) the elimination of acts, policies, and 
                practices which constitute export targeting; 
                and
                  (K) monitoring and effective dispute 
                settlement mechanisms to facilitate compliance 
                with the matters described in subparagraphs (A) 
                through (J).

SEC. 109.\11\ EFFECTIVE DATES; EFFECT OF TERMINATION OF NAFTA STATUS.

    (a) Effective Dates.--
---------------------------------------------------------------------------
    \11\ 19 U.S.C. 3311 note.
---------------------------------------------------------------------------
          (1) In general.--This title (other than the amendment 
        made by section 107) takes effect on the date of the 
        enactment of this Act.
          (2) Section 107 amendment.--The amendment made by 
        section 107 takes effect on the date the Agreement 
        enters into force between the United States and Canada.
    (b) Termination of NAFTA Status.--During any period in 
which a country ceases to be a NAFTA country, sections 101 
through 106 shall cease to have effect with respect to such 
country.

                   TITLE II--CUSTOMS PROVISIONS \12\
---------------------------------------------------------------------------

    \12\ Freestanding provisions in this title are codified at 19 
U.S.C. 3331-3335.
---------------------------------------------------------------------------
          * * * * * * *

    TITLE III--APPLICATION OF AGREEMENT TO SECTORS AND SERVICES \13\
---------------------------------------------------------------------------

    \13\ Freestanding provisions in this title are codified at: 19 
U.S.C. 3351-3382 (subtitle A--safeguards); 19 U.S.C. 3391 (subtitle B--
agriculture); 19 U.S.C. 3401 (subtitle D--temporary entry of business 
persons); and 19 U.S.C. 3421 (subtitle E, part 2--agricultural 
standards). Other subtitles (subtitle C--intellectual property; 
subtitle E, part 1--standards and measures; subtitle F--corporate 
average fuel economy; and subtitle G--government procurement) consist 
mostly of amendments to other legislation.
---------------------------------------------------------------------------
          * * * * * * *

  TITLE IV--DISPUTE SETTLEMENT IN ANTIDUMPING AND COUNTERVAILING DUTY 
                               CASES \14\
---------------------------------------------------------------------------

    \14\ Freestanding provisions in this title are codified at 19 
U.S.C. 3431-3438, 3451.
---------------------------------------------------------------------------
          * * * * * * *

 TITLE V--NAFTA TRANSITIONAL ADJUSTMENT ASSISTANCE AND OTHER PROVISIONS

          * * * * * * *

   Subtitle B--Provisions Relating to Performance Under the Agreement

          * * * * * * *

SEC. 512.\15\ REVIEW OF THE OPERATION AND EFFECTS OF THE AGREEMENT.

    (a) Study.--By not later than July 1, 1997, the President 
shall provide to the Congress a comprehensive study on the 
operation and effects of the Agreement. The study shall include 
an assessment of the following factors:
---------------------------------------------------------------------------
    \15\ 19 U.S.C. 3462.
---------------------------------------------------------------------------
          (1) The net effect of the Agreement on the economy of 
        the United States, including with respect to the United 
        States gross national product, employment, balance of 
        trade, and current account balance.
          (2) The industries (including agricultural 
        industries) in the United States that have 
        significantly increased exports to Mexico or Canada as 
        a result of the Agreement, or in which imports into the 
        United States from Mexico or Canada have increased 
        significantly as a result of the Agreement, and the 
        extent of any change in the wages, employment, or 
        productivity in each such industry as a result of the 
        Agreement.
          (3) The extent to which investment in new or existing 
        production or other operations in the United States has 
        been redirected to Mexico as a result of the Agreement, 
        and the effect on United States employment of such 
        redirection.
          (4) The extent of any increase in investment, 
        including foreign direct investment and increased 
        investment by United States investors, in new or 
        existing production or other operations in the United 
        States as a result of the Agreement, and the effect on 
        United States employment of such investment.
          (5) The extent to which the Agreement has contributed 
        to--
                  (A) improvement in real wages and working 
                conditions in Mexico,
                  (B) effective enforcement of labor and 
                environmental laws in Mexico, and
                  (C) the reduction or abatement of pollution 
                in the region of the United States-Mexico 
                border.
    (b) Scope.--In assessing the factors listed in subsection 
(a), to the extent possible, the study shall distinguish 
between the consequences of the Agreement and events that 
likely would have occurred without the Agreement. In addition, 
the study shall evaluate the effects of the Agreement relative 
to aggregate economic changes and, to the extent possible, 
relative to the effects of other factors, including--
          (1) international competition,
          (2) reductions in defense spending,
          (3) the shift from traditional manufacturing to 
        knowledge and information based economic activity, and
          (4) the Federal debt burden.
    (c) Recommendations of the President.--The study shall 
include any appropriate recommendations by the President with 
respect to the operation and effects of the Agreement, 
including recommendations with respect to the specific factors 
listed in subsection (a).
    (d) Recommendations of Certain Committees.--The President 
shall provide the study to the Committee on Ways and Means of 
the House of Representatives and the Committee on Finance of 
the Senate and any other committee that has jurisdiction over 
any provision of United States law that was either enacted or 
amended by the North American Free Trade Agreement 
Implementation Act. Each such committee may hold hearings and 
make recommendations to the President with respect to the 
operation and effects of the Agreement.
          * * * * * * *

SEC. 515. CENTER FOR THE STUDY OF WESTERN HEMISPHERIC TRADE.

    (a) \16\ Amendment to the CBI.--* * *
---------------------------------------------------------------------------
    \16\ Sec. 515(a) added a new sec. 219 to the Caribbean Basin 
Economic Recovery Act, to establish the Center for the Study of Western 
Hemispheric Trade.
---------------------------------------------------------------------------
    (b) Authorization of Appropriations.--There are authorized 
to be appropriated $10,000,000 for fiscal year 1994, and such 
sums as may be necessary in the 3 succeeding fiscal years to 
carry out the purposes of section 219 of the Caribbean Basin 
Economic Recovery Act (as added by subsection (a)).

SEC. 516. EFFECTIVE DATE.

    (a) In General.--Except as provided in subsection (b), the 
provisions of this subtitle shall take effect on the date the 
Agreement enters into force with respect to the United States.
    (b) Exception.--Section 515 shall take effect on the date 
of the enactment of this Act.
          * * * * * * *

      Subtitle D--Implementation of NAFTA Supplemental Agreements

          PART 1--AGREEMENTS RELATING TO LABOR AND ENVIRONMENT

SEC. 531.\17\ AGREEMENT ON LABOR COOPERATION.

    (a) Commission for Labor Cooperation.--
---------------------------------------------------------------------------
    \17\ 19 U.S.C. 3471.
---------------------------------------------------------------------------
          (1) Membership.--The United States is authorized to 
        participate in the Commission for Labor Cooperation in 
        accordance with the North American Agreement on Labor 
        Cooperation.
          (2) Contributions to budget.--There are authorized to 
        be appropriated to the President (or such agency as the 
        President may designate) $2,000,000 for each of fiscal 
        years 1994 and 1995 for United States contributions to 
        the annual budget of the Commission for Labor 
        Cooperation pursuant to Article 47 of the North 
        American Agreement on Labor Cooperation. Funds 
        authorized to be appropriated for such contributions by 
        this paragraph are in addition to any funds otherwise 
        available for such contributions. Funds authorized to 
        be appropriated by this paragraph are authorized to be 
        made available until expended.
    (b) Definitions.--As used in this section--
          (1) the term ``Commission for Labor Cooperation'' 
        means the commission established by Part Three of the 
        North American Agreement on Labor Cooperation; and
          (2) the term ``North American Agreement on Labor 
        Cooperation'' means the North American Agreement on 
        Labor Cooperation Between the Government of the United 
        States of America, the Government of Canada, and the 
        Government of the United Mexican States (signed at 
        Mexico City, Washington, and Ottawa on September 8, 9, 
        12, and 14, 1993).

SEC. 532.\18\ AGREEMENT ON ENVIRONMENTAL COOPERATION.

    (a) Commission for Environmental Cooperation.--
---------------------------------------------------------------------------
    \18\ 19 U.S.C. 3472.
---------------------------------------------------------------------------
          (1) Membership.--The United States is authorized to 
        participate in the Commission for Environmental 
        Cooperation in accordance with the North American 
        Agreement on Environmental Cooperation.
          (2) Contributions to budget.--There are authorized to 
        be appropriated to the President (or such agency as the 
        President may designate) $5,000,000 for each of fiscal 
        years 1994 and 1995 for United States contributions to 
        the annual budget of the Commission for Environmental 
        Cooperation pursuant to Article 43 of the North 
        American Agreement on Environmental Cooperation. Funds 
        authorized to be appropriated for such contributions by 
        this paragraph are in addition to any funds otherwise 
        available for such contributions. Funds authorized to 
        be appropriated by this paragraph are authorized to be 
        made available until expended.
    (b) Definitions.--As used in this section--
          (1) the term ``Commission for Environmental 
        Cooperation'' means the commission established by Part 
        Three of the North American Agreement on Environmental 
        Cooperation; and
          (2) the term ``North American Agreement on 
        Environmental Cooperation'' means the North American 
        Agreement on Environmental Cooperation Between the 
        Government of the United States of America, the 
        Government of Canada, and the Government of the United 
        Mexican States (signed at Mexico City, Washington, and 
        Ottawa on September 8, 9, 12, and 14, 1993).

SEC. 533.\19\ AGREEMENT ON BORDER ENVIRONMENT COOPERATION COMMISSION.

    (a) Border Environment Cooperation Commission.--
---------------------------------------------------------------------------
    \19\ 19 U.S.C. 3473.
---------------------------------------------------------------------------
          (1) Membership.--The United States is authorized to 
        participate in the Border Environment Cooperation 
        Commission in accordance with the Border Environment 
        Cooperation Agreement.
          (2) Contributions to the commission budget.--There 
        are authorized to be appropriated to the President (or 
        such agency as the President may designate) $5,000,000 
        for fiscal year 1994 and each fiscal year thereafter 
        for United States contributions to the budget of the 
        Border Environment Cooperation Commission pursuant to 
        section 7 of Article III of Chapter I of the Border 
        Environment Cooperation Agreement. Funds authorized to 
        be appropriated for such contributions by this 
        paragraph are in addition to any funds otherwise 
        available for such contributions. Funds authorized to 
        be appropriated by this paragraph are authorized to be 
        made available until expended.
    (b) Civil Actions Involving the Commission.--For the 
purpose of any civil action which may be brought within the 
United States by or against the Border Environment Cooperation 
Commission in accordance with the Border Environment 
Cooperation Agreement (including an action brought to enforce 
an arbitral award against the Commission), the Commission shall 
be deemed to be an inhabitant of the Federal judicial district 
in which its principal office within the United States, or its 
agent appointed for the purpose of accepting service or notice 
of service, is located. Any such action to which the Commission 
is a party shall be deemed to arise under the laws of the 
United States, and the district courts of the United States 
(including the courts enumerated in section 460 of title 28, 
United States Code) shall have original jurisdiction of any 
such action. When the Commission is a defendant in any action 
in a State court, it may at any time before trial remove the 
action into the appropriate district court of the United States 
by following the procedure for removal provided in section 1446 
of title 28, United States Code.
    (c) Definitions.--As used in this section--
          (1) the term ``Border Environment Cooperation 
        Agreement'' means the November 1993 Agreement Between 
        the Government of the United States of America and the 
        Government of the United Mexican States Concerning the 
        Establishment of a Border Environment Cooperation 
        Commission and a North American Development Bank;
          (2) the terms ``Border Environment Cooperation 
        Commission'' and ``Commission'' mean the commission 
        established pursuant to Chapter I of the Border 
        Environment Cooperation Agreement; and
          (3) the term ``United States'' means the United 
        States, its territories and possessions, and the 
        Commonwealth of Puerto Rico.

  PART 2--NORTH AMERICAN DEVELOPMENT BANK AND RELATED PROVISIONS \20\
---------------------------------------------------------------------------

    \20\ Part 2 authorized U.S. participation in the North American 
Development Bank. For text of part 2, see page 105.
---------------------------------------------------------------------------
          * * * * * * *

                  TITLE VI--CUSTOMS MODERNIZATION \21\
---------------------------------------------------------------------------

    \21\ Title VI amended various sections of the Tariff Act of 1930 
(19 U.S.C. 1202 et seq.) and other legislation relating to customs.
---------------------------------------------------------------------------
          * * * * * * *
                    (3) Andean Trade Preference Act

  Title II of Public Law 102-182 [H.R. 1724], 105 Stat. 1233 at 1236, 
approved December 4, 1991; amended by Public Law 102-583 [International 
  Narcotics Control Act of 1992; H.R. 6187], 106 Stat. 4914, approved 
  November 2, 1992; Public Law 103-465 [Uruguay Round Agreements Act; 
 H.R. 5110], 108 Stat. 4809, approved December 8, 1994; Public Law 104-
 188 [Small Job Business Protection Act of 1996; H.R. 3448], 110 Stat. 
     1755, approved August 20, 1996; Public Law 106-200 [Trade and 
  Development Act of 2000; H.R. 434], 114 Stat. 251, approved May 18, 
                                  2000

AN ACT To provide for the termination of the application of title IV of 
          the Trade Act of 1974 to Czechoslovakia and Hungary.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,
          * * * * * * *

            TITLE II--TRADE PREFERENCE FOR THE ANDEAN REGION

SEC. 201.\1\ SHORT TITLE.

    This title may be cited as the ``Andean Trade Preference 
Act''.
---------------------------------------------------------------------------
    \1\ 19 U.S.C. 3201 note.
---------------------------------------------------------------------------

SEC. 202.\2\ AUTHORITY TO GRANT DUTY-FREE TREATMENT.

    The President may proclaim duty-free treatment for all 
eligible articles from any beneficiary country in accordance 
with the provisions of this title.
---------------------------------------------------------------------------
    \2\ 19 U.S.C. 3201. Subdivision (ix)--Products of Countries 
Designated as Beneficiary Countries for Purposes of the Andean Trade 
Preference Act (ATPA)--was added to general note 3(c) of the Harmonized 
Tariff Schedule by Presidential Proclamation 6455 of July 2, 1992 (57 
F.R. 30069).
---------------------------------------------------------------------------

SEC. 203.\3\ BENEFICIARY COUNTRY.

    (a) Definitions.--For purposes of this title--
---------------------------------------------------------------------------
    \3\ 19 U.S.C. 3202.
---------------------------------------------------------------------------
          (1) The term ``beneficiary country'' means any 
        country listed in subsection (b)(1) with respect to 
        which there is in effect a proclamation by the 
        President designating such country as a beneficiary 
        country for purposes of this title.
          (2) The term ``entered'' means entered, or withdrawn 
        from warehouse for consumption, in the customs 
        territory of the United States.
          (3) The term ``HTS'' means Harmonized Tariff Schedule 
        of the United States.
    (b) Countries Eligible for Designation; Congressional 
Notification.--(1) In designating countries as beneficiary 
countries under this title, the President shall consider only 
the following countries or successor political entities:
          Bolivia \4\
---------------------------------------------------------------------------
    \4\ Bolivia was designated a beneficiary country for the purposes 
of the Andean Trade Preference Act by Presidential Proclamation 6456 of 
July 2, 1992 (57 F.R. 30097).
---------------------------------------------------------------------------
          Ecuador \5\
---------------------------------------------------------------------------
    \5\ Ecuador was designated a beneficiary country for the purposes 
of the Andean Trade Preference Act by Presidential Proclamation 6544 of 
April 13, 1993 (58 F.R. 19547).
---------------------------------------------------------------------------
          Colombia \6\
---------------------------------------------------------------------------
    \6\ Colombia was designated a beneficiary country for the purposes 
of the Andean Trade Preference Act (ATPA) in the same Presidential 
Proclamation which added the ATPA as subdivision (ix) of the general 
notes of the Harmonized Tariff Schedule (Presidential Proclamation 6455 
of July 2, 1992 (57 F.R. 30069).
---------------------------------------------------------------------------
          Peru.\7\
---------------------------------------------------------------------------
    \7\ Peru was designated a beneficiary country for the purposes of 
the Andean Trade Preference Act by Presidential Proclamation 6585 of 
August 11, 1993 (58 F.R. 43239). In a memorandum of June 25, 1993, 
however, to the United States Trade Representative (58 F.R. 34861), the 
President continued a review of alleged expropriation without 
compensation of property of a U.S. citizen in Peru.
---------------------------------------------------------------------------
    (2) Before the President designates any country as a 
beneficiary country for purposes of this title, he shall notify 
the House of Representatives and the Senate of his intention to 
make such designation, together with the considerations 
entering into such decision.
    (c) Limitations on Designation.--The President shall not 
designate any country a beneficiary country under this title--
          (1) if such country is a Communist country;
          (2) if such country--
                  (A) has nationalized, expropriated or 
                otherwise seized ownership or control of 
                property owned by a United States citizen or by 
                a corporation, partnership, or association 
                which is 50 percent or more beneficially owned 
                by United States citizens,
                  (B) has taken steps to repudiate or nullify--
                          (i) any existing contract or 
                        agreement with, or
                          (ii) any patent, trademark, or other 
                        intellectual property of,
                a United States citizen or a corporation, 
                partnership, or association, which is 50 
                percent or more beneficially owned by United 
                States citizens, the effect of which is to 
                nationalize, expropriate, or otherwise seize 
                ownership or control of property so owned, or
                  (C) has imposed or enforced taxes or other 
                exactions, restrictive maintenance or 
                operational conditions, or other measures with 
                respect to property so owned, the effect of 
                which is to nationalize, expropriate, or 
                otherwise seize ownership or control of such 
                property, unless the President determines 
                that--
                          (i) prompt, adequate, and effective 
                        compensation has been or is being made 
                        to such citizen, corporation, 
                        partnership, or association,
                          (ii) good-faith negotiations to 
                        provide prompt, adequate, and effective 
                        compensation under the applicable 
                        provisions of international law are in 
                        progress, or such country is otherwise 
                        taking steps to discharge its 
                        obligations under international law 
                        with respect to such citizen, 
                        corporation, partnership, or 
                        association, or
                          (iii) a dispute involving such 
                        citizen, corporation, partnership, or 
                        association, over compensation for such 
                        a seizure has been submitted to 
                        arbitration under the provisions of the 
                        Convention for the Settlement of 
                        Investment Disputes, or in another 
                        mutually agreed upon forum, and
                promptly furnishes a copy of such determination 
                to the Senate and House of Representatives;
          (3) if such country fails to act in good faith in 
        recognizing as binding or in enforcing arbitral awards 
        in favor of United States citizens or a corporation, 
        partnership, or association which is 50 percent or more 
        beneficially owned by United States citizens, which 
        have been made by arbitrators appointed for each case 
        or by permanent arbitral bodies to which the parties 
        involved have submitted their dispute;
          (4) if such country affords preferential treatment to 
        the products of a developed country, other than the 
        United States, and if such preferential treatment has, 
        or is likely to have, a significant adverse effect on 
        United States commerce, unless the President--
                  (A) has received assurances satisfactory to 
                him that such preferential treatment will be 
                eliminated or that action will be taken to 
                assure that there will be no such significant 
                adverse effect, and
                  (B) reports those assurances to the Congress;
          (5) if a government-owned entity in such country 
        engages in the broadcast of copyrighted material, 
        including films or television material, belonging to 
        United States copyright owners without their express 
        consent or such country fails to work towards the 
        provision of adequate and effective protection of 
        intellectual property rights;
          (6) unless such country is a signatory to a treaty, 
        convention, protocol, or other agreement regarding the 
        extradition of United States citizens; and
          (7) if such country has not or is not taking steps to 
        afford internationally recognized worker rights (as 
        defined in section 507(4) \8\ of the Trade Act of 1974) 
        to workers in the country (including any designated 
        zone in that country).
---------------------------------------------------------------------------
    \8\ Sec. 1954(a)(2) of Public Law 104-188 (110 Stat. 1927) struck 
out ``502(a)(4)'' and inserted in lieu thereof ``507(4)''.
---------------------------------------------------------------------------
Paragraphs (1), (2), (3), (5), and (7) shall not prevent the 
designation of any country as a beneficiary country under this 
title if the President determines that such designation will be 
in the national economic or security interest of the United 
States and reports such determination to the Congress with his 
reasons therefor.
    (d) Factors Affecting Designation.--In determining whether 
to designate any country a beneficiary country under this 
title, the President shall take into account--
          (1) an expression by such country of its desire to be 
        so designated;
          (2) the economic conditions in such country, the 
        living standards of its inhabitants, and any other 
        economic factors which he deems appropriate;
          (3) the extent to which such country has assured the 
        United States it will provide equitable and reasonable 
        access to the markets and basic commodity resources of 
        such country;
          (4) the degree to which such country follows the 
        accepted rules of international trade provided for 
        under the WTO Agreement and the multilateral trade 
        agreements (as such terms are defined in paragraphs (9) 
        and (4), respectively, of section 2 of the Uruguay 
        Round Agreements Act); \9\
---------------------------------------------------------------------------
    \9\ Sec. 621(a)(3) of Public Law 103-465 (108 Stat. 4992) struck 
out ``General Agreement on Tariffs and Trade, as well as applicable 
trade agreements approved under section 2(a) of the Trade Agreements 
Act of 1979'', and inserted in lieu thereof ``WTO Agreement and the 
multilateral trade agreements (as such terms are defined in paragraphs 
(9) and (4), respectively, of section 2 of the Uruguay Round Agreements 
Act)''.
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          (5) the degree to which such country uses export 
        subsidies or imposes export performance requirements or 
        local content requirements which distort international 
        trade;
          (6) the degree to which the trade policies of such 
        country as they relate to other beneficiary countries 
        are contributing to the revitalization of the region;
          (7) the degree to which such country is undertaking 
        self-help measures to protect its own economic 
        development;
          (8) whether or not such country has taken or is 
        taking steps to afford to workers in that country 
        (including any designated zone in that country) 
        internationally recognized worker rights;
          (9) the extent to which such country provides under 
        its law adequate and effective means for foreign 
        nationals to secure, exercise, and enforce exclusive 
        rights in intellectual property, including patent, 
        trademark, and copyright rights;
          (10) the extent to which such country prohibits its 
        nationals from engaging in the broadcast of copyrighted 
        material, including films or television material, 
        belonging to United States copyright owners without 
        their express consent;
          (11) whether such country has met the narcotics 
        cooperation certification criteria set forth in section 
        490 \10\ of the Foreign Assistance Act of 1961 for 
        eligibility for United States assistance; and
---------------------------------------------------------------------------
    \10\ Formerly read ``section 481(h)(2)(A)''. Sec. 6(a) of the 
International Narcotics Control Act of 1992 (Public Law 102-583; 106 
Stat. 4932) provided that ``any reference in any provision of law 
enacted before the date of enactment of this Act to section 481(h) of 
that Act shall be deemed, as of October 1, 1992, to be a reference to 
section 490.''.
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          (12) the extent to which such country is prepared to 
        cooperate with the United States in the administration 
        of the provisions of this Act.
    (e) Withdrawal or Suspension of Designation.--(1) The 
President may--
          (A) withdraw or suspend the designation of any 
        country as a beneficiary country, or
          (B) withdraw, suspend, or limit the application of 
        duty-free treatment under this title to any article of 
        any country, if, after such designation, the President 
        determines that as a result of changed circumstances 
        such a country should be barred from designation as a 
        beneficiary country.
    (2)(A) The President shall publish in the Federal Register 
notice of the action the President proposes to take under 
paragraph (1) at least 30 days before taking such action.
    (B) The United States Trade Representative shall, within 
the 30-day period beginning on the date on which the President 
publishes under subparagraph (A) notice of proposed action--
          (i) accept written comments from the public regarding 
        such proposed action,
          (ii) hold a public hearing on such proposed action, 
        and
          (iii) publish in the Federal Register--
                  (I) notice of the time and place of such 
                hearing prior to the hearing, and
                  (II) the time and place at which such written 
                comments will be accepted.
    (f) \11\ Report.--Not later than January 31, 2001, the 
President shall submit to the Congress a complete report 
regarding the operation of this title, including the results of 
a general review of beneficiary countries based on the 
considerations described in subsections (c) and (d). In 
reporting on the considerations described in subsection 
(d)(11), the President shall report any evidence that the crop 
eradication and crop substitution efforts of the beneficiary 
are directly related to the effects of this title.
---------------------------------------------------------------------------
    \11\ Sec. 211(c)(2) of Public Law 106-200 (114 Stat. 287) struck 
out ``Triennial Report'' and inserted in lieu thereof ``Report'', and 
struck out ``On or before'' and all that follows through ``enactment of 
this title'' and inserted ``Not later than January 31, 2001.'' The 
subsection originally read as follows:
    ``Triennial Report.--On or before the 3rd, 6th, and 9th 
anniversaries of the date of the enactment of this title, * * *''.
---------------------------------------------------------------------------

SEC. 204.\12\ ELIGIBLE ARTICLES.

    (a) In General.--(1) Unless otherwise excluded from 
eligibility by this title, the duty-free treatment provided 
under this title shall apply to any article which is the 
growth, product, or manufacture of a beneficiary country if--
---------------------------------------------------------------------------
    \12\ 19 U.S.C. 3203.
---------------------------------------------------------------------------
          (A) that article is imported directly from a 
        beneficiary country into the customs territory of the 
        United States; and
          (B) the sum of--
                  (i) the cost or value of the materials 
                produced in a beneficiary country or 2 or more 
                beneficiary countries under this Act, or a 
                beneficiary country under the Caribbean Basin 
                Economic Recovery Act or 2 or more such 
                countries, plus
                  (ii) the direct costs of processing 
                operations performed in a beneficiary country 
                or countries (under this Act or the Caribbean 
                Basin Economic Recovery Act),
        is not less than 35 percent of the appraised value of 
        such article at the time it is entered.
For purposes of determining the percentage referred to in 
subparagraph (B), the term ``beneficiary country'' includes the 
Commonwealth of Puerto Rico and the United States Virgin 
Islands. If the cost or value of materials produced in the 
customs territory of the United States (other than the 
Commonwealth of Puerto Rico) is included with respect to an 
article to which this paragraph applies, an amount not to 
exceed 15 percent of the appraised value of the article at the 
time it is entered that is attributed to such United States 
cost or value may be applied toward determining the percentage 
referred to in subparagraph (B).
    (2) The Secretary of the Treasury shall prescribe such 
regulations as may be necessary to carry out subsection (a) 
including, but not limited to, regulations providing that, in 
order to be eligible for duty-free treatment under this title, 
an article must be wholly the growth, product, or manufacture 
of a beneficiary country, or must be a new or different article 
of commerce which has been grown, produced, or manufactured in 
the beneficiary country; but no article or material of a 
beneficiary country shall be eligible for such treatment by 
virtue of having merely undergone--
          (A) simple combining or packaging operations, or
          (B) mere dilution with water or mere dilution with 
        another substance that does not materially alter the 
        characteristics of the article.
    (3) As used in this subsection, the phrase ``direct costs 
of processing operations'' includes, but is not limited to--
          (A) all actual labor costs involved in the growth, 
        production, manufacture, or assembly of the specific 
        merchandise, including fringe benefits, on-the-job 
        training and the cost of engineering, supervisory, 
        quality control, and similar personnel; and
          (B) dies, molds, tooling, and depreciation on 
        machinery and equipment which are allocable to the 
        specific merchandise.
Such phrase does not include costs which are not directly 
attributable to the merchandise concerned or are not costs of 
manufacturing the product, such as (i) profit, and (ii) general 
expense of doing business which are either not allocable to the 
specific merchandise or are not related to the growth, 
production, manufacture, or assembly of the merchandise, such 
as administrative salaries, casualty and liability insurance, 
advertising, interest, and salesmen's salaries, commissions or 
expenses.
    (4) If the President, pursuant to section 223 of the 
Caribbean Basin Economic Recovery Expansion Act of 1990, 
considers that the implementation of revised rules of origin 
for products of beneficiary countries designated under the 
Caribbean Basin Economic Recovery Act (19 U.S.C. 2701 et seq.) 
would be appropriate, the President may include similarly 
revised rules of origin for products of beneficiary countries 
designated under this title in any suggested legislation 
transmitted to the Congress that contains such rules of origin 
for products of beneficiary countries under the Caribbean Basin 
Economic Recovery Act.
    (b) Exceptions to Duty-Free Treatment.--The duty-free 
treatment provided under this title shall not apply to--
          (1) textile and apparel articles which are subject to 
        textile agreements;
          (2) footwear not designated at the time of the 
        effective date of this Act as eligible for the purpose 
        of the generalized system of preferences under title V 
        of the Trade Act of 1974;
          (3) tuna, prepared or preserved in any manner, in 
        airtight containers;
          (4) petroleum, or any product derived from petroleum, 
        provided for in headings 2709 and 2710 of the HTS;
          (5) watches and watch parts (including cases, 
        bracelets and straps), of whatever type including, but 
        not limited to, mechanical, quartz digital or quartz 
        analog, if such watches or watch parts contain any 
        material which is the product of any country with 
        respect to which HTS column 2 rates of duty apply;
          (6) articles to which reduced rates of duty apply 
        under subsection (c);
          (7) sugars, syrups, and molasses classified in 
        subheadings 1701.11.03, 1701.12.02, 1701.99.02, 
        1702.90.32, 1806.10.42, and 2106.90.12 of the HTS; or
          (8) rum and tafia classified in subheading 2208.40.00 
        of the HTS.
    (c) Duty Reductions for Certain Goods.--(1) Subject to 
paragraph (2), the President shall proclaim reductions in the 
rates of duty on handbags, luggage, flat goods, work gloves, 
and leather wearing apparel that--
          (A) are the product of any beneficiary country; and
          (B) were not designated on August 5, 1983, as 
        eligible articles for purposes of the generalized 
        system of preferences under title V of the Trade Act of 
        1974.
    (2) The reduction required under paragraph (1) in the rate 
of duty on any article shall--
          (A) result in a rate that is equal to 80 percent of 
        the rate of duty that applies to the article on 
        December 31, 1991, except that, subject to the 
        limitations in paragraph (3), the reduction may not 
        exceed 2.5 percent ad valorem; and
          (B) be implemented in 5 equal annual stages with the 
        first \1/5\ of the aggregate reduction in the rate of 
        duty being applied to entries, or withdrawals from 
        warehouse for consumption, of the article on or after 
        January 1, 1992.
    (3) The reduction required under this subsection with 
respect to the rate of duty on any article is in addition to 
any reduction in the rate of duty on that article that may be 
proclaimed by the President as being required or appropriate to 
carry out any trade agreement entered into under the Uruguay 
Round of trade negotiations; except that if the reduction so 
proclaimed--
          (A) is less than 1.5 percent ad valorem, the 
        aggregate of such proclaimed reduction and the 
        reduction under this subsection may not exceed 3.5 
        percent ad valorem, or
          (B) is 1.5 percent ad valorem or greater, the 
        aggregate of such proclaimed reduction and the 
        reduction under this subsection may not exceed the 
        proclaimed reduction plus 1 percent ad valorem.
    (d) Suspension of Duty-Free Treatment.--(1) The President 
may by proclamation suspend the duty-free treatment provided by 
this title with respect to any eligible article and may 
proclaim a duty rate for such article if such action is 
proclaimed under chapter 1 of title II of the Trade Act of 1974 
or section 232 of the Trade Expansion Act of 1962.
    (2) In any report by the United States International Trade 
Commission to the President under section 202(f) of the Trade 
Act of 1974 regarding any article for which duty-free treatment 
has been proclaimed by the President pursuant to this title, 
the Commission shall state whether and to what extent its 
findings and recommendations apply to such article when 
imported from beneficiary countries.
    (3) For purposes of section 203 of the Trade Act of 1974, 
the suspension of the duty-free treatment provided by this 
title shall be treated as an increase in duty.
    (4) No proclamation providing solely for a suspension 
referred to in paragraph (3) of this subsection with respect to 
any article shall be taken under section 203 of the Trade Act 
of 1974 unless the United States International Trade 
Commission, in addition to making an affirmative determination 
with respect to such article under section 202(b) of the Trade 
Act of 1974, determines in the course of its investigation 
under such section that the serious injury (or threat thereof) 
substantially caused by imports to the domestic industry 
producing a like or directly competitive article results from 
the duty-free treatment provided by this title.
    (5)(A) Any action taken under section 203 of the Trade Act 
of 1974 that is in effect when duty-free treatment is 
proclaimed under section 202 of this title shall remain in 
effect until modified or terminated.
    (B) If any article is subject to any such action at the 
time duty-free treatment is proclaimed under section 202 of 
this title, the President may reduce or terminate the 
application of such action to the importation of such article 
from beneficiary countries prior to the otherwise scheduled 
date on which such reduction or termination would occur 
pursuant to the criteria and procedures of section 204 of the 
Trade Act of 1974.
    (e) Emergency Relief With Respect to Perishable Products.--
(1) If a petition is filed with the United States International 
Trade Commission pursuant to the provisions of section 201 of 
the Trade Act of 1974 regarding a perishable product and 
alleging injury from imports from beneficiary countries, then 
the petition may also be filed with the Secretary of 
Agriculture with a request that emergency relief be granted 
pursuant to paragraph (3) of this subsection with respect to 
such article.
    (2) Within 14 days after the filing of a petition under 
paragraph (1) of this subsection--
          (A) if the Secretary of Agriculture has reason to 
        believe that a perishable product from a beneficiary 
        country is being imported into the United States in 
        such increased quantities as to be a substantial cause 
        of serious injury, or the threat thereof, to the 
        domestic industry producing a perishable product like 
        or directly competitive with the imported product and 
        that emergency action is warranted, he shall advise the 
        President and recommend that the President take 
        emergency action; or
          (B) the Secretary of Agriculture shall publish a 
        notice of his determination not to recommend the 
        imposition of emergency action and so advise the 
        petitioner.
    (3) Within 7 days after the President receives a 
recommendation from the Secretary of Agriculture to take 
emergency action pursuant to paragraph (2) of this subsection, 
he shall issue a proclamation withdrawing the duty-free 
treatment provided by this title or publish a notice of his 
determination not to take emergency action.
    (4) The emergency action provided by paragraph (3) of this 
subsection shall cease to apply--
          (A) upon the taking of action under section 203 of 
        the Trade Act of 1974,
          (B) on the day a determination by the President not 
        to take action under section 203(b)(2) of such Act 
        becomes final,
          (C) in the event of a report of the United States 
        International Trade Commission containing a negative 
        finding, on the day of the Commission's report is 
        submitted to the President, or
          (D) whenever the President determines that because of 
        changed circumstances such relief is no longer 
        warranted.
    (5) For purposes of this subsection, the term ``perishable 
product' means--
          (A) live plants and fresh cut flowers provided for in 
        chapter 6 of the HTS;
          (B) fresh or chilled vegetables provided for in 
        headings 0701 through 0709 (except subheading 
        0709.52.00) and heading 0714 of the HTS;
          (C) fresh fruit provided for in subheadings 0804.20 
        through 0810.90 (except citrons of subheadings 
        0805.90.00, tamarinds and kiwi fruit of subheading 
        0810.90.20, and cashew apples, mameyes colorados, 
        sapodillas, soursops and sweetsops of subheading 
        0810.90.40) of the HTS; or
          (D) concentrated citrus fruit juice provided for in 
        subheadings 2009.11.00, 2009.19.40, 2009.20.40, 
        2009.30.20, and 2009.30.60 of the HTS.
    (f) Section 22 Fees.--No proclamation issued pursuant to 
this title shall affect fees imposed pursuant to section 22 of 
the Agricultural Adjustment Act of 1933 (7 U.S.C. 624).
    (g) \13\ Tariff-Rate Quotas.--No quantity of an 
agricultural product subject to a tariff-rate quota that 
exceeds the in-quota quantity shall be eligible for duty-free 
treatment under this Act.
---------------------------------------------------------------------------
    \13\ Sec. 404(e)(2) of Public Law 103-465 (108 Stat. 4961) added 
subsec. (g).
---------------------------------------------------------------------------

SEC. 205. RELATED AMENDMENTS.

    (a) Increase in Duty-Free Tourist Allowance.--Note 4 to 
subchapter IV of chapter 98 of the HTS is amended by inserting 
before the period the following: ``or a country designated as a 
beneficiary country under the Andean Trade Preference Act''.
    (b) Treatment of Insular Possessions Products.--General 
Note 3(a)(iv) of the HTS (relating to products of the insular 
possessions) is amended by adding at the end thereof the 
following:
          ``(E) Subject to the provisions in section 204 of the 
        Andean Trade Preference Act, goods which are imported 
        from insular possessions of the United States shall 
        receive duty treatment no less favorable than the 
        treatment afforded such goods when they are imported 
        from a beneficiary country under such Act.''.

SEC. 206.\14\ INTERNATIONAL TRADE COMMISSION REPORTS ON IMPACT OF THE 
                    ANDEAN TRADE PREFERENCE ACT.

  (a) Reporting Requirements.--
---------------------------------------------------------------------------
    \14\ 19 U.S.C. 3204. Sec. 211(d)(2) of Public Law 106-200 (114 
Stat. 287) amended subsec. (a). It previously read as follows:
    ``(a) In General.--The United States International Trade Commission 
(hereinafter in this section referred to as the `Commission') shall 
prepare, and submit to the Congress, a report regarding the economic 
impact of this title on United States industries and consumers, and, in 
conjunction with other agencies, the effectiveness of this title in 
promoting drug-related crop eradication and crop substitution efforts 
of the beneficiary countries, during--
---------------------------------------------------------------------------

          ``(1) the 24-month period beginning with the date of 
        enactment of this title; and
          ``(2) each calendar year occurring thereafter until duty-free 
        treatment under this title is terminated under section 208(b). 
        For purposes of this section, industries in the Commonwealth of 
        Puerto Rico and the insular possessions of the United States 
        shall be considered to be United States industries.''.
          (1) In general.--The United States International 
        Trade Commission (in this section referred to as the 
        `Commission') shall submit to Congress and the 
        President biennial reports regarding the economic 
        impact of this title on United States industries and 
        consumers, and, in conjunction with other agencies, the 
        effectiveness of this title in promoting drug-related 
        crop eradication and crop substitution efforts of the 
        beneficiary countries.
          (2) Submission.--During the period that this title is 
        in effect, the report required by paragraph (1) shall 
        be submitted on December 31 of each year that the 
        report required by section 215 of the Caribbean Basin 
        Economic Recovery Act is not submitted.
          (3) Treatment of puerto rico, etc.--For purposes of 
        this section, industries in the Commonwealth of Puerto 
        Rico and the insular possessions of the United States 
        are considered to be United States industries.''.
    (b) Report Requirements.--(1) Each report required under 
subsection (a) shall include, but not be limited to, an 
assessment by the Commission regarding--
          (A) the actual effect, during the period covered by 
        the report, of this title on the United States economy 
        generally as well as on those specific domestic 
        industries which produce articles that are like, or 
        directly competitive with, articles being imported into 
        the United States from beneficiary countries;
          (B) the probable future effect that this title will 
        have on the United States economy generally, as well as 
        on such domestic industries, before the provisions of 
        this title terminate; and
          (C) the estimated effect that this title has had on 
        the drug-related crop eradication and crop substitution 
        efforts of the beneficiary countries.
    (2) In preparing the assessments required under paragraph 
(1), the Commission shall, to the extent practicable--
          (A) analyze the production, trade and consumption of 
        United States products affected by this title, taking 
        into consideration employment, profit levels, and use 
        of productive facilities with respect to the domestic 
        industries concerned, and such other economic factors 
        in such industries as it considers relevant, including 
        prices, wages, sales, inventories, patterns of demand, 
        capital investment, obsolescence of equipment, and 
        diversification of production; and
          (B) describe the nature and extent of any significant 
        change in employment, profit levels, and use of 
        productive facilities, and such other conditions as it 
        deems relevant in the domestic industries concerned, 
        which it believes are attributable to this title.
    (c) Submission Dates; Public Comment.--(1) Each report 
required under subsection (a) shall be submitted to the 
Congress before the close of the 9-month period beginning on 
the day after the last day of the period covered by the report.
    (2) The Commission shall provide an opportunity for the 
submission by the public, either orally or in writing, or both, 
of information relating to matters that will be addressed in 
the reports.

SEC. 207.\15\ IMPACT STUDY BY SECRETARY OF LABOR.

    The Secretary of Labor, in consultation with other 
appropriate Federal agencies, shall undertake a continuing 
review and analysis of the impact that the implementation of 
the provisions of this title has with respect to United States 
labor; and shall make an annual written report to Congress on 
the results of such review and analysis.
---------------------------------------------------------------------------
    \15\ 19 U.S.C. 3205.
---------------------------------------------------------------------------

SEC. 208.\16\ EFFECTIVE DATE AND TERMINATION OF DUTY-FREE TREATMENT.

    (a) Effective Date.--This title shall take effect on the 
date of enactment.
---------------------------------------------------------------------------
    \16\ 19 U.S.C. 3206.
---------------------------------------------------------------------------
    (b) Termination of Duty-Free Treatment.--No duty-free 
treatment extended to beneficiary countries under this title 
shall remain in effect 10 years after the date of the enactment 
of this title.
      (4) Caribbean Basin Economic Recovery Expansion Act of 1990

  Title II of Public Law 101-382 [Customs and Trade Act of 1990; H.R. 
         1594], 104 Stat. 629 at 655, approved August 20, 1990

              TITLE II--CARIBBEAN BASIN ECONOMIC RECOVERY

                  Subtitle A--Short Title and Findings

SEC. 201.\1\ SHORT TITLE.

    This title may be cited as the ``Caribbean Basin Economic 
Recovery Expansion Act of 1990''.
---------------------------------------------------------------------------
    \1\ 19 U.S.C. 2701 note.
---------------------------------------------------------------------------

SEC. 202.\1\ CONGRESSIONAL FINDINGS.

    The Congress finds that--
          (1) a stable political and economic climate in the 
        Caribbean region is necessary for the development of 
        the countries in that region and for the security and 
        economic interests of the United States;
          (2) the Caribbean Basin Economic Recovery Act was 
        enacted in 1983 to assist in the achievement of such a 
        climate by stimulating the development of the export 
        potential of the region; and
          (3) the commitment of the United States to the 
        successful development of the region, as evidenced by 
        the enactment of the Caribbean Basin Economic Recovery 
        Act, should be reaffirmed, and further strengthened, by 
        amending that Act to improve its operation.

Subtitle B--Amendments to the Caribbean Basin Economic Recovery Act and 
                         Related Provisions \2\

          * * * * * * *
---------------------------------------------------------------------------
    \2\ See Caribbean Basin Economic Recovery Act beginning at page 
866. This subtitle also amended the Harmonized Tariff Schedule of the 
United States, the Tariff Act of 1930, the Steel Trade Liberalization 
Program Implementation Act, the Trade Act of 1974, and the Internal 
Revenue Code of 1986.
---------------------------------------------------------------------------

SEC. 216. APPLICATION OF ACT IN EASTERN CARIBBEAN AREA.

    It is the sense of the Congress that there should be 
undertaken special efforts in order to improve the ability of 
the Organization of Eastern Caribbean States countries and 
Belize to benefit from the Caribbean Basin Economic Recovery 
Act.

        Subtitle C--Scholarship Assistance and Tourism Promotion

SEC. 231.\3\ COOPERATIVE PUBLIC AND PRIVATE SECTOR PROGRAM FOR 
                    PROVIDING SCHOLARSHIPS TO STUDENTS FROM THE 
                    CARIBBEAN AND CENTRAL AMERICA.

    (a) Statement of Purpose.--It is the purpose of this 
section to encourage the establishment of partnerships between 
State governments, universities, community colleges, and 
businesses to support scholarships for talented socially and 
economically disadvantaged students from eligible countries in 
the Caribbean and Central America to study in the United States 
in order to--
---------------------------------------------------------------------------
    \3\ 20 U.S.C. 226.
---------------------------------------------------------------------------
          (1) improve the diversity and quality of educational 
        opportunities for such students;
          (2) assist the development efforts of eligible 
        countries by providing training and educational 
        assistance to persons who can help address the social 
        and economic needs of these countries;
          (3) expand opportunities for cross-cultural studies 
        and exchanges and improve the exchange of understanding 
        and principles of democracy;
          (4) promote positive and productive relationships 
        between the United States and its neighbor countries in 
        the Caribbean and Central American regions;
          (5) give added visibility and focus to the 
        ``scholarship diplomacy'' efforts of the United State 
        Government by leveraging the monies available for this 
        purpose through the development of partnerships among 
        Federal, State,and local governments and the business 
        and academic communities; and
          (6) promote community involvement with the 
        scholarship program as a tool for broadening and 
        strengthening the ``American experience'' for foreign 
        students.
    (b) Establishment of Scholarship Program.--The 
Administrator of the Agency for International Development shall 
establish and administer a program of scholarship assistance, 
in cooperation with State governments, universities, community 
colleges, and businesses, to provide scholarships to enable 
countries in the Caribbean and Central America to study in the 
United States.
    (c) Grants to States.--In carrying out this section, the 
Administrator may make grants to States to provide scholarship 
assistance for undergraduate degree programs and for training 
programs of one year or longer in study areas related to the 
critical development needs of the students' respective 
countries.
    (d) Agreement With States.--The Administrator and each 
participating State shall agree on a program regarding the 
educational opportunities available within the State, the 
selection and assignment of scholarship recipients, and related 
issues. To the maximum extent practicable, each State shall be 
given flexibility in designing its program.
    (e) Federal Share.--The Federal share for each year for 
which a State receives payments under this section shall be not 
less than 50 percent.
    (f) Non-Federal Share.--The non-Federal share of payments 
under this section may be in cash, including the waiver of 
tuition or the offering of in-State tuition or housing waivers 
or subsidies, or in-kind fairly evaluated, including the 
provision of books or supplies.
    (g) Forgiveness of Scholarship Assistance.--The obligation 
of any recipient to reimburse any entity for any or all 
scholarship assistance provided under this section shall be 
forgiven upon the recipient's prompt return to his or her 
country of domicile for a period which is at least one year 
longer than the period spent studying in the United States with 
scholarship assistance.
    (h) Private Sector Participation.--To the maximum extent 
practicable, each participating State shall enlist the 
assistance of the private sector to enable the State to meet 
the non-Federal share of payments under this section. Wherever 
appropriate, each participating State shall encourage the 
private sector to offer internships or other opportunities 
consistent with the purposes of this section to students 
receiving scholarships under this section.
    (i) Funding.--Any funds used in carrying out this section 
shall be derived from funds allocated for Latin American and 
Caribbean regional programs under chapter 4 of part II of the 
Foreign Assistance Act of 1961 (22 U.S.C. 2346 and following; 
relating to the economic support fund).
    (j) Definitions.--As used in this section--
          (1) The term ``eligible country'' means any country--
                  (A) which is receiving assistance under 
                chapter 1 of part I of the Foreign Assistance 
                Act of 1961 (22 U.S.C. 2151 and following;; 
                relating to development assistance) or chapter 
                4 of part II of that Act (22 U.S.C. 2346 and 
                following; relating to the economic support 
                fund); and
                  (B) which is designated by the President as a 
                beneficiary country pursuant to the Caribbean 
                Basin Economic Recovery Act.
          (2) The term ``State'' means each of the several 
        States, the District of Columbia, the Commonwealth of 
        Puerto Rico, Guam, American Samoa, the Virgin Islands, 
        the Trust Territory of the Pacific Islands, and the 
        Commonwealth of the Northern Mariana Islands.

SEC. 232. PROMOTION OF TOURISM.

    (a) Congressional Finding.--The Congress finds that the 
tourism industry must be recognized as a central element in the 
economic development and political stability of the Caribbean 
Basin region because of the potential that the industry has for 
increasing employment and foreign exchange earnings, 
establishing important linkages with other related sectors, and 
having a positive complementary effect on trade with the United 
States.
    (b) Federal Agency Priority.--It is the sense of the 
Congress that increased tourism and related activities should 
be developed in the Caribbean Basin region as a central part of 
the Caribbean Basin Initiative program and, to that end, the 
appropriate agencies of the United States Government should 
assign a high priority to projects that promote the tourism 
industry in the Caribbean Basin.
    (c) Study.--The Secretary of Commerce shall complete the 
study begun in 1986 regarding tourism development strategies 
for the Caribbean Basin region. The study shall include--
          (1) information on the mutual benefits received by 
        the United States and the Caribbean Basin economies as 
        a result of tourist activity in the area; and
          (2) proposals for developing increased linkages 
        between the tourism industry and local industries in 
        the region such as the agrobusiness.\4\
---------------------------------------------------------------------------
    \4\ Should read ``agribusiness''.
---------------------------------------------------------------------------

SEC. 233.\5\ PILOT PRECLEARANCE PROGRAM.

    (a) Establishment of Program.--Subject to subsection (b), 
the Commissioner of Customs shall carry out, during fiscal 
years 1991 and 1992, preclearance operations at a facility of 
the United States Customs Service in a country within the 
Caribbean Basin which the Commissioner of Customs considers 
appropriate for testing the extent to which the availability of 
preclearance operations can assist in the development of 
tourism.
---------------------------------------------------------------------------
    \5\ 19 U.S.C. 2071 note.
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    (b) Restrictions Regarding Program.--
          (1) The Commissioner of Customs may not consider a 
        country within the Caribbean Basin to be appropriate 
        for the testing referred to in subsection (a) if 
        preclearance operations are currently carried out by 
        the United States Customs Service in that country.
          (2) Preclearance operations may not be commenced in 
        the country selected for testing under subsection (a) 
        unless the commissioner of Customs and the Commissioner 
        of Immigration and Naturalization jointly certify 
        that--
                  (A) there exists a bilateral agreement 
                between the United States Government and the 
                government of such country which protects the 
                interests of the United States and affords 
                diplomatic protection to United States 
                employees working at the preclearance location;
                  (B) the facilities at the preclearance 
                location conform to Federal Inspection Services 
                standards and are suitable for the duties to be 
                performed therein;
                  (C) there is adequate security around the 
                structure used for the reception of 
                international arrivals;
                  (D) the government of such country grants the 
                United States Customs Service and the United 
                States Immigration and Naturalization Service 
                appropriate search, seizure, and arrest 
                authority; and
                  (E) United State employees and their families 
                will not be subject to fear of reprisal, acts 
                of terrorism, and threats of intimidation.
          (3) In determining the country in which to establish 
        the operation described in paragraph (1), the 
        Commission of Customs and the Commissioner of 
        Immigration and Naturalization shall first determine 
        the viability of establishing such operations in either 
        Aruba or Jamaica. If the Commissioners determine, after 
        full consultation with the governments of such 
        countries, that it is not viable to establish pre-
        clearance operations in either Aruba or Jamaica, they 
        shall so report to the Committee on Finance of the 
        Senate and the Committee on Ways and Means of the House 
        of Representatives, including an explanation of how 
        this determination was reached. Such report shall be 
        submitted to those Committees within six months after 
        the date of the enactment of this Act. Following the 
        submission of such a report, the Commissioners shall 
        take all necessary steps, consistent with the 
        requirements of this section, to establish such 
        operations in another country.
    (c) Report.--As soon as practicable after September 30, 
1992, the Commissioner of Customs shall submit to the Congress 
a report regarding the preclearance operations program carried 
out under subsection (a). The report shall include--
          (1) a summary of the preclearance operations, 
        including the number of individuals processed, any 
        administrative problems encountered, and cost of the 
        operations;
          (2) an evaluation of the extent to which the 
        preclearance operations contributed to--
                  (A) the stimulation of the tourism industry 
                of the country concerned, and
                  (B) expedited customs processing at United 
                States ports of entry;
          (3) the opinion of the Commissioner of Customs 
        regarding the efficacy of extending preclearance 
        operations to other countries within the Caribbean 
        Basin that are developing tourism industries, and if 
        the opinion is affirmative, the identity of those 
        countries to which such operations should be extended 
        and the estimated costs and results of such extensions; 
        and
          (4) such other matters that the Commissioner of 
        Customs considers relevant.

                  Subtitle D--Miscellaneous Provisions

SEC. 241.\6\ TRADE BENEFITS FOR NICARAGUA.

    Notwithstanding any other provision of law, the President 
is authorized to designate Nicaragua as a beneficiary 
developing country for the purposes of title V of the Trade Act 
of 1974, as amended, and as a beneficiary country under the 
Caribbean Basin Economic Recovery Act, and any such designation 
may remain effective for the duration of the calendar year 
1990.
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    \6\ Nicaragua was designated a beneficiary country for purposes of 
the CBERA by the President on November 8, 1990, in Proclamation 6223 
(55 F.R. 47447).
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SEC. 242. AGRICULTURAL INFRASTRUCTURE SUPPORT.

    It is the sense of Congress that in order to facilitate 
trade with, and the economic development of, the countries 
designated as beneficiary countries under the Caribbean Basin 
Economic Recovery Act, the Secretary of Agriculture should, in 
consultation with the Agribusiness Promotion council, 
coordinate with the Agency for International Development the 
development of programs to encourage improvements in the 
transportation and cargo handling infrastructure in these 
countries for the purpose of improving agricultural trade 
between these countries and the United States. Such programs 
should focus on improving distribution of agricultural 
commodities and products in these countries, and the 
phytosanitary institutions, quarantine capabilities, and 
pesticide regulations of these countries regarding agricultural 
commodities and products.

SEC. 243.\7\ EXTENSION OF TRADE BENEFITS TO THE ANDEAN REGION.

    (a) Findings.--The Congress finds that:
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    \7\ See the Andean Trade Preference Act (Title II of Public Law 
102-182; 105 Stat. 1236; 19 U.S.C. 3201 et seq.), page 815.
---------------------------------------------------------------------------
          (1) United States antinarcotics policy places a high 
        priority on assisting the nations of the Andean region 
        of South America, the source of 100 percent of the 
        world's supply of cocaine.
          (2) The President and Congress have recognized that 
        United States trade and economic policies play an 
        important role in the overall United States antidrug 
        strategy in the Andes.
          (3) The extension of special trade preferences for 
        articles from the Andean region would help revitalize 
        the national economies of the Andes and further United 
        States antinarcotics policy in the region.
    (b) Sense of Congress.--The Congress urges the President 
to--
          (1) review the merits of extending the benefits 
        provided under the Caribbean Basin Economic Recovery 
        Act to the Andean regions; and
          (2) continue to explore additional mechanisms to 
        expand trade opportunities for the Andean region, and 
        report to Congress in a regular and timely fashion on 
        the result of this review.
  (5) United States-Canada Free-Trade Agreement Implementation Act of 
                                1988 \1\

    Partial text of Public Law 100-449 [H.R. 5090], 102 Stat. 1851, 
   approved September 28, 1988; as amended by Public Law 101-207 [S. 
 1164], 103 Stat. 1833, approved December 7, 1989; Public Law 101-382 
  [Customs and Trade Act of 1990; H.R. 1594], 104 Stat. 629, approved 
    August 20, 1990; Public Law 103-182 [North American Free Trade 
  Agreement Implementation Act; H.R. 3450], 107 Stat. 2057, approved 
December 8, 1993; and by Public Law 104-66 [Federal Reports Elimination 
 and Sunset Act of 1995; S. 790], 109 Stat. 707, approved December 21, 
   1995; and Public Law 105-206 [Internal Revenue Service Reform and 
Restructuring Act of 1986; H.R. 2676], 112 Stat. 685, approved July 22, 
                                  1998

   AN ACT To implement the United States-Canada Free-Trade Agreement.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

SECTION 1. SHORT TITLE AND TABLE OF CONTENTS.

  (a) Short Title.--This Act may be cited as the ``United 
States-Canada Free-Trade Agreement Implementation Act of 
1988''.
---------------------------------------------------------------------------
    \1\ 19 U.S.C. 2112 note.
---------------------------------------------------------------------------
  (b) Table of Contents.--* * *

SEC. 2. PURPOSES.

  The purposes of this Act are--
          (1) to approve and implement the Free-Trade Agreement 
        between the United States and Canada negotiated under 
        the authority of section 102 of the Trade Act of 1974;
          (2) to strengthen and develop economic relations 
        between the United States and Canada for their mutual 
        benefit;
          (3) to establish a free-trade area between the two 
        nations through the reduction and elimination of 
        barriers to trade in goods and services and to 
        investment; and
          (4) to lay the foundation for further cooperation to 
        expand and enhance the benefits of such Agreement.

  TITLE I--APPROVAL OF UNITED STATES-CANADA FREE-TRADE AGREEMENT AND 
             RELATIONSHIP OF AGREEMENT TO UNITED STATES LAW

SEC. 101. APPROVAL OF UNITED STATES-CANADA FREE-TRADE AGREEMENT.

  (a) Approval of Agreement and Statement of Administrative 
Action.--Pursuant to sections 102 and 151 of the Trade Act of 
1974 (19 U.S.C. 2112 and 2191), the Congress approves--
          (1) the United States-Canada Free-Trade Agreement 
        (hereinafter in this Act referred to as the 
        ``Agreement'') entered into on January 2, 1988, and 
        submitted to the Congress on July 25, 1988;
          (2) the letters exchanged between the Governments of 
        the United States and Canada--
                  (A) dated January 2, 1988, relating to 
                negotiations regarding articles 301 (Rules of 
                Origin) and 401 (Tariff Elimination) of the 
                Agreement, and
                  (B) dated January 2, 1988, relating to 
                negotiations regarding article 2008 (Plywood 
                Standards) of the Agreement; and
          (3) the statement of administrative action proposed 
        to implement the Agreement that was submitted to the 
        Congress on July 25, 1988.
  (b) Conditions for Entry Into Force of the Agreement.--At 
such time as the President determines that Canada has taken 
measures necessary to comply with the obligations of the 
Agreement, the President is authorized to exchange notes with 
the Government of Canada providing for the entry into force, on 
or after January 1, 1989, of the Agreement with respect to the 
United States.
  (c) Report on Canadian Practices.--Within 60 days after the 
date of the enactment of this Act (but not later than December 
15, 1988), the United States Trade Representative shall submit 
to the Congress a report identifying, to the maximum extent 
practicable, major current Canadian practices (and the legal 
authority for such practices) that, in the opinion of the 
United States Trade Representative--
          (1) are not in conformity with the Agreement; and
          (2) require a change of Canadian law, regulation, 
        policy, or practice to enable Canada to conform with 
        its international obligations under the Agreement.

SEC. 102. RELATIONSHIP OF THE AGREEMENT TO UNITED STATES LAW.

  (a) United States Laws To Prevail in Conflict.--No provision 
of the Agreement, nor the application of any such provision to 
any person or circumstance, which is in conflict with any law 
of the United States shall have effect.
  (b) Relationship of Agreement to State and Local Law.--
          (1) The provisions of the Agreement prevail over--
                  (A) any conflicting State law; and
                  (B) any conflicting application of any State 
                law to any person or circumstance;
        to the extent of the conflict.
          (2) Upon the enactment of this Act, the President 
        shall, in accordance with section 306(c)(2)(A) of the 
        Trade and Tariff Act of 1984 (19 U.S.C. 2114c), 
        initiate consultations with the State governments on 
        the implementation of the obligations of the United 
        States under the Agreement. Such consultations shall be 
        held--
                  (A) through the intergovernmental policy 
                advisory committees on trade established under 
                such section for the purpose of achieving 
                conformity of State laws and practices with the 
                Agreement; and
                  (B) with the individual States as necessary 
                to deal with particular questions that may 
                arise.
          (3) The United States may bring an action challenging 
        any provision of State law, or the application thereof 
        to any person or circumstance, on the ground that the 
        provision or application is inconsistent with the 
        Agreement.
          (4) For purposes of this subsection, the term ``State 
        law'' includes--
                  (A) any law of a political subdivision of a 
                State; and
                  (B) any State law regulating or taxing the 
                business of insurance.
  (c) Effect of Agreement With Respect to Private Remedies.--No 
person other than the United States shall--
          (1) have any cause of action or defense under the 
        Agreement or by virtue of congressional approval 
        thereof, or
          (2) challenge, in any action brought under any 
        provision of law, any action or inaction by any 
        department, agency, or other instrumentality of the 
        United States, any State, or any political subdivision 
        of a State on the ground that such action or inaction 
        is inconsistent with the Agreement.
  (d) Initial Implementing Regulations.--Initial regulations 
necessary or appropriate to carry out the actions proposed in 
the statement of administrative action submitted under section 
101(a)(3) to implement the Agreement shall, to the maximum 
extent feasible, be issued within 1 year after the date of 
entry into force of the Agreement. In the case of any 
implementing action that takes effect after the date of entry 
into force of the Agreement, initial regulations to carry out 
that action shall, to the maximum extent feasible, be issued 
within 1 year after such effective date.
  (e) Changes in Statutes To Implement a Requirement, 
Amendment, or Recommendation.--The provisions of section 3(c) 
of the Trade Agreements Act of 1979 (19 U.S.C. 2504(c)) shall 
apply as if the Agreement were an agreement approved under 
section 2(a) of that Act whenever the President determines that 
it is necessary or appropriate to amend, repeal, or enact a 
statute of the United States in order to implement any 
requirement of, amendment to, or recommendation, finding or 
opinion under, the Agreement; but such provisions shall not 
apply to any bill to implement any such requirement, amendment, 
recommendation, finding, or opinion that is submitted to the 
Congress after the close of the 30th month after the month in 
which the Agreement enters into force.

SEC. 103. CONSULTATION AND LAY-OVER REQUIREMENTS FOR, AND EFFECTIVE 
                    DATE OF, PROCLAIMED ACTIONS.

  (a) \2\ Consultation and Lay-Over Requirements.--If a 
provision of this Act provides that the implementation of an 
action by the President by proclamation is subject to the 
consultation and lay-over requirements of this section, such 
action may be proclaimed only if--
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    \2\ In a memorandum of February 11, 1991 (56 F.R. 6789), the 
President delegated authority to the United States Trade Representative 
``to perform the functions necessary to fulfill the consultation and 
lay-over requirements set forth in section 103(a) (1) through (4) of 
the United States-Canada Free-Trade Agreement Implementation Act of 
1988''.
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          (1) the President has obtained advice regarding the 
        proposed action from--
                  (A) the appropriate advisory committees 
                established under section 135 of the Trade Act 
                of 1974, and
                  (B) the United States International Trade 
                Commission;
          (2) the President has submitted a report to the 
        Committee on Ways and Means of the House of 
        Representatives and the Committee on Finance of the 
        Senate that sets forth--
                  (A) the action proposed to be proclaimed and 
                the reasons therefor, and
                  (B) the advice obtained under paragraph (1);
          (3) a period of at least 60 calendar days that begins 
        on the first day on which the President has met the 
        requirements of paragraphs (1) and (2) with respect to 
        such action has expired; and
          (4) the President has consulted with such Committees 
        regarding the proposed action during the period 
        referred to in paragraph (3).
  (b) Effective Date of Certain Proclaimed Actions.--No action 
proclaimed by the President under the authority of this Act, if 
such action is not subject to the consultation and lay-over 
requirements under subsection (a), may take effect before the 
15th day after the date on which the text of the proclamation 
is published in the Federal Register.

SEC. 104. HARMONIZED SYSTEM.

  (a) Definition.--As used in this Act, the term ``Harmonized 
System'' means the nomenclature system established under the 
International Convention on the Harmonized Commodity 
Description and Coding System (done at Brussels on June 14, 
1983, and the protocol thereto, done at Brussels on June 24, 
1986) as implemented under United States law.
  (b) Interim Application of TSUS.--The following apply if the 
International Convention, and the protocol thereto, referred to 
in subsection (a) are not implemented under United States law 
before the Agreement enters into force:
          (1) The President, subject to subsection (c), shall 
        proclaim such modifications to the Tariff Schedules of 
        the United States (19 U.S.C. 1202) as may be necessary 
        to give effect, until such time as such Convention and 
        protocol are so implemented, to the rules of origin, 
        schedule of rate reductions, and other provisions that 
        would, but for the absence of such implementation, be 
        proclaimed under the authority of this Act to, or in 
        terms of, the Harmonized System to implement the 
        obligations of the United States under the Agreement.
          (2) Until such time as such Convention and protocol 
        are so implemented, any reference in this Act to the 
        nomenclature of such Convention and protocol shall be 
        treated as a reference to the corresponding 
        nomenclature of the Tariff Schedules of the United 
        States as modified under paragraph (1).
  (c) Restrictions.--
          (1) No modification described in subsection (b)(1) 
        that is to take effect concurrently with the entry into 
        force of the Agreement may be proclaimed unless the 
        text of the modification is published in the Federal 
        Register at least 30 days before the date of entry into 
        force.
          (2) All modifications proclaimed under the authority 
        of subsection (b)(1) after the Agreement enters into 
        force with respect to the United States are subject to 
        the consultation and lay-over requirements of section 
        103(a).

SEC. 105. IMPLEMENTING ACTIONS IN ANTICIPATION OF ENTRY INTO FORCE.

  Subject to section 103 or 104(c), as appropriate, and any 
other applicable restriction or limitation in this Act on the 
proclaiming of actions or the issuing of regulations to carry 
out this Act or any amendment made by this Act, after the date 
of the enactment of this Act--
          (1) the President may proclaim such actions; and
          (2) other appropriate officers of the United States 
        Government may issue such regulations;
as may be necessary to ensure that any provision of this Act, 
or amendment made by this Act, that takes effect on the date 
the Agreement enters into force is appropriately implemented on 
such date, but no such proclamation or regulation may have an 
effective date earlier than the date of entry into force.

 TITLE II--TARIFF MODIFICATIONS, RULES OF ORIGIN, USER FEES, DRAWBACK, 
               ENFORCEMENT, AND OTHER CUSTOMS PROVISIONS

SEC. 201.\3\ TARIFF MODIFICATIONS.

  (a) Tariff Modifications Specified in the Agreement.--The 
President may proclaim--
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    \3\ In a Proclamation of May 25, 1990 (55 F.R. 21835), the 
President outlined authority vested in him in the United States-Canada 
Free-Trade Agreement (the Agreement) and in the United States-Canada 
Free-Trade Implementation Act of 1988 (the Implementation Act), and 
further provided, in part:
    ``2. * * * Consistent with Article 401(5) of the Agreement, the 
President, through his duly empowered representative, on May 18, 1990, 
entered into an agreement with the Government of Canada providing an 
accelerated schedule of duty elimination for specific goods of Annexes 
401.2 and 401.7 to the Agreement. * * *
    ``3. Pursuant to section 201(b) of the Implementation Act, I have 
determined that the modifications hereinafter proclaimed of existing 
duties on goods originating in the territory of Canada are necessary or 
appropriate to maintain the general level of reciprocal and mutually 
advantageous concessions with respect to Canada provided for by the 
Agreement and to carry out the agreement with Canada providing an 
accelerated schedule of duty elimination for specific goods of Annexes 
401.2 and 401.7 to the Agreement.''.
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          (1) such modifications or continuance of any existing 
        duty;
          (2) such continuance of existing duty-free or excise 
        treatment; or
          (3) such additional duties;
as the President determines to be necessary or appropriate to 
carry out article 401 of the Agreement and the schedule of duty 
reductions with respect to Canada set forth in Annexes 401.2 
and 401.7 to the Agreement, as approved under section 
101(a)(1). For purposes of proclaiming necessary modifications 
under such Annex 401.2, any article covered under subheading 
9813.00.05 (contained in the United States Schedule in such 
Annex) shall, unless such article is a drawback eligible good 
under section 204(a), be treated as being subject to any 
otherwise applicable customs duty if the article, or 
merchandise incorporating such article, is exported to Canada.
  (b) Other Tariff Modifications.--Subject to the consultation 
and lay-over requirements of section 103(a), the President may 
proclaim--
          (1) such modifications as the United States and 
        Canada may agree to regarding the staging of any duty 
        treatment set forth in Annexes 401.2 and 401.7 of the 
        Agreement;
          (2) such modifications or continuance of any existing 
        duty;
          (3) such continuance of existing duty-free or excise 
        treatment; or
          (4) such additional duties;
as the President determines to be necessary or appropriate to 
maintain the general level of reciprocal and mutually 
advantageous concessions with respect to Canada provided for by 
the Agreement.
  (c) Modifications Affecting Plywood.--
          (1) The Congress encourages the President to 
        facilitate the preparation, and the implementation with 
        Canada, of common performance standards for the use of 
        softwood plywood and other structural panels in 
        construction applications in the United States and 
        Canada.
          (2) The President shall report to the Congress on the 
        incorporation of common plywood performance standards 
        into building codes in the United States and Canada and 
        may implement the provisions of article 2008 of the 
        Agreement when he determines that the necessary 
        conditions have been met.
          (3) Any tariff reduction undertaken pursuant to 
        paragraph (2) shall be in equal annual increments 
        ending January 1, 1998, unless those reductions 
        commence after January 1, 1991.

SEC. 202. RULES OF ORIGIN.

  (a) In General.--
          (1) For purposes of implementing the tariff treatment 
        contemplated under the Agreement, goods originate in 
        the territory of a Party if--
                  (A) they are wholly obtained or produced in 
                the territory of either Party or both Parties; 
                or
                  (B) they--
                          (i) have been transformed in the 
                        territory of either Party or both 
                        Parties so as to be subject to a change 
                        in tariff classification as described 
                        in the Annex rules or to such other 
                        requirements as the Annex rules may 
                        provide when no change in tariff 
                        classifications occurs, and
                          (ii) meet the other conditions set 
                        out in the Annex.
          (2) A good shall not be considered to originate in 
        the territory of a party under paragraph (1)(B) merely 
        by virtue of having undergone--
                  (A) simple packaging or, except as expressly 
                provided by the Annex rules, combining 
                operations;
                  (B) mere dilution with water or another 
                substance that does not materially alter the 
                characteristics of the good; or
                  (C) any process or work in respect of which 
                it is established, or in respect of which the 
                facts as ascertained clearly justify the 
                presumption, that the sole object was to 
                circumvent the provisions of chapter 3 of the 
                Agreement.
          (3) Accessories, spare parts, or tools delivered with 
        any piece of equipment, machinery, apparatus, or 
        vehicle that form part of its standard equipment shall 
        be treated as having the same origin as that equipment, 
        machinery, apparatus, or vehicle if the quantities and 
        values of such accessories, spare parts, or tools are 
        customary for the equipment, machinery, apparatus, or 
        vehicle.
  (b) Transshipment.--Goods exported from the territory of one 
Party originate in the territory of that Party only if--
          (1) the goods meet the applicable requirements of 
        subsection (a) and are shipped to the territory of the 
        other Party without having entered the commerce of any 
        third country;
          (2) the goods, if shipped through the territory of a 
        third country, do not undergo any operation other than 
        unloading, reloading, or any operation necessary to 
        transport them to the territory of the other Party or 
        to preserve them in good condition; and
          (3) the documents related to the exportation and 
        shipment of the goods from the territory of a Party 
        show the territory of the other Party as their final 
        destination.
  (c) Interpretation.--In interpreting this section, the 
following apply:
          (1) Whenever the processing or assembly of goods in 
        the territory of either Party or both Parties results 
        in one of the changes in tariff classification 
        described in the Annex rules, such goods shall be 
        considered to have been transformed in the territory of 
        that Party and shall be treated as goods originating in 
        the territory of that Party if--
                  (A) such processing or assembly occurs 
                entirely within the territory of either Party 
                or both Parties; and
                  (B) such goods have not subsequently 
                undergone any processing or assembly outside 
                the territories of the Parties that improves 
                the goods in condition or advances them in 
                value.
          (2) Whenever the assembly of goods in the territory 
        of a Party fails to result in a change of tariff 
        classification because either--
                  (A) the goods were imported into the 
                territory of the Party in an unassembled or a 
                disassembled form and were classified as 
                unassembled or disassembled goods pursuant to 
                General Rule of Interpretation 2(a) of the 
                Harmonized System; or
                  (B) the tariff subheading for the goods 
                provides for both the goods themselves and 
                their parts;
        such goods shall not be treated as goods originating in 
        the territory of a Party.
          (3) Notwithstanding paragraph (2), goods described in 
        that paragraph shall be considered to have been 
        transformed in the territory of a Party and be treated 
        as goods originating in the territory of the Party if--
                  (A) the value of materials originating in the 
                territory of either Party or both Parties used 
                or consumed in the production of the goods plus 
                the direct cost of assembling the goods in the 
                territory of either Party or both Parties 
                constitute not less than 50 percent of the 
                value of the goods when exported to the 
                territory of the other Party; and
                  (B) the goods have not subsequent to assembly 
                undergone processing or further assembly in a 
                third country and they meet the requirements of 
                subsection (b).
          (4) The provisions of paragraph (3) shall not apply 
        to goods of chapters 61-63 of the Harmonized System.
          (5) In making the determination required by paragraph 
        (3)(A) and in making the same or a similar 
        determination when required by the Annex rules, where 
        materials originating in the territory of either Party 
        or both Parties and materials obtained or produced in a 
        third country are used or consumed together in the 
        production of goods in the territory of a Party, the 
        value of materials originating in the territory of 
        either Party or both Parties may be treated as such 
        only to the extent that it is directly attributable to 
        the goods under consideration.
          (6) In applying the Annex rules, a specific rule 
        shall take precedence over a more general rule.
  (d) Annex Rules.--
          (1) The President is authorized to proclaim, as a 
        part of the Harmonized System, the rules set forth 
        under the heading ``Rules'' in Annex 301.2 of the 
        Agreement. For purposes of carrying out this 
        paragraph--
                  (A) the phrase ``headings 2207-2209'' in 
                paragraph 7 of section IV of such Annex 301.2 
                shall be treated as a reference to headings 
                2203-2209; and
                  (B) the phrase ``any other heading'' in 
                paragraph 11 of section XV in such Annex 301.2 
                shall be treated as a reference to any other 
                heading of chapter 74 of the Harmonized System.
          (2) Subject to the consultation and lay-over 
        requirements of section 103, the President is 
        authorized to proclaim such modifications to the rules 
        as may from time-to-time be agreed to by the United 
        States and Canada.
  (e) Automotive Products.--
          (1) The President is authorized to proclaim such 
        modifications to the definition of Canadian articles 
        (relating to the administration of the Automotive 
        Products Trade Act of 1965) in the general notes of the 
        Harmonized System as may be necessary to conform that 
        definition with chapter 3 of the Agreement.
          (2) For purposes of administering the value 
        requirement (as defined in section 304(c)(3)) with 
        respect to vehicles, the Secretary of the Treasury 
        shall prescribe regulations governing the averaging of 
        the value content of vehicles of the same class, or of 
        sister vehicles, assembled in the same plant as an 
        alternative to the calculation of the value content of 
        each vehicle.
  (f) Definitions.--For purposes of this section:
          (1) The term ``Annex'' means--
                  (A) the interpretative guidelines set forth 
                in subsection (c); and
                  (B) the Annex rules.
          (2) The term ``Annex rules'' means the rules 
        proclaimed under subsection (d).
          (3) The term ``direct cost of processing or direct 
        cost of assembling'' means the costs directly incurred 
        in, or that can reasonably be allocated to, the 
        production of goods, including--
                  (A) the cost of all labor, including benefits 
                and on-the-job training, labor provided in 
                connection with supervision, quality control, 
                shipping, receiving, storage, packaging, 
                management at the location of the process or 
                assembly, and other like labor, whether 
                provided by employees or independent 
                contractors;
                  (B) the cost of inspecting and testing the 
                goods;
                  (C) the cost of energy, fuel, dies, molds, 
                tooling, and the depreciation and maintenance 
                of machinery and equipment, without regard to 
                whether they originate within the territory of 
                a Party;
                  (D) development, design, and engineering 
                costs;
                  (E) rent, mortgage interest, depreciation on 
                buildings, property insurance premiums, 
                maintenance, taxes and the cost of utilities 
                for real property used in the production of 
                goods; and
                  (F) royalty, licensing, or other like 
                payments for the right to the goods;
        but not including--
                          (i) costs relating to the general 
                        expense of doing business, such as the 
                        cost of providing executive, financial, 
                        sales, advertising, marketing, 
                        accounting and legal services, and 
                        insurance;
                          (ii) brokerage charges relating to 
                        the importation and exportation of 
                        goods;
                          (iii) the costs for telephone, mail, 
                        and other means of communication;
                          (iv) packing costs for exporting the 
                        goods;
                          (v) royalty payments related to a 
                        licensing agreement to distribute or 
                        sell the goods;
                          (vi) rent, mortgage interest, 
                        depreciation on buildings, property 
                        insurance premiums, maintenance, taxes, 
                        and the cost of utilities for real 
                        property used by personnel charged with 
                        administrative functions; or
                          (vii) profit on the goods.
          (4) The term ``goods wholly obtained or produced in 
        the territory of either Party or both Parties'' means--
                  (A) mineral goods extracted in the territory 
                of either Party or both Parties;
                  (B) goods harvested in the territory of 
                either Party or both Parties;
                  (C) live animals born and raised in the 
                territory of either Party or both Parties;
                  (D) goods (fish, shellfish, and other marine 
                life) taken from the sea by vessels registered 
                or recorded with a Party and flying its flag;
                  (E) goods produced on board factory ships 
                from the goods referred to in subparagraph (D) 
                provided such factory ships are registered or 
                recorded with that Party and fly its flag;
                  (F) goods taken by a Party or a person of a 
                Party from the seabed or beneath the seabed 
                outside territorial waters, provided that Party 
                has rights to exploit such seabed;
                  (G) goods taken from space, provided they are 
                obtained by a Party or a person of a Party and 
                not processed in a third country;
                  (H) waste and scrap derived from 
                manufacturing operations and used goods, 
                provided they were collected in the territory 
                of either Party or both Parties and are fit 
                only for the recovery of raw materials; and
                  (I) goods produced in the territory of either 
                Party or both Parties exclusively from goods 
                referred to in subparagraphs (A) to (H) 
                inclusive or from their derivatives, at any 
                stage of production.
          (5) The term ``materials'' means goods, other than 
        those included as part of the direct cost of processing 
        or assembling, used or consumed in the production of 
        other goods.
          (6) The term ``Party'' means Canada or the United 
        States.
          (7) The term ``territory'' means--
                  (A) with respect to Canada, the territory to 
                which its customs laws apply, including any 
                areas beyond the territorial seas of Canada 
                within which, in accordance with international 
                law and its domestic laws, Canada may exercise 
                rights with respect to the seabed and subsoil 
                and their natural resources; and
                  (B) with respect to the United States--
                          (i) the customs territory of the 
                        United States, which includes the fifty 
                        States, the District of Columbia and 
                        the Commonwealth of Puerto Rico,
                          (ii) the foreign trade zones located 
                        in the United States, and the 
                        Commonwealth of Puerto Rico, and
                          (iii) any area beyond the territorial 
                        seas of the United States within which, 
                        in accordance with international law 
                        and its domestic laws, the United 
                        States may exercise rights with respect 
                        to the seabed and subsoil and their 
                        natural resources.
          (8) The term ``third country'' means any country 
        other than Canada or the United States or any territory 
        not a part of the territory of either.
          (9) The term ``value of materials originating in the 
        territory of either Party or both Parties'' means the 
        aggregate of--
                  (A) the price paid by the producer of an 
                exported good for materials originating in the 
                territory of either Party or both Parties or 
                for materials imported from a third country 
                used or consumed in the production of such 
                originating materials; and
                  (B) when not included in that price, the 
                following costs related thereto--
                          (i) freight, insurance, packing, and 
                        all other costs incurred in 
                        transporting any of the materials 
                        referred to in subparagraph (A) to the 
                        location of the producer;
                          (ii) duties, taxes, and brokerage 
                        fees on such materials paid in the 
                        territory of either Party or both 
                        Parties;
                          (iii) the cost of waste or spoilage 
                        resulting from the use or consumption 
                        of such materials, less the value of 
                        renewable scrap or byproduct; and
                          (iv) the value of goods and services 
                        relating to such materials determined 
                        in accordance with subparagraph 1(b) of 
                        article 8 of the Agreement on 
                        Implementation of article VII of the 
                        General Agreement on Tariffs and Trade.
          (10) The term ``value of the goods when exported to 
        the territory of the other Party'' means the aggregate 
        of--
                  (A) the price paid by the producer for all 
                materials, whether or not the materials 
                originate in either Party or both Parties, and, 
                when not included in the price paid for the 
                materials, the costs related to--
                          (i) freight, insurance, packing, and 
                        all other costs incurred in 
                        transporting all materials to the 
                        location of the producer;
                          (ii) duties, taxes, and brokerage 
                        fees on all materials paid in the 
                        territory of either Party or both 
                        Parties;
                          (iii) the cost of waste or spoilage 
                        resulting from the use or consumption 
                        of such materials, less the value of 
                        renewable scrap or byproduct; and
                          (iv) the value of goods and services 
                        relating to all materials determined in 
                        accordance with subparagraph 1(b) of 
                        article 8 of the Agreement on 
                        Implementation of article VII of the 
                        General Agreement on Tariffs and Trade; 
                        and
                  (B) the direct cost of processing or the 
                direct cost of assembling the goods.
  (g) Special Provision Regarding Application of Rules of 
Origin to Certain Apparel.--The Secretary of Commerce is 
authorized to issue regulations governing the exportation to 
Canada of apparel products that are cut, or knit to shape, and 
sewn, or otherwise assembled, in either Party from fabric 
produced or obtained in a third country for the purpose of 
establishing which exports of such products shall be permitted 
to claim preferential tariff treatment under the rules of 
origin of the Agreement, to the extent that the Agreement 
provides for quantitative limits on the availability of 
preferential tariff treatment for such products.

SEC. 203. * * *

SEC. 204. DRAWBACK.

  (a) Definition.--For purposes of this section, the term 
``drawback eligible goods'' means--
          (1) goods provided for under paragraph 8 of article 
        404 of the Agreement;
          (2) goods provided for under paragraphs 4 and 5 of 
        such article; and
          (3) goods other than those referred to in paragraphs 
        (1) and (2) that the United States and Canada agree are 
        not subject to paragraphs 1, 2, and 3 of such article.
No drawback may be paid with respect to countervailing duties 
or antidumping duties imposed on drawback eligible goods.
  (b) Implementation of Article 404.--The President is 
authorized--
          (1) to proclaim the identity, in accordance with the 
        nomenclature of the Harmonized System, of goods 
        referred to in subsection (a)(1); and
          (2) subject to the consultation and lay-over 
        requirements of section 103(a), to proclaim--
                  (A) the identity, in accordance with the 
                nomenclature of the Harmonized System, of goods 
                referred to in subsection (a)(3); and
                  (B) a delay in the taking effect of article 
                404 of the Agreement to a date later than 
                January 1, 1994, with respect to any 
                merchandise if the United States and Canada 
                agree to the delay under paragraph 7 of such 
                article.
  (c) * * *

SEC. 205. ENFORCEMENT.

  (a) Certifications of Origin.--
          (1) Any person that certifies in writing that goods 
        exported to Canada meet the rules of origin under 
        section 202 of the United States-Canada Free-Trade 
        Agreement Implementation Act of 1988 shall provide, 
        upon request by any customs official, a copy of that 
        certification.
          (2) Any person that fails to provide a copy of a 
        certification requested under paragraph (1) shall be 
        liable to the United States for a civil penalty not to 
        exceed $10,000.
          (3) Any person that certifies falsely that goods 
        exported to Canada meet the rules of origin under such 
        section 202 shall be liable to the United States for 
        the same civil penalties provided under section 592 of 
        the Tariff Act of 1930 (19 U.S.C. 1592) for a violation 
        of section 592(a) of such Act by fraud, gross 
        negligence, or negligence, as the case may be. The 
        procedures and provisions of section 592 of such Act 
        that are applicable to a violation under section 592(a) 
        of such Act shall apply with respect to such false 
        certification.
  (b) * * *

SEC. 206. * * *

SEC. 207. PRODUCTION-BASED DUTY REMISSION PROGRAMS WITH RESPECT TO 
                    AUTOMOTIVE PRODUCTS.

  (a) USTR Study.--The United States Trade Representative 
shall--
          (1) undertake a study to determine whether any of the 
        production-based duty remission programs of Canada with 
        respect to automotive products is either--
                  (A) inconsistent with the provisions of, or 
                otherwise denies the benefits to the United 
                States under, the General Agreement on Tariffs 
                and Trade, or
                  (B) being implemented inconsistently with the 
                obligations under article 1002 of the Agreement 
                not--
                          (i) to expand the extent or the 
                        application, or
                          (ii) to extend the duration,
                of such programs; and
          (2) determine whether to initiate an investigation 
        under section 302 of the Trade Act of 1974 with respect 
        to any of such production-based duty remission 
        programs.
  (b) Report and Monitoring.--
          (1) The United States Trade Representative shall 
        submit a report to Congress no later than June 30, 1989 
        (or no later than September 30, 1989, if the Trade 
        Representative considers an extension to be necessary) 
        containing--
                  (A) the results of the study under subsection 
                (a)(1), as well as a description of the basis 
                used for measuring and verifying compliance 
                with the obligations referred to in subsection 
                (a)(1)(B); and
                  (B) any determination made under subsection 
                (a)(2) and the reasons therefor.
          (2) Notwithstanding the submission of the report 
        under paragraph (1), the Trade Representative shall 
        continue to monitor the degree of compliance with the 
        obligations referred to in subsection (a)(1)(B).

      TITLE III--APPLICATION OF AGREEMENT TO SECTORS AND SERVICES

SEC. 301. AGRICULTURE.

  (a) Special Tariff Provisions for Fresh Fruits and 
Vegetables.--
          (1) The Secretary of Agriculture (hereafter in this 
        section referred to as the ``Secretary'') may recommend 
        to the President the imposition of a temporary duty on 
        any Canadian fresh fruit or vegetable entered into the 
        United States if the Secretary determines that both of 
        the following conditions exist at the time that 
        imposition of the duty is recommended:
                  (A) For each of 5 consecutive working days 
                the import price of the Canadian fresh fruit or 
                vegetable is below 90 percent of the 
                corresponding 5-year average monthly import 
                price for such fruit or vegetable.
                  (B) The planted acreage in the United States 
                for the like fresh fruit or vegetable is no 
                higher than the average planted acreage over 
                the preceding 5 years, excluding the years with 
                the highest and lowest acreage. For the 
                purposes of applying this subparagraph, any 
                acreage increase attributed directly to a 
                reduction in the acreage that was planted to 
                wine grapes as of October 4, 1987, shall be 
                excluded.
        Whenever the Secretary makes a determination that the 
        conditions referred to in subparagraphs (A) and (B) 
        regarding any Canadian fresh fruit or vegetable exist, 
        the Secretary shall immediately \4\ submit for 
        publication in the Federal Register notice of the 
        determination.
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    \4\ Sec. 308(a)(1) of the North American Free Trade Agreement 
Implementation Act (Public Law 103-182; 107 Stat. 2104) struck out 
``promptly'' and inserted in lieu thereof ``immediately''.
---------------------------------------------------------------------------
          (2) \5\ No later than 6 days after publication in the 
        Federal Register of the notice described in paragraph 
        (1), the Secretary shall decide whether to recommend 
        the imposition of a temporary duty to the President, 
        and if the Secretary decides to make such a 
        recommendation, the recommendation shall be forwarded 
        immediately to the President.
---------------------------------------------------------------------------
    \5\ Sec. 308(a)(2) and (3) of the North American Free Trade 
Agreement Implementation Act (Public Law 103-182; 107 Stat. 2104) 
redesignated former paras. (2) through (9) as (3) through (10), and 
inserted a new para. (2).
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          (3) \5\ In determining whether to recommend the 
        imposition of a temporary duty to the President under 
        paragraph (1), the Secretary shall consider whether the 
        conditions in subparagraphs (A) and (B) of such 
        paragraph have led to a distortion in trade between the 
        United States and Canada of the fresh fruit or 
        vegetable and, if so, whether the imposition of the 
        duty is appropriate, including consideration of whether 
        it would significantly correct this distortion.
          (4) \5\ Not later than 7 days after receipt of a 
        recommendation of the Secretary under paragraph (1), 
        the President, after taking into account the national 
        economic interests of the United States, shall 
        determine whether to impose a temporary duty on the 
        Canadian fresh fruit or vegetable concerned. If the 
        determination is affirmative, the President shall 
        proclaim the imposition and the rate of the temporary 
        duty, but such duty shall not apply to the entry of 
        articles that were in transit to the United States on 
        the first day on which the temporary duty is in effect.
          (5) \5\ A temporary duty imposed under paragraph (4) 
        \6\ shall cease to apply with respect to articles that 
        are entered on or after the earlier of--
---------------------------------------------------------------------------
    \6\ Sec. 308(a)(4) of the North American Free Trade Agreement 
Implementation Act (Public Law 103-182; 107 Stat. 2104) struck out 
``paragraph (3)'' and inserted in lieu thereof ``paragraph (4)''.
---------------------------------------------------------------------------
                  (A) the day following the last of 5 
                consecutive working days with respect to which 
                the Secretary determines that the point of 
                shipment price in Canada for the Canadian fruit 
                or vegetable concerned exceeds 90 percent of 
                the corresponding 5-year average monthly import 
                price; or
                  (B) the 180th day after the date on which the 
                temporary duty first took effect.
          (6) \5\ No temporary duty may be imposed under this 
        subsection on a Canadian fresh fruit or vegetable 
        during such time as import relief is provided with 
        respect to such fresh fruit or vegetable under chapter 
        1 of title II of the Trade Act of 1974.
          (7) \5\ For purposes of this subsection:
                  (A) The term ``Canadian fresh fruit or 
                vegetable'' means any article originating in 
                Canada (as determined in accordance with 
                section 202) and classified within any of the 
                following headings of the Harmonized System:
                          (i) 07.01 (relating to potatoes, 
                        fresh or chilled);
                          (ii) 07.02 (relating to tomatoes, 
                        fresh or chilled);
                          (iii) 07.03 (relating to onions, 
                        shallots, garlic, leeks and other 
                        alliaceous vegetables, fresh or 
                        chilled);
                          (iv) 07.04 (relating to cabbages, 
                        cauliflowers, kohlrabi, kale and 
                        similar edible brassicas, fresh or 
                        chilled);
                          (v) 07.05 (relating to lettuce 
                        (lactuca sativa) and chicory (cichorium 
                        spp.), fresh or chilled);
                          (vi) 07.06 (relating to carrots, 
                        salad beets or beetroot, salsify, 
                        celeriac, radishes and similar edible 
                        roots (excluding turnips), fresh or 
                        chilled);
                          (vii) 07.07 (relating to cucumbers 
                        and gherkins, fresh or chilled);
                          (viii) 07.08 (relating to leguminous 
                        vegetables, shelled or unshelled, fresh 
                        or chilled);
                          (ix) 07.09 (relating to other 
                        vegetables (excluding truffles), fresh 
                        or chilled);
                          (x) 08.06.10 (relating to grapes, 
                        fresh);
                          (xi) 08.08.20 (relating to pears and 
                        quinces, fresh);
                          (xii) 08.09 (relating to apricots, 
                        cherries, peaches (including 
                        nectarines), plums and sloes, fresh); 
                        and
                          (xiii) 08.10 (relating to other fruit 
                        (excluding cranberries and 
                        blueberries), fresh).
                  (B) The term ``corresponding 5-year average 
                monthly import price'' for a particular day 
                means the average import price of a Canadian 
                fresh fruit or vegetable, for the calendar 
                month in which that day occurs, for that month 
                in each of the preceding 5 years, excluding the 
                years with the highest and lowest monthly 
                averages.
                  (C) The term ``import price'' has the meaning 
                given such term in article 711 of the 
                Agreement.
                  (D) The rate of a temporary duty imposed 
                under this subsection with respect to a 
                Canadian fresh fruit or vegetable means a rate 
                that, including the rate of any other duty in 
                effect for such fruit or vegetable, does not 
                exceed the lesser of--
                          (i) the duty that was in effect for 
                        the fresh fruit or vegetable before 
                        January 1, 1989, under column one of 
                        the Tariff Schedules of the United 
                        States for the applicable season in 
                        which the temporary duty is applied; or
                          (ii) the duty in effect for the fresh 
                        fruit or vegetable under column one of 
                        such Schedules, or column 1 (General) 
                        of the Harmonized System, at the time 
                        the temporary duty is applied.
          (8) \5\ (A) The Secretary shall, to the extent 
        practicable, administer the provisions of this 
        subsection to the 8-digit level of classification under 
        the Harmonized System.
          (B) The Secretary may issue such regulations as may 
        be necessary to implement the provisions of this 
        subsection.
          (9) \7\ For purposes of assisting the Secretary in 
        carrying out this subsection--
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    \7\ Para. (9), as redesignated, was amended and restated by sec. 
308(a)(5) of the North American Free Trade Agreement Implementation Act 
(Public Law 103-182; 107 Stat. 2104).
---------------------------------------------------------------------------
                  (A) the Commissioner of Customs and the 
                Director of the Bureau of Census shall 
                cooperate in providing the Secretary with 
                timely information and data relating to the 
                importation of Canadian fresh fruits and 
                vegetables, and
                  (B) importers shall report such information 
                relating to Canadian fresh fruits and 
                vegetables to the Commissioner of Customs at 
                such time and in such manner as the 
                Commissioner requires.
          (10) \5\ The authority to impose temporary duties 
        under this subsection expires on the 20th anniversary 
        of the date on which the Agreement enters into force.
          * * * * * * *

SEC. 302. RELIEF FROM IMPORTS.

  (a) Relief From Imports of Canadian Articles.--
          (1) A petition requesting action under this section 
        for the purpose of adjusting to the obligations of the 
        United States under the Agreement may be filed with the 
        United States International Trade Commission (hereafter 
        in this section referred to as the ``Commission'') by 
        an entity, including a trade association, firm, 
        certified or recognized union, or group of workers, 
        which is representative of an industry. The Commission 
        shall transmit a copy of any petition filed under this 
        paragraph to the United States Trade Representative.
          (2)(A) Upon the filing of a petition under paragraph 
        (1), the Commission shall promptly initiate an 
        investigation to determine whether, as a result of a 
        reduction or elimination of a duty provided for under 
        the United States-Canada Free-Trade Agreement, an 
        article originating in Canada is being imported into 
        the United States in such increased quantities, in 
        absolute terms, and under such conditions, so that 
        imports of such Canadian article, alone, constitute a 
        substantial cause of serious injury to the domestic 
        industry producing an article like, or directly 
        competitive with, the imported article.
          (B) The provisions of--
                  (i) paragraphs (2), (3), (4), (6), and (7) of 
                subsection (b), other than paragraph (2)(B), 
                and
                  (ii) subsection (c),
        of section 201 of the Trade Act of 1974 (19 U.S.C. 
        2251), as in effect on June 1, 1988, shall apply with 
        respect to any investigation initiated under 
        subparagraph (A).
          (C) By no later than the date that is 120 days after 
        the date on which an investigation is initiated under 
        subparagraph (A), the Commission shall make a 
        determination under subparagraph (A) with respect to 
        such investigation.
          (D) If the determination made by the Commission under 
        subparagraph (A) with respect to imports of an article 
        is affirmative, the Commission shall find and recommend 
        to the President the amount of import relief that is 
        necessary to remedy the injury found by the Commission 
        in such affirmative determination, which shall be 
        limited to that set forth in paragraph (3)(C).
          (E)(i) By no later than the date that is 30 days 
        after the date on which a determination is made under 
        subparagraph (A) with respect to an investigation, the 
        Commission shall submit to the President a report on 
        the determination and the basis for the determination. 
        The report shall include any dissenting or separate 
        views and a transcript of the hearings and any briefs 
        which were submitted to the Commission in the course of 
        the investigation initiated under subparagraph (A).
          (ii) Any finding made under subparagraph (D) shall be 
        included in the report submitted to the President under 
        clause (i).
          (F) Upon submitting a report to the President under 
        subparagraph (E), the Commission shall promptly make 
        public such report (with the exception of information 
        which the Commission determines to be confidential) and 
        shall cause a summary thereof to be published in the 
        Federal Register.
          (G) For purposes of this subsection--
                  (i) The provisions of paragraphs (1), (2), 
                and (3) of section 330(d) of the Tariff Act of 
                1930 (19 U.S.C. 1330(d)) shall be applied with 
                respect to determinations and findings made 
                under this paragraph as if such determinations 
                and findings were made under section 201 of the 
                Trade Act of 1974 (19 U.S.C. 2251).
                  (ii) The determination of whether an article 
                originates in Canada shall be made in 
                accordance with section 202 (including any 
                proclamations issued under section 202).
          (3)(A) By no later than the date that is 30 days 
        after the date on which the President receives the 
        report of the Commission containing an affirmative 
        determination made by the Commission under paragraph 
        (2)(A), the President shall provide relief from imports 
        of the article originating in Canada that is the 
        subject of such determination to the extent that, and 
        for such time (not to exceed 3 years) as the President 
        determines to be necessary to remedy the injury found 
        by the Commission.
          (B) The President is not required to provide import 
        relief by reason of this paragraph if the President 
        determines that the provision of such import relief is 
        not in the national economic interest.
          (C) The import relief that the President is 
        authorized to provide by reason of this paragraph with 
        respect to an article originating in Canada is limited 
        to--
                  (i) the suspension of any further reductions 
                provided for under the Agreement in the duty 
                imposed on such article originating in Canada,
                  (ii) an increase in the rate of duty imposed 
                on such article originating in Canada to a 
                level that does not exceed the lesser of--
                          (I) the general subcolumn of the 
                        column 1 rate of duty set forth in the 
                        Harmonized Tariff Schedule of the 
                        United States \8\ that is imposed by 
                        the United States on such article from 
                        any other foreign country at the time 
                        such import relief is provided, or
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    \8\ Sec. 5003(b)(3) of Public Law 105-206 (112 Stat. 789) struck 
out ``the most-favored-nation rate of duty'' and inserted in lieu 
thereof ``the general subcolumn of the column 1 rate of duty set forth 
in the Harmonized Tariff Schedule of the United States''.
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                          (II) the general subcolumn of the 
                        column 1 rate of duty set forth in the 
                        Harmonized Tariff Schedule of the 
                        United States \8\ that is imposed by 
                        the United States on such article from 
                        any other foreign country on the day 
                        before the date on which the Agreement 
                        enters into force, or
                  (iii) in the case of a duty applied on a 
                seasonal basis to such article originating in 
                Canada, an increase in the rate of duty imposed 
                on such article originating in Canada to a 
                level that does not exceed the most-favored-
                nation rate of duty imposed by the United 
                States on such article originating in Canada 
                for the corresponding season immediately prior 
                to the date on which the Agreement enters into 
                force.
          (4)(A) No investigation may be initiated under 
        paragraph (2)(A) with respect to any article for which 
        import relief has been provided under this subsection.
          (B) No import relief may be provided under this 
        subsection after the date that is 10 years after the 
        date on which the Agreement enters into force.
          (5) For purposes of section 123 of the Trade Act of 
        1974 (19 U.S.C. 2133), any import relief provided by 
        the President under paragraph (3) shall be treated as 
        action taken under chapter I of title II of such Act.
  (b) Relief From Imports From All Countries.--
          (1)(A) If, in any investigation initiated under 
        chapter 1 of title II of the Trade Act of 1974, the 
        Commission makes an affirmative determination (or a 
        determination which is treated as an affirmative 
        determination under such chapter by reason of section 
        330(d) of the Tariff Act of 1930) that an article is 
        being imported into the United States in such increased 
        quantities as to be a substantial cause of serious 
        injury, or the threat thereof, to the domestic 
        industry, the Commission shall also find (and report to 
        the President at the time such injury determination is 
        submitted to the President), whether imports from 
        Canada of the article that is the subject of such 
        investigation are substantial and are contributing 
        importantly to such injury or threat thereof.
          (B)(i) In determining under subparagraph (A) whether 
        imports of an article from Canada are substantial, the 
        Commission shall not normally consider imports from 
        Canada in the range of 5 to 10 percent or less of total 
        imports of such article to be substantial.
          (ii) For purposes of this paragraph, the term 
        ``contributing importantly'' means an important cause, 
        but not necessarily the most important cause, of the 
        serious injury or threat thereof caused by imports.
          (2)(A) In determining whether to take action under 
        chapter 1 of title II of the Trade Act of 1974 with 
        respect to imports from Canada, the President shall 
        determine whether imports from Canada of such article 
        are substantial and contributing importantly to the 
        serious injury or threat of serious injury found by the 
        Commission.
          (B) In determining the nature and extent of action to 
        be taken under chapter 1 of title II of the Trade Act 
        of 1974, the President shall exclude from such action 
        imports from Canada if the President has made a 
        negative determination under subparagraph (A) regarding 
        imports from Canada.
          (3)(A) If, under paragraph (2)(B), the President 
        excludes imports from Canada from action taken under 
        chapter 1 of title II of the Trade Act of 1974, the 
        President may, if the President thereafter determines 
        that a surge in imports from Canada of the article that 
        is the subject of the action is undermining the 
        effectiveness of the action, take appropriate action 
        under such chapter with respect to such imports from 
        Canada to include such imports in such action.
          (B)(i) If, under paragraph (2)(B), the President 
        excludes imports from Canada from action taken under 
        chapter 1 of title II of the Trade Act of 1974, any 
        entity, including a trade association, firm, certified 
        or recognized union, or group of workers, that is 
        representative of an industry for which such action is 
        being taken under such chapter may request the 
        Commission to conduct an investigation of imports from 
        Canada of the article that is the subject of such 
        action.
          (ii) Upon receiving a request under clause (i), the 
        Commission shall conduct an investigation to determine 
        whether a surge in imports from Canada of the article 
        that is the subject of action being taken under chapter 
        1 of title II of the Trade Act of 1974 undermines the 
        effectiveness of such action. The Commission shall 
        submit the findings of such investigation to the 
        President by no later than the date that is 30 days 
        after the date on which such request is received by the 
        Commission.
          (C) For purposes of this paragraph, the term 
        ``surge'' means a significant increase in imports over 
        the trend for a reasonable, recent base period for 
        which data are available.
  (c) Any entity that is representative of an industry may 
submit a petition for relief under subsection (a), under 
chapter 1 of title II of the Trade Act of 1974, or under both 
subsection (a) and such chapter at the same time. If petitions 
are submitted by such an entity under subsection (a) and such 
chapter at the same time, the Commission shall consider such 
petitions jointly.

SEC. 303. ACTS IDENTIFIED IN NATIONAL TRADE ESTIMATES.

  With respect to any act, policy, or practice of Canada that 
is identified in the annual report submitted under section 181 
of the Trade Act of 1974 (19 U.S.C. 2241), the United States 
Trade Representative shall include--
          (1) information with respect to the action taken 
        regarding such act, policy, or practice, including but 
        not limited to--
                  (A) any action under section 301 of the Trade 
                Act of 1974 (including resolution through 
                appropriate dispute settlement procedures),
                  (B) any action under section 307 of the Trade 
                and Tariff Act of 1984, and
                  (C) negotiations or consultations, whether on 
                a bilateral or multilateral basis; or
          (2) the reasons that no action was taken regarding 
        such act, policy, or practice.

SEC. 304. NEGOTIATIONS REGARDING CERTAIN SECTORS; BIENNIAL REPORTS.

  (a) In General.--
          (1) The President is authorized to enter into 
        negotiations with the Government of Canada for the 
        purpose of concluding an agreement (including an 
        agreement amending the Agreement) or agreements to--
                  (A) liberalize trade in services in 
                accordance with article 1405 of the Agreement;
                  (B) liberalize investment rules;
                  (C) improve the protection of intellectual 
                property rights;
                  (D) increase the value requirement applied 
                for purposes of determining whether an 
                automotive product is treated as originating in 
                Canada or the United States; and
                  (E) liberalize government procurement 
                practices, particularly with regard to 
                telecommunications.
          (2) As an exercise of the foreign relations powers of 
        the President under the Constitution, the President 
        will enter into immediate consultations with the 
        Government of Canada to obtain the exclusion from the 
        transport rates established under Canada's Western 
        Grain Transportation Act of agricultural goods that 
        originate in Canada and are shipped via east coast 
        ports for consumption in the United States.
  (b) Negotiating Objectives Regarding Services, Investment, 
and Intellectual Property Rights.--
          (1) The objectives of the United States in 
        negotiations conducted under subsection (a)(1)(A) to 
        liberalize trade in services include--
                  (A) with respect to developing services 
                sectors not covered in the Agreement, the 
                elimination of those tariff, nontariff, and 
                subsidy trade distortions that have potential 
                to affect significant bilateral trade;
                  (B) the elimination or reduction of measures 
                grandfathered by the Agreement that deny or 
                restrict national treatment in the provision of 
                services;
                  (C) the elimination of local presence 
                requirements; and
                  (D) the liberalization of government 
                procurement of services.
        In conducting such negotiations, the President shall 
        consult with the services advisory committees 
        established under section 135 of the Trade Act of 1974 
        (19 U.S.C. 2155).
          (2) The objectives of the United States in any 
        negotiations conducted under subsection (a)(1)(B) to 
        liberalize investment rules include--
                  (A) the elimination of direct investment 
                screening;
                  (B) the extension of the principles of the 
                Agreement to energy and cultural industries, to 
                the extent such industries are not currently 
                covered by the Agreement;
                  (C) the elimination of technology transfer 
                requirements and other performance requirements 
                not currently barred by the Agreement; and
                  (D) the subjection of all investment disputes 
                to dispute resolution under chapter 18 of the 
                Agreement.
        In conducting such negotiations, the President shall 
        consult with persons representing diverse interests in 
        the United States in investment.
          (3) The objectives of the United States in any 
        negotiations conducted under subsection (a)(1)(C) to 
        improve the protection of intellectual property rights 
        include--
                  (A) the recognition and adequate protection 
                of intellectual property, including copyrights, 
                patents, process patents, trademarks, mask 
                works, and trade secrets; and
                  (B) the establishment of dispute resolution 
                procedures and binational enforcement of 
                intellectual property standards.
        In conducting such negotiations, the President shall 
        consult with persons representing diverse interests in 
        the United States in intellectual property.
  (c) Negotiating Objectives Regarding Automotive Products.--
          (1) In conducting negotiations under subsection 
        (a)(1)(D) regarding the value requirement for 
        automotive products, the President shall seek to 
        conclude an agreement by no later than January 1, 1990, 
        to increase the value requirement from 50 percent to at 
        least 60 percent.
          (2) The President is authorized, through January 1, 
        1999, to proclaim any agreed increase in the value 
        requirement.
          (3) As used in this section, the term ``value 
        requirement'' means the minimum percentage of the value 
        of an automotive product that must be accounted for by 
        the value of the materials in the product that 
        originated in the United States or Canada, or both, 
        plus the direct cost of processing or assembly 
        performed in the United States or Canada, or both, with 
        respect to the product.
  (d) Negotiation of Limitation on Potato Trade.--
          (1) During the 5-year period beginning on the date of 
        enactment of this Act, the President is authorized to 
        enter into negotiations with Canada for the purpose of 
        obtaining an agreement to limit the exportation and 
        importation of all potatoes between the United States 
        and Canada, including seed potatoes, fresh, chilled or 
        frozen potatoes, dried, desiccated or dehydrated 
        potatoes, and potatoes otherwise prepared or preserved. 
        Any agreement negotiated under this subsection shall 
        provide for an annual limitation divided equally into 
        each half of the year.
          (2) For the purpose of conducting negotiations under 
        paragraph (1), the Secretary of Agriculture and the 
        United States Trade Representative shall consult with 
        representatives of the potato producing industry, 
        including the Ad Hoc Potato Advisory Group and the 
        United States/Canada Horticultural Industry Advisory 
        Committee, to solicit their views on negotiations with 
        Canada for reciprocal quantitative limits on the potato 
        trade.
          (3) The President is authorized to direct the 
        Secretary of the Treasury to--
                  (A) carry out such actions as may be 
                necessary or appropriate to ensure the 
                attainment of the objectives of any agreement 
                that is entered into under this section; and
                  (B) enforce any quantitative limitation, 
                restriction, and other terms contained in the 
                agreement.
        Such actions may include, but are not limited to, 
        requirements that valid export licenses or other 
        documentation issued by a foreign government be 
        presented as a condition for the entry into the United 
        States of any article that is subject to the agreement.
          (4) The provisions of section 1204 of the Agriculture 
        and Food Act of 1981 (7 U.S.C. 1736j) and the last 
        sentence of section 812 of the Agricultural Act of 1970 
        (7 U.S.C. 612c-3) shall not apply in the case of 
        actions taken pursuant to this subsection.
  (e) Canadian Controls on Fish.--
          (1) Within 30 days of the application by Canada of 
        export controls on unprocessed fish under statutes 
        exempted from the Agreement under article 1203, or the 
        application of landing requirements for fish caught in 
        Canadian waters, the President shall take appropriate 
        action to enforce United States rights under the 
        General Agreement on Tariffs and Trade that are 
        retained in article 1205 of the Agreement.
          (2) In enforcing the United States rights referred to 
        in paragraph (1), the President has discretion to--
                  (A) bring a challenge to the offending 
                Canadian practices before the GATT;
                  (B) retaliate against such offending 
                practices;
                  (C) seek resolution directly with Canada;
                  (D) refer the matter for dispute resolution 
                to the Canada-United States Trade Commission; 
                or
                  (E) take other action that the President 
                considers appropriate to enforce such United 
                States rights.
  (f) Biennial Report.--The President shall submit to the 
Congress, at the close of each biennial period occurring after 
the date on which the Agreement enters into force, a report 
regarding--
          (1) the status of the negotiations regarding 
        agreements that the President is authorized to enter 
        into with Canada under this section;
          (2) the effectiveness and operation of any agreement 
        entered into under section 304 that is in force with 
        respect to the United States;
          (3) the effectiveness of operation of the Agreement 
        generally; and
          (4) the actions taken by the United States and Canada 
        to implement further the objectives of the Agreement.

SEC. 305. ENERGY.

  (a) \9\ * * *
---------------------------------------------------------------------------
    \9\ Subsec. (a) amended sec. 7(d)(1) of the Export Administration 
Act of 1979 (50 U.S.C. App. 2406(d)(1)).
---------------------------------------------------------------------------
  (b) * * *

SEC. 306.\10\ * * *
---------------------------------------------------------------------------

    \10\ Sec. 306 amended sec. 308(4) of the Trade Agreements Act of 
1979 (19 U.S.C. 2518(4)).
---------------------------------------------------------------------------

SEC. 307. TEMPORARY ENTRY FOR BUSINESS PERSONS.

  (a) Nonimmigrant Traders and Investors.--Upon a basis of 
reciprocity secured by the United States-Canada Free-Trade 
Agreement, a citizen of Canada, and the spouse and children of 
any such citizen if accompanying or following to join such 
citizen, may, if otherwise eligible for a visa and if otherwise 
admissible into the United States under the Immigration and 
Nationality Act (8 U.S.C. 1101 et seq.), be considered to be 
classifiable as a nonimmigrant under section 101(a)(15)(E) of 
such Act (8 U.S.C. 1101(a)(15)(E)) if entering solely for a 
purpose specified in Annex 1502.1 (United States of America), 
Part B--Traders and Investors, of such Agreement, but only if 
any such purpose shall have been specified in such Annex as of 
the date of entry into force of such Agreement.
  (b) * * *

SEC. 308. * * *

SEC. 309. STEEL PRODUCTS.

  Nothing in this Act shall preclude any discussion or 
negotiation between the United States and Canada in order to 
conclude voluntary restraint agreements or mutually agreed 
quantitative restrictions on the volume of steel products 
entering the United States from Canada.

   TITLE IV--BINATIONAL PANEL DISPUTE SETTLEMENT IN ANTIDUMPING AND 
                       COUNTERVAILING DUTY CASES.

SEC. 401. AMENDMENTS TO SECTION 516A OF THE TARIFF ACT OF 1930. * * *

SEC. 402. * * *

SEC. 403. CONFORMING AMENDMENTS TO THE TARIFF ACT OF 1930.

  (a) * * *
  (b) * * *
  (c) \11\ * * *
---------------------------------------------------------------------------
    \11\ Subsec. (c) amended sec. 777 of the Tariff Act of 1930.
---------------------------------------------------------------------------
  (d) \12\ * * *
---------------------------------------------------------------------------
    \12\ Subsec. (d) amended sec. 771 of the Tariff Act of 1930 (19 
U.S.C. 1677).
---------------------------------------------------------------------------

SEC. 404. AMENDMENTS TO ANTIDUMPING AND COUNTERVAILING DUTY LAW.

  Any amendment enacted after the Agreement enters into force 
with respect to the United States that is made to--
          (1) section 303 or title VII of the Tariff Act of 
        1930,\13\ or any successor statute, or
---------------------------------------------------------------------------
    \13\ The Customs and Trade Act of 1990 (Public Law 101-382;; 104 
Stat. 629) made several amendments to title VII of the Tariff Act of 
1930; sec. 135(c) of that Act further provided:
    ``(c) Application of Amendments to Products of Canadian Origin.--
For purposes of section 404 of the United States-Canada Free-Trade 
Agreement Implementation Act of 1988, the amendments made by subsection 
(b) [to sec. 777 of the Tariff Act] also apply with respect to 
investigations under title VII of the Tariff Act of 1930 involving 
products of Canadian origin.''.
---------------------------------------------------------------------------
          (2) any other statute which--
                  (A) provides for judicial review of final 
                determinations under such section, title, or 
                statute, or
                  (B) indicates the standard of review to be 
                applied,
shall apply to Canada only to the extent specified in such 
amendment.

SEC. 405. ORGANIZATIONAL AND ADMINISTRATIVE PROVISIONS REGARDING THE 
                    IMPLEMENTATION OF CHAPTERS 18 AND 19 OF THE 
                    AGREEMENT.

  (a) Appointment of Individuals to Panels and Committees.--
          (1)(A) There is established within the interagency 
        organization established under section 242 of the Trade 
        Expansion Act of 1962 (19 U.S.C. 1872) an interagency 
        group which shall--
                  (i) be chaired by the United States Trade 
                Representative (hereafter in this section 
                referred to as the ``Trade Representative''), 
                and
                  (ii) consist of such officers (or the 
                designees thereof) of the Government of the 
                United States as the Trade Representative 
                considers appropriate.
          (B) The interagency group established under 
        subparagraph (A) shall, in a manner consistent with 
        chapter 19 of the Agreement--
                  (i) prepare by January 3 of each calendar 
                year--
                          (I) a list of individuals who are 
                        qualified to serve as members of 
                        binational panels convened under 
                        chapter 19 of the Agreement, and
                          (II) a list of individuals who are 
                        qualified to serve on extraordinary 
                        challenge committees convened under 
                        such chapter,
                  (ii) if the Trade Representative makes a 
                request under paragraph (5)(A)(i) with respect 
                to a final candidate list during any calendar 
                year, prepare by July 1 of such calendar year a 
                list of those individuals who are qualified to 
                be added to that final candidate list,
                  (iii) exercise oversight of the 
                administration of the United States Secretariat 
                that is authorized to be established under 
                subsection (e), and
                  (iv) make recommendations to the Trade 
                Representative regarding the convening of 
                extraordinary challenge committees under 
                chapter 19 of the Agreement.
          (2)(A) The Trade Representative shall select 
        individuals from the respective lists prepared by the 
        interagency group under paragraph (1)(B)(i) for 
        placement on a preliminary candidate list of 
        individuals eligible to serve as members of binational 
        panels under Annex 1901.2 of the Agreement and a 
        preliminary candidate list of individuals eligible for 
        selection as members of extraordinary challenge 
        committees under Annex 1904.13 of the Agreement.
          (B) The selection of individuals for--
                  (i) placement on lists prepared by the 
                interagency group under clause (i) or (ii) of 
                paragraph (1)(B),
                  (ii) placement on preliminary candidate lists 
                under subparagraph (A),
                  (iii) placement on final candidate lists 
                under paragraph (3),
                  (iv) placement by the Trade Representative on 
                the rosters described in Annex 1901.2(1) and 
                Annex 1904.13(1) of the Agreement, and
                  (v) appointment by the Trade Representative 
                for service on binational panels and 
                extraordinary challenge committees convened 
                under chapter 19 of the Agreement,
        shall be made on the basis of the criteria provided in 
        Annex 1901.2(1) and Annex 1904.13(1) of the Agreement 
        and shall be made without regard to political 
        affiliation.
          (C) For purposes of applying section 1001 of title 
        18, United States Code, the written or oral responses 
        of individuals to inquiries of the interagency group 
        established under paragraph (1) or the Trade 
        Representative regarding their personal and 
        professional qualifications, and financial and other 
        relevant interests, that bear on their suitability for 
        the placements and appointments described in 
        subparagraph (B), shall be treated as matters within 
        the jurisdiction of an agency of the United States.
          (3)(A) By no later than January 3 of each calendar 
        year, the Trade Representative shall submit to the 
        Committee on Finance of the Senate and the Committee on 
        Ways and Means of the House of Representatives 
        (hereafter in this section referred to as the 
        ``appropriate Congressional Committees'') the 
        preliminary candidate lists of those individuals 
        selected by the Trade Representative under paragraph 
        (2)(A) to be candidates eligible to serve on binational 
        panels or extraordinary challenge committees convened 
        pursuant to chapter 19 of the Agreement during the 1-
        year period beginning on April 1 of such calendar year.
          (B) Upon submission of the preliminary candidate 
        lists under subparagraph (A) to the appropriate 
        Congressional Committees, the Trade Representative 
        shall consult with the appropriate Congressional 
        Committees with regard to the individuals listed on the 
        preliminary candidate lists.
          (C) The Trade Representative may add or delete 
        individuals from the preliminary candidate lists 
        submitted under subparagraph (A) after consulting the 
        appropriate Congressional Committees with regard to 
        such addition or deletion. The Trade Representative 
        shall provide to the appropriate Congressional 
        Committees written notice of any addition or deletion 
        of an individual from the preliminary candidate lists.
          (4)(A) By no later than March 31 of each calendar 
        year, the Trade Representative shall submit to the 
        appropriate Congressional Committees the final 
        candidate lists of those individuals selected by the 
        Trade Representative to be candidates eligible to serve 
        on binational panels and extraordinary challenge 
        committees convened pursuant to chapter 19 of the 
        Agreement during the 1-year period beginning on April 1 
        of such calendar year. An individual may be included on 
        a final candidate list only if written notice of the 
        addition of such individual to the preliminary 
        candidate list was submitted to the appropriate 
        Congressional Committees at least 15 days before the 
        date on which that final candidate list is submitted to 
        the appropriate Congressional Committees under this 
        subparagraph.
          (B) Except as provided in paragraph (5), no additions 
        may be made to the final candidate lists after the 
        final candidate lists are submitted to the appropriate 
        Congressional Committees under subparagraph (A).
          (5)(A) If, after the Trade Representative has 
        submitted the final candidate lists to the appropriate 
        Congressional Committees under paragraph (4)(A) for a 
        calendar year and before July 1 of such calendar year, 
        the Trade Representative determines that additional 
        individuals need to be added to a final candidate list, 
        the Trade Representative shall--
                  (i) request the interagency group established 
                under paragraph (1)(A) to prepare a list of 
                individuals who are qualified to be added to 
                such candidate list,
                  (ii) select individuals from the list 
                prepared by the interagency group under 
                paragraph (1)(B)(ii) to be included in a 
                proposed amendment to such final candidate 
                list, and
                  (iii) by no later than July 1 of such 
                calendar year, submit to the appropriate 
                Congressional Committees the proposed 
                amendments to such final candidate list 
                developed by the Trade Representative under 
                clause (ii).
          (B) Upon submission of a proposed amendment under 
        subparagraph (A)(iii) to the appropriate Congressional 
        Committees, the Trade Representative shall consult with 
        the appropriate Congressional Committees with regard to 
        the individuals included in the proposed amendment.
          (C) The Trade Representative may add or delete 
        individuals from any proposed amendment submitted under 
        subparagraph (A)(iii) after consulting the appropriate 
        Congressional Committees with regard to such addition 
        or deletion. The Trade Representative shall provide to 
        the appropriate Congressional Committees written notice 
        of any addition or deletion of an individual from the 
        proposed amendment.
          (D)(i) If the Trade Representative submits under 
        subparagraph (A)(iii) in any calendar year a proposed 
        amendment to a final candidate list, the Trade 
        Representative shall, by no later than September 30 of 
        such calendar year, submit to the appropriate 
        Congressional Committees the final form of such 
        amendment. On October 1 of such calendar year, such 
        amendment shall take effect and the individuals 
        included in the final form of such amendment shall be 
        added to the final candidate list.
          (ii) An individual may be included in the final form 
        of an amendment submitted under clause (i) only if 
        written notice of the addition of such individual to 
        the proposed form of such amendment was submitted to 
        the appropriate Congressional Committees at least 15 
        days before the date on which the final form of such 
        amendment is submitted under clause (i).
          (iii) Individuals added to a final candidate list 
        under clause (i) shall be eligible to serve on 
        binational panels or extraordinary challenge committees 
        convened pursuant to chapter 19 of the Agreement, as 
        the case may be, during the 6-month period beginning on 
        October 1 of the calendar year in which such addition 
        occurs.
          (iv) No additions may be made to the final form of an 
        amendment described in clause (i) after the final form 
        of such amendment is submitted to the appropriate 
        Congressional Committees under clause (i).
          (6)(A) The Trade Representative is the only officer 
        of the Government of the United States authorized to 
        act on behalf of the Government of the United States in 
        making any selection or appointment of an individual 
        to--
                  (i) the rosters described in Annex 1901.2(1) 
                and Annex 1904.13(1) of the Agreement, or
                  (ii) the binational panels or extraordinary 
                challenge committees convened pursuant to 
                chapter 19 of the Agreement,
        that is to be made solely or jointly by the Government 
        of the United States under the terms of the Agreement.
          (B) Except as otherwise provided in paragraph (7)(B), 
        the Trade Representative may--
                  (i) select an individual for placement on the 
                rosters described in Annex 1901.2(1) and Annex 
                1904.13(1) of the Agreement during the 1-year 
                period beginning on April 1 of any calendar 
                year,
                  (ii) appoint an individual to serve as one of 
                those members of any binational panel or 
                extraordinary challenge committee convened 
                pursuant to chapter 19 of the Agreement during 
                such 1-year period who, under the terms of the 
                Agreement, are to be appointed solely by the 
                Government of the United States, or
                  (iii) act to make a joint appointment with 
                the Government of Canada, under the terms of 
                the Agreement, of any individual who is a 
                citizen or national of the United States to 
                serve as any other member of such a panel or 
                committee,
        only if such individual is on the appropriate final 
        candidate list that was submitted to the appropriate 
        Congressional Committees under paragraph (4)(A) during 
        such calendar year or on such list as it may be amended 
        under paragraph (5)(D)(i).
          (7)(A) Except as otherwise provided in this 
        paragraph, no individual may--
                  (i) be selected by the Government of the 
                United States for placement on the rosters 
                described in Annex 1901.2(1) and Annex 
                1904.13(1) of the Agreement, or
                  (ii) be appointed solely or jointly by the 
                Government of the United States to serve as a 
                member of a binational panel or extraordinary 
                challenge committee convened pursuant to 
                chapter 19 of the Agreement,
        during the 1-year period beginning on April 1 of any 
        calendar year for which the Trade Representative has 
        not met the requirements of this subsection.
          (B)(i) Notwithstanding paragraphs (3), (4), or (6)(B) 
        (other than paragraph (3)(A)), individuals listed on 
        the preliminary candidate lists submitted to the 
        appropriate Congressional Committees under paragraph 
        (3)(A) may--
                  (I) be selected by the Trade Representative 
                for placement on the rosters described in Annex 
                1901.2(1) and Annex 1904.13(1) of the Agreement 
                during the 3-month period beginning on the date 
                on which the Agreement enters into force, and
                  (II) be appointed solely or jointly by the 
                Trade Representative under the terms of the 
                Agreement to serve as members of binational 
                panels or extraordinary challenge committees 
                that are convened pursuant to chapter 19 of the 
                Agreement during such 3-month period.
          (ii) If the Agreement enters into force after January 
        3, 1989, the provisions of this subsection shall be 
        applied with respect to the calendar year in which the 
        Agreement enters into force--
                  (I) by substituting ``the date that is 30 
                days after the date on which the Agreement 
                enters into force'' for ``January 3 of each 
                calendar year'' in paragraphs (1)(B)(i) and 
                (3)(A), and
                  (II) by substituting ``the date that is 3 
                months after the date on which the Agreement 
                enters into force'' for ``March 31 of each 
                calendar year'' in paragraph (4)(A).
  (b) Status of Panelists.--Notwithstanding any other provision 
of law, individuals appointed by the United States to serve on 
panels or committees convened pursuant to chapter 19 of the 
Agreement, and individuals designated to assist such appointed 
individuals, shall not be considered to be employees or special 
employees of, or to be otherwise affiliated with, the 
Government of the United States.
  (c) Immunity of Panelists.--With the exception of acts 
described in section 777f(d)(3) of the Tariff Act of 1930, as 
added by this Act, individuals serving on panels or committees 
convened pursuant to chapter 19 of the Agreement, and 
individuals designated to assist the individuals serving on 
such panels or committees, shall be immune from suit and legal 
process relating to acts performed by such individuals in their 
official capacity and within the scope of their functions as 
such panelists or committee members or assistants to such 
panelists or committee members.
  (d) Regulations.--The administering authority under title VII 
of the Tariff Act of 1930, the United States International 
Trade Commission, and the United States Trade Representative 
may promulgate such regulations as are necessary or appropriate 
to carry out actions in order to implement their respective 
responsibilities under chapters 18 and 19 of the Agreement. 
Initial regulations to carry out such functions shall be issued 
prior to the date of entry into force of the Agreement.
  (e) Establishment of United States Secretariat.--
          (1) The President is authorized to establish within 
        any department or agency of the Federal Government a 
        United States Secretariat which, subject to the 
        oversight of the interagency group established under 
        subsection (a)(1)(A), shall facilitate--
                  (A) the operation of chapters 18 and 19 of 
                the Agreement, and
                  (B) the work of the binational panels and 
                extraordinary challenge committees convened 
                under chapters 18 and 19 of the Agreement.
          (2) The United States Secretariat established by the 
        President under paragraph (1) shall not be considered 
        to be an agency for purposes of section 552 of title 5, 
        United States Code.

SEC. 406. AUTHORIZATION OF APPROPRIATIONS FOR THE SECRETARIAT, THE 
                    PANELS, AND THE COMMITTEES.

  (a) The Secretariat.--There are authorized to be appropriated 
to the department or agency within which the United States 
Secretariat described in chapter 19 of the Agreement is 
established the lesser of--
          (1) such sums as may be necessary, or
          (2) $5,000,000,
for each fiscal year succeeding fiscal year 1988 for the 
establishment and operations of such United States Secretariat 
and for the payment of the United States share of the expenses 
of the dispute settlement proceedings under chapter 18 of the 
Agreement.
  (b) Panels and Committees.--
          (1) There are authorized to be appropriated to the 
        Office of the United States Trade Representative for 
        fiscal year 1990, $1,492,000 \14\ to pay during such 
        fiscal year the United States share of the expenses of 
        binational panels and extraordinary challenge 
        committees convened pursuant to chapter 19 of the 
        Agreement.
---------------------------------------------------------------------------
    \14\ Sec. 1(b) of Public Law 101-207 (103 Stat. 1833) struck out 
``1989 such sums as may be necessary'' and inserted in lieu thereof 
``1990, $1,492,000''.
---------------------------------------------------------------------------
          (2) \15\ The United States Trade Representative is 
        authorized to transfer to any department or agency of 
        the United States, from sums appropriated pursuant to 
        the authorization provided under paragraph (1) or 
        section 141(g)(1) of the Trade Act of 1974, such funds 
        as may be necessary to facilitate the payment of the 
        expenses described in paragraph (1).
---------------------------------------------------------------------------
    \15\ Sec. 103(b) of the Customs and Trade Act of 1990 (Public Law 
101-382; 104 Stat. 635) amended and restated para. (2).
---------------------------------------------------------------------------
          (3) Funds appropriated for the payment of expenses 
        described in paragraph (1) during any fiscal year may 
        be expended only to the extent such funds do not exceed 
        the amount authorized to be appropriated under 
        paragraph (1) for such fiscal year. This paragraph 
        shall apply, notwithstanding any law enacted after the 
        date of enactment of this Act, unless such subsequent 
        law specifically provides that this paragraph shall not 
        apply and specifically cites this paragraph.
          (4) \16\ If the Canadian Secretariat described in 
        chapter 19 of the Agreement provides funds during any 
        fiscal year for the purpose of paying, in accordance 
        with Annex 1901.2 of the Agreement, the Canadian share 
        of the expenses of binational panels, the United States 
        Secretariat established under section 405(e)(1) may 
        hereafter retain and use such funds for such purposes.
---------------------------------------------------------------------------
    \16\ Sec. 134(b)(1) of the Customs and Trade Act of 1990 (Public 
Law 101-382; 104 Stat. 651) added para. (4).
---------------------------------------------------------------------------

SEC. 407. TESTIMONY AND PRODUCTION OF PAPERS IN EXTRAORDINARY 
                    CHALLENGES.

  (a) Authority of Extraordinary Challenge Committee To Obtain 
Information.--If an extraordinary challenge committee 
(hereinafter referred to in this section as the ``committee'') 
is convened pursuant to article 1904(13) of the Agreement, and 
the allegations before the committee include a matter referred 
to in article 1904(13)(a)(i) of the Agreement, for the purposes 
of carrying out its functions and duties under Annex 1904.13 of 
the Agreement, the committee--
          (1) shall have access to, and the right to copy, any 
        document, paper, or record pertinent to the subject 
        matter under consideration, in the possession of any 
        individual, partnership, corporation, association, 
        organization, or other entity,
          (2) may summon witnesses, take testimony, and 
        administer oaths,
          (3) may require any individual, partnership, 
        corporation, association, organization, or other entity 
        to produce documents, books, or records relating to the 
        matter in question, and
          (4) may require any individual, partnership, 
        corporation, association, organization, or other entity 
        to furnish in writing, in such detail and in such form 
        as the committee may prescribe, information in its 
        possession pertaining to the matter.
Any member of the committee may sign subpoenas, and members of 
the committee, when authorized by the committee, may administer 
oaths and affirmations, examine witnesses, take testimony, and 
receive evidence.
  (b) Witnesses and Evidence.--The attendance of witnesses who 
are authorized to be summoned, and the production of 
documentary evidence authorized to be ordered, under subsection 
(a) may be required from any place in the United States at any 
designated place of hearing. In the case of disobedience to a 
subpoena authorized under subsection (a), the committee may 
request the Attorney General of the United States to invoke the 
aid of any district or territorial court of the United States 
in requiring the attendance and testimony of witnesses and the 
production of documentary evidence. Such court, within the 
jurisdiction of which such inquiry is carried on, may, in case 
of contumacy or refusal to obey a subpoena issued to any 
individual, partnership, corporation, association, 
organization, or other entity, issue an order requiring such 
individual or entity to appear before the committee, or to 
produce documentary evidence if so ordered or to give evidence 
concerning the matter in question. Any failure to obey such 
order of the court may be punished by such court as a contempt 
thereof.
  (c) Mandamus.--Any court referred to in subsection (b) shall 
have jurisdiction to issue writs of mandamus commanding 
compliance with the provisions of this section or any order of 
the committee made in pursuance thereof.
  (d) Depositions.--The committee may order testimony to be 
taken by deposition at any stage of the committee review. Such 
deposition may be taken before any person designated by the 
committee and having power to administer oaths. Such testimony 
shall be reduced to writing by the person taking the 
deposition, or under the direction of such person, and shall 
then be subscribed by the deponent. Any individual, 
partnership, corporation, association, organization or other 
entity may be compelled to appear and depose and to produce 
documentary evidence in the same manner as witnesses may be 
compelled to appear and testify and produce documentary 
evidence before the committee, as provided in this section.

SEC. 408. REQUESTS FOR REVIEW OF CANADIAN ANTIDUMPING AND 
                    COUNTERVAILING DUTY DETERMINATIONS.

  (a) Requests for Review by the United States.--In the case of 
a final antidumping or countervailing duty determination of a 
competent investigating authority of Canada, as defined in 
article 1911 of the Agreement, requests by the United States 
for binational panel review under article 1904 of the Agreement 
shall be made by the United States Secretary, described in 
article 1909(4) of the Agreement.
  (b) Requests for Review by a Person.--In the case of a final 
antidumping or countervailing duty determination of a competent 
investigating authority of Canada, as defined in article 1911 
of the Agreement, a person, within the meaning of article 
1904(5) of the Agreement, may request a binational panel review 
of such determination by filing with the United States 
Secretary, described in article 1909(4) of the Agreement, such 
a request within the time limit provided for in article 1904(4) 
of the Agreement. The receipt of such request by the United 
States Secretary shall be deemed to be a request for binational 
panel review within the meaning of article 1904(4) of the 
Agreement. Such request shall contain such information and be 
in such form, manner, and style as the administering authority 
shall prescribe by regulations. The request for such panel 
review shall not preclude the United States, Canada, or any 
other person from challenging before a binational panel the 
basis for a particular request for review.
  (c) Service of Request for Review.--Whenever binational panel 
review is requested under this section, the United States 
Secretary shall serve a copy of the request on all who would 
otherwise be entitled under Canadian law to commence procedures 
for judicial review of a final antidumping or countervailing 
duty determination made by a competent investigating authority 
of Canada.\17\
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    \17\ Sec. 134(b)(2) of the Customs and Trade Act of 1990 (Public 
Law 101-382; 104 Stat. 651) stuck out ``persons who would be regarded 
as interested parties to the proceeding if the determination in 
question had been made under title VII of the Tariff Act of 1930'' and 
inserted in lieu thereof ``who would otherwise be entitled under 
Canadian law to commence procedures for judicial review of a final 
antidumping or countervailing duty determination made by a competent 
investigating authority of Canada.''.
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SEC. 409. SUBSIDIES.

  (a) Negotiating Authority.--
          (1) The President is authorized to enter into an 
        agreement with Canada, including an agreement to amend 
        the Agreement, on rules applicable to trade between the 
        United States and Canada that--
                  (A) deal with unfair pricing and government 
                subsidization, and
                  (B) provide for increased discipline on 
                subsidies.
          (2)(A) The objectives of the United States in 
        negotiating an agreement under paragraph (1) include 
        (but are not limited to)--
                  (i) achievement, on an expedited basis, of 
                increased discipline on government production 
                and export subsidies that have a significant 
                impact, directly or indirectly, on bilateral 
                trade between the United States and Canada; and
                  (ii) attainment of increased and more 
                effective discipline on those Canadian 
                Government (including provincial) subsidies 
                having the most significant adverse impact on 
                United States producers that compete with 
                subsidized products of Canada in the markets of 
                the United States and Canada.
          (B) Special emphasis should be given in negotiating 
        an agreement under paragraph (1) to obtain discipline 
        on Canadian subsidy programs that adversely affect 
        United States industries which directly compete with 
        subsidized imports.
          (3) \18\ The United States members of the working 
        group established under article 1907 of the Agreement 
        shall consult regularly with the Committee on Finance 
        of the Senate, the Committee on Ways and Means of the 
        House of Representatives, and advisory committees 
        established under section 135 of the Trade Act of 1974 
        regarding--
---------------------------------------------------------------------------
    \18\ Sec. 1021(d) of Public Law 104-66 (109 Stat. 712) amended and 
restated para. (3), eliminating an annual report to congressional 
committees on the progress being made reaching the objectives stated in 
para. (2).
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                  (A) the issues being considered by the 
                working group; and
                  (B) as appropriate, the objectives and 
                strategy of the United States in the 
                negotiations.
          (4) Notwithstanding any other provision of this Act 
        or of any other law, the provisions of section 151 of 
        the Trade Act of 1974 (19 U.S.C. 2191) shall not apply 
        to any bill or joint resolution that implements an 
        agreement entered into under paragraph (1), unless the 
        President determines and notifies the Congress that 
        such agreement--
                  (A) will provide greater discipline over 
                government subsidies and no less discipline 
                over unfair pricing practices by producers than 
                that provided by the agreements described in 
                paragraphs (5) and (6) of section 2 of the 
                Trade Agreements Act of 1979 (the Subsidies 
                Code and Antidumping Code), respectively, 
                taking into account the effects of the 
                Agreement, and
                  (B) will neither undermine such multilateral 
                discipline nor detract from United States 
                efforts to increase such discipline on a 
                multilateral basis in, or subsequent to, the 
                Uruguay Round of multilateral trade 
                negotiations.
  (b) Identification of Industries Facing Subsidized Imports.--
          (1) Any entity, including a trade association, firm, 
        certified or recognized union, or group of workers, 
        that is representative of a United States industry and 
        has reason to believe that--
                  (A)(i) as a result of implementation of 
                provisions of the Agreement, the industry is 
                likely to face increased competition from 
                subsidized Canadian imports with which it 
                directly competes; or
                  (ii) the industry is likely to face increased 
                competition from subsidized imports with which 
                it directly competes from any other country 
                designated by the President, following 
                consultations with the Congress, as benefiting 
                from a reduction of tariffs or other trade 
                barriers under a trade agreement that enters 
                into force after January 1, 1989; and
                  (B) the industry is likely to experience a 
                deterioration of its competitive position 
                before rules and disciplines relating to the 
                use of government subsidies have been developed 
                with respect to such country;
        may file a petition with the United States Trade 
        Representative (hereafter referred to in this section 
        as the ``Trade Representative'') to be identified under 
        this section.
          (2) Within 90 days of receipt of a petition under 
        paragraph (1), the Trade Representative, in 
        consultation with the Secretary of Commerce, shall 
        decide whether to identify the industry on the basis 
        that there is a reasonable likelihood that the industry 
        may face both the subsidization described in paragraph 
        (1)(A) and the deterioration described in paragraph 
        (1)(B).
          (3) At the request of an entity that is 
        representative of an industry identified under 
        paragraph (2), the Trade Representative shall--
                  (A) compile and make available to the 
                industry information under section 308 \19\ of 
                the Trade Act of 1974,
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    \19\ Sec. 134(b)(3) of the Customs and Trade Act of 1990 (Public 
Law 101-382; 104 Stat. 651) struck out ``section 305'' and inserted in 
lieu thereof ``section 308''.
---------------------------------------------------------------------------
                  (B) recommend to the President that an 
                investigation by the United States 
                International Trade Commission be requested 
                under section 332 of the Tariff Act of 1930, or
                  (C) take actions described in both 
                subparagraphs (A) and (B).
        The industry may request the Trade Representative to 
        take appropriate action to update (as often as 
        annually) any information obtained under subparagraph 
        (A) or (B), or both, as the case may be, until an 
        agreement on adequate rules and disciplines relating to 
        government subsidies is reached.
          (4)(A) The Trade Representative and the Secretary of 
        Commerce shall review information obtained under 
        paragraph (3) and consult with the industry identified 
        under paragraph (2) with a view to deciding whether any 
        action is appropriate under section 301 of the Trade 
        Act of 1974, including the initiation of an 
        investigation under section 302(c) of that Act (in the 
        case of the Trade Representative), or under subtitle A 
        of title VII of the Tariff Act of 1930, including the 
        initiation of an investigation under section 702(a) of 
        that Act (in the case of the Secretary of Commerce).
          (B) In determining whether to initiate any 
        investigation under section 301 of the Trade Act of 
        1974 or any other trade law, other than title VII of 
        the Tariff Act of 1930, the Trade Representative, after 
        consultation with the Secretary of Commerce--
                  (i) shall seek the advice of the advisory 
                committees established under section 135 of the 
                Trade Act of 1974;
                  (ii) shall consult with the Committee on 
                Finance of the Senate and the Committee on Ways 
                and Means of the House of Representatives;
                  (iii) shall coordinate with the interagency 
                committee established under section 242 of the 
                Trade Expansion Act of 1962; and
                  (iv) may ask the President to request advice 
                from the United States International Trade 
                Commission.
          (C) In the event an investigation is initiated under 
        section 302(c) of the Trade Act of 1974 as a result of 
        a review under this paragraph and the President, 
        following such investigation (including any applicable 
        dispute settlement proceedings under the Agreement or 
        any other trade agreement), determines to take action 
        under section 301(a) of such Act, the President shall 
        give preference to actions that most directly affect 
        the products that benefit from governmental subsidies 
        and were the subject of the investigation, unless there 
        are no significant imports of such products or the 
        President otherwise determines that application of the 
        action to other products would be more effective.
          (5) Any decision, whether positive or negative, or 
        any action by the Trade Representative or the Secretary 
        of Commerce under this section shall not in any way--
                  (A) prejudice the right of any industry to 
                file a petition under any trade law,
                  (B) prejudice, affect, or substitute for, any 
                proceeding, investigation, determination, or 
                action by the Secretary of Commerce, the United 
                States International Trade Commission, or the 
                Trade Representative pursuant to such a 
                petition,
                  (C) prejudice, affect, substitute for, or 
                obviate any proceeding, investigation, or 
                determination under section 301 of the Trade 
                Act of 1974, title VII of the Tariff Act of 
                1930, or any other trade law.
          (6) Nothing in this subsection may be construed to 
        alter in any manner the requirements in effect before 
        the enactment of this Act for standing under any law of 
        the United States or to add any additional requirements 
        for standing under any law of the United States.

SEC. 410. TERMINATION OF AGREEMENT.

  (a) In General.--If--
          (1) no agreement is entered into between the United 
        States and Canada on a substitute system of rules for 
        antidumping and countervailing duties before the date 
        that is 7 years after the date on which the Agreement 
        enters into force, and
          (2) the President decides not to exercise the rights 
        of the United States under article 1906 of the 
        Agreement to terminate the Agreement,
the President shall submit to the Congress a report on such 
decision which explains why continued adherence to the 
Agreement is in the national economic interest of the United 
States. In calculating the 7-year period referred to in 
paragraph (1), any time during which Canada is a NAFTA country 
(as defined in section 2(4) of the North American Free Trade 
Agreement Implementation Act) shall be disregarded.\20\
---------------------------------------------------------------------------
    \20\ Sec. 413 of the North American Free Trade Agreement 
Implementation Act (Public Law 103-182; 107 Stat. 2147) added the last 
sentence of subsec. (a).
---------------------------------------------------------------------------
  (b) Transition Provisions.--
          (1) If on the date on which the Agreement should 
        cease to be in force an investigation or enforcement 
        proceeding concerning the violation of a protective 
        order issued under section 777(d) of the Tariff Act of 
        1930 (as amended by this Act) or a Canadian undertaking 
        is pending, such investigation or proceeding shall 
        continue and sanctions may continue to be imposed in 
        accordance with the provisions of such section.
          (2) If on the date on which the Agreement should 
        cease to be in force a binational panel review under 
        article 1904 of the Agreement is pending, or has been 
        requested, with respect to a determination to which 
        section 516A(g)(2) of the Tariff Act of 1930 (as added 
        by this Act) applies, such determination shall be 
        reviewable under section 516A(a) of the Tariff Act of 
        1930. In the case of a determination to which the 
        provisions of this paragraph apply, the time limits for 
        commencing an action under section 516A(a)(2)(A) of the 
        Tariff Act of 1930 shall not begin to run until the 
        date on which the Agreement ceases to be in force.

               TITLE V--EFFECTIVE DATES AND SEVERABILITY

SEC. 501. EFFECTIVE DATES.

  (a) In General.--Except as provided in subsection (b), the 
provisions of this Act, and the amendments made by this Act, 
shall take effect on the date the Agreement enters into force.
  (b) Exceptions.--Sections 1 and 2, title I, section 304 
(except subsection (f)), section 309, this section and section 
502 shall take effect on the date of enactment of this Act.
    (c) \21\ Termination or Suspension of Agreement.--
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    \21\ Sec. 107 of the North American Free Trade Agreement 
Implementation Act (Public Law 103-182; 107 Stat. 2065) amended and 
restated subsec. (c). Sec. 109(a)(2) of that Act further provided: 
``(2) Section 107 amendment.--The amendment made by section 107 takes 
effect on the date the Agreement enters into force between the United 
States and Canada.''.
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          (1) Termination of agreement.--On the date the 
        Agreement ceases to be in force, the provisions of this 
        Act (other than this paragraph and section 410(b)), and 
        the amendments made by this Act, shall cease to have 
        effect.
          (2) Effect of agreement suspension.--An agreement by 
        the United States and Canada to suspend the operation 
        of the Agreement shall not be deemed to cause the 
        Agreement to cease to be in force within the meaning of 
        paragraph (1).
          (3) Suspension resulting from nafta.--On the date the 
        United States and Canada agree to suspend the operation 
        of the Agreement by reason of the entry into force 
        between them of the North American Free Trade 
        Agreement, the following provisions of this Act are 
        suspended and shall remain suspended until such time as 
        the suspension of the Agreement may be terminated:
                  (A) Sections 204 (a) and (b) and 205(a).
                  (B) Sections 302 and 304(f).
                  (C) Sections 404, 409, and 410(b).

SEC. 502. SEVERABILITY.

  If any provision of this Act, any amendment made by this Act, 
or the application of such a provision or amendment to any 
person or circumstances is held to be invalid, the remainder of 
this Act, the remaining amendments made by this Act, and the 
application of such provision or amendment to persons or 
circumstances other than those to which it is held invalid, 
shall not be affected thereby.
               (6) Caribbean Basin Economic Recovery Act

 Partial text of Public Law 98-67 [H.R. 2973], 97 Stat. 369, approved 
 August 5, 1983; as amended by Public Law 98-573 [Trade and Tariff Act 
of 1984; H.R. 3398], 98 Stat. 2948 at 2992, approved October 30, 1984; 
  by Public Law 99-514 [Tax Reform Act of 1986; H.R. 3838], 100 Stat. 
  2085 at 2926, approved October 22, 1986; by Public Law 99-570 [Anti-
 Drug Abuse Act of 1986, H.R. 5484], 100 Stat. 3207, approved October 
27, 1986; by Public Law 100-418 [Omnibus Trade and Competitiveness Act 
 of 1988; H.R. 4848], 102 Stat. 1107, approved August 23, 1988; Public 
  Law 100-647 [Technical and Miscellaneous Revenue Act of 1988; H.R. 
 4333], 102 Stat. 3342, approved November 10, 1988; Public Law 101-382 
   [Customs and Trade Act of 1990, Caribbean Basin Economic Recovery 
 Expansion Act of 1990; H.R. 1594], 104 Stat. 629, approved August 20, 
     1990; Public Law 103-182 [North American Free Trade Agreement 
 Implementation Act; H.R. 3450], 107 Stat. 2057, approved December 8, 
1993; Public Law 103-465 [Uruguay Round Agreements Act; H.R. 5110], 108 
   Stat. 4809, approved December 8, 1994; Public Law 104-188 [Small 
   Business Job Protection Act of 1996; H.R. 3448], 110 Stat. 1755, 
 approved August 20, 1996; Public Law 104-295 [Miscellaneous Trade and 
Technical Corrections Act of 1996; H.R. 3815], 110 Stat. 3514, approved 
October 11, 1996; and by Public Law 106-200 [Trade and Development Act 
        of 2000; H.R. 434], 114 Stat. 251, approved May 18, 2000

 AN ACT To promote economic revitalization and facilitate expansion of 
 economic opportunities in the Caribbean Basin region, to provide for 
 backup withholding of tax from interest and dividends, and for other 
                               purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,
          * * * * * * *

                  TITLE II--CARIBBEAN BASIN INITIATIVE

SEC. 201.1,2,3 SHORT TITLE.

    This title may be cited as the ``Caribbean Basin Economic 
Recovery Act''.
---------------------------------------------------------------------------
    \1\ See also sec. 1909 of the Omnibus Trade and Competitiveness Act 
of 1988, Public Law 100-418 (102 Stat. 1317) as found on page 288.
    \2\ See also sec. 202 of the United States-Caribbean Basin Trade 
Partnership Act, Title II of Public Law 106-200 (114 Stat. 252) as 
found on page 866.
    \3\ See also sec. 203 of the United States-Caribbean Basin Trade 
Partnership Act, Public Law 106-200 (114 Stat. 252) as found on page 
867.
---------------------------------------------------------------------------

                    Subtitle A--Duty-Free Treatment

SEC. 211.\4\ AUTHORITY TO GRANT DUTY-FREE TREATMENT.

    The President may proclaim duty-free treatment (or other 
preferential treatment) \5\ for all eligible articles from any 
beneficiary country in accordance with the provisions of this 
title.
---------------------------------------------------------------------------
    \4\ 19 U.S.C. 2701. Pursuant to the authority vested in him by sec. 
211, the President issued Proclamation 5133 on Nov. 30, 1983, 
implementing the duty-free treatment provided in accordance with the 
provisions of this Act.
    \5\ Sec. 211(e)(1)(A) of Public Law 106-200 (114 Stat. 287) 
inserted ``(or other preferential treatment)''.
---------------------------------------------------------------------------

SEC. 212.\6\ BENEFICIARY COUNTRY.

    (a)(1) For purposes of this title--
---------------------------------------------------------------------------
    \6\ 19 U.S.C. 2702.
---------------------------------------------------------------------------
                  (A) The term ``beneficiary country'' means 
                any country listed in subsection (b) with 
                respect to which there is in effect a 
                proclamation by the President designating such 
                country as a beneficiary country for purposes 
                of this title. Before the President designates 
                any country as a beneficiary country for 
                purposes of this title, he shall notify the 
                House of Representatives and the Senate of his 
                intention to make such designation, together 
                with the considerations entering into such 
                decision.
                  (B) The term ``entered'' means entered, or 
                withdrawn from warehouse for consumption, in 
                the customs territory of the United States.
                  (C) The term ``HTS'' means Harmonized Tariff 
                Schedule of the United States \7\ (19 U.S.C. 
                1202).
---------------------------------------------------------------------------
    \7\ Sec. 1214(q)(1) of Public Law 100-418 (102 Stat. 1159) 
substituted the text ``HTS means Harmonized Tariff Schedule of . . .'' 
in lieu of ``TSUS means Tariff Schedules of . . .''.
---------------------------------------------------------------------------
                  (D) \8\ The term ``NAFTA'' means the North 
                American Free Trade Agreement entered into 
                between the United States, Mexico, and Canada 
                on December 17, 1992.
---------------------------------------------------------------------------
    \8\ Sec. 211(e)(2) of Public Law 106-200 added subparas. (D) and 
(E).
---------------------------------------------------------------------------
                  (E) \8\ The terms ``WTO'' and ``WTO member'' 
                have the meanings given those terms in section 
                2 of the Uruguay Round Agreements Act (19 
                U.S.C. 3501).
        (2) If the President has designated any country as a 
        beneficiary country for purposes of this title, he 
        shall not terminate such designation (either by issuing 
        a proclamation for that purpose or by issuing a 
        proclamation which has the effect of terminating such 
        designation) unless, at least sixty days before such 
        termination, he has notified the House of 
        Representatives and the Senate and has notified such 
        country of his intention to terminate such designation, 
        together with the considerations entering into such 
        decision.
    (b) In designating countries as ``beneficiary countries'' 
under this title the President shall consider only the 
following countries and territories or successor political 
entities:
---------------------------------------------------------------------------
    \9\ On October 4, 2000, in Presidential Proclamation 7351 (65 F.R. 
59329) the President designated these countries as Caribbean Basin 
Trade Partnership Act (CBTPA) beneficiary countries pursuant to section 
213(b)(5)(B) of the Caribbean Basin Economic Recovery Act (CBERA).
    \10\ In a memorandum of June 25, 1993, to the United States Trade 
Representative (58 F.R. 34861), the President determined that, ``after 
considered various private sector requests for a review of whether or 
not certain beneficiary developing countries are providing adequate and 
effective means under their laws for foreign nationals to secure, to 
exercise, and to enforce exclusive rights in intellectual property, 
including patents, trademarks, and copyrights, I have determined to 
continue the review of the Dominican Republic, Guatemala, and 
Honduras.''.

Anguilla
Antigua and Barbuda \9\
Aruba \9\
Bahamas, The \9\
Barbados \9\
Belize \9\
Cayman Islands
Costa Rica \9\
Dominica \9\
Dominican Republic \9\, \10\
  
  
El Salvador \9\, \11\
Grenada \9\
Guatemala \9\, \10\, \11\
Guyana \9\
Haiti \9\
Honduras \9\, \10\
Jamaica \9\
Montserrat \9\
Netherlands Antilles \9\
Nicaragua \9\, \12\
Panama \9\, \11\
St. Kitts and Nevis \9\
Saint Lucia \9\
Saint Vincent and the Grenadines \9\
Suriname
Trinidad and Tobago \9\
Turks and Caicos Islands
Virgin Islands, British \9\

In addition, the President shall not designate any country a 
beneficiary country under this title--
---------------------------------------------------------------------------
    \11\ In a memorandum of June 25, 1993, to the United States Trade 
Representative (58 F.R. 34861), the President determined ``that Panama 
has taken or is taking steps to afford international recognized worker 
rights, and I have determined that Mauritania has not taken and is not 
taking steps to afford such internationally recognized rights. 
Therefore, I am notifying the Congress of my intention to suspend the 
GSP eligibility of Mauritania. Finally, I have determined to continue 
to review the status of such worker rights in Bahrain, El Salvador, 
Fiji, Guatemala, Indonesia, Malawi, Oman, and Thailand.''.
    \12\ On November 7, 1990, in Presidential Determination No. 91-8 
(55 F.R. 49499), the President determined that the designation of 
Nicaragua as a beneficiary country under this Act would be in the 
national security interest of the United States, and subsequently 
waived the application of sec. 212(b)(7) (as added by Public Law 101-
382) toward Nicaragua. In Proclamation 6223 of November 8, 1990 (55 
F.R. 47447), the President designated Nicaragua as a beneficiary 
country for the purposes of the Caribbean Basin Economic Recovery Act.
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          (1) if such country is a Communist country;
          (2) if such country--
                  (A) has nationalized, expropriated or 
                otherwise seized ownership or control of 
                property owned by a United States citizen or by 
                a corporation, partnership, or association 
                which is 50 per centum or more beneficially 
                owned by United States citizens,
                  (B) has taken steps to repudiate or nullify--
                        (i) any existing contract or agreement 
                        with, or
                        (ii) any patent, trademark, or other 
                        intellectual property of,
                a United States citizen or a corporation, 
                partnership, or association which is 50 per 
                centum or more beneficially owned by United 
                States citizens, the effect of which is to 
                nationalize, expropriate, or otherwise seize 
                ownership or control of property so owned, or
                  (C) has imposed or enforced taxes or other 
                exactions, restrictive maintenance or 
                operational conditions, or other measures with 
                respect to property so owned, the effect of 
                which is to nationalize, expropriate, or 
                otherwise seize ownership or control of such 
                property, unless the President determines 
                that--
                          (i) prompt, adequate, and effective 
                        compensation has been or is being made 
                        to such citizen, corporation, 
                        partnership, or association,
                          (ii) good-faith negotiations to 
                        provide prompt, adequate, and effective 
                        compensation under the applicable 
                        provisions of international law are in 
                        progress, or such country is otherwise 
                        taking steps to discharge its 
                        obligations under international law 
                        with respect to such citizen, 
                        corporation, partnership, or 
                        association, or
                          (iii) a dispute involving such 
                        citizen, corporation, partnership, or 
                        association, over compensation for such 
                        a seizure has been submitted to 
                        arbitration under the provisions of the 
                        Convention for the Settlement of 
                        Investment Disputes, or in another 
                        mutually agreed upon forum, and
        promptly furnishes a copy of such determination to the 
        Senate and House of Representatives;
          (3) if such country fails to act in good faith in 
        recognizing as binding or in enforcing arbitral awards 
        in favor of United States citizens or a corporation, 
        partnership or association which is 50 per centum or 
        more beneficially owned by United States citizens, 
        which have been made by arbitrators appointed for each 
        case or by permanent arbitral bodies to which the 
        parties involved have submitted their dispute;
          (4) if such country affords preferential treatment to 
        the products of a developed country, other than the 
        United States, which has, or is likely to have, a 
        significant adverse effect on United States commerce, 
        unless the President has received assurances 
        satisfactory to him that such preferential treatment 
        will be eliminated or that action will be taken to 
        assure that there will be no such significant adverse 
        effect, and he reports those assurances to the 
        Congress;
          (5) if a government-owned entity in such country 
        engages in the broadcast of copyrighted material, 
        including films or television material, belonging to 
        United States copyright owners without their express 
        consent; \13\
---------------------------------------------------------------------------
    \13\ Secs. 213 (1) through (3) of the Caribbean Basin Economic 
Recovery Expansion Act of 1990 (title II of Public Law 101-382; 104 
Stat. 656) struck out ``and'' at the end of para. (5), struck out the 
period at the end of para. (6), and substituted there ``; and'', and 
added para. (7).
---------------------------------------------------------------------------
          (6) \14\ unless such country is a signatory to a 
        treaty, convention, protocol, or other agreement 
        regarding the extradition of United States citizens; 
        and \13\
---------------------------------------------------------------------------
    \14\ Sec. 9002 of Public Law 99-570 (100 Stat. 3207-166) deleted 
former para. (6) and renumbered para. (7) as (6).
---------------------------------------------------------------------------
          (7) \13\ if such country has not or is not taking 
        steps to afford internationally recognized worker 
        rights (as defined in section 507(4) \15\ of the Trade 
        Act of 1974) to workers in the country (including any 
        designated zone in that country).
---------------------------------------------------------------------------
    \15\ Sec. 1954(a)(3) of Public Law 104-188 (110 Stat. 1927) struck 
out ``502(a)(4)'' and inserted in lieu thereof ``507(4)''.
---------------------------------------------------------------------------
Paragraphs (1), (2), (3), (5), and (7) \16\ shall not prevent 
the designation of any country as a beneficiary country under 
this Act if the President determines that such designation will 
be in the national economic or security interest of the United 
States and reports such determination to the Congress with his 
reasons therefor.
---------------------------------------------------------------------------
    \16\ Sec. 213(4) of the Caribbean Basin Economic Recovery Expansion 
Act of 1990 (title II of Public Law 101-382; 104 Stat. 656) struck out 
``and (5)'' and inserted in lieu thereof ``(5), and (7)''.
---------------------------------------------------------------------------
    (c) In determining whether to designate any country a 
beneficiary country under this title, the President shall take 
into account--
          (1) an expression by such country of its desire to be 
        so designated;
          (2) the economic conditions in such country, the 
        living standards of its inhabitants, and any other 
        economic factors which he deems appropriate;
          (3) the extent to which such country has assured the 
        United States it will provide equitable and reasonable 
        access to the markets and basic commodity resources of 
        such country;
          (4) the degree to which such country follows the 
        accepted rules of international trade provided for 
        under the WTO Agreement and the multilateral trade 
        agreements (as such terms are defined in paragraphs (9) 
        and (4), respectively, of section 2 of the Uruguay 
        Round Agreements Act); \17\
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    \17\ Sec. 621(a)(2) of Public Law 103-465 (108 Stat. 4992) struck 
out ``General Agreement on Tariffs and Trade, as well as applicable 
trade agreements approved under section 2(a) of the Trade Agreements 
Act of 1979'' and inserted in lieu thereof ``WTO Agreement and the 
multilateral trade agreements (as such terms are defined in paragraphs 
(9) and (4), respectively, of section 2 of the Uruguay Round Agreements 
Act)''.
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          (5) the degree to which such country uses export 
        subsidies or imposes export performance requirements or 
        local content requirements which distort international 
        trade;
          (6) the degree to which the trade policies of such 
        country as they relate to other beneficiary countries 
        are contributing to the revitalization of the region;
          (7) the degree to which such country is undertaking 
        self-help measures to promote its own economic 
        development;
          (8) \18\ whether or not such country has taken or is 
        taking steps to afford workers in that country 
        (including any designated zone in that country) 
        internationally recognized worker rights.
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    \18\ Sec. 213(5) of the Caribbean Basin Economic Recovery Expansion 
Act of 1990 (title II of Public Law 101-382; 104 Stat. 656) amended and 
restated para. (8). The new text should end with a semicolon. Para. (8) 
formerly read ``the degree to which workers in such country are 
afforded reasonable workplace conditions and enjoy the right to 
organize and bargain collectively;''.
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          (9) the extent to which such country provides under 
        its law adequate and effective means for foreign 
        nationals to secure, exercise, and enforce exclusive 
        rights in intellectual property, including patent, 
        trademark, and copyright rights;
          (10) the extent to which such country prohibits its 
        nationals from engaging in the broadcasts of 
        copyrighted material, including films or television 
        material, belonging to United States copyright owners 
        without their express consent; and
          (11) the extent to which such country is prepared to 
        cooperate with the United States in the administration 
        of the provisions of this title.
    (d) General headnote 3(a) of the TSUS (relating to products 
of the insular possessions) is amended by adding at the end 
thereof the following paragraph:
          ``(iv) Subject to the provisions in section 213 of 
        the Caribbean Basin Economic Recovery Act, articles 
        which are imported from insular possessions of the 
        United States shall receive duty treatment no less 
        favorable than the treatment afforded such articles 
        when they are imported from a beneficiary country under 
        such Act.''.
  (e) \19\ (1)(A) \20\ The President may, after the 
requirements of subsection (a)(2) and paragraph (2) have been 
met--
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    \19\ Subsec. (e) was amended and restated by sec. 1909(c) of Public 
Law 100-418 (102 Stat. 1318).
    \20\ Secs. 211(b)(1)(A) and (B) of Public Law 106-200 redesignated 
subparas. (A) and (B) as clauses (i) and (ii), and inserted (A) after 
(1).
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          (i) \20\ withdraw or suspend the designation of any 
        country as a beneficiary country, or
          (ii) \20\ withdraw, suspend, or limit the application 
        of duty-free treatment under this subtitle to any 
        article of any country,
if, after such designation, the President determines that as a 
result of changed circumstances such country would be barred 
from designation as a beneficiary country under subsection (b).
    (B) \21\ The President may, after the requirements of 
subsection (a)(2) and paragraph (2) have been met--
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    \21\ Sec. 211(b)(1)(C) of Public Law 106-200 inserted subpara. (B).
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          (i) withdraw or suspend the designation of any 
        country as a CBTPA beneficiary country; or
          (ii) withdraw, suspend, or limit the application of 
        preferential treatment under section 213(b)(2) and (3) 
        to any article of any country,
if, after such designation, the President determines that, as a 
result of changed circumstances, the performance of such 
country is not satisfactory under the criteria set forth in 
section 213(b)(5)(B).
  (2)(A) The President shall publish in the Federal Register 
notice of the action the President proposes to take under 
paragraph (1) at least 30 days prior to taking such action.
  (B) The United States Trade Representative shall, within the 
30-day period beginning on the date on which the President 
publishes under subparagraph (A) notice of proposed action--
          (i) accept written comments from the public regarding 
        such proposed action,
          (ii) hold a public hearing on such proposed action, 
        and
          (iii) publish in the Federal Register--
                  (I) notice of the time and place of such 
                hearing prior to the hearing, and
                  (II) the time and place at which such written 
                comments will be accepted.
    (3) \22\ If preferential treatment under section 213(b)(2) 
and (3) is withdrawn, suspended, or limited with respect to a 
CBTPA beneficiary country, such country shall not be deemed to 
be a `party' for the purposes of applying section 213(b)(5)(C) 
to imports of articles for which preferential treatment has 
been withdrawn, suspended, or limited with respect to such 
country.
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    \22\ Sec. 211(b)(2) of Public Law 106-200 inserted para. (3).
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    (f) Reporting Requirements.-- \23\
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    \23\ Sec. 214 of the Caribbean Basin Economic Recovery Expansion 
Act of 1990 (title II of Public Law 101-382; 104 Stat. 656) added 
subsec. (f). Sec. 211(c)(1) of Public Law 106-200 restated the 
subsection. It originally read as follows:
    ``On or before October 1, 1993, and the close of each 3-year period 
thereafter, the President shall submit to the congress a complete 
report regarding the operation of this title, including the results of 
a general review of beneficiary countries based on the considerations 
described in subsections (b) and (c).''.
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          (1) In general.--Not later than December 31, 2001, 
        and every 2 years thereafter during the period this 
        title is in effect, the United States Trade 
        Representative shall submit to Congress a report 
        regarding the operation of this title, including--
                  (A) with respect to subsections (b) and (c), 
                the results of a general review of beneficiary 
                countries based on the considerations described 
                in such subsections; and
                  (B) the performance of each beneficiary 
                country or CBTPA beneficiary country, as the 
                case may be, under the criteria set forth in 
                section 213(b)(5)(B).
          (2) Public comment.--Before submitting the report 
        described in paragraph (1), the United States Trade 
        Representative shall publish a notice in the Federal 
        Register requesting public comments on whether 
        beneficiary countries are meeting the criteria listed 
        in section 213(b)(5)(B).

SEC. 213.\24\ ELIGIBLE ARTICLES.

    (a)(1) Unless otherwise excluded from eligibility by this 
title, and subject to section 423 of the Tax Reform Act of 
1986,\25\ and except as provided in subsection (b)(2) and 
(3),\26\ the duty-free treatment provided under this title 
shall apply to any article which is the growth, product, or 
manufacture of a beneficiary country if--
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    \24\ 19 U.S.C. 2703.
    \25\ The words to this point beginning with ``and'' were added by 
sec. 423(f) of Public Law 99-514 (100 Stat. 2232).
    \26\ Sec. 211(e)(1)(B) of Public Law 106-200 (112 Stat. 287) 
inserted ``and except as provided in subsection (b)(2) and (3),''.
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          (A) that article is imported directly from a 
        beneficiary country into the customs territory of the 
        United States; and
          (B) the sum of (i) the cost or value of the materials 
        produced in a beneficiary country or two or more 
        beneficiary countries, plus (ii) the direct costs of 
        processing operations performed in a beneficiary 
        country or countries is not less than 35 per centum of 
        the appraised value of such article at the time it is 
        entered.
For purposes of determining the percentage referred to in 
subparagraph (B), the term ``beneficiary country'' includes the 
Commonwealth of Puerto Rico and the United States Virgin 
Islands. If the cost or value of materials produced in the 
customs territory of the United States (other than the 
Commonwealth of Puerto Rico) is included with respect to an 
article to which this paragraph applies, an amount not to 
exceed 15 per centum of the appraised value of the article at 
the time it is entered that is attributed to such United States 
cost or value may be applied toward determining the percentage 
referred to in subparagraph (B).
    (2) The Secretary of the Treasury shall prescribe such 
regulations as may be necessary to carry out this subsection 
including, but not limited to, regulations providing that, in 
order to be eligible for duty-free treatment under this title, 
an article must be wholly the growth, product, or manufacture 
of a beneficiary country, or must be a new or different article 
of commerce which has been grown, produced, or manufactured in 
the beneficiary country; but no article or material of a 
beneficiary country shall be eligible for such treatment by 
virtue of having merely undergone--
          (A) simple combining or packaging operations, or
          (B) mere dilution with water or mere dilution with 
        another substance that does not materially alter the 
        characteristics of the article.
    (3) As used in this subsection, the phrase ``direct costs 
of processing operations'' includes, but is not limited to--
          (A) all actual labor costs involved in the growth, 
        production, manufacture, or assembly of the specific 
        merchandise, including fringe benefits, on-the-job 
        training and the cost of engineering, supervisory, 
        quality control, and similar personnel; and
          (B) dies, molds, tooling, and depreciation on 
        machinery and equipment which are allocable to the 
        specific merchandise.
Such phrase does not include costs which are not directly 
attributable to the merchandise concerned or are not costs of 
manufacturing the product, such as (i) profit, and (ii) general 
expenses of doing business which are either not allocable to 
the specific merchandise or are not related to the growth, 
production, manufacture, or assembly of the merchandise, such 
as administrative salaries, casualty and liability insurance, 
advertising, and salesmen's salaries, commissions or expenses.
    (4) \27\ Notwithstanding section 311 of the Tariff Act of 
1930, the products of a beneficiary country which are imported 
directly from any beneficiary \28\ country into Puerto Rico may 
be entered under bond for processing or use in manufacturing in 
Puerto Rico. No duty shall be imposed on the withdrawal from 
warehouse of the product of such processing or manufacturing 
if, at the time of such withdrawal, such product meets the 
requirements of paragraph (1)(B).
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    \27\ This paragraph was added as para. (3) by sec. 235 of Public 
Law 98-573 (98 Stat. 2992). It was redesignated as para. (4) by sec. 
1889 of Public Law 99-514 (100 Stat. 2926).
    \28\ Sec. 1889 of Public Law 99-514 (100 Stat. 2926) added the 
words ``any beneficiary'' in lieu of the word ``such'' which previously 
appeared at this point.
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    (5) \29\ The duty-free treatment provided under this title 
\30\ shall apply to an article (other than an article listed in 
subsection (b)) which is the growth, product, or manufacture of 
the Commonwealth of Puerto Rico if--
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    \29\ Sec. 215(a) of the Caribbean Basin Economic Recovery Expansion 
Act of 1990 (title II of Public Law 101-382; 104 Stat. 657) added para. 
(5). Sec. 215(b) of that Act further provided:
    ``(b) Effective Dates.--
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          ``(1) The amendment made by subsection (a) shall apply with 
        respect to articles entered, or withdrawn from warehouse for 
        consumption, on or after October 1, 1990.
          ``(2) Notwithstanding section 514 of the Tariff Act of 1930 
        or any other provisions of law, upon proper request filed with 
        the appropriate customs officer after September 30, 1990, and 
        before April 1, 1991, any entry, or withdrawal from warehouse--

                  ``(A) which was made after August 5, 1983, and before 
                October 1, 1990, and with respect to which liquidation 
                had not occurred before October 1, 1990, and
                  ``(B) with respect to which there would have been no 
                duty, or a lesser duty, if the amendment made by 
                subsection (a) applied

        ``shall be liquidated as though such amendment applied to such 
        entry or withdrawal.''.
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    \30\ Sec. 212(1) of Public Law 106-200 (114 Stat. 288) struck out 
``chapter'' and inserted in lieu thereof ``title''.
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          (A) the article is imported directly from the 
        beneficiary country into the customs territory of the 
        United States,
          (B) the article was by any means advanced in value or 
        improved in condition in a beneficiary country, and
          (C) if any materials are added to the article in a 
        beneficiary country, such materials are a product of a 
        beneficiary country or the United States.
  (6) \31\ Notwithstanding paragraph (1), the duty-free 
treatment provided under this title shall apply to liqueurs and 
spirituous beverages produced in the territory of Canada from 
rum if--
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    \31\ Sec. 212(2) of Public Law 106-200 (114 Stat. 288) inserted 
para. (6).
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          (A) such rum is the growth, product, or manufacture 
        of a beneficiary country or of the Virgin Islands of 
        the United States;
          (B) such rum is imported directly from a beneficiary 
        country or the Virgin Islands of the United States into 
        the territory of Canada, and such liqueurs and 
        spirituous beverages are imported directly from the 
        territory of Canada into the customs territory of the 
        United States;
          (C) when imported into the customs territory of the 
        United States, such liqueurs and spirituous beverages 
        are classified in subheading 2208.90 or 2208.40 of the 
        HTS; and
          (D) such rum accounts for at least 90 percent by 
        volume of the alcoholic content of such liqueurs and 
        spirituous beverages.
  (b) \32\ Import-Sensitive Articles.--
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    \32\ Subsec. 211(a) of Public Law 106-200 (114 Stat. 276) restated 
subpara. (b). The subparagraph previously read as follows:
    ``(b) The duty-free treatment provided under this title shall not 
apply to--
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          ``(1) textile and apparel articles which are subject to 
        textile agreements;
          ``(2) footwear, handbags, luggage, flat goods, work gloves, 
        and leather wearing apparel not designated at the time of the 
        effective date of this title as eligible articles for the 
        purpose of the generalized system of preferences under title V 
        of the Trade Act of 1974;
          ``(3) tuna, prepared or preserved in any manner, in airtight 
        containers;
          ``(4) petroleum, or any product derived from petroleum, 
        provided for in headings 2709 and 2710 of the Harmonized Tariff 
        Schedule of the United States; or
          ``(5) watches and watch parts (including cases, bracelets and 
        straps), of whatever type including, but not limited to, 
        mechanical, quartz digital or quartz analog, if such watches or 
        watch parts contain any material which is the product of any 
        country with respect to which HTS column 2 rates of duty apply.
          ``(6) articles to which reduced rates of duty apply under 
        subsection (h) of this section.''.
          (1) In general.--Subject to paragraphs (2) through 
        (5), the duty-free treatment provided under this title 
        does not apply to--
                  (A) textile and apparel articles which were 
                not eligible articles for purposes of this 
                title on January 1, 1994, as this title was in 
                effect on that date;
                  (B) footwear not designated at the time of 
                the effective date of this title as eligible 
                articles for the purpose of the generalized 
                system of preferences under title V of the 
                Trade Act of 1974;
                  (C) tuna, prepared or preserved in any 
                manner, in airtight containers;
                  (D) petroleum, or any product derived from 
                petroleum, provided for in headings 2709 and 
                2710 of the HTS;
                  (E) watches and watch parts (including cases, 
                bracelets, and straps), of whatever type 
                including, but not limited to, mechanical, 
                quartz digital or quartz analog, if such 
                watches or watch parts contain any material 
                which is the product of any country with 
                respect to which HTS column 2 rates of duty 
                apply; or
                  (F) articles to which reduced rates of duty 
                apply under subsection (h).
          (2) Transition period treatment of certain textile 
        and apparel articles.--
                  (A) Articles covered.--During the transition 
                period, the preferential treatment described in 
                subparagraph (B) shall apply to the following 
                articles:
                          (i) Apparel articles assembled in one 
                        or more cbtpa beneficiary countries.--
                        Apparel articles assembled in one or 
                        more CBTPA beneficiary countries from 
                        fabrics wholly formed and cut in the 
                        United States, from yarns wholly formed 
                        in the United States, (including 
                        fabrics not formed from yarns, if such 
                        fabrics are classifiable under heading 
                        5602 or 5603 of the HTS and are wholly 
                        formed and cut in the United States) 
                        that are--
                                  (I) entered under subheading 
                                9802.00.80 of the HTS; or
                                  (II) entered under chapter 61 
                                or 62 of the HTS, if, after 
                                such assembly, the articles 
                                would have qualified for entry 
                                under subheading 9802.00.80 of 
                                the HTS but for the fact that 
                                the articles were embroidered 
                                or subjected to stone-washing, 
                                enzyme-washing, acid washing, 
                                perma-pressing, oven-baking, 
                                bleaching, garment-dyeing, 
                                screen printing, or other 
                                similar processes.
                          (ii) Apparel articles cut and 
                        assembled in one or more cbtpa 
                        beneficiary countries.--Apparel 
                        articles cut in one or more CBTPA 
                        beneficiary countries from fabric 
                        wholly formed in the United States from 
                        yarns wholly formed in the United 
                        States (including fabrics not formed 
                        from yarns, if such fabrics are 
                        classifiable under heading 5602 or 5603 
                        of the HTS and are wholly formed in the 
                        United States), if such articles are 
                        assembled in one or more such countries 
                        with thread formed in the United 
                        States.
                          (iii) Certain knit apparel 
                        articles.--(I) Apparel articles knit to 
                        shape (other than socks provided for in 
                        heading 6115 of the HTS) in a CBTPA 
                        beneficiary country from yarns wholly 
                        formed in the United States, and knit 
                        apparel articles (other than t-shirts 
                        described in subclause (III)) cut and 
                        wholly assembled in one or more CBTPA 
                        beneficiary countries from fabric 
                        formed in one or more CBTPA beneficiary 
                        countries or the United States from 
                        yarns wholly formed in the United 
                        States (including fabrics not formed 
                        from yarns, if such fabrics are 
                        classifiable under heading 5602 or 5603 
                        of the HTS and are formed in one or 
                        more CBTPA beneficiary countries), in 
                        an amount not exceeding the amount set 
                        forth in subclause (II).
                          (II) The amount referred to in 
                        subclause (I) is--
                                  (aa) 250,000,000 square meter 
                                equivalents during the 1-year 
                                period beginning on October 1, 
                                2000, increased by 16 percent, 
                                compounded annually, in each 
                                succeeding 1-year period 
                                through September 30, 2004; and
                                  (bb) in each 1-year period 
                                thereafter through September 
                                30, 2008, the amount in effect 
                                for the 1-year period ending on 
                                September 30, 2004, or such 
                                other amount as may be provided 
                                by law.
                          (III) T-shirts, other than underwear, 
                        classifiable under subheadings 
                        6109.10.00 and 6109.90.10 of the HTS, 
                        made in one or more CBTPA beneficiary 
                        countries from fabric formed in one or 
                        more CBTPA beneficiary countries from 
                        yarns wholly formed in the United 
                        States, in an amount not exceeding the 
                        amount set forth in subclause (IV).
                          (IV) the amount referred to in 
                        subclause (III) is--
                                  (aa) 4,200,000 dozen during 
                                the 1-year period beginning on 
                                October 1, 2000, increased by 
                                16 percent, compounded 
                                annually, in each succeeding 1-
                                year period through September 
                                30, 2004; and
                                  (bb) in each 1-year period 
                                thereafter, the amount in 
                                effect for the 1-year period 
                                ending on September 30, 2004, 
                                or such other amount as may be 
                                provided by law.
                          (V) It is the sense of the Congress 
                        that the Congress should determine, 
                        based on the record of expansion of 
                        exports from the United States as a 
                        result of the preferential treatment of 
                        articles under this clause, the 
                        percentage by which the amount provided 
                        in subclauses (II) and (IV) should be 
                        compounded for the 1-year periods 
                        occurring after the 1-year period 
                        ending on September 30, 2004.
                          (iv) Certain other apparel 
                        articles.--(I) Subject to subclause 
                        (II), any apparel article classifiable 
                        under subheading 6212.10 of the HTS, if 
                        the article is both cut and sewn or 
                        otherwise assembled in the United 
                        States, or one or more of the CBTPA 
                        beneficiary countries, or both.
                          (II) During the 1-year period 
                        beginning on October 1, 2001, and 
                        during each of the six succeeding 1-
                        year periods, apparel articles 
                        described in subclause (I) of a 
                        producer or an entity controlling 
                        production shall be eligible for 
                        preferential treatment under 
                        subparagraph (B) only if the aggregate 
                        cost of fabric components formed in the 
                        United States that are used in the 
                        production of all such articles of that 
                        producer or entity during the preceding 
                        1-year period is at least 75 percent of 
                        the aggregate declared customs value of 
                        the fabric contained in all such 
                        articles of that producer or entity 
                        that are entered during the preceding 
                        1-year period.
                          (III) The United States Customs 
                        Service shall develop and implement 
                        methods and procedures to ensure 
                        ongoing compliance with the requirement 
                        set forth in subclause (II). If the 
                        Customs Service finds that a producer 
                        or an entity controlling production has 
                        not satisfied such requirement in a 1-
                        year period, then apparel articles 
                        described in subclause (I) of that 
                        producer or entity shall be ineligible 
                        for preferential treatment under 
                        subparagraph (B) during any succeeding 
                        1-year period until the aggregate cost 
                        of fabric components formed in the 
                        United States used in the production of 
                        such articles of that producer or 
                        entity in the preceding 1-year period 
                        is at least 85 percent of the aggregate 
                        declared customs value of the fabric 
                        contained in all such articles of that 
                        producer or entity that are entered 
                        during the preceding 1-year period.
                          (v) Apparel articles assembled from 
                        fabrics or yarn not widely available in 
                        commercial quantities.--(I) Apparel 
                        articles that are both cut (or knit-to-
                        shape) and sewn or otherwise assembled 
                        in one or more CBTPA beneficiary 
                        countries, from fabrics or yarn that is 
                        not formed in the United States or in 
                        one or more CBTPA beneficiary 
                        countries, to the extent that apparel 
                        articles of such fabrics or yarn would 
                        be eligible for preferential treatment, 
                        without regard to the source of the 
                        fabrics or yarn, under Annex 401 of the 
                        NAFTA.
                          (II) At the request of any interested 
                        party, the President is authorized to 
                        proclaim additional fabrics and yarn as 
                        eligible for preferential treatment 
                        under subclause (I) if--
                                  (aa) the President determines 
                                that such fabrics or yarn 
                                cannot be supplied by the 
                                domestic industry in commercial 
                                quantities in a timely manner;
                                  (bb) the President has 
                                obtained advice regarding the 
                                proposed action from the 
                                appropriate advisory committee 
                                established under section 135 
                                of the Trade Act of 1974 (19 
                                U.S.C. 2155) and the United 
                                States International Trade 
                                Commission;
                                  (cc) within 60 days after the 
                                request, the President has 
                                submitted a report to the 
                                Committee on Ways and Means of 
                                the House of Representatives 
                                and the Committee on Finance of 
                                the Senate that sets forth the 
                                action proposed to be 
                                proclaimed and the reasons for 
                                such actions, and the advice 
                                obtained under division (bb);
                                  (dd) a period of 60 calendar 
                                days, beginning with the first 
                                day on which the President has 
                                met the requirements of 
                                division (cc), has expired; and
                                  (ee) the President has 
                                consulted with such committees 
                                regarding the proposed action 
                                during the period referred to 
                                in division (cc).
                          (vi) Handloomed, handmade, and 
                        folklore articles.--A handloomed, 
                        handmade, or folklore article of a 
                        CBTPA beneficiary country identified 
                        under subparagraph (C) that is 
                        certified as such by the competent 
                        authority of such beneficiary country.
                          (vii) Special rules.--
                                  (I) Exception for findings 
                                and trimmings.--(aa) An article 
                                otherwise eligible for 
                                preferential treatment under 
                                this paragraph shall not be 
                                ineligible for such treatment 
                                because the article contains 
                                findings or trimmings of 
                                foreign origin, if such 
                                findings and trimmings do not 
                                exceed 25 percent of the cost 
                                of the components of the 
                                assembled product. Examples of 
                                findings and trimmings are 
                                sewing thread, hooks and eyes, 
                                snaps, buttons, `bow buds', 
                                decorative lace, trim, elastic 
                                strips, zippers, including 
                                zipper tapes and labels, and 
                                other similar products. Elastic 
                                strips are considered findings 
                                or trimmings only if they are 
                                each less than 1 inch in width 
                                and are used in the production 
                                of brassieres.
                                  (bb) In the case of an 
                                article described in clause 
                                (ii) of this subparagraph, 
                                sewing thread shall not be 
                                treated as findings or 
                                trimmings under this subclause.
                                  (II) Certain interlining.--
                                (aa) An article otherwise 
                                eligible for preferential 
                                treatment under this paragraph 
                                shall not be ineligible for 
                                such treatment because the 
                                article contains certain 
                                interlinings of foreign origin, 
                                if the value of such 
                                interlinings (and any findings 
                                and trimmings) does not exceed 
                                25 percent of the cost of the 
                                components of the assembled 
                                article.
                                  (bb) Interlinings eligible 
                                for the treatment described in 
                                division (aa) include only a 
                                chest type plate, `hymo' piece, 
                                or `sleeve header', of woven or 
                                weft-inserted warp knit 
                                construction and of coarse 
                                animal hair or man-made 
                                filaments.
                                  (cc) The treatment described 
                                in this subclause shall 
                                terminate if the President 
                                makes a determination that 
                                United States manufacturers are 
                                producing such interlinings in 
                                the United States in commercial 
                                quantities.
                                  (III) De minimis rule.--An 
                                article that would otherwise be 
                                ineligible for preferential 
                                treatment under this paragraph 
                                because the article contains 
                                fibers or yarns not wholly 
                                formed in the United States or 
                                in one or more CBTPA 
                                beneficiary countries shall not 
                                be ineligible for such 
                                treatment if the total weight 
                                of all such fibers or yarns is 
                                not more than 7 percent of the 
                                total weight of the good. 
                                Notwithstanding the preceding 
                                sentence, an apparel article 
                                containing elastomeric yarns 
                                shall be eligible for 
                                preferential treatment under 
                                this paragraph only if such 
                                yarns are wholly formed in the 
                                United States.
                                  (IV) Special origin rule.--An 
                                article otherwise eligible for 
                                preferential treatment under 
                                clause (i) or (ii) of this 
                                subparagraph shall not be 
                                ineligible for such treatment 
                                because the article contains 
                                nylon filament yarn (other than 
                                elastomeric yarn) that is 
                                classifiable under subheading 
                                5402.10.30, 5402.10.60, 
                                5402.31.30, 5402.31.60, 
                                5402.32.30, 5402.32.60, 
                                5402.41.10, 5402.41.90, 
                                5402.51.00, or 5402.61.00 of 
                                the HTS duty-free from a 
                                country that is a party to an 
                                agreement with the United 
                                States establishing a free 
                                trade area, which entered into 
                                force before January 1, 1995.
                          (viii) Textile luggage.--Textile 
                        luggage--
                                  (I) assembled in a CBTPA 
                                beneficiary country from fabric 
                                wholly formed and cut in the 
                                United States, from yarns 
                                wholly formed in the United 
                                States, that is entered under 
                                subheading 9802.00.80 of the 
                                HTS; or
                                  (II) assembled from fabric 
                                cut in a CBTPA beneficiary 
                                country from fabric wholly 
                                formed in the United States 
                                from yarns wholly formed in the 
                                United States.
                  (B) Preferential treatment.--Except as 
                provided in subparagraph (E), during the 
                transition period, the articles to which this 
                subparagraph applies shall enter the United 
                States free of duty and free of any 
                quantitative restrictions, limitations, or 
                consultation levels.
                  (C) Handloomed, handmade, and folklore 
                articles.--For purposes of subparagraph 
                (A)(vi), the President shall consult with 
                representatives of the CBTPA beneficiary 
                countries concerned for the purpose of 
                identifying particular textile and apparel 
                goods that are mutually agreed upon as being 
                handloomed, handmade, or folklore goods of a 
                kind described in section 2.3(a), (b), or (c) 
                of the Annex or Appendix 3.1.B.11 of the Annex.
                  (D) Penalties for transshipments.--
                          (i) Penalties for exporters.--If the 
                        President determines, based on 
                        sufficient evidence, that an exporter 
                        has engaged in transshipment with 
                        respect to textile or apparel articles 
                        from a CBTPA beneficiary country, then 
                        the President shall deny all benefits 
                        under this title to such exporter, and 
                        any successor of such exporter, for a 
                        period of 2 years.
                          (ii) Penalties for countries.--
                        Whenever the President finds, based on 
                        sufficient evidence, that transshipment 
                        has occurred, the President shall 
                        request that the CBTPA beneficiary 
                        country or countries through whose 
                        territory the transshipment has 
                        occurred take all necessary and 
                        appropriate actions to prevent such 
                        transshipment. If the President 
                        determines that a country is not taking 
                        such actions, the President shall 
                        reduce the quantities of textile and 
                        apparel articles that may be imported 
                        into the United States from such 
                        country by the quantity of the 
                        transshipped articles multiplied by 3, 
                        to the extent consistent with the 
                        obligations of the United States under 
                        the WTO.
                          (iii) Transshipment described.--
                        Transshipment within the meaning of 
                        this subparagraph has occurred when 
                        preferential treatment under 
                        subparagraph (B) has been claimed for a 
                        textile or apparel article on the basis 
                        of material false information 
                        concerning the country of origin, 
                        manufacture, processing, or assembly of 
                        the article or any of its components. 
                        For purposes of this clause, false 
                        information is material if disclosure 
                        of the true information would mean or 
                        would have meant that the article is or 
                        was ineligible for preferential 
                        treatment under subparagraph (B).
                  (E) Bilateral emergency actions.--
                          (i) In general.--The President may 
                        take bilateral emergency tariff actions 
                        of a kind described in section 4 of the 
                        Annex with respect to any apparel 
                        article imported from a CBTPA 
                        beneficiary country if the application 
                        of tariff treatment under subparagraph 
                        (B) to such article results in 
                        conditions that would be cause for the 
                        taking of such actions under such 
                        section 4 with respect to a like 
                        article described in the same 8-digit 
                        subheading of the HTS that is imported 
                        from Mexico.
                          (ii) Rules relating to bilateral 
                        emergency action.--For purposes of 
                        applying bilateral emergency action 
                        under this subparagraph--
                                  (I) the requirements of 
                                paragraph (5) of section 4 of 
                                the Annex (relating to 
                                providing compensation) shall 
                                not apply;
                                  (II) the term `transition 
                                period' in section 4 of the 
                                Annex shall have the meaning 
                                given that term in paragraph 
                                (5)(D) of this subsection; and
                                  (III) the requirements to 
                                consult specified in section 4 
                                of the Annex shall be treated 
                                as satisfied if the President 
                                requests consultations with the 
                                CBTPA beneficiary country in 
                                question and the country does 
                                not agree to consult within the 
                                time period specified under 
                                section 4.
          (3) Transition period treatment of certain other 
        articles originating in beneficiary countries.--
                  (A) Equivalent tariff treatment.--
                          (i) In general.--Subject to clause 
                        (ii), the tariff treatment accorded at 
                        any time during the transition period 
                        to any article referred to in any of 
                        subparagraphs (B) through (F) of 
                        paragraph (1) that is a CBTPA 
                        originating good shall be identical to 
                        the tariff treatment that is accorded 
                        at such time under Annex 302.2 of the 
                        NAFTA to an article described in the 
                        same 8-digit subheading of the HTS that 
                        is a good of Mexico and is imported 
                        into the United States.
                          (ii) Exception.--Clause (i) does not 
                        apply to any article accorded duty-free 
                        treatment under U.S. Note 2(b) to 
                        subchapter II of chapter 98 of the HTS.
                  (B) Relationship to subsection (h) duty 
                reductions.--If at any time during the 
                transition period the rate of duty that would 
                (but for action taken under subparagraph (A)(i) 
                in regard to such period) apply with respect to 
                any article under subsection (h) is a rate of 
                duty that is lower than the rate of duty 
                resulting from such action, then such lower 
                rate of duty shall be applied for the purposes 
                of implementing such action.
          (4) Customs procedures.--
                  (A) In general.--
                          (i) Regulations.--Any importer that 
                        claims preferential treatment under 
                        paragraph (2) or (3) shall comply with 
                        customs procedures similar in all 
                        material respects to the requirements 
                        of Article 502(1) of the NAFTA as 
                        implemented pursuant to United States 
                        law, in accordance with regulations 
                        promulgated by the Secretary of the 
                        Treasury.
                          (ii) Determination.--
                                  (I) In general.--In order to 
                                qualify for the preferential 
                                treatment under paragraph (2) 
                                or (3) and for a Certificate of 
                                Origin to be valid with respect 
                                to any article for which such 
                                treatment is claimed, there 
                                shall be in effect a 
                                determination by the President 
                                that each country described in 
                                subclause (II)--
                                          (aa) has implemented 
                                        and follows; or
                                          (bb) is making 
                                        substantial progress 
                                        toward implementing and 
                                        following,
                                procedures and requirements 
                                similar in all material 
                                respects to the relevant 
                                procedures and requirements 
                                under chapter 5 of the NAFTA.
                                  (II) Country described.--A 
                                country is described in this 
                                subclause if it is a CBTPA 
                                beneficiary country--
                                          (aa) from which the 
                                        article is exported; or
                                          (bb) in which 
                                        materials used in the 
                                        production of the 
                                        article originate or in 
                                        which the article or 
                                        such materials undergo 
                                        production that 
                                        contributes to a claim 
                                        that the article is 
                                        eligible for 
                                        preferential treatment 
                                        under paragraph (2) or 
                                        (3).
                  (B) Certificate of origin.--The Certificate 
                of Origin that otherwise would be required 
                pursuant to the provisions of subparagraph (A) 
                shall not be required in the case of an article 
                imported under paragraph (2) or (3) if such 
                Certificate of Origin would not be required 
                under Article 503 of the NAFTA (as implemented 
                pursuant to United States law), if the article 
                were imported from Mexico.
                  (C) Report by ustr on cooperation of other 
                countries concerning circumvention.--The United 
                States Commissioner of Customs shall conduct a 
                study analyzing the extent to which each CBTPA 
                beneficiary country--
                          (i) has cooperated fully with the 
                        United States, consistent with its 
                        domestic laws and procedures, in 
                        instances of circumvention or alleged 
                        circumvention of existing quotas on 
                        imports of textile and apparel goods, 
                        to establish necessary relevant facts 
                        in the places of import, export, and, 
                        where applicable, transshipment, 
                        including investigation of 
                        circumvention practices, exchanges of 
                        documents, correspondence, reports, and 
                        other relevant information, to the 
                        extent such information is available;
                          (ii) has taken appropriate measures, 
                        consistent with its domestic laws and 
                        procedures, against exporters and 
                        importers involved in instances of 
                        false declaration concerning fiber 
                        content, quantities, description, 
                        classification, or origin of textile 
                        and apparel goods; and
                          (iii) has penalized the individuals 
                        and entities involved in any such 
                        circumvention, consistent with its 
                        domestic laws and procedures, and has 
                        worked closely to seek the cooperation 
                        of any third country to prevent such 
                        circumvention from taking place in that 
                        third country.
                The Trade Representative shall submit to 
                Congress, not later than October 1, 2001, a 
                report on the study conducted under this 
                subparagraph.
          (5) Definitions and special rules.--For purposes of 
        this subsection--
                  (A) Annex.--The term `the Annex' means Annex 
                300-B of the NAFTA.
                  (B) CBTPA beneficiary country.--The term 
                ``CBTPA beneficiary country'' means any 
                ``beneficiary country'', as defined in section 
                212(a)(1)(A) of this title, which the President 
                designates as a CBTPA beneficiary country, 
                taking into account the criteria contained in 
                subsections (b) and (c) of section 212 and 
                other appropriate criteria, including the 
                following:
                          (i) Whether the beneficiary country 
                        has demonstrated a commitment to--
                                  (I) undertake its obligations 
                                under the WTO, including those 
                                agreements listed in section 
                                101(d) of the Uruguay Round 
                                Agreements Act, on or ahead of 
                                schedule; and
                                  (II) participate in 
                                negotiations toward the 
                                completion of the FTAA or 
                                another free trade agreement.
                          (ii) The extent to which the country 
                        provides protection of intellectual 
                        property rights consistent with or 
                        greater than the protection afforded 
                        under the Agreement on Trade-Related 
                        Aspects of Intellectual Property Rights 
                        described in section 101(d)(15) of the 
                        Uruguay Round Agreements Act.
                          (iii) The extent to which the country 
                        provides internationally recognized 
                        worker rights, including--
                                  (I) the right of association;
                                  (II) the right to organize 
                                and bargain collectively;
                                  (III) a prohibition on the 
                                use of any form of forced or 
                                compulsory labor;
                                  (IV) a minimum age for the 
                                employment of children; and
                                  (V) acceptable conditions of 
                                work with respect to minimum 
                                wages, hours of work, and 
                                occupational safety and health;
                          (iv) Whether the country has 
                        implemented its commitments to 
                        eliminate the worst forms of child 
                        labor, as defined in section 507(6) of 
                        the Trade Act of 1974.
                          (v) The extent to which the country 
                        has met the counter-narcotics 
                        certification criteria set forth in 
                        section 490 of the Foreign Assistance 
                        Act of 1961 (22 U.S.C. 2291j) for 
                        eligibility for United States 
                        assistance.
                          (vi) The extent to which the country 
                        has taken steps to become a party to 
                        and implements the Inter-American 
                        Convention Against Corruption.
                          (vii) The extent to which the 
                        country--
                                  (I) applies transparent, 
                                nondiscriminatory, and 
                                competitive procedures in 
                                government procurement 
                                equivalent to those contained 
                                in the Agreement on Government 
                                Procurement described in 
                                section 101(d)(17) of the 
                                Uruguay Round Agreements Act; 
                                and
                                  (II) contributes to efforts 
                                in international fora to 
                                develop and implement 
                                international rules in 
                                transparency in government 
                                procurement.
                  (C) CBTPA originating good.--
                          (i) In general.--The term `CBTPA 
                        originating good' means a good that 
                        meets the rules of origin for a good 
                        set forth in chapter 4 of the NAFTA as 
                        implemented pursuant to United States 
                        law.
                          (ii) Application of chapter 4.--In 
                        applying chapter 4 of the NAFTA with 
                        respect to a CBTPA beneficiary country 
                        for purposes of this subsection--
                                  (I) no country other than the 
                                United States and a CBTPA 
                                beneficiary country may be 
                                treated as being a party to the 
                                NAFTA;
                                  (II) any reference to trade 
                                between the United States and 
                                Mexico shall be deemed to refer 
                                to trade between the United 
                                States and a CBTPA beneficiary 
                                country;
                                  (III) any reference to a 
                                party shall be deemed to refer 
                                to a CBTPA beneficiary country 
                                or the United States; and
                                  (IV) any reference to parties 
                                shall be deemed to refer to any 
                                combination of CBTPA 
                                beneficiary countries or to the 
                                United States and one or more 
                                CBTPA beneficiary countries (or 
                                any combination thereof ).
                  (D) Transition period.--The term `transition 
                period' means, with respect to a CBTPA 
                beneficiary country, the period that begins on 
                October 1, 2000, and ends on the earlier of--
                          (i) September 30, 2008; or
                          (ii) the date on which the FTAA or 
                        another free trade agreement that makes 
                        substantial progress in achieving the 
                        negotiating objectives set forth in 
                        108(b)(5) of Public Law 103-182 (19 
                        U.S.C. 3317(b)(5)) enters into force 
                        with respect to the United States and 
                        the CBTPA beneficiary country.
                  (E) CBTPA.--The term ``CBTPA'' means the 
                United States-Caribbean Basin Trade Partnership 
                Act.
                  (F) FTAA.--The term ``FTAA'' means the Free 
                Trade Area of the Americas.
    (c)(1) As used in this subsection--
          (A) The term ``sugar and beef products'' means--
                  (i) sugars, sirups, and molasses provided for 
                in subheadings 1701.11.00, 1701.12.00, 
                1701.91.20, 1701.99.00, 1702.90.30, 1806.10.40, 
                and 2106.90.10 of the Harmonized Tariff 
                Schedule of the United States,\33\ and
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    \33\ The text to this point beginning with ``subheadings 
1701.11.00'' was inserted in lieu of ``items 155.20 and 155.30 of the 
TSUS'' by sec. 1214(q)(2)(B)(i) of Public Law 100-418 (102 Stat. 1159).
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                  (ii) articles of beef or veal, however 
                provided for in chapters 2 and 16 of the 
                Harmonized Tariff Schedule of the United 
                States.\34\
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    \34\ The text to this point beginning with ``chapters 2'' was 
inserted in lieu of ``subpart B of part 2 of schedule 1 of the TSUS'' 
by sec. 1214(q)(2)(B)(ii) of Public Law 100-418 (102 Stat. 1159).
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          (B) The term ``Plan'' means a stable food production 
        plan that consists of measures and proposals designed 
        to ensure that the present level of food production in, 
        and the nutritional level of the population of, a 
        beneficiary country will not be adversely affected by 
        changes in land use and land ownership that will result 
        if increased production of sugar and beef products is 
        undertaken in response to the duty-free treatment 
        extended under this title to such products. A Plan must 
        specify such facts regarding, and such proposed actions 
        by, a beneficiary country as the President deems 
        necessary for purposes of carrying out this subsection, 
        including but not limited to--
                  (i) the current levels of food production and 
                nutritional health of the population;
                  (ii) current level of production and export 
                of sugar and beef products;
                  (iii) expected increases in production and 
                export of sugar and beef products as a result 
                of the duty-free access to the United States 
                market provided under this title;
                  (iv) measures to be taken to ensure that the 
                expanded production of those products because 
                of such duty-free access will not occur at the 
                expense of stable food production; and
                  (v) proposals for a system to monitor the 
                impact of such duty-free access on stable food 
                production and land use and land ownership 
                patterns.
    (2) Duty-free treatment extended under this title to sugar 
and beef products that are the product of a beneficiary country 
shall be suspended by the President under this subsection if--
          (A) the beneficiary country, within the ninety-day 
        period beginning on the date of its designation as such 
        a country under section 212, does not submit a Plan to 
        the President for evaluation;
          (B) on the basis of his evaluation, the President 
        determines that the Plan of a beneficiary country does 
        not meet the criteria set forth in paragraph (1)(B); or
          (C) as a result of the monitoring of the operation of 
        the Plan under paragraph (5), the President determines 
        that a beneficiary country is not making a good faith 
        effort to implement its Plan, or that the measures and 
        proposals in the Plan, although being implemented, are 
        not achieving their purposes.
    (3) Before the President suspends duty-free treatment by 
reason of paragraph (2) (A) or (C) to the sugar and beef 
products of a beneficiary country, he must offer to enter into 
consultation with the beneficiary country for purposes of 
formulating appropriate remedial action which may be taken by 
that country to avoid such suspension. If the beneficiary 
country thereafter enters into consultation within a reasonable 
time and undertakes to formulate remedial action in good faith, 
the President shall withhold the suspension of duty-free 
treatment on the condition that the remedial action agreed upon 
be appropriately implemented by that country.
    (4) The President shall monitor on a biennial basis the 
operation of the Plans implemented by beneficiary countries, 
and shall submit a written report to Congress by March 15 
following the close of each biennium, that--
          (A) specifies the extent to which each Plan, and 
        remedial actions, if any, agreed upon under paragraph 
        (4), have been implemented; and
          (B) evaluates the results of such implementation.
    (5) The President shall terminate any suspension of duty-
free treatment imposed under this subsection if he determines 
that the beneficiary country has taken appropriate action to 
remedy the factors on which the suspension was based.
    (d) \35\ Tariff-Rate Quotas.--No quantity of an 
agricultural product subject to a tariff-rate quota that 
exceeds the in-quota quantity shall be eligible for duty-free 
treatment under this title.
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    \35\ Sec. 404(e)(1) of Public Law 103-465 (108 Stat. 4961) amended 
and restated subsec. (d).
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    (e)(1) The President may by proclamation suspend the duty-
free treatment provided by this title with respect to any 
eligible article and may proclaim a duty rate for such article 
if such action is provided under chapter 1 of title II \36\ of 
the Trade Act of 1974 or section 232 of the Trade Expansion Act 
of 1962.
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    \36\ The text to this point beginning with ``provided under chapter 
1'' was substituted in lieu of ``proclaimed pursuant to section 203'' 
by sec. 1401(b)(2) of Public Law 100-418 (102 Stat. 1239).
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    (2) In any report by the International Trade Commission to 
the President under section 202(f) \37\ of the Trade Act of 
1974 regarding any article for which duty-free treatment has 
been proclaimed by the President pursuant to this title, the 
Commission shall state whether and to what extent its findings 
and recommendations apply to such article when imported from 
beneficiary countries.
---------------------------------------------------------------------------
    \37\ Sec. 1401(b)(2)(B) of Public Law 100-418 (102 Stat. 1239) 
substituted ``202(f)'' in lieu of ``202(d)(1)'' in subsec. (e)(2)
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    (3) For purposes of subsections section 203 \38\ of the 
Trade Act of 1974, the suspension of the duty-free treatment 
provided by this title shall be treated as an increase in duty.
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    \38\ Sec. 1401(b)(2)(C) of Public Law 100-418 (102 Stat. 1240) 
substituted ``section 203'' in lieu of ``(a) and (c) of section 203'' 
in subsec. (e)(3). The word ``subsection'' preceding ``section 203'' 
probably should have been struck out also.
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    (4) No proclamation which provides solely for a suspension 
referred to in paragraph (3) of this subsection with respect to 
any article shall be taken under section 203 \35\ of the Trade 
Act of 1974 unless the United States International Trade 
Commission, in addition to making an affirmative determination 
with respect to such article under section 202(b) \39\ of the 
Trade Act of 1974, determines in the course of its 
investigation under such section \39\ that the serious injury 
(or threat thereof) substantially caused by imports to the 
domestic industry producing a like or directly competitive 
article results from the duty-free treatment provided by this 
title.
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    \39\ Sec. 1401(b)(2)(D) of Public Law 100-418 (102 Stat. 1240) 
amended subsec. (e)(4) by inserting ``taken under section 203'' in lieu 
of ``made under subsections (a) and (c) of section 203''; by inserting 
``202(b)'' the first place it appears in lieu of ``201(b)''; and by 
inserting ``such section'' in lieu of ``section 201(b) of such Act''.
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    (5)(A) Any action taken under section 203 \40\ of the Trade 
Act of 1974 that is in effect when duty-free treatment pursuant 
to section 101 of this title is proclaimed shall remain in 
effect until modified or terminated.
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    \40\ Sec. 1401(b)(2)(E) of Public Law 100-418 (102 Stat. 1240) 
amended subsec. (e)(5) by striking out ``proclamation issued pursuant 
to section 203'' in subpara. (A) and inserting ``action taken under 
section 203''. Sec. 1401(b)(2)(E) of that Act amended subpara. (B) by 
striking out ``to import relief'' and inserting ``to any such action''; 
by striking out ``such import relief'' and inserting ``such action''; 
and by striking out ``subsections (h) and (i) of section 203'' and 
inserting ``section 203''.
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    (B) If any article is subject to any such action \40\ at 
the time duty-free treatment is proclaimed pursuant to section 
211, the President may reduce or terminate the application of 
such action \40\ relief to the importation of such article from 
beneficiary countries prior to the otherwise scheduled date on 
which such reduction or termination would occur pursuant to the 
criteria and procedures of section 203 \40\ of the Trade Act of 
1974.
    (f)(1) If a petition is filed with the International Trade 
Commission pursuant to the provisions of section 201 of the 
Trade of 1974 regarding a perishable product and alleging 
injury from imports from beneficiary countries then the 
petition may also be filed with the Secretary of Agriculture 
with a request that emergency relief be granted pursuant to 
paragraph (3) of this subsection with respect to such article.
    (2) Within fourteen days after the filing of a petition 
under paragraph (1) of this subsection--
          (A) if the Secretary of Agriculture has reason to 
        believe that a perishable product from a beneficiary 
        country is being imported into the United States in 
        such increased quantities as to be a substantial cause 
        of serious injury, or the threat thereof, to the 
        domestic industry producing a perishable product like 
        or directly competitive with the imported product and 
        that emergency action is warranted, he shall advise the 
        President and recommend that the President take 
        emergency action; or
          (B) the Secretary of Agriculture shall publish a 
        notice of his determination not to recommend the 
        imposition of emergency action and so advise the 
        petitioner.
    (3) Within seven days after the President receives a 
recommendation from the Secretary of Agriculture to take 
emergency action pursuant to paragraph (2) of this subsection, 
he shall issue a proclamation withdrawing the duty-free 
treatment provided by this title or publish a notice of his 
determination not to take emergency action.
    (4) The emergency action provided by paragraph (3) of this 
subsection shall cease to apply--
          (A) upon the taking of action under section 203 \41\ 
        of the Trade Act of 1974,
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    \41\ Sec. 1401(b)(2)(F) of Public Law 100-418 (102 Stat. 1240) 
amended subsec. (f)(4) by striking out ``proclamation of import relief 
pursuant to section 202(a)(1)'' and inserting ``taking of action under 
section 203'' in subpara. (A); and by substituting a new subpara. (B).
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          (B) \41\ on the day a determination by the President 
        not to take action under section 203 of such Act not to 
        take action becomes final,
          (C) in the event of a report of the United States 
        International Trade Commission containing a negative 
        finding, on the day the Commission's report is 
        submitted to the President, or
          (D) whenever the President determines that because of 
        changed circumstances such relief is no longer 
        warranted.
    (5) For purposes of this subsection, the term ``perishable 
product'' means--
          (A) live plants and fresh cut flowers provided for in 
        chapter 6 of the HTS; \42\
---------------------------------------------------------------------------
    \42\ The text to this point beginning with ``live plants'' was 
inserted in lieu of ``live plants provided for in subpart A of part 6 
of schedule 1 of the TSUS'' by sec. 1214(q)(2)(D) of Public Law 100-418 
(102 Stat. 1159).
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          (B) fresh or chilled vegetables provided for in 
        headings 0701 through 0709 (except subheading 
        0709.52.00) and heading 0714 of the HTS; \43\
---------------------------------------------------------------------------
    \43\ The text to this point beginning with ``headings 0701'' was 
inserted in lieu of ``items 135.10 through 138.46 of the TSUS'' by sec. 
1214(q)(2)(B) of Public Law 100-418 (102 Stat. 1159).
---------------------------------------------------------------------------
          (C) \44\ fresh fruit provided for in subheadings 
        0804.20 through 0810.90 (except citrons of subheading 
        0805.90.00, tamarinds and kiwi fruit of subheading 
        0810.90.20, and cashew apples, mameyes colorados, 
        sapodillas, soursops and sweetsops of subheading 
        0810.90.40) of the HTS;
---------------------------------------------------------------------------
    \44\ Sec. 213(f)(5) was amended by sec. 1214(q)(2)(D) of Public Law 
100-418 (102 Stat. 1159) which struck out former subpara. (C); 
redesignated subpara. (D) as (C); and inserted the text following this 
point which begins with ``subheadings'' and ends with ``HTS''.
    Sec. 1214(q)(2)(D) of that Act also struck out former subpara. (E) 
and redesignated subpara. (F) as subpara. (E). (Subpara. (E) was 
redesignated as subpara. (D) by sec. 9001(a)(14) of the Technical and 
Miscellaneous Revenue Act of 1988 (Public Law 100-647; 102 Stat. 3342). 
Sec. 1214(q)(2)(D) of Public Law 100-418 inserted the text which begins 
with ``subheadings 2009.11.00'' and ends with ``HTS''.
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          (D) \44\ concentrated citrus fruit juice provided for 
        in subheadings 2009.11.00, 2009.19.40, 2009.20.40, 
        2009.30.20, and 2009.30.60 of the HTS.
    (g) No proclamation issued pursuant to this title shall 
affect fees imposed pursuant to section 22 of the Agricultural 
Adjustment Act (7 U.S.C. 624).
    (h) \45\ (1) Subject to paragraph (2), the President shall 
proclaim reductions in the rates of duty on handbags, luggage, 
flat goods, work gloves, and leather wearing apparel that--
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    \45\ Sec. 212(a) of the Caribbean Basin Economic Recovery Expansion 
Act of 1990 (title II of Public Law 101-382; 104 Stat. 655) added 
subsec. (h).
---------------------------------------------------------------------------
          (A) are the product of any beneficiary country; and
          (B) were not designated on August 5, 1983, as 
        eligible articles for purposes of the generalized 
        system of preferences under title V of the Trade Act of 
        1974.
    (2) The reduction required under paragraph (1) in the rate 
of duty on any article shall--
          (A) result in a rate that is equal to 80 percent of 
        the rate of duty that applies to the article on 
        December 31, 1991, except that, subject to the 
        limitations in paragraph (3), the reduction may not 
        exceed 2.5 percent ad valorem; and
          (B) be implemented in 5 equal annual stages with the 
        first one-fifth of the aggregate reduction in the rate 
        of duty being applied to entries, or withdrawals from 
        warehouse for consumption of the article on or after 
        January 1, 1992.
    (3) The reduction required under this subsection with 
respect to the rate of duty on any article is in addition to 
any reduction in the rate of duty on that article that may be 
proclaimed by the President as being required or appropriate to 
carry out any trade agreement entered into under the Uruguay 
Round of trade negotiations; except that if the reduction so 
proclaimed--
          (A) is less than 1.5 percent ad valorem, the 
        aggregate of such proclaimed reduction and the 
        reduction under this subsection may not exceed 3.5 
        percent ad valorem, or
          (B) is 1.5 percent ad valorem or greater, the 
        aggregate of such proclaimed reduction and the 
        reduction under this subsection may not exceed the 
        proclaimed reduction plus 1 percent ad valorem.

SEC. 214. MEASURES FOR PUERTO RICO AND UNITED STATES INSULAR 
                    POSSESSIONS.
    (a) * * *
    (b) * * *
    (c) If the sum of the amounts of taxes covered into the 
treasuries of Puerto Rico or the United States Virgin Islands 
pursuant to section 7652(c) of the Internal Revenue Code of 
1986 is reduced below the amount that would have been covered 
over if the imported rum had been produced in Puerto Rico or 
the United States Virgin Islands, then the President shall 
consider compensation measures and, in this regard, may 
withdraw the duty-free treatment on rum provided by this title. 
The President shall submit a report to the Congress on the 
measures he takes.
    (d) Section 1112 of the Trade Agreements Act of 1979 (19 
U.S.C. 2582) is repealed.
    (e) No action pursuant to this title may affect any tariff 
duty imposed by the Legislature of Puerto Rico pursuant to 
section 319 of the Tariff Act of 1930 (19 U.S.C. 1319) on 
coffee imported into Puerto Rico.
    (f) For purposes of chapter 1 of title II of the Trade Act 
of 1974, the term ``industry'' shall include producers located 
in the United States insular possessions.
    (g) Any discharge from a point source in the United States 
Virgin Islands in existence on the date of the enactment of 
this subsection which discharge is attributable to the 
manufacture of rum (as defined in paragraphs (3) of section 
7652(c) of the Internal Revenue Code of 1986) shall not be 
subject to the requirements of section 301 (other than toxic 
discharges), section 306 or section 403 of the Federal Water 
Pollution Control Act if--
          (1) such discharge occurs at least one thousand five 
        hundred feet into the territorial sea from the line of 
        ordinary low water from that portion of the coast which 
        is in direct contact with the sea, and
          (2) the Governor of the United States Virgin Islands 
        determines that such discharge will not interfere with 
        the attainment or maintenance of that water quality 
        which shall assure protection of public water supplies, 
        and the protection and propagation of a balanced 
        population of shellfish, fish, and wildlife, and allow 
        recreational activities, in and on the water and will 
        not result in the discharge of pollutants in quantities 
        which may reasonably be anticipated to pose an 
        unacceptable risk to human health or the environment 
        because of bioaccumulation, persistency in the 
        environment, acute toxicity, chronic toxicity 
        (including carcinogenicity, mutagenicity, or 
        teratogenicity), or synergistic propensities.

SEC. 215.\46\ INTERNATIONAL TRADE COMMISSION REPORTS ON IMPACT OF THIS 
                    ACT.
(a) \47\ Reporting Requirements.--
---------------------------------------------------------------------------
    \46\ 19 U.S.C. 2704.
    \47\ Sec. 211(d) of Public Law 106-200 (114 Stat. 287) restated 
subsec. (a), which previously read as follows:
    ``(a) Reporting Requirement.--
    ``The United States International Trade Commission (hereinafter in 
this section referred to as the ``Commission'') shall prepare, and 
submit to the Congress and to the President, a report regarding the 
economic impact of this Act on United States industries and consumers 
during--
---------------------------------------------------------------------------

          ``(1) the twenty-four-month period beginning with the date of 
        enactment of this Act; and
          ``(2) each calendar year occurring thereafter until duty-free 
        treatment under this title is terminated under section 216(b).
---------------------------------------------------------------------------
    ``For purposes of this section, industries in the Commonwealth of 
Puerto Rico and the insular possessions of the United States shall be 
considered to be United States industries.''.
---------------------------------------------------------------------------
          (1) In general.--The United States International 
        Trade Commission (in this section referred to as the 
        `Commission') shall submit to Congress and the 
        President biennial reports regarding the economic 
        impact of this title on United States industries and 
        consumers and on the economy of the beneficiary 
        countries.
          (2) First report.--The first report shall be 
        submitted not later than September 30, 2001.
          (3) Treatment of puerto rico, etc.--For purposes of 
        this section, industries in the Commonwealth of Puerto 
        Rico and the insular possessions of the United States 
        are considered to be United States industries.
    (b)(1) Each report required under subsection (a) shall 
include, but not be limited to, an assessment by the Commission 
regarding--
          (A) the actual effect, during the period covered by 
        the report, of this Act on the United States economy 
        generally as well as on those specific domestic 
        industries which produce articles that are like, or 
        directly competitive with, articles being imported into 
        the United States from beneficiary countries; and
          (B) the probable future effect which this Act will 
        have on the United States economy generally, as well as 
        on such domestic industries, before the provisions of 
        this Act terminate.
    (2) In preparing the assessments required under paragraph 
(1), the Commission shall, to the extent practicable--
          (A) analyze the production, trade and consumption of 
        United States products affected by this Act, taking 
        into consideration employment, profit levels, and use 
        of productive facilities with respect to the domestic 
        industries concerned, and such other economic factors 
        in such industries as it considers relevant, including 
        prices, wages, sales, inventories, patterns of demand, 
        capital investment, obsolescence of equipment, and 
        diversification of production; and
          (B) describe the nature and extent of any significant 
        change in employment, profit levels, and use of 
        productive facilities, and such other conditions as it 
        deems relevant in the domestic industries concerned, 
        which it believes are attributable to this Act.
    (c)(1) Each report required under subsection (a) shall be 
submitted to the Congress and to the President before the close 
of the nine-month period beginning on the day after the last 
day of the period covered by the report.
    (2) The Commission shall provide opportunity for the 
submission by the public, either orally or in writing, or both, 
of information relating to matters that will be addressed in 
the reports.

SEC. 216.\48\ IMPACT STUDY BY SECRETARY OF LABOR.

    The Secretary of Labor, in consultation with other 
appropriate Federal agencies, shall undertake a continuing 
review and analysis of the impact which the implementation of 
the provisions of this title have with respect to United States 
labor; and shall make an annual written report to Congress on 
the results of such review and analysis.
---------------------------------------------------------------------------
    \48\ 19 U.S.C. 2705.
---------------------------------------------------------------------------

SEC. 217. FEASIBILITY STUDY REGARDING A CARIBBEAN TRADE INSTITUTE.

    (a) The Secretary of State shall prepare a study regarding 
the feasibility of establishing a Caribbean Trade Institute in 
Harlem, New York City, supported by a combination of Federal 
and private funds.
    (b) The study shall include, but not be limited to, an 
assessment of the extent to which, and the means by which, a 
Caribbean Trade Institute could--
          (1) facilitate cooperation between public and private 
        entities interested in engaging in or furthering 
        Caribbean trade;
          (2) serve as a catalyst for greater cultural exchange 
        between the United States and Caribbean nations; and
          (3) facilitate expansion of job opportunities both in 
        the United States and the Caribbean Basin.
The study shall also include suggestions regarding the 
organization and staffing of such an institute.
    (c) The study required by this section shall be submitted 
to the Congress within six months after the date of the 
enactment of this Act.
---------------------------------------------------------------------------
    \49\ 19 U.S.C. 2706. Sec. 211 of the Caribbean Basin Economic 
Recovery Expansion Act of 1990 (title II of Public Law 101-382; 104 
Stat. 655) repealed sec. 218. It had provided the day of enactment of 
the bill as an effective date for the subtitle, and terminated any 
duty-free treatment previously extended to beneficiary countries under 
this subtitle, effective September 30, 1995.
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SEC. 218.\49\ * * * [Repealed--1990]

SEC. 219.\50\ CENTER FOR THE STUDY OF WESTERN HEMISPHERIC TRADE.

    (a)  Establishment.--The Commissioner of Customs, after 
consultation with appropriate officials in the State of Texas, 
is authorized and directed to make grants to an institution (or 
a consortium of such institutions) to assist such institution 
in planning, establishing, and operating a Center for the Study 
of Western Hemispheric Trade (hereafter in this section 
referred to as the ``Center''). The Commissioner of Customs 
shall make the first grant not later than December 1, 1994, and 
the Center shall be established not later than February 1, 
1995.
---------------------------------------------------------------------------
    \50\ 19 U.S.C. 2707. Sec. 515(a) Sec. 107 of the North American 
Free Trade Agreement Implementation Act (Public Law 103-182; 107 Stat. 
2158) added sec. 219. Sec. 515(b) of that Act further provided the 
following:
    ``(b) Authorization of Appropriations.--There are authorized to be 
appropriated $10,000,000 for fiscal year 1994, and such sums as may be 
necessary in the 3 succeeding fiscal years to carry out the purposes of 
section 219 of the Caribbean Basin Economic Recovery Act (as added by 
subsection (a)).''.
---------------------------------------------------------------------------
    (b)  Scope of the Center.--The Center shall be a year-round 
program operated by an institution located in the State of 
Texas (or a consortium of such institutions), the purpose of 
which is to promote and study trade between and among Western 
Hemisphere countries. The Center shall conduct activities 
designed to examine--
          (1) the impact of the NAFTA on the economies in, and 
        trade within, the Western Hemisphere; \51\
---------------------------------------------------------------------------
    \51\ Sec. 21(d)(1) of Public Law 104-295 (110 Stat. 3530) replaced 
a comma with a semicolon at the end of para. (1).
---------------------------------------------------------------------------
          (2) the negotiation of any future free trade 
        agreements, including possible accessions to the NAFTA; 
        and
          (3) adjusting tariffs, reducing nontariff barriers, 
        improving relations among customs officials, and 
        promoting economic relations among countries in the 
        Western Hemisphere.
    (c)  Consultation; Selection Criteria.--The Commissioner of 
Customs shall consult with appropriate officials of the State 
of Texas and private sector authorities with respect to 
selecting, planning, and establishing the Center. In selecting 
the appropriate institution, the Commissioner of Customs shall 
give consideration to--
          (1) the institution's ability to carry out the 
        programs and activities described in this section; and
          (2) any resources the institution can provide the 
        Center in addition to Federal funds provided under this 
        program.
    (d)  Programs and Activities.--The Center shall conduct the 
following activities:
          (1) Provide forums for international discussion and 
        debate for representatives from countries in the 
        Western Hemisphere regarding issues which affect trade 
        and other economic relations within the hemisphere, 
        including the impact of the NAFTA on individual 
        economies and the desirability and feasibility of 
        possible accessions to the NAFTA by such countries.
          (2) Conduct studies and research projects on subjects 
        which affect Western Hemisphere trade, including 
        tariffs, customs, regional and national economics, 
        business development and finance, production and 
        personnel management, manufacturing, agriculture, 
        engineering, transportation, immigration, 
        telecommunications, medicine, science, urban studies, 
        border demographics, social anthropology, and 
        population.
          (3) Publish materials, disseminate information, and 
        conduct seminars and conferences to support and educate 
        representatives from countries in the Western 
        Hemisphere who seek to do business with or invest in 
        other Western Hemisphere countries.
          (4) Provide grants, fellowships, endowed chairs, and 
        financial assistance to outstanding scholars and 
        authorities from Western Hemisphere countries.
          (5) Provide grants, fellowships, and other financial 
        assistance to qualified graduate students, from Western 
        Hemisphere countries, to study at the Center.
          (6) Implement academic exchange programs and other 
        cooperative research and instructional agreements with 
        the complementary North/South Center \52\ at the 
        University of Miami at Coral Gables.
---------------------------------------------------------------------------
    \52\ Sec. 2(a) of the Dante B. Fascell North-South Center Act 
(Public Law 106-929; 113 Stat. 54) provided that any reference in any 
provision of law to the North/South Center ``shall be deemed to be a 
reference to the `Dante B. Fascell North-South Center'.''.
---------------------------------------------------------------------------
    (e)  Definitions.--For purposes of this section--
          (1) Nafta.--The term ``NAFTA'' means the North 
        American Free Trade Agreement.
          (2)  Western hemisphere countries.--The terms 
        ``Western Hemisphere countries'', ``countries in the 
        Western Hemisphere'', and ``Western Hemisphere'' mean 
        Canada, the United States, Mexico, countries located in 
        South America, beneficiary countries (as defined by 
        section 212), the Commonwealth of Puerto Rico, and the 
        United States Virgin Islands.
    (f)  Fees for Seminars and Publications.--Notwithstanding 
any other provision of law, a grant made under this section may 
provide that the Center may charge a reasonable fee for 
attendance at seminars and conferences and for copies of 
publications, studies, reports, and other documents the Center 
publishes. The Center may waive such fees in any case in which 
it determines imposing a fee would impose a financial hardship 
and the purposes of the Center would be served by granting such 
a waiver.
    (g) Duration of Grant.--The Commissioner of Customs is 
directed to make grants to any institution or institutions 
selected as the Center for fiscal years 1994, 1995, 1996, and 
1997.
    (h) Report.--The Commissioner of Customs shall, no later 
than July 1, 1994, and annually thereafter for years for which 
grants are made, submit a written report to the Committee on 
Finance of the Senate and the Committee on Ways and Means of 
the House of Representatives. The first report shall include--
          (1) a statement identifying the institution or 
        institutions selected as the Center; \49\
---------------------------------------------------------------------------
    \53\ Sec. 21(d)(2) of Public Law 104-295 (110 Stat. 3530) replaced 
commas with semicolons in paras. (1) and (2).
---------------------------------------------------------------------------
          (2) the reasons for selecting the institution or 
        institutions as the Center; \53\ and
          (3) the plan of such institution or institutions for 
        operating the Center.
Each subsequent report shall include information with respect 
to the operations of the Center, the collaboration of the 
Center with, and dissemination of information to, Government 
policymakers and the business community with respect to the 
study of Western Hemispheric trade by the Center, and the plan 
and efforts of the Center to continue operations after grants 
under this section have expired.

                    Subtitle B--Tax Provisions \54\
---------------------------------------------------------------------------

    \54\ Subtitle B amended secs. 7652 and 274(h) of the Internal 
Revenue Code of 1986, relating to the payment of excise taxes collected 
on rum to Puerto Rico and the U.S. Virgin Islands, and to the treatment 
of Caribbean conventions, respectively.
---------------------------------------------------------------------------
          * * * * * * *

SEC. 223. REPORT WITH RESPECT TO USE OF CARIBBEAN BASIN TAX HAVENS.

    The Secretary of the Treasury shall, not later than ninety 
days after the date of the enactment of this Act, report to the 
Committee on Ways and Means of the House of Representatives and 
the Committee on Finance of the Senate on--
          (1) the level at which Caribbean Basin tax havens are 
        being used to evade or avoid Federal taxes, and the 
        effect on Federal revenues of such use,
          (2) any information he may have on the relationship 
        of such use to drug trafficking and other criminal 
        activities, and
          (3) current antitax haven enforcement activities of 
        the Department of the Treasury.

       Subtitle C--Sense of the Congress Regarding Sugar Imports

SEC. 231. SUGAR IMPORTS.

    It is the sense of the Congress that sugar from any 
Communist country in the Caribbean Basin or in Central America 
should not be imported into the United States.
               (7) Tariff Treatment of Cuban Products \1\

 Partial text of Public Law 87-456 [Tariff Classification Act of 1962; 
            H.R. 10607], 76 Stat. 72, approved May 24, 1962

  AN ACT To amend the Tariff Act of 1930 and certain related laws to 
 provide for the restatement of the tariff classification provisions, 
                        and for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled, That:
    This Act may be cited as the ``Tariff Classification Act of 
1962''.
---------------------------------------------------------------------------
    \1\ See also the Cuban Democracy Act of 1992 (title XVII of Public 
Law 102-484; 106 Stat. 2574; 22 U.S.C. 6001 et seq.).
---------------------------------------------------------------------------
          * * * * * * *

            TITLE IV--TARIFF TREATMENT OF CUBAN PRODUCTS \2\
---------------------------------------------------------------------------

    \2\ 19 U.S.C. 1351 note.
---------------------------------------------------------------------------
    Sec. 401. (a) Cuba is hereby declared to be a nation 
described in section 5 of the Trade Agreements Extension Act of 
1951, as amended (19 U.S.C. 1362, relating to imports from 
nations and areas dominated or controlled by the foreign 
government or foreign organization controlling the world 
Communist movement). Articles which are--
          (1) the growth, produce, or manufacture of Cuba, and
          (2) imported on or after the date of enactment of 
        this Act (May 24, 1962),
shall be denied the benefits of concessions contained in any 
trade agreement entered into under the authority of section 350 
of the Tariff Act of 1930, as amended (19 U.S.C. 1351).
    (b) Nothing in subsection (a) shall affect the rates of 
duty or the customs or excise treatment of articles the growth, 
produce, or manufacture of any country other than Cuba.
    (c) Subsection (a) shall not apply on or after the date on 
which the President proclaims that he has determined that Cuba 
is no longer dominated or controlled by the foreign government 
or foreign organization controlling the world Communist 
movement.
    (d) The Act of December 17, 1903 (19 U.S.C. 124, 125), and 
section 316 of the Tariff Act of 1930, as amended (19 U.S.C. 
1316), both relating to the implementation of the treaty with 
Cuba concluded on December 11, 1902, shall not apply during the 
period during which subsection (a) applies.
          * * * * * * *
    (8) Implementing the United States-Canada Free-Trade Agreement 
                           Implementation Act

 Executive Order 12662, December 31, 1988, 54 F.R. 785, 19 U.S.C. 2112 
                                  note

    By virtue of the authority vested in me as President of the 
United States of America, including the United States-Canada 
Free-Trade Agreement Implementation Act of 1988 (Public Law 
100-449, 102 Stat. 1851) (``FTA Implementation Act''),\1\ it is 
hereby ordered as follows:
---------------------------------------------------------------------------
    \1\ For text of United States-Canada Free-Trade Agreement 
Implementation Act of 1988 (Public Law 100-449; 102 Stat. 1851), see 
page 899.
---------------------------------------------------------------------------

Section 1.\2\ Publication of Proposed Rules Regarding Technical 
        Standards. * * * [Superseded--1993]
---------------------------------------------------------------------------

    \2\ This section was superseded by sec. 4 of Executive Order 12889; 
see page 965.
---------------------------------------------------------------------------

Sec. 2. Establishment of United States Secretariat.

    Pursuant to subsection 405(e) of the FTA Implementation 
Act, a ``United States Secretariat'' shall be established 
within the International trade Administration of the Department 
of Commerce. The Secretariat shall facilitate:
          (1) the operation of Chapters 18 and 19 of the Free-
        Trade Agreement, and
          (2) the work of the binational panels and 
        extraordinary challenge committees convened under those 
        Chapters.

Sec. 3. Acceptance by the President of Panel and Committee Decisions.

    In accordance with subsection 401(c) of the FTA 
Implementation Act, in the event that the provisions of 
subparagraph 516A(g)(7)(B) of the Tariff Act of 1930, as 
amended, 19 U.S.C. section 1516a(g)(7)(B), take effect, I 
accept, as a whole, all decisions of binational panels and 
extraordinary challenge committees.

Sec. 4. Judicial Review.

    This Order does not create any right or benefit, 
substantive or procedural, enforceable at law by a party 
against the United States, its agencies, its officers, or any 
person.

Sec. 5. Effective Date.

    This Order shall take effect upon entry into force of the 
Free-Trade Agreement.
     (9) Implementation of the North American Free Trade Agreement

Executive Order 12889, December 27, 1993, 58 F.R. 69681, 19 U.S.C. 3311 
                                  note

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including the North American Free Trade Agreement 
Implementation Act (Public Law 103-182; 107 Stat. 2057) (the 
NAFTA Implementation Act), and section 302 of title 3, United 
States Code, and in order to implement the North American Free 
Trade Agreement (NAFTA), it is hereby ordered:
    Section 1. Establishment of United States Section of the 
NAFTA Secretariat. Pursuant to section 105(a) of the NAFTA 
Implementation Act, a United States section of the NAFTA 
Secretariat shall be established within the Department of 
Commerce and shall carry out the functions set out in that 
section.
    Sec. 2. Acceptance by the President of Panel and Committee 
Decisions. Pursuant to subparagraph 516A(g)(7)(B) of the Tariff 
Act of 1930, as amended, 19 U.S.C. 1516a(g)(7)(B), in the event 
that the provisions of that subparagraph take effect, I accept, 
as a whole, all decisions of binational panels and 
extraordinary challenge committees.
    Sec. 3. Implementation of Safeguard Provisions for Textile 
and Apparel Goods. Pursuant to section 201 of the NAFTA 
Implementation Act, the Committee for the Implementation of 
Textile Agreements (the Committee) shall take such action as 
necessary to implement the bilateral safeguard provisions 
(tariff actions) set out in section 4 of Annex 300-B of the 
NAFTA. The United States Customs Service shall take such 
actions to carry out those safeguard provisions as directed by 
the Secretary of the Treasury, upon the advice and 
recommendation of the Chairman of the Committee.
    Sec. 4. Publication of Proposed Rules Regarding Technical 
Regulations and Sanitary and Phytosanitary Measures. (a) In 
accordance with Articles 718 and 909 of the NAFTA, each agency 
subject to the provisions of the Administrative Procedures Act, 
as amended (5 U.S.C. 551 et seq.), shall, in applying section 
553 of title 5, United States Code, with respect to any 
proposed Federal technical regulation or any Federal sanitary 
or phytosanitary measure of general application, other than a 
regulation issued pursuant to section 104(a) of the NAFTA 
Implementation Act, publish or serve notice of such regulation 
or measure not less than 75 days before the comment due date, 
except:
          (1) in the case of a technical regulation relating to 
        perishable goods, in which case the agency shall, to 
        the greatest extent practicable, publish or serve 
        notice at least 30 days prior to adoption of such 
        regulation;
          (2) in the case of a technical regulation, where the 
        United States considers it necessary to address an 
        urgent problem relating to safety or to protection of 
        human, animal or plant life or health, the environment 
        or consumers; or
          (3) in the case of a sanitary or phytosanitary 
        measure, where the United States considers it necessary 
        to address an urgent problem relating to sanitary or 
        phytosanitary protection.
    (b) For purposes of this section, the term ``sanitary or 
phytosanitary measure'' shall be defined in accordance with 
section 463 of the Trade Agreements Act of 1979, and 
``technical regulation'' shall be defined in accordance with 
section 473 of the Trade Agreements Act of 1979.
    (c) This section supersedes section 1 of Executive Order 
No. 12662 of December 31, 1988.
    Sec. 5. Government Procurement Procedures. (a) Waiver.
    (1) With respect to eligible products (as defined in 
section 381(c) of the NAFTA Implementation Act) of Canada and 
Mexico, and suppliers of such products, the application of any 
law, regulation, procedure, or practice regarding Federal 
Government procurement that would, if applied to such products 
or suppliers, result in treatment less favorable than the most 
favorable treatment accorded:
          (A) to United States products and services and 
        suppliers of such products and services; or
          (B) to eligible products of either Mexico or Canada, 
        shall be waived.
    (2) This waiver shall be applied by all executive agencies 
listed in Annexes 1 and 2 of this Executive order in 
consultation with, and when deemed necessary at the direction 
of, the United States Trade Representative (Trade 
Representative).
    (b) The Secretary of Defense, or his designee, in 
consultation with the Trade Representative, shall be 
responsible for determinations under Article 1018(1), pursuant 
to Annex 1001.1b-1(A)(4), of the NAFTA. The Secretary of 
Defense, or his designee, and the Trade Representative shall 
establish procedures for this purpose.
    (c) The executive agencies listed in Annex 2 are directed 
to procure eligible products in compliance with the procedural 
provisions of Chapter 10 of the NAFTA.
    (d) The Trade Representative shall be responsible for 
calculating and adjusting the threshold as required by Article 
1001(1)(c) of the NAFTA.
    (e) This order shall apply only to solicitations issued on 
or after the date of entry into force of the NAFTA for the 
United States.
    (f) Although regulatory implementation of this order must 
await revisions to the Federal Acquisitions Regulations (FAR), 
it is expected that agencies listed in Annexes 1 and 2 of this 
order will take all appropriate actions in the interim to 
implement those aspects of the order that are not dependent 
upon regulatory revision.
    (g) Pursuant to section 25 of the Office of Federal 
Procurement Policy Act, as amended (41 U.S.C. 421(a)), the 
Federal Acquisition Regulatory Council shall ensure that the 
policies established herein are incorporated in the FAR within 
30 days from the date this order is issued.
    Sec. 6. Government Use of Patented Technology. (a) Each 
agency shall, within 30 days from the date this order is 
issued, modify or adopt procedures to ensure compliance with 
Article 1709(10) of the NAFTA regarding notice when patented 
technology is used by or for the Federal Government without a 
license from the owner, except that the requirement of Article 
1709(10)(b) regarding reasonable efforts to obtain advance 
authorization from the patent owner:
          (1) is hereby waived for an invention used or 
        manufactured by or for the Federal Government, except 
        that the patent owner must be notified whenever the 
        agency or its contractor, without making a patent 
        search, knows or has demonstrable reasonable grounds to 
        know that an invention described in and covered by a 
        valid United States patent is or will be used or 
        manufactured without a license; and
          (2) is waived whenever a national emergency or other 
        circumstances of extreme urgency exists, except that 
        the patent owner must be notified as soon as it is 
        reasonably practicable to do so.
    (b) Agencies shall treat the term ``remuneration'' as used 
in Articles 1709(10)(h) and (j) and 1715 of the NAFTA as 
equivalent to ``reasonable and entire compensation'' as used in 
section 1498 of title 28, United States Code.
    (c) In addition to the general provisions of section 7 of 
this order regarding enforceable rights, nothing in this order 
is intended to suggest that the giving of notice to a patent 
owner under Article 1709(10) of the NAFTA constitutes an 
admission that the Federal Government has infringed a valid 
privately-owned patent.
    Sec. 7. Judicial Review. This order does not create any 
right or benefit, substantive or procedural, enforceable at law 
by a party against the United States, its agencies, its 
officers, or any person.
    Sec. 8. Effective Date. This order shall take effect upon 
the date of entry into force of the NAFTA for the United 
States.

                                Annex 1

    Department of Agriculture
    Department of Commerce
    Department of Defense
    Department of Education
    Department of Energy
    Department of Health and Human Services
    Department of Housing and Urban Development
    Department of the Interior
    Department of Justice
    Department of Labor
    Department of State
    Department of Transportation
    Department of the Treasury
    United States Agency for International Development
    General Services Administration
    National Aeronautics and Space Administration
    Department of Veterans Affairs
    Environmental Protection Agency
    United States Information Agency
    National Science Foundation
    Panama Canal Commission
    Executive Office of the President
    Farm Credit Administration
    National Credit Union Administration
    Merit Systems Protection Board
    ACTION Agency
    United States Arms Control and Disarmament Agency
    Office of Thrift Supervision
    Federal Housing Finance Board
    National Labor Relations Board
    National Mediation Board
    Railroad Retirement Board
    American Battle Monuments Commission
    Federal Communications Commission
    Federal Trade Commission
    Interstate Commerce Commission
    Securities and Exchange Commission
    Office of Personnel Management
    United States International Trade Commission
    Export-Import Bank of the United States
    Federal Mediation and Conciliation Service
    Selective Service System
    Smithsonian Institution
    Federal Deposit Insurance Corporation
    Consumer Product Safety Commission
    Equal Employment Opportunity Commission
    Federal Maritime Commission
    National Transportation Safety Board
    Nuclear Regulatory Commission
    Overseas Private Investment Corporation
    Administrative Conference of the United States
    Board for International Broadcasting
    Commission on Civil Rights
    Commodity Futures Trading Commission
    Peace Corps
    National Archives and Records Administration

                                Annex 2

    The Power Marketing Administrations of the Department of 
Energy
    Tennessee Valley Authority
    St. Lawrence Seaway Development Corporation
    (10) Federal Implementation of the North American Agreement on 
                       Environmental Cooperation

Executive Order 12915, May 13, 1994, 59 F.R. 25775, 19 U.S.C. 3472 note

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including the North American Free Trade Agreement 
Implementation Act, Public Law 103-182; 107 Stat. 2057 (``NAFTA 
Implementation Act''), and section 301 of title 3, United 
States Code, it is hereby ordered as follows:
    Section 1. Policy. (a) The North American Agreement on 
Environmental Cooperation (``Environmental Cooperation 
Agreement'') shall be implemented consistent with United States 
policy for the protection of human, animal or plant life or 
health, and the environment. The Environmental Cooperation 
Agreement shall also be implemented to advance sustainable 
development, pollution prevention, environmental justice, 
ecosystem protection, and biodiversity preservation and in a 
manner that promotes transparency and public participation in 
accordance with the North American Free Trade Agreement 
(``NAFTA'') and the Environmental Cooperation Agreement.
    (b) Effective implementation of the Environmental 
Cooperation Agreement is essential to the realization of the 
environmental objectives of NAFTA and the NAFTA Implementation 
Act and promotes cooperation on trade and environmental issues 
between the United States, Canada, and Mexico.
    Sec. 2. Implementation of the Environmental Cooperation 
Agreement.
    (a) Policy Priorities. In accordance with Article 10(2) of 
the Environmental Cooperation Agreement, it is the policy of 
the United States to promote consideration of, with a view 
towards developing recommendations and reaching agreement on, 
the following priorities within the Council of the Commission 
for Environmental Cooperation (``Council''):
          (1) pursuant to Article 10(2)(m), the environmental 
        impact of goods throughout their life cycles, including 
        the environmental effects of processes and production 
        methods and the internalization of environmental costs 
        associated with products from raw material to disposal;
          (2) pursuant to Articles 10(2)(b), (g), (i), (j), and 
        (k), pollution prevention techniques and strategies, 
        transboundary and border environmental issues, the 
        conservation and protection of wild flora and fauna 
        (including endangered species), their habitats and 
        specially protected natural areas, and environmental 
        emergency preparedness and response activities;
          (3) pursuant to Articles 10(3) and 10(4), 
        implementation of Environmental Cooperation Agreement 
        provisions and the exchange of information among the 
        United States, Canada, and Mexico concerning the 
        development, continuing improvement, and effective 
        enforcement of, and compliance with, environmental 
        laws, policies, incentives, regulations, and other 
        applicable standards;
          (4) pursuant to Article 10(5)(a), public access to 
        environmental information held by public authorities of 
        each party to the Environmental Cooperation Agreement, 
        including information on hazardous materials and 
        activities in its communities, and the opportunity to 
        participate in decision-making processes related to 
        such public access;
          (5) pursuant to Article 10(2)(1), environmental 
        matters as they relate to sustainable development; and
          (6) other priorities as appropriate or necessary.
    (b) United States Representation on the Council. The 
Administrator of the Environmental Protection Agency (``EPA'') 
shall be the representative of the United States on the 
Council. The policies and positions of the United States in the 
Council shall be coordinated through applicable interagency 
procedures.
    (c) Environmental Effects of the NAFTA. Pursuant to Article 
10(6)(d) of the Environmental Cooperation Agreement, the 
Administrator of the EPA shall work actively within the Council 
to consider on an ongoing basis the environmental effects of 
the NAFTA and review progress toward the objectives of the 
Environmental Cooperation Agreement.
    (d) Transparency and Public Participation. The United 
States, as appropriate, shall endeavor to ensure the 
transparency and openness of, and opportunities for the public 
to participate in, activities under the Environmental 
Cooperation Agreement.
          (1) To the greatest extent practicable, pursuant to 
        Articles 15(1) and 15(2), where the Secretariat of the 
        Commission for Environmental Cooperation 
        (``Secretariat'') informs the Council that a factual 
        record is warranted, the United States shall support 
        the preparation of such factual record.
          (2) To the greatest extent practicable, the United 
        States shall support public disclosure of all 
        nonconfidential and nonproprietary elements of reports, 
        factual records, decisions, recommendations, and other 
        information gathered or prepared by the Commission for 
        Environmental Cooperation (``Commission''). Where 
        requested information is not made available, the United 
        States shall endeavor to have the Commission state in 
        writing to the public its reasons for denial of the 
        request.
          (3) The United States shall provide public notice of 
        the opportunity to apply for inclusion on a roster of 
        qualified individuals available to serve on arbitral 
        panels under the Environmental Cooperation Agreement.
          (4) The United States shall seek to ensure that the 
        Model Rules of Procedure for dispute settlement 
        established pursuant to Articles 28(1) and 28(2) of the 
        Environmental Cooperation Agreement provide for the 
        preparation of public versions of written submissions 
        and arbitral reports not otherwise made publicly 
        available, and for public access to arbitral hearings.
          (5) Consistent with the Environmental Cooperation 
        Agreement, the EPA Administrator shall develop 
        procedures to inform the public of arbitral proceedings 
        and Commission activities under the Environmental 
        Cooperation Agreement, and to provide appropriate 
        mechanisms for receiving public comment with respect to 
        such arbitral proceedings and Commission activities 
        involving the United States.
          (6) As a disputing party, the United States shall 
        seek to ensure, pursuant to Article 30 of the 
        Environmental Cooperation Agreement, that the arbitral 
        panels consult with appropriate experts for information 
        and technical advice.
    (e) Consultation with States. (1) Pursuant to Article 18 of 
the Environmental Cooperation Agreement, the EPA Administrator 
shall establish a governmental committee to furnish advice 
regarding implementation and further elaboration of the 
Agreement. Through this committee, or through other means as 
appropriate, the EPA Administrator and other relevant Federal 
agencies shall:
          (A) inform States on a continuing basis of matters 
        under the Environmental Cooperation Agreement that 
        directly relate to, or will potentially have a direct 
        impact on, the States, including: (i) dispute 
        settlement proceedings and other matters involving 
        enforcement by the States of environmental laws; and 
        (ii) implementation of the Environmental Cooperation 
        Agreement, including Council, committee, and working 
        group activities, in any area in which the States 
        exercise concurrent or exclusive legislative, 
        regulatory, or enforcement authority;
          (B) provide the States with an opportunity to submit 
        information and advice with respect to the matters 
        identified in section 2(e)(1)(A) of this order; and
          (C) involve the States to the greatest extent 
        practicable at each stage of the development of United 
        States positions regarding matters identified in 
        section 2(e)(1)(A) if this order that will be addressed 
        by the Council, committees, subcommittees, or working 
        groups established under the Environmental Cooperation 
        Agreement, or through dispute settlement processes 
        prescribed under the Environmental Cooperation 
        Agreement (including involvement through the inclusion 
        of appropriate representatives of the States).
    (2) When formulating positions regarding matters identified 
in section 2(e)(1)(A) of this order, the United States shall 
take into account the information and advice received from the 
States.
    (3) The United States, where appropriate, shall include 
representatives of interested States as Members of the United 
States delegations to the Council and other Commission bodies, 
including arbitral panels.
    Sec. 3. National Advisory Committee. The EPA Administrator 
shall utilize a National Advisory Committee as provided under 
Article 17 of the Environmental Cooperation Agreement.
    Sec. 4. United States Contributions to the Commission for 
Environmental Cooperation. In accordance with section 532(a)(2) 
of the NAFTA Implementation Act, the EPA is designated as the 
agency authorized to make the contributions of the United 
states from funds available for such contributions to the 
annual budget of the Commission for Environmental Cooperation.
    Sec. 5. Judicial Review. This order is intended only to 
improve the internal management of the executive branch and is 
not intended to, and does not, create any right to 
administrative or judicial review, or any other right or 
benefit or trust responsibility, substantive or procedural, 
enforceable by a party against the United States, its agencies 
or instrumentalities, its officers or employees, or any other 
person.
 (11) Implementation of the Border Environment Cooperation Commission 
                and the North American Development Bank

Executive Order 12916, May 13, 1994, 59 F.R. 25779, 19 U.S.C. 3473 note

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including the North American Free Trade Agreement 
Implementation Act, Public Law 103-182; 107 Stat. 2057 (``NAFTA 
Implementation Act''), and section 301 of title 3, United 
States Code, it is hereby ordered as follows:
    Section 1. The Agreement Between the Government of the 
United States of America and the Government of the United 
Mexican States Concerning the Establishment of a Border 
Environment Cooperation Commission and a North American 
Development Bank (``Agreement'') shall be implemented 
consistent with the United States policy for the protection of 
human, animal or plant life or health, and the environment. The 
Agreement shall also be implemented to advance sustainable 
development, pollution prevention, environmental justice, 
ecosystem protection, and biodiversity preservation and in a 
manner that promotes transparency and public participation in 
accordance with the North American Free Trade Agreement and the 
Agreement.
    Sec. 2. (a) The Administrator of the Environmental 
Protection Agency and the United States Commission, 
International Boundary and Water Commission, United States and 
Mexico (``Commissioner''), shall represent the United States as 
Members of the Board of Directors of the Border Environment 
Cooperation Commission in accordance with the Agreement.
    (b) The policies and positions of the United States in the 
Border Environment Cooperation Commission shall be coordinated 
through applicable interagency procedures, which shall include 
participation by the Department of State, the Department of the 
Treasury, the Department of Housing and Urban Development, the 
Department of the Interior, the Agency for International 
Development, the Environmental Protection Agency, and, as 
appropriate, other Federal agencies.
    (c) The Commission shall promote cooperation, as 
appropriate, between the International Boundary and Water 
Commission and the Border Environment Cooperation Commission in 
planning, developing, carrying out border sanitation, and other 
environmental activities.
    Sec. 3. (a) The United States Government representatives to 
the Board of the North American Development Bank shall be the 
Secretary of the Treasury, the Secretary of State, and the 
Administrator of the Environmental Protection Agency.
    (b) For purposes of loans or guarantees for projects 
certified by the Border Environment Cooperation Commission, the 
representatives shall be instructed in accordance with the 
procedures of the National Advisory Council on International 
Monetary and Financial Policies (``Council'') as established by 
Executive Order No. 11269. For purposes of this section only, 
the membership of the Council shall be expanded to include the 
Secretary of the Department of Housing and Urban Development, 
the Secretary of the Interior, and the Administrator of the 
Environmental Protection Agency.
    (c) For purposes of loans or guarantees for projects 
certified by the Border Environment Cooperation Commission, the 
representatives shall consult with the Community Adjustment and 
Investment Program Advisory Committee (``Advisory Committee''), 
established pursuant to section 543(b) of the NAFTA 
Implementation Act concerning community adjustment and 
investment aspects of such loans or guarantees.
    (d) For purposes of loans, guarantees, or grants endorsed 
by the United States for community adjustment and investment, 
the representatives shall be instructed by the Secretary of the 
Treasury in accordance with procedures established by the 
Community Adjustment and Investment Program Finance Committee 
established pursuant to section 7 of this order.
    Sec. 4. The functions vested in the President by section 
543(a)(1) of the NAFTA Implementation Act are delegated to the 
Secretary of the Treasury.
    Sec. 5. The functions vested in the President by section 
543(a)(2) and (3) of the NAFTA Implementation Act are delegated 
to the Secretary of the Treasury, who shall exercise such 
functions in accordance with the recommendations of the 
Community Adjustment and Investment Program Finance Committee 
established pursuant to section 7 of this order.
    Sec. 6. The functions vested in the President by section 
543(a)(5) and section 543(d) of the NAFTA Implementation Act 
are delegated to the Community Adjustment and Investment 
Program Finance Committee established pursuant to section 7 of 
this order, which shall exercise such functions in consultation 
with the Advisory Committee.
    Sec. 7. (a) There is hereby established a Community 
Adjustment and Investment Program Finance Committee (``Finance 
Committee'').
    (b) The Finance Committee shall be composed of 
representatives from the Department of the Treasury, the 
Department of Agriculture, the Department of Housing and Urban 
Development, the Small Business Administration, and any other 
Federal agencies selected by the Chair of the Finance Committee 
to assist in carrying out the community adjustment and 
investment program pursuant to section 543(a)(3) of the NAFTA 
Implementation Act.
    (c) The Department of the Treasury representative shall 
serve as Chair of the Finance Committee. The Chair shall be 
responsible for presiding over the meetings of the Finance 
Committee, ensuring that the views of all other Members are 
taken into account, coordinating with other appropriate United 
States Government agencies in carrying out the community 
adjustment and investment program, and requesting meetings of 
the Advisory Committee pursuant to section 543(b)(4)(C) of the 
NAFTA Implementation Act.
    Sec. 8. Any advice or conclusions of reviews provided to 
the President by the Advisory Committee pursuant to section 
543(b)(3) of the NAFTA Implementation Act shall be provided 
through the Finance Committee.
    Sec. 9. Any summaries of public comments or conclusions of 
investigations and audits provided to the President by the 
ombudsman pursuant to section 543(c)(1) of the NAFTA 
Implementation Act shall be provided through the Finance 
Committee.
    Sec. 10. The authority of the President under section 6 of 
Public Law 102-532; 7 U.S.C. 5404, to establish an advisory 
board to be known as the Good Neighbor Environmental Board is 
delegated to the Administrator of the Environmental Protection 
Agency.
    Sec. 11. This order is intended only to improve the 
internal management of the Executive branch and is not intended 
to, and does not, create any right to administrative or 
judicial review, or any other right or benefit or trust 
responsibility, substantive or procedural, enforceable by a 
party against the United States, its agencies or 
instrumentalities, its officers or employees, or any other 
person.
    (12) Interagency Task Force on the Economic Development of the 
                            Southwest Border

Executive Order 13122, May 25, 1999, 64 F.R. 29201, 42 U.S.C. 3121 note

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, and 
in order to provide a more rapid and integrated Federal 
response to the economic development challenges of the 
Southwest Border region, it is hereby ordered as follows:
    Section 1. Establishment of an Interagency Task Force on 
the Economic Development of the Southwest Border. (a) There is 
established the ``Interagency Task Force on the Economic 
Development of the Southwest Border'' (Task Force) that reports 
to the Vice President, as Chair of the President's Community 
Empowerment Board (PCEB), and to the Assistant to the President 
for Economic Policy, as Vice Chair of the PCEB.
    (b) The Task Force shall comprise the Secretary of State, 
Secretary of Agriculture, Secretary of Commerce, Secretary of 
Defense, the Attorney General, Secretary of the Interior, 
Secretary of Education, Secretary of Health and Human Services, 
Secretary of Housing and Urban Development, Secretary of 
Energy, Secretary of Labor, Secretary of Transportation, 
Secretary of the Treasury, Director of the Office of Management 
and Budget, Director of National Drug Control Policy, 
Administrator of General Services, Administrator of the Small 
Business Administration, Administrator of the Environmental 
Protection Agency, or their designees, and such other senior 
executive branch officials as may be determined by the Co-
Chairs of the Task Force. The Secretaries of the Treasury, 
Agriculture, and Labor shall Co-Chair the Task Force, rotating 
annually. The agency chairing the Task Force will provide 
administrative support for the Task Force.
    (c) The purpose of the Task Force is to coordinate and 
better leverage existing Administration efforts for the 
Southwest Border, in concert with locally led efforts, in order 
to increase the living standards and the overall economic 
profile of the Southwest Border so that it may achieve the 
average of the Nation. Specifically, the Task Force shall:
          (1) analyze the existing programs and policies of 
        Task Force members that relate to the Southwest Border 
        to determine what changes, modifications, and 
        innovations should be considered;
          (2) consider statistical and data analysis, research, 
        and policy studies related to the Southwest Border;
          (3) develop and recommend short-term and long-term 
        options for promoting sustainable economic development;
          (4) consult and coordinate activities with State, 
        tribal, and local governments, community leaders, 
        Members of Congress, the private sector, and other 
        interested parties, paying particular attention to 
        maintaining existing authorities of the States, tribes, 
        and local governments, and preserving their existing 
        working relationships with other agencies, 
        organizations, or individuals;
          (5) coordinate and collaborate on research and 
        demonstration priorities of Task Force member agencies 
        related to the Southwest Border;
          (6) integrate Administration initiatives and programs 
        into the design of sustainable economic development 
        actions for the Southwest Border; and
          (7) focus initial efforts on pilot communities for 
        implementing a coordinated and expedited Federal 
        response to local economic development and other needs.
    (d) The Task Force shall issue an interim report to the 
Vice President by November 15, 1999. The Task Force shall issue 
its first annual report to the Vice President by April 15, 
2000, with subsequent reports to follow yearly and a final 
report on April 15, 2002. The reports shall describe the 
actions taken by, and progress of, each member of the Task 
Force in carrying out this order. The Task Force shall 
terminate 30 days after submitting its final report unless a 
Task Force consensus recommends continuation of activities.
    Sec. 2. Specific Activities by Task Force Members and Other 
Agencies. The agencies represented on the Task Force shall work 
together and report their actions and progress in carrying out 
this order to the Task Force Chair 1 month before the reports 
are due to the Vice President under section 1(d) of this order.
    Sec. 3. Cooperation. All efforts taken by agencies under 
sections 1 and 2 of this order shall, as appropriate, further 
partnerships and cooperation with organizations that represent 
the Southwest Border and with State and local governments.
    Sec. 4. (a) ``Agency'' means an executive agency as defined 
in 5 U.S.C. 105.
    (b) The ``Southwest Border'' or ``Southwest Border region'' 
is defined as including the areas up to 150 miles north of the 
United States-Mexican border in the States of Arizona, New 
Mexico, Texas, and California.
    Sec. 5. Judicial Review. This order does not create any 
right or benefit, substantive or procedural, enforceable at law 
by a party against the United States, its agencies, its 
officers, or any person.
 (13) Implementation of Article VIII of the Agreement Establishing the 
                        World Trade Organization

  Executive Order 13042, April 9, 1997, 62 F.R. 18017, 19 U.S.C. 3511 
                                  note

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including section 101(b) of the Uruguay Round Agreements Act 
(Public Law 103-465) and section 1 of the International 
Organizations Immunities Act (22 U.S.C. 288), I hereby 
implement for the United States the provisions of Article VIII 
of the Agreements Establishing the World Trade Organization.
    Section 1. The provisions of the Convention on the 
Privileges and Immunities of the Specialized Agencies (U.N. 
General Assembly Resolution 179 (II) of November 21, 1947, 33 
U.N.T.S. 261) shall apply to the World Trade Organization, its 
officials, and the Representatives of its members, provided: 
(1) sections 19(b) and 15, regarding immunity from taxation, 
and sections 13(d) and section 20, regarding immunity from 
national service obligations, shall not apply to U.S. nationals 
and aliens admitted for permanent residence; (2) with respect 
to section 13(d) and section 19(c), regarding exemption from 
immigration restrictions and alien registration requirements, 
World Trade Organization officials and representatives of its 
members shall be entitled to the same, and no greater, 
privileges, exemptions, and immunities as are accorded under 
similar circumstances to officers and employees of foreign 
governments, and members of their families; (3) with respect to 
section 9(a) regarding exemption from taxation, such exemption 
shall not extend to taxes levied on real property, or that 
portion of real property, which is not used for the purposes of 
the World Trade Organization. The leasing or renting by the 
World Trade Organization of its property to another entity or 
person to generate revenue shall not be considered a use for 
the purposes of the World Trade Organization. Whether property 
or portions thereof are used for the purposes of the World 
Trade Organization shall be determined within the sole 
discretion of the Secretary of State or the Secretary's 
designee; (4) with respect to section 25(2)(II) regarding 
approval of orders to leave the United States, ``Foreign 
Minister'' shall mean the Secretary of State or the Secretary's 
designee.
    Sec. 2. In addition and without impairment to the 
protections extended above, having found that the World Trade 
Organization is a public international organization in which 
the United States participates within the meaning of the 
International Organizations Immunities Act, I hereby designate 
the World Trade Organization as a public international 
organization entitled to enjoy the privileges, exemptions, and 
immunities conferred by that Act, except that section 6 of that 
Act, providing exemption from property tax imposed by, or under 
the authority of, any Act of Congress, shall not extend to 
taxes levied on property, or that portion of property, that is 
not used for the purposes of the World Trade Organization. The 
leasing or renting by the World Trade Organization of its 
property to another entity or person to generate revenue shall 
not be considered a use for the purposes of the World Trade 
Organization. Whether property or portions thereof are used for 
the purposes of the World Trade Organization shall be 
determined within the sole discretion of the Secretary of State 
or the Secretary's designee. This designation is not intended 
to abridge in any respect privileges, exemptions, or immunities 
that the World Trade Organization otherwise enjoys or may 
acquire by international agreements or by congressional action.

     c. Implementation of Agreement With the European Community on 
                         Government Procurement

 Executive Order 12849 of May 25, 1993, 58 F.R. 30931, 19 U.S.C. 2511 
                                  note

Whereas, the United States and the European Community (EC) have 
    entered into a Memorandum of Understanding on Government 
    Procurement (Agreement) that provides appropriate 
    reciprocal competitive government procurement 
    opportunities;
Whereas, the commitments made in the Agreement are intended to 
    become part of an expanded General Agreement on Tariffs and 
    trade Agreement on Government Procurement (GATT Code) and 
    are an important step toward an expanded GATT Code;
Whereas, as a result of these commitments, U.S. businesses will 
    obtain increased access to EC member state procurement for 
    U.S. goods and services;
Whereas, I have determined that it is inconsistent with the 
    public interest to apply the restrictions of the Buy 
    American Act, as amended (41 U.S.C. 10a-10d), to 
    procurement covered by the Agreement;

    NOW, THEREFORE, by virtue of the authority vested in me as 
President by the Constitution and the laws of the United States 
of America, including section 301 of title 3, United States 
Code, and title III of the Trade Agreements Act of 1979, as 
amended (19 U.S.C. 2511-2518), and in order to implement the 
agreement, it is hereby ordered as follows:

    Section 1. In applying the provisions of the Buy American 
Act, the heads of the agencies listed in Annex 1, Parts A and 
B, of this order are requested, as of the date of this order, 
to apply no price differential between articles, materials, or 
supplies of U.S. origin and those originating in the member 
states of the EC.
    Sec. 2. For purposes of this order, the rule of origin 
specified in section 308 of the trade Agreements Act of 1979, 
as amended (19 U.S.C. 2518), shall apply in determining whether 
goods originate in the member states of the EC.
    Sec. 3. This order shall apply only to solicitations, 
issued by agencies listed in Annex 1, Parts A and B, of this 
order, above the threshold amounts set for in Annex 2.
    Sec. 4. This order shall apply to solicitations outstanding 
on the date of this order, except for those for which the 
initial deadline for receipt of bids or proposals has passed, 
and to all solicitations issued after the date of this order.
    Sec. 5. Except for procurements by the Department of 
Defense, the United States Trade Representative (USTR) shall be 
responsible for interpretation of the Agreement. The USTR shall 
seek the advice of the interagency organization established 
under section 242(a) of the trade Expansion Act of 1962 (19 
U.S.C. 1872(a)) and consult with affected agencies, including 
the Office of Federal Procurement Policy.
    Sec. 6. This Executive order is effective immediately. 
although regulatory implementation of this order must await 
revisions to the Federal Acquisition Regulation (FAR), it is 
expected that agencies listed in annex 1, Parts A and B, of 
this order will take all appropriate actions in the interim to 
implement those aspects of the order that are not dependent 
upon regulatory revision.
    Sec. 7. Pursuant to section 25 of the Office of Federal 
Procurement Policy Act, as amended (41 U.S.C. 421(a)), the 
Federal Acquisition Regulatory Council shall ensure that the 
policies established herein are incorporated in the FAR within 
30 days from the date this order is issued.

                                Annex 1A

Department of Agriculture
Department of Commerce
Department of Defense
Department of Education
Department of Energy
        (Not including national security procurement made in 
        support of safeguarding nuclear materials or technology 
        and entered into under the authority of the Atomic 
        Energy Act; and oil purchases related to the Strategic 
        Petroleum reserve)
Department of Health and Human Services
Department of Housing and Urban Development
Department of the Interior
Department of Justice
Department of Labor
Department of State
Department of Transportation
        (The national security consideration currently 
        applicable to the Department of Defense under the GATT 
        Government Procurement Code is equally applicable under 
        this Agreement to the Coast Guard)
Department of the Treasury
United States Agency for International Development
General Services Administration (other than Federal Supply 
    Groups 51 and 52 and Federal Supply Class 7340)
National Aeronautics and Space Administration
Department of Veterans Affairs
Environmental Protection Agency
United States Information Agency
National Science Foundation
Panama Canal Commission
Executive Office of the President
Farm Credit Administration
National Credit Union Administration
Merit Systems Protection Board
ACTION Agency
United States Arms Control and Disarmament Agency
Office of Thrift Supervision
Federal Housing Finance Board
National Labor Relations Board
National Mediation Board
Railroad Retirement Board
American Battle Monuments Commission
Federal Communications Commission
Federal Trade Commission
Interstate Commerce Commission
Securities and Exchange Commission
Office of Personnel Management
United States International Trade Commission
Export-Import Bank of the United States
Federal Mediation and Conciliation Service
Selective Service System
Smithsonian Institution
Federal Deposit Insurance Corporation
Consumer Product Safety Commission
Equal Employment Opportunity Commission
Federal Maritime Commission
National Transportation Safety Board
Nuclear Regulatory Commission
Overseas Private Investment Corporation
Administrative Conference of the United States
Board for International Broadcasting
Commission on Civil Rights
Commodity Futures Trading Commission
The Peace Corps
National Archives and Records Administration

                                Annex 1B

The Power Marketing Administration of the Department of Energy
Tennessee Valley Authority

                                Annex 2

Thresholds Applicable to Agencies listed in Annex 1A
Goods contracts--130,000 SDRs (currently $176,000)
Construction contracts--$6,500,000
Thresholds Applicable to Agencies listed in Annex 1B
Goods contracts--$450,000
Construction contracts--$6,500,000
United States
                       d. U.S. Trade With Israel

                         (1) Trade with Israel

Partial text of Title IV of Public Law 98-573 [Trade and Tariff Act of 
1984; H.R. 3398], 98 Stat. 2948 at 3013, approved October 30, 1984, as 
amended by Public Law 99-47 [H.R. 2268], 99 Stat. 82, approved June 11, 
  1985; by Public Law 99-514 [Tax Reform Act of 1986; H.R. 3838], 100 
 Stat. 2085 at 2926, approved October 22, 1986; and by Public Law 100-
  418 [Omnibus Trade and Competitiveness Act of 1988; H.R. 4848], 102 
                  Stat. 1107, approved August 23, 1988

  AN ACT To amend the trade laws, authorize the negotiation of trade 
agreements, extend trade preferences, change the tariff treatment with 
          respect to certain articles, and for other purposes.

          * * * * * * *

                      TITLE IV--TRADE WITH ISRAEL

SEC. 401.\1\ NEGOTIATION OF TRADE AGREEMENTS TO REDUCE TRADE BARRIERS. 
                    * * *

          * * * * * * *

SEC. 402.\2\ CRITERIA FOR DUTY-FREE TREATMENT OF ARTICLES.

    (a)(1) The reduction or elimination of any duty imposed on 
any article by the United States provided for in a trade 
agreement entered into with Israel under section 102(b)(1) of 
the Trade Act of 1974 shall apply only if--
---------------------------------------------------------------------------
    \1\ Sec. 401 amended sec. 102 of the Trade Act of 1974.
    \2\ 19 U.S.C. 2112 note.
---------------------------------------------------------------------------
          (A) that article is the growth, product, or 
        manufacture of Israel or is a new or different article 
        of commerce that has been grown, produced, or 
        manufactured in Israel;
          (B) that article is imported directly from Israel 
        into the customs territory of the United States; and
          (C) the sum of--
                  (i) the cost of value of the materials 
                produced in Israel, plus
                  (ii) the direct costs of processing 
                operations performed in Israel,
        is not less than 35 percent of the appraised value of 
        such article at the time it is entered.
If the cost or value of materials produced in the customs 
territory of the United States is included with respect to an 
article to which this subsection applies, an amount not to 
exceed 15 percent of the appraised value of the article at the 
time it is entered that is attributable to such United States 
cost or value may be applied toward determining the percentage 
referred to in subparagraph (C).
    (2) No article may be considered to meet the requirements 
of paragraph (1)(A) by virtue of having merely undergone--
          (A) simple combining or packaging operations; or
          (B) mere dilution with water or mere dilution with 
        another substance that does not materially alter the 
        characteristics of the article.
    (b) As used in this section, the phrase ``direct costs of 
processing operations'' includes, but is not limited to--
          (1) all actual labor costs involved in the growth, 
        production, manufacture, or assembly of the specific 
        merchandise, including fringe benefits, on-the-job 
        training and the cost of engineering, supervisory, 
        quality control, and similar personnel; and
          (2) dies, molds, tooling, and depreciation on 
        machinery and equipment which are allocable to the 
        specific merchandise.
Such phrase does not include costs which are not directly 
attributable to the merchandise concerned, or are not costs of 
manufacturing the product, such as (A) profit, and (B) general 
expenses of doing business which are either not allocable to 
the specific merchandise or are not related to the growth, 
production, manufacture, or assembly of the merchandise, such 
as administrative salaries, casualty and liability insurance, 
advertising, and salesmen's salaries, commissions or expenses.
    (c) Regulations.--The Secretary of the Treasury, after 
consultation with the United States Trade Representative, shall 
prescribe such regulations as may be necessary to carry out 
this section.

SEC. 403.\2\ APPLICATION OF CERTAIN OTHER TRADE LAW PROVISIONS.

    (a) Suspension of Duty-Free Treatment.--The President may 
by proclamation suspend the reduction or elimination of any 
duty provided under any trade agreement provision entered into 
with Israel under the authority of section 102(b)(1) of the 
Trade Act of 1974 with respect to any article and may proclaim 
a duty rate for such article if such action is proclaimed under 
section 203 of the Trade Act of 1974 or section 232 of the 
Trade Expansion Act of 1962.
    (b) ITC Reports.--In any report by the United States 
International Trade Commission (hereinafter referred to in this 
title as the ``Commission'') to the President under section 
202(f) \3\ of the Trade Act of 1974 regarding any article for 
which a reduction or elimination of any duty is provided under 
a trade agreement entered into with Israel under section 
102(b)(1) of the Trade Act of 1974, the Commission shall state 
whether and to what extent its findings or recommendations 
apply to such an article when imported from Israel.
---------------------------------------------------------------------------
    \3\ Sec. 1401(b)(3)(i)(I) of Public Law 100-418 (102 Stat. 1240) 
inserted the reference to ``section 202(f)'' in lieu of ``section 
201(d)(1)'' which previously appeared at this point.
---------------------------------------------------------------------------
    (c) For purposes of \4\ section 203 of the Trade Act of 
1974, the suspension of the reduction or elimination of a duty 
under subsection (a) shall be treated as an increase in duty.
---------------------------------------------------------------------------
    \4\ Sec. 1401(b)(3)(i)(II) of Public Law 100-418 (102 Stat. 1240) 
struck out ``subsections (a) and (c) of'' which previously appeared 
following this point.
---------------------------------------------------------------------------
    (d) No proclamation which provides solely for a suspension 
referred to in subsection (a) with respect to any article shall 
be made under \4\ section 203 of the Trade Act of 1974 unless 
the Commission, in addition to making an affirmative 
determination with respect to such article under section 202(b) 
\5\ of the Trade Act of 1974, determines in the course of its 
investigation under that section that the serious injury (or 
threat thereof) substantially caused by imports to the domestic 
industry producing a like or directly competitive article 
results from the reduction or elimination of any duty provided 
under any trade agreement provision entered into with Israel 
under section 102(b)(1) of the Trade Act of 1974.
---------------------------------------------------------------------------
    \5\ Sec. 1401(b)(3) of Public Law 100-418 (102 Stat. 1240) amended 
sec. 403 by striking out ``201(b)'' in subsec. (d) and inserting 
``202(b)'', and by striking out ``subsections (h) and (i) of section 
203'' in subsec. (e)(2) and inserting ``sections 203 and 204''.
---------------------------------------------------------------------------
    (e)(1) Any proclamation issued under section 203 of the 
Trade Act of 1974 that is in effect when an agreement with 
Israel is entered into under section 102(b)(1) of the Trade Act 
of 1974 shall remain in effect until modified or terminated.
    (2) If any article is subject to import relief at the time 
an agreement is entered into with Israel under section 
102(b)(1) of the Trade Act of 1974, the President may reduce or 
terminate the application of such import relief to the 
importation of such article before the otherwise scheduled date 
on which such reduction or termination would occur pursuant to 
the criteria and procedures of sections 203 and 204 \5\ of the 
Trade Act of 1974.

SEC. 404.\2\ FAST TRACK PROCEDURES FOR PERISHABLE ARTICLES.

    (a) If a petition is filed with the Commission under the 
provisions of section 202(a) \6\ of the Trade Act of 1974 
regarding a perishable product which is subject to any 
reduction or elimination of a duty imposed by the United States 
under a trade agreement entered into with Israel under section 
102(b)(1) of the Trade Act of 1974 and alleges injury from 
imports of that product, then the petition may also be filed 
with the Secretary of Agriculture with a request that emergency 
relief be granted under subsection (c) with respect to such 
article.
---------------------------------------------------------------------------
    \6\ Sec. 1401(b)(3)(ii)(II) of Public Law 100-418 (102 Stat. 1240) 
substituted ``202(a)'' in lieu of ``section 201''.
---------------------------------------------------------------------------
    (b) Within 14 days after the filing of a petition under 
subsection (a)--
          (1) if the Secretary of Agriculture has reason to 
        believe that a perishable product from Israel is being 
        imported into the United States in such increased 
        quantities as to be a substantial cause of serious 
        injury, or the threat thereof, to the domestic industry 
        producing a perishable product like or directly 
        competitive with the imported product and that 
        emergency action is warranted, he shall advise the 
        President and recommend that the President take 
        emergency action; or
          (2) the Secretary of Agriculture shall publish notice 
        of his determination not to recommend the imposition of 
        emergency action and so advise the petitioner.
    (c) Within 7 days after the President receives a 
recommendation from the Secretary of Agriculture to take 
emergency action under subsection (b), he shall issue a 
proclamation withdrawing the reduction or elimination of duty 
provided to the perishable product under any trade agreement 
provision entered into under section 102(b)(1) of the Trade Act 
of 1974 or publish a notice of his determination not to take 
emergency action.
    (d) The emergency action provided under subsection (c) 
shall cease to apply--
          (1) upon the taking of action under section 203 \7\ 
        of the Trade Act of 1974;
---------------------------------------------------------------------------
    \7\ Sec. 404 was amended by sec. 1401(b)(3)(ii) of Public Law 100-
418 (102 Stat. 1240) which substituted ``upon the taking of action 
under section 203'' in lieu of ``proclamation of import relief under 
section 202(a)(1)'' in subsec. (d)(1), and restated subsec. (d)(2).
---------------------------------------------------------------------------
          (2) \7\ on the day a determination of the President 
        under section 203 of such Act not to take action 
        becomes final;
          (2) on the day the President makes a determination 
        under section 203(b)(2) of such Act not to impose 
        import relief;
          (3) in the event of a report of the Commission 
        containing a negative finding, on the day the 
        Commission's report is submitted to the President; or
          (4) Whenever the President determines that because of 
        changed circumstances such relief is no longer 
        warranted.
    (e) For purposes of this section, the term ``perishable 
products'' means any--
          (1) \8\ live plants and fresh cut flowers provided 
        for in chapter 6 of the Harmonized Tariff Schedule of 
        the United States (19 U.S.C. 1202, hereinafter referred 
        to as the ``HTS'');
---------------------------------------------------------------------------
    \8\ Sec. 404(e) was amended by sec. 1214(s)(4) of Public Law 100-
418 (102 Stat. 1160) which amended paras. (1) and (2); struck out 
paras. (3), (4), (5), and (6); and inserted a new para. (3).
---------------------------------------------------------------------------
          (2) \8\ vegetables, edible nuts or fruit provided for 
        in chapters 7 and 8, heading 1105, subheadings 
        1106.10.00 and 1106.30, heading 1202, subheadings 
        1214.90.00 and 1704.90.60, headings 2001 through 2008 
        (excluding subheadings 2001.90.20 and 2004.90.10) and 
        subheading 2103.20.40 of the HTS;
          (3) \8\ concentrated citrus fruit juice provided for 
        in subheadings 2009.11.00, 2009.19.40, 2009.20.40, 
        2009.30.20, and 2009.30.60 of the HTS.
    (f) No trade agreement entered into with Israel under 
section 102(b)(1) of the Trade Act of 1974 shall affect fees 
imposed under section 22 of the Agricultural Adjustment Act (7 
U.S.C. 624).

SEC. 405.\9\ CONSTRUCTION OF TITLE.

    Neither the taking effect of any trade agreement provision 
entered into with Israel under section 102(b)(1), nor any 
proclamation issued to implement any such provision, may affect 
in any manner, or to any extent, the application to any Israeli 
articles of section 232 of the Trade Expansion Act of 1962, 
section 337 of title VII of the Tariff Act of 1930, chapter 1 
of title II and chapter 1 of title III of the Trade Act of 
1974, or any other provision of law under which relief from 
injury caused by import competition or by unfair import trade 
practices may be sought.
---------------------------------------------------------------------------
    \9\ 19 U.S.C. 2112 note. Sec. 8(a)(3) of the U.S.-Israel Free Trade 
Area Implementation Act, (Public Law 99-47; 99 Stat. 84), redesignated 
this section as 405 instead of 406.
  (2) United States-Israel Free Trade Area Implementation Act of 1985

  Partial text of Public Law 99-47 [H.R. 2268], 99 Stat. 82, approved 
  June 11, 1985; amended by Public Law 104-234 [H.R. 3074], 110 Stat. 
                     3058, approved October 2, 1996


          Note.--Sections of this Act that have been omitted 
        amend the Trade Agreements Act of 1979, the Trade and 
        Tariff Act of 1984, and the Trade Act of 1974. They are 
        reproduced elsewhere in this volume.



 AN ACT To approve and implement the Free Trade Area Agreement between 
                     the United States and Israel.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``United States-Israel Free 
Trade Area Implementation Act of 1985''.\1\
---------------------------------------------------------------------------
    \1\ 19 U.S.C. 2112 note.
---------------------------------------------------------------------------

SEC. 2. PURPOSES.

    The purposes of this Act are--
          (1) to approve and implement the agreement on the 
        establishment of a free trade area between the United 
        States and Israel negotiated under the authority of 
        section 102 of the Trade Act of 1974;
          (2) to strengthen and develop the economic relations 
        between the United States and Israel for their mutual 
        benefit; and
          (3) to establish free trade between the two nations 
        through the removal of trade barriers.

SEC. 3.\1\ APPROVAL OF A FREE TRADE AREA AGREEMENT.

    Pursuant to sections 102 and 151 of the Trade Act of 1974 
(19 U.S.C. 2112; 2191), the Congress approves--
          (1) the Agreement on the Establishment of a Free 
        Trade Area between the Government of the United States 
        of America and the Government of Israel (hereinafter in 
        this Act referred to as ``the Agreement'') entered into 
        on April 22, 1985, and submitted to the Congress on 
        April 29, 1985, and
          (2) the statement of administrative action proposed 
        to implement the Agreement that was submitted to the 
        Congress on April 29, 1985.

SEC. 4.\1\ PROCLAMATION AUTHORITY.

    (a) Tariff Modifications.--Except as provided in subsection 
(c), the President may proclaim--
          (1) such modifications or continuance of any existing 
        duty,
          (2) such continuance of existing duty-free or excise 
        treatment, or
          (3) such additional duties,
as the President determines to be required or appropriate to 
carry out the schedule of duty reductions with respect to 
Israel set forth in annex 1 of the Agreement.
    (b) Additional Tariff Modification Authority.--Except as 
provided in subsection (c), whenever the President determines 
that it is necessary to maintain the general level of 
reciprocal and mutually advantageous concessions with respect 
to Israel provided for by the Agreement, the President may 
proclaim--
          (1) such withdrawal, suspension, modification, or 
        continuance of any duty,
          (2) such continuance of existing duty-free or excise 
        treatment, or
          (3) such additional duties,
as the President determines to be required or appropriate to 
carry out the Agreement.
    (c) Exception to Authority.--No modification of any duty 
imposed on any article provided for in paragraph (4) of annex 1 
of the Agreement that may be proclaimed under subsection (a) or 
(b) shall take effect prior to January 1, 1995.

SEC. 5.\1\ RELATIONSHIP OF THE AGREEMENT TO UNITED STATES LAW.

    (a) United States Statutes To Prevail in Conflict.--No 
provision of the Agreement, nor the application of any such 
provision to any person or circumstance, which is in conflict 
with--
          (1) title IV of the Trade and Tariff Act of 1984, or
          (2) any other statute of the United States,
shall be given effect under the laws of the United States.
    (b) Implementing Regulations.--Regulations that are 
necessary or appropriate to carry out actions proposed in any 
statement of proposed administrative action submitted to the 
Congress under section 102 of the Trade Act of 1974 (19 U.S.C. 
2112) in order to implement the Agreement shall be prescribed. 
Initial regulations to carry out such action shall be issued 
within one year after the date of the entry into force of the 
Agreement.
    (c) Changes in Statutes To Implement a Requirement, 
Amendment, or Recommendation.--
          (1) Except as otherwise provided in paragraph (2), 
        the provisions of section 3(c) of the Trade Agreements 
        Act of 1979 (19 U.S.C. 2504(c)) shall apply with 
        respect to the Agreement and--
                  (A) no requirement of, amendment to, or 
                recommendation under the Agreement shall be 
                implemented under United States law, and
                  (B) no amendment, repeal, or enactment of a 
                statute of the United States to implement any 
                such requirement, amendment, or recommendation 
                shall enter into force with respect to the 
                United States,
        unless there has been compliance with the provisions of 
        section 3(c) of the Trade Agreements Act of 1979.
          (2) The provisions of section 3(c)(4) of the Trade 
        Agreements Act of 1979 (19 U.S.C. 2504(c)(4)) shall 
        apply to any bill implementing any requirement of, 
        amendment to, or recommendation made under, the 
        Agreement that reduces or eliminates any duty imposed 
        on any article provided for in paragraph (4) of Annex 1 
        of the Agreement only if--
                  (A) any reduction of such duty provided in 
                such bill--
                          (i) takes effect after December 31, 
                        1989, and
                          (ii) takes effect gradually over the 
                        period that begins on January 1, 1990, 
                        and ends on December 31, 1994,
                  (B) any elimination of such duty provided in 
                such bill does not take effect prior to January 
                1, 1995, and
                  (C) the consultations required under section 
                3(c)(1) of such Act occur at least ninety days 
                prior to the date on which such bill is 
                submitted to the Congress under section 3(c) of 
                such Act.
    (d) Private Remedies Not Created.--Neither the entry into 
force of the Agreement with respect to the United States, nor 
the enactment of this Act, shall be construed as creating any 
private right of action or remedy for which provision is not 
explicitly made under this Act or under the laws of the United 
States.

SEC. 6. TERMINATION.

    The provisions of section 125(a) of the Trade Act of 1974 
(19 U.S.C. 2135(a)) shall not apply to the Agreement.
          * * * * * * *

SEC. 9.\2\ ADDITIONAL PROCLAMATION AUTHORITY

    (a) Elimination or Modifications of Duties.--The President 
is authorized to proclaim elimination or modification of any 
existing duty as the President determines is necessary to 
exempt any article from duty if--
---------------------------------------------------------------------------
    \2\ 19 U.S.C. 2112 note. Sec. 1 of Public Law 104-234 (110 Stat. 
3058) added sec. 9.
---------------------------------------------------------------------------
          (1) that article is wholly the growth, product, or 
        manufacture of the West Bank, the Gaza Strip, or a 
        qualifying industrial zone or is a new or different 
        article of commerce that has been grown, produced, or 
        manufactured in the West Bank, the Gaza Strip, or a 
        qualifying industrial zone;
          (2) that article is imported directly from the West 
        Bank, the Gaza Strip, Israel, or a qualifying 
        industrial zone; and
          (3) the sum of--
                  (A) the cost or value of the materials 
                produced in the West Bank, the Gaza Strip, 
                Israel, or a qualifying industrial zone, plus
                  (B) the direct costs of processing operations 
                performed in the West Bank, the Gaza Strip, 
                Israel, or a qualifying industrial zone,
        is not less than 35 percent of the appraised value of 
        the product at the time it is entered into the United 
        States.
For purposes of determining the 35 percent content requirement 
contained in paragraph (3), the cost or value of materials 
which are used in the production of an article in the West 
Bank, the Gaza Strip, or a qualifying industrial zone, and are 
the products of the United States, may be counted in an amount 
up to 15 percent of the appraised value of the article.
    (b) Applicability of Certain Provisions of the Agreement.--
          (1) Nonqualifying operations.--No article shall be 
        considered a new or different article of commerce under 
        this section, and no material shall be included for 
        purposes of determining the 35 percent requirement of 
        subsection (a)(3), by virtue of having merely 
        undergone--
                  (A) simple combining or packaging operations, 
                or
                  (B) mere dilution with water or with another 
                substance that does not materially alter the 
                characteristics of the article or material.
          (2) Requirements for new or different article of 
        commerce.--For purposes of subsection (a)(1), an 
        article is a ``new or different article of commerce'' 
        if it is substantially transformed into an article 
        having a new name, character, or use.
          (3) Cost or value of materials.--(A) For purposes of 
        this section, the cost or value of materials produced 
        in the West Bank, the Gaza Strip, or a qualifying 
        industrial zone includes--
                  (i) the manufacturer's actual cost for the 
                materials;
                  (ii) when not included in the manufacturer's 
                actual cost for the materials, the freight, 
                insurance, packing, and all other costs 
                incurred in transporting the materials to the 
                manufacturer's plant;
                  (iii) the actual cost of waste or spoilage, 
                less the value of recoverable scrap; and
                  (iv) taxes or duties imposed on the materials 
                by the West Bank, the Gaza Strip, or a 
                qualifying industrial zone, if such taxes or 
                duties are not remitted on exportation.
          (B) If a material is provided to the manufacturer 
        without charge, or at less than fair market value, its 
        cost or value shall be determined by computing the sum 
        of--
                  (i) all expenses incurred in the growth, 
                production, or manufacture of the material, 
                including general expenses;
                  (ii) an amount for profit; and
                  (iii) freight, insurance, packing, and all 
                other costs incurred in transporting the 
                material to the manufacturer's plant.
        If the information necessary to compute the cost or 
        value of a material is not available, the Customs 
        Service may ascertain or estimate the value thereof 
        using all reasonable methods.
          (4) Direct costs of processing operations.--(A) For 
        purposes of this section, the ``direct costs of 
        processing operations performed in the West Bank, Gaza 
        Strip, or a qualifying industrial zone'' with respect 
        to an article are those costs either directly incurred 
        in, or which can be reasonably allocated to, the 
        growth, production, manufacture, or assembly, of that 
        article. Such costs include, but are not limited to, 
        the following to the extent that they are includible in 
        the appraised value of articles imported into the 
        United States:
                  (i) All actual labor costs involved in the 
                growth, production, manufacture, or assembly of 
                the article, including fringe benefits, on-the-
                job training, and costs of engineering, 
                supervisory, quality control, and similar 
                personnel.
                  (ii) Dies, molds, tooling, and depreciation 
                on machinery and equipment which are allocable 
                to the article.
                  (iii) Research, development, design, 
                engineering, and blueprint costs insofar as 
                they are allocable to the article.
                  (iv) Costs of inspecting and testing the 
                article.
          (B) Those items that are not included as direct costs 
        of processing operations with respect to an article are 
        those which are not directly attributable to the 
        article or are not costs of manufacturing the article. 
        Such items include, but are not limited to--
                  (i) profit; and
                  (ii) general expenses of doing business which 
                are either not allocable to the article or are 
                not related to the growth, production, 
                manufacture, or assembly of the article, such 
                as administrative salaries, casualty and 
                liability insurance, advertising, and 
                salesmen's salaries, commissions, or expenses.
          (5) Imported directly.--For purposes of this 
        section--
                  (A) articles are ``imported directly'' if--
                          (i) the articles are shipped directly 
                        from the West Bank, the Gaza Strip, a 
                        qualifying industrial zone, or Israel 
                        into the United States without passing 
                        through the territory of any 
                        intermediate country; or
                          (ii) if shipment is through the 
                        territory of an intermediate country, 
                        the articles in the shipment do not 
                        enter into the commerce of any 
                        intermediate country and the invoices, 
                        bills of lading, and other shipping 
                        documents specify the United States as 
                        the final destination; or
                  (B) if articles are shipped through an 
                intermediate country and the invoices and other 
                documents do not specify the United States as 
                the final destination, then the articles in the 
                shipment, upon arrival in the United States, 
                are imported directly only if they--
                          (i) remain under the control of the 
                        customs authority in an intermediate 
                        country;
                          (ii) do not enter into the commerce 
                        of an intermediate country except for 
                        the purpose of a sale other than at 
                        retail, but only if the articles are 
                        imported as a result of the original 
                        commercial transactions between the 
                        importer and the producer or the 
                        producer's sales agent; and
                          (iii) have not been subjected to 
                        operations other than loading, 
                        unloading, or other activities 
                        necessary to preserve the article in 
                        good condition.
          (6) Documentation required.--An article is eligible 
        for the duty exemption under this section only if--
                  (A) the importer certifies that the article 
                meets the conditions for the duty exemption; 
                and
                  (B) when requested by the Customs Service, 
                the importer, manufacturer, or exporter submits 
                a declaration setting forth all pertinent 
                information with respect to the article, 
                including the following:
                          (i) A description of the article, 
                        quantity, numbers, and marks of 
                        packages, invoice numbers, and bills of 
                        lading.
                          (ii) A description of the operations 
                        performed in the production of the 
                        article in the West Bank, the Gaza 
                        Strip, qualifying industrial zone, or 
                        Israel and identification of the direct 
                        costs of processing operations.
                          (iii) A description of any materials 
                        used in production of the article which 
                        are wholly the growth, product, or 
                        manufacture of the West Bank, the Gaza 
                        Strip, a qualifying industrial zone, 
                        Israel or United States, and a 
                        statement as to the cost or value of 
                        such materials.
                          (iv) A description of the operations 
                        performed on, and a statement as to the 
                        origin and cost or value of, any 
                        foreign materials used in the article 
                        which are claimed to have been 
                        sufficiently processed in the West 
                        Bank, the Gaza Strip, a qualifying 
                        industrial zone, or Israel so as to be 
                        materials produced in the West Bank, 
                        the Gaza Strip, a qualifying industrial 
                        zone, or Israel.
                          (v) A description of the origin and 
                        cost or value of any foreign materials 
                        used in the article which have not been 
                        substantially transformed in the West 
                        Bank, the Gaza Strip, or a qualifying 
                        industrial zone.
    (c) Shipment of Articles of Israel Through West Bank or 
Gaza Strip.--The President is authorized to proclaim that 
articles of Israel may be treated as though they were articles 
directly shipped from Israel for the purposes of the Agreement 
even if shipped to the United States from the West Bank, the 
Gaza Strip, or a qualifying industrial zone, if the articles 
otherwise meet the requirements of the Agreement.
    (d) Treatment of Cost or Value of Materials.--The President 
is authorized to proclaim that the cost or value of materials 
produced in the West Bank, the Gaza Strip, or a qualifying 
industrial zone may be included in the cost or value of 
materials produced in Israel under section 1(c)(i) of Annex 3 
of the Agreement, and the direct costs of processing operations 
performed in the West Bank, the Gaza Strip, or a qualifying 
industrial zone may be included in the direct costs of 
processing operations performed in Israel under section 
1(c)(ii) of Annex 3 of the Agreement.
    (e) Qualifying Industrial Zone Defined.--For purposes of 
this section, a ``qualifying industrial zone'' means any area 
that--
          (1) encompasses portions of the territory of Israel 
        and Jordan or Israel and Egypt;
          (2) has been designated by local authorities as an 
        enclave where merchandise may enter without payment of 
        duty or excise taxes; and
          (3) has been specified by the President as a 
        qualifying industrial zone.
        (3) Exemption of Israeli Products From Certain User Fees

Partial text of Public Law 101-382 [Customs and Trade Act of 1990; H.R. 
       1594], 104 Stat. 629 at 639, approved August 20, 1990 \1\

  AN ACT To make miscellaneous and technical changes to various trade 
                                 laws.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,
          * * * * * * *

SEC. 112.\2\ EXEMPTION OF ISRAELI PRODUCTS FROM CERTAIN USER FEES.

    If the United States Trade Representative determines that 
the Government of Israel has provided reciprocal concessions in 
exchange for the exemption of the products of Israel from the 
fees imposed under section 13031(a) (9) and (10) of the 
Consolidated Omnibus Budget Reconciliation Act of 1985 (as 
amended by section 111), such fees may not be charged with 
respect to any product of Israel that is entered, or withdrawn 
from warehouse for consumption, on or after the 15th day (which 
day may not be before October 1, 1990) after the date on which 
the determination is published in the Federal Register.
---------------------------------------------------------------------------
    \1\ Sec. 138 of this Act, relating to economic sanctions against 
products of Burma, may be found at page 1460.
    \2\ 19 U.S.C. 58c note.
---------------------------------------------------------------------------
          * * * * * * *
                  e. U.S. Trade With Asia and Pacific

             (1) United States-China Relations Act of 2000

Partial text of Division B of Public Law 106-286 [H.R. 4444], 114 Stat. 
                     880, approved October 10, 2000

 AN ACT To authorize extension of nondiscriminatory treatment (normal 
 trade relations treatment) to the People's Republic of China, and to 
 establish a framework for relations between the United States and the 
                      People's Republic of China.

  Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

SECTION 1. ORGANIZATION OF ACT INTO DIVISIONS; TABLE OF CONTENTS.

    (a) Divisions.--This Act is organized into two divisions as 
follows:
          (1) Division A--Normal trade relations for the 
        People's Republic of China.
          (2) Division B--United States-China Relations.
    (b) Table of Contents.--* * *

 DIVISION A--NORMAL TRADE RELATIONS FOR THE PEOPLE'S REPUBLIC OF CHINA

                    TITLE I--NORMAL TRADE RELATIONS

SEC. 101.\1\ TERMINATION OF APPLICATION OF CHAPTER 1 OF TITLE IV OF THE 
                    TRADE ACT OF 1974 TO THE PEOPLE'S REPUBLIC OF CHINA

          * * * * * * *

               DIVISION B--UNITED STATES-CHINA RELATIONS

                      TITLE II--GENERAL PROVISIONS

SEC. 201.\2\ SHORT TITLE OF DIVISION; TABLE OF CONTENTS OF DIVISION.

  (a) Short Title of Division.--This division may be cited as 
the ``U.S.-China Relations Act of 2000''.
---------------------------------------------------------------------------
    \1\ Title I, Division A of this Act can be found on page 1022 of 
this volume.
    \2\ 22 U.S.C. 6901 note.
---------------------------------------------------------------------------
  (b) Table of Contents of Division.--The table of contents of 
this division is as follows: * * *
          * * * * * * *

SEC. 202.\3\ FINDINGS.

  The Congress finds the following:
---------------------------------------------------------------------------
    \3\ 22 U.S.C. 6901.
---------------------------------------------------------------------------
          (1) In 1980, the United States opened trade relations 
        with the People's Republic of China by entering into a 
        bilateral trade agreement, which was approved by joint 
        resolution enacted pursuant to section 405(c) of the 
        Trade Act of 1974.
          (2) Since 1980, the President has consistently 
        extended nondiscriminatory treatment to products of the 
        People's Republic of China, pursuant to his authority 
        under section 404 of the Trade Act of 1974.
          (3) Since 1980, the United States has entered into 
        several additional trade-related agreements with the 
        People's Republic of China, including a memorandum of 
        understanding on market access in 1992, two agreements 
        on intellectual property rights protection in 1992 and 
        1995, and an agreement on agricultural cooperation in 
        1999.
          (4) Trade in goods between the People's Republic of 
        China and the United States totaled almost 
        $95,000,000,000 in 1999, compared with approximately 
        $18,000,000,000 in 1989, representing growth of 
        approximately 428 percent over 10 years.
          (5) The United States merchandise trade deficit with 
        the People's Republic of China has grown from 
        approximately $6,000,000,000 in 1989 to over 
        $68,000,000,000 in 1999, a growth of over 1,000 
        percent.
          (6) The People's Republic of China currently 
        restricts imports through relatively high tariffs and 
        nontariff barriers, including import licensing, 
        technology transfer, and local content requirements.
          (7) United States businesses attempting to sell goods 
        to markets in the People's Republic of China have 
        complained of uneven application of tariffs, customs 
        procedures, and other laws, rules, and administrative 
        measures affecting their ability to sell their products 
        in the Chinese market.
          (8) On November 15, 1999, the United States and the 
        People's Republic of China concluded a bilateral 
        agreement concerning terms of the People's Republic of 
        China's eventual accession to the World Trade 
        Organization.
          (9) The commitments that the People's Republic of 
        China made in its November 15, 1999, agreement with the 
        United States promise to eliminate or greatly reduce 
        the principal barriers to trade with and investment in 
        the People's Republic of China, if those commitments 
        are effectively complied with and enforced.
          (10) The record of the People's Republic of China in 
        implementing trade-related commitments has been mixed. 
        While the People's Republic of China has generally met 
        the requirements of the 1992 market access memorandum 
        of understanding and the 1992 and 1995 agreements on 
        intellectual property rights protection, other measures 
        remain in place or have been put into place which tend 
        to diminish the benefit to United States businesses, 
        farmers, and workers from the People's Republic of 
        China's implementation of those earlier commitments. 
        Notably, administration of tariff-rate quotas and other 
        trade-related laws remains opaque, new local content 
        requirements have proliferated, restrictions on 
        importation of animal and plant products are not always 
        supported by sound science, and licensing requirements 
        for importation and distribution of goods remain 
        common. Finally, the Government of the People's 
        Republic of China has failed to cooperate with the 
        United States Customs Service in implementing a 1992 
        memorandum of understanding prohibiting trade in 
        products made by prison labor.
          (11) The human rights record of the People's Republic 
        of China is a matter of very serious concern to the 
        Congress. The Congress notes that the Department of 
        State's 1999 Country Reports on Human Rights Practices 
        for the People's Republic of China finds that ``[t]he 
        Government's poor human rights record deteriorated 
        markedly throughout the year, as the Government 
        intensified efforts to suppress dissent, particularly 
        organized dissent.''.
          (12) The Congress deplores violations by the 
        Government of the People's Republic of China of human 
        rights, religious freedoms, and worker rights that are 
        referred to in the Department of State's 1999 Country 
        Reports on Human Rights Practices for the People's 
        Republic of China, including the banning of the Falun 
        Gong spiritual movement, denial in many cases, 
        particularly politically sensitive ones, of effective 
        representation by counsel and public trials, 
        extrajudicial killings and torture, forced abortion and 
        sterilization, restriction of access to Tibet and 
        Xinjiang, perpetuation of ``reeducation through 
        labor'', denial of the right of workers to organize 
        labor unions or bargain collectively with their 
        employers, and failure to implement a 1992 memorandum 
        of understanding prohibiting trade in products made by

SEC. 203.\4\ POLICY.

  It is the policy of the United States--
---------------------------------------------------------------------------
    \4\ 22 U.S.C. 6902.
---------------------------------------------------------------------------
          (1) to develop trade relations that broaden the 
        benefits of trade, and lead to a leveling up, rather 
        than a leveling down, of labor, environmental, 
        commercial rule of law, market access, anticorruption, 
        and other standards across national borders;
          (2) to pursue effective enforcement of trade-related 
        and other international commitments by foreign 
        governments through enforcement mechanisms of 
        international organizations and through the application 
        of United States law as appropriate;
          (3) to encourage foreign governments to conduct both 
        commercial and noncommercial affairs according to the 
        rule of law developed through democratic processes;
          (4) to encourage the Government of the People's 
        Republic of China to afford its workers internationally 
        recognized worker rights;
          (5) to encourage the Government of the People's 
        Republic of China to protect the human rights of people 
        within the territory of the People's Republic of China, 
        and to take steps toward protecting such rights, 
        including, but not limited to--
                  (A) ratifying the International Covenant on 
                Civil and Political Rights;
                  (B) protecting the right to liberty of 
                movement and freedom to choose a residence 
                within the People's Republic of China and the 
                right to leave from and return to the People's 
                Republic of China; and
                  (C) affording a criminal defendant--
                          (i) the right to be tried in his or 
                        her presence, and to defend himself or 
                        herself in person or through legal 
                        assistance of his or her own choosing;
                          (ii) the right to be informed, if he 
                        or she does not have legal assistance, 
                        of the right set forth in clause (i);
                          (iii) the right to have legal 
                        assistance assigned to him or her in 
                        any case in which the interests of 
                        justice so require and without payment 
                        by him or her in any such case if he or 
                        she does not have sufficient means to 
                        pay for it;
                          (iv) the right to a fair and public 
                        hearing by a competent, independent, 
                        and impartial tribunal established by 
                        the law;
                          (v) the right to be presumed innocent 
                        until proved guilty according to law; 
                        and
                          (vi) the right to be tried without 
                        undue delay; and
          (6) to highlight in the United Nations Human Rights 
        Commission and in other appropriate fora violations of 
        human rights by foreign governments and to seek the 
        support of other governments in urging improvements in 
        human rights practices.

SEC. 204.\5\ DEFINITIONS.

  In this division:
---------------------------------------------------------------------------
    \5\ 22 U.S.C. 6903.
---------------------------------------------------------------------------
          (1) Dispute settlement understanding.--The term 
        ``Dispute Settlement Understanding'' means the 
        Understanding on Rules and Procedures Governing the 
        Settlement of Disputes referred to in section 
        101(d)(16) of the Uruguay Round Agreements Act (19 
        U.S.C. 3511(16)).
          (2) Government of the people's republic of china.--
        The term ``Government of the People's Republic of 
        China'' means the central Government of the People's 
        Republic of China and any other governmental entity, 
        including any provincial, prefectural, or local entity 
        and any enterprise that is controlled by the central 
        Government or any such governmental entity or as to 
        which the central Government or any such governmental 
        entity is entitled to receive a majority of the 
        profits.
          (3) Internationally recognized worker rights.--The 
        term ``internationally recognized worker rights'' has 
        the meaning given that term in section 507(4) of the 
        Trade Act of 1974 (19 U.S.C. 2467(4)) and includes the 
        right to the elimination of the ``worst forms of child 
        labor'', as defined in section 507(6) of the Trade Act 
        of 1974 (19 U.S.C. 2467(6)).
          (4) Trade representative.--The term ``Trade 
        Representative'' means the United States Trade 
        Representative.
          (5) WTO; world trade organization.--The terms ``WTO'' 
        and ``World Trade Organization'' mean the organization 
        established pursuant to the WTO Agreement.
          (6) WTO agreement.--The term ``WTO Agreement'' means 
        the Agreement Establishing the World Trade Organization 
        entered into on April 15, 1994.
          (7) WTO member.--The term ``WTO member'' has the 
        meaning given that term in section 2(10) of the Uruguay 
        Round Agreements Act (19 U.S.C. 3501(10)).

TITLE III--CONGRESSIONAL-EXECUTIVE COMMISSION ON THE PEOPLE'S REPUBLIC 
                                OF CHINA

SEC. 301.\6\ ESTABLISHMENT OF CONGRESSIONAL-EXECUTIVE COMMISSION ON THE 
                    PEOPLE'S REPUBLIC OF CHINA.

  There is established a Congressional-Executive Commission on 
the People's Republic of China (in this title referred to as 
the ``Commission'').
---------------------------------------------------------------------------
    \6\ 22 U.S.C. 6911.
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SEC. 302.\7\ FUNCTIONS OF THE COMMISSION.

  (a) Monitoring Compliance With Human Rights.--The Commission 
shall monitor the acts of the People's Republic of China which 
reflect compliance with or violation of human rights, in 
particular, those contained in the International Covenant on 
Civil and Political Rights and in the Universal Declaration of 
Human Rights, including, but not limited to, effectively 
affording--
---------------------------------------------------------------------------
    \7\ 22 U.S.C. 6912.
---------------------------------------------------------------------------
          (1) the right to engage in free expression without 
        fear of any prior restraints;
          (2) the right to peaceful assembly without 
        restrictions, in accordance with international law;
          (3) religious freedom, including the right to worship 
        free of involvement of and interference by the 
        government;
          (4) the right to liberty of movement and freedom to 
        choose a residence within the People's Republic of 
        China and the right to leave from and return to the 
        People's Republic of China;
          (5) the right of a criminal defendant--
                  (A) to be tried in his or her presence, and 
                to defend himself or herself in person or 
                through legal assistance of his or her own 
                choosing;
                  (B) to be informed, if he or she does not 
                have legal assistance, of the right set forth 
                in subparagraph (A);
                  (C) to have legal assistance assigned to him 
                or her in any case in which the interests of 
                justice so require and without payment by him 
                or her in any such case if he or she does not 
                have sufficient means to pay for it;
                  (D) to a fair and public hearing by a 
                competent, independent, and impartial tribunal 
                established by the law;
                  (E) to be presumed innocent until proved 
                guilty according to law; and
                  (F) to be tried without undue delay;
          (6) the right to be free from torture and other forms 
        of cruel or unusual punishment;
          (7) protection of internationally recognized worker 
        rights;
          (8) freedom from incarceration as punishment for 
        political opposition to the government;
          (9) freedom from incarceration as punishment for 
        exercising or advocating human rights (including those 
        described in this section);
          (10) freedom from arbitrary arrest, detention, or 
        exile;
          (11) the right to fair and public hearings by an 
        independent tribunal for the determination of a 
        citizen's rights and obligations; and
          (12) free choice of employment.
  (b) Victims Lists.--The Commission shall compile and maintain 
lists of persons believed to be imprisoned, detained, or placed 
under house arrest, tortured, or otherwise persecuted by the 
Government of the People's Republic of China due to their 
pursuit of the rights described in subsection (a). In compiling 
such lists, the Commission shall exercise appropriate 
discretion, including concerns regarding the safety and 
security of, and benefit to, the persons who may be included on 
the lists and their families.
  (c) Monitoring Development of Rule of Law.--The Commission 
shall monitor the development of the rule of law in the 
People's Republic of China, including, but not limited to--
          (1) progress toward the development of institutions 
        of democratic governance;
          (2) processes by which statutes, regulations, rules, 
        and other legal acts of the Government of the People's 
        Republic of China are developed and become binding 
        within the People's Republic of China;
          (3) the extent to which statutes, regulations, rules, 
        administrative and judicial decisions, and other legal 
        acts of the Government of the People's Republic of 
        China are published and are made accessible to the 
        public;
          (4) the extent to which administrative and judicial 
        decisions are supported by statements of reasons that 
        are based upon written statutes, regulations, rules, 
        and other legal acts of the Government of the People's 
        Republic of China;
          (5) the extent to which individuals are treated 
        equally under the laws of the of the People's Republic 
        of China without regard to citizenship;
          (6) the extent to which administrative and judicial 
        decisions are independent of political pressure or 
        governmental interference and are reviewed by entities 
        of appellate jurisdiction; and
          (7) the extent to which laws in the People's Republic 
        of China are written and administered in ways that are 
        consistent with international human rights standards, 
        including the requirements of the International 
        Covenant on Civil and Political Rights.
  (d) Bilateral Cooperation.--The Commission shall monitor and 
encourage the development of programs and activities of the 
United States Government and private organizations with a view 
toward increasing the interchange of people and ideas between 
the United States and the People's Republic of China and 
expanding cooperation in areas that include, but are not 
limited to--
          (1) increasing enforcement of human rights described 
        in subsection (a); and
          (2) developing the rule of law in the People's 
        Republic of China.
  (e) Contacts With Nongovernmental Organizations.--In 
performing the functions described in subsections (a) through 
(d), the Commission shall, as appropriate, seek out and 
maintain contacts with nongovernmental organizations, including 
receiving reports and updates from such organizations and 
evaluating such reports.
  (f ) Cooperation With Special Coordinator.--In performing the 
functions described in subsections (a) through (d), the 
Commission shall cooperate with the Special Coordinator for 
Tibetan Issues in the Department of State.
  (g) Annual Reports.--The Commission shall issue a report to 
the President and the Congress not later than 12 months after 
the date of the enactment of this Act, and not later than the 
end of each 12-month period thereafter, setting forth the 
findings of the Commission during the preceding 12-month 
period, in carrying out subsections (a) through (c). The 
Commission's report may contain recommendations for legislative 
or executive action.
  (h) Specific Information in Annual Reports.--The Commission's 
report under subsection (g) shall include specific information 
as to the nature and implementation of laws or policies 
concerning the rights set forth in paragraphs (1) through (12) 
of subsection (a), and as to restrictions applied to or 
discrimination against persons exercising any of the rights set 
forth in such paragraphs.
  (i) Congressional Hearings on Annual Reports.--(1) The 
Committee on International Relations of the House of 
Representatives shall, not later than 30 days after the receipt 
by the Congress of the report referred to in subsection (g), 
hold hearings on the contents of the report, including any 
recommendations contained therein, for the purpose of receiving 
testimony from Members of Congress, and such appropriate 
representatives of Federal departments and agencies, and 
interested persons and groups, as the committee deems 
advisable, with a view to reporting to the House of 
Representatives any appropriate legislation in furtherance of 
such recommendations. If any such legislation is considered by 
the Committee on International Relations within 45 days after 
receipt by the Congress of the report referred to in subsection 
(g), it shall be reported by the committee not later than 60 
days after receipt by the Congress of such report.
  (2) The provisions of paragraph (1) are enacted by the 
Congress--
          (A) as an exercise of the rulemaking power of the 
        House of Representatives, and as such are deemed a part 
        of the rules of the House, and they supersede other 
        rules only to the extent that they are inconsistent 
        therewith; and
          (B) with full recognition of the constitutional right 
        of the House to change the rules (so far as relating to 
        the procedure of the House) at any time, in the same 
        manner and to the same extent as in the case of any 
        other rule of the House.
  (j) Supplemental Reports.--The Commission may submit to the 
President and the Congress reports that supplement the reports 
described in subsection (g), as appropriate, in carrying out 
subsections (a) through (c).

SEC. 303.\8\ MEMBERSHIP OF THE COMMISSION.

  (a) Selection and Appointment of Members.--The Commission 
shall be composed of 23 members as follows:
---------------------------------------------------------------------------
    \8\ 22 U.S.C. 6913.
---------------------------------------------------------------------------
          (1) Nine Members of the House of Representatives 
        appointed by the Speaker of the House of 
        Representatives. Five members shall be selected from 
        the majority party and four members shall be selected, 
        after consultation with the minority leader of the 
        House, from the minority party.
          (2) Nine Members of the Senate appointed by the 
        President of the Senate. Five members shall be 
        selected, after consultation with the majority leader 
        of the Senate, from the majority party, and four 
        members shall be selected, after consultation with the 
        minority leader of the Senate, from the minority party.
          (3) One representative of the Department of State, 
        appointed by the President of the United States from 
        among officers and employees of that Department.
          (4) One representative of the Department of Commerce, 
        appointed by the President of the United States from 
        among officers and employees of that Department.
          (5) One representative of the Department of Labor, 
        appointed by the President of the United States from 
        among officers and employees of that Department.
          (6) Two at-large representatives, appointed by the 
        President of the United States, from among the officers 
        and employees of the executive branch.
  (b) Chairman and Cochairman.--
          (1) Designation of chairman.--At the beginning of 
        each odd-numbered Congress, the President of the 
        Senate, on the recommendation of the majority leader, 
        shall designate one of the members of the Commission 
        from the Senate as Chairman of the Commission. At the 
        beginning of each even-numbered Congress, the Speaker 
        of the House of Representatives shall designate one of 
        the members of the Commission from the House as 
        Chairman of the Commission.
          (2) Designation of cochairman.--At the beginning of 
        each odd-numbered Congress, the Speaker of the House of 
        Representatives shall designate one of the members of 
        the Commission from the House as Cochairman of the 
        Commission. At the beginning of each even-numbered 
        Congress, the President of the Senate, on the 
        recommendation of the majority leader, shall designate 
        one of the members of the Commission from the Senate as 
        Cochairman of the Commission.

SEC. 304.\9\ VOTES OF THE COMMISSION.

  Decisions of the Commission, including adoption of reports 
and recommendations to the executive branch or to the Congress, 
shall be made by a majority vote of the members of the 
Commission present and voting. Two-thirds of the Members of the 
Commission shall constitute a quorum for purposes of conducting 
business.
---------------------------------------------------------------------------
    \9\ 22 U.S.C. 6914.
---------------------------------------------------------------------------

SEC. 305.\10\ EXPENDITURE OF APPROPRIATIONS.

  For each fiscal year for which an appropriation is made to 
the Commission, the Commission shall issue a report to the 
Congress on its expenditures under that appropriation.
---------------------------------------------------------------------------
    \10\ 22 U.S.C. 6915.
---------------------------------------------------------------------------

SEC. 306.\11\ TESTIMONY OF WITNESSES, PRODUCTION OF EVIDENCE; ISSUANCE 
                    OF SUBPOENAS; ADMINISTRATION OF OATHS.

  In carrying out this title, the Commission may require, by 
subpoena or otherwise, the attendance and testimony of such 
witnesses and the production of such books, records, 
correspondence, memoranda, papers, documents, and 
electronically recorded data as it considers necessary. 
Subpoenas may be issued only pursuant to a two-thirds vote of 
members of the Commission present and voting. Subpoenas may be 
issued over the signature of the Chairman of the Commission or 
any member designated by the Chairman, and may be served by any 
person designated by the Chairman or such member. The Chairman 
of the Commission, or any member designated by the Chairman, 
may administer oaths to any witness.
---------------------------------------------------------------------------
    \11\ 22 U.S.C. 6916.
---------------------------------------------------------------------------

SEC. 307.\12\ APPROPRIATIONS FOR THE COMMISSION.

  (a) Authorization; Disbursements.--
---------------------------------------------------------------------------
    \12\ 22 U.S.C. 6917.
---------------------------------------------------------------------------
          (1) Authorization.--There are authorized to be 
        appropriated to the Commission for fiscal year 2001, 
        and each fiscal year thereafter, such sums as may be 
        necessary to enable it to carry out its functions. 
        Appropriations to the Commission are authorized to 
        remain available until expended.
          (2) Disbursements.--Appropriations to the Commission 
        shall be disbursed on vouchers approved--
                  (A) jointly by the Chairman and the 
                Cochairman; or
                  (B) by a majority of the members of the 
                personnel and administration committee 
                established pursuant to section 308.
  (b) Foreign Travel for Official Purposes.--Foreign travel for 
official purposes by members and staff of the Commission may be 
authorized by either the Chairman or the Cochairman.

SEC. 308.\13\ STAFF OF THE COMMISSION.

  (a) Personnel and Administration Committee.--The Commission 
shall have a personnel and administration committee composed of 
the Chairman, the Cochairman, the senior member of the 
Commission from the minority party of the House of 
Representatives, and the senior member of the Commission from 
the minority party of the Senate.
---------------------------------------------------------------------------
    \13\ 22 U.S.C. 6918.
---------------------------------------------------------------------------
  (b) Committee Functions.--All decisions pertaining to the 
hiring, firing, and fixing of pay of personnel of the 
Commission shall be by a majority vote of the personnel and 
administration committee, except that--
          (1) the Chairman shall be entitled to appoint and fix 
        the pay of the staff director, and the Cochairman shall 
        be entitled to appoint and fix the pay of the 
        Cochairman's senior staff member; and
          (2) the Chairman and Cochairman shall each have the 
        authority to appoint, with the approval of the 
        personnel and administration committee, at least four 
        professional staff members who shall be responsible to 
        the Chairman or the Cochairman (as the case may be) who 
        appointed them.
Subject to subsection (d), the personnel and administration 
committee may appoint and fix the pay of such other personnel 
as it considers desirable.
  (c) Staff Appointments.--All staff appointments shall be made 
without regard to the provisions of title 5, United States 
Code, governing appointments in the competitive service, and 
without regard to the provisions of chapter 51 and subchapter 
III of chapter 53 of such title relating to classification and 
general schedule pay rates.
  (d) Qualifications of Professional Staff.--The personnel and 
administration committee shall ensure that the professional 
staff of the Commission consists of persons with expertise in 
areas including human rights, internationally recognized worker 
rights, international economics, law (including international 
law), rule of law and other foreign assistance programming, 
Chinese politics, economy and culture, and the Chinese 
language.
  (e) Commission Employees as Congressional Employees.--
          (1) In general.--For purposes of pay and other 
        employment benefits, rights, and privileges, and for 
        all other purposes, any employee of the Commission 
        shall be considered to be a congressional employee as 
        defined in section 2107 of title 5, United States Code.
          (2) Competitive status.--For purposes of section 
        3304(c)(1) of title 5, United States Code, employees of 
        the Commission shall be considered as if they are in 
        positions in which they are paid by the Secretary of 
        the Senate or the Clerk of the House of 
        Representatives.

SEC. 309.\14\ PRINTING AND BINDING COSTS.

  For purposes of costs relating to printing and binding, 
including the costs of personnel detailed from the Government 
Printing Office, the Commission shall be deemed to be a 
committee of the Congress.
---------------------------------------------------------------------------
    \14\ 22 U.S.C. 6919.
---------------------------------------------------------------------------

   TITLE IV--MONITORING AND ENFORCEMENT OF THE PEOPLE'S REPUBLIC OF 
                        CHINA'S WTO COMMITMENTS

 Subtitle A--Review of Membership of the People's Republic of China in 
                                the WTO

SEC. 401.\15\ REVIEW WITHIN THE WTO.

  It shall be the objective of the United States to obtain as 
part of the Protocol of Accession of the People's Republic of 
China to the WTO, an annual review within the WTO of the 
compliance by the People's Republic of China with its terms of 
accession to the WTO.
---------------------------------------------------------------------------
    \15\ 22 U.S.C. 6931.
---------------------------------------------------------------------------

 Subtitle B--Authorization To Promote Compliance With Trade Agreements

SEC. 411.\16\ FINDINGS.

  The Congress finds as follows:
---------------------------------------------------------------------------
    \16\ 22 U.S.C. 6941.
---------------------------------------------------------------------------
          (1) The opening of world markets through the 
        elimination of tariff and nontariff barriers has 
        contributed to a 56-percent increase in exports of 
        United States goods and services since 1992.
          (2) Such export expansion, along with an increase in 
        trade generally, has helped fuel the longest economic 
        expansion in United States history.
          (3) The United States Government must continue to be 
        vigilant in monitoring and enforcing the compliance by 
        our trading partners with trade agreements in order for 
        United States businesses, workers, and farmers to 
        continue to benefit from the opportunities created by 
        market-opening trade agreements.
          (4) The People's Republic of China, as part of its 
        accession to the World Trade Organization, has 
        committed to eliminating significant trade barriers in 
        the agricultural, services, and manufacturing sectors 
        that, if realized, would provide considerable 
        opportunities for United States farmers, businesses, 
        and workers.
          (5) For these opportunities to be fully realized, the 
        United States Government must effectively monitor and 
        enforce its rights under the agreements on the 
        accession of the People's Republic of China to the WTO.

SEC. 412.\17\ PURPOSE.

  The purpose of this subtitle is to authorize additional 
resources for the agencies and departments engaged in 
monitoring and enforcement of United States trade agreements 
and trade laws with respect to the People's Republic of China.
---------------------------------------------------------------------------
    \17\ 22 U.S.C. 6942.
---------------------------------------------------------------------------

SEC. 413.\18\ AUTHORIZATION OF APPROPRIATIONS.

  (a) Department of Commerce.--There is authorized to be 
appropriated to the Department of Commerce, in addition to 
amounts otherwise available for such purposes, such sums as may 
be necessary for fiscal year 2001, and each fiscal year 
thereafter, for additional staff for--
---------------------------------------------------------------------------
    \18\ 22 U.S.C. 6943.
---------------------------------------------------------------------------
          (1) monitoring compliance by the People's Republic of 
        China with its commitments under the WTO, assisting 
        United States negotiators with ongoing negotiations in 
        the WTO, and defending United States antidumping and 
        countervailing duty measures with respect to products 
        of the People's Republic of China;
          (2) enforcement of United States trade laws with 
        respect to products of the People's Republic of China; 
        and
          (3) a Trade Law Technical Assistance Center to assist 
        small- and medium-sized businesses, workers, and unions 
        in evaluating potential remedies available under the 
        trade laws of the United States with respect to trade 
        involving the People's Republic of China.
  (b) Overseas Compliance Program.--
          (1) Authorization of appropriation.--There are 
        authorized to be appropriated to the Department of 
        Commerce and the Department of State, in addition to 
        amounts otherwise available, such sums as may be 
        necessary for fiscal year 2001, and each fiscal year 
        thereafter, to provide staff for monitoring in the 
        People's Republic of China that country's compliance 
        with its international trade obligations and to support 
        the enforcement of the trade laws of the United States, 
        as part of an Overseas Compliance Program which 
        monitors abroad compliance with international trade 
        obligations and supports the enforcement of United 
        States trade laws.
          (2) Reporting.--The annual report on compliance by 
        the People's Republic of China submitted to the 
        Congress under section 421 of this Act shall include 
        the findings of the Overseas Compliance Program with 
        respect to the People's Republic of China.
  (c) United States Trade Representative.--There are authorized 
to be appropriated to the Office of the United States Trade 
Representative, in addition to amounts otherwise available for 
such purposes, such sums as may be necessary for fiscal year 
2001, and each fiscal year thereafter, for additional staff 
in--
          (1) the Office of the General Counsel, the Monitoring 
        and Enforcement Unit, and the Office of the Deputy 
        United States Trade Representative in Geneva, 
        Switzerland, to investigate, prosecute, and defend 
        cases before the WTO, and to administer United States 
        trade laws, including title III of the Trade Act of 
        1974 (19 U.S.C. 2411 et seq.) and other trade laws 
        relating to intellectual property, government 
        procurement, and telecommunications, with respect to 
        the People's Republic of China;
          (2) the Office of Economic Affairs, to analyze the 
        impact on the economy of the United States, including 
        United States exports, of acts of the Government of the 
        People's Republic of China affecting access to markets 
        in the People's Republic of China and to support the 
        Office of the General Counsel in presenting cases to 
        the WTO involving the People's Republic of China;
          (3) the geographic office for the People's Republic 
        of China; and
          (4) offices relating to the WTO and to different 
        sectors of the economy, including agriculture, 
        industry, services, and intellectual property rights 
        protection, to monitor and enforce the trade agreement 
        obligations of the People's Republic of China in those 
        sectors.
  (d) Department of Agriculture.--There are authorized to be 
appropriated to the Department of Agriculture, in addition to 
amounts otherwise available for such purposes, such sums as may 
be necessary for fiscal year 2001, and each fiscal year 
thereafter, for additional staff to increase legal and 
technical expertise in areas covered by trade agreements and 
United States trade law, including food safety and 
biotechnology, for purposes of monitoring compliance by the 
People's Republic of China with its trade agreement 
obligations.

Subtitle C--Report on Compliance by the People's Republic of China With 
                            WTO Obligations

SEC. 421.\19\ REPORT ON COMPLIANCE.

  (a) In General.--Not later than 1 year after the entry into 
force of the Protocol of Accession of the People's Republic of 
China to the WTO, and annually thereafter, the Trade 
Representative shall submit a report to Congress on compliance 
by the People's Republic of China with commitments made in 
connection with its accession to the World Trade Organization, 
including both multilateral commitments and any bilateral 
commitments made to the United States.
---------------------------------------------------------------------------
    \19\ 22 U.S.C. 6951.
---------------------------------------------------------------------------
  (b) Public Participation.--In preparing the report described 
in subsection (a), the Trade Representative shall seek public 
participation by publishing a notice in the Federal Register 
and holding a public hearing.

TITLE V--TRADE AND RULE OF LAW ISSUES IN THE PEOPLE'S REPUBLIC OF CHINA

  Subtitle A--Task Force on Prohibition of Importation of Products of 
       Forced or Prison Labor From the People's Republic of China

SEC. 501.\20\ ESTABLISHMENT OF TASK FORCE.

  There is hereby established a task force on prohibition of 
importation of products of forced or prison labor from the 
People's Republic of China (hereafter in this subtitle referred 
to as the ``Task Force'').
---------------------------------------------------------------------------
    \20\ 22 U.S.C. 6961.
---------------------------------------------------------------------------

SEC. 502.\21\ FUNCTIONS OF TASK FORCE.

  The Task Force shall monitor and promote effective 
enforcement of and compliance with section 307 of the Tariff 
Act of 1930 (19 U.S.C. 1307) by performing the following 
functions:
---------------------------------------------------------------------------
    \21\ 22 U.S.C. 6962.
---------------------------------------------------------------------------
          (1) Coordinate closely with the United States Customs 
        Service to promote maximum effectiveness in the 
        enforcement by the Customs Service of section 307 of 
        the Tariff Act of 1930 with respect to the products of 
        the People's Republic of China. In order to assure such 
        coordination, the Customs Service shall keep the Task 
        Force informed, on a regular basis, of the progress of 
        its investigations of allegations that goods are being 
        entered into the United States, or that such entry is 
        being attempted, in violation of the prohibition in 
        section 307 of the Tariff Act of 1930 on entry into the 
        United States of goods mined, produced, or manufactured 
        wholly or in part in the People's Republic of China by 
        convict labor, forced labor, or indentured labor under 
        penal sanctions. Such investigations may include visits 
        to foreign sites where goods allegedly are 114 
        STAT. 904 deg. being mined, produced, or manufactured 
        in a manner that would lead to prohibition of their 
        importation into the United States under section 307 of 
        the Tariff Act of 1930.
          (2) Make recommendations to the Customs Service on 
        seeking new agreements with the People's Republic of 
        China to allow Customs Service officials to visit sites 
        where goods may be mined, produced, or manufactured by 
        convict labor, forced labor, or indentured labor under 
        penal sanctions.
          (3) Work with the Customs Service to assist the 
        People's Republic of China and other foreign 
        governments in monitoring the sale of goods mined, 
        produced, or manufactured by convict labor, forced 
        labor, or indentured labor under penal sanctions to 
        ensure that such goods are not exported to the United 
        States.
          (4) Coordinate closely with the Customs Service to 
        promote maximum effectiveness in the enforcement by the 
        Customs Service of section 307 of the Tariff Act of 
        1930 with respect to the products of the People's 
        Republic of China. In order to assure such 
        coordination, the Customs Service shall keep the Task 
        Force informed, on a regular basis, of the progress of 
        its monitoring of ports of the United States to ensure 
        that goods mined, produced, or manufactured wholly or 
        in part in the People's Republic of China by convict 
        labor, forced labor, or indentured labor under penal 
        sanctions are not imported into the United States.
          (5) Advise the Customs Service in performing such 
        other functions, consistent with existing authority, to 
        ensure the effective enforcement of section 307 of the 
        Tariff Act of 1930.
          (6) Provide to the Customs Service all information 
        obtained by the departments represented on the Task 
        Force relating to the use of convict labor, forced 
        labor, or/and indentured labor under penal sanctions in 
        the mining, production, or manufacture of goods which 
        may be imported into the United States.

SEC. 503.\22\ COMPOSITION OF TASK FORCE.

  The Secretary of the Treasury, the Secretary of Commerce, the 
Secretary of Labor, the Secretary of State, the Commissioner of 
Customs, and the heads of other executive branch agencies, as 
appropriate, acting through their respective designees at or 
above the level of Deputy Assistant Secretary, or in the case 
of the Customs Service, at or above the level of Assistant 
Commissioner, shall compose the Task Force. The designee of the 
Secretary of the Treasury shall chair the Task Force.
---------------------------------------------------------------------------
    \22\ 22 U.S.C. 6963.
---------------------------------------------------------------------------

SEC. 504.\23\ AUTHORIZATION OF APPROPRIATIONS.

  There are authorized to be appropriated for fiscal year 2001, 
and each fiscal year thereafter, such sums as may be necessary 
for the Task Force to carry out the functions described in 
section 502.
---------------------------------------------------------------------------
    \23\ 22 U.S.C. 6964.
---------------------------------------------------------------------------

SEC. 505.\24\ REPORTS TO CONGRESS.

  (a) Frequency of Reports.--Not later than the date that is 1 
year after the date of the enactment of this Act, and not later 
than the end of each 1-year period thereafter, the Task Force 
shall submit to the Congress a report on the work of the Task 
Force during the preceding 1-year period.
---------------------------------------------------------------------------
    \24\ 22 U.S.C. 6965.
---------------------------------------------------------------------------
  (b) Contents of Reports.--Each report under subsection (a) 
shall set forth, at a minimum--
          (1) the number of allegations of violations of 
        section 307 of the Tariff Act of 1930 with respect to 
        products of the Peoples' Republic of China that were 
        investigated during the preceding 1-year period;
          (2) the number of actual violations of section 307 of 
        the Tariff Act of 1930 with respect to the products of 
        the People's Republic of China that were discovered 
        during the preceding 1-year period;
          (3) in the case of each attempted entry of products 
        of the People's Republic of China in violation of such 
        section 307 discovered during the preceding 1-year 
        period--
                  (A) the identity of the exporter of the 
                goods;
                  (B) the identity of the person or persons who 
                attempted to sell the goods for export; and
                  (C) the identity of all parties involved in 
                transshipment of the goods; and
          (4) such other information as the Task Force 
        considers useful in monitoring and enforcing compliance 
        with section 307 of the Tariff Act of 1930.

   Subtitle B--Assistance To Develop Commercial and Labor Rule of Law

SEC. 511.\25\ ESTABLISHMENT OF TECHNICAL ASSISTANCE AND RULE OF LAW 
                    PROGRAMS.

  (a) Commerce Rule of Law Program.--The Secretary of Commerce, 
in consultation with the Secretary of State, is authorized to 
establish a program to conduct rule of law training and 
technical assistance related to commercial activities in the 
People's Republic of China.
---------------------------------------------------------------------------
    \25\ 22 U.S.C. 6981.
---------------------------------------------------------------------------
  (b) Labor Rule of Law Program.--
          (1) In general.--The Secretary of Labor, in 
        consultation with the Secretary of State, is authorized 
        to establish a program to conduct rule of law training 
        and technical assistance related to the protection of 
        internationally recognized worker rights in the 
        People's Republic of China.
          (2) Use of amounts.--In carrying out paragraph (1), 
        the Secretary of Labor shall focus on activities 
        including, but not limited to--
                  (A) developing, laws, regulations, and other 
                measures to implement internationally 
                recognized worker rights;
                  (B) establishing national mechanisms for the 
                enforcement of national labor laws and 
                regulations;
                  (C) training government officials concerned 
                with implementation and enforcement of national 
                labor laws and regulations; and
                  (D) developing an educational infrastructure 
                to educate workers about their legal rights and 
                protections under national labor laws and 
                regulations.
          (3) Limitation.--The Secretary of Labor may not 
        provide assistance under the program established under 
        this subsection to the All-China Federation of Trade 
        Unions.
  (c) Legal System and Civil Society Rule of Law Program.--The 
Secretary of State is authorized to establish a program to 
conduct rule of law training and technical assistance related 
to development of the legal system and civil society generally 
in the People's Republic of China.
  (d) Conduct of Programs.--The programs authorized by this 
section may be used to conduct activities such as seminars and 
workshops, drafting of commercial and labor codes, legal 
training, publications, financing the operating costs for 
nongovernmental organizations working in this area, and funding 
the travel of individuals to the United States and to the 
People's Republic of China to provide and receive training.

SEC. 512.\26\ ADMINISTRATIVE AUTHORITIES.

  In carrying out the programs authorized by section 511, the 
Secretary of Commerce and the Secretary of Labor (in 
consultation with the Secretary of State) may utilize any of 
the authorities contained in the Foreign Assistance Act of 1961 
and the Foreign Service Act of 1980.
---------------------------------------------------------------------------
    \26\ 22 U.S.C. 6982.
---------------------------------------------------------------------------

SEC. 513.\27\ PROHIBITION RELATING TO HUMAN RIGHTS ABUSES.

  Amounts made available to carry out this subtitle may not be 
provided to a component of a ministry or other administrative 
unit of the national, provincial, or other local governments of 
the People's Republic of China, to a nongovernmental 
organization, or to an official of such governments or 
organizations, if the President has credible evidence that such 
component, administrative unit, organization or official has 
been materially responsible for the commission of human rights 
violations.
---------------------------------------------------------------------------
    \27\ 22 U.S.C. 6983.
---------------------------------------------------------------------------

SEC. 514.\28\ AUTHORIZATION OF APPROPRIATIONS.

  (a) Commercial Law Program.--There are authorized to be 
appropriated to the Secretary of Commerce to carry out the 
program described in section 511(a) such sums as may be 
necessary for fiscal year 2001, and each fiscal year 
thereafter.
---------------------------------------------------------------------------
    \28\ 22 U.S.C. 6984.
---------------------------------------------------------------------------
  (b) Labor Law Program.--There are authorized to be 
appropriated to the Secretary of Labor to carry out the program 
described in section 511(b) such sums as may be necessary for 
fiscal year 2001, and each fiscal year thereafter.
  (c) Legal System and Civil Society Rule of Law Program.--
There are authorized to be appropriated to the Secretary of 
State to carry out the program described in section 511(c) such 
sums as may be necessary for fiscal year 2001, and each fiscal 
year thereafter.
  (d) Construction With Other Laws.--Except as provided in this 
division, funds may be made available to carry out the purposes 
of this subtitle notwithstanding any other provision of law.

                TITLE VI--ACCESSION OF TAIWAN TO THE WTO

SEC. 601.\29\ ACCESSION OF TAIWAN TO THE WTO.

  It is the sense of the Congress that--
---------------------------------------------------------------------------
    \29\ 22 U.S.C. 6991.
---------------------------------------------------------------------------
          (1) immediately upon approval by the General Council 
        of the WTO of the terms and conditions of the accession 
        of the People's Republic of China to the WTO, the 
        United States representative to the WTO should request 
        that the General Council of the WTO consider Taiwan's 
        accession to the WTO 114 STAT. 907 deg. as the 
        next order of business of the Council during the same 
        session; and
          (2) the United States should be prepared to 
        aggressively counter any effort by any WTO member, upon 
        the approval of the General Council of the WTO of the 
        terms and conditions of the accession of the People's 
        Republic of China to the WTO, to block the accession of 
        Taiwan to the WTO.

                       TITLE VII--RELATED ISSUES

SEC. 701.\30\ AUTHORIZATIONS OF APPROPRIATIONS FOR BROADCASTING CAPITAL 
                    IMPROVEMENTS AND INTERNATIONAL BROADCASTING 
                    OPERATIONS.

  (a) Broadcasting Capital Improvements.--In addition to such 
sums as may otherwise be authorized to be appropriated, there 
are authorized to be appropriated for ``Department of State and 
Related Agency, Related Agency, Broadcasting Board of 
Governors, Broadcasting Capital Improvements'' $65,000,000 for 
the fiscal year 2001.
---------------------------------------------------------------------------
    \30\ 22 U.S.C. 7001.
---------------------------------------------------------------------------
  (b) International Broadcasting Operations.--
          (1) Authorization of appropriations.--In addition to 
        such sums as are otherwise authorized to be 
        appropriated, there are authorized to be appropriated 
        $34,000,000 for each of the fiscal years 2001 and 2002 
        for ``Department of State and Related Agency, Related 
        Agency, Broadcasting Board of Governors, International 
        Broadcasting Operations'' for the purposes under 
        paragraph (2).
          (2) Uses of funds.--In addition to other authorized 
        purposes, funds appropriated pursuant to paragraph (1) 
        shall be used for the following:
                  (A) To increase personnel for the program 
                development office to enhance marketing 
                programming in the People's Republic of China 
                and neighboring countries.
                  (B) To enable Radio Free Asia's expansion of 
                news research, production, call-in show 
                capability, and web site/Internet enhancement 
                for the People's Republic of China and 
                neighboring countries.
                  (C) VOA enhancements, including the opening 
                of new news bureaus in Taipei and Shanghai, 
                enhancement of TV Mandarin, and an increase of 
                stringer presence abroad.
             (2) United States-Hong Kong Policy Act of 1992

Public Law 102-383 [S. 1731], 106 Stat. 1448, approved October 5, 1992; 
 amended by Public Law 104-107 [Foreign Operations, Export Financing, 
 and Related Programs Appropriations Act, 1996; H.R. 1868], 110 Stat. 
                    704, approved February 12, 1996

  AN ACT To set forth the policy of the United States with respect to 
                   Hong Kong, and for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

SECTION 1.\1\ SHORT TITLE.

    This Act may be cited as the ``United States-Hong Kong 
Policy Act of 1992''.
---------------------------------------------------------------------------
    \1\ 22 U.S.C. 5701 note.
---------------------------------------------------------------------------

SEC. 2.\2\ FINDINGS AND DECLARATIONS.

    The Congress makes the following findings and declarations:
---------------------------------------------------------------------------
    \2\ 22 U.S.C. 5701.
---------------------------------------------------------------------------
          (1) The Congress recognizes that under the 1984 Sino-
        British Joint Declaration:
                  (A) The People's Republic of China and the 
                United Kingdom of Great Britain and Northern 
                Ireland have agreed that the People's Republic 
                of China will resume the exercise of 
                sovereignty over Hong Kong on July 1, 1997. 
                Until that time, the United Kingdom will be 
                responsible for the administration of Hong 
                Kong.
                  (B) The Hong Kong Special Administrative 
                Region of the People's Republic of China, 
                beginning on July 1, 1997, will continue to 
                enjoy a high degree of autonomy on all matters 
                other than defense and foreign affairs.
                  (C) There is provision for implementation of 
                a ``one country, two systems'' policy, under 
                which Hong Kong will retain its current 
                lifestyle and legal, social, and economic 
                systems until at least the year 2047.
                  (D) The legislature of the Hong Kong Special 
                Administrative Region will be constituted by 
                elections, and the provisions of the 
                International Covenant on Civil and Political 
                Rights and the International Covenant on 
                Economic, Social and Cultural Rights, as 
                applied to Hong Kong, shall remain in force.
                  (E) Provision is made for the continuation in 
                force of agreements implemented as of June 30, 
                1997, and for the ability of the Hong Kong 
                Special Administrative Region to conclude new 
                agreements either on its own or with the 
                assistance of the Government of the People's 
                Republic of China.
          (2) The Congress declares its wish to see full 
        implementation of the provisions of the Joint 
        Declaration.
          (3) The President has announced his support for the 
        policies and decisions reflected in the Joint 
        Declaration.
          (4) Hong Kong plays an important role in today's 
        regional and world economy. This role is reflected in 
        strong economic, cultural, and other ties with the 
        United States that give the United States a strong 
        interest in the continued vitality, prosperity, and 
        stability of Hong Kong.
          (5) Support for democratization is a fundamental 
        principle of United States foreign policy. As such, it 
        naturally applies to United States policy toward Hong 
        Kong. This will remain equally true after June 30, 
        1997.
          (6) The human rights of the people of Hong Kong are 
        of great importance to the United States and are 
        directly relevant to United States interests in Hong 
        Kong. A fully successful transition in the exercise of 
        sovereignty over Hong Kong must safeguard human rights 
        in and of themselves. Human rights also serve as a 
        basis for Hong Kong's continued economic prosperity.

SEC. 3.\3\ DEFINITIONS.

    For purposes of this Act--
---------------------------------------------------------------------------
    \3\ 22 U.S.C. 5702.
---------------------------------------------------------------------------
          (1) the term ``Hong Kong'' means, prior to July 1, 
        1997, the British Dependent Territory of Hong Kong, and 
        on and after July 1, 1997, the Hong Kong Special 
        Administrative Region of the People's Republic of 
        China;
          (2) the term ``Joint Declaration'' means the Joint 
        Declaration of the Government of the United Kingdom of 
        Great Britain and Northern Ireland and the Government 
        of the People's Republic of China on the Question of 
        Hong Kong, done at Beijing on December 19, 1984; and
          (3) the term ``laws of the United States'' means 
        provisions of law enacted by the Congress.

                            TITLE I--POLICY

SEC. 101.\4\ BILATERAL TIES BETWEEN THE UNITED STATES AND HONG KONG.

    It is the sense of the Congress that the following, which 
are based in part on the relevant provisions of the Joint 
Declaration, should be the policy of the United States with 
respect to its bilateral relationship with Hong Kong:
          (1) The United States should play an active role, 
        before, on, and after July 1, 1997, in maintaining Hong 
        Kong's confidence and prosperity, Hong Kong's role as 
        an international financial center, and the mutually 
        beneficial ties between the people of the United States 
        and the people of Hong Kong.
---------------------------------------------------------------------------
    \4\ 22 U.S.C. 5711.
---------------------------------------------------------------------------
          (2) The United States should actively seek to 
        establish and expand direct bilateral ties and 
        agreements with Hong Kong in economic, trade, 
        financial, monetary, aviation, shipping, 
        communications, tourism, cultural, sport, and other 
        appropriate areas.
          (3) The United States should seek to maintain, after 
        June 30, 1997, the United States consulate-general in 
        Hong Kong, together with other official and semi-
        official organizations, such as the United States 
        Information Agency American Library.
          (4) The United States should invite Hong Kong to 
        maintain, after June 30, 1997, its official and semi-
        official missions in the United States, such as the 
        Hong Kong Economic & Trade Office, the Office of the 
        Hong Kong Trade Development Council, and the Hong Kong 
        Tourist Association. The United States should invite 
        Hong Kong to open and maintain other official or semi-
        official missions to represent Hong Kong in those areas 
        in which Hong Kong is entitled to maintain relations on 
        its own, including economic, trade, financial, 
        monetary, aviation, shipping, communications, tourism, 
        cultural, and sport areas.
          (5) The United States should recognize passports and 
        travel documents issued after June 30, 1997, by the 
        Hong Kong Special Administrative Region.
          (6) The resumption by the People's Republic of China 
        of the exercise of sovereignty over Hong Kong after 
        June 30, 1997, should not affect treatment of Hong Kong 
        residents who apply for visas to visit or reside 
        permanently in the United States, so long as such 
        treatment is consistent with the Immigration and 
        Nationality Act.

SEC. 102.\5\ PARTICIPATION IN MULTILATERAL ORGANIZATIONS, RIGHTS UNDER 
                    INTERNATIONAL AGREEMENTS, AND TRADE STATUS.

    It is the sense of the Congress that the following, which 
are based in part on the relevant provisions of the Joint 
Declaration, should be the policy of the United States with 
respect to Hong Kong after June 30, 1997:
---------------------------------------------------------------------------
    \5\ 22 U.S.C. 5712.
---------------------------------------------------------------------------
          (1) The United States should support Hong Kong's 
        participation in all appropriate multilateral 
        conferences, agreements, and organizations in which 
        Hong Kong is eligible to participate.
          (2) The United States should continue to fulfill its 
        obligations to Hong Kong under international 
        agreements, so long as Hong Kong reciprocates, 
        regardless of whether the People's Republic of China is 
        a party to the particular international agreement, 
        unless and until such obligations are modified or 
        terminated in accordance with law.
          (3) The United States should respect Hong Kong's 
        status as a separate customs territory, and as a 
        contracting party to the General Agreement on Tariffs 
        and Trade, whether or not the People's Republic of 
        China participates in the latter organization.

SEC. 103.\6\ COMMERCE BETWEEN THE UNITED STATES AND HONG KONG.

    It is the sense of the Congress that the following, which 
are based in part on the relevant provisions of the Joint 
Declaration, are and should continue after June 30, 1997, to be 
the policy of the United States with respect to commerce 
between the United States and Hong Kong:
---------------------------------------------------------------------------
    \6\ 22 U.S.C. 5713.
---------------------------------------------------------------------------
          (1) The United States should seek to maintain and 
        expand economic and trade relations with Hong Kong and 
        should continue to treat Hong Kong as a separate 
        territory in economic and trade matters, such as import 
        quotas and certificates of origin.
          (2) The United States should continue to negotiate 
        directly with Hong Kong to conclude bilateral economic 
        agreements.
          (3) The United States should continue to treat Hong 
        Kong as a territory which is fully autonomous from the 
        United Kingdom and, after June 30, 1997, should treat 
        Hong Kong as a territory which is fully autonomous from 
        the People's Republic of China with respect to economic 
        and trade matters.
          (4) The United States should continue to grant the 
        products of Hong Kong nondiscriminatory trade treatment 
        \7\ by virtue of Hong Kong's membership in the General 
        Agreement on Tariffs and Trade.
---------------------------------------------------------------------------
    \7\ Sec. 5003(b)(7) of Public Law 105-206 (115 Stat. 790) struck 
out ``(commonly referred to as `most-favored-nation' status)''.
---------------------------------------------------------------------------
          (5) The United States should recognize certificates 
        of origin for manufactured goods issued by the Hong 
        Kong Special Administrative Region.
          (6) The United States should continue to allow the 
        United States dollar to be freely exchanged with the 
        Hong Kong dollar.
          (7) United States businesses should be encouraged to 
        continue to operate in Hong Kong, in accordance with 
        applicable United States and Hong Kong law.
          (8) The United States should continue to support 
        access by Hong Kong to sensitive technologies 
        controlled under the agreement of the Coordinating 
        Committee for Multilateral Export Controls (commonly 
        referred to as ``COCOM'') for so long as the United 
        States is satisfied that such technologies are 
        protected from improper use or export.
          (9) The United States should encourage Hong Kong to 
        continue its efforts to develop a framework which 
        provides adequate protection for intellectual property 
        rights.
          (10) The United States should negotiate a bilateral 
        investment treaty directly with Hong Kong, in 
        consultation with the Government of the People's 
        Republic of China.
          (11) The change in the exercise of sovereignty over 
        Hong Kong should not affect ownership in any property, 
        tangible or intangible, held in the United States by 
        any Hong Kong person.

SEC. 104.\8\ TRANSPORTATION.

    It is the sense of the Congress that the following, which 
are based in part on the relevant provisions of the Joint 
Declaration, should be the policy of the United States after 
June 30, 1997, with respect to transportation from Hong Kong:
---------------------------------------------------------------------------
    \8\ 22 U.S.C. 5714.
---------------------------------------------------------------------------
          (1) Recognizing Hong Kong's position as an 
        international transport center, the United States 
        should continue to recognize ships and airplanes 
        registered in Hong Kong and should negotiate air 
        service agreements directly with Hong Kong.
          (2) The United States should continue to recognize 
        ships registered by Hong Kong.
          (3) United States commercial ships, in accordance 
        with applicable United States and Hong Kong law, should 
        remain free to port in Hong Kong.
          (4) The United States should continue to recognize 
        airplanes registered by Hong Kong in accordance with 
        applicable laws of the People's Republic of China.
          (5) The United States should recognize licenses 
        issued by the Hong Kong to Hong Kong airlines.
          (6) The United States should recognize certificates 
        issued by the Hong Kong to United States air carriers 
        for air service involving travel to, from, or through 
        Hong Kong which does not involve travel to, from, or 
        through other parts of the People's Republic of China.
          (7) The United States should negotiate at the 
        appropriate time directly with the Hong Kong Special 
        Administrative Region, acting under authorization from 
        the Government of the People's Republic of China, to 
        renew or amend all air service agreements existing on 
        June 30, 1997, and to conclude new air service 
        agreements affecting all flights to, from, or through 
        the Hong Kong Special Administrative Region which do 
        not involve travel to, from, or through other parts of 
        the People's Republic of China.
          (8) The United States should make every effort to 
        ensure that the negotiations described in paragraph (7) 
        lead to procompetitive air service agreements.

SEC. 105.\9\ CULTURAL AND EDUCATIONAL EXCHANGES.

    It is the sense of the Congress that the following, which 
are based in part on the relevant provisions of the Joint 
Declaration, are and should continue after June 30, 1997, to be 
the policy of the United States with respect to cultural and 
educational exchanges with Hong Kong:
---------------------------------------------------------------------------
    \9\ 22 U.S.C. 5715.
---------------------------------------------------------------------------
          (1) The United States should seek to maintain and 
        expand United States-Hong Kong relations and exchanges 
        in culture, education, science, and academic research. 
        The United States should encourage American 
        participation in bilateral exchanges with Hong Kong, 
        both official and unofficial.
          (2) The United States should actively seek to further 
        United States-Hong Kong cultural relations and promote 
        bilateral exchanges, including the negotiating and 
        concluding of appropriate agreements in these matters.
          (3) Hong Kong should be accorded separate status as a 
        full partner under the Fulbright Academic Exchange 
        Program (apart from the United Kingdom before July 1, 
        1997, and apart from the People's Republic of China 
        thereafter), with the continuation or establishment of 
        a Fulbright Commission or functionally equivalent 
        mechanism.
          (4) The United States should actively encourage Hong 
        Kong residents to visit the United States on 
        nonimmigrant visas for such purposes as business, 
        tourism, education, and scientific and academic 
        research, in accordance with applicable United States 
        and Hong Kong laws.
          (5) Upon the request of the Legislative Council of 
        Hong Kong, the Librarian of Congress, acting through 
        the Congressional Research Service, should seek to 
        expand educational and informational ties with the 
        Council.

         TITLE II--THE STATUS OF HONG KONG IN UNITED STATES LAW

SEC. 201.\10\ CONTINUED APPLICATION OF UNITED STATES LAW.

    (a) In General.--Notwithstanding any change in the exercise 
of sovereignty over Hong Kong, the laws of the United States 
shall continue to apply with respect to Hong Kong, on and after 
July 1, 1997, in the same manner as the laws of the United 
States were applied with respect to Hong Kong before such date 
unless otherwise expressly provided by law or by Executive 
order under section 202.
---------------------------------------------------------------------------
    \10\ 22 U.S.C. 5721.
---------------------------------------------------------------------------
    (b) International Agreements.--For all purposes, including 
actions in any court in the United States, the Congress 
approves the continuation in force on and after July 1, 1997, 
of all treaties and other international agreements, including 
multilateral conventions, entered into before such date between 
the United States and Hong Kong, or entered into before such 
date between the United States and the United Kingdom and 
applied to Hong Kong, unless or until terminated in accordance 
with law. If in carrying out this title, the President 
determines that Hong Kong is not legally competent to carry out 
its obligations under any such treaty or other international 
agreement, or that the continuation of Hong Kong's obligations 
or rights under any such treaty or other international 
agreement is not appropriate under the circumstances, such 
determination shall be reported to the Congress in accordance 
with section 301.

SEC. 202.\11\ PRESIDENTIAL ORDER.

    (a) Presidential Determination.--On or after July 1, 1997, 
whenever the President determines that Hong Kong is not 
sufficiently autonomous to justify treatment under a particular 
law of the United States, or any provision thereof, different 
from that accorded the People's Republic of China, the 
President may issue an Executive order suspending the 
application of section 201(a) to such law or provision of law.
---------------------------------------------------------------------------
    \11\ 22 U.S.C. 5722.
---------------------------------------------------------------------------
    (b) Factor for Consideration.--In making a determination 
under subsection (a) with respect to the application of a law 
of the United States, or any provision thereof, to Hong Kong, 
the President should consider the terms, obligations, and 
expectations expressed in the Joint Declaration with respect to 
Hong Kong.
    (c) Publication in Federal Register.--Any Executive order 
issued under subsection (a) shall be published in the Federal 
Register and shall specify the law or provision of law affected 
by the order.
    (d) Termination of Suspension.--An Executive order issued 
under subsection (a) may be terminated by the President with 
respect to a particular law or provision of law whenever the 
President determines that Hong Kong has regained sufficient 
autonomy to justify different treatment under the law or 
provision of law in question. Notice of any such termination 
shall be published in the Federal Register.

SEC. 203.\12\ RULES AND REGULATIONS.

    The President is authorized to prescribe such rules and 
regulations as the President may deem appropriate to carry out 
this Act.
---------------------------------------------------------------------------
    \12\ 22 U.S.C. 5723.
---------------------------------------------------------------------------

SEC. 204.\13\ CONSULTATION WITH CONGRESS.

    In carrying out this title, the President shall consult 
appropriately with the Congress.
---------------------------------------------------------------------------
    \13\ 22 U.S.C. 5724.
---------------------------------------------------------------------------

                    TITLE III--REPORTING PROVISIONS

SEC. 301.\14\ REPORTING REQUIREMENT.

    Not later than March 31, 1993, March 31, 1995, March 31, 
1996,\15\ March 31, 1997, March 31, 1998, March 31, 1999, and 
March 31, 2000, the Secretary of State shall transmit to the 
Speaker of the House of Representatives and the chairman of the 
Committee on Foreign Relations of the Senate a report on 
conditions in Hong Kong of interest to the United States. This 
report shall cover (in the case of the initial report) the 
period since the date of enactment of this Act or (in the case 
of subsequent reports) the period since the most recent report 
pursuant to this section and shall describe--
---------------------------------------------------------------------------
    \14\ 22 U.S.C. 5731.
    \15\ Sec. 576(a) of the Foreign Operations, Export Financing, and 
Related Programs Appropriations Act, 1996 (Public Law 104-107; 110 
Stat. 750) inserted ``March 31, 1996,'' after ``March 31, 1995,''.
    Sec. 576(b) of Public Law 104-107 (110 Stat. 750) further provided 
the following:
    ``(b) In light of the deficiencies in reports submitted to the 
Congress pursuant to section 301 of the United States-Hong Kong Policy 
Act (22 U.S.C. 5731), the Congress directs that the additional report 
required to be submitted under such section by subsection (a) of this 
section include detailed information on the status of, and other 
developments affecting, implementation of the Sino-British Joint 
Declaration on the Question of Hong Kong, including--
---------------------------------------------------------------------------

          ``(1) the Basic Law and its consistency with the Joint 
        Declaration;
          ``(2) the openness and fairness of elections to the 
        legislature;
          ``(3) the openness and fairness of the election of the chief 
        executive and the executive's accountability to the 
        legislature;
          ``(4) the treatment of political parties;
          ``(5) the independence of the judiciary and its ability to 
        exercise the power of final judgment over Hong Kong law; and
          ``(6) the Bill of Rights.''.
---------------------------------------------------------------------------
    Sec. 571 of the Foreign Operations, Export Financing, and Related 
Programs Appropriations Act, 1997 (sec. 101(c) of title I of Public Law 
104-208; 110 Stat. 3009), provided the following:
---------------------------------------------------------------------------

                      ``report regarding hong kong
---------------------------------------------------------------------------
    ``Sec. 571. In light of the deficiencies in reports submitted to 
the Congress pursuant to section 301 of the United States-Hong Kong 
Policy Act (22 U.S.C. 5731), the Congress directs that the additional 
report required to be submitted during 1997 under such section include 
detailed information on the status of, and other developments 
affecting, implementation of the Sino-British Joint Declaration on the 
Question of Hong Kong, including--
---------------------------------------------------------------------------

          ``(1) the Basic Law and its consistency with the Joint 
        Declaration;
          ``(2) Beijing's plans to replace the elected legislature with 
        an appointed body;
          ``(3) the openness and fairness of the election of the chief 
        executive and the executive's accountability to the 
        legislature;
          ``(4) the treatment of political parties;
          ``(5) the independence of the judiciary and its ability to 
        exercise the power of final judgment over Hong Kong law; and
          ``(6) the Bill of Rights.''.
          (1) significant developments in United States 
        relations with Hong Kong, including a description of 
        agreements that have entered into force between the 
        United States and Hong Kong;
          (2) other matters, including developments related to 
        the change in the exercise of sovereignty over Hong 
        Kong, affecting United States interests in Hong Kong or 
        United States relations with Hong Kong;
          (3) the nature and extent of United States-Hong Kong 
        cultural, education, scientific, and academic 
        exchanges, both official and unofficial;
          (4) the laws of the United States with respect to 
        which the application of section 201(a) has been 
        suspended pursuant to section 202(a) or with respect to 
        which such a suspension has been terminated pursuant to 
        section 202(d), and the reasons for the suspension or 
        termination, as the case may be;
          (5) treaties and other international agreements with 
        respect to which the President has made a determination 
        described in the last sentence of section 201(b), and 
        the reasons for each such determination;
          (6) significant problems in cooperation between Hong 
        Kong and the United States in the area of export 
        controls;
          (7) the development of democratic institutions in 
        Hong Kong; and
          (8) the nature and extent of Hong Kong's 
        participation in multilateral forums.

SEC. 302.\16\ SEPARATE PART OF COUNTRY REPORTS.

    Whenever a report is transmitted to the Congress on a 
country-by-country basis there shall be included in such 
report, where applicable, a separate subreport on Hong Kong 
under the heading of the state that exercises sovereignty over 
Hong Kong. The reports to which this section applies include 
the reports transmitted under--
---------------------------------------------------------------------------
    \16\ 22 U.S.C. 5732.
---------------------------------------------------------------------------
          (1) sections 116(d) and 502B(b) of the Foreign 
        Assistance Act of 1961 (relating to human rights);
          (2) section 181 of the Trade Act of 1974 (relating to 
        trade barriers); and
          (3) section 2202 of the Export Enhancement Act of 
        1988 (relating to economic policy and trade practices).
  (3) Commission on United States-Pacific Trade and Investment Policy

    Executive Order 12964, June 21, 1995, 60 F.R. 33095; amended by 
Executive Order 12987, January 31, 1996, 61 F.R. 4205; and by Executive 
             Order 13032, December 26, 1996, 61 F.R. 68985


          Note.--This Executive Order, establishing a 
        Commission in United States-Pacific Trade and 
        Investment Policy, was revoked by Executive Order 13062 
        of September 29, 1997 (62 F.R. 51755). The Commission 
        was scheduled to report its finding to the President on 
        or about February 28, 1997, and was to terminate 
        thereafter.


      f. Normal Trade Relations (Most-Favored-Nation) Extensions, 
                       Suspensions, Terminations

                              (1) Georgia

  Title III of Public Law 106-476 [Tariff Suspension and Trade Act of 
       2000, H.R. 4868] 114 Stat. 2101, approved November 9, 2000

AN ACT To amend the Harmonized Tariff Schedule of the United States to 
   modify temporarily certain rates of duty, to make other technical 
         amendments to the trade laws, and for other purposes.

  Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,
          * * * * * * *

     TITLE III--EXTENSION OF NONDISCRIMINATORY TREATMENT TO GEORGIA

SEC. 3001.\1\ FINDINGS.

  Congress finds that Georgia has--
---------------------------------------------------------------------------
    \1\ 19 U.S.C. 2434 note.
---------------------------------------------------------------------------
          (1) made considerable progress toward respecting 
        fundamental human rights consistent with the objectives 
        of title IV of the Trade Act of 1974;
          (2) adopted administrative procedures that accord its 
        citizens the right to emigrate, travel freely, and to 
        return to their country without restriction;
          (3) been found to be in full compliance with the 
        freedom of emigration provisions in title IV of the 
        Trade Act of 1974;
          (4) made progress toward democratic rule and creating 
        a free market economic system since its independence 
        from the Soviet Union;
          (5) demonstrated strong and effective enforcement of 
        internationally recognized core labor standards and a 
        commitment to continue to improve effective enforcement 
        of its laws reflecting such standards;
          (6) committed to developing a system of governance in 
        accordance with the provisions of the Final Act of the 
        Conference on Security and Cooperation in Europe (also 
        known as the ``Helsinki Final Act'') regarding human 
        rights and humanitarian affairs;
          (7) endeavored to address issues related to its 
        national and religious minorities and, as a member 
        state of the Organization for Security and Cooperation 
        in Europe (OSCE), committed to adopting special 
        measures for ensuring that persons belonging to 
        national minorities have full equality individually as 
        well as in community with other members of their group;
          (8) also committed to enacting legislation to provide 
        protection against incitement to violence against 
        persons or groups based on national, racial, ethnic, or 
        religious discrimination, hostility, or hatred, 
        including anti-Semitism;
          (9) continued to return communal properties 
        confiscated from national and religious minorities 
        during the Soviet period, facilitating the reemergence 
        of these communities in the national life of Georgia 
        and establishing the legal framework for completion of 
        this process in the future;
          (10) \2\ concluded a bilateral trade agreement with 
        the United States in 1993 and a bilateral investment 
        treaty in 1994;
---------------------------------------------------------------------------
    \2\ On August 27, 1996, the President determined that ``actual and 
forseeable reductions in United States tariffs and nontariff barriers 
to trade resulting from multilateral negotiations are satisfactorily 
reciprocated by Georgia'' (Presidential Determination No. 96-49, Aug. 
27, 1996, 61, F.R. 45869).
---------------------------------------------------------------------------
          (11) demonstrated a strong desire to build a friendly 
        and cooperative relationship with the United States; 
        and
          (12) acceded to the World Trade Organization on June 
        14, 2000, and the extension of unconditional normal 
        trade relations treatment to the products of Georgia 
        will enable the United States to avail itself of all 
        rights under the World Trade Organization with respect 
        to Georgia.

SEC. 3002.\3\ TERMINATION OF APPLICATION OF TITLE IV OF THE TRADE ACT 
                    OF 1974 TO GEORGIA.

  (a) Presidential Determinations and Extensions of 
Nondiscriminatory Treatment.\4\--Notwithstanding any provision 
of title IV of the Trade Act of 1974 (19 U.S.C. 2431 et seq.), 
the President may--
---------------------------------------------------------------------------
    \3\ 19 U.S.C. 2434 note.
    \4\ Prior to passage of Public Law 106-476, the President waived 
the application of subsections 402(a) and (b) of the Trade Act of 1974 
(19 U.S.C. 2432) with respect to Georgia in Executive Order 12809 (June 
3, 1992, 57 F.R. 145321, see page 1047, this volume, for text). The 
waiver was extended by Presidential determinations as follows: 
Presidential Determination No. 92-25 (May 6, 1992, 57 F.R. 22147); 
Presidential Determination No. 93-25 (June 2, 1993, 58 F.R. 33005); 
Presidential Determination No. 94-27 (June 2, 1994, 59 F.R. 31105); 
Presidential Determination No. 95-24 (June 2, 1995, 60 F.R. 31409); and 
Presidential Determination No. 96-30 (June 3, 1996, 61 F.R. 29457).
    On June 3, 1997, the President determined that Georgia ``is not in 
violation of paragraph (1), (2), or (3) of subsection 402(a) of the 
Act, or paragraph (1), (2) or (3) of subsection 409(a) of the Act'' 
(Presidential Determination No. 97-27, June 3, 1997, 62 F.R. 32017).
---------------------------------------------------------------------------
          (1) determine that such title should no longer apply 
        to Georgia; and
          (2) after making a determination under paragraph (1) 
        with respect to Georgia, proclaim the extension of 
        nondiscriminatory treatment (normal trade relations 
        treatment) to the products of that country.
  (b) Termination of Application of Title IV.-- \5\ On and 
after the effective date of the extension under subsection 
(a)(2) of nondiscriminatory treatment to the products of 
Georgia, title IV of the Trade Act of 1974 shall cease to apply 
to that country.
---------------------------------------------------------------------------
    \5\ In Presidential Proclamation 7389 (66 F.R. 703), of December 
29, 2000, the President deterimined pursuant to section 3002 that 
``Title IV of the Trade Act of 1974 should no longer apply to 
Georgia.''
---------------------------------------------------------------------------
          * * * * * * *
                               (2) China

    Partial text of Division A of Public Law 106-286 [Normal Trade 
  Relations for the People's Republic of China, H.R. 4444], 114 Stat. 
                     880, approved October 10, 2000

 AN ACT To authorize extension of nondiscriminatory treatment (normal 
 trade relations treatment) to the People's Republic of China, and to 
 establish a framework for relations between the United States and the 
                      People's Republic of China.

  Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,
          * * * * * * *

 DIVISION A--NORMAL TRADE RELATIONS FOR THE PEOPLE'S REPUBLIC OF CHINA

                    TITLE I--NORMAL TRADE RELATIONS

SEC. 101.\1\ TERMINATION OF APPLICATION OF CHAPTER 1 OF TITLE IV OF THE 
                    TRADE ACT OF 1974 TO THE PEOPLE'S REPUBLIC OF CHINA

  (a) Presidential Determinations and Extension of 
Nondiscriminatory Treatment.\2\--Notwithstanding any provision 
of chapter 1 of title IV of the Trade Act of 1974 (19 U.S.C. 
2431 et seq.), as designated by section 3(a)(2) of this Act, 
the President may--
---------------------------------------------------------------------------
    \1\ 19 U.S.C. 2431 note.
    \2\ Prior to passage of Public Law 106-286, the President waived 
the application of subsections 402(a) and (b) of the Trade Act of 1974 
(19 U.S.C. 2732) with respect to China in Executive Order 12167 
(October 23, 1979, 44 F.R. 61167, see page 1057, this volume, for 
text). The waiver was extended as follows: Presidential Determination 
No. 81-8 (June 2, 1981, 46 F.R. 30797); Presidential Determination No. 
83-7 (June 3, 1983, 48 F.R. 26585); Presidential Determination No. 84-9 
(May 31 1994, 49 F.R. 24107); Presidential Determination No. 86-10 
(June 3, 1986, 51 F.R. 22057); Presidential Determination No. 87-14 
(June 2, 1987, 52 F.R. 22431); Presidential Determination No. 88-18 
(June 3, 1988, 53 F.R. 21407); Presidential Determination No. 89-14 
(May 31, 1989, 54 F.R. 26943); Presidential Determination No. 90-21 
(May 24, 1990, 55 F.R. 23183); Presidential Determination No. 91-36 
(May 29, 1991, 56 F.R. 26757); Presidential Determination No. 92-29 
(June 2, 1992, 57 F.R. 24539); Presidential Determination No. 93-23 
(May 28, 1993, 58 F.R. 31329); Presidential Determination No. 94-26 
(June 2, 1994, 59 F.R. 33005); Presidential Determination No. 95-23 
(June 2, 1995, 60 F.R. 31047); Presidential Determination No. 96-29 
(May 31, 1996, 61 F.R. 29455); Presidential Determination No. 97-25 
(May 29, 1997, 62 F.R. 31313); Presidential Determination No. 98-26 
(June 3, 1998, 63 F.R. 32705); Presidential Determination No. 99-28 
(June 3, 1999, 64 F.R. 31113); Presidential Determination No. 2000-23 
(June 2, 2000, 65 F.R. 36313); and Presidential Determination No. 2001-
16 (June 1, 2001, 66 F.R. 30631).
---------------------------------------------------------------------------
          (1) determine that such chapter should no longer 
        apply to the People's Republic of China; and
          (2) after making a determination under paragraph (1) 
        with respect to the People's Republic of China, 
        proclaim the extension of nondiscriminatory treatment 
        (normal trade relations treatment) to the products of 
        that country.
  (b) Accession of the People's Republic of China to the World 
Trade Organization.--Prior to making the determination provided 
for in subsection (a)(1) and pursuant to the provisions of 
section 122 of the Uruguay Round Agreements Act (19 U.S.C. 
3532), the President shall transmit a report to Congress 
certifying that the terms and conditions for the accession of 
the People's Republic of China to the World Trade Organization 
are at least equivalent to those agreed between the United 
States and the People's Republic of China on November 15, 1999.

SEC. 102.\3\ EFFECTIVE DATE.

  (a) Effective Date of Nondiscriminatory Treatment.--The 
extension of nondiscriminatory treatment pursuant to section 
101(a) shall be effective no earlier than the effective date of 
the accession of the People's Republic of China to the World 
Trade Organization.
---------------------------------------------------------------------------
    \3\ 19 U.S.C. 2431 note.
---------------------------------------------------------------------------
  (b) Termination of Applicability of Title IV.--On and after 
the effective date under subsection (a) of the extension of 
nondiscriminatory treatment to the products of the People's 
Republic of China, chapter 1 of title IV of the Trade Act of 
1974 (as designated by section 103(a)(2) of this Act) shall 
cease to apply to that country.

SEC. 103.\4\ RELIEF FROM MARKET DISRUPTION.

          * * * * * * *
---------------------------------------------------------------------------
    \4\ Sec. 103 amended Title IV of the Trade Act of 1974 (19 U.S.C. 
2431 et. seq.) by striking ``currently'' in the title heading, 
inserting a new chapter heading (``Chapter 1--Trade Relations with 
Certain Countries'') before sec. 401, adding another chapter heading 
after sec. 409 (``Chapter 2--Relief from Market Disruption to 
Industries and Diversion of Trade to the United States Market''), and 
adding new secs. 421-423 at the end. Title IV of the Trade Act of 1974 
is found in this volume on page 437.
---------------------------------------------------------------------------

SEC. 104.\5\ AMENDMENT TO SECTION 123 OF THE TRADE ACT OF 1974--
                    COMPENSATION AUTHORITY.

          * * * * * * *
---------------------------------------------------------------------------
    \5\ Sec. 104 amended sec. 123(a)(1) of the Trade Act of 1974 (19 
U.S.C. 2133(a)(1)) by inserting ``, or under chapter 2 of title IV of 
the Trade Act of 1974'' after ``title III'', as found on page 345 of 
this volume.
                        (3) Albania, Kyrgyzstan

  Title III of Public Law 106-200 [Trade and Development Act of 2000, 
            H.R. 434], 114 Stat. 251, approved May 18, 2000

 AN ACT To authorize a new trade and investment policy for sub-Saharan 
Africa, expand trade benefits to the countries of the Caribbean Basin, 
renew the generalized system of preferences, and reauthorize the trade 
                    adjustment assistance programs.

  Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,
          * * * * * * *

                   TITLE III--NORMAL TRADE RELATIONS

SEC. 301.\1\ NORMAL TRADE RELATIONS FOR ALBANIA.

  (a) Findings.--Congress makes the following findings:
---------------------------------------------------------------------------
    \1\ 19 U.S.C. 2434 note.
---------------------------------------------------------------------------
          (1) Albania has been found to be in full compliance 
        with the freedom of emigration requirements under title 
        IV of the Trade Act of 1974.
          (2) Since its emergence from communism, Albania has 
        made progress toward democratic rule and the creation 
        of a free-market economy.
          (3) \2\ Albania has concluded a bilateral investment 
        treaty with the United States.
---------------------------------------------------------------------------
    \2\ Public Law 102-363, approved August 26, 1992 (106 Stat. 969) 
provided ``that the Congress approves the extension of 
nondiscriminatory treatment with respect to the products of the 
Republic of Albania transmitted by the President to the Congress on 
June 16, 1992''(see page 1038, this volume, for text). The agreement 
was implemented by Presidential Proclamation 6445 of June 15, 1992 (57 
F.R. 26921), effective on the date an exchange of notices of the 
acceptance of the agreement takes place (effective date was November 2, 
1992).
    On June 15, 1992, the President also determined that the 
``Agreement on Trade Relations Between the United States of America and 
the Republic of Albania'' * * * ``is in the national interest'' 
(Presidential Determination No. 92-33, 57 F.R. 28583). The agreement 
was reconfirmed by Presidential Determination No. 96-44, 61 F.R. 45859) 
on August 27, 1996.
---------------------------------------------------------------------------
          (4) Albania has demonstrated a strong desire to build 
        a friendly relationship with the United States and has 
        been very cooperative with NATO and the international 
        community during and after the Kosova crisis.
          (5) The extension of unconditional normal trade 
        relations treatment to the products of Albania will 
        enable the United States to avail itself of all rights 
        under the World Trade Organization with respect to 
        Albania when that country becomes a member of the World 
        Trade Organization.
  (b) Termination of Application of Title IV of the Trade Act 
of 1974 to Albania.--
          (1) Presidential determinations and extensions of 
        nondiscriminatory treatment.\3\--Notwithstanding any 
        provision of title IV of the Trade Act of 1974 (19 
        U.S.C. 2431 et seq.), the President may--
---------------------------------------------------------------------------
    \3\ On June 29, 2000, the President determined pursuant to sec. 
301(b) of Public Law 106-200 that Title IV of the Trade Act of 1974 
should no longer apply to Albania (Presidential Proclamation 7326, 65 
F.R. 41547).
    Prior to passage of Public Law 106-200, the President waived the 
application of subsections 402(a) and (b) of the Trade Act of 1974 (19 
U.S.C. 2732) with respect to Albania in Executive Order 12809 (June 3, 
1992, 57F.R. 23925, see page 1048, this volume, for text). This waiver 
was extended as follows: Presidential Determination No. 92-26 (May 20, 
1992, 57 F.R. 48711); Presidential Determination No. 93-25 (June 2, 
1993, 58 F.R. 33005); Presidential Determination No. 94-27 (June 2, 
1994, 59 F.R. 31105); Presidential Determination No. 95-24 (June 2, 
1995, 60 F.R. 31049); Presidential Determination No. 96-30 (June 3, 
1996, 61 F.R. 29457); and Presidential Determination No. 97-27 (June 3, 
1997, 62 F.R. 32019).
    On December 5, 1997, the President determined that Albania is ``not 
in violation of paragraph (1), (2), or (3) of subsection 402(a) of the 
Act, or paragraph (1), (2) or (3) of subsection 409(a) of the Act'' 
(Presidential Determination No. 98-7, Dec. 5, 1997, 62 F.R. 66253).
---------------------------------------------------------------------------
                  (A) determine that such title should no 
                longer apply to Albania; and
                  (B) after making a determination under 
                subparagraph (A) with respect to Albania, 
                proclaim the extension of nondiscriminatory 
                treatment (normal trade relations treatment) to 
                the products of that country.
          (2) Termination of application of title iv.--On or 
        after the effective date of the extension under 
        paragraph (1)(B) of nondiscriminatory treatment to the 
        products of Albania, title IV of the Trade Act of 1974 
        shall cease to apply to that country.

SEC. 302.\4\ NORMAL TRADE RELATIONS FOR KYRGYZSTAN.

  (a) Findings.--Congress makes the following findings:
---------------------------------------------------------------------------
    \4\ 19 U.S.C. 2434 note.
---------------------------------------------------------------------------
          (1) Kyrgyzstan has been found to be in full 
        compliance with the freedom of emigration requirements 
        under title IV of the Trade Act of 1974.
          (2) Since its independence from the Soviet Union in 
        1991, Kyrgyzstan has made great progress toward 
        democratic rule and toward creating a free-market 
        economic system.
          (3) \5\ Kyrgyzstan concluded a bilateral investment 
        treaty with the United States in 1994.
---------------------------------------------------------------------------
    \5\ The President transmitted the bilateral trade agreement between 
the United States and the Kyrgyz Republic to the Congress on September 
7, 1993. On August 27, 1996, the President reconfirmed that ``a 
satisfactory balance of concessions in trade and services has been 
maintained during the life of the Agreement'' (Presidential 
Determination No. 96-45, 61 F.R. 45861.
---------------------------------------------------------------------------
          (4) Kyrgyzstan has demonstrated a strong desire to 
        build a friendly and cooperative relationship with the 
        United States.
          (5) The extension of unconditional normal trade 
        relations treatment to the products of Kyrgyzstan will 
        enable the United States to avail itself of all rights 
        under the World Trade Organization with respect to 
        Kyrgyzstan.
  (b) Termination of Application of Title IV of the Trade Act 
of 1974 to Kyrgyzstan.-- \6\
---------------------------------------------------------------------------
    \6\ On June 29, 2000, the President determined that Title IV of the 
Trade Act of 1974 should no longer apply to Kyrgyzstan pursuant to sec. 
302(b) (Presidential Proclamation 7326, 65 F.R. 41547).
    Prior to passage of Public Law 106-200, the President waived the 
application of subsecs. 402(a) and (b) of the Trade Act of 1974 (19 
U.S.C. 2732) with respect to Kyrgyzstan in Executive Order 12802 (April 
16, 1992, 57 F.R. 14321, see page 1048, this volume, for text). This 
waiver was extended as follows: Presidential Determination No. 92-20 
(April 3, 1992, 57 F.R. 13623); Presidential Determination No. 93-25 
(June 2, 1993, 58 F.R. 33005); Presidential Determination No. 94-27 
(June 2, 1994, 59 F.R. 31105); Presidential Determination No. 95-24 
(June 2, 1995, 60 F.R. 31049); Presidential Determination No. 96-30 
(June 3, 1996, 61 F.R. 29457); and Presidential Determination No. 97-28 
(June 3, 1997, 62 F.R. 32019).
    On December 5, 1997, the President determined that Kyrgyzstan is 
``not in violation of paragraph (1), (2), or (3) of subsection 402(a) 
of the Act, or paragraph (1), (2) or (3) of subsection 409(a) of the 
Act'' (Presidential Determination No. 98-7, Dec. 5, 1997, 62 F.R. 
66253).
---------------------------------------------------------------------------
          (1) Presidential determinations and extensions of 
        nondiscriminatory treatment.--Notwithstanding any 
        provision of title IV of the Trade Act of 1974 (19 
        U.S.C. 2431 et seq.), the President may--
                  (A) determine that such title should no 
                longer apply to Kyrgyzstan; and
                  (B) after making a determination under 
                subparagraph (A) with respect to Kyrgyzstan, 
                proclaim the extension of nondiscriminatory 
                treatment (normal trade relations treatment) to 
                the products of that country.
          (2) Termination of application of title iv.--On or 
        after the effective date of the extension under 
        paragraph (1)(B) of nondiscriminatory treatment to the 
        products of Kyrgyzstan, title IV of the Trade Act of 
        1974 shall cease to apply to that country.
 (4) Extension of Nondiscriminatory Treatment (Normal Trade Relations 
                 Treatment) to the Products of Mongolia

 Partial text of Public Law 106-36 [H.R.435], 113 Stat. 180, approved 
                             June 25, 1999

 AN ACT To make miscellaneous technical changes to various trade laws, 
                        and for other purposes.

  Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,
          * * * * * * *

                TITLE I--MISCELLANEOUS TRADE CORRECTIONS

          * * * * * * *

   TITLE II--TEMPORARY DUTY SUSPENSIONS AND REDUCTIONS; OTHER TRADE 
                               PROVISIONS

          * * * * * * *

         Subtitle A--Temporary Duty Suspensions and Reductions

          * * * * * * *

                   Subtitle B--Other Trade Provisions

SEC. 2424.\1\ EXTENSION OF NONDISCRIMINATORY TREATMENT (NORMAL TRADE 
                    RELATIONS TREATMENT) TO THE PRODUCTS OF MONGOLIA.

    (a) Findings.--The Congress finds that Mongolia--
---------------------------------------------------------------------------
    \1\ 19 U.S.C. 2434 note.
---------------------------------------------------------------------------
          (1) has received normal trade relations treatment 
        since 1991 and has been found to be in full compliance 
        with the freedom of emigration requirements under title 
        IV of the Trade Act of 1974;
          (2) has emerged from nearly 70 years of communism and 
        dependence on the former Soviet Union, approving a new 
        constitution in 1992 which has established a modern 
        parliamentary democracy charged with guaranteeing 
        fundamental human rights, freedom of expression, and an 
        independent judiciary;
          (3) has held four national elections under the new 
        constitution, two presidential and two parliamentary, 
        thereby solidifying the nation's transition to 
        democracy;
          (4) has undertaken significant market-based economic 
        reforms, including privatization, the reduction of 
        government subsidies, the elimination of most price 
        controls and virtually all import tariffs, and the 
        closing of insolvent banks;
          (5) \2\ has concluded a bilateral trade treaty with 
        the United States in 1991, and a bilateral investment 
        treaty in 1994;
---------------------------------------------------------------------------
    \2\ The ``Agreement on Trade Relations Between the United States of 
America and the Mongolian People's Republic'' was implemented on June 
24, 1991 (Presidential Proclamation No. 6308, 56 F.R. 29834), effective 
after an exchange of written notices of acceptance. On the same date, 
the President determined that the agreement ``will promote the purposes 
of the Trade Act [of 1974] and is in the national interest'' 
(Presidential Determination No. 91-44, 56 F.R. 31039). The Congress 
approved nondiscriminatory treatment with respect to Mongolian products 
in Public Law 102-157, November 13, 1991, 105 Stat. 1040 (see page 
1044, this volume, for text).
---------------------------------------------------------------------------
          (6) has acceded to the Agreement Establishing the 
        World Trade Organization, and extension of 
        unconditional normal trade relations treatment to the 
        products of Mongolia would enable the United States to 
        avail itself of all rights under the World Trade 
        Organization with respect to Mongolia; and
          (7) has demonstrated a strong desire to build 
        friendly relationships and to cooperate fully with the 
        United States on trade matters.
    (b) Termination of Application of Title IV of the Trade Act 
of 1974 to Mongolia--
          (1) Presidential determinations and extensions of 
        nondiscriminatory treatment.\3\--Notwithstanding any 
        provision of title IV of the Trade Act of 1974 (19 
        U.S.C. 2431 et seq.), the President may--
---------------------------------------------------------------------------
    \3\ On July 9, 1999, the President extended permanent 
nondiscriminatory treatment to the products of Mongolia pursuant to 
sec. 2424 (Presidential Proclamation No. 7297, 64 F.R. 36549).
    Prior to passage of Public Law 106-36, the President waived the 
application of subsecs. 402(a) and (b) of the Trade Act of 1974 (19 
U.S.C. 2732) with respect to Mongolia in Executive Order 12746 (January 
23, 1991, 56 F.R. 2837, see page 1052, this volume, for text).
    This waiver was extended by Presidential Determination No. 91-19, 
January 23, 1991 (56 F.R. 4171); by Presidential Determination No. 92-
30 (June 3, 1992, 57 F.R. 24929); by Presidential Determination No. 93-
25 (June 2, 1993, 58 F.R. 33005); by Presidential Determination No. 94-
27 (June 2, 1994, 59 F.R. 31105); by Presidential Determination No. 95-
24 (June 2, 1995, 60 F.R. 31409); and by Presidential Determination No. 
96-30, June 3, 1996 (61 F.R. 29457).
    On September 4, 1996, the President determined that Mongolia is 
``not in violation of paragraph (1), (2), or (3) of subsection 402(a) 
of the Act, or paragraph (1), (2) or (3) of subsection 409(a) of the 
Act'' (Presidential Determination No. 96-51, 61 F.R. 48603).
---------------------------------------------------------------------------
                  (A) determine that such title should no 
                longer apply to Mongolia; and
                  (B) after making a determination under 
                subparagraph (A) with respect to Mongolia, 
                proclaim the extension of nondiscriminatory 
                treatment (normal trade relations treatment) to 
                the products of that country.
          (2) Termination of application of title iv.--On or 
        after the effective date of the extension under 
        paragraph (1)(B) of nondiscriminatory treatment to the 
        products of Mongolia, title IV of the Trade Act of 1974 
        shall cease to apply to that country.
          * * * * * * *
                              (5) Cambodia

Public Law 104-203 [H.R. 1642], 110 Stat. 2872, approved September 25, 
                                1996 \1\
---------------------------------------------------------------------------

    \1\ 19 U.S.C. 2434 note.
---------------------------------------------------------------------------

   AN ACT To extend nondiscriminatory treatment (most-favored-nation 
    treatment) to the products of Cambodia, and for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

SECTION 1. CONGRESSIONAL FINDINGS.

    The Congress finds that--
          (1) despite recent increases in acts of repression by 
        the Cambodian Government and growing government 
        corruption that has contributed to substantial 
        environmental degradation, Cambodia has made some 
        progress towards democratic rule after 20 years of 
        undemocratic regimes and civil war, and is striving to 
        rebuild its market economy;
          (2) extension of unconditional most-favored-nation 
        treatment would assist Cambodia in developing its 
        economy based on free market principles and becoming 
        competitive in the global marketplace;
          (3) establishing normal commercial relations on a 
        reciprocal basis with Cambodia will promote United 
        States exports to the rapidly growing Southeast Asian 
        region and expand opportunities for United States 
        business and investment in the Cambodian economy; and
          (4) expanding bilateral trade relations that includes 
        a commercial agreement may promote further progress by 
        Cambodia on human rights and democratic rule and assist 
        Cambodia in adopting regional and world trading rules 
        and principles.

SEC. 2. EXTENSION OF NONDISCRIMINATORY TREATMENT TO THE PRODUCTS OF 
                    CAMBODIA.

    (a) Harmonized Tariff Schedule Amendment.--General note 
3(b) of the Harmonized Tariff Schedule of the United States is 
amended by striking ``Kampuchea''.
    (b) Effective Date.--The amendment made by subsection (a) 
applies with respect to goods entered, or withdrawn from 
warehouse for consumption, on or after the effective date of a 
notice published in the Federal Register by the United States 
Trade Representative that a trade agreement obligating 
reciprocal most-favored-nation treatment between Cambodia and 
the United States has entered into force.\2\
---------------------------------------------------------------------------
    \2\ According to a notice issued by the Office of the USTR, ``On 
October 4, 1996, the Acting United States Trade Representative (USTR) 
signed a trade agreement with the Kingdom of Cambodia (Cambodia) 
obligating reciprocal most-favored-nation treatment between Cambodia 
and the United States. The trade agreement entered into force as of 
October 25, 1996 . . .'' (61 F.R. 56256).
---------------------------------------------------------------------------

SEC. 3. REPORT TO CONGRESS.

    The President shall submit to the Congress, not later than 
18 months after the date of the enactment of this Act, a report 
on the trade relations between the United States and Cambodia 
pursuant to the trade agreement described in section 2(b).
                              (6) Romania

Public Law 104-171 [H.R. 3161], 110 Stat. 1539, approved August 3, 1996 
                                  \1\

AN ACT To authorize the extension of nondiscriminatory treatment (most-
         favored-nation treatment) to the products of Romania.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

SECTION 1. FINDINGS.

    The Congress finds that--
---------------------------------------------------------------------------
    \1\ 19 U.S.C. 2434 note.
---------------------------------------------------------------------------
          (1) Romania emerged from years of brutal Communist 
        dictatorship in 1989 and approved a new Constitution 
        and elected a Parliament by 1991, laying the foundation 
        for a modern parliamentary democracy charged with 
        guaranteeing fundamental human rights, freedom of 
        expression, and respect for private property;
          (2) local elections, parliamentary elections, and 
        presidential elections have been held in Romania, and 
        1996 will mark the second nationwide presidential 
        elections under the new Constitution;
          (3) Romania has undertaken significant economic 
        reforms, including the establishment of a two-tier 
        banking system, the introduction of a modern tax 
        system, the freeing of most prices and elimination of 
        most subsidies, the adoption of a tariff-based trade 
        regime, and the rapid privatization of industry and 
        nearly all agriculture;
          (4) \2\ Romania concluded a bilateral investment 
        treaty with the United States in 1993, and both United 
        States investment in Romania and bilateral trade are 
        increasing rapidly;
---------------------------------------------------------------------------
    \2\ Public Law 103-133 (107 Stat. 1373, approved November 2, 1993) 
provided that ``the Congress approves the extension of 
nondiscriminatory treatment with respect to the products of Romania 
transmitted by the President on July 2, 1993''.
    A bilateral treaty with Romania was originally implemented on April 
24, 1975 in Presidential Proclamation No. 4369 of April 24, 1975 (40 
F.R. 18389), and renewed on June 2, 1976 (Presidential Determination 
No. 78-13); on June 2, 1981 (Presidential Determination No. 81-9); on 
May 31, 1984; on June 14, 1987 (Presidential Determination No. 87-15, 
52 F.R. 23785); and on July 3, 1990 (Presidential Determination No. 90-
28; 55 F.R. 27797).
    On June 22, 1992 in Presidential Proclamation No. 6449 (57 F.R. 
28033), and once again in Proclamation 6577 of July 2, 1993 (58 F.R. 
36301) the President implemented the trade agreement between the United 
States and Romania, to become effective on the date of exchange of 
written notices of acceptance. The Congress officially approved the 
agreement on November 2, 1993 in Public Law 103-133. The treaty was 
renewed on July 2, 1993 (Presidential Determination No. 93-30, 58 F.R. 
43785).
---------------------------------------------------------------------------
          (5) Romania has received most-favored-nation 
        treatment since 1993, and has been found by the 
        President to be in full compliance with the freedom of 
        emigration requirements under title IV of the Trade Act 
        of 1974;
          (6) Romania is a member of the World Trade 
        Organization and extension of unconditional most-
        favored-nation treatment to the products of Romania 
        would enable the United States to avail itself of all 
        rights under the World Trade Organization with respect 
        to Romania; and
          (7) Romania has demonstrated a strong desire to build 
        friendly relationships and to cooperate fully with the 
        United States on trade matters.

SEC. 2.\3\ TERMINATION OF APPLICATION OF TITLE IV OF THE TRADE ACT OF 
                    1974 TO ROMANIA.

    (a) Presidential Determinations and Extension of 
Nondiscriminatory Treatment.--Notwithstanding any provision of 
title IV of the Trade Act of 1974 (19 U.S.C. 2431 et seq.), the 
President may--
---------------------------------------------------------------------------
    \3\ In Proclamation 6951 of November 7, 1996 (61 F.R. 58129), the 
President proclaimed pursuant to Public Law 104-171 that 
``nondiscriminatory treatment (most-favored-nation treatment) shall be 
extended to the products of Romania, which will no longer be subject to 
Title IV of the Trade Act of 1974''.
    Prior to passage of Public Law 104-171, the President waived the 
application of subsecs. 402(a) and (b) of the Trade Act of 1974 (19 
U.S.C. 2732) with respect to Romania in Executive Order 11854 (April 
24, 1975, 40 F.R. 18391, see page 1059, this volume, for text). This 
waiver was extended each year until 1988, when the President determined 
that the Romanian government had decided to renounce the renewal of 
nondiscriminatory treatment accorded to the products of Romania by the 
United States (Presidential Proclamation 5836, June 28, 1988, 53 F.R. 
24921). Therefore, the waiver expired on July 3, 1988. On August 17, 
1991, the President once again waived the application of sections 
402(a) and (b) of the Trade Act with respect to Romania (Executive 
Order 12772, August 17, 1991, 56 F.R. 41621). This waiver was extended 
as follows: Presidential Determination No. 91-48 (August 17, 1991, 56 
F.R. 43861); Presidential Determination No. 92-30 (June 3, a992, 57 
F.R. 24929); Presidential Determination No. 93-25 (June 2, 1993, 58 
F.R. 33005); Presidential Determination No. 94-27 (June 2, 1994, 59 
F.R. 31105).
    On May 19, 1995, the President determined that Romania is ``not in 
violation of paragraph (1), (2), or (3) of subsection 402(a) of the 
Act, or paragraph (1), (2) or (3) of subsection 409(a) of the Act'' 
(Presidential Determination No. 95-22, 62 F.R. 29463).
---------------------------------------------------------------------------
          (1) determine that such title should no longer apply 
        to Romania; and
          (2) after making a determination under paragraph (1), 
        proclaim the extension of nondiscriminatory treatment 
        (most-favored-nation treatment) to the products of that 
        country.
    (b) Termination of Application of Title IV.--On and after 
the effective date of the extension under subsection (a)(2) of 
nondiscriminatory treatment to the products of Romania, title 
IV of the Trade Act of 1974 shall cease to apply to that 
country.
  (7) Bulgaria--Extension of MFN and Pending Termination of Title IV 
                            Application \1\

 Public Law 104-162 [H.R. 2853], 110 Stat. 1414, approved July 18, 1996

AN ACT To authorize the extension of nondiscriminatory treatment (most-
         favored-nation treatment) to the products of Bulgaria.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

SECTION 1. CONGRESSIONAL FINDINGS AND SUPPLEMENTAL ACTION.

    (a) Congressional Findings.--The Congress finds that 
Bulgaria--
---------------------------------------------------------------------------
    \1\ 19 U.S.C. 2434 note.
---------------------------------------------------------------------------
          (1) \2\ has received most-favored-nation treatment 
        since 1991 and has been found to be in full compliance 
        with the freedom of emigration requirements under title 
        IV of the Trade Act of 1974 since 1993;
---------------------------------------------------------------------------
    \2\ In Public Law 102-158 (105 Stat. 1041), Congress approved the 
bilateral agreement of the United States with the People's Republic of 
Bulgaria transmitted by the President to the Congress on June 25, 1991. 
In Proclamation No. 6307 of June 24, 1991 (56 F.R. 29787) the President 
implemented the``Agreement on Trade Relations between the United States 
and Bulgaria''. The President determined that the agreement with 
Bulgaria ``is in the national interest'' on the same date (Presidential 
Determination No. 91-43, 56 F.R. 31037).
---------------------------------------------------------------------------
          (2) has reversed many years of Communist dictatorship 
        and instituted a constitutional republic ruled by a 
        democratically elected government as well as basic 
        market-oriented reforms, including privatization;
          (3) is in the process of acceding to the General 
        Agreement on Tariffs and Trade (GATT) and the World 
        Trade Organization (WTO), and extension of 
        unconditional most-favored-nation treatment would 
        enable the United States to avail itself of all rights 
        under the GATT and the WTO with respect to Bulgaria; 
        and
          (4) has demonstrated a strong desire to build 
        friendly relationships and to cooperate fully with the 
        United States on trade matters.
    (b) Supplemental Action.--The Congress notes that the 
United States Trade Representative intends to negotiate with 
Bulgaria in order to preserve the commitments of that country 
under the bilateral commercial agreement in effect between that 
country and the United States that are consistent with the GATT 
and the WTO.

SEC. 2.\3\ TERMINATION OF APPLICATION OF TITLE IV OF THE TRADE ACT OF 
                    1974 TO BULGARIA.

    (a) Presidential Determinations and Extension of 
Nondiscriminatory Treatment.--Notwithstanding any provision of 
title IV of the Trade Act of 1974 (19 U.S.C. 2431 et seq.), the 
President may--
---------------------------------------------------------------------------
    \3\ In Proclamation 6922 of September 27, 1996 (61 F.R. 51205), 
pursuant to sec. 2 of Public Law 104-162, the President proclaimed that 
``nondiscriminatory treatment (most-favored-nation treatment) shall be 
extended to the products of Bulgaria, which will no longer be subject 
to Title IV of the Trade Act of 1974''.
    Prior to passage of Public Law 104-162, the President waived the 
application of subsecs. 402(a) and (b) of the Trade Act of 1974 (19 
U.S.C. 2732) with respect to Bulgaria in Executive Order 12745 (January 
22, 1991, 56 F.R. 2835, see page 1053, this volume, for text). This 
waiver was extended as follows: Presidential Determination No. 91-18 
(January 22, 1991, 56 F.R. 4169); Presidential Determination No. 92-30 
(June 3, 1992, 57 F.R. 24929).
    In Presidential Determination No. 93-26 of June 3, 1993 (58 F.R. 
33007), the President determined ``that the Republic of Bulgaria is not 
in violation of paragraph (1), (2), or (3) of subsection 402(a) of the 
[Trade] Act [of 1974], or paragraph (1), (2), or (3) of subsection 
409(a) of the [Trade] Act.''.
---------------------------------------------------------------------------
          (1) determine that such title should no longer apply 
        to Bulgaria; and
          (2) after making a determination under paragraph (1) 
        with respect to Bulgaria, proclaim the extension of 
        nondiscriminatory treatment (most-favored-nation 
        treatment) to the products of that country.
    (b) Termination of Application of Title IV.--On and after 
the effective date of the extension under subsection (a)(2) of 
nondiscriminatory treatment to the products of Bulgaria, title 
IV of the Trade Act of 1974 shall cease to apply to that 
country.
   (8) Conditions for Renewal of Most-Favored-Nation Status for the 
                   People's Republic of China in 1994

          Executive Order 12850 of May 28, 1993, 58 F.R. 31327

Whereas, the Congress and the American people have expressed 
    deep concern about the appropriateness of unconditional 
    most-favored-nation (MFN) trading status for the People's 
    Republic of China (China);
Whereas, I share the concerns of the Congress and the American 
    people regarding this important issue, particularly with 
    respect to China's record on human rights, nuclear 
    proliferation, and trade;
Whereas, I have carefully weighed the advisability of 
    conditioning China's MFN status as a means of achieving 
    progress in these areas;
Whereas, I have concluded that the public interest would be 
    served by a continuation of the waiver of the application 
    of sections 402 (a) and (b) of the Trade Act of 1974 (19 
    U.S.C. 2432(a) and 2432(b)) (Act) on China's MFN status for 
    an additional 12 months with renewal thereafter subject to 
    the conditions below;

    NOW, THEREFORE, by the authority vested in me as President 
by the Constitution and the laws of the United States of 
America, it is hereby ordered as follows:

    Section 1. The Secretary of State (Secretary) shall make a 
recommendation to the President to extend or not to extend MFN 
status to China for the 12-month period beginning July 3, 1994.
    (a) In making this recommendation the Secretary shall not 
recommend extension unless he determines that:
          --extension will substantially promote the freedom of 
        emigration objectives of section 402 of the Act; and
          --China is complying with the 1992 bilateral 
        agreement between the United States and China 
        concerning prison labor.
    (b) In making this recommendation the Secretary shall also 
determine whether China has made overall, significant progress 
with respect to the following:
          --taking steps to begin adhering to the Universal 
        Declaration of Human Rights;
          --releasing and providing an acceptable accounting 
        for Chinese citizens imprisoned or detained for the 
        non-violent expression of their political and religious 
        beliefs, including such expression of beliefs in 
        connection with the Democracy Wall and Tiananmen Square 
        movements;
          --ensuring humane treatment of prisoners, such as by 
        allowing access to prisons by international 
        humanitarian and human rights organizations;
          --protecting Tibet's distinctive religious and 
        cultural heritage; and
          --permitting international radio and television 
        broadcasts into China.
    Sec. 2. The Secretary shall submit his recommendation to 
the President before June 3, 1994.
    Sec. 3. The Secretary, and other appropriate officials of 
the United States, shall pursue resolutely all legislative and 
executive actions to ensure that China abides by its 
commitments to follow fair, nondiscriminatory trade practices 
in dealing with U.S. businesses, and adheres to the Nuclear 
Non-Proliferation Treaty, the Missile Technology Control Regime 
guidelines and parameters, and other nonproliferation 
commitments.
    Sec. 4. This order does not create any right or benefit, 
substantive or procedural, enforceable by any person of entity 
against the United States, its officers, or employees.
(9) Withdrawal of Most Favored Nation Status From Serbia and Montenegro

 Public Law 102-420 [H. R. 5258], 106 Stat. 2149, approved October 16, 
                                  1992

AN ACT An Act \1\ to provide for the withdrawal of most favored nation 
status from Serbia and Montenegro and to provide for the restoration of 
            such status if certain conditions are fulfilled.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,
---------------------------------------------------------------------------
    \1\ As enrolled.
---------------------------------------------------------------------------

SECTION 1.\2\ WITHDRAWAL OF MOST FAVORED NATION STATUS FROM SERBIA AND 
                    MONTENEGRO.

    (a) Findings.--The Congress finds that Serbia or Montenegro 
are not complying with the provisions of the Final Act of the 
Conference on Security and Cooperation in Europe (also known as 
the ``Helsinki Final Act''), particularly the provisions 
regarding human rights and humanitarian affairs and are not 
respecting minority rights in Kosovo and Vojvodina.
---------------------------------------------------------------------------
    \2\ 19 U.S.C. 2432 note.
---------------------------------------------------------------------------
    (b) Withdrawal of MFN Status.--Except as provided in 
subsection (c), nondiscriminatory treatment shall not apply 
with respect to any goods that--
          (1) are the product of Serbia or Montenegro; and
          (2) are entered into the customs territory of the 
        United States on or after the 15th day after the date 
        of the enactment of this Act.
    (c) Restoration of Nondiscriminatory Treatment.--
Notwithstanding subsection (b), the President may restore 
nondiscriminatory treatment to goods that are the product of 
Serbia or Montenegro, as the case may be, 30 days after he 
certifies to the Congress that Serbia or Montenegro, as the 
case may be--
          (1) has ceased its armed conflict with the other 
        ethnic peoples of the region formerly comprising the 
        Socialist Federal Republic of Yugoslavia;
          (2) has agreed to respect the borders of the 6 
        republics that comprised the Socialist Federal Republic 
        of Yugoslavia under the 1974 Yugoslav Constitution; and
          (3) has ceased all support of Serbian forces inside 
        Bosnia-Hercegovina.
                              (10) Albania

Public Law 102-363 [H.J. Res. 507], 106 Stat. 969, approved August 26, 
                                  1992

    JOINT RESOLUTION To approve the extension of nondiscriminatory 
   treatment with respect to the products of the Republic of Albania.

    Resolved by the Senate and House of Representatives of the 
United States of America in Congress assembled, That the 
Congress approves the extension of nondiscriminatory treatment 
with respect to the products of the Republic of Albania 
transmitted by the President to the Congress on June 16, 
1992.\1\
---------------------------------------------------------------------------
    \1\ 19 U.S.C. 2434 note. See also Public Law 106-200 (114 Stat. 
251) with respect to Albania, this volume, page 1024.
                (11) Union of Soviet Socialist Republics

Public Law 102-197 [H.J. Res 346], 105 Stat. 1622, approved December 9, 
                                  1991

    A JOINT RESOLUTION Approving the extension of nondiscriminatory 
treatment with respect to the products of the Union of Soviet Socialist 
                               Republics.

    Resolved by the Senate and House of Representatives of the 
United States of America in Congress assembled, That the 
Congress approves the extension of nondiscriminatory treatment 
to the products of the Union of Soviet Socialist Republics 
transmitted by the President to the Congress on October 9, 
1991.\1\
---------------------------------------------------------------------------
    \1\ 19 U.S.C. 2434 note. On October 9, 1991, the President 
implemented the ``Agreement on Trade Relations Between the United 
States of America and the Union of Soviet Socialist Republics'' signed 
on June 1, 1990 (Proclamation No. 6352, 56 F.R. 51317).
    (12) Czech and Slovakia, Hungary, Estonia, Latvia, and Lithuania

    Partial text of Public Law 102-182 [H.R. 1724], 105 Stat. 1233, 
                       approved December 4, 1991

AN ACT To provide for the termination of the application of title IV of 
          the Trade Act of 1974 to Czechoslovakia and Hungary.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

SECTION 1.\1\ CONGRESSIONAL FINDINGS AND PREPARATORY PRESIDENTIAL 
                    ACTION.

    (a) Congressional Findings.--The Congress finds that the 
Czech and Slovak Federal Republic and the Republic of Hungary 
both have--
---------------------------------------------------------------------------
    \1\ 19 U.S.C. 2434 note. Previously, in Public Law 101-541 (104 
Stat. 2380), approved November 8, 1990, Congress approved the extension 
of nondiscriminatory treatment with respect to the products of 
Czechoslovakia transmitted by the President to the Congress on 
September 6, 1990. The agreement was implemented by Proclamation No. 
6175 (55 F.R. 37643) on the same date, to become effective on the date 
of exchange of written notices of acceptance. On the same date, the 
President determined that the agreement with Czechoslovakia is in the 
national interest (55 F. R. 39259).
    A bilateral trade agreement with Hungary was implemented on April 
7, 1978 by Presidential Proclamation No. 4560 (43 F.R. 15125), to 
become effective on the date of written notices of acceptance. The 
trade agreement was renewed on June 2, 1981 (Presidential Determination 
No. 81-9); on June 23, 1987 (Presidential Determination No. 87-15, 52 
F.R. 23785); and on June 22, 1990 (Presidential Determination No. 90-
27, 55 F.R. 25945).
---------------------------------------------------------------------------
          (1) dedicated themselves to respect for fundamental 
        human rights;
          (2) accorded to their citizens the right to emigrate 
        and to travel freely;
          (3) reversed over 40 years of communist dictatorship 
        and embraced the establishment of political pluralism, 
        free and fair elections, and multi-party political 
        systems;
          (4) introduced far-reaching economic reforms based on 
        market-oriented principles and have decentralized 
        economic decisionmaking; and
          (5) demonstrated a strong desire to build friendly 
        relationships with the United States.
    (b) Preparatory Presidential Action.--The Congress notes 
that the President in anticipation of the enactment of section 
2, has directed the United States Trade Representative to 
negotiate with the Czech and Slovak Federal Republic and the 
Republic of Hungary, respectively, in order to--
          (1) preserve the commitments of that country under 
        the bilateral commercial agreement in effect between 
        that country and the United States that are consistent 
        with the General Agreement on Tariffs and Trade; and
          (2) obtain other appropriate commitments.

SEC. 2.\1\ TERMINATION OF APPLICATION OF TITLE IV OF THE TRADE ACT OF 
                    1974 TO CZECHOSLOVAKIA AND HUNGARY.

    (a) \2\ Presidential Determinations and Extension of 
Nondiscriminatory Treatment.--Notwithstanding any provision of 
title IV of the Trade Act of 1974 (19 U.S.C. 2431 et seq.), the 
President may--
---------------------------------------------------------------------------
    \2\ The President made such a determination with respect to 
Czechoslovakia and Hungary on April 10, 1992 (Presidential 
Determination No. 92-21; 57 F.R. 12863; April 14, 1992), and issued a 
supporting proclamation on the same date (Proclamation No. 6419, April 
19, 1992, 57 F.R. 12865). Prior to the Passage of Public Law 102-182, 
the President extended a waiver to Czechoslovakia in Executive Order 
No. 12702 (Feb. 20, 1990, 55 F.R. 6231, see this volume, page 1056 for 
text. This waiver was extended by Presidential Determination No. 90-22 
of June 3, 1990 (55 F.R. 42831), and Presidential Determination No. 91-
39 of June 3, 1991 (56 F.R. 27187).
    With respect to Hungary, a Presidential waiver was extended by 
Executive Order No. 12051 (April 7, 1978, 43 F.R. 15131, see page 1058, 
this volume for text). This waiver was extended by Presidential 
Determination No. 81-8 of June 2, 1981 (46 F.R. 30797); by Presidential 
Determination No. 83-7 of June 3, 1983 (48 F.R. 26585); by Presidential 
Determination No. 84-9 of May 31, 1994 (49 F.R. 24107); by Presidential 
Determination No. 86-10, June 3, 1986 (51 F.R. 22057); by Presidential 
Determination No. 87-14, June 2, 1987 (52 F.R. 22431); by Presidential 
Determination No. 88-18, June 3, 1988 (53 F.R. 21407); and by 
Presidential Determination No. 89-14, May 31, 1989 (54 F.R. 26943).
---------------------------------------------------------------------------
          (1) determine that such title should no longer apply 
        to the Czech and Slovak Federal Republic or to the 
        Republic of Hungary, or to both; and
          (2) after making a determination under paragraph (1) 
        with respect to a country, proclaim the extension of 
        nondiscriminatory treatment (most-favored-nation 
        treatment) to the products of that country.
    (b) Termination of Application of Title IV.--On and after 
the effective date of the extension under subsection (a)(2) of 
nondiscriminatory treatment to the products of a country, title 
IV of the Trade Act of 1974 shall cease to apply to that 
country.
---------------------------------------------------------------------------
    \3\ Sec. 3 amended the Emergency Unemployment Compensation Act of 
1991.
---------------------------------------------------------------------------

SEC. 3.\3\ MODIFICATION OF THE EMERGENCY UNEMPLOYMENT COMPENSATION ACT 
                    OF 1991. * * *

SEC. 4. REPEAL OF THE PROHIBITION ON THE IMPORTATION OF SOVIET GOLD 
                    COINS.

    Section 510 of the Comprehensive Anti-Apartheid Act of 1986 
(22 U.S.C. 5100) is repealed.

 TITLE I--EXTENSION OF NONDISCRIMINATORY TREATMENT TO ESTONIA, LATVIA, 
                            AND LITHUANIA\1\

SEC. 101. CONGRESSIONAL FINDINGS.

    The Congress finds the following:
          (1) The Government of the United States extended full 
        diplomatic recognition to Estonia, Latvia, and 
        Lithuania in 1922.
          (2) The Government of the United States entered into 
        agreements extending most-favored-nation treatment with 
        the Government of Estonia on August 1, 1925, the 
        Government of Latvia on April 30, 1926, and the 
        Government of Lithuania on July 10, 1926.
          (3) The Union of Soviet Socialist Republics 
        incorporated Estonia, Latvia, and Lithuania 
        involuntarily into the Union as a result of a secret 
        protocol to a German-Soviet agreement in 1939 which 
        assigned those three states to the Soviet sphere of 
        influence; and the Government of the United States has 
        at no time recognized the forcible incorporation of 
        those states into the Union of Soviet Socialist 
        Republics.
          (4) The Trade Agreements Extension Act of 1951 
        required the President to suspend, withdraw, or prevent 
        the application of trade benefits, including most-
        favored-nation treatment, to countries under the 
        domination or control of the world Communist movement.
          (5) In 1951, responsible representatives of Estonia, 
        Latvia, and Lithuania stated that they did not object 
        to the imposition of ``such controls as the Government 
        of the United States may consider to be appropriate'' 
        to the products of those countries, for such time as 
        those countries remained under Soviet domination or 
        control.
          (6) In 1990, the democratically elected governments 
        of Estonia, Latvia, and Lithuania declared the 
        restoration of their independence from the Union of 
        Soviet Socialist Republics.
          (7) The Government of the United States established 
        diplomatic relations with Estonia, Latvia, and 
        Lithuania on September 2, 1991, and on September 6, 
        1991, the State Council of the transitional government 
        of the Union of Soviet Socialist Republics recognized 
        the independence of Estonia, Latvia, and Lithuania, 
        thereby ending the involuntary incorporation of those 
        countries into, and the domination of those countries 
        by, the Soviet Union.
          (8) Immediate action should be taken to remove the 
        impediments, imposed in response to the circumstances 
        referred to in paragraph (5), in United States trade 
        laws to the extension of nondiscriminatory treatment 
        (most-favored-nation treatment) to the products of 
        those countries.
          (9) As a consequence of establishment of United 
        States diplomatic relations with Estonia, Latvia, and 
        Lithuania, these independent countries are eligible to 
        receive the benefits of the Generalized System of 
        Preferences provided for in title V of the Trade Act of 
        1974.

SEC. 102. EXTENSION OF NONDISCRIMINATORY TREATMENT TO THE PRODUCTS OF 
                    ESTONIA, LATVIA, AND LITHUANIA.

    (a) In General.--Notwithstanding any provision of title IV 
of the Trade Act of 1974 (19 U.S.C. 2431 et seq.) or any other 
provision of law, nondiscriminatory treatment (most-favored-
nation treatment) applies to the products of Estonia, Latvia, 
and Lithuania.
    (b) Conforming Tariff Schedule Amendments.--General Note 
3(b) of the Harmonized Tariff Schedule of the United States is 
amended by striking out ``Estonia'', ``Latvia'', and 
``Lithuania''.
    (c) Effective Date.--Subsection (a) and the amendments made 
by subsection (b) apply with respect to goods entered, or 
withdrawn from warehouse for consumption, on or after the 15th 
day after the date of the enactment of this Act.

SEC. 103. TERMINATION OF APPLICATION OF TITLE IV OF THE TRADE ACT OF 
                    1974 TO THE BALTICS.

    Title IV of the Trade Act of 1974 (19 U.S.C. 2431 et seq.) 
shall cease to apply to Estonia, Latvia, and Lithuania 
effective as of the 15th day after the date of the enactment of 
this Act.

SEC. 104.\4\ SENSE OF THE CONGRESS REGARDING PROMPT PROVISION OF GSP 
                    TREATMENT TO THE PRODUCTS OF ESTONIA, LATVIA, AND 
                    LITHUANIA.

    It is the sense of the Congress that the President should 
take prompt action under title V of the Trade Act of 1974 to 
provide preferential tariff treatment to the products of 
Estonia, Latvia, and Lithuania pursuant to the Generalized 
System of Preferences.
---------------------------------------------------------------------------
    \4\ Estonia, Latvia, and Lithuania were added to the list of 
independent countries for purposes of the Generalized System of 
Preferences by Presidential Proclamation 6402 of February 5, 1992 (57 
F.R. 4833), effective February 22, 1992.
    \5\ For the Andean Trade Preference Act (title II, 19 U.S.C. 3201 
et seq.), see page 882.
    \6\ For the Chemical and Biological Weapons Control and Warfare 
Elimination Act of 1991 (title III, 22 U.S.C. 5601 et seq.), see 
Legislation on Foreign Relations Through 2000, vol. II.
---------------------------------------------------------------------------

       TITLE II--TRADE PREFERENCE FOR THE ANDEAN REGION \5\ * * *

          * * * * * * *

 TITLE III--CONTROL AND ELIMINATION OF CHEMICAL AND BIOLOGICAL WEAPONS 
                               \6\ * * *

          * * * * * * *
                             (13) Mongolia

 Public Law 102-157 [H.J. Res 281], 105 Stat. 1040, approved November 
                                13, 1991

    A JOINT RESOLUTION Approving the extension of nondiscriminatory 
   treatment with respect to the products of the Mongolian People's 
                               Republic.

    Resolved by the Senate and House of Representatives of the 
United States of America in Congress assembled, That the 
Congress approves the extension of nondiscriminatory treatment 
to the products of Mongolian People's Republic transmitted by 
the President to the Congress on June 25, 1991.\1\
---------------------------------------------------------------------------
    \1\ 19 U.S.C. 2434 note.
                           (14) East Germany

Partial text of Public Law 101-382 [Customs and Trade Act of 1990; H.R. 
             1594], 104 Stat. 629, approved August 20, 1990


          Note.--The Customs and Trade Act of 1990 consists of 
        amendments to several Public Laws; those amendments are 
        incorporated at the appropriate places. Freestanding 
        provisions are presented here, or it is noted where 
        such provisions appear elsewhere in this compilation.



  AN ACT To make miscellaneous and technical changes to various trade 
                                 laws.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

SECTION 1.\1\ SHORT TITLE AND TABLE OF CONTENTS.

  (a) Short Title.--This Act may be cited as the ``Customs and 
Trade Act of 1990''.
---------------------------------------------------------------------------
    \1\ 19 U.S.C. 2101 note.
---------------------------------------------------------------------------
  (b) Table of Contents.--
          * * * * * * *

   TITLE I--TRADE AGENCY AUTHORIZATION, CUSTOMS USER FEES, AND OTHER 
                               PROVISIONS

          * * * * * * *

                  Subtitle D--Miscellaneous Provisions

          * * * * * * *

SEC. 138.\2\ ECONOMIC SANCTIONS AGAINST PRODUCTS OF BURMA. * * *

          * * * * * * *
---------------------------------------------------------------------------
    \2\ For text of sec. 138, see page 1460.
---------------------------------------------------------------------------

SEC. 142. NONDISCRIMINATORY TREATMENT FOR THE PRODUCTS OF EAST GERMANY.

    Notwithstanding any other provision of law, the President 
may, by proclamation, lower the rate of duty under the 
Harmonized Tariff Schedule of the United States on products of 
the German Democratic Republic that are entered, or withdrawn 
from warehouses for consumption, in the customs territory of 
the United States--
          (1) after September 30, 1990; and
          (2) before the beginning date on which a unified 
        Germany is treated as a country eligible for column 1 
        duty treatment under such Harmonized Schedule;
to any rate of duty that is not lower than the rate that would 
be imposed if the column 1 general rate of duty provided for in 
such Schedule applied to the product at the time of entry or 
withdrawal.

            TITLE II--CARIBBEAN BASIN ECONOMIC RECOVERY \3\

          * * * * * * *
---------------------------------------------------------------------------
    \3\ Freestanding provisions of title II may be found beginning at 
page 866.
---------------------------------------------------------------------------

              TITLE IV--EXPORTS OF UNPROCESSED TIMBER \4\

          * * * * * * *
---------------------------------------------------------------------------
    \4\ Freestanding provisions of title IV may be found in Legislation 
on Foreign Relations Through 1996, vol. IV, sec. N.
                   g. Trade Act of 1974--Waivers \1\

 (1) Waiver Under the Trade Act of 1974 With Respect to Tajikistan and 
                              Turkmenistan

          Executive Order 12811, June 24, 1992, 57 F.R. 28585

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including section 402(c)(2) of the Trade Act of 1974, as 
amended (``Act'') (19 U.S.C. 2432(c)(2)), which continues to 
apply to Tajikistan and Turkmenistan pursuant to section 402(d) 
of the Act, and having made the report to the Congress required 
by section 402(c)(2), I hereby waive the application of 
sections 402(a) and 402(b) of the Act with respect to 
Tajikistan and Turkmenistan.\2\
---------------------------------------------------------------------------
    \1\ See also f. Normal Trade Relations (Most-Favored-Nation) 
Extensions, Suspensions, Terminations, beginning at page 1020.
    \2\ This waiver was extended by Presidential Determination No. 93-
25 of June 2, 1993 (58 F.R. 33005); Presidential Determination No. 95-
24 of June 2, 1995 (60 F.R. 31049); Presidential Determination No. 96-
30 of June 3, 1996 (61 F.R. 29457); and Presidential Determination No. 
94-28 of June 3, 1997 (62 F.R. 32019).
    On December 5, 1997, the President determined that Tajikistan and 
Turkmenistan ``are not in violation of paragraph (1), (2), or (3) of 
subsection 402(a) of the Act [of 1974] or paragraph (1), (2) or (3) of 
subsection 409(a)''(Presidential Determination No. 98-7, 62 F.R. 
66253).
    (2) Waiver Under the Trade Act of 1974 With Respect to Albania, 
   Azerbaijan, Georgia, Kazakhstan, Moldova, Ukraine, and Uzbekistan

           Executive Order 12809, June 3, 1992, 57 F.R. 23925

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including section 402(c)(2) of the Trade Act of 1974, as 
amended (``Act'') (19 U.S.C. 2432(c)(2)), which continues to 
apply to Albania, Azerbaijan, Georgia, Kazakhstan, Moldova, 
Ukraine, and Uzbekistan pursuant to section 402(d) of the Act, 
and having made the report to the Congress required by section 
402(c)(2) of the Act, I hereby waive the application of 
sections 402(a) and 402(b) of the Act with respect to Albania, 
Azerbaijan, Georgia, Kazakhstan, Moldova, Ukraine, and 
Uzbekistan.\1\
---------------------------------------------------------------------------
    \1\ The waivers were extended by Presidential Determination No. 93-
25 (June 2, 1993, 58 F.R. 33005); Presidential Determination No. 95-24 
(June 2, 1995, 60 F.R. 31049); Presidential Determination No. 96-30 
(June 3, 1996, 61 F.R. 29457); and Presidential Determination No. 97-28 
(June 3, 1997, 62 F.R. 32019).
    On June 3, 1997, the President determined that Armenia, Azerbaijan, 
Georgia, Moldova, and Ukraine ``are not in violation of paragraph (1), 
(2), or (3) of subsection 402(a) of the Act [of 1974] or paragraph (1), 
(2) or (3) of subsection 409(a)'' (Presidential Determination No. 97-
27, 62 F.R. 66253). A similar determination was made for Kazakhstan, 
Kyrgyzstan, and Uzbekistan on December 5, 1997 (Presidential 
Determination No. 98-7, 62 F.R. 66253).
(3) Waiver Under the Trade Act of 1974 With Respect to the Republic of 
    Byelarus, the Republic of Kyrgyzstan, and the Russian Federation

          Executive Order 12802, April 16, 1992, 57 F.R. 14321

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including section 402(c)(2) of the Trade Act of 1974, as 
amended (``Act'') (19 U.S.C. 2432(c)(2)), which continues to 
apply to the Republic of Byelarus, the Republic of Kyrgyzstan, 
and the Russian Federation pursuant to section 402(d) of the 
Act, and having made the report to the Congress required by 
section 402(c)(2) of the Act, I waive the application of 
sections 402(a) and 402(b) of the Act with respect to the 
Republic of Byelarus, the Republic of Kyrgyzstan, and the 
Russian Federation.\1\
---------------------------------------------------------------------------
    \1\ In Presidential Determination No. 93-25 (June 2, 1993, 58 F.R. 
33005), the President determined ``that the continuation of the waivers 
applicable to Albania, Armenia, Azerbaijan, Belarus, Georgia, 
Kazakhstan, Kyrgyzstan, Moldova, Mongolia, Romania, Russia, Tajikistan, 
Turkmenistan, Ukraine, and Uzbekistan will substantially promote the 
objectives of section 402 of the [Trade] Act [of 1974].''. The 
President continued the waiver for Albania, Armenia, Azerbaijan, 
Belarus, Georgia, Kazakstan, Kyrgystan, Moldova, Mongolia, Tajikistan, 
Turkmenistan, Ukraine, and Uzbekistan in Presidential Determination No. 
95-24 of June 2, 1995 (60 F.R. 31049); and in Presidential 
Determination No. 96-30 of June 3, 1996 (61 F.R. 29457). Presidential 
waiver authority continued to be exercised with respect to Belarus in 
Presidential Determination No. 98-28 (June 3, 1998, 63 F.R. 32709), 
Presidential Determination No. 99-26 (June 3, 1999, 64 F.R. 31109); 
Presidential Determination No. 2000-22 (June 2, 2000, 65 F.R. 36311); 
and Presidential Determination No. 2001-20 (July 2, 2001, 66 F.R. 
37109).
     (4) Waiver Under the Trade Act of 1974 With Respect to Armenia

          Executive Order 12798, April 6, 1992, 57 F.R. 12175

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including section 402(c)(2) of the Trade Act of 1974, as 
amended (``Act'') (19 U.S.C. 2432(c)(2)), which continues to 
apply to Armenia pursuant to section 402(d) of the Act, and 
having made the report to the Congress required by section 
402(c)(2) of the Act, I waive the application of sections 
402(a) and 402(b) of the Act with respect to Armenia.\1\
---------------------------------------------------------------------------
    \1\ This waiver was continued in Presidential Determination No. 93-
25 (June 2, 1993, 58 F.R. 33005); Presidential Determination No. 95-24 
(June 2, 1995, 60 F.R. 31049); Presidential Determination No. 96-30 
(June 3, 1996, 61 F.R. 29457);
    On June 3, 1997, the President determined that Armenia, Azerbaijan, 
Georgia, Moldova, and Ukraine ``are not in violation of paragraph (1), 
(2), or (3) of subsection 402(a) of the Act [of 1974] or paragraph (1), 
(2) or (3) of subsection 409(a)''(Presidential Determination No. 97-27, 
62 F.R. 66253).
     (5) Waiver Under the Trade Act of 1974 With Respect to Romania

         Executive Order 12772, August 17, 1991, 56 F.R. 41621

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including section 402(c)(2) of the Trade Act of 1974, as 
amended (``Act'') (19 U.S.C. 2432(c)(2)), which continues to 
apply to Romania pursuant to section 402(d), and having made 
the report to the Congress required by section 402(c)(2) of the 
Act, I waive the application of sections 402(a) and 402(b) of 
the Act with respect to Romania.\1\
---------------------------------------------------------------------------
    \1\ See also Public Law 104-171 (110 Stat. 1539), this volume, page 
1031, relating to Romania.
    (6) Waiver Under the Trade Act of 1974 With Respect to Mongolia

         Executive Order 12746, January 23, 1991, 56 F.R. 2837

    By virtue of the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including section 402(c)(2) of the Trade Act of 1974 (``the 
Act'') (19 U.S.C. 2432(c)(2)), which continues to apply to 
Mongolia pursuant to section 402(d), and having made the report 
to the Congress required by section 402(c)(2), I waive the 
application of subsections (a) and (b) of section 402 of the 
Act with respect to Mongolia.\1\
---------------------------------------------------------------------------
    \1\ See also sec. 2434 of Public Law 106-36 (113 Stat. 180), this 
volume, page 1027, relating to Mongolia.
    (7) Waiver Under the Trade Act of 1974 With Respect to Bulgaria

         Executive Order 12745, January 22, 1991, 56 F.R. 2835

    By virtue of the authority vested in me as President by the 
Constitution and the law of the United States of America, 
including section 402(c)(2) of the Trade Act of 1974 (``the 
Act'') (19 U.S.C. 2432(c)(2)), which continues to apply to 
Bulgaria pursuant to section 402(d), and having made the report 
to the Congress required by section 402(c)(2), I waive the 
application of subsections (a) and (b) of section 402 of the 
Act with respect to Bulgaria.\1\
---------------------------------------------------------------------------
    \1\ See also Public Law 104-162 (110 Stat. 1414), this volume, page 
1033, relating to Bulgaria.
(8) Waiver Under the Trade Act of 1974 With Respect to the Soviet Union

         Executive Order 12740, December 29, 1990, 56 F.R. 355

    By virtue of the authority vested in me as President by the 
Constitution and the law of the United States of America, 
including section 402(c)(2) of the Trade Act of 1974 (``the 
Act'') (19 U.S.C. 2432(c)(2)), which continues to apply to the 
Soviet Union pursuant to section 402(d), and having made the 
report to the Congress required by section 402(c)(2), I waive 
the application of subsections (a) and (b) of section 402 of 
the Act with respect to the Soviet Union.\1\
---------------------------------------------------------------------------
    \1\ See also Public Law 102-197 (105 Stat. 1622), page 1039, this 
volume; Executive Order 12802 (page 1049, this volume); and Executive 
Order 12809 (page 1048, this volume), with respect to the former Soviet 
Union and the Russian Federation.
   (9) Waiver Under the Trade Act of 1974 With Respect to the German 
                          Democratic Republic

         Executive Order 12726, August 15, 1990, 55 F.R. 33637

    By virtue of the authority vested in me as President by the 
Constitution and the law of the United States of America, 
including section 402(c)(2) of the Trade Act of 1974 (the Act) 
(19 U.S.C. 2432(c)(2)), which continues to apply to the German 
Democratic Republic pursuant to section 402(d), and having made 
the report to the Congress required by section 402(c)(2), I 
waive the application of subsections (a) and (b) of section 402 
of the Act with respect to the German Democratic Republic.\1\
---------------------------------------------------------------------------
    \1\ In Presidential Determination No. 90-30 (August 15, 1990, 55 
F.R. 35421), the President determined ``that a waiver by Executive 
order of the application of subsections (a) and (b) of section 402 of 
the [Trade] Act [of 1974] with respect to the German Democratic 
Republic will substantially promote the objectives of section 402.''. 
On October 3, 1990, the German Democratic Republic united with the 
Federal Republic of Germany, automatically ending the suspension of 
East Germany's MFN status.
 (10) Waiver Under the Trade Act of 1974 With Respect to Czechoslovakia

         Executive Order 12702, February 20, 1990, 55 F.R. 6231

    By virtue of the authority vested in me as President by the 
Constitution and the law of the United States of America, 
including section 402(c)(2) of the Trade Act of 1974 (19 U.S.C. 
2432(c)(2)), which continues to apply to Czechoslovakia 
pursuant to section 402(d), and having made the report to the 
Congress required by section 402(c)(2), I waive the application 
of subsections (a) and (b) of section 402 of said Act with 
respect to Czechoslovakia.\1\
---------------------------------------------------------------------------
    \1\ See Public Law 102-182 (105 Stat. 1233), this volume, page 
1040, in relation to Czechoslovakia.
 (11) Waiver Under the Trade Act of 1974 With Respect to the People's 
                           Republic of China

         Executive Order 12167, October 23, 1979, 44 F.R. 61167

    By virtue of the authority vested in me as President of the 
United States of America by Section 402(c)(2) of the Trade Act 
of 1974 (Public Law 93-618, January 3, 1975; 88 Stat. 1978), 
which continues to apply to the People's Republic of China 
pursuant to Section 402(d), and having made the report to the 
Congress required by Section 402(c)(2), I waive the application 
of subsections (a) and (b) of Section 402 of said Act with 
respect to the People's Republic of China.\1\
---------------------------------------------------------------------------
    \1\ See also Public Law 106-286 (114 Stat. 880), this volume, page 
1022, relative to the People's Republic of China.
 (12) Waiver Under the Trade Act of 1974 With Respect to the Hungarian 
                           People's Republic

          Executive Order 12051, April 7, 1978, 43 F.R. 15131

    By virtue of the authority vested in me as President of the 
United States of America by Section 402(c)(2) of the Trade Act 
of 1974 (88 Stat. 2057, 19 U.S.C. 2432(c)(2)), which continues 
to apply to the Hungarian People's Republic pursuant to Section 
402(d), and having made the report to the Congress required by 
Section 402(c)(2), I waive the application of subsections (a) 
and (b) of Section 402 of said Act with respect to the 
Hungarian People's Republic.\1\
---------------------------------------------------------------------------
    \1\ See also Public Law 102-182 (105 Stat. 1233), this volume, page 
1040, with respect to Hungary.
 (13) Waiver Under the Trade Act of 1974 With Respect to the Socialist 
                          Republic of Romania

          Executive Order 11854, April 24 1975, 40 F.R. 18391

    By virtue of the authority vested in me by Section 
402(c)(1) of the Trade Act of 1974 (Public Law 93-618, January 
3, 1975; 88 Stat. 1857, 2057), and having made the report to 
the Congress required by that provision, I hereby waive the 
application of subsections (a) and (b) of section 402 of said 
Act with respect to the Socialist Republic of Romania.\1\
---------------------------------------------------------------------------
    \1\ See also Executive Order 12772 (this volume, page 1051) and 
Public Law 104-171 (110 Stat. 1539), this volume, page 1031, with 
respect to Romania.
                         2. Export-Import Bank

             a. Export-Import Bank Act of 1945, as amended

Public Law 79-173 [H.R. 3771], 59 Stat. 526, approved July 31, 1945, as 
   amended by Public Law 79-282 [H.R. 4683], 59 Stat. 666, approved 
 December 28, 1945; Public Law 80-89 [S. 993], 61 Stat. 130, approved 
   June 9, 1947; Public Law 82-158 [S. 2006], 65 Stat. 367, approved 
October 3, 1951; Public Law 83-30 [H.R. 4465], 67 Stat. 28 approved May 
21, 1953; Public Law 83-570 [S. 3589], 68 Stat. 677, approved August 9, 
1954; Public Law 83-779 [H.R. 9730], 68 Stat. 1237, approved September 
 3, 1954; Public Law 85-55 [H.R. 4136], 71 Stat. 82, approved June 17, 
1957; Public Law 85-424 [S. 3149], 72 Stat. 133, approved May 22, 1958; 
Public Law 87-311 [S. 2325], 75 Stat. 673, approved September 26 1961; 
Public Law 88-101 [H.R. 3872], 77 Stat. 128, approved August 20, 1963; 
Public Law 89-348 [S. 2150], 79 Stat. 1312, approved November 8, 1965; 
  Public Law 90-267 [S. 1155], 82 Stat. 47, approved March 13, 1968; 
 Public Law 92-126 [Export Expansion Finance Act of 1971; S. 581], 86 
Stat. 345, approved August 17, 1971; Public Law 93-331 [S.J. Res 218], 
88 Stat. 289, approved July 4, 1974; Public Law 93-374 [S.J. Res. 229], 
 88 Stat. 445, approved August 14, 1974; Public Law 93-425 [S.J. Res. 
  244], 88 Stat. 1166, approved September 30, 1974; Public Law 93-450 
 [S.J. Res. 251], 88 Stat. 1368, approved October 18, 1974; Public Law 
 93-646 [Export-Import Bank Amendments of 1974; H.R. 15977], 88 Stat. 
2333, approved January 4, 1975; Public Law 95-143 [H.R. 6415], 91 Stat. 
1210, approved October 26, 1977; Public Law 95-407 [H.J. Res. 1140], 92 
  Stat. 882, approved September 30 1978; Public Law 95-630 [Financial 
  Institutions Regulatory and Interest Rate Control Act of 1978; H.R. 
 14279], 92 Stat. 3641 at 3724, approved November 10, 1978; Public Law 
 96-470 [Congressional Reports Elimination Act of 1980; H.R. 6686], 94 
    Stat. 2237 at 2245, approved October 19, 1980; Public Law 97-35 
[Omnibus Budget Reconciliation Act of 1981; H.R. 3982], 95 Stat. 357 at 
 431, approved August 13, 1981; Public Law 98-109 [H.J. Res. 366], 97 
  Stat. 745 at 746, approved October 1, 1983; Public Law 98-143 [S.J. 
 Res. 189], 97 Stat. 916, approved November 1, 1983; Public Law 98-181 
[Supplemental Appropriations, 1984; H.R. 3959], 97 Stat. 1153 at 1255, 
   approved November 30, 1983; Public Law 99-440 [Comprehensive Anti-
Apartheid Act of 1986; H.R. 4868], 100 Stat. 1086, approved October 2, 
  1986; Public Law 99-472 [Export-Import Bank Act Amendments of 1986; 
 H.R. 5548], 100 Stat. 1200, approved October 15, 1986; Public Law 99-
 509 [Omnibus Budget Reconciliation Act of 1986; H.R. 5300], 100 Stat. 
 1874, approved October 21, 1986; Public Law 100-217 [Tied Aid Credit 
 Fund Reimbursements: Extension; H.R. 3289], 101 Stat. 1454, approved 
       December 29, 1987; Public Law 100-418 [Omnibus Trade and 
   Competitiveness Act of 1988; H.R. 4848], 102 Stat. 1107, approved 
August 23, 1988; Public Law 100-690 [Anti-Drug Abuse Act of 1988; H.R. 
 5210], 102 Stat. 4181, approved November 18, 1988; Public Law 101-240 
  [International Development and Finance Act of 1989, H.R. 2494], 103 
  Stat. 2492, approved December 19, 1989; Public Law 101-513 [Foreign 
Operations, Export Financing, and Related Programs Appropriations Act, 
1991; H.R. 5114], 104 Stat. 1979, approved November 5, 1990; Public Law 
 101-623 [International Narcotics Control Act of 1990, H.R. 5567], 104 
  Stat. 3350, approved November 21, 1990; Public Law 102-145 [Further 
 Continuing Appropriations, Fiscal Year 1992, as amended by Public Law 
 102-266], 105 Stat. 968 [at 106 Stat. 95], approved October 28, 1991; 
    Public Law 102-429 [Export Enhancement Act of 1992, H.R. 5739],

      106 Stat. 2186, approved October 21, 1992; Public Law 102-583 
  [International Narcotics Control Act of 1992, H.R. 6187], 106 Stat. 
4914, approved November 2, 1992; Public Law 103-87 [Foreign Operations, 
 Export Financing, and Related Programs Appropriations Act, 1993; H.R. 
 2295], 107 Stat. 931, approved September 30, 1993; Public Law 103-149 
 [South African Democratic Transition Support Act of 1993; H.R. 3225], 
107 Stat. 1503, approved November 23, 1993; Public Law 103-236 [Foreign 
 Relations Authorization Act, Fiscal Years 1994 and 1995; H.R. 2333], 
108 Stat. 382, approved April 30, 1994; Public Law 103-428 [H.R. 4455], 
     108 Stat. 4375, approved October 31, 1994; Public Law 103-447 
 [International Narcotics Control Corrections Act of 1994; H.R. 5246], 
  108 Stat. 4691, approved November 2, 1994; Public Law 104-97 [H.R. 
  2203], 109 Stat. 984, approved January 11, 1996; Public Law 104-107 
      [Foreign Operations, Export Financing, and Related Programs 
Appropriations Act, 1996; H.R. 1868], 110 Stat. 704, approved February 
 12, 1996; Public Law 104-201 [National Defense Authorization Act for 
 Fiscal Year 1997; H.R. 3230], 110 Stat. 2422, approved September 23, 
  1996; Public Law 105-121 [Export-Import Bank Reauthorization Act of 
1997; S. 1026], 111 Stat. 2528, approved November 26, 1997; Public Law 
  106-46 [H.R. 2565], 113 Stat. 227, approved August 11, 1999; and by 
Public Law 106-569 [American Homeownership and Economic Opportunity Act 
    of 2000; H.R. 5640], 114 Stat. 2944, approved December 27, 2000

 AN ACT To provide for increasing the lending authority of the Export-
       Import Bank of the United States, and for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled, That this 
Act may be cited as the ``Export-Import Bank Act of 1945.''
    Sec. 2.\1\ (a)(1) There is hereby created a corporation 
with the name Export-Import Bank of the United States \2\ which 
shall be an agency of the United States of America. The objects 
and purposes of the Bank shall be to aid in financing and to 
facilitate exports and imports and the exchange of commodities 
and services \3\ between the United States or any of its 
territories or insular possessions and any foreign country or 
the agencies or nationals thereof. In connection with and in 
furtherance of its objects and purposes, the Bank is authorized 
and empowered to do a general banking business except that of 
circulation; to receive deposits; to purchase, discount, 
rediscount, sell, and negotiate, with or without its 
endorsement or guaranty, and to guarantee notes, drafts, 
checks, bills of exchange, acceptances, including bankers' 
acceptances, cable transfers, and other evidences of 
indebtedness; to guarantee, insure, co-insure, reinsure against 
political and credit risks of loss; \4\ to purchase, sell, and 
guarantee securities but not to purchase with its funds any 
stock in any other corporation except that it may acquire any 
such stock, through the enforcement of any lien or pledge or 
otherwise to satisfy a previously contracted indebtedness to 
it; to accept bills and drafts drawn upon it; to issue letters 
of credit; to purchase and sell coin, bullion, and exchange; to 
borrow and to lend money; to perform any act herein authorized 
in participation with any other person, including any 
individual, partnership, corporation, or association; to adopt, 
alter, and use a corporate seal, which shall be judicially 
noticed; to sue and to be sued, to complain and to defend in 
any court of competent jurisdiction; to represent itself or to 
contract for representation in all legal and arbitral 
proceedings outside the United States; \4\ and the enumeration 
of the foregoing powers shall not be deemed to exclude other 
powers necessary to the achievement of the objects and purposes 
of the Bank. The Bank shall be entitled to the use of the 
United States mails in the same manner and upon the same 
conditions as the executive departments of the Government. The 
Bank is authorized to publish or arrange for the publications 
of any documents, reports, contracts, or other material 
necessary in connection with or in furtherance of its objects 
and purposes without regard to the provisions of section 501 of 
title 44, United States Code, whenever the Bank determines that 
publication in accordance with the provisions of such section 
would not be practicable.\4\ Subject to regulations which the 
Bank shall issue pursuant to section 553 of title 5, United 
States Code, the Bank may \5\ impose and collect reasonable 
fees to cover the costs of conferences and seminars sponsored 
by, and publications provided by, the Bank, and may accept 
reimbursement for travel and subsistence expenses incurred by a 
director, officer, or employee of the Bank, in accordance with 
subchapter I of chapter 57 of title 5, United States Code.\5\ 
Amounts received under the preceding sentence shall be credited 
to the fund which initially paid for such activities and shall 
be offset against the expenses of the Bank for such 
activities.\6\ The Bank is hereby authorized to use all of its 
assets and all moneys which have been or may thereafter be 
allocated to or borrowed by it in the exercise of its 
functions. Net earnings of the Bank after reasonable provision 
for possible losses shall be used for payment of dividends on 
capital stock. Any such dividends shall be deposited into the 
Treasury as miscellaneous receipts.
---------------------------------------------------------------------------
    \1\ 12 U.S.C. 635. Subsec. (a)(1) amended by Act of Dec. 28, 1945 
(59 Stat. 666), and by Act of June 9, 1947 (61 Stat. 130). Para. (2) 
was added by Public Law 92-126 (85 Stat. 346). Public Law 105-121, the 
Export-Import Bank Reauthorization Act of 1997 provided the following:
    ``SECTION 1. SHORT TITLE; TABLE OF CONTENTS
    ``(a) Short Title.--This Act may be cited as the ``Export-Import 
Bank Reauthorization Act of 1997''.''.
    Sec. 7(b) of Public Law 105-121 (111 Stat. 2529) provided the 
following:
    ``(b) Reports to Congress.--Within 6 months after the date of 
enactment of this Act, and annually for each of the 4 years thereafter, 
the Board of Directors of the Export-Import Bank of the United States 
shall submit to Congress a report on the steps that the Board has taken 
to implement section 2(b)(9)(b) of the Export-Import Bank Act of 1945 
and any recommendations of the advisory committee established pursuant 
to such section.''.
    \2\ The name of the Bank, ``Export-Import Bank of Washington'', was 
changed to ``Export-Import Bank of the United States'' by Public Law 
90-267 (82 Stat. 47).
    \3\ Sec. 616(a)(1) of the Export-Import Bank Act Amendments of 1983 
(title VI of Public Law 98-181; 97 Stat. 1257) added the words ``and 
services''.
    \4\ This phrase was added by sec. 2 of Public Law 93-646 (88 Stat. 
2333).
    \5\ Sec. 101(c)(1) of the International Development and Finance Act 
of 1989 (Public Law 101-240; 103 Stat. 2494), struck out ``The Bank 
may'' at the beginning of the 6th sentence, added the opening clause to 
this point; and inserted text at the end of the 6th sentence beginning 
with ``, and may accept''.
    The 6th sentence was previously amended by sec. 2 of the Export-
Import Bank Act Amendments of 1986 (Public Law 99-472; 100 Stat. 1200).
    \6\ Sec. 101(c)(2) of the International Development and Finance Act 
of 1989 (Public Law 101-240; 103 Stat. 2494), inserted ``and shall be 
offset against the expenses of the Bank for such activities'' before 
the period.
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    (2) \7\ In order for the Bank to be competitive in all of 
its financing programs with countries whose exports compete 
with United States exports, the Bank shall establish a program 
that--
---------------------------------------------------------------------------
    \7\ Sec. 622 of the Export-Import Bank Act Amendments of 1983 
(title VI of Public Law 98-181; 97 Stat. 1261) added para. (2). A 
previous text of para. (2) was added by Public Law 92-126 (85 Stat. 
346) and repealed by sec. 13 of Public Law 93-646 (88 Stat. 2337).
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          (A) provides medium-term financing where necessary to 
        be fully competitive--
                  (i) at rates of interest to the customer 
                which are equal to rates established in 
                international agreements; and
                  (ii) in amounts up to 85 percent of the total 
                cost of the exports involved; and
          (B) enables the Bank to cooperate fully with the 
        Secretary of Commerce and the Administrator of the 
        Small Business Administration to develop a program for 
        purposes of disseminating information (using existing 
        private institutions) to small business concerns 
        regarding the medium-term financing provided under this 
        paragraph.
    (3) \8\ Enhancement of Medium-Term Program.--To enhance the 
medium-term financing program established pursuant to paragraph 
(2), the Bank shall establish measures to--
---------------------------------------------------------------------------
    \8\ Sec. 4 of Public Law 99-472 (100 Stat. 1200) added para. (3). 
Sec. 121(a) of the Export Enhancement Act of 1992 (Public Law 102-429; 
106 Stat. 2198) struck out the designation for subpara. (A), struck out 
subpara. (B), and redesignated clauses (i) through (iv) as subparas. 
(A) through (D).
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          (A) improve the competitiveness of the Bank's medium-
        term financing and ensure that its medium-term 
        financing is fully competitive with that of other major 
        official export credit agencies;
          (B) ease the administrative burdens and procedural 
        and documentary requirements imposed on the users of 
        medium-term financing;
          (C) attract the widest possible participation of 
        private financial institutions and other sources of 
        private capital in the medium-term financing of United 
        States exports; and
          (D) render the Bank's medium-term financing as 
        supportive of United States exports as is its Direct 
        Loan Program.
    (b)(1) \9\ (A) It is the policy of the United States to 
foster expansion of exports of manufactured goods, agricultural 
products, and other goods and services,\10\ thereby 
contributing to the promotion and maintenance of high levels of 
employment and real income,\11\ a commitment to reinvestment 
and job creation, and the increased development of the 
productive resources of the United States. To meet this 
objective in all its programs,\12\ the Export-Import Bank is 
directed, in the exercise of its functions, to provide 
guarantees, insurance, and extensions of credit at rates and on 
terms and other conditions which are fully \13\ competitive 
with the Government-supported rates and terms and other 
conditions available for the financing of exports of goods and 
services \14\ from the principal countries whose exporters 
compete with United States exporters. The Bank shall, in 
cooperation with the export financing instrumentalities of 
other governments, seek to minimize competition in Government-
supported export financing and shall, in cooperation with other 
appropriate United States Government agencies, seek to reach 
international agreements to reduce government subsidized export 
financing. The Bank shall, on \15\ an annual basis, report to 
the appropriate committees of Congress its actions in complying 
with these directives. In this report the Bank shall include a 
survey of all other major export-financing facilities available 
from other governments and government-related agencies through 
which foreign exporters compete with United States exporters 
and indicate in specific terms the ways in which the Bank's 
rates, terms, and other conditions compare with those offered 
from such other governments directly or indirectly. Further the 
Bank shall at the same time survey a representative number of 
United States exporters and United States commercial lending 
institutions which provide export credit to determine their 
experience in meeting financial competition from other 
countries whose exporters compete with United States exporters. 
The results of this survey shall be included as part of the 
annual report \16\ required by this subparagraph. The Bank 
shall include in the annual report a description of its role in 
the implementation of the strategic plan prepared by the Trade 
Promotion Coordinating Committee in accordance with section 
2312 of the Export Enhancement Act of 1988.\17\
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    \9\ As amended and restated by Public Law 92-126 (85 Stat. 345) and 
by sec. 3 of Public Law 93-646 (88 Stat. 2333).
    \10\ The words ``manufactured goods, agricultural products and 
other goods and services'' were inserted in lieu of ``goods and related 
services'' by sec. 1910 of Public Law 95-630 (92 Stat. 3726).
    \11\ Sec. 10 of the Export-Import Bank Reauthorization Act of 1997 
(Public Law 105-121, 111 Stat. 2530), struck out ``real income, to the 
increased development of the productive resources of the United 
States'' and inserted ``real income, a commitment to reinvestment and 
job creation, and the increased development of the productive resources 
of the United States.''.
    \12\ Sec. 612(a)(1) of the Export-Import Bank Act Amendments of 
1983 (title VI of Public Law 98-181; 97 Stat. 1255) added the words 
``in all its programs''.
    \13\ Sec. 612(a)(2) of the Export-Import Bank Act Amendments of 
1983 (title VI of Public Law 98-181; 97 Stat. 1255) added the word 
``fully''.
    \14\ Sec. 616(a)(2) of the Export-Import Bank Act Amendments of 
1983 (title VI of Public Law 98-181; 97 Stat. 1255) added the words 
``of goods and services''.
    \15\ The words to this point beginning with ``and shall, in 
cooperation * * *'' were added by sec. 1 of Public Law 95-143 (91 Stat. 
1210).
    \16\ Sec. 1103(d)(1) of Public Law 106-569 (114 Stat. 3030) struck 
``a annual'' and inserted ``an annual''. This requirement was altered 
from a semiannual report to an annual report by sec. 210 of Public Law 
96-470 (94 Stat. 2245).
    \17\ Sec. 121(a)(2) of the Export Enhancement Act of 1992 (Public 
Law 102-429; 106 Stat. 2198) struck out ``The Bank shall also include 
in the annual report a description of each loan by the Bank involving 
the export of any product or service related to the production, 
refining, or transportation of any type of energy or the development of 
any energy resources with a statement assessing the impact, if any, on 
the availability of such products, services, or energy supplies thus 
developed for use within the United States.'', and inserted in lieu 
thereof ``The Bank shall include in the annual report a description of 
its role in the implementation of the strategic plan prepared by the 
Trade Promotion Coordinating Committee in accordance with section 2312 
of the Export Enhancement Act of 1988.''.
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    (B) \18\ It is further the policy of the United States that 
loans made by the Bank in all its programs shall bear interest 
at rates determined by the Board of Directors, consistent with 
the Bank's mandate to support United States exports at rates 
and on terms and conditions which are fully competitive with 
exports of other countries, and consistent with international 
agreements. For the purpose of the preceding sentence, rates 
and terms and conditions need not be identical in all respects 
\19\ to those offered by foreign countries, but should be 
established so that the effect of such rates, terms, and 
conditions for all the Bank's programs, including those for 
small businesses and for medium-term financing, will be to 
neutralize the effect of such foreign credit on international 
sales competition. The Bank shall consider its average cost of 
money as one factor in its determination of interest rates, 
where such consideration does not impair the Bank's primary 
function of expanding United States exports through fully 
competitive financing. The Bank may not impose a credit 
application fee unless (i) the fee is competitive with the 
average fee charged by the Bank's primary foreign competitors, 
and (ii) the borrower or the exporter is given the option of 
paying the fee at the outset of the loan or over the life of 
the loan and the present value of the fee determined under 
either such option is the same amount.\20\ It is also the 
policy of the United States \21\ that the Bank in the exercise 
of its functions should supplement and encourage, and not 
compete with, private capital; that the Bank, in determining 
whether to provide support for a transaction under the loan, 
guarantee, or insurance program, or any combination thereof, 
shall consider the need to involve private capital in support 
of United States exports as well as the cost of the transaction 
as calculated in accordance with the requirements of the 
Federal Credit Reform Act of 1990; \22\ that the Bank shall 
accord equal opportunity to export agents and managers, 
independent export firms, export trading companies,\23\ and 
small commercial banks in the formulation and implementation of 
its programs; \24\ that the Bank should give emphasis to 
assisting new and small business entrants in the agricultural 
export market, and shall, in cooperation with other relevant 
Government agencies, including the Commodity Credit 
Corporation, develop a program of education to increase 
awareness of export opportunities among small agribusinesses 
and cooperatives,\25\ that loans, so far as possible consistent 
with the carrying out of the purposes of subsection (a) of this 
section, shall generally be for specific purposes, and, in the 
judgment of the Board of Directors, offer reasonable assurance 
of repayment; and that in authorizing any loan or guarantee, 
the Board of Directors shall take into account any serious 
adverse effect of such loan or guarantee on the competitive 
position of United States industry, the availability of 
materials which are in short supply in the United States, and 
employment in the United States, and shall give particular 
emphasis to the objective of strengthening the competitive 
position of United States exporters and thereby of expanding 
total United States exports. Only in cases where the President 
\26\, after consultation with the Committee on Banking and 
Financial Services of the House of Representatives and the 
Committee on Banking, Housing, and Urban Affairs of the Senate 
determines that such action would be in the national interest 
where such action would clearly and importantly advance United 
States policy in such areas as international terrorism, nuclear 
proliferation, environmental protection and human rights \27\ 
(including child labor), should the Export-Import Bank deny 
applications for credit for nonfinancial or noncommercial 
considerations.\28\ Each such determination shall be delivered 
in writing to the President of the Bank, shall state that the 
determination is made pursuant to this section, and shall 
specify the applications or categories of applications for 
credit which should be denied by the Bank in furtherance of the 
national interest.\29\ The annual report required under this 
section shall include the report required under section 
10(g).\30\
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    \18\ On March 25, 1994, the Secretary of State determined that:
    ``* * * I determine that it is in the national interest and would 
clearly and importantly advance United States policy in the area of 
human rights for the Export-Import Bank of the United States to deny, 
for nonfinancial or noncommercial considerations, guarantees, insurance 
extension of credit and participants in the extension of credit with 
respect to the purchase of automotive vehicles by the Government of 
Cameroon for use by that country's security force.'' (Department of 
State Public Notice 1977; 59 F.R. 16254).
    On December 21, 1999, the Secretary of State determined that:
    ``* * * I determine that it is in the national interest and would 
clearly and importantly advance the United States policy in Russia for 
the Export-Import Bank of the United States (``the Bank'') to not 
approve, for the time being the financing of exports of goods or 
services in cases APO70202XX and APO67280XX * * *'' (State Department 
Public Notice No. 3192, 65 F.R. 158).
    On March 31, 2000, the Secretary of State determined that:
    ``* * * the determination dated December 21, 1999 with respect to 
Export-Import Bank financing in connection with cases APO70202XX and 
APO67280XX is hereby revoked * * *'' (State Department Public Notice 
No. 3291; 65 F.R. 21054).
    \19\ Sec. 5 of Public Law 99-472 (100 Stat. 1201) substituted the 
words ``identical in all respects'' in lieu of the word ``equivalent''.
    \20\ The words to this point beginning with ``The Bank may not 
impose * * *'' were added by sec. 3 of Public Law 99-472 (100 Stat. 
1200).
    \21\ Sec. 612(b) of the Export-Import Bank Act Amendments of 1983 
(title VI of Public Law 98-181; 97 Stat. 1255) amended and restated 
subpara. (B) to this point.
    \22\ Sec. 104 of the Export Enhancement Act of 1992 (Public Law 
102-429; 106 Stat. 2189) added this clause.
    \23\ Sec. 612(c) of the Export-Import Bank Act Amendments of 1983 
(title VI of Public Law 98-181; 97 Stat. 1255) added the words ``export 
trading companies,''.
    \24\ Sec. 618(a)(1) of the Export-Import Bank Act Amendments of 
1983 (title VI of Public Law 98-181; 97 Stat. 1258) struck out text 
which previously appeared at this point concerning the Bank's policy 
towards small business concerns. See sec. 2(b)(1)(E) below for new text 
regrading this subject.
    \25\ This phrase, from the point of the last semicolon, was added 
by sec. 1916 of Public Law 95-630 (92 Stat. 3727).
    \26\ Sec. 5(1) of the Export-Import Bank Reauthorization Act of 
1997 (Public Law 105-121, 111 Stat. 2529) inserted ``after consultation 
with the Committee on Banking and Financial Services of the House of 
Representatives and the Committee on Banking, Housing, and Urban 
Affairs of the Senate'' after ``President'' in the last sentence of 
sec. 2(b)(1)(B).
    \27\ Sec. 11 of Public Law 105-121 (111 Stat. 2530) inserted 
``(including child labor)'' after ``human rights''.
    \28\ Popularly referred to as the Chafee amendment. Sec. 1904 of 
Public Law 95-630 (92 Stat. 3724) struck out a phrase concerning human 
rights, which had been added by sec. 2 of Public Law 95-143 (91 Stat. 
1210), and substituted the words to this point beginning with ``and 
shall give particular emphasis to''.
    \29\ Sec. 5(2) of Public Law 105-121 (111 Stat. 2529) added ``Each 
such determination shall be delivered in writing to the President of 
the Bank, shall state that the determination is made pursuant to this 
section, and shall specify the applications or categories of 
applications for credit which should be denied by the Bank in 
furtherance of the national interest.'' at the end of sec. 2(b)(1)(B).
    \30\ Sec. 1103(d)(1)(B) of Public Law 106-569 (114 Stat. 3031) 
added the last sentence.
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    (C) \31\ Consistent with the policy of section 501 of the 
Nuclear Non-Proliferation Act of 1978 and section 119 of the 
Foreign Assistance Act of 1961, the Board of Directors shall 
name an officer of the Bank whose duties shall include advising 
the President of the Bank on ways or promoting the export of 
goods and services to be used in the development, production, 
and distribution of nonnuclear renewable energy resources, 
disseminating information concerning export opportunities and 
the availability of Bank support for such activities, and 
acting as a liaison between the Bank and the Department of 
Commerce and other appropriate departments and agencies.
---------------------------------------------------------------------------
    \31\ Clause (C) was added by sec. 1907 of Public Law 95-630 (92 
Stat. 3725).
---------------------------------------------------------------------------
    (D) \32\ It is further the policy of the United States to 
foster the delivery of United States services in international 
commerce. In exercising its powers and functions, the Bank 
shall give full and equal consideration to making loans and 
providing guarantees for the export of services (independently, 
or in conjunction with the export of manufactured goods, 
equipment, hardware or other capital goods) consistent with the 
Bank's policy to neutralize foreign subsidized credit 
competition and to supplement the private capital market.
---------------------------------------------------------------------------
    \32\ Sec. 616(a)(3) of the Export-Import Bank Act Amendments of 
1983 (title VI of Public Law 98-181; 97 Stat. 1257) added subpara. (D).
    Public Law 106-569 struck out ``(i)'' at the beginning of sec. 
2(b)(1)(D), and struck out clause (ii). The clause previously read 
``(ii) The Bank shall include in its annual report a summary of its 
programs regarding the export of services.''
---------------------------------------------------------------------------
    (E) \33\ (i)(I) It is further the policy of the United 
States to encourage the participation of small business in 
international commerce.
---------------------------------------------------------------------------
    \33\ Sec. 618 of the Export-Import Bank Act Amendments of 1983 
(title VI of Public Law 98-181; 97 Stat. 1258) added subparas. (E) and 
(F).
---------------------------------------------------------------------------
    (II) In exercising its authority, the Bank shall develop a 
program which gives fair consideration to making loans and 
providing guarantees for the export of goods and services by 
small businesses.
    (ii) It is further the policy of the United States that the 
Bank shall give due recognition to the policy stated in section 
2(a) of the Small Business Act that ``the Government should 
aid, counsel, assist, and protect, insofar as is possible, the 
interests of small business concerns in order to preserve free 
competitive enterprise''.
    (iii) In furtherance of this policy, the Board of Directors 
shall designate an officer of the Bank who--
          (I) shall be responsible to the President of the Bank 
        for all matters concerning or affecting small business 
        concerns; and
          (II) among other duties, shall be responsible for 
        advising small business concerns of the opportunities 
        for small business concerns in the functions of the 
        Bank and for maintaining liaison with the Small 
        Business Administration and other departments and 
        agencies in matters affecting small business concerns.)
    (iv) The Director appointed to represent the interests of 
small business under section 3(c) of this Act shall ensure that 
the Bank carries out its responsibilities under clauses (ii) 
and (iii) of this subparagraph and that the Bank's financial 
and other resources are, to the maximum extent possible, 
appropriately used for small business needs.
    (v) To assure that the purposes of clauses (i) and (ii) of 
this subparagraph are carried out, the Bank shall make 
available, from the aggregate loan, guarantee, and insurance 
authority available to it, an amount to finance exports 
directly \34\ by small business concerns (as defined under 
section 3 of the Small Business Act) which shall be not less 
than 10 percent of such authority for each fiscal year.\35\
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    \34\ Sec. 116 of the Export Enhancement Act of 1992 (Public Law 
102-429; 106 Stat. 2196) inserted ``directly'' after exports.
    \35\ Sec. 121(a)(3) of the Export Enhancement Act of 1992 (Public 
Law 102-429; 106 Stat. 2198) struck out ``not less than--(I) 6 per 
centum of such authority for fiscal year 1984; (II) 8 per centum of 
such authority for fiscal year 1985; and (III) 10 per centum of such 
authority for fiscal year 1986 and thereafter.'', and inserted in lieu 
thereof ``not less than 10 percent of such authority for each fiscal 
year.''.
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    (vi) The Bank shall utilize the amount set-aside pursuant 
to clause (v) of this subparagraph to offer financing for small 
business exports on terms which are fully competitive with 
regard to interest rates and with regard to the portion of 
financing which may be provided, guaranteed, or insured. 
Financing under this clause (vi) shall be available without 
regard to whether financing for the particular transaction was 
disapproved by any other Federal agency.
    (vii)(I) The Bank shall utilize a part of the amount set 
aside pursuant to clause (v) to provide lines of credit or 
guarantees to consortia of small or medium size banks, export 
trading companies, State export finance agencies, export 
financing cooperatives, small business investment companies (as 
defined in section 103 of the Small Business Investment Act of 
1958), or other financing institutions or entities in order to 
finance small business exports.
    (II) Financing under this clause (vii) shall be made 
available only where the consortia or the participating 
institutions agree to undertake processing, servicing, and 
credit evaluation functions in connection with such financing.
    (III) To the maximum extent practicable, the Bank shall 
delegate to the consortia the authority to approve financing 
under this clause (vii).
    (IV) In the administration of the program under this clause 
(vii), the Bank shall provide appropriate technical assistance 
to participating consortia and may require such consortia 
periodically to furnish information to the Bank regarding the 
number and amount of loans made and the creditworthiness of the 
borrowers.
    (viii) In order to assure that the policy stated in clause 
(i) is carried out, the Bank shall promote small business 
exports and its small business export financing programs in 
cooperation with the Secretary of Commerce, the Office of 
International Trade of the Small Business Administration, and 
the private sector, particularly small business organizations, 
State agencies, chambers of commerce, banking organizations, 
export management companies, export trading companies and 
private industry.
    (ix) \36\ The Bank shall provide, through creditworthy 
trade associations, export trading companies, State export 
finance companies, export finance cooperatives, and other 
multiple-exporter organizations, medium-term risk protection 
coverage for the members and clients of such organizations. 
Such coverage shall be made available to each such organization 
under a single risk protection policy covering its members or 
clients. Nothing in this provision shall be interpreted as 
limiting the Bank's authority to deny support for specific 
transactions or to disapprove a request by such an organization 
to participate in such coverage.
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    \36\ Sec. 6 of Public Law 99-472 (100 Stat. 1201) added clause 
(ix).
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    (F) \33\ Consistent with international agreements, the Bank 
shall urge the Foreign Credit Insurance Association to provide 
coverage against 100 per centum of any loss with respect to 
exports having a value of less than $100,000.
    (G) \37\ Participation in or access to long-, medium-, and 
short-term financing, guarantees, and insurance provided by the 
Bank shall not be denied solely because the entity seeking 
participation or access is not a bank or is not a United States 
person.
---------------------------------------------------------------------------
    \37\ Sec. 7 of Public Law 99-472 (100 Stat 1201) added subpara. 
(G).
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    (H) \38\ (i) It is further the policy of the United States 
to foster the development of democratic institutions and market 
economies in countries seeking such development, and to assist 
the export of high technology items to such countries.
---------------------------------------------------------------------------
    \38\ Sec. 114 of the Export Enhancement Act of 1992 (Public Law 
102-429; 106 Stat. 2195) added subpara. (H).
---------------------------------------------------------------------------
    (ii) In exercising its authority, the Bank shall develop a 
program for providing guarantees and insurance with respect to 
the export of high technology items to countries making the 
transition to market based economies, including eligible East 
European countries (within the meaning of section 4 of the 
Support For East European Democracy (SEED) Act of 1989).
    (iii) As part of the ongoing marketing and outreach efforts 
of the Bank, the Bank shall, to the maximum extent practicable, 
inform high technology companies, particularly small business 
concerns (as such term is defined in section 3 of the Small 
Business Act), about the programs of the Bank for United States 
companies interested in exporting high technology goods to 
countries making the transition to market based economies, 
including any eligible East European country (within the 
meaning of section 4 of the Support For East European Democracy 
(SEED) Act of 1989).
    (iv) In carrying out clause (iii), the Bank shall--
          (I) work with other agencies involved in export 
        promotion and finance; and
          (II) invite State and local governments, trade 
        centers, commercial banks, and other appropriate public 
        and private organizations to serve as intermediaries 
        for the outreach efforts.
    (2) \39\ Prohibition on aid to marxist-leninist 
countries.--
---------------------------------------------------------------------------
    \39\ As amended and restated by sec. 8 of Public Law 99-472 (100 
Stat. 1201).
    Sec. 303 of Public Law 101-179 (103 Stat. 1312) provided that:
    ``(a) Authority To Extend Credit to Poland and Hungary.--
Notwithstanding section 2(b)(2) of the Export-Import Bank Act of 1945 
(12 U.S.C. 635(b)(2)), the Export-Import Bank of the United States may 
guarantee, insure, finance, extend credit, and participate in the 
extension of credit in connection with the purchase or lease of any 
product by the Republic of Hungary or any agency or national thereof or 
by the Polish People's Republic or any agency or national thereof.
    ``(b) Private Financial Intermediaries To Facilitate Exports to 
Poland.--Consistent with the provisions of the Export-Import Bank Act 
of 1945 (12 U.S.C. 635 and following), the Export-Import Bank of the 
United States shall work with private financial intermediaries in 
Poland to facilitate the export of goods and services to Poland.''.
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          (A) In general.--The Bank in the exercise of its 
        functions shall not guarantee, insure, extend credit, 
        or participate in the extension of credit--
                  (i) in connection with the purchase or lease 
                of any product by a Marxist-Leninist country, 
                or agency or national thereof; or
                  (ii) in connection with the purchase or lease 
                of any product by any other foreign country, or 
                agency or national thereof, if the product to 
                be purchased or leased by such other country, 
                agency, or national is, to the knowledge of the 
                Bank, principally for use in, or sale or lease 
                to, a Marxist-Leninist country.
          (B) \40\ Marxist-leninist country defined.--
---------------------------------------------------------------------------
    \40\ Sec. 110 of the Export Enhancement Act of 1992 (Public Law 
102-429; 106 Stat. 2194) amended and restated sec. 2(b)(2)(B).
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                  (i) In general.--For purposes of this 
                paragraph, the term ``Marxist-Leninist 
                country'' means any country that maintains a 
                centrally planned economy based on the 
                principles of Marxism-Leninism, or is 
                economically and militarily dependent on any 
                other such country.
                  (ii) \41\ Specific countries deemed to be 
                marxist-leninist.--Unless otherwise determined 
                by the President in accordance with 
                subparagraph (C), the following countries are 
                deemed to be Marxist-Leninist countries for 
                purposes of this paragraph:
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    \41\ Prior to being amended by sec. 110 of the Export Enhancement 
Act of 1992 (Public Law 102-429; 106 Stat. 2194), this list included 
Cambodian People's Republic, Cooperative Republic of Guyana, 
Czechoslovak Socialist Republic, Democratic People's Republic of Korea, 
Democratic Republic of Afghanistan, Estonia, German Democratic 
Republic, Hungarian People's Republic, Lao People's Democratic 
Republic, Latvia, Lithuania, Mongolian People's Republic, People's 
Democratic Republic of Yemen, People's Republic of Albania, People's 
Republic of Angola, People's Republic of Benin, People's Republic of 
Bulgaria, People's Republic of China, People's Republic of the Congo, 
People's Republic of Mozambique, Polish People's Republic, Republic of 
Cuba, Republic of Nicaragua, Socialist Ethiopia, Socialist Federal 
Republic of Yugoslavia, Socialist Republic of Romania, Socialist 
Republic of Vietnam, Surinam, Tibet, Union of Soviet Socialist 
Republics (including its captive constituent republics).
---------------------------------------------------------------------------
                          (I) Cambodian People's Republic.
                          (II) Democratic People's Republic of 
                        Korea.
                          (III) Democratic Republic of 
                        Afghanistan.\42\
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    \42\ In Presidential Determination No. 90-8 (Feb. 14, 1990, 55 F.R. 
5425), the President determined ``that Mozambique has `ceased to be a 
Marxist-Leninist country within the definition of such term in 
subparagraph (B)(i) of section 2(b)(2) of that Act (12 U.S.C. 
635(b)(2)(B)(i)).' ''.
    In Presidential Determination No. 90-11 (February 20, 1990, 55 F.R. 
11129), the President determined that ``it is in the national interest 
to for the Export-Import Bank to guarantee, insure, extend credit, and 
participate in the extension of credit in connection with the purchase 
or lease of any product or service by, for use in, or for sale or lease 
to Czechoslovakia.''.
    In Presidential Determination No. 90-17 (May 3, 1990, 55 F.R. 
18587), the President determined ``that Nicaragua is no longer a 
Marxist-Leninist country; it is therefore in the national interest to 
guarantee, insure, extend credit and participate in the extension of 
credit in connection with the purchase or lease of any product or 
service by, for use in, or for sale or lease to Nicauragua.''.
    In Presidential Determination No. 91-32 (April 19, 1991, 56 F.R. 
21585), the President determined ``that it is in the national interest 
for the Export-Import Bank to guarantee, insure, extend credit, and 
participate in the extension of credit in connection with the purchase 
or lease of any product or service by, for use in, or for sale or lease 
to Mongolia.''.
    In Presidential Determination No. 91-40 (June 5, 1991, 56 F.R. 
28467), the President determined ``that it is in the national interest 
for the Export-Import Bank to guarantee, insure, extend credit, and 
participate in the extension of credit in connection with the purchase 
or lease of any product or service by, for use in, or for sale or lease 
to Bulgaria.''.
    In Presidential Determination No. 92-11 (January 28, 1992, 57 F.R. 
5787), the President determined ``that it is in the national interest 
for the Export-Import Bank to guarantee, insure, extend credit, and 
participate in the extension of credit in connection with the purchase 
or lease of any product or service by, for use in, or for sale or lease 
to Latvia, Lithuania, and Estonia.''.
    In Presidential Determination No. 92-40 (August 17, 1992, 57 F.R. 
40073), the President determined ``that it is in the national interest 
for the Export-Import Bank to guarantee, insure, extend credit, and 
participate in the extension of credit in connection with the purchase 
or lease of any product or service by, for use in, or for sale or lease 
to Albania.''.
    In Presidential Determination No. 92-14 (February 10, 1992, 57 F.R. 
6659), the President determined ``that Ethiopia . . . has ceased to be 
a Marxist-Leninist country . . .''.
    In Presidential Determination No. 92-32 (June 3, 1992, 57 F.R. 
24933) the President determined ``that the People's Republic of Angola 
has ceased to be a Marxist-Leninist country . . .''.
    In Presidential Determination No. 93-3 (October 7, 1992, 57 F.R. 
47557), the President determined ``that Afghanistan has ceased to be a 
Marxist-Leninist country within the definition of such term in 
subparagraph (B)(i) of section 2(b)(2) of that Act (12 U.S.C. 
635(b)(2)(B)(i)).''.
    In Presidential Determination No. 98-18 (March 9, 1998, 63 F.R. 
14331), the President determined that ``it is in the national interest 
for the Export-Import Bank to guarantee, insure, extend credit, and 
participate in the extension of credit in connection with the purchase 
or lease of any product or service by, for use in, or for sale or lease 
to Vietnam.''.
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                          (IV) Lao People's Democratic 
                        Republic.
                          (V) People's Republic of China.\43\
                          (VI) Republic of Cuba.
                          (VII) Socialist Federal Republic of 
                        Yugoslavia.
                          (VIII) Socialist Republic of Vietnam.
                          (IX) Tibet.\43\
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    \43\ Sec. 103 of the International Development and Finance Act of 
1989 (Public Law 101-240, 103 Stat. 2494) provided that:
    ``(a) Notwithstanding any other provision of law and subject to the 
provisions of subsections (b) and (c), the Export-Import Bank of the 
United States shall not finance any trade with, nor extend any loan, 
credit, credit guarantee, insurance, or reinsurance to the People's 
Republic of China.
    ``(b) The prohibitions described in subsection (a) of this section 
shall not apply to food or agricultural commodities.
    ``(c) The President may waive the prohibitions in subsection (a) if 
he makes a report to Congress either--
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          ``(1) that the Government of the People's Republic of China 
        has made progress on a program of political reform throughout 
        the country, as well as in Tibet, which includes--

                  ``(A) lifting of martial law;
                  ``(B) halting of executions and other reprisals 
                against individuals for the nonviolent expression of 
                their political beliefs;
                  ``(C) release of political prisoners;
                  ``(D) increased respect for internationally 
                recognized human rights, including freedom of 
                expression, the press, assembly, and association; and
                  ``(E) permitting a freer flow of information, 
                including an end to the jamming of Voice of America and 
                greater access for foreign journalists; or

          ``(2) it is in the national interest of the United States to 
        terminate a suspension under subsection (a).''.
          (C) Presidential determination that a country has 
        ceased to be marxist-leninist.--If the President 
        determines that any country on the list contained in 
        subparagraph (B)(ii) has ceased to be a Marxist-
        Leninist country (within the definition of such term in 
        subparagraph (B)(i)), such country shall not be treated 
        as a Marxist-Leninist country for purposes of this 
        paragraph after the date of such determination, unless 
        the President subsequently determines that such country 
        has again become a Marxist-Leninist country.
          (D) \44\ Presidential determination relating to 
        financing in the national interest.--
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    \44\ In Presidential Determination No. 94-53 (September 30, 1994, 
59 F.R. 51483), the President determined ``that it is in the national 
interest for the Export-Import Bank of the United States to extend a 
loan in the amount of approximately $134,009,496 to the People's 
Republic of China in connection with the purchase of U.S. equipment and 
services for the expansion of the Ligang power station within Jiangsu 
Province.''.
    In Presidential Determination No. 95-18 (April 21, 1995, 60 F.R. 
22447), the President determined ``that it is in the national interest 
for the Export-Import Bank of the United States to extend a loan in the 
amount of approximately $237,253,000 to the People's Republic of China 
in connection with the purchase of U.S. equipment and services for the 
expansion of a power plant in Dalian, Liaoning Province.''.
    In Presidential Determination No. 95-19 of (April 21, 1995, 60 F.R. 
22449), the President determined ``that it is in the national interest 
for the Export-Import Bank of the United States to extend a loan in the 
amount of approximately $278,120,000 to the People's Republic of China 
in connection with the purchase of U.S. equipment and services for the 
construction of a power plant in Dandong, Liaoning Province.''.
    In Presidential Determination No. 96-35 (June 26, 1996, 61 F.R. 
36495), the President determined ``that it is in the national interest 
for the Export-Import Bank of the United States to extend a loan in the 
amount of approximately $260,000,000 to the People's Republic of China 
in connection with the purchase of U.S. equipment and services for the 
Nantong II coal-fired power plant in Jiangsu Province.''.
    In Presidential Determination No. 96-37 (June 29, 1996, 61 F.R. 
36989), the President determined ``that it is in the national interest 
for the Export-Import Bank of the United States to extend a loan in the 
amount of approximately $120 million to the People's Republic of China 
in connection with the purchase of (1) non-nuclear island balance of 
plant equipment and services and (2) Westinghouse engineering services 
to the nuclear island, for two units of the Qinshan II nuclear power 
plant.''.
    In Presidential Determination No. 96-38 (June 29, 1996, 61 F.R. 
36991), the President determined ``that it is in the national interest 
for the Export-Import Bank of the United States to extend a loan in the 
amount of approximately $56,000,000 to the People's Republic of China 
in connection with the purchase of U.S. equipment and services for the 
Xiaolangdi hydroelectric power plant in Henan Province.''.
    In Presidential Determination No. 97-2 (November 11, 1996, 61 F.R. 
59805), the President determined ``that it is in the national interest 
for the Export-Import Bank of the United States to extend a loan in the 
amount of approximately $383 million in connection with the purchase of 
the nonnuclear balance of plant equipment and services for the Qinshan 
III nuclear power plant in Zhejiang Province, the People's Republic of 
China.''.
    In Presidential Determination No. 97-3 (November 11, 1996, 61 F.R. 
59807), the President determined ``that it is in the national interest 
for the Export-Import Bank of the United States to extend a loan in the 
amount of approximately $409 million in connection with the purchase of 
U.S. equipment and services for the Yangcheng coal-fired power plant in 
Shanxi Province, the People's Republic of China.''.
    In Presidential Determination No. 97-36 (September 30, 1997, 62 
F.R. 52475), the President determined ``that it is in the national 
interest for the Export-Import Bank of the United States to extend a 
loan in the approximate amount of $60 million to the People's Republic 
of China to finance the export of U.S. goods and services for the 
construction of Shanghai Metro Phase II, Line I, located in the city of 
Shanghai, China.''.
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                  (i) In general.--Subparagraph (A) shall not 
                apply to guarantees, insurance, or extensions 
                of credit by the Bank to a country, agency, or 
                national described in clause (i) or (ii) of 
                subparagraph (A) (in connection with 
                transactions described in such clauses) if the 
                President determines that such guarantees, 
                insurance, or extensions of credit are in the 
                national interest.
                  (ii) Separate determination for certain 
                transactions.--The President shall make a 
                separate determination under clause (i) for 
                each transaction described in clause (i) or 
                (ii) of subparagraph (A) for which the Bank 
                would extend a loan in an amount equal to or 
                greater than $50,000,000.
                  (iii) Report of clause (i) determinations to 
                congress.--Any determination by the President 
                under clause (i) shall be reported to the 
                Congress not later than the earlier of--
                          (I) the end of the 30-day period 
                        beginning on the date of such 
                        determination; or
                          (II) the date the Bank takes final 
                        action with respect to the first 
                        transaction involving the country, 
                        agency, or national for which such 
                        determination is made after the date of 
                        the enactment of the Export-Import Bank 
                        Amendments of 1974, unless a report of 
                        a determination with respect to such 
                        date of enactment.
                  (iv) Report of clause (ii) determinations to 
                congress.--Any determination by the President 
                under clause (ii) shall be reported to the 
                Congress not later than the earlier of--
                          (I) the end of the 30-day period 
                        beginning on the date of such 
                        determination; or
                          (II) the date the Bank takes final 
                        action with respect to the transaction 
                        for which such determination is made.
    (3) \45\ Except as provided by the fourth sentence of this 
paragraph,\46\ no loan or financial guarantee or general 
guarantee or insurance facility \47\ or combination thereof (i) 
in an amount which equals or exceeds $100,000,000,\48\ or (ii) 
\49\ for the export of technology, fuel, equipment, materials, 
or goods or services to be used in the construction, 
alteration, operation, or maintenance of nuclear power, 
enrichment, reprocessing, research, or heavy water production 
facilities, shall be finally approved by the Board of Directors 
of the Bank, unless in each case the Bank has submitted to the 
Congress with respect to such loan, financial guarantee, or 
combination thereof, a detailed statement describing and 
explaining the transaction, at least 25 days of continuous 
session of the Congress prior to the date of final approval. 
For the purpose of the preceding sentence, continuity of a 
session of the Congress shall be considered as broken only by 
an adjournment of the Congress sine die, and the days on which 
either House is not in session because of an adjournment of 
more than 3 days to a day certain shall be excluded in the 
computation of the 25 day period referred to in such sentence. 
Such statement shall contain--
---------------------------------------------------------------------------
    \45\ Sec. 5 of Public Law 93-646 (88 Stat. 2333 at 2335) inserted 
para. (3) and redesignated paras. (3), (4), and (5) of the existing law 
as paras. (4), (5), and (6), respectively (these paragraphs were again 
redesignated as paras. (5), (6), and (7) by Public Law 95-143). Para. 
(3) was amended and restated by sec. 3(a) of Public Law 95-143 (91 
Stat. 1210).
    \46\ This phrase was added by sec. 1902(1) of Public Law 95-630 (92 
Stat. 3724).
    \47\ Sec. 619(b) of the Export-Import Bank Act Amendments of 1983 
(title VI of Public Law 98-181; 97 Stat. 1260) added the words ``or 
general guarantee or insurance facility''.
    \48\ This figure was increased from $60,000,000 by sec. 1902(2) of 
Public Law 95-630 (92 Stat. 3724).
    \49\ Sec. 121 of the Further Continuing Appropriations, Fiscal Year 
1992 (Public Law 102-145, as amended by Public Law 102-266) struck out 
``(ii) in an amount which equals or exceeds $25,000,000 for the export 
of goods or services involving research, exploration, or production of 
fossil fuel energy resources in the Union of Soviet Socialist 
Republics,'', and redesignated ``(iii)'' as ``(ii)''.
---------------------------------------------------------------------------
          (A) \50\ in the case of a loan or financial 
        guarantee--
---------------------------------------------------------------------------
    \50\ Sec. 619(c) of the Export-Import Bank Act Amendments of 1983 
(title VI of Public Law 98-181; 97 Stat. 1260) amended and restated 
subpara. (A).
---------------------------------------------------------------------------
                  (i) a brief description of the purposes of 
                the transaction;
                  (ii) the identity of the party or parties 
                requesting the loan or financial guarantee;
                  (iii) the nature of the goods or services to 
                be exported and the use for which the goods or 
                services are to be exported; and
                  (iv) in the case of a general guarantee or 
                insurance facility--
                          (I) a description of the nature and 
                        purpose of the facility;
                          (II) the total amount of guarantees 
                        or insurance; and
                          (III) the reasons for the facility 
                        and its methods of operation; and
          (B) a full explanation of the reasons for Bank 
        financing of the transaction, the amount of the loan to 
        be provided by the Bank, the approximate rate and 
        repayment terms at which such loan will be made 
        available and the approximate amount of the financial 
        guarantee.
If the Bank submits a statement to the Congress under this 
paragraph and either House of Congress is in an adjournment for 
a period which continues for at least ten days after the date 
of submission of the statement, then any such loan or guarantee 
or combination thereof may, subject to the second sentence of 
this paragraph, be finally approved by the Board of Directors 
upon the termination of the twenty-five-day period referred to 
in the first sentence of this paragraph or upon the termination 
of a thirty-five-calendar-day period (which commences upon the 
date of submission of the statement), whichever occurs 
sooner.\51\
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    \51\ This sentence was added by sec. 1902 of Public Law 95-630 (92 
Stat. 3724).
---------------------------------------------------------------------------
    (4) \52\ (A) If the Secretary of State determines that--
---------------------------------------------------------------------------
    \52\ Para. (4) is popularly referred to as the Glenn amendment. 
Sec. 3(b) of Public Law 95-143 (91 Stat. 1210) added para. (4) and 
redesignated paras. (4) through (6) as paras. (5) through (7), 
respectively.
    Para. (4) was amended by sec. 620(a) of the Export-Import Bank Act 
Amendments of 1983 (title VI of Public Law 98-181; 97 Stat. 1261), sec. 
825 of the Foreign Relations Authorization Act, Fiscal Years 1994 and 
1995 (Public Law 103-236; 108 Stat. 514), and was once again restated 
by sec. 1303(a) of the National Defense Authorization Act for Fiscal 
Year 1997 (Public Law 104-201; 110 Stat. 2702).
    Sec. 1303(b) of that Act (110 Stat. 2704) further provided the 
following:
    ``(b) Recommendations To Make Nonproliferation Laws More 
Effective.--Not later than 180 days after the date of the enactment of 
this Act, the President shall submit to the Congress his 
recommendations on ways to make the laws of the United States more 
effective in controlling and preventing the proliferation of weapons of 
mass destruction and missiles. The report shall identify all sources of 
Government funds used for such nonproliferation activities.''.
    In Presidential Determination No. 99-44 (Sept. 30, 1999, 64 F.R. 
54503) the President waived the application of sanctions and 
prohibitions contained in sec. 2(b)(4) of this Act with regard to 
Pakistan and India ``insofar as such sanctions and prohibitions would 
otherwise apply to any credit, credit guarantee, or financial 
assistance provided by the Department of Agriculture to support the 
purchase of food or other agricultural commodity.''.
    In Presidential Determination 2000-4 (Oct. 27, 1999, 64 F.R. 
60649), the President waived the application of sec. 2(b)(4) of the Act 
``(1) with respect to India, insofar as such sanctions would otherwise 
apply to the Export-Import Bank . . .; the making of any loan or the 
providing of any credit to the Government of India by any U.S. bank; . 
. . and any credit, credit guarantee, or other financial assistance 
provided by the Department of Agriculture to support the purchase of 
food or other agricultural commodity; and (2) with respect to Pakistan, 
insofar as such sanctions would otherwise apply to any credit, credit 
guarantee or other financial assistance provided by the Department of 
Agriculture to support the purchase of food or other agricultural 
commodity, and the making of any loan or providing of any credit to the 
Government of Pakistan by any U.S. bank.''.
    In Presidential Determination No. 2000-18 (March 16, 2000, 65 F.R. 
16297), the President waived the sanctions contained in sec. 2(b)(4) of 
the Act ``with respect to India, insofar as the sanctions would 
otherwise apply to assistance for the South Asian Regional Initiative/
Energy; the Presidential Initiative on Internet for Economic 
Development; the Financial Institution Reform and Expansion Program; 
and the United States Educational Foundation in India Environmental 
Exchange . . .''.
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          (i) any country that has agreed to International 
        Atomic Energy Agency nuclear safeguards materially 
        violates, abrogates, or terminates, after October 26, 
        1977, such safeguards;
          (ii) any country that has entered into an agreement 
        for cooperation concerning the civil use of nuclear 
        energy with the United States materially violates, 
        abrogates, or terminates, after October 26, 1977, any 
        guarantee or other undertaking to the United States 
        made in such agreement;
          (iii) any country that is not a nuclear-weapon state 
        detonates, after October 26, 1977, a nuclear explosive 
        device;
          (iv) any country willfully aids or abets, after June 
        29, 1994, any non-nuclear-weapon state to acquire any 
        such nuclear explosive device or to acquire 
        unsafeguarded special nuclear material; or
          (v) any person knowingly aids or abets, after the 
        date of enactment of the National Defense Authorization 
        Act for Fiscal Year 1997, any non-nuclear-weapon state 
        to acquire any such nuclear explosive device or to 
        acquire unsafeguarded special nuclear material,
then the Secretary of State shall submit a report to the 
appropriate committees of the Congress and to the Board of 
Directors of the Bank stating such determination and 
identifying each country or person the Secretary determines has 
so acted.
    (B)(i) If the Secretary of State makes a determination 
under subparagraph (A)(v) with respect to a foreign person, the 
Congress urges the Secretary to initiate consultations 
immediately with the government with primary jurisdiction over 
that person with respect to the imposition of the prohibition 
contained in subparagraph (C).
    (ii) In order that consultations with that government may 
be pursued, the Board of Directors of the Bank shall delay 
imposition of the prohibition contained in subparagraph (C) for 
up to 90 days if the Secretary of State requests the Board to 
make such delay. Following these consultations, the prohibition 
contained in subparagraph (C) shall apply immediately unless 
the Secretary determines and certifies to the Congress that 
that government has taken specific and effective actions, 
including appropriate penalties, to terminate the involvement 
of the foreign person in the activities described in 
subparagraph (A)(v). The Board of Directors of the Bank shall 
delay the imposition of the prohibition contained in 
subparagraph (C) for up to an additional 90 days if the 
Secretary requests the Board to make such additional delay and 
if the Secretary determines and certifies to the Congress that 
that government is in the process of taking the actions 
described in the preceding sentence.
    (iii) Not later than 90 days after making a determination 
under subparagraph (A)(v), the Secretary of State shall submit 
to the appropriate committees of the Congress a report on the 
status of consultations with the appropriate government under 
this subparagraph, and the basis for any determination under 
clause (ii) that such government has taken specific corrective 
actions.
    (C) The Board of Directors of the Bank shall not give 
approval to guarantee, insure, or extend credit, or participate 
in the extension of credit in support of United States exports 
to any country, or to or by any person, identified in the 
report described in subparagraph (A).
    (D) The prohibition in subparagraph (C) shall not apply to 
approvals to guarantee, insure, or extend credit, or 
participate in the extension of credit in support of United 
States exports to a country with respect to which a 
determination is made under clause (i), (ii), (iii), or (iv) of 
subparagraph (A) regarding any specific event described in such 
clause if the President determines and certifies in writing to 
the Congress not less than 45 days prior to the date of the 
first approval following the determination that it is in the 
national interest for the Bank to give such approvals.
    (E) The prohibition in subparagraph (C) shall not apply to 
approvals to guarantee, insure, or extend credit, or 
participate in the extension of credit in support of United 
States exports to or by a person with respect to whom a 
determination is made under clause (v) of subparagraph (A) 
regarding any specific event described in such clause if--
          (i) the Secretary of State determines and certifies 
        to the Congress that the appropriate government has 
        taken the corrective actions described in subparagraph 
        (B)(ii); or
          (ii) the President determines and certifies in 
        writing to the Congress not less than 45 days prior to 
        the date of the first approval following the 
        determination that--
                  (I) reliable information indicates that--
                          (aa) such person has ceased to aid or 
                        abet any non-nuclear-weapon state to 
                        acquire any nuclear explosive device or 
                        to acquire unsafeguarded special 
                        nuclear material; and
                          (bb) steps have been taken to ensure 
                        that the activities described in item 
                        (aa) will not resume; or
                  (II) the prohibition would have a serious 
                adverse effect on vital United States 
                interests.
    (F) For purposes of this paragraph:
          (i) The term ``country'' has the meaning given to 
        ``foreign state'' in section 1603(a) of title 28, 
        United States Code.
          (ii) The term ``knowingly'' is used within the 
        meaning of the term ``knowing'' in section 104(h)(3) of 
        the Foreign Corrupt Practices Act (15 U.S.C. 78dd-
        2(h)(3)).
          (iii) The term ``person'' means a natural person as 
        well as a corporation, business association, 
        partnership, society, trust, any other nongovernmental 
        entity, organization, or group, and any governmental 
        entity operating as a business enterprise, and any 
        successor of any such entity.
          (iv) The term ``nuclear-weapon state'' has the 
        meaning given the term in Article IX(3) of the Treaty 
        on the Non-Proliferation of Nuclear Weapons, signed at 
        Washington, London, and Moscow on July 1, 1968.
          (v) The term ``non-nuclear-weapon state'' has the 
        meaning given the term in section 830(5) of the Nuclear 
        Proliferation Prevention Act of 1994 (Public Law 103-
        236; 108 Stat. 521).
          (vi) The term ``nuclear explosive device'' has the 
        meaning given the term in section 830(4) of the Nuclear 
        Proliferation Prevention Act of 1994 (Public Law 103-
        236; 108 Stat. 521).
          (vii) The term ``unsafeguarded special nuclear 
        material'' has the meaning given the term in section 
        830(8) of the Nuclear Proliferation Prevention Act of 
        1994.
    (5) \53\ The Bank shall not guarantee, insure, or extend 
credit, or participate in the extension of credit in connection 
with (A) the purchase of any product, technical data, or other 
information by a national or agency of any nation which engages 
in armed conflict declared or otherwise, with the Armed Forces 
of the United States, (B) the purchase by any nation (or 
national or agency thereof) of any product, technical data, or 
other information which is to be used principally by or in any 
such nation described in clause (A). The Bank shall not 
guarantee, insure, or extend credit, or participate in the 
extension of credit in connection with the purchase of any 
product, technical data, or other information by a national or 
agency of any nation if the President determines that any such 
transaction would be contrary to the national interest, or (C) 
the purchase of any liquid metal fast breeder nuclear reactor 
or any nuclear fuel reprocessing facility.\54\
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    \53\ Sec. 2(b)(3) (subsequently redesignated as sec. 2(b)(5)) was 
amended and restated by Public Law 92-126 (85 Stat. 346). Previously 
added by Public Law 90-267 (82 Stat. 48).
    \54\ Clause (C) was added by sec. 3(c) of Public Law 95-143 (91 
Stat. 1211).
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    (6) \52\ (A) \55\ The Bank shall not guarantee, insure, or 
extend credit, or participate in an extension of credit in 
connection with any credit sale of defense articles and defense 
services to any country.\56\
---------------------------------------------------------------------------
    \55\ Sec. 4703 of the Anti-Drug Abuse Act of 1988 (Public Law 100-
690; 102 Stat. 4181) amended sec. 2(b)(6) by inserting subpara. 
designation ``(A)''; by substituting ``subparagraph'' in lieu of 
``paragraph''; and by adding new subpara. (B).
    Effective July 11, 1994, the Secretary of State determined, 
pursuant to sec. 2(b)(6), that: ``(1) the U.S. content of five early 
warning aircraft systems, for which the Government of Brazil has 
requested Export-Import Bank financial guarantees, will be used 
primarily for counternarcotics purposes and (2) the sale of such 
defense articles and services is in the national interest of the United 
States.'' (Department of State Public Notice 2054; 59 F.R. 44450).
    Effective September 24, 1997, the Acting Secretary of State 
determined that: ``(1) The defense articles and services for which the 
Government of The Bahamas has requested Export-Import Bank financial 
guarantees, two (2) 60 meter patrol craft, are being sold primarily for 
anti-narcotics purposes; (2) The sale of such defense articles and 
services would be in the national interest of the United States; (3) 
The requirement for a determination that the Commonwealth of The 
Bahamas has complied with all restrictions imposed by the United States 
on the end use of defense articles or services . . . is inapplicable; 
(4) The requirement for a determination that the Commonwealth of The 
Bahamas has not used defense articles or services for which the Export-
Import Bank has provided guarantees . . . to engage in a consistent 
pattern of gross violations of international recognized human rights is 
inapplicable . . .'' (State Department Public Notice 2613; 62 F.R. 
52603).
    Effective June 26, 1998, the Secretary of State determined that: 
``(1) the defense articles and services for which the Government of 
Venezuela has requested Export-Import Bank financial guarantees, parts 
and services for the refurbishment to seventeen (17) OV-10 aircraft, 
are being sold primarily for anti-narcotics purposes; (2) the sale of 
such defense articles and services would be in the national interest of 
the United States; (3) the requirement for a determination that the 
Government of Venezuela has complied with all restrictions imposed by 
the United States on the end-use of defense articles or services for 
which the Export-Import Bank has provided guarantees or insurance under 
section 2(b)6 of the Export-Import Bank Act is inapplicable because the 
pending financing will be the first Ex-Im Bank transaction with 
Venezuela made under section 2(b)(6) of the Act; (4) The requirement 
for a determination that the Government of Venezuela has not used 
defense articles or services for which the Export-Import Bank has 
provided guarantees or insurance under section (2)(b)(6) of the Export-
Import Bank Act to engage in a consistent pattern of gross violations 
of internationally recognized human rights is inapplicable because of 
the pending transactions will be the first Ex-Im Bank transaction with 
Venezuela made under section 2(b)(6) of the Act . . .'' (State 
Department Public Notice No. 2843, 63 F.R. 34952).Effective July 11, 
2000, the Secretary of State determined that: ``(1) The defense 
articles and services for which the Government of Colombia has 
requested Export-Import Bank (Ex-Im) financial guarantees, fourteen UH-
60 (Blackhawk) helicopters, are to be used primarily for anti-narcotics 
purposes; (2) the sale of such defense articles and services would be 
in the national interest of the United States; (3) The Government of 
Colombia has complied with all U.S.-imposed end-use restrictions on the 
use of defense articles and services previously financed under the Act; 
and (4) The Government of Columbia has not used defense articles or 
services previously provided under the Act to engage in a consistent 
pattern of gross violations of internationally recognized human rights 
. . .'' (State Department Public Notice No. 3361; 65 F.R. 42743).
    \56\ Sec. 112(d) of the Export Enhancement Act of 1992 (Public Law 
102-429; 106 Stat. 2195) inserted a period here and struck out the rest 
of the subparagraph, which read as follows:
    ``* * * designated under section 4916 of the Internal Revenue Code 
of 1986 as an economically less developed country for purposes of the 
tax imposed by section 4911 of that Code. The prohibitions set forth in 
this subparagraph shall not apply with respect to any transaction the 
consummation of which the President determines would be in the national 
interest and reports such determination (within thirty days after 
making the same) to the Senate and House of Representatives. In making 
any such determination the President shall take into account, among 
other considerations, the national interest in avoiding arm races among 
countries not directly menaced by the Soviet Union or by Communist 
China; in avoiding arming military dictators who are denying social 
progress to their own peoples; and in avoiding expenditures by 
developing countries of scarce foreign exchange needed for peaceful 
economic progress.''.
    Sec. 12(c)(1)(A) of the International Narcotics Control Act of 1992 
(Public Law 102-583; 106 Stat. 4935), however, struck out from 
``designated'' through the end of the subparagraph, and inserted in 
lieu thereof ``, except as otherwise provided in subparagraph (B).''.
---------------------------------------------------------------------------
    (B) \57\ Subparagraph (A) \55\ shall not apply to any sale 
of defense articles or services if--
---------------------------------------------------------------------------
    \57\ Sec. 112(d)(2) of the Export Enhancement Act of 1992 (Public 
Law 102-429; 106 Stat. 2195) struck out reference to sec. 32 of the 
Arms Export Control Act here, and repealed sec. 32 of the AECA. Sec. 
12(c) of the International Narcotics Control Act of 1992 (Public Law 
102-583; 106 Stat. 4935) made the same amendments.
---------------------------------------------------------------------------
          (i) the Bank is requested to provide a guarantee or 
        insurance for the sale;
          (ii) the President determines that the defense 
        articles or services are being sold primarily for anti-
        narcotics purposes;
          (iii) section 490(e) \58\ of the Foreign Assistance 
        Act of 1961 does not apply with respect to the 
        purchasing country; and
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    \58\ Formerly read ``section 481(h)(5)''. Sec. 6(a) of the 
International Narcotics Control Act of 1992 (Public Law 102-583; 106 
Stat. 4932) provided that ``any reference in any provision of law 
enacted before the date of enactment of this Act to section 481(h) of 
that Act shall be deemed, as of October 1, 1992, to be a reference to 
section 490.''. Sec. 6(c)(1) of that Act struck out ``481(h)(5)'' and 
inserted in lieu thereof ``490(e)''.
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          (iv) the President determines, in accordance with 
        subparagraph (C), that the sale is in the national 
        interest of the United States; and \59\
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    \59\ Sec. 112(a) of the Export Enhancement Act of 1992 (Public Law 
102-429; 106 Stat. 2194) inserted ``and'' at the end of clause (iv); 
struck out ``; and'' at the end of clause (v) and instead ended the 
clause with a period; and struck out clause (vi), which required that 
``the sale is made on or before September 30, 1992''. Previously, these 
authorities were extended to September 30, 1992 by sec. 562(d) of the 
Foreign Operations, Export Financing, and Related Programs 
Appropriations Act, 1991 (Public Law 101-513; 104 Stat. 2031). Sec. 
12(a) of the International Narcotics Control Act of 1992 (Public Law 
102-583; 106 Stat. 4935) would have extended these authorities to 
September 30, 1997, however, such amendment was superseded by the 
amendment in Public Law 102-429.
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          (v) the Bank determines that, notwithstanding the 
        provision of a guarantee or insurance for the sale, not 
        more than 5 percent of the guarantee and insurance 
        authority available to the Bank in any fiscal year will 
        be used by the Bank to support the sale of defense 
        articles or services.\60\
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    \60\ Sec. 112(d)(2)(B) of the Export Enhancement Act of 1992 
(Public Law 102-429; 106 Stat. 2195) struck out ``and services'' and 
inserted in lieu thereof ``or services''. Sec. 12(c)(1)(B)(ii) of the 
International Narcotics Control Act of 1992 (Public Law 102-583; 106 
Stat. 4935) made the same amendment.
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    (C) In determining whether a sale of defense articles or 
services would be in the national interest of the United 
States, the President shall take into account whether the sale 
would--
          (i) be consistent with the anti-narcotics policy of 
        the United States;
          (ii) involve the end use of a defense article or 
        service in a major illicit drug producing or major 
        drug-transit country (as defined in section 481(e) \61\ 
        of the Foreign Assistance Act of 1961); and
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    \61\ Formerly read ``defined in section 481(i)''. Sec. 6(c)(2) of 
the International Narcotics Control Act of 1992 (Public Law 102-583; 
106 Stat. 4932) struck out ``defined in section 481(i)'' and inserted 
in lieu thereof ``determined under section 490(h) or 481(e), as 
appropriate,''. Sec. 102(a) of the International Narcotics Control 
Corrections Act of 1994 (Public Law 103-447; 108 Stat. 4693), 
subsequently struck out that and inserted in lieu thereof ``defined in 
section 481(e)''.
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          (iii) be made to a country with a democratic form of 
        government.
    (D)(i) The Board shall not give approval to guarantee or 
insure a sale of defense articles or services unless--
          (I) the President determines, in accordance with 
        subparagraph (C), that it is in the national interest 
        of the United States for the Bank to provide such 
        guarantee or insurance; \62\
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    \62\ Sec. 112(b) of the Export Enhancement Act of 1992 (Public Law 
102-429; 106 Stat. 2194) struck out ``and'' at the end of subclause 
(I); redesignated subclause (II) as (III); and added a new subclause 
(II).
    Sec. 12(b) of the International Narcotics Control Act of 1992 
(Public Law 102-583; 106 Stat. 4935) made the same amendments.
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          (II) \62\ the President determines, after 
        consultation with the Assistant Secretary of State for 
        Human Rights and Humanitarian Affairs, that the 
        purchasing country has complied with all restrictions 
        imposed by the United States on the end use of any 
        defense articles or services for which a guarantee or 
        insurance was provided under subparagraph (B), and has 
        not used any such defense articles or services to 
        engage in a consistent pattern of gross violations of 
        internationally recognized human rights; and
          (III) \62\ such determinations have \63\ been 
        reported to the Speaker and the Committee on Banking, 
        Finance and Urban Affairs \64\ of the House of 
        Representatives, and to the Committee on Banking, 
        Housing, and Urban Affairs and the Committee on Foreign 
        Relations of the Senate, not less than 25 days of 
        continuous session of the Congress before the date of 
        such approval.
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    \63\ Sec. 112(d)(3) of the Export Enhancement Act of 1992 (Public 
Law 102-429; 106 Stat. 2195) struck out ``determination has'' and 
inserted in lieu thereof ``determinations have''. Sec. 12(c)(1)(C) of 
the International Narcotics Control Act of 1992 (Public Law 102-583; 
106 Stat. 4935) made the same amendment.
    \64\ Sec. 1(a)(2) of Public Law 104-14 (109 Stat. 186) provided 
that references to the Committee on Banking, Finance and Urban Affairs 
of the House of Representatives shall be treated as referring to the 
Committee on Banking and Financial Services of the House of 
Representatives.
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          (ii) For purposes of clause (i), continuity of a 
        session of the Congress shall be considered as broken 
        only by an adjournment of the Congress sine die, and 
        the days on which either House is not in session 
        because of an adjournment of more than 3 days to a day 
        certain shall be excluded in the computation of the 25-
        day period referred to in such clause.\65\
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    \65\ Sec. 112(d)(4) of the Export Enhancement Act of 1992 (Public 
Law 102-429; 106 Stat. 2195) struck out ``sentence'' and inserted in 
lieu thereof ``clause''. Sec. 12(c)(1)(D) of the International 
Narcotics Control Act of 1992 (Public Law 102-583; 106 Stat. 4935) made 
the same amendment.
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    (E) The provision of a guarantee or insurance under 
subparagraph (B) shall be deemed to be the provision of 
security assistance for purposes of section 502B of the Foreign 
Assistance Act of 1961 (relating to governments which engage in 
a consistent pattern of gross violations of international 
recognized human rights).
    (F) To the extent that defense articles or services for 
which a guarantee or insurance is provided under subparagraph 
(B) are used for a purpose other than anti-narcotics purposes, 
they may be used only for those purposes for which defense 
articles and defense services sold under the Arms Export 
Control Act (relating to the foreign military sales program) 
may be used under section 4 of such Act.
    (G) As used in subparagraphs (B), (C), (D), and (F),\66\ 
the term ``defense articles or services'' \67\ means articles, 
services, and related technical data that are designated as 
defense articles and defense services pursuant to sections 38 
and 47(7) of the Arms Export Control Act and listed on the 
United States Munitions List (part 121 of title 22 of the Code 
of Federal Regulations).
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    \66\ Sec. 101(d) of the International Development and Finance Act 
of 1989 (Public Law 101-240; 103 Stat. 2495) struck out ``this 
paragraph'' and inserted in lieu thereof ``subparagraphs (B), (C), (D), 
and (F)''.
    \67\ Sec. 112(d)(5) of the Export Enhancement Act of 1992 (Public 
Law 102-429; 106 Stat. 2195) struck out ``and services'' and inserted 
in lieu thereof ``or services''.
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    (H) \68\ Once in each calendar quarter, the Bank shall 
submit a report to the Committee on Banking, Housing, and Urban 
Affairs of the Senate, and the Committee on Banking, Finance 
and Urban Affairs \64\ of the House of Representatives on all 
instances in which the Bank, during the reporting quarter, 
guaranteed, insured, or extended credit or participated in an 
extension of credit in connection with any credit sale of an 
article, service, or related technical data described in 
subparagraph (G) that the Bank determined would not be put to a 
military use or described in subparagraph (I)(i).\69\ Such 
report shall include a description of each of the transactions 
and the justification for the Bank's actions.
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    \68\ Sec. 112(c) of the Export Enhancement Act of 1992 (Public Law 
102-429; 106 Stat. 2195) added subpara. (H).
    \69\ Sec. 1(b) of Public Law 103-428 (108 Stat. 4375) inserted ``or 
described in subparagraph (I)(i)'' before the first period in subpara. 
(H). Sec. 1(c) of that Act, however, stipulated that ``The amendments 
made by this section shall remain in effect during the period beginning 
on the date of enactment of this Act [October 31, 1994] and ending on 
September 30, 2001.'' [12 U.S.C. 635 note]. Sec. 4 of Public Law 105-
121 amended sec. 1(c) of Public Law 103-428 [12 U.S.C. 635 note; 108 
Stat. 4376] by striking ``1997'' and inserting ``2001''.
---------------------------------------------------------------------------
    (I) \70\ (i) Subparagraph (A) shall not apply to a 
transaction involving defense articles or services if--
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    \70\ Sec. 1(a) of Public Law 103-428 (108 Stat. 4375) added 
subpara. (I). Sec. 1(c) of that Act, however, stipulated that ``The 
amendments made by this section shall remain in effect during the 
period beginning on the date of enactment of this Act [October 31, 
1994] and ending on September 30, 1997.'' [12 U.S.C. 635 note].
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          (I) the Bank determines that--
                  (aa) the defense articles or services are 
                nonlethal; and
                  (bb) the primary end use of the defense 
                articles or services will be for civilian 
                purposes; and
          (II) at least 15 calendar days before the date on 
        which the Board of Directors of the Bank gives final 
        approval to Bank participation in the transaction, the 
        Bank provides notice of the transaction to the 
        Committees on Banking, Finance and Urban Affairs and on 
        Appropriations of the House of Representatives and the 
        Committees on Banking, Housing, and Urban Affairs and 
        on Appropriations of the Senate.
    (ii) Not more than 10 percent of the loan, guarantee, and 
insurance authority available to the Bank for a fiscal year may 
be used by the Bank to support the sale of defense articles or 
services to which subparagraph (A) does not apply by reason of 
clause (i) of this subparagraph.
    (iii) Not later than September 1 of each fiscal year, the 
Comptroller General of the United States, in consultation with 
the Bank, shall submit to the Committees on Banking, Finance 
and Urban Affairs and on Appropriations of the House of 
Representatives and the Committees on Banking, Housing, and 
Urban Affairs and on Appropriations of the Senate a report on 
the end uses of any defense articles or services described in 
clause (i) with respect to which the Bank provided support 
during the second preceding fiscal year.
    (7) \52\ In no event shall the Bank have outstanding at any 
time in excess of 7\1/2\ per centum of the limitation imposed 
by section 7 of this Act for such guarantees, insurance, 
credits or participation in credits with respect to exports of 
defense articles and services to countries which, in the 
judgment of the Board of Directors of the Bank, are less 
developed.
    (8) \71\ The Bank shall supplement but not compete with 
private capital and the programs of the Commodity Credit 
Corporation to ensure that adequate financing will be made 
available to assist the export of agricultural commodities, 
except that, consistent with section 2(b)(1)(A) of this Act, 
the Bank in assisting any such export transactions shall, in 
cooperation with the export financing instrumentalities of 
other governments, seek to minimize competition in Government-
supported export financing, and shall, in cooperation with 
other appropriate United States Government agencies, seek to 
reach international agreements to reduce Government subsidized 
export financing. In order to carry out the purposes of this 
subsection, the Bank shall consult with the Secretary of 
Agriculture and where the Secretary of Agriculture has 
recommended against Bank financing of the export of a 
particular agricultural commodity, shall take such 
recommendation into consideration in determining whether to 
provide credit or other assistance for any export sale of such 
commodity, and shall consider the importance of agricultural 
commodity exports to the United States export market and the 
Nation's balance of trade in deciding whether or not to provide 
assistance under this subsection. The Bank shall include in the 
report to Congress under section 9(a) of this Act a description 
of the measures undertaken by it pursuant to this subsection.
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    \71\ This paragraph, originally added as para. (7) by sec. 1909 of 
Public Law 95-630 (92 Stat. 3725), was redesignated as para. (8) by 
sec. 619(d)(2) of the Export-Import Bank Act Amendments of 1983 (title 
VI of Public Law 98-181; 97 Stat. 1261).
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    (9) \72\ (A) The Board of Directors of the Bank shall take 
prompt measures, consistent with the credit standards otherwise 
required by law, to promote the expansion of the Bank's 
financial commitments in sub-Saharan Africa under the loan, 
guarantee, and insurance programs of the Bank.
---------------------------------------------------------------------------
    \72\ Sec. 2(b)(9), popularly referred to as the Evans amendment, 
was repealed by sec. 4(b)(5) of the South African Democratic Transition 
Support Act of 1993 (Public Law 103-149; 107 Stat. 1505). The paragraph 
had prohibited the Bank, in most cases, from guaranteeing, insuring, or 
extending credit or participating in the extension of credit (a) in 
support of any export which would contribute to enabling the Government 
of the Republic of South Africa to maintain or enforce apartheid. It 
had been originally added as para. (8) by sec. 1915 of Public Law 95-
630 (92 Stat. 3727).
    Sec. 7 of Public Law 105-121 (111 Stat. 2529) inserted a new sec. 
2(b)(9) establishing an advisory committee for sub-Saharan Africa.
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    (B)(i) The Board of Directors of the Bank shall establish 
and use an advisory committee to advise the Board of Directors 
on the development and implementation of policies and programs 
designed to support the expansion described in subparagraph 
(A).
    (ii) The advisory committee shall make recommendations to 
the Board of Directors on the development and implementation of 
policies and programs designed to support the expansion 
described in subparagraph (A).
    (ii) The advisory committee shall terminate 4 years after 
the date of enactment of this subparagraph.
    (10) \73\ (A) The Bank shall not, without a specific 
authorization by law, guarantee, insure, or extend credit (or 
participate in the extension of credit) to--
---------------------------------------------------------------------------
    \73\ Sec. 619(d)(3) of the Export-Import Bank Act Amendments of 
1983 (title VI of Public Law 98-181; 97 Stat. 1261) added para. (10).
---------------------------------------------------------------------------
          (i) assist specific countries with balance of 
        payments financing; or
          (ii) assist (as the primary purpose of any such 
        guarantee, insurance, or credit) any country in the 
        management of its international indebtedness, other 
        than its outstanding obligations to the Bank.
    (B) Nothing contained in subparagraph (A) shall preclude 
guarantees, insurance, or credit the primary purpose of which 
is to support United States exports.
    (11) \74\ Prohibition relating to angola.--The \75\ Bank 
may not guarantee, insure, or extend (or participate in the 
extension of) credit in connection with any export of any good 
(other than food or an agricultural commodity) or service to 
the People's Republic of Angola until the President certifies 
to the Congress that free and fair elections have been held in 
Angola in which all participants were afforded free and fair 
access, and that the government of Angola--
---------------------------------------------------------------------------
    \74\ Sec. 102 of the International Development and Finance Act of 
1989 (Public Law 101-240; 103 Stat. 2495) added this paragraph as 
``(12)''. Sec. 111(1) of the Export Enhancement Act of 1992 (Public Law 
102-429; 106 Stat. 2194) struck out former para. (11), and redesignated 
this as ``(11)''. Former para. (11), which had been added by sec. 9 of 
Public Law 99-472 (100 Stat. 1203), read as follows:
    ``(11) Prohibition relating to angola.--Notwithstanding any 
determination by the President under paragraph (2), the Bank may not 
guarantee, insure, or extend credit (or participate in the extension of 
credit) in connection with any export of goods or service, except food 
or agricultural commodities, to the People's Republic of Angola until 
the President certifies to the Congress that no combatant forces or 
military advisors of the Republic of Cuba or of any other Marxist-
Leninist country (as such term is defined in paragraph (2)(B)) remain 
in Angola.''.
    \75\ Sec. 111(2) of the Export Enhancement Act of 1992 (Public Law 
102-429; 106 Stat. 2194) struck out ``Notwithstanding any determination 
by the President under paragraph (2) or (11), the'', and inserted in 
lieu thereof ``The''.
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          (A) is willing, and is actively seeking, to achieve 
        an equitable political settlement of the conflict in 
        Angola, including free and fair elections, through a 
        mutual cease-fire and a dialogue with the opposition 
        armed forces;
          (B) has demonstrated progress in protecting 
        internationally recognized human rights, and 
        particularly in--
                  (i) ending, through prosecution or other 
                means, involvement of members of the military 
                and security forces in political violence and 
                abuses of internationally recognized human 
                rights;
                  (ii) vigorously prosecuting persons engaged 
                in political violence who are connected with 
                the government; and
                  (iii) bringing to justice those responsible 
                for the abduction, torture, and murder of 
                citizens of Angola and citizens of the United 
                States; and
          (C) has demonstrated progress in its respect for, and 
        protection of--
                  (i) the freedom of the press;
                  (ii) the freedom of speech;
                  (iii) the freedom of assembly;
                  (iv) the freedom of association (including 
                the right to organize for political purposes);
                  (v) internationally recognized worker rights; 
                and
                  (vi) other attributes of political pluralism 
                and democracy.
The President shall include in each report made pursuant to 
this paragraph a detailed statement with respect to each of the 
conditions set forth in this paragraph. This paragraph shall 
not be construed to impose any requirement with respect to 
Angola that is more restrictive than any requirement imposed by 
this section generally on all other countries.
    (12) Prohibition relating to russian transfers of certain 
missile systems.\76\--If the President of the United States 
determines that the military of Government of the Russian 
Federation has transferred or delivered to the People's 
Republic of China an SS-N-22 missile system and that the 
transfer or delivery represents a significant and imminent 
threat to the security of the United States, the President of 
the United States shall notify the Bank of the transfer or 
delivery as soon as practicable. Upon receipt of the notice and 
if so directed by the President of the United States, the Board 
of Directors of the Bank shall not give the approval or 
guarantee, insure, extend, credit, or participate in the 
extension of credit in connection with the purchase of any good 
or service by the military or Government of the Russian 
Federation.
---------------------------------------------------------------------------
    \76\ Sec. 12 of Public Law 105-121 (111 Stat. 2530) the Export-
Import Bank Reauthorization Act of 1997, inserted subpara. 2(b)(12).
---------------------------------------------------------------------------
    (c)(1) \77\ The Bank shall charge fees and premiums 
commensurate, in the judgment of the Bank, with risks covered 
in connection with the contractual liability that the Bank 
incurs for guarantees, insurance, coinsurance, and reinsurance 
against political and credit risks of loss.
---------------------------------------------------------------------------
    \77\ As amended and restated by sec. 109(a) of the Export 
Enhancement Act of 1992 (Public Law 102-429; 106 Stat. 2193). 
Previously amended and restated by sec. 6 of Public Law 93-646 (88 
Stat. 2333 at 2335).
---------------------------------------------------------------------------
    (2) The Bank may issue such guarantees, insurance, 
coinsurance, and reinsurance to or with exporters, insurance 
companies, financial institutions, or others, or groups 
thereof, and where appropriate may employ any of the same to 
act as its agent in the issuance and servicing of such 
guarantees, insurance, coinsurance, and reinsurance, and the 
adjustment of claims arising thereunder.
    (3) \78\ Transferability of guarantees.--
---------------------------------------------------------------------------
    \78\ Sec. 10 of Public Law 99-472 (100 Stat. 1203) added para. (3).
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          (A) \79\ In general.--With respect to medium-term and 
        long-term obligation insured or guaranteed by the Bank 
        after the date of the enactment of the Export-Import 
        Bank Act Amendments of 1986, the Bank shall authorize 
        the unrestricted transfer of such obligations by the 
        originating lenders or their transferees to other 
        lenders without affecting, limiting, or terminating the 
        guarantee or insurance provided by the Bank.
---------------------------------------------------------------------------
    \79\ Sec. 105 of the Export Enhancement Act of 1992 (Public Law 
102-429; 106 Stat. 2189) added subparagraph designation ``(A)'' and 
text of subpara.(B).
---------------------------------------------------------------------------
          (B) \79\ Guarantee coverage.--For the guarantee 
        program provided for in this subsection, the Bank may 
        provide up to 100 percent coverage of the interest and 
        principal if the Board of Directors determines such 
        coverage to be necessary to ensure acceptance of Bank 
        guarantees by financial institutions for any 
        transaction in any export market in which the Bank is 
        open for business.
    (d) \80\ (1) In carrying out its responsibilities under 
this Act, the Bank shall work to ensure that United States 
companies are afforded an equal and nondiscriminatory 
opportunity to bid for insurance in connection with 
transactions assisted by the Bank.
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    \80\ Sec. 617 of the Export-Import Bank Act Amendments of 1983 
(title VI of Public Law 98-181; 97 Stat. 1257) added subsec. (d).
---------------------------------------------------------------------------
    (2) \81\ Competitive opportunity for insurance companies.--
In the case of any long-term loan or guarantee of not less than 
$10,000,000, the Bank shall seek to ensure that United States 
insurance companies are accorded a fair and open competitive 
opportunity to provide insurance against risk of loss in 
connection with any transaction with respect to which such loan 
or guarantee is provided.
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    \81\ Sec. 107 of the Export Enhancement Act of 1992 (Public Law 
102-429; 106 Stat. 2190) struck out paras. (2) and (3) and inserted new 
paras. (2) through (5). Paras. (2) and (3) formerly read as follows:
    ``(2) In furtherance of such effort, the Chairman of the Bank shall 
review Bank policies and programs in regard to this issue, and in 
coordination with the United States Trade Representative and the 
appropriate agencies of the Department of State, the Department of the 
Treasury, and the Department of Commerce, undertake actions designed to 
promote equal and nondiscriminatory opportunities to bid for insurance 
in connection with all aspects of international trade activities.
    ``(3) The Bank shall report to the Committee or Banking, Finance 
and Urban Affairs of the House of Representatives and the Committee on 
Banking, Housing, and Urban Affairs of the Senate not later than May 
15, 1984, regarding--
---------------------------------------------------------------------------

          ``(A) the existing obstacles to equal and nondiscriminatory 
        bidding for insurance related to transactions assisted by the 
        Bank;
          ``(B) the efforts that the Bank has taken in addressing such 
        problems; and
          ``(C) recommendations for such legislative or administrative 
        actions as the Bank considers necessary.''.
    (3) Responsive actions.--If the Bank becomes aware that a 
fair and open competitive opportunity is not accorded to any 
United States insurance company in a foreign country with 
respect to which the Bank is considering a loan or guarantee, 
the Bank--
          (A) may approve or deny the loan or guarantee after 
        considering whether such action would be likely to 
        achieve competitive access for United States insurance 
        companies; and
          (B) shall forward information regarding any foreign 
        country that denies United States insurance companies a 
        fair and open competitive opportunity to the Secretary 
        of Commerce and to the United States Trade 
        Representative for consideration of a recommendation to 
        the President that access by such country to export 
        credit of the United States should be restricted.
    (4) Notice of approval.--If the Bank approves a loan or 
guarantee with respect to a foreign country notwithstanding 
information regarding denial by that foreign country of 
competitive opportunities for United States insurance 
companies, the Bank shall include notice of such approval and 
the reason for such approval in the report on competition in 
officially supported export credit required under subsection 
(b)(1)(A).
    (5) Definitions.--For purposes of this section--
          (A) the term ``United States insurance company''--
                  (i) includes an individual, partnership, 
                corporation, holding company, or other legal 
                entity which is authorized (or in the case of a 
                holding company, subsidiaries of which are 
                authorized) by a State to engage in the 
                business of issuing insurance contracts or 
                reinsuring the risk underwritten by insurance 
                companies; and
                  (ii) includes foreign operations, branches, 
                agencies, subsidiaries, affiliates, or joint 
                ventures of any entity described in clause (i); 
                and
          (B) the term ``fair and open competitive 
        opportunity'' means, with respect to the provision of 
        insurance by a United States insurance company, that 
        the company--
                  (i) has received notice of the opportunity to 
                provide such insurance; and
                  (ii) has been evaluated for such opportunity 
                on a nondiscriminatory basis.
    (e) \82\ Limitation on Assistance Which Adversely Affect 
the United States.--
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    \82\ Sec. 11 of Public Law 99-472 (100 Stat. 1203) added subsec. 
(e).
    Subsec. (f), relating to interest subsidy payments and limitations 
on authorization of appropriations, was struck by sec. 121(a)(4) of the 
Export Enhancement Act of 1992 (Public Law 102-429; 106 Stat. 2198).
---------------------------------------------------------------------------
          (1) In general.--The Bank may not extend any direct 
        credit of financial guarantee for establishing or 
        expanding production of any commodity for export by any 
        country other than the United States, if--
                  (A) the Bank determines that--
                          (i) the commodity is likely to be in 
                        surplus on world markets at the time 
                        the resulting commodity will first be 
                        sold; \83\ or
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    \83\ Sec. 3304(a) of Public Law 100-418 (Omnibus Trade and 
Competitiveness Act of 1988; 102 Stat. 1384) inserted ``commodity will 
first be sold'' in lieu of ``productive capacity is expected to become 
operative''.
---------------------------------------------------------------------------
                          (ii) the resulting production 
                        capacity is expected to compete with 
                        United States production of the same, 
                        similar, or competing commodity; and
                  (B) the Bank determines that the extension of 
                such credit or guarantee will cause substantial 
                injury to United States producers of the same, 
                similar, or competing commodity.
          (2) Exception.--Paragraph (1) shall not apply in any 
        case where, in the judgment of the Board of Directors 
        of the Bank, the short- and long-term benefits to 
        industry and employment in the United States are likely 
        to outweigh the short- and long-term \84\ injury to 
        United States producers and employment \84\ of the 
        same, similar, or competing commodity.
---------------------------------------------------------------------------
    \84\ Sec. 3304(b) of Public Law 100-418 (102 Stat. 1384) inserted 
the text ``short- and long-term'' before ``injury to United States 
producers'', and ``and employment'' before ``of the same, similar, or 
competing commodity''.
---------------------------------------------------------------------------
          (3) \85\ Definition.--For purposes of paragraph 
        (1)(B), the extension of any credit or guarantee by the 
        Bank will cause substantial injury if the amount of the 
        capacity for production established, or the amount of 
        the increase in such capacity expanded, by such credit 
        or guarantee equals or exceeds 1 percent of United 
        States production.
---------------------------------------------------------------------------
    \85\ Para. (3). was added by sec. 3304(c) of Public Law 100-418 
(102 Stat. 1384).
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    Sec. 3.\86\ (a) The Export-Import Bank of the United States 
shall constitute an independent agency of the United States and 
neither the Bank nor any of its functions, powers, or duties 
shall be transferred to or consolidated with any other 
department, agency, or corporation of the Government unless the 
Congress shall otherwise by law provide.
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    \86\ 12 U.S.C. 635a. Title I of Public Law 105-118 (111 Stat. 2387) 
provided, in part ``that, notwithstanding subsection (b) of section 117 
of the Export Enhancement Act of 1992, subsection (a) thereof shall 
remain in effect until October 1, 1998.'' Title I of Public Law 105-277 
(112 Stat. 2681-150) extended this date to October 1, 1999. Title I of 
Public Law 106-113 (113 Stat. 1501A-63) further extended the date to 
October 1, 2000.
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    (b) There shall be a President of the Export-Import Bank of 
the United States, who shall be appointed by the President of 
the United States by and with the advice and consent of the 
Senate, who shall receive a salary at the rate of $40,000 \87\ 
per annum, and who shall serve as chief executive officer of 
the Bank. There shall be a First Vice President of the Bank, 
who shall be appointed by the President of the United States by 
and with the advice and consent of the Senate, who shall 
receive a salary at the rate of $38,000 \88\ per annum, who 
shall serve as President of the Bank during the absence or 
disability of or in the event of a vacancy in the office of 
President of the Bank, and who shall at other times perform 
such functions as the President of the Bank may from time to 
time prescribe.
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    \87\ Pursuant to 5 U.S.C. 5314(41), the President of the Bank 
receives a salary according to level III of Schedule 5--Executive 
Schedule. Executive Order 13282 of December 31, 2002 (68 F.R. 1133), 
raised the salary of level III to $142,500.
    \88\ Pursuant to 5 U.S.C. 5315 (49) and (56), the First Vice 
President of the Bank and Members, Board of Directors of the Bank 
receive a salary according to level IV of Schedule 5--Executive 
Schedule. Executive Order 13282 of December 31, 2002 (68 F.R. 1133), 
raised the salary of level IV to $134,000.
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    (c)(1) \89\ There shall be a Board of Directors of the Bank 
consisting of the President of the Export-Import Bank of the 
United States who shall serve as Chairman, the First Vice 
President who shall serve as Vice Chairman, and three 
additional persons appointed by the President of the United 
States by and with the advice and consent of the Senate.
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    \89\ Sec. 614(a) of the Export-Import Bank Act Amendments of 1983 
(title VI of Public Law 98-181; 97 Stat. 1255) redesignated each 
sentence in subsec. (c) as paras. (1) through (7) and inserted a new 
para. (8).
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    (2) \89\ Of the five members of the Board, not more than 
three shall be members of any one political party.
    (3) \89\ Each director, other than the President of the 
Export-Import Bank and the Vice President of the Export-Import 
Bank, shall receive a salary at the rate of $38,000 per annum.
    (4) \89\ Before entering upon his duties, each of the 
directors shall take an oath faithfully to discharge the duties 
of his office.
    (5) \89\, \90\ The directors, in addition to 
their duties as members of the Board, shall perform such 
additional duties and may hold such other offices in the 
administration of the Bank as the President of the Bank may 
from time to time prescribe.
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    \90\ Sec. 614(a)(2) of the Export-Import Bank Act Amendments of 
1983 (title VI of Public Law 98-181; 97 Stat. 1256) struck out the 
first phrase in this sentence which previously read as follows: ``Terms 
of the directors shall be at the pleasure of the President of the 
United States, and''. See following para. (8) for text concerning the 
terms of the directors.
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    (6) \89\ A quorum of the Board of Directors shall consist 
of at least three members.
    (7) \89\ The Board of Directors shall adopt, and may from 
time to time amend, such bylaws as are necessary for the proper 
management and functioning of the Bank, and shall, in such 
bylaws, designate the vice presidents and other officers of the 
Bank and prescribe their duties.
    (8) \89\ (A) The terms of the directors, including the 
President and the First Vice President of the Bank, appointed 
under this section shall be four years, except that--
          (i) during their terms of office, the directors shall 
        serve at the pleasure of the President of the United 
        States;
          (ii) the term of any director appointed after the 
        date of enactment of this paragraph to serve before 
        January 20, 1985, shall expire on January 20, 1985;
          (iii) of the directors first appointed to serve 
        beginning on or after January 21, 1985, two directors 
        (other than the President and First Vice President of 
        the Bank) shall be appointed for terms of two years, as 
        designated by the President of the United States at the 
        time of their appointment; and
          (iv) any director first appointed to serve for a term 
        beginning on any date after January 21, 1985, shall 
        serve only for the remainder of the period for which 
        such director would have been appointed if such 
        director's term had begun on January 21, 1985. If such 
        term would have expired before the date on which such 
        director's term actually begins, the term of such 
        director shall be the four-year period, or remainder 
        thereof, as if such director had been preceded by a 
        director whose term had begun on January 21, 1985.
    (B) \91\ Of the five members of the Board appointed by the 
President, not less than one such member shall be selected from 
among the small business community and shall represent the 
interests of small business.
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    \91\ Sec. 614(b) of the Export-Import Bank Act Amendments of 1983 
(title VI of Public Law 98-181; 97 Stat. 1256) provided:
    ``(b) In order to carry out the amendment made by subsection (a) 
regarding section 3(c)(8)(B) of the Export-Import Bank Act of 1945, the 
first member, other than a member who will serve as Chairman or Vice 
Chairman of the Bank, appointed by the President of the United States 
to the Board of Directors of the Export-Import Bank of the United 
States after the date of the enactment of this section shall be 
selected from among the small business community and shall represent 
the interests of small business.''.
    Sec. 1 of Public Law 106-46 (113 Stat. 227) amended sec. 3(c)(6) to 
read ``A quorum of the Board of Directors shall consist of at least 
three members.''. The subparagraph previously read,``A majority of the 
Board of Directors shall constitute a quorum.''. Public Law 106-46 
further provided:
    ``(b) Exception.--Notwithstanding section 3(c)(6) of the Export-
Import Bank Act of 1945, if, during the period that begins on July 21, 
1999 and ends on December 2, 1999, there are fewer than three persons 
holding office on the Board of Directors of the Export-Import Bank of 
the United States, the entire membership of such Board of Directors 
shall constitute a quorum until the end of such period.''.
    Sec. 122 of Public Law 106-62 (113 Stat. 509) amended Public Law 
106-46 (12 U.S.C. 635a note) by deleting ``October 1, 1999'' and 
inserting ``November 1, 1999''. Public Law 106-46 was further amended 
by Public Law 106-88 (113 Stat. 1304) by striking ``November 5, 1999'' 
and inserting ``November 10, 1999''; by Public Law 106-94 (113 Stat. 
1311) by striking ``November 10, 1999'' and inserting ``November 17, 
1999''; by Public Law 106-105 (113 Stat. 1484) by striking ``November 
17, 1999'' and inserting ``November 18, 1999''; by striking ``November 
19, 1999'' and inserting ``December 2, 1999''; Public Law 106-85 (113 
Stat. 1297) struck ``November 1, 1999'' and inserted ``November 
5,1999''.
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    (C) Any person chosen to fill a vacancy shall be appointed 
only for the unexpired term of the director whom such person 
succeeds.
    (D) Any director whose term has expired may be reappointed.
    (E) \92\ Any director whose term has expired may continue 
to serve on the Board of Directors until the earlier of--
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    \92\ Sec. 18 of Public Law 99-472 (100 Stat. 1205) added subpara. 
(E).
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          (i) the date on which such director's successor is 
        qualified; or
          (ii) the end of the 6-month period beginning on the 
        date such director's term expires.
    (d) \93\ (1)(A) There is established an Advisory Committee 
to consist of 15 \94\ members who shall be appointed by the 
Board of Directors on the recommendation of the President of 
the Bank.
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    \93\ Sec. 613 of the Export-Import Bank Act Amendments of 1983 
(title VI of Public Law 98-181; 97 Stat. 1255) amended and restated 
subsec. (d).
    \94\ Sec. 113 of the Export Enhancement Act of 1992 (Public Law 
102-429; 106 Stat. 2195) struck out ``twelve'' and inserted in lieu 
thereof ``15''.
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    (B) Such members shall be broadly representative of 
production, commerce, finance, agriculture, labor, services, 
and State government.
    (2) Not less than three members appointed to the Advisory 
Committee shall be representative of the small business 
community.
    (3) The Advisory Committee shall meet at least once each 
quarter.
    (4) The Advisory Committee shall advise the Bank on its 
programs, and shall submit, with the report specified in 
section 2(b)(1)(A) of this Act, its own comments to the 
Congress on the extent to which the Bank is meeting its mandate 
to provide competitive financing to expand United States 
exports, and any suggestions for improvements in this regard.
    (e)(1) \95\ No director, officer, attorney, agent, or 
employee of the bank shall in any manner, directly or 
indirectly, participate in the deliberation upon or the 
determination of any question affecting such individual's \96\ 
personal interests, or the interests of any corporation, 
partnership, or association in which such individual \97\ is 
directly or indirectly personally interested.
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    \95\ Sec. 6 of Public Law 105-121 (111 Stat. 2529) inserted (1) 
after (e) and inserted subpara. (2).
    \96\ Sec. 620(b)(1) of the Export-Import Bank Act Amendments of 
1983 (title VI of Public Law 98-181; 97 Stat. 1261) substituted the 
words ``such individual's'' in lieu of the word ``his''.
    \97\ Sec. 620(b)(2) of the Export-Import Bank Act Amendments of 
1983 (title VI of Public Law 98-181; 97 Stat. 1261) substituted the 
words ``such individual'' in lieu of the word ``he''.
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    (2) The General Counsel of the Bank shall ensure that the 
directors, officers, and employees of the Bank have available 
appropriate legal counsel for advise on, and oversight of, 
issues relating to personnel matters and other administrative 
law matters by designating an attorney to serve as Assistant 
General Counsel for Administration, whose duties, under the 
supervision of the General Counsel, shall be concerned solely 
or primarily with these issues.
    Sec. 4.\98\ The Export-Import Bank of the United States 
shall have a capital stock of $1,000,000,000 subscribed by the 
United States. Certificates evidencing stock ownership of the 
United States shall be issued by the Bank to the President of 
the United States, or to such other person or persons as the 
President may designate from time to time, to the extent of 
payments made for the capital stock of the Bank.\99\
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    \98\ 12 U.S.C. 635b.
    \99\ Sec. 121(b) of the Export Enhancement Act of 1992 (Public Law 
102-429; 106 Stat. 2198) inserted text beginning at ``Certificates 
evidencing'', in lieu of ``Payments for $1,000,000 of such capital 
stock shall be made by the surrender to the Bank for cancellation of 
the common stock heretofore issued by the Bank and purchased by the 
United States. Payment for $174,000,000 of such capital stock shall be 
made by the surrender to the Bank for cancellation of the preferred 
stock heretofore issued by the Bank and purchased by the Reconstruction 
Finance Corporation. Payment for the $825,000,000 balance of such 
capital stock shall be subject to call at any time in whole or in part 
by the Board of Directors of the Bank. For the purpose of making 
payments of such balance, the Secretary of the Treasury is authorized 
to use as a public-debt transaction the proceeds of any securities 
hereafter issued under the Second Liberty Bond Act, as amended, and the 
purposes for which securities may be issued under that Act are extended 
to include such purpose. Payment under this section of the subscription 
of the United States to the Bank and repayments thereof shall be 
treated as public-debt transactions of the United States. Certificates 
evidencing stock ownership of the United States shall be issued by the 
Bank to the President of the United States, or to such other person or 
persons as the President may designate from time to time, to the extent 
of the common and preferred stock surrendered and other payments made 
for the capital stock of the Bank under this section.''.
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    Sec. 5.\100\ The Export-Import Bank of the United States is 
authorized to issue from time to time for purchase by the 
Secretary of the Treasury its notes, debentures, bonds or other 
obligation; but the aggregate amount of such obligations 
outstanding at any one time shall not exceed $6,000,000,000. 
Such obligations shall be redeemable at the option of the Bank 
before maturity in such manner as may be stipulated in such 
obligations and shall have such maturity as may be determined 
by the Board of Directors of the Bank with the approval of the 
Secretary of the Treasury. Each such Bank obligation issued to 
the Treasury after the enactment of the Export-Import Bank 
Amendments of 1974 shall bear interest at a rate not less than 
the current average yield on outstanding marketable obligations 
of the United States of comparable maturity during the month 
preceding the issuance of the obligation of the Bank as 
determined by the Secretary of the Treasury. The Secretary of 
the Treasury is hereby authorized and directed to purchase any 
obligations of the Bank issued hereunder and for such purpose 
the Secretary of the Treasury is authorized to use as a public-
debt transaction the proceeds of any securities hereafter 
issued under the Second Liberty Bond Act, as amended, and the 
purpose for which securities may be issued under that Act are 
extended to include such purpose. Payment under this section of 
the purchase price of such obligations of the Bank and 
repayments thereof by the Bank shall be treated as public-debt 
transactions of the United States.
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    \100\ 12 U.S.C. 635d. Originally sec. 6; redesignated as sec. 5 by 
sec. 121(c)(2) of the Export Enhancement Act of 1992 (Public Law 102-
429; 106 Stat. 2199). The second and third sentences were added by 
Public Law 80-89 (61 Stat. 131). Public Law 82-158 (65 Stat. 637), 
further amended the section; Public Law 83-570 (68 Stat. 678), 
substituted a new debt limit of $4,000,000; Public Law 85-425 (72 Stat. 
133), raised that limit to $6,000,000. The third sentence was revised 
by sec. 7 of Public Law 93-646 (88 Stat. 2333 at 2336).
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SEC. 6.\101\ AGGREGATE LOAN, GUARANTEE, AND INSURANCE AUTHORITY.
    (a) Limitation on Outstanding Amounts.--
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    \101\ 12 U.S.C. 635e. Originally sec. 7; redesignated as sec. 6 by 
sec. 121(c)(2) of the Export Enhancement Act of 1992 (Public Law 102-
429; 106 Stat. 2199). The section was substantially amended and 
restated by sec. 109(b) of the Export Enhancement Act of 1992 (Public 
Law 102-429; 106 Stat. 2193).
    Previously, Public Law 82-158 (65 Stat. 367), raised the limit on 
the aggregate amount to 4\1/2\ times the authorized capital stock of 
the bank. The words ``and insurance'' were added by Public Law 83-30 
(67 Stat. 28). Public Law 83-570 (68 Stat. 578), raised the aggregate 
amount to $5 billion; Public Law 85-424 (72 Stat. 133) increased the 
amount to $7 billion; Public Law 88-101 (77 Stat. 128), increased the 
amount to $9 billion; Public Law 90-267 (82 Stat. 49); increased the 
amount to $13.5 billion; Public Law 92-126 (85 Stat. 345), increased 
the amount to $20 billion; Public Law 93-646 (88 Stat. 2333) increased 
the amount to $25 billion; and sec. 1905 of Public Law 95-630 (92 Stat. 
3725) increased the amount to $40 billion. Sec. 109(b)(2)(B) of the 
Export Enhancement Act of 1992 (Public Law 102-429; 106 Stat. 2193) 
increased the amount to $75 billion.
    Subsec. (b) of this section was repealed by sec. 121 of the Further 
Continuing Appropriations, Fiscal Year 1992 (Public Law 102-145, as 
amended by Public Law 102-266). Subsec. (b), originally added by sec. 8 
of Public Law 93-646, had prohibited loans or financial guarantees, or 
combination thereof, in connection with exports to the Union of Soviet 
Socialist Republics in an aggregate amount in excess of $300,000,000, 
with particular restrictions on assistance to the USSR for the 
development of fossil fuel energy resources. The subsection further 
provided for a limitation in excess of $300,000,000 if the President 
determined and reported to the Congress that such higher limitation was 
in the national interest, and the Congress, in turn, adopted a 
concurrent resolution approving such determination.
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    The Export-Import Bank of the United States shall not have 
outstanding at any one time loans, guaranties, and insurance in 
an aggregate amount in excess of $75,000,000,000.\102\ All 
spending and credit \103\ authority provided under this Act 
shall be effective for any fiscal year only to such extent or 
in such amounts as are provided in appropriation Acts.\104\
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    \102\ Sec. 381(a) of the Omnibus Budget Reconciliation Act (Public 
Law 97-35; 95 Stat. 431) designated subsec. (a) as subsec. (a)(1) and 
added a new para. (2). Subsequently, sec. 615 of the Export-Import Bank 
Act Amendments of 1983 (title VI of Public Law 98-181; 97 Stat. 1256) 
amended and restated para. (2).
    \103\ Sec. 17 of Public Law 99-472 (100 Stat. 1205) added the words 
``and credit''.
    \104\ This sentence was added by sec. 1914 of Public Law 95-630 (92 
Stat. 3727). Division E, Title I of Public Law 108-7 (117 Stat. 159), 
the Foreign Operations, Export Financing, and Related Programs 
Appropriations Act, 2003, further provided the following:
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              ``TITLE I--EXPORT AND INVESTMENT ASSISTANCE

               ``EXPORT-IMPORT BANK OF THE UNITED STATES
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    ``The Export-Import Bank of the United States is authorized to make 
such expenditures within the limits of funds and borrowing authority 
available to such corporation, and in accordance with law, and to make 
such contracts and commitments without regard to fiscal year 
limitations, as provided by section 104 of the Government Corporation 
Control Act, as may be necessary in carrying out the program for the 
current fiscal year for such corporation: Provided, That none of the 
funds available during the current fiscal year may be used to make 
expenditures, contracts, or commitments for the export of nuclear 
equipment, fuel, or technology to any country, other than a nuclear-
weapon state as defined in Article IX of the Treaty on the Non-
Proliferation of Nuclear Weapons eligible to receive economic or 
military assistance under this Act, that has detonated a nuclear 
explosive after the date of the enactment of this Act: Provided 
further, That notwithstanding section 1(c) of Public Law 103-428, as 
amended, sections 1(a) and (b) of Public Law 103-428 shall remain in 
effect through September 30, 2003.
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                        ``SUBSIDY APPROPRIATION
---------------------------------------------------------------------------
    ``For the cost of direct loans, loan guarantees, insurance, and 
tied-aid grants as authorized by section 10 of the Export-Import Bank 
Act of 1945, as amended, $512,900,000, to remain available until 
September 30, 2006: Provided, That such costs, including the cost of 
modifying such loans, shall be as defined in section 502 of the 
Congressional Budget Act of 1974: Provided further, That such sums 
shall remain available until September 30, 2021 for the disbursement of 
direct loans, loan guarantees, insurance and tied-aid grants obligated 
in fiscal years 2003, 2004, 2005, and 2006: Provided further, That none 
of the funds appropriated by this Act or any prior Act appropriating 
funds for foreign operations, export financing, and related programs 
for tied-aid credits or grants may be used for any other purpose except 
through the regular notification procedures of the Committees on 
Appropriations: Provided further, That funds appropriated by this 
paragraph are made available notwithstanding section 2(b)(2) of the 
Export-Import Bank Act of 1945, in connection with the purchase or 
lease of any product by any East European country, any Baltic State or 
any agency or national thereof.
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                       ``ADMINISTRATIVE EXPENSES
---------------------------------------------------------------------------
    ``For administrative expenses to carry out the direct and 
guaranteed loan and insurance programs, including hire of passenger 
motor vehicles and services as authorized by 5 U.S.C. 3109, and not to 
exceed $30,000 for official reception and representation expenses for 
members of the Board of Directors, $68,300,000: Provided, That the 
Export-Import Bank may accept, and use, payment or services provided by 
transaction participants for legal, financial, or technical services in 
connection with any transaction for which an application for a loan, 
guarantee or insurance commitment has been made: Provided further, 
That, notwithstanding subsection (b) of section 117 of the Export 
Enhancement Act of 1992, subsection (a) thereof shall remain in effect 
until October 1, 2003.''.
    See also in Public Law 108-7, Assistance for Individual States of 
the Former Soviet Union (117 Stat. 169), sec. 507 of that Act, 
Prohibition Against Direct Funding for Certain Countries; sec. 513--
Commerce and Trade (117 Stat.183); and sec. 583--Overseas Private 
Investment Corporation and Export-Import Bank Restrictions (117 Stat. 
214).
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    (b) \105\ Presidential Determination.--
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    \105\ Formerly para. (2)(A)(i) of subsec. (a). Sec. 109(b)(3) of 
the Export Enhancement Act of 1992 (Public Law 102-429; 106 Stat. 2193) 
redesignated such as subsec. (b), added ``Presidential Determination.--
'' and para. ``(1) In general.--'', and redesignated subclauses as 
subparagraphs under para. (1).
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          (1) \105\ In general.--
          Not later than March 31 of each fiscal year, the 
        President of the United States shall determine whether 
        the authority available to the Bank for such fiscal 
        year will be sufficient to meet the Bank's needs, 
        particularly those needs arising from--
                  (A) increases in the level of exports 
                unforeseen at the time of the original budget 
                request for such fiscal year;
                  (B) any increased foreign export credit 
                subsidies; or
                  (C) the lack of progress in negotiations to 
                reduce or eliminate export credit subsidies.
          (2) \106\ * * *
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    \106\ Sec. 109(b)(3)(E) of the Export Enhancement Act of 1992 
(Public Law 102-429; 106 Stat. 2193) struck out ``(ii) Not later than'' 
and inserted in lieu thereof ``(2) Report.--Not later than''. Sec. 
1104(a)(3) of Public Law 106-569 struck out para. (2) and redesignated 
para. (3) as para. (2). The paragraph previously read as follows:
    ``Report.--Not later than April 15 of each year, the President of 
the United States shall transmit to the Congress a report on such 
determination.''.
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          (2) \107\ Request for legislation.--
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    \107\ Sec. 109(b)(3)(F) of the Export Enhancement Act of 1992 
(Public Law 102-429; 106 Stat. 2193) struck out ``(B)(i)'' and inserted 
in lieu thereof ``(3) Request for legislation.--'' and ``(A) In 
general.--''.
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                  (A) In general.--If the President of the 
                United States finds that the amount of direct 
                loan authority or guarantee authority available 
                to the Bank for the fiscal year involved 
                exceeds the amount which will be necessary to 
                carry out the Bank's functions consistent with 
                the availability of qualified applications and 
                limitations imposed by law during such year, 
                the President of the United States shall 
                promptly transmit to the Congress a request for 
                legislation to eliminate the amount of such 
                excess direct loan, loan guarantee, or 
                insurance authority.
                  (B) \108\ Continued availability of 
                authority.--The Bank shall continue to make 
                remaining amounts of its authority available 
                for the fiscal year involved, in accordance 
                with its practices and the requirements of this 
                Act, unless otherwise directed pursuant to law.
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    \108\ Sec. 109(b)(3)(G) of the Export Enhancement Act of 1992 
(Public Law 102-429; 106 Stat. 2193) struck out ``(ii)'' and inserted 
in lieu thereof ``(B) Continued availability of authority.--''.
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    Sec. 7.\109\ The Export-Import Bank of the United States 
shall continue to exercise its functions in connection with and 
in furtherance of its object and purposes until the close of 
business on September 30, 2001, but the provisions of this 
section shall not be construed as preventing the Bank from 
acquiring obligations prior to such date which mature 
subsequent to such date or from assuming prior to such date 
liability as guarantor, endorser, or acceptor of obligations 
which mature subsequent to such date, or from issuing either 
prior or subsequent to such date, for purchase by the Secretary 
of the Treasury or any other purchasers, its notes, debentures, 
bonds, or other obligations which mature subsequent to such 
date or from continuing as a corporate agency of the United 
States and exercising any of its functions subsequent to such 
date for purposes of orderly liquidation, including the 
administration of its assets and the collection of any 
obligations held by the Bank.
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    \109\ 12 U.S.C. 635f. Originally sec. 8; redesignated as sec. 7 by 
sec. 121(c)(2) of the Export Enhancement Act of 1992 (Public Law 102-
429; 106 Stat. 2199). As amended and restated by the Act of June 9, 
1947 (61 Stat. 130); the date was revised to ``June 30, 1958'' by 
Public Law 82-158 (65 Stat. 367); the date changed to ``June 30, 1968'' 
by Public Law 88-101 (77 Stat. 128), and to ``June 30, 1973'' by Public 
Law 90-267 (82 Stat. 49). Public Law 92-126 (85 Stat. 345) changed the 
date to ``June 30, 1974'' and added the words ``or any other 
purchasers.'' The date was changed successively to ``July 30,'' 
``September 30,'' ``October 15, 1974,'' ``November 15, 1974,'' ``June 
30, 1978,'' ``September 30, 1978,'' ``December 31, 1978'' and 
``September 30, 1983'' by Public Law 93-331 (88 Stat. 289), Public Law 
93-374 (88 Stat. 445), Public Law 93-425 (88 Stat. 1166), Public Law 
93-450 (88 Stat. 1368), and Public Law 93-646 (88 Stat. 2333), Public 
Law 95-143 (91 Stat. 1211), Public Law 95-407 (92 Stat. 882), and 
Public Law 95-630 (92 Stat. 3725), respectively. Subsequently, the date 
changed to October 31, 1983 (sec. 6 of Public Law 98-109; 97 Stat. 
746); to November 18, 1983 (Public Law 98-143; 97 Stat. 916); to 
September 30, 1986 (sec. 611 of Public Law 98-181; 97 Stat. 1254); to 
September 30, 1992 (sec. 14 of Public Law 99-472; 100 Stat. 1204); to 
September 30, 1997 (sec. 102 of Public Law 102-429; 106 Stat. 2187); to 
October 23, 1997 (sec. 122 of Public Law 105-46; 111 Stat. 158); to 
November 7, 1997 (Public Law 105-64; 111 Stat. 1343); to November 9, 
1997 (Public Law 105-68; 111 Stat. 1453); to November 10, 1997 (Public 
Law 105-69, 111 Stat. 1454); to November 14, 1997 (Public Law 105-71; 
111 Stat. 1456); to November 26, 1997 (Public Law 105-84; 111 Stat. 
1628); to September 30, 2001 (section 2 of Public Law 105-121; 106 
Stat. 2528).
    Public Law 105-121 further provided the following:
    ``(b) Effective Date.--The amendment made by this section shall 
take place on September 30, 1997.''.
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    Sec. 8.\110\ (a) The Export-Import Bank of the United 
States shall transmit to the Congress annually a complete and 
detailed report of its operations. The report shall be as of 
the close of business on the last day of each fiscal year.
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    \110\ 12 U.S.C. 635g. Originally sec. 9; redesignated as sec. 8 by 
sec. 121(c)(2) of the Export Enhancement Act of 1992 (Public Law 102-
429; 106 Stat. 2199). Sec. 10 of Public Law 93-646 (88 Stat. 2236) 
changed the reporting requirements from semiannual to annual to be 
completed as of the end of each fiscal year instead of June 30 and Dec. 
31 of each year.
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    (b) \111\ (1) The Bank shall include in its annual report 
to the Congress a report on the allocation of the sums set 
aside for small business exports pursuant to section 
2(b)(1)(E).
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    \111\ Sec. 618(b)(2) of the Export-Import Bank Act Amendments of 
1983 (title VI of Public Law 98-181; 97 Stat. 1259) added this 
subsection, which was previously designated subsec. (c). Sec. 
1104(a)(4) of Public Law 106-569 struck subsec. (b) and redesignated 
subsec. (c) as subsec. (b). Subsec. (b) previously read as follows:
    ``(b) The report shall contain a description of actions taken by 
the Bank in pursuance of the policy of aiding, counseling, assisting, 
and protecting, insofar as is possible, the interests of small business 
concerns and of the activities of the member of the Board appointed to 
represent the interests of small business. In addition, the Bank shall 
include in the report a description of specific activities and programs 
undertaken by it to achieve the policy of section 501 of the Nuclear 
Non-Proliferation Act of 1978, and section 119 of the Foreign 
Assistance Act of 1961, as required by section 2(b)(1)(C) of this 
Act.''
    The subsection had been added by sec. 10 of Public Law 93-646 (88 
Stat. 2333 at 2337). The second sentence in subsec. (b) was added by 
sec. 1907(b) of Public Law 95-630 (92 Stat. 3725).
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    (2) Such report shall specify--
          (A) the total number and dollar volume of loans made 
        from the sums set aside;
          (B) the number and dollar volume of loans made 
        through the consortia program under section 
        2(b)(1)(E)(vii);
          (C) the amount of guarantees and insurance provided 
        for small business exports;
          (D) the number of recipients of financing from the 
        sums set aside who have not previously participated in 
        the Bank's programs;
          (E) the number of commitments entered into in amounts 
        less than $500,000; and
          (F) any recommendations for increasing the 
        participation of banks and other institutions in the 
        programs authorized under section 2(b)(1)(E).
    (3) For the purpose of this subsection, the Bank's report 
shall be transmitted to the Committee on Small Business of the 
Senate and the Committee on Small Business of the House of 
Representatives.
    (c) \112\ GAO Report on Interest Subsidy Payments.--
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    \112\ Sec. 20(b) of Public Law 99-472 (100 Stat. 1209) added 
subsec. (e). Sec. 1104(a)(4) of Public Law 106-569 (114 Stat. 3031) 
subsequently struck out subsecs. (b) and (d) and redesignated subsecs. 
(c) and (e) as subsecs. (b) and (c).
    Subsec. (d) previously read as follows:
    ``(d)(1) The report shall include a detailed description of all 
actions which have been taken by the Bank or which will be taken by the 
Bank--
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          ``(A) to maintain the competitive position of key linkage 
        industries in the United States;
          ``(B) to support industries which are engaged in the export 
        of high value added products;
          ``(C) to support industries which are engaged in the 
        development of new capital goods technology;
          ``(D) to preserve and create high skilled jobs in the United 
        States economy; and
          ``(E) to enhance the opportunity for growth and expansion of 
        small businesses and entrepreneurial enterprises.
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    ``(2) Such report shall include the comments of the Advisory 
Committee regarding the objectives specified in paragraph (1).''.
    Sec. 623 of the Export-Import Bank Act Amendments of 1983 (title VI 
of Public Law 98-181; 97 Stat. 1262) had added subsec. (d).
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          (1) Report required.--Not later than March 1, 1988, 
        the Comptroller General of the United States shall 
        transmit to both Houses of the Congress a report on the 
        manner in which and the extent to which the Bank is 
        exercising its authority to make interest subsidy 
        payments under section 2(f).
          (2) Contents of report.--The report required under 
        paragraph (1) with respect to interest subsidy payments 
        shall--
                  (A) compare the efficiency and 
                competitiveness of interest subsidy payments 
                with the efficiency and competitiveness of 
                direct Bank financing of an equivalent value of 
                exports;
                  (B) compare the cost, to the United States 
                Government, of making interest subsidy payments 
                and the impact of such payments on the 
                financial condition of the Bank with the cost 
                and impact of direct Bank financing of an 
                equivalent value of exports;
                  (C) compare the impact of interest subsidy 
                payments on the Federal budget with the impact 
                of such budget of direct Bank financing of an 
                equivalent value of exports; and
                  (D) include all views and recommendations of 
                the Advisory Committee of the Bank which are 
                submitted to the Comptroller General of the 
                United States before December 1, 1987.
    Sec. 9.\113\ Notwithstanding the provisions of section 955 
of title 18, United States Code, any person, including any 
individual, partnership, corporation, or association, may act 
for or participate with the Export-Import Bank of the United 
States in any operation or transaction, or may acquire any 
obligation issued in connection with any operation or 
transaction, engaged in by the Bank.
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    \113\ 12 U.S.C. 635h. Originally sec. 11; redesignated as sec. 9 by 
sec. 121(c)(3) of the Export Enhancement Act of 1992 (Public Law 102-
429; 106 Stat. 2199). As amended and restated by Public Law 83-779 (68 
Stat. 112). Public Law 90-267 changed the name of the bank to ``Export-
Import Bank of the United States''.
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                    TIED AID CREDIT PROGRAM AND FUND
    Sec. 10.\114\ (a) Findings.--The Congress finds that
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    \114\ 12 U.S.C. 635i-3. Originally sec. 15; redesignated as sec. 10 
by sec. 121(c)(4) of the Export Enhancement Act of 1992 (Public Law 
102-429; 106 Stat. 2199). The section was added by sec. 19 of the 
Export-Import Bank Act Amendments of 1986 (Public Law 99-472; 100 Stat. 
1205).
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          (1) tied aid and partially untied aid credits offered 
        by other countries are a predatory \115\ method of 
        financing exports because of their market-distorting 
        effects;
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    \115\ Sec. 103(c)(1) of the Export Enhancement Act of 1992 (Public 
Law 102-429; 106 Stat. 2187) struck out ``predacious'' at each place 
such term appeared in sec. 15, and replaced it with ``predatory''.
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          (2) these distortions have caused the United States 
        to lose export sales, with resulting losses in economic 
        growth and employment;
          (3) these practices undermine market mechanisms that 
        would otherwise result in export purchase decisions 
        made on the basis of price, quality, delivery, and 
        other factors directly related to the export, where 
        official financing is not subsidized and would be a 
        neutral factor in the transaction.
          (4) support of commercial exports by donor countries 
        with tied aid and partially untied aid credits impedes 
        the growth of developing countries because it diverts 
        development assistance funds from essential 
        developmental purposes; and
          (5) there should be established in the Bank a tied 
        aid program \116\ to target the export markets of those 
        countries which make extensive use of tied aid or 
        partially untied aid credits for commercial advantage 
        \117\ for the purposes of--
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    \116\ Sec. 103(c)(2)(A) of the Export Enhancement Act of 1992 
(Public Law 102-429; 106 Stat. 2187) struck out ``temporary'' before 
``tied aid program''.
    \117\ Sec. 101(b)(1) of the International Development and Finance 
Act of 1989 (Public Law 101-240; 103 Stat. 2494) struck out ``for the 
purpose of facilitating the negotiation of a comprehensive 
international arrangement restricting the use of tied aid and partially 
untied aid credits for commercial purposes, and such program should be 
aggressively used until such an arrangement is established.'' here, and 
inserted text beginning with ``for the purposes of--'' through end of 
(a).
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                  (A) enforcing compliance with the existing 
                Arrangement \118\ restricting the use of tied 
                aid and partially untied aid credits for 
                commercial purposes; and
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    \118\ Sec. 103(c)(2)(B) of the Export Enhancement Act of 1992 
(Public Law 102-429; 106 Stat. 2187) struck out ``existing 
arrangement'' and inserted in lieu thereof ``existing Arrangement''.
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                  (B) facilitating efforts to negotiate, 
                establish, and enforce new or revised 
                comprehensive international arrangements 
                effectively restricting the use of tied aid and 
                partially untied aid credits for commercial 
                purposes;
        and such program should be used aggressively for such 
        purposes.
    (b) Establishment of Tied Aid Credit Program.--
          (1) In general.--The \119\ Bank shall establish a 
        tied aid credit program under which grants shall be 
        made from funds available in the Tied Aid Credit fund 
        established under subsection (c)--
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    \119\ Sec. 103(c)(3)(A) of the Export Enhancement Act of 1992 
(Public Law 102-429; 106 Stat. 2187) struck out ``To carry out the 
purposes of subsection (a)(5), the'' and inserted in lieu thereof 
``The''.
    Previously, sec. 101(b)(2) of the International Development and 
Finance Act of 1989 (Public Law 101-240; 103 Stat. 2494) struck out the 
first sentence of sec. 15(b)(1) and inserted a new sentence. The first 
sentence formerly read as follows:
    ``For the purpose of facilitating the negotiation of a 
comprehensive international arrangement restricting the use of tied aid 
and partially untied aid credits for commercial purposes, the Bank 
shall establish a tied aid and partially untied aid credits for 
commercial purposes, the Bank shall establish a tied aid credit program 
under which grants shall be made from funds available in the Tied Aid 
Credit Fund established under subsection (c)--''.
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                  (A) to supplement the financing of a United 
                States export when there is a reasonable 
                expectation that predatory \114\ financing will 
                be provided by another country for a sale by a 
                competitor of the United States exporter with 
                respect to such export and with special 
                attention to matching tied aid and partially 
                untied aid credits extended by other 
                governments--
                          (i) in violation of the Arrangement; 
                        or
                          (ii) in cases in which the Bank 
                        determines that United States trade or 
                        economic interests justify the matching 
                        of tied aid credits extended in 
                        compliance with the Arrangement, 
                        including grandfathered cases; \120\
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    \120\ Sec. 103(c)(3)(B) of the Export Enhancement Act of 1992 
(Public Law 102-429; 106 Stat. 2187) inserted text before the semicolon 
beginning at ``and with special attention''.
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                  (B) to supplement the financing of United 
                States exports to foreign markets which are 
                actual or potential export markets for any 
                country which the Bank determines--
                          (i) engages in predatory \114\ 
                        official export financing through the 
                        use of tied aid or \121\ partially 
                        untied aid credits, and impedes 
                        negotiations or violates agreements on 
                        tied aid to eliminate the use of such 
                        credits for commercial purposes; or
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    \121\ Sec. 103(c)(3)(C) of the Export Enhancement Act of 1992 
(Public Law 102-429; 106 Stat. 2188) amended and restated from this 
point in the middle of clause (i) through clause (ii).
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                          (ii) engages in predatory financing 
                        practices that seek to circumvent 
                        international agreements on tied aid; 
                        or
                  (C) to supplement the financing of United 
                States exports under such other circumstances 
                as the Bank may determine to be appropriate for 
                carrying out the purposes of this section.
          (2) Administration of program.--The tied aid credit 
        program shall be administrated by the Bank--
                  (A) in consultation with the Secretary \122\ 
                and in accordance with the Secretary's 
                recommendations on how such credits could be 
                used most effectively and efficiently to carry 
                out the purposes described in subsection 
                (a)(5); \123\
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    \122\ Sec. 103(c)(4) of the Export Enhancement Act of 1992 (Public 
Law 102-429; 106 Stat. 2188) struck out ``of the Treasury'' at this 
point.
    \123\ Sec. 101(b)(3) of the International Development and Finance 
Act of 1989 (Public Law 101-240; 103 Stat. 2494) inserted new text to 
this point beginning with ``carry out the'', and struck out the 
following: ``promote the negotiation of a comprehensive international 
arrangement restricting the use of tied aid and partially untied aid 
credits for commercial purposes;''.
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                  (B) in cooperation with United States 
                exporters and private financial institutions or 
                entities, and in consultation with other 
                Federal agencies,\124\ as appropriate; and
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    \124\ Sec. 103(c)(5) of the Export Enhancement Act of 1992 (Public 
Law 102-429; 106 Stat. 2188) struck out ``private financial 
institutions or entities'', and inserted in lieu thereof ``United 
States exporters and private financial institutions or entities, and in 
consultation with other Federal agencies''.
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                  (C) in consultation with the National 
                Advisory Council on International Monetary and 
                Financial Policies.
          (3) Coordination with other export financing.--Under 
        the tied aid credit program, the Bank may combine 
        grants from the Tied Aid Credit Fund with--
                  (A) any guarantee, insurance, or other 
                extension of credit provided by the Bank under 
                this Act;
                  (B) any export financing provided by any 
                private financial institution or other entity; 
                and
                  (C) any other type of export financing,
        in such manner and under such terms as the Bank 
        determines to be appropriate, including combinations of 
        export financing in the form of blended financing and 
        parallel financing.
          (4) Information on countries which engage in official 
        predatory \114\ export financing and impede 
        negotiations.--In order to assist the Bank to make the 
        most efficient use of funds available for supplemental 
        financing under paragraph (1)(B), the United States 
        Trade Representative and the Secretary of Commerce may 
        provide information on principal sectors and key 
        markets of countries described in paragraph (1)(B) to 
        the Bank, the Secretary and the National Advisory 
        Council on International Monetary and Financial 
        Policies. The Bank shall also request and take into 
        consideration the views of the private sector on 
        principal sectors and key markets of countries 
        described in paragraph (1)(B).\125\
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    \125\ Sec. 103(c)(6) of the Export Enhancement Act of 1992 (Public 
Law 102-429; 106 Stat. 2188) added the last sentence.
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    (c) Tied Aid Credit Fund.--
          (1) In general.--There is hereby established within 
        the Bank a fund to be known as the ``Tied Aid Credit 
        Fund'' (hereinafter in this section referred to as the 
        ``Fund''), consisting of such amounts as may be 
        appropriated to the Fund pursuant to the authorization 
        contained in subsection (e).
          (2) Expenditures from fund.--Amounts in the Fund 
        shall be available for grants made by the Bank under 
        the tied aid credit program established pursuant to 
        subsection (b) and to reimburse the Bank for the amount 
        equal to the concessionality level of any tied aid 
        credits authorized by the Bank.\126\
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    \126\ Sec. 3(a) of Public Law 105-121 (111 Stat. 2528) struck out 
``through'' and all that follows through ``1997'' after ``Bank''. Sec. 
3(a), as amended, read as follows:
    ``Expenditures from fund.--Amounts in the Fund shall be available 
for grants made by the Bank under the tied aid credit program 
established pursuant to subsection (b) and to reimburse the Bank for 
the amount equal to the concessionality level of any tied aid credits 
authorized by the Bank through September 30, 1997.''.
    Previously, sec. 103(a) of the Export Enhancement Act of 1992 
(Public Law 102-429; 106 Stat. 2187) struck out ``fiscal year 1992'' 
and inserted ``September 30, 1995''. Sec. 1(a) of Public Law 104-97 
(109 Stat. 984) struck out ``1995'' and inserted ``1997''. Sec. 579(a) 
of Public Law 104-107 (110 Stat. 751) also struck out ``1995'' and 
inserted ``1997''.
    Previously, sec. 562(d)(2) of the Foreign Operations, Export 
Financing, and Related Programs Appropriations Act, 1991 (Public Law 
101-513; 104 Stat. 2037), struck out ``1991'' and inserted in lieu 
thereof ``1992''.
    Previously, sec. 101(b)(4) of the International Development and 
Finance Act of 1989 (Public Law 101-240; 103 Stat. 2494) (A) struck out 
``cost'' and inserted ``amount equal to the concessionality level''; 
and (B) struck out ``during fiscal years 1986, 1987, 1988 and 1989'' 
and inserted ``through fiscal year 1991''.
    Previously, the reference to fiscal years 1987 and 1988 was added 
by Public Law 100-217 (101 Stat. 1454). Subsequently, sec. 3302(b) of 
Public Law 100-418 (102 Stat. 1383) struck out ``and 1988'' and 
inserted ``1988, and 1989''.
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    (d) Consistency With Arrangement.--Any export financing 
involving the use of a grant under the tied aid credit program 
shall be consistent with the procedures established by the 
Arrangement, as in effect at the time such financing is 
approved.
    (e) \127\ Authorization.--There are authorized to be 
appropriated such sums as may be necessary to carry out the 
purposes of this section. Such sums are authorized to remain 
available until expended.
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    \127\ Sec. 3(b) of Public Law 105-121 struck the first sentence of 
sec. 10(e) and inserted ``There are authorized to be appropriated such 
sumc as may be necessary to carry out the purposes of this section.'' 
section 10(e) previously read ``There are authorized to be appropriated 
to the Fund such sums as may be necessary for each of fiscal years 1996 
and 1997.''.
    Sec. 1(b) of Public Law 104-97 (109 Stat. 984) struck out ``There 
are authorized to be appropriated to the Fund $500,000,000 for each of 
fiscal years 1993, 1994, and 1995.'' and inserted in lieu thereof the 
first sentence. Sec. 579(b) of Public Law 104-107 (110 Stat. 751) 
intended to strike out ``1993, 1994, and 1995'' and insert in lieu 
thereof ``1996 and 1997'', an amendment made invalid by the amendment 
executed by Public Law 104-97.
    Previously, sec. 103(b) of the Export Enhancement Act of 1992 
(Public Law 102-429; 106 Stat. 2187) amended and restated subsec. (e). 
Previous to that, subsec. (e) authorized for fiscal years 1987, 1988, 
and 1989, $300,000,000, for fiscal year 1990, $300,000,000, and for 
each of fiscal years 1991 and 1992, $500,000,000, and provided required 
a determination from the President in the event ``that any amount 
appropriated to the Fund is not required to achieve the purpose of the 
Fund''.
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    (f) Nonreviewability.--No action taken under this section 
shall be reviewable by any court, except for abuse of 
discretion.
    (g) \128\ Report to Congress.--
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    \128\ Sec. 103(c)(7) of the Export Enhancement Act of 1992 (Public 
Law 102-429; 106 Stat. 2188) amended and restated paras. (1) and (2).
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          (1) In general.-- \129\ In consultation with the 
        Secretary, shall submit an annual report on tied aid 
        credits to the Committee on Banking, Housing, and Urban 
        Affairs of the Senate and the Committee on Banking, 
        Finance and Urban Affairs \130\ of the House of 
        Representatives.
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    \129\ Sec. 1103(d)(2)(A) of Public Law 106-569 (114 Stat. 3031) 
struck out ``On or before October 15, 1992, and every 6 months 
thereafter, the Bank,''. Sec. 1103(d)(2)(B) (114 Stat. 3031) struck out 
``a report'' and inserted in lieu thereof ``an annual report''.
    \130\ Sec. 1(a)(2) of Public Law 104-14 (109 Stat. 186) provided 
that references to the Committee on Banking, Finance and Urban Affairs 
of the House of Representatives shall be treated as referring to the 
Committee on Banking and Financial Services of the House of 
Representatives.
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          (2) Contents of reports.--Each report required under 
        paragraph (1) shall contain a description of--
                  (A) the implementation of the Arrangement 
                restricting tied aid and partially untied aid 
                credits for commercial purposes, including the 
                operation of notification and consultation 
                procedures;
                  (B) all principal offers of tied aid credit 
                financing by foreign countries during the 
                previous 6-month period, including all offers 
                notified by countries participating in the 
                Arrangement, and in particular--
                          (i) offers grandfathered under the 
                        Arrangement; and
                          (ii) notifications of exceptions 
                        under the Arrangement;
                  (C) any use by the Bank of the Tied Aid 
                Credit Fund to match specific offers, including 
                those that are grandfathered or exceptions 
                under the Arrangement; and
                  (D) other actions by the United States 
                Government to combat predatory financing 
                practices by foreign governments, including 
                additional negotiations among participating 
                governments in the Arrangement.
          (3) Confidential information.--To the extent the Bank 
        determines any information required to be included in 
        the report under this subsection should not be made 
        public, such information may be submitted separately on 
        a confidential basis or provided orally, rather than in 
        written form, to the Chairmen and ranking minority 
        Members of the Committees of the Senate and the House 
        of Representatives with jurisdiction over the subject 
        matter of the report.
    (h) Definitions.--For purposes of this section, the 
following definitions shall apply: \131\
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    \131\ Sec. 103(c)(8)(A) of the Export Enhancement Act of 1992 
(Public Law 102-429; 106 Stat. 2188) amended and restated the first 
sentence of subsec. (h).
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          (1) Tied aid and partially untied aid credit.--The 
        terms ``tied aid credit'' and ``partially untied aid 
        credit'' mean any credit which--
                  (A) has a grant element greater than zero 
                percent as determined by the Development 
                Assistance Committee of the Organization for 
                Economic Cooperation and Development;
                  (B) is, in fact or in effect, tied to--
                          (i) the procurement of goods or 
                        services from the donor country, in the 
                        case of tied aid credit; or
                          (ii) the procurement of goods or 
                        services from a restricted number of 
                        countries, in the case of partially 
                        united aid credit; and
                  (C) is financed either exclusively from 
                public funds or partly from public and partly 
                from private funds.
          (2) Secretary.--The term ``Secretary'' means the 
        Secretary of the Treasury.
          (3) Arrangement.--The term ``Arrangement'' means the 
        Arrangement on Guidelines for Officially Supported 
        Export Credits established through the Organization 
        from Economic Cooperation and Development.
          (4) Blended financing.--The term ``blended 
        financing'' means financing provided through any 
        combination of official development assistance, 
        official export credits, and private commercial credit 
        which is integrated into a single agreement with a 
        single set of financial terms.
          (5) Parallel financing.--The term ``parallel 
        financing'' means financing provided by any combination 
        of official development assistance, official export 
        credits, and private commercial credit which is not 
        integrated into a single agreement and does not have a 
        single set of financial terms.
          (6) \132\ Offers grandfathered under the 
        arrangement.--The term ``offers grandfathered under the 
        Arrangement'' means--
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    \132\ Sec. 103(c)(8)(B) of the Export Enhancement Act of 1992 
(Public Law 102-429; 106 Stat. 2189) added para. (6).
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                  (A) financing offers made or lines of credit 
                extended on or before February 15, 1992; or
                  (B) financing offers extended for subloans 
                under lines of credit referred to in 
                subparagraph (A) made on or before August 15, 
                1992, or, in the case of Mexico, on or before 
                December 31, 1992.

SEC. 11.\133\ ENVIRONMENTAL POLICY AND PROCEDURES.
    (a) Environmental Effects Consideration.--
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    \133\ 12 U.S.C. 635i-5. Added as sec. 17 by sec. 106 of the Export 
Enhancement Act of 1992 (Public Law 102-429; 106 Stat. 2189). 
Redesignated as sec. 11 by sec. 121(c)(5) of that Act (106 Stat. 2199).
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          (1) In general.--Consistent with the objectives of 
        section 2(b)(1)(A), the Bank shall establish procedures 
        to take into account the potential beneficial and 
        adverse environmental effects of goods and services for 
        which support is requested under its direct lending and 
        guarantee programs. Such procedures shall apply to any 
        transaction involving a project--
                  (A) for which long-term support of 
                $10,000,000 or more is requested from the Bank;
                  (B) for which the Bank's support would be 
                critical to its implementation; and
                  (C) which may have significant environmental 
                effects upon the global commons or any country 
                not participating in the project, or may 
                produce an emission, an effluent, or a 
                principal product that is prohibited or 
                strictly regulated pursuant to Federal 
                environmental law.
          (2) Authority to withhold financing.--The procedures 
        established under paragraph (1) shall permit the Board 
        of Directors, in its judgment, to withhold financing 
        from a project for environmental reasons or to approve 
        financing after considering the potential environmental 
        effects of a project.
    (b) \129\ Use of Bank Programs To Encourage Certain 
Exports.--(1) In general.--The Bank shall encourage the use of 
its programs to support the export of goods and services that 
have beneficial effects on the environment or mitigate 
potential adverse environmental effects (such as exports of 
products and services used to aid in the monitoring, abatement, 
control, or prevention of air, water, and ground contaminants 
or pollution, or which provide protection in the handling of 
toxic substances, subject to a final determination by the Bank, 
and products and services for foreign environmental projects 
dedicated entirely to the prevention, control, or cleanup of 
air, water, or ground pollution, including facilities to 
provide for control or cleanup, and used in the retrofitting of 
facility equipment for the sole purpose of mitigating, 
controlling, or preventing adverse environmental effects, 
subject to a final determination by the Bank).\134\ The Board 
of Directors shall name an officer of the Bank to advise the 
Board on ways that the Bank's programs can be used to support 
the export of such goods and services. The officer shall act as 
liaison between the Bank and other Federal Government agencies, 
including the agencies whose representatives are members of the 
Environmental Trade Promotion Working Group of the Trade 
Promotion Coordinating Committee, with respect to overall 
United States Government policy on the environment.
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    \134\ Sec. 2(a) of Public Law 103-428 (108 Stat. 4376) inserted 
``(1) In general.--'' before ``The Bank shall''; inserted ``(such as 
exports of products and services used to aid in the monitoring, 
abatement, control, or prevention of air, water, and ground 
contaminants or pollution, or which provide protection in the handling 
of toxic substances, subject to a final determination by the Bank, and 
products and services for foreign environmental projects dedicated 
entirely to the prevention, control, or cleanup of air, water, or 
ground pollution, including facilities to provide for control or 
cleanup, and used in the retrofitting of facility equipment for the 
sole purpose of mitigating, controlling, or preventing adverse 
environmental effects, subject to a final determination by the Bank)'' 
before the first period; and added para. (2).
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    (2) \129\ Limitations on authorization of appropriations.--
In addition to other funds available to support the export of 
goods and services described in paragraph (1), there are 
authorized to be appropriated to the Bank not more than 
$35,000,000 for the cost (as defined in section 502(5) of the 
Federal Credit Reform Act of 1990) of supporting such exports. 
If, in any fiscal year, the funds appropriated in accordance 
with this paragraph are not fully utilized due to insufficient 
qualified transactions for the export of such goods and 
services, such funds may be expended for other purposes 
eligible for support by the Bank.
    (c) Inclusion in Report to Congress.--The Bank shall 
provide in its annual report to the Congress a summary of its 
activities under subsections (a) and (b).
    (d) Interpretation.--Nothing in this section shall be 
construed to create any cause of action.

SEC. 12.\135\ DEBT REDUCTION; ENTERPRISE FOR THE AMERICAS INITIATIVE.
    (a) Definitions.--For purposes of this section--
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    \135\ 12 U.S.C. 635i-6. Added as sec. 18 by sec. 108 of the Export 
Enhancement Act of 1992 (Public Law 102-429; 106 Stat. 2191). 
Redesignated as sec. 12 by sec. 121(c)(6) of that Act (106 Stat. 2199).
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          (1) the term ``eligible country'' means a country 
        designated by the President in accordance with section 
        (b);
          (2) the term ``Facility'' means the entity 
        established in the Department of the Treasury by 
        section 601 of the Agricultural Trade Development and 
        Assistance Act of 1954; and
          (3) the term ``IMF'' means the International Monetary 
        Fund.
    (b) Eligibility for Benefits Under the Facility.--
          (1) Requirements.--To be eligible for benefits from 
        the Facility under this section, a country must--
                  (A) be a Latin American or Caribbean country;
                  (B) have in effect, have received approval 
                for, or, as appropriate in exceptional 
                circumstances, be making significant progress 
                toward--
                          (i) an IMF standby arrangement, 
                        extended IMF arrangement, or an 
                        arrangement under the structural 
                        adjustment facility or enhanced 
                        structural adjustment facility or, in 
                        exceptional circumstances, an IMF 
                        monitored program or its equivalent; 
                        and
                          (ii) as appropriate, structural or 
                        sectoral adjustment loans from the 
                        International Bank for Reconstruction 
                        and Development or the International 
                        Development Association;
                  (C) have put in place major investment 
                reforms in conjunction with an Inter-American 
                Development Bank loan or otherwise be 
                implementing, or making significant progress 
                toward, an open investment regime; and
                  (D) if appropriate, have agreed with its 
                commercial bank lenders on a satisfactory 
                financing program, including, as appropriate, 
                debt or debt service reduction.
          (2) Eligibility determinations.--The President shall 
        determine whether a country is an eligible country for 
        purposes of paragraph (1).
    (c) Loans Eligible for Sale, Reduction, or Cancellation.--
          (1) Authority to sell, reduce, or cancel certain 
        loans.--Notwithstanding any other provision of law, the 
        President may, in accordance with this section, sell to 
        any eligible purchaser any loan or portion thereof made 
        before January 1, 1992, to any eligible country or any 
        agency thereof pursuant to this Act, or, on receipt of 
        payment from an eligible purchaser, reduce or cancel 
        such loan or portion thereof, only for the purpose of 
        facilitating--
                  (A) debt-for-equity swaps, debt-for-
                development swaps, or debt-for-nature swaps; or
                  (B) a debt buy-back by an eligible country of 
                its own qualified debt, only if the eligible 
                country uses an additional amount of the local 
                currency of the eligible country, equal to not 
                less than 40 percent of the price paid for such 
                debt by such eligible country, or the 
                difference between the price paid for such debt 
                and the face value of such debt, to support 
                activities that link conservation and 
                sustainable use of natural resources with local 
                community development, and child survival and 
                other child development activities, in a manner 
                consistent with sections 607 through 612 of the 
                Agricultural Trade Development and Assistance 
                Act of 1954, if the sale, reduction, or 
                cancellation would not contravene any term or 
                condition of any prior agreement relating to 
                such loan.
          (2) Terms and conditions.--Notwithstanding any other 
        provision of law, the President shall, in accordance 
        with this section, establish the terms and conditions 
        under which loans may be sold, reduced, or canceled 
        pursuant to this section.
          (3) Treatment under securities laws.--The filing of a 
        registration statement under the Securities Act of 1933 
        shall not be required with respect to the sale or offer 
        for sale by the Bank of a loan or any interest therein 
        pursuant to this section. For purposes of the 
        Securities Act of 1933, the Bank shall not be deemed to 
        be an issuer or underwriter with respect to any 
        subsequent sale or other disposition of such loan (or 
        any interest therein) or any security received by an 
        eligible purchaser pursuant to any debt-for-equity 
        swap, debt-for-development swap, or debt-for-nature 
        swap.
          (4) Administration.--The Facility shall notify the 
        Bank of purchasers that the President has determined to 
        be eligible, and shall direct the Bank to carry out the 
        sale, reduction, or cancellation of a loan pursuant to 
        this section. The Bank shall make an adjustment in its 
        accounts to reflect the sale, reduction, or 
        cancellation.
          (5) Limitations.--The authorities of this subsection 
        may be exercised only to such extent as provided for in 
        advance in appropriations Acts, as necessary to 
        implement the Federal Credit Reform Act of 1990.
    (d) Deposit of Proceeds.--The proceeds from the sale, 
reduction, or cancellation of any loan sold, reduced, or 
canceled pursuant to this section shall be deposited in the 
United States Government account or accounts established for 
the repayment of such loan.
    (e) Eligible Purchasers.--A loan may be sold pursuant to 
subsection (c)(1)(A) only to a purchaser who presents plans 
satisfactory to the President for using the loan for the 
purpose of engaging in debt-for-equity swaps, debt-for-
development swaps, or debt-for-nature swaps.
    (f) Debtor Consultation.--Before the sale to any eligible 
purchaser, or any reduction or cancellation pursuant to this 
section, of any loan made to an eligible country, the President 
shall consult with the country concerning the amount of loans 
to be sold, reduced, or canceled and their uses for debt-for-
equity swaps, debt-for-development swaps, or debt-for-nature 
swaps.
    (g) Authorization of Appropriations.--For the sale, 
reduction, and cancellation of loans or portions thereof 
pursuant to this section, there are authorized to be 
appropriated to the President such sums as may be necessary, 
which are authorized to remain available until expended.

SEC. 13.\136\ COOPERATION ON EXPORT FINANCING PROGRAMS.
    The Bank shall, subject to appropriate memoranda of 
understanding--
---------------------------------------------------------------------------
    \136\ 12 U.S.C. 635i-7. Added as sec. 19 by sec. 115 of the Export 
Enhancement Act of 1992 (Public Law 102-429; 106 Stat. 2196). 
Redesignated as sec. 13 by sec. 121(c)(7) of that Act (106 Stat. 2199).
---------------------------------------------------------------------------
          (1) provide complete and current information on all 
        of its programs and financing practices to--
                  (A) the Small Business Administration and 
                other Federal agencies involved in promoting 
                exports and marketing export financing 
                programs; and
                  (B) State and local export financing 
                organizations that indicate a desire to 
                participate in export promotion; and
          (2) consistent with the provisions of section 
        2301(f)(2) of the Export Enhancement Act of 1988, 
        undertake a program to provide training for personnel 
        designated in such memoranda with respect to such 
        financing programs.

SEC. 14.\137\ SPECIAL DEBT RELIEF FOR THE POOREST, MOST HEAVILY 
                    INDEBTED COUNTRIES.
    (a) Debt Reduction Authority.--The President may reduce 
amounts of principle and interest owed by any eligible country 
to the Bank as a result of loans or guarantees made under this 
Act.
---------------------------------------------------------------------------
    \137\ 12 U.S.C. 635i-8. Added as a second sec. 11 by sec. 570(b) of 
the Foreign Operations, Export Financing, and Related Programs 
Appropriations Act, Fiscal Year 1994 (Public Law 103-87; 107 Stat. 
970). Redesignated as sec. 14 by sec. 2(b) of Public Law 103-428 (108 
Stat. 4376).
    In a memorandum for the Secretary of the Treasury, June 20, 1994, 
the President delegated the authority in sec. 14(a) of this Act to the 
Secretary of the Treasury, to work in consultation with the Secretary 
of State and the President of the Export-Import Bank (59 F.R. 33413).
---------------------------------------------------------------------------
    (b) Limitations.--
          (1) Types of debt reduction.--The authority provided 
        by subsection (a) may be exercised only to implement 
        multilateral agreements to reduce the burden of 
        official bilateral debt as set forth in the minutes of 
        the so-called ``Paris Club'' (also known as ``Paris 
        Club Agreed Minutes'').
          (2) Eligible countries.--
                  (A) Definition.--As used in subsection (a), 
                the term ``eligible country'' means any country 
                that--
                          (i) has excessively burdensome 
                        external debt;
                          (ii) is eligible to borrow from the 
                        International Development Association; 
                        and
                          (iii) is not eligible to borrow from 
                        the International Bank for 
                        Reconstruction and Development.
                  (B) Determinations.--Subject to subparagraph 
                (A), the President may determine whether a 
                country is an eligible country for purposes of 
                subsection (a).
    (c) Conditions.--The authority provided by this section may 
be exercised only with respect to a country whose government--
          (1) does not have an excessive level of military 
        expenditures;
          (2) has not repeatedly provided support for acts of 
        international terrorism;
          (3) is not failing to cooperate on international 
        narcotics control matters; and
          (4) (including its military or other security forces) 
        does not engage in a consistent pattern of gross 
        violations of internationally recognized human rights.
    (d) Appropriations.--The authority provided by subsection 
(a) may be exercised only in such amounts or to such extent as 
is provided in advance in appropriations Acts.


          Note.--Sec. 121(c)(1) of the Export Enhancement Act 
        of 1992 (Public Law 102-429; 106 Stat. 2199) repealed 
        several sections of the Export-Import Bank Act:
          Sec. 5 (formerly 12 U.S.C. 635c) provided for 
        payments to the Reconstruction Finance Corporation upon 
        the surrender of preferred stock for cancellation;
          Sec. 10 (59 Stat. 529) provided for the repeal of 
        sec. 9 of the Act of January 31, 1935 (49 Stat. 4, ch. 
        2);
          Sec. 12 (formerly 12 U.S.C. 635i) provided for the 
        Export-Import Bank of the United States to succeed the 
        Export-Import Bank of Washington;
          Sec. 13 (formerly 12 U.S.C. 635i-1) provided for 
        special facilities in support of U.S. exports;
          Sec. 14 (formerly 12 U.S.C. 635i-2) required that 
        Congress be notified of certain decreases in capital 
        stock value;
        Sec. 16 (formerly 12 U.S.C. 635i-4) provided for the 
        public sales of bank loans.


                 b. Export Expansion/Export Enhancement

                   (1) Export Enhancement Act of 1999

    Partial text of Public Law 106-158 [H.R. 3381], 113 Stat. 1745, 
                       approved December 9, 1999

 AN ACT To reauthorize the Overseas Private Investment Corporation and 
        the Trade and Development Agency and for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

SECTION 1.\1\ SHORT TITLE.

    This Act may be cited as the ``Export Enhancement Act of 
1999''.
---------------------------------------------------------------------------
    \1\ 22 U.S.C. 2151 note.
    \2\ Sec. 2 amended sec. 235(a)(2) of the Foreign Assistance Act of 
1961. See Legislation on Foreign Relations Through 2002, vol. I-A.
    \3\ Sec. 3 amended sec. 231A of the Foreign Assistance Act of 1961.
    \4\ Sec. 4 amended sec. 233(b) of the Foreign Assistance Act of 
1961.
    \5\ Sec. 5 amended sec. 661 of the Foreign Assistance Act of 1961.
    \6\ 15 U.S.C. 4727a.
---------------------------------------------------------------------------

SEC. 2.\2\ OPIC ISSUING AUTHORITY. * * *

SEC. 3.\3\ IMPACT OF OPIC PROGRAMS. * * *

SEC. 4.\4\ BOARD OF DIRECTORS AT OPIC. * * *

SEC. 5.\5\ TRADE AND DEVELOPMENT AGENCY. * * *

SEC. 6.\6\ IMPLEMENTATION OF PRIMARY OBJECTIVES OF TPCC.

    The Trade Promotion Coordinating Committee shall--
          (1) report on the actions taken or efforts currently 
        underway to eliminate the areas of overlap and 
        duplication identified among Federal export promotion 
        activities;
          (2) coordinate efforts to sponsor or promote any 
        trade show or trade fair;
          (3) work with all relevant State and national 
        organizations, including the National Governors' 
        Association, that have established trade promotion 
        offices;
          (4) report on actions taken or efforts currently 
        underway to promote better coordination between State, 
        Federal, and private sector export promotion 
        activities, including co-location, cost sharing between 
        Federal, State, and private sector export promotion 
        programs, and sharing of market research data; and
          (5) by not later than March 20, 2000, and annually 
        thereafter, include the matters addressed in paragraphs 
        (1), (2), (3) and (4) in the annual report required to 
        be submitted under section 2312(f) of the Export 
        Enhancement Act of 1988 (15 U.S.C. 4727(f)).
---------------------------------------------------------------------------
    \7\ Sec. 7 amended sec. 2312(f) of the Export Enhancement Act of 
1988.
---------------------------------------------------------------------------

SEC. 7.\7\ TIMING OF TPCC REPORTS. * * *

          * * * * * * *
             (2) Fair Trade in Automotive Parts Act of 1998

 Title XXXVIII of Public Law 105-261 [Strom Thurmond National Defense 
        Authorization Act, H.R. 3616], approved October 17, 1998

 AN ACT To authorize appropriations for fiscal year 1999 for military 
activities of the Department of Defense, for military construction, and 
   for defense activities of the Department of Energy, to prescribe 
personnel strengths for such fiscal year for the Armed Forces, and for 
                            other purposes.

  Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,
          * * * * * * *

             TITLE XXXVIII--FAIR TRADE IN AUTOMOTIVE PARTS

SEC. 3801.\1\ SHORT TITLE.

  This title may be cited as the ``Fair Trade in Automotive 
Parts Act of 1998''.
---------------------------------------------------------------------------
    \1\ 15 U.S.C. 4701 note.
---------------------------------------------------------------------------

SEC. 3802.\2\ DEFINITIONS.

  In this title:
---------------------------------------------------------------------------
    \2\ 15 U.S.C. 4705.
---------------------------------------------------------------------------
          (1) Japanese markets.--The term ``Japanese markets'' 
        refers to markets, including markets in the United 
        States and Japan, where automotive parts and 
        accessories, both original equipment and aftermarket, 
        are purchased for use in the manufacture or repair of 
        Japanese automobiles.
          (2) Japanese and other asian markets.--The term 
        ``Japanese and other Asian markets'' refers to markets, 
        including markets in the United States, Japan, and 
        other Asian countries, where automotive parts and 
        accessories, both original equipment and aftermarket, 
        are purchased for use in the manufacture or repair of 
        Japanese, United States, or other Asian automobiles.

SEC. 3803.\3\ RE-ESTABLISHMENT OF INITIATIVE ON AUTOMOTIVE PARTS SALES 
                    TO JAPAN.

  (a) In General.--The Secretary of Commerce shall re-establish 
the initiative to increase the sale of United States-made 
automotive parts and accessories to Japanese markets.
---------------------------------------------------------------------------
    \3\ 15 U.S.C. 4705a.
---------------------------------------------------------------------------
  (b) Functions.--In carrying out this section, the Secretary 
shall--
          (1) foster increased access for United States-made 
        automotive parts and accessories to Japanese companies, 
        including specific consultations on access to Japanese 
        markets;
          (2) facilitate the exchange of information between 
        United States automotive parts manufacturers and the 
        Japanese automobile industry;
          (3) collect data and market information on the 
        Japanese automotive industry regarding needs, trends, 
        and procurement practices, including the types, volume, 
        and frequency of parts sales to Japanese automobile 
        manufacturers;
          (4) establish contacts with Japanese automobile 
        manufacturers in order to facilitate contact between 
        United States automotive parts manufacturers and 
        Japanese automobile manufacturers;
          (5) report on and attempt to resolve disputes, 
        policies, or practices, whether public or private, that 
        result in barriers to increased commerce between United 
        States automotive parts manufacturers and Japanese 
        automobile manufacturers;
          (6) take actions to initiate periodic consultations 
        with officials of the Government of Japan regarding 
        sales of United States-made automotive parts in 
        Japanese markets; and
          (7) transmit to Congress the annual report prepared 
        by the Special Advisory Committee under section 
        3804(c)(5).

SEC. 3804.\4\ ESTABLISHMENT OF SPECIAL ADVISORY COMMITTEE ON AUTOMOTIVE 
                    PARTS SALES IN JAPANESE AND OTHER ASIAN MARKETS.

  (a) In General.--The Secretary of Commerce shall seek the 
advice of the United States automotive parts industry in 
carrying out this title.
---------------------------------------------------------------------------
    \4\ 15 U.S.C. 4705b.
---------------------------------------------------------------------------
  (b) Establishment of Committee.--The Secretary of Commerce 
shall establish a Special Advisory Committee for purposes of 
carrying out this title.
  (c) Functions.--The Special Advisory Committee established 
under subsection (b) shall--
          (1) report to the Secretary of Commerce on barriers 
        to sales of United States-made automotive parts and 
        accessories in Japanese and other Asian markets;
          (2) review and consider data collected on sales of 
        United States-made automotive parts and accessories in 
        Japanese and other Asian markets;
          (3) advise the Secretary of Commerce during 
        consultations with other governments on issues 
        concerning sales of United States-made automotive parts 
        in Japanese and other Asian markets;
          (4) assist in establishing priorities for the 
        initiative established under section 3803, and 
        otherwise provide assistance and direction to the 
        Secretary of Commerce in carrying out the intent of 
        that section; and
          (5) assist the Secretary in reporting to Congress by 
        submitting an annual written report to the Secretary on 
        the sale of United States-made automotive parts in 
        Japanese and other Asian markets, as well as any other 
        issues with respect to which the Committee provides 
        advice pursuant to this title.
  (d) Authority.--The Secretary of Commerce shall draw on 
existing budget authority in carrying out this title.

SEC. 3805.\5\ EXPIRATION DATE.

  The authority under this title shall expire on December 31, 
2003.
---------------------------------------------------------------------------
    \5\ 15 U.S.C. 4705c.
---------------------------------------------------------------------------
          * * * * * * *
                   (3) Export Enhancement Act of 1992

    Partial text of Public Law 102-429 [H.R. 5739], 106 Stat. 2186, 
                       approved October 21, 1992

   AN ACT To reauthorize the Export-Import Bank of the United States.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

SECTION 1.\1\ SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Export 
Enhancement Act of 1992''.
---------------------------------------------------------------------------
    \1\ 12 U.S.C. 635 note.
---------------------------------------------------------------------------
    (b) Table of Contents.--The table of contents for this Act 
is as follows:

             TITLE I--REAUTHORIZATION OF EXPORT-IMPORT BANK

Sec. 101. Declaration of policy.
Sec. 102. Extension of authority.
Sec. 103. Tied aid credit fund extension.
Sec. 104. Use of loan guarantees.
Sec. 105. Expanded use of loan guarantees.
Sec. 106. Environmental policy.
Sec. 107. Insurance-related business stemming from Bank 
    activities.
Sec. 108. Debt reduction; enterprise for the Americas initiative.
Sec. 109. Increase in aggregate loan, guarantee, and insurance 
    authority.
Sec. 110. Limitation on financing for certain countries.
Sec. 111. Conditional allowance of assistance for exports to 
    Angola.
Sec. 112. Financing of sales of defense articles or services.
Sec. 113. Increase in advisory committee membership.
Sec. 114. Financing of high technology exports to emerging 
    democracies.
Sec. 115. Cooperation on export financing programs.
Sec. 116. Assistance for exports by small businesses.
Sec. 117. Compensation of employees.
Sec. 118. Report on regional offices.
Sec. 119. Report on financing of services.
Sec. 120. Report on demand for trade finance for the Baltic 
    States, the independent States of the former Soviet Union, and 
    Central and Eastern Europe.
Sec. 121. Elimination of outdated provisions.

                       TITLE II--EXPORT PROMOTION

Sec. 201. Trade Promotion Coordinating Committee.
Sec. 202. One-stop shops.
Sec. 203. Commercial Service cooperation in Federal financing and 
    insurance programs.
Sec. 204. Environmental trade promotion.
Sec. 205. Rank of Commercial Service officers.
Sec. 206. Report on export policy.
Sec. 207. Provisional repeal of amendments.
Sec. 208. Export promotion authorization.

                        TITLE III--MISCELLANEOUS

Sec. 301. John Heinz Competitive Excellence Award.

             TITLE I--REAUTHORIZATION OF EXPORT-IMPORT BANK

SEC. 101.\1\ DECLARATION OF POLICY.

    The Congress finds that--
          (1) as the world's largest economy, the United States 
        has an enormous stake in the future of the global 
        trading system;
          (2) exports are a crucial force driving the United 
        States economy;
          (3) during 1991, the value of United States exports 
        increased by 7.1 percent from the 1990 level to 
        $421,600,000,000, supporting more than 7,000,000 full-
        time United States jobs, and affecting the lives of all 
        of the people of the United States;
          (4) exports also support the global strategic 
        position of the United States;
          (5) a significant part of a country's influence is 
        drawn from the reputation of its goods, its industrial 
        connections with other countries, and the capital it 
        has available for investment, and trade finance is a 
        critical component of this equation;
          (6) the growth in United States exports has increased 
        the demand for financing from the Export-Import Bank of 
        the United States;
          (7) during 1991, the value of exports assisted by the 
        Export-Import Bank rose 28.7 percent, from 
        $9,700,000,000 to $12,100,000,000, the highest level 
        since 1981;
          (8) the Export-Import Bank used its entire budget 
        authority provided for 1991, and still could not meet 
        all of the demand for its financing assistance; and
          (9) accordingly, the charter of the Export-Import 
        Bank, which is scheduled to expire on September 30, 
        1992, must be renewed in order that the Bank continue 
        to arrange competitive and innovative financing for the 
        foreign sales of United States exporters.

SEC. 102. EXTENSION OF AUTHORITY.

    Section 8 of the Export-Import Bank Act of 1945 (12 U.S.C. 
635f) is amended by striking ``1992'' and inserting ``1997''.
---------------------------------------------------------------------------
    \2\ Sec. 103 amended the Export-Import Bank Act of 1945 through 
sec. 15 (subsequently redesignated as sec. 10).
    \3\ Secs. 104, 105, 107, 109(a), 110, 111, 112(a)-(d), 114, 116, 
and 121(a) amended sec. 2 of the Export-Import Bank Act of 1945 (12 
U.S.C. 635).
    \4\ Sec. 106 added a new sec. 17 to the Export-Import Bank Act of 
1945 (12 U.S.C. 635i-5), subsequently redesignated as sec. 11.
    \5\ Sec. 108 added a new sec. 18 to the Export-Import Bank Act of 
1945 (12 U.S.C. 635i-6), subsequently redesignated as sec. 12.
---------------------------------------------------------------------------

SEC. 103.\2\ TIED AID CREDIT FUND EXTENSION. * * *

SEC. 104.\3\ USE OF LOAN GUARANTEES. * * *

SEC. 105.\3\ EXPANDED USE OF LOAN GUARANTEES. * * *

SEC. 106.\4\ ENVIRONMENTAL POLICY. * * *

SEC. 107.\3\ INSURANCE-RELATED BUSINESS STEMMING FROM BANK ACTIVITIES. 
                    * * *

SEC. 108.\5\ DEBT REDUCTION; ENTERPRISE FOR THE AMERICAS INITIATIVE. * 
                    * *

SEC. 109.\6\ INCREASE IN AGGREGATE LOAN, GUARANTEE, AND INSURANCE 
                    AUTHORITY. * * *


---------------------------------------------------------------------------
    \6\ Sec. 109 amended sec. 2(c)(1) and sec. 7 (12 U.S.C. 635e) of 
the Export-Import Bank Act of 1945 (12 U.S.C. 635(c)(1)).
---------------------------------------------------------------------------

SEC. 110.\3\ LIMITATION ON FINANCING FOR CERTAIN COUNTRIES. * * *

SEC. 111.\3\ CONDITIONAL ALLOWANCE OF ASSISTANCE FOR EXPORTS TO ANGOLA. 
                    * * *

SEC. 112.\7\ FINANCING OF SALES OF DEFENSE ARTICLES OR SERVICES. * * *


---------------------------------------------------------------------------
    \7\ Sec. 112 amended sec. 2(b)(6) of the Export-Import Bank Act of 
1945 and repealed sec. 32 of the Arms Export Control Act (22 U.S.C. 
2772).
---------------------------------------------------------------------------

SEC. 113.\8\ INCREASE IN ADVISORY COMMITTEE MEMBERSHIP. * * *


---------------------------------------------------------------------------
    \8\ Sec. 113 amended sec. 3(d)(1)(A) of the Export-Import Bank Act 
of 1945 (12 U.S.C. 635a(d)(1)(A)).
---------------------------------------------------------------------------

SEC. 114.\3\ FINANCING OF HIGH TECHNOLOGY EXPORTS TO EMERGING 
                    DEMOCRACIES. * * *

SEC. 115.\9\ COOPERATION ON EXPORT FINANCING PROGRAMS. * * *


---------------------------------------------------------------------------
    \9\ Sec. 115 added a new sec. 19 to the Export-Import Bank Act of 
1945 (12 U.S.C. 635i-7), subsequently redesignated as sec. 13.
---------------------------------------------------------------------------

SEC. 116.\3\ ASSISTANCE FOR EXPORTS BY SMALL BUSINESSES. * * *

SEC. 117.\10\ COMPENSATION OF EMPLOYEES.

    (a) In General.--The Board of Directors of the Export-
Import Bank of the United States may compensate not more than 
35 employees of the Bank without regard to the provisions of 
chapter 51 or subchapter III or VIII of chapter 53 of title 5, 
United States Code.
---------------------------------------------------------------------------
    \10\ 12 U.S.C. 635a note.
---------------------------------------------------------------------------
    (b) \11\ Sunset.--Effective 2 years after the date of 
enactment of this Act, subsection (a) is hereby repealed.
---------------------------------------------------------------------------
    \11\ 12 U.S.C. 635a note. Title I of the Foreign Operations, Export 
Financing, and Related Programs Appropriations Act, 1997 (sec. 101(c) 
of title I of Public Law 104-208; 110 Stat. 3009), provided the 
following extension: ``* * * Provided further, That, notwithstanding 
subsection (b) of section 117 of the Export Enhancement Act of 1992, 
subsection (a) thereof shall remain in effect until October 1, 1997.''.
---------------------------------------------------------------------------
    (c) Report.--Not later than 1 year after the date of 
enactment of this Act, the Export-Import Bank of the United 
States shall submit a report to the Congress on--
          (1) the recruitment and employee retention problems 
        of the Bank;
          (2) any relief from such problems afforded by the 
        Office of Personnel Management;
          (3) any use of the authority provided in subsection 
        (a); and
          (4) the conclusions and recommendations of the Bank 
        with respect to--
                  (A) whether such problems have been 
                satisfactorily addressed; and
                  (B) whether or not the authority of 
                subsection (a) should be extended.

SEC. 118.\11\ REPORT ON REGIONAL OFFICES.

    Not later than 1 year after the date of enactment of this 
Act, the Export-Import Bank of the United States shall submit a 
report to the Committee on Banking, Finance and Urban Affairs 
\12\ of the House of Representatives and the Committee on 
Banking, Housing, and Urban Affairs of the Senate on the Bank's 
plan to establish and operate regional offices. In addition, 
the report shall consider the appropriateness of cooperating 
with other Federal agencies and State and local organizations 
in co-locating personnel of such agencies and organizations 
with personnel of the Bank in such regional offices.
---------------------------------------------------------------------------
    \12\ Sec. 1(a)(2) of Public Law 104-14 (109 Stat. 186) provided 
that references to the Committee on Banking, Finance and Urban Affairs 
of the House of Representatives shall be treated as referring to the 
Committee on Banking and Financial Services of the House of 
Representatives.
---------------------------------------------------------------------------

SEC. 119.\13\ REPORT ON FINANCING OF SERVICES.

    (a) Report.--Not later than 1 year after the date of 
enactment of this Act, the Export-Import Bank of the United 
States (in this section referred to as the ``Bank'') shall 
submit a report to the Committee on Banking, Finance and Urban 
Affairs and the Committee on Foreign Affairs of the House of 
Representatives \14\ and the Committee on Banking, Housing, and 
Urban Affairs of the Senate on ways of facilitating the export 
financing of high technology services.
---------------------------------------------------------------------------
    \13\ 12 U.S.C. 635a note.
    \14\ Sec. 1(a)(2) of Public Law 104-14 (109 Stat. 186) provided 
that references to the Committee on Banking, Finance and Urban Affairs 
of the House of Representatives shall be treated as referring to the 
Committee on Banking and Financial Services of the House of 
Representatives. Sec. 1(a)(5) of that Act provided that references to 
the Committee on Foreign Affairs of the House of Representatives shall 
be treated as referring to the Committee on International Relations.
---------------------------------------------------------------------------
    (b) Contents.--The report required by subsection (a) shall 
include--
          (1) an analysis of the current export financing needs 
        of firms dealing in high technology services;
          (2) an identification of the export financing support 
        provided by commercial lenders to finance the sale of 
        high technology services;
          (3) an identification of the official export credit 
        programs in support of such exports of countries that 
        are major participants in the Organization for Economic 
        Cooperation and Development; and
          (4) a review of the programs of the Bank to determine 
        how it can meet identified market needs of firms 
        dealing in high technology services.
    (c) Definition.--For purposes of this section, the term 
``high technology services'' means industries in which above 
average percentages of scientists and engineers are employed, 
and which have the highest direct research and development 
expenditures per dollar of sales, including--
          (1) computer programming and software services;
          (2) data processing services; and
          (3) computer related services.

SEC. 120.\1\ REPORT ON DEMAND FOR TRADE FINANCE FOR THE BALTIC STATES, 
                    THE INDEPENDENT STATES OF THE FORMER SOVIET UNION, 
                    AND CENTRAL AND EASTERN EUROPE.

    (a) Findings.--The Congress finds that--
          (1) United States export participation in the 
        emerging markets in the independent States of the 
        former Soviet Union, Central and Eastern Europe, and 
        the Baltic States holds definite potential for 
        preserving and creating jobs in the United States and 
        strengthening the competitiveness of United States 
        exports;
          (2) export assistance for United States goods 
        destined for emerging republics is an investment in the 
        development and establishment of their market 
        economies, a critical element in maintaining existing 
        United States businesses which export to the regions in 
        which such republics are located, and a significant 
        factor in the economic future of the United States and 
        such republics;
          (3) the Export-Import Bank of the United States (in 
        this section referred to as the ``Bank'') has a unique 
        opportunity to play a leading role in assisting United 
        States exporters to participate in the rapidly changing 
        and highly competitive markets in the independent 
        States of the former Soviet Union, Central and Eastern 
        Europe, and the Baltic States; and
          (4) it is in the interest of the United States for 
        the Bank to--
                  (A) monitor carefully the export assistance 
                programs and terms offered by foreign 
                governments for competitive exports; and
                  (B) make every effort to offer United States 
                business export assistance for transactions in 
                the independent States of the former Soviet 
                Union, Central and Eastern Europe, and the 
                Baltic States, that is comparable to the 
                assistance being provided by other governments.
    (b) Report.--Not later than 1 year after the date of 
enactment of this Act, the Bank shall transmit to the Congress 
a report analyzing the present and future demand for loans, 
guarantees, and insurance for trade between the United States 
and the Baltic States, between the United States and the 
independent States of the former Soviet Union, and between the 
United States and Central and Eastern Europe, and shall make 
recommendations regarding the adequacy of financing for trade 
between the United States and such countries. As used in this 
section, the term ``independent States of the former Soviet 
Union'' includes all successor states (other than the Baltic 
States) to the Soviet Union.

SEC. 121.\15\ ELIMINATION OF OUTDATED PROVISIONS. * * *
---------------------------------------------------------------------------

    \15\ Sec. 121 amended several sections of the Export-Import Bank 
Act of 1945 to eliminate outdated provisions.
---------------------------------------------------------------------------

                       TITLE II--EXPORT PROMOTION

SEC. 201.\16\ TRADE PROMOTION COORDINATING COMMITTEE. * * *
---------------------------------------------------------------------------

    \16\ Sec. 201 added a new sec. 2312 to the Export Enhancement Act 
of 1988 (15 U.S.C. 4727).
---------------------------------------------------------------------------

SEC. 202.\17\ ONE-STOP SHOPS. * * *
---------------------------------------------------------------------------

    \17\ Secs. 202, 203, and 205 amended sec. 2301 of the Export 
Enhancement Act of 1988 (15 U.S.C. 4721).
---------------------------------------------------------------------------

SEC. 203.\17\ COMMERCIAL SERVICE COOPERATION IN FEDERAL FINANCING AND 
                    INSURANCE PROGRAMS. * * *

SEC. 204. ENVIRONMENTAL TRADE PROMOTION.

    (a) \18\ TPCC Activities.--* * *
---------------------------------------------------------------------------
    \18\ Sec. 204(a) added a new sec. 2313 to the Export Enhancement 
Act of 1988 (15 U.S.C. 4728).
---------------------------------------------------------------------------
    (b) \19\ Report on Insurance Feasibility.--Not later than 1 
year after the date of enactment of this Act, the chairperson 
of the Trade Promotion Coordinating Committee, after 
consultation with the appropriate departments and agencies of 
the United States Government, shall submit a report to the 
Congress that analyzes--
---------------------------------------------------------------------------
    \19\ 15 U.S.C. 4728 note.
---------------------------------------------------------------------------
          (1) the extent to which Federal investment insurance 
        and export financing programs sufficiently protect 
        against business failures or default on obligations 
        arising from changes by a foreign government in its 
        environmental laws or regulations; and
          (2) the advisability and feasibility of expanding the 
        coverage of such programs, or creating new programs, to 
        address such risks.

SEC. 205.\17\ RANK OF COMMERCIAL SERVICE OFFICERS. * * *

SEC. 206.\20\ REPORT ON EXPORT POLICY. * * *

  
---------------------------------------------------------------------------
    \20\ Sec. 206 added a new sec. 2314 to the Export Enhancement Act 
of 1988 (15 U.S.C. 4729).
---------------------------------------------------------------------------

SEC. 207.\21\ PROVISIONAL REPEAL OF AMENDMENTS.

    In the event of the enactment of title II of H.R. 3489, 
``An Act to reauthorize the Export Administration Act of 1979, 
and for other purposes'', this title and the amendments made by 
this title are repealed, effective on the date of enactment of 
title II of H.R. 3489, ``An Act to reauthorize the Export 
Administration Act of 1979, and for other purposes''.
---------------------------------------------------------------------------
    \21\ H.R. 3489, Omnibus Export Amendments Act of 1992, including 
title II relating to export promotion, was not enacted in the 102d 
Congress. A conference report on the bill was filed on October 5, 1992, 
as H. Rept. 102-1025, and printed in the Congressional Record, on that 
date--see page H12184. The Export Administration Act of 1979 was 
extended by Public Law 103-10 (107 Stat. 40) in the 103d Congress. That 
law, however, did not enact text relating to export promotion.
---------------------------------------------------------------------------

SEC. 208.\22\ EXPORT PROMOTION AUTHORIZATION. * * *

  
---------------------------------------------------------------------------
    \22\ Sec. 208 amended sec. 202 of the Export Administration 
Amendments Act of 1985 (15 U.S.C. 4052) to authorize appropriations for 
export promotion programs of the Department of Commerce for fiscal 
years 1993 and 1994.
---------------------------------------------------------------------------

                        TITLE III--MISCELLANEOUS

SEC. 301.\23\ JOHN HEINZ COMPETITIVE EXCELLENCE AWARD. * * *

  
---------------------------------------------------------------------------
    \23\ See 2 U.S.C. 831.
                   (4) Export Enhancement Act of 1988

 Title II of Public Law 100-418 [H.R. 4848], 102 Stat. 1325, approved 
  August 23, 1988; Public Law 101-240 [International Development and 
Finance Act of 1989; H.R. 2494], 103 Stat. 2492, approved December 19, 
 1989; Public Law 102-429 [Export Enhancement Act of 1992; H.R. 5739], 
  106 Stat. 2186, approved October 21, 1992; Public Law 102-549 [Jobs 
   Through Exports Act of 1992; H.R. 4996], 106 Stat. 3651, approved 
 October 28, 1992; Public Law 103-236 [Foreign Relations Authorization 
 Act, Fiscal Years 1994 and 1995; H.R. 2333], 108 Stat. 382, approved 
April 30, 1994; Public Law 103-392 [Jobs Through Trade Expansion Act of 
1994; H.R. 4950], 108 Stat. 4098, approved October 22, 1994; Public Law 
 104-14 [H.R. 1421], 109 Stat. 186; Public Law 104-66 [Federal Reports 
 Elimination and Sunset Act of 1995; S. 790], 109 Stat. 707, approved 
 December 21, 1995; Public Law 104-288 [United States National Tourism 
Organization Act of 1996; H.R. 2579], 110 Stat. 3402, approved October 
     11, 1996; Public Law 105-261 [Strom Thurmond National Defense 
  Authorization Act for Fiscal Year 1999; H.R. 3616], 112 Stat. 1920, 
     approved October 17, 1998; and by Public Law 106-158 [Export 
Enhancement Act of 1999; H.R. 3381], 113 Stat. 1745, approved December 
                                9, 1999

  AN ACT To enhance the competitiveness of American industry, and for 
                            other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

SECTION 1. SHORT TITLE AND TABLE OF CONTENTS.

  (a) \1\ Short Title.--This Act may be cited as the ``Omnibus 
Trade and Competitiveness Act of 1988''.
---------------------------------------------------------------------------
    \1\ 19 U.S.C. 2901 note. Other freestanding sections of Public Law 
100-418 (102 Stat. 1107) are found in this volume on page 233.
---------------------------------------------------------------------------
          * * * * * * *

                      TITLE II--EXPORT ENHANCEMENT

          * * * * * * *

SEC. 2001.\2\ SHORT TITLE.

  This title may be referred to as the ``Export Enhancement Act 
of 1988''.
---------------------------------------------------------------------------
    \2\ 15 U.S.C. 4701 note.
---------------------------------------------------------------------------

                  Subtitle A--Trade and Foreign Policy

                part i--relations with certain countries

SEC. 2101. UNITED STATES-MEXICO FRAMEWORK AGREEMENT ON TRADE AND 
                    INVESTMENT.

  (a) Findings.--The Congress finds that the Bilateral 
Framework Agreement on Trade and Investment, entered into by 
the United States and Mexico on November 6, 1987--
          (1) provides a useful vehicle for the management of 
        bilateral trade and investment relations, based on 
        shared principles and objectives;
          (2) establishes procedures for consultation by the 
        two countries on matters of bilateral trade and 
        investment, and should facilitate resolution of 
        disputes on these matters; and
          (3) has led to negotiations between the two countries 
        on important issues, and should continue to facilitate 
        such negotiations.
  (b) Further Implementation of the Agreement.--Within the 
context of the Bilateral Framework Agreement on Trade and 
Investment, the President is urged to continue to pursue 
consultations with representatives of the Government of Mexico 
for the purposes of implementing the Agreement and achieving an 
expansion of mutually beneficial trade and investment.

SEC. 2102. RELATIONS WITH COUNTRIES PROVIDING OFFENSIVE WEAPONRY TO 
                    BELLIGERENT COUNTRIES IN THE PERSIAN GULF REGION.

  It is the sense of the Congress that the President should use 
all available appropriate leverage to persuade all countries to 
desist from any further transfers of offensive weaponry, such 
as Silkworm missiles, to any belligerent country in the Persian 
Gulf region.

                   part ii--fair trade in auto parts

SEC. 2121.\3\ SHORT TITLE.

  This part may be referred to as the ``Fair Trade in Auto 
Parts Act of 1988''.
---------------------------------------------------------------------------
    \3\ 15 U.S.C. 4701 note.
---------------------------------------------------------------------------

SEC. 2122.\4\ DEFINITION.

  For purposes of this part, the term ``Japanese markets'' 
refers to markets, including those in the United States and 
Japan, where automotive parts and accessories, both original 
equipment and aftermarket, are purchased for use in the 
manufacture or repair of Japanese automobiles.
---------------------------------------------------------------------------
    \4\ 15 U.S.C. 4701.
---------------------------------------------------------------------------

SEC. 2123.\5\ ESTABLISHMENT OF INITIATIVE ON AUTO PARTS SALES TO JAPAN.

    (a) In General.--The Secretary of Commerce shall establish 
an initiative to increase the sale of United States-made auto 
parts and accessories to Japanese markets.
---------------------------------------------------------------------------
    \5\ 15 U.S.C. 4702.
---------------------------------------------------------------------------
  (b) Functions.--In carrying out this section, the Secretary 
shall--
          (1) foster increased access for United States-made 
        auto parts and accessories to Japanese companies, 
        including specific consultations on access to Japanese 
        markets;
          (2) facilitate the exchange of information between 
        United States auto parts manufacturers and the Japanese 
        automobile industry;
          (3) collect data and market information on the 
        Japanese automotive industry regarding needs, trends, 
        and procurement practices, including the types, volume, 
        and frequency of parts sales to Japanese automobile 
        manufacturers;
          (4) establish contacts with Japanese automobile 
        manufacturers in order to facilitate contact between 
        United States auto parts manufacturers and Japanese 
        automobile manufacturers;
          (5) report on and attempt to resolve disputes, 
        policies, or practices, whether public or private, that 
        result in barriers to increased commerce between United 
        States auto parts manufacturers and Japanese automobile 
        manufacturers;
          (6) take actions to initiate periodic consultations 
        with officials of the Government of Japan regarding 
        sales of United States-made auto parts in Japanese 
        markets; and
          (7) submit annual written reports or otherwise report 
        annually to the Congress on the sale of United States-
        made auto parts in Japanese markets, including the 
        extent to which long-term, commercial relationships 
        exist between United States auto parts manufacturers 
        and Japanese automobile manufacturers.

SEC. 2124.\6\ ESTABLISHMENT OF SPECIAL ADVISORY COMMITTEE ON AUTO PARTS 
                    SALES IN JAPAN.

    (a) In General.--The Secretary of Commerce shall seek the 
advice of the United States automotive parts industry in 
carrying out this part.
---------------------------------------------------------------------------
    \6\ 15 U.S.C. 4703.
---------------------------------------------------------------------------
  (b) Establishment of Committee.--The Secretary of Commerce 
shall establish a Special Advisory Committee for purposes of 
carrying out this part.
  (c) Functions.--The Special Advisory Committee established 
under subsection (b) shall--
          (1) report to the Secretary of Commerce on barriers 
        to sales of United States-made auto parts and 
        accessories in Japanese markets;
          (2) review and consider data collected on sales of 
        United States-made auto parts and accessories in 
        Japanese markets;
          (3) advise the Secretary of Commerce during 
        consultations with the Government of Japan on issues 
        concerning sales of United States-made auto parts in 
        Japanese markets;
          (4) assist in establishing priorities for the 
        initiative established under section 2123, and 
        otherwise provide assistance and direction to the 
        Secretary of Commerce in carrying out the intent of 
        that section; and
          (5) assist the Secretary in reporting, or otherwise 
        report to the Congress as requested, on the progress of 
        sales of United States-made auto parts in Japanese 
        markets.
  (d) Authority.--The Secretary of Commerce shall draw on 
existing budget authority in carrying out this part.

SEC. 2125.\7\ EXPIRATION DATE.

  The authorities under this part shall expire on December 31, 
1998.\8\
---------------------------------------------------------------------------
    \7\ 15 U.S.C. 4704.
    \8\ Extended from December 31, 1993, by sec. 510(a) of the Foreign 
Relations Authorization Act, Fiscal Years 1994 and 1995 (Public Law 
103-236; 108 Stat. 465).
---------------------------------------------------------------------------

                     Subtitle B--Export Enhancement

                       part i--general provisions

SEC. 2201.\9\ COMMERCIAL PERSONNEL AT THE AMERICAN INSTITUTE OF TAIWAN.

  The American Institute of Taiwan shall employ personnel to 
perform duties similar to those performed by personnel of the 
United States and Foreign Commercial Service. The number of 
individuals employed shall be commensurate with the number of 
United States personnel of the Commercial Service who are 
permanently assigned to the United States diplomatic mission to 
South Korea.
---------------------------------------------------------------------------
    \9\ 22 U.S.C. 3310a.
---------------------------------------------------------------------------

SEC. 2202.\10\ COUNTRY REPORTS ON ECONOMIC POLICY AND TRADE PRACTICES.

  The Secretary of State shall, not later than January 31 of 
each year, prepare and transmit to the Committee on Foreign 
Affairs \11\ and the Committee on Ways and Means of the House 
of Representatives, to the Committee on Foreign Relations and 
the Committee on Finance of the Senate, and to other 
appropriate committees of the Congress, a detailed report 
regarding the economic policy and trade practices of each 
country with which the United States has an economic or trade 
relationship. The Secretary may direct the appropriate officers 
of the Department of State who are serving overseas, in 
consultation with appropriate officers or employees of other 
departments and agencies of the United States, including the 
Department of Agriculture and the Department of Commerce, to 
coordinate the preparation of such information in a country as 
is necessary to prepare the report under this section. The 
report shall identify and describe, with respect to each 
country--
---------------------------------------------------------------------------
    \10\ 15 U.S.C. 4711.
    \11\ Sec. 1(a)(5) of Public Law 104-14 (109 Stat. 186) provided 
that references to the Committee on Foreign Affairs of the House of 
Representatives shall be treated as referring to the Committee on 
International Relations of the House of Representatives.
---------------------------------------------------------------------------
          (1) the macroeconomic policies of the country and 
        their impact on the overall growth in demand for United 
        States exports;
          (2) the impact of macroeconomic and other policies on 
        the exchange rate of the country and the resulting 
        impact on price competitiveness of United States 
        exports;
          (3) any change in structural policies (including tax 
        incentives, regulations governing financial 
        institutions, production standards, and patterns of 
        industrial ownership) that may affect the country's 
        growth rate and its demand for United States exports;
          (4) the management of the country's external debt and 
        its implications for trade with the United States;
          (5) acts, policies, and practices that constitute 
        significant barriers to United States exports or 
        foreign direct investment in that country by United 
        States persons, as identified under section 181(a)(1) 
        of the Trade Act of 1974 (19 U.S.C. 2241(a)(1));
          (6) acts, policies, and practices that provide direct 
        or indirect government support for exports from that 
        country, including exports by small businesses;
          (7) the extent to which the country's laws and 
        enforcement of those laws afford adequate protection to 
        United States intellectual property, including patents, 
        trademarks, copyrights, and mask works; and
          (8) the country's laws, enforcement of those laws, 
        and practices with respect to internationally 
        recognized worker rights (as defined in section 507(4) 
        \12\ of the Trade Act of 1974), the conditions of 
        worker rights in any sector which produces goods in 
        which United States capital is invested, and the extent 
        of such investment.
---------------------------------------------------------------------------
    \12\ Sec. 1954(b)(2) of Public Law 104-288 (110 Stat. 1928) struck 
out ``502(a)(4)'' and inserted in lieu thereof ``507(4)''.
---------------------------------------------------------------------------

SEC. 2203. OVERSEAS PRIVATE INVESTMENT CORPORATION.

  (a) Reaffirmation of Support for OPIC.--The Congress 
reaffirms its support for the Overseas Private Investment 
Corporation as a United States Government agency serving 
important development assistance goals. In order to enhance the 
Corporation's ability to meet these goals, the Overseas Private 
Investment Corporation should increase its loan guaranty and 
direct investment programs.
  (b) * * *
  (c) * * *

SEC. 2204. TRADE AND DEVELOPMENT AGENCY.\13\

  (a) Reaffirmation of Support for Trade and Development 
Agency.--The Congress reaffirms its support for the Trade and 
Development Agency, and believes that the Agency's ability to 
support high priority development projects in developing 
countries would be enhanced by an increase in the funds 
authorized for the Agency as well as by a clarification of the 
Agency's status as a separate component of the International 
Development Cooperation Agency.
---------------------------------------------------------------------------
    \13\ Sec. 202(e) of Public Law 102-549 (106 Stat. 3657) provided 
that ``Any reference in any law to the Trade and Development Program 
shall be deemed to be a reference to the Trade and Development 
Agency.''.
---------------------------------------------------------------------------
  (b) Authorization and Uses of Funds; Establishment as 
Separate Agency.
          (1) * * *
          (2) * * *
          (3) Funding levels.--In addition to funds otherwise 
        available to the President for purposes of section 661 
        of the Foreign Assistance Act of 1961--
                  (A) not less than $5,000,000 and not more 
                than $10,000,000 for fiscal year 1988 shall be 
                made available for such purposes, half of which 
                shall be derived from amounts available to 
                carry out section 108 of the Foreign Assistance 
                Act of 1961 for such fiscal year, and half of 
                which shall be derived from amounts available 
                to carry out chapter 4 of part II of the 
                Foreign Assistance Act of 1961 for such fiscal 
                year; and
                  (B) not less than $5,000,000 and not more 
                than $10,000,000 for fiscal year 1989 shall be 
                made available for such purposes, half of which 
                shall be derived from amounts available to 
                carry out section 108 of the Foreign Assistance 
                Act of 1961 for such fiscal year, and half of 
                which shall be derived from amounts available 
                to carry out chapter 4 of part II of the 
                Foreign Assistance Act of 1961 for such fiscal 
                year.
          (4) Additional funding.--(A) In addition to the 
        amounts otherwise available to the President for 
        purposes of section 661 of the Foreign Assistance Act 
        of 1961 (including amounts available under paragraph 
        (3) of this subsection) for fiscal years 1988 and 1989, 
        there are authorized to be appropriated $10,000,000 for 
        each such fiscal year for education and training 
        programs undertaken in connection with projects under 
        section 661 of that Act, including the operating 
        expenses incurred in implementing such programs. 
        Particular emphasis shall be placed on including in 
        such programs nationals from the People's Republic of 
        China and the Republic of China (Taiwan). Assistance 
        may be provided for education and training under this 
        paragraph only if there is a reasonable expectation 
        that such education and training will result in 
        increased exports from the United States and will not 
        have a negative impact on employment in the United 
        States.
          (B) Of the funds made available to carry out 
        subparagraph (A), 50 percent of such funds shall be 
        available only for education and training programs 
        administered in the United States by small business 
        concerns as defined under section 3 of the Small 
        Business Act (15 U.S.C. 632).
  (c) * * *
  (d) Administrative Provisions.--
          (1) Pay of director of tdp.--Section 5314 of title 5, 
        United States Code, is amended by adding at the end the 
        following:
          ``Director, Trade and Development Program.''.\13\
          (2) Transition provisions.--(A) The Administrator of 
        the Agency for International Development shall transfer 
        to the Director of the Trade and Development Agency 
        \13\ all records, contracts, applications, and any 
        other documents or information in connection with the 
        functions transferred by virtue of the amendments made 
        by subsection (c)(1).\14\
---------------------------------------------------------------------------
    \14\ Subsec. (c)(1) amended the Trade and Development Enhancement 
Act of 1983 (title VI, Public Law 98-181).
---------------------------------------------------------------------------
          (B) All determinations, regulations, and contracts--
                  (i) which have been issued, made, granted, or 
                allowed to become effective by the President, 
                the Agency for International Development, or by 
                a court of competent jurisdiction, in the 
                performance of the functions transferred by 
                virtue of the amendments made by subsection 
                (c)(1), and
                  (ii) which are in effect at the time this 
                section takes effect,
        shall continue in effect according to their terms until 
        modified, terminated, superseded, set aside, or revoked 
        in accordance with the law by the President, the 
        Director of the Trade and Development Agency,\76\ or 
        other authorized official, by a court of competent 
        jurisdiction, or by operation of law.
          (C)(i) The amendments made by subsection (c)(1) shall 
        not affect any proceedings, including notices of 
        proposed rulemaking, or any application for any 
        financial assistance, which is pending on the effective 
        date of this section before the Agency for 
        International Development in the exercise of functions 
        transferred by virtue of the amendments made by 
        subsection (c)(1). Such proceedings and applications, 
        to the extent that they relate to functions so 
        transferred, shall be continued.
          (ii) Orders shall be issued in such proceedings, 
        appeals shall be taken therefrom, and payments shall be 
        made pursuant to such orders, as if this section had 
        not been enacted. Orders issued in any such proceedings 
        shall continue in effect until modified, terminated, 
        superseded, or revoked by the Director of the Trade and 
        Development Agency \76\ or other authorized official, 
        by a court of competent jurisdiction, or by operation 
        of law.
          (iii) Nothing in this subparagraph shall be deemed to 
        prohibit the discontinuance or modification of any such 
        proceeding under the same terms and conditions and to 
        the same extent that such proceeding could have been 
        discontinued or modified if this section had not been 
        enacted.
          (iv) The Director of the Trade and Development Agency 
        \76\ is authorized to issue regulations providing for 
        the orderly transfer to the Trade and Development 
        Agency \76\ of proceedings continued under this 
        subparagraph.
          (D) With respect to any function transferred by 
        virtue of the amendments made by subsection (c)(1) and 
        exercised on or after the effective date of this 
        section, reference in any other Federal law to the 
        Agency for International Development or any officer 
        shall be deemed to refer to the Trade and Development 
        Agency \76\ or other official to which such function is 
        so transferred.

SEC. 2205.\15\ BARTER AND COUNTERTRADE.

  (a) Interagency Group.--
---------------------------------------------------------------------------
    \15\ 15 U.S.C. 4712.
---------------------------------------------------------------------------
          (1) Establishment.--The President shall establish an 
        interagency group on countertrade, to be composed of 
        representatives of such departments and agencies of the 
        United States as the President considers appropriate. 
        The Secretary of Commerce shall be the chairman of the 
        interagency group.
          (2) Functions.--It shall be the function of the 
        interagency group to--
                  (A) review and evaluate--
                          (i) United States policy on 
                        countertrade and offsets, in light of 
                        current trends in international 
                        countertrade and offsets and the impact 
                        of those trends on the United States 
                        economy;
                          (ii) the use of countertrade and 
                        offsets in United States exports and 
                        bilateral United States foreign 
                        economic assistance programs; and
                          (iii) the need for and the 
                        feasibility of negotiating with other 
                        countries, through the Organization for 
                        Economic Cooperation and Development 
                        and other appropriate international 
                        organizations, to reach agreements on 
                        the use of countertrade and offsets; 
                        and
                  (B) make recommendations to the President and 
                the Congress on the basis of the review and 
                evaluation referred to in subparagraph (A).
          (3) Sharing of information.--Other departments and 
        agencies of the United States shall provide to the 
        interagency group such information available to such 
        departments and agencies as the interagency group may 
        request, except that the requirements, including 
        penalties for violation thereof, for preserving the 
        confidentiality of such information which are 
        applicable to the officials, employees, experts, or 
        consultants of such departments and agencies shall 
        apply in the same manner to each member of the 
        interagency group and to any other person performing 
        any function under this subsection.
  (b) Office of Barter.--
          (1) Establishment--There is established, within the 
        International Trade Administration of the Department of 
        Commerce, the Office of Barter (hereafter in this 
        section referred to as the ``Office'').
          (2) Director.--There shall be at the head of the 
        Office a Director, who shall be appointed by the 
        Secretary of Commerce.
          (3) Staff.--The Secretary of Commerce shall transfer 
        such staff to the Office as the Secretary determines is 
        necessary to enable the Office to carry out its 
        functions under this section.
          (4) Functions.--It shall be the function of the 
        Office to--
                  (A) monitor information relating to trends in 
                international barter;
                  (B) organize and disseminate information 
                relating to international barter in a manner 
                useful to business firms, educational 
                institutions, export-related Federal, State, 
                and local government agencies, and other 
                interested persons, including publishing 
                periodic lists of known commercial 
                opportunities for barter transactions 
                beneficial to United States enterprises;
                  (C) notify Federal agencies with operations 
                abroad of instances where it would be 
                beneficial to the United States for the Federal 
                Government to barter Government-owned surplus 
                commodities for goods and services purchased 
                abroad by the Federal Government; and
                  (D) provide assistance to enterprises seeking 
                barter and countertrade opportunities.

SEC. 2206. PROTECTION OF UNITED STATES INTELLECTUAL PROPERTY.

  It is the sense of the Congress that--
          (1) the Secretary of State should urge international 
        technical organizations, such as the World Intellectual 
        Property Organization, to provide expertise and 
        cooperate fully in developing effective standards, in 
        the General Agreement on Tariffs and Trade, for the 
        international protection of intellectual property 
        rights; and
          (2) development assistance programs administered by 
        the Agency for International Development, especially 
        the reimbursable development program, should, in 
        cooperation with the Copyright Office and the Patent 
        and Trademark Office, include technical training for 
        officials responsible for the protection of patents, 
        copyrights, trademarks, and mask works in those 
        countries that receive such development assistance.

SEC. 2207. REPORT ON WORKER RIGHTS.

  The Secretary of State shall conduct an in-depth study with a 
view to improving the breadth, content, and utility of the 
annual reports submitted to the Congress pursuant to section 
505(c) of the Trade Act of 1974 regarding the status of 
internationally recognized worker rights in foreign countries. 
Not later than 6 months after the date of the enactment of this 
Act, the Secretary shall submit a report to the Congress on the 
findings of such study and shall include in the report 
recommendations for upgrading the capacity of the United States 
Government to monitor and report on other countries' respect 
for such rights.

SEC. 2208. JAPANESE IMPORTATION OF MANUFACTURED GOODS FROM LESS 
                    DEVELOPED COUNTRIES.

  (a) Findings.--The Congress finds that--
          (1) Japan's merchandise trade surplus rose from 
        $62,000,000,000 in fiscal year 1985 to $101,000,000,000 
        in fiscal year 1986;
          (2) these surpluses pose a grave threat to the free 
        trade system;
          (3) Japan's most important contribution to the 
        international trading system would be to commit itself 
        as a nation to import with vigor, just as it has 
        exported with vigor in recent decades;
          (4) Japan should particularly increase its imports of 
        manufactured goods; and
          (5) Japan's share of the exports of less developed 
        countries has declined from 10.6 percent in 1979 to 
        below 8 percent in 1985.
  (b) Sense of Congress.--It is the sense of the Congress 
that--
          (1) by taking its proportionate share of the 
        manufactured exports of developing countries, Japan 
        will promote not only its economic development but the 
        economic conditions conducive to democracy;
          (2) expanding markets for the manufactured exports of 
        less developed countries will directly benefit the 
        United States, and, if less developed countries are 
        able to increase exports to Japan, these countries will 
        be able to earn more of the hard currency needed to 
        service their foreign debt obligations and make the 
        investments necessary to chart a course of solid 
        economic growth; and
          (3) if less developed countries are able to export 
        manufactured goods to Japan, they will be under less 
        pressure to divert exports to the United States market.

SEC. 2209. JAPAN AND THE ARAB BOYCOTT OF ISRAEL.

  It is the sense of the Congress that the United States should 
encourage the Government of Japan in its efforts to expand 
trade relations with Israel and to end compliance by Japanese 
commercial enterprises with the Arab economic boycott of 
Israel.

SEC. 2210. FACILITATION OF JEWELRY TRADE.

  It is the sense of the Congress that the United States should 
become a party to the Convention on the Control and Marking of 
Articles of Precious Metals in order to facilitate the efforts 
of the United States jewelry industry in penetrating foreign 
markets.

                   part ii--assistance to poland \16\

          * * * * * * *
---------------------------------------------------------------------------
    \16\ Part II, cited as the ``American Aid to Poland Act of 1988'', 
can be found in Legislation on Foreign Relations Through 2002, vol. I-
B.
---------------------------------------------------------------------------

                      Subtitle C--Export Promotion

SEC. 2301.\17\ UNITED STATES AND FOREIGN COMMERCIAL SERVICE.

  (a) Establishment.--
---------------------------------------------------------------------------
    \17\ 15 U.S.C. 4721.
---------------------------------------------------------------------------
          (1) In general.--The Secretary of Commerce shall 
        establish, within the International Trade 
        Administration, the United States and Foreign 
        Commercial Service. The Secretary shall, to the 
        greatest extent practicable, transfer to the Commercial 
        Service the functions and personnel of the United 
        States and Foreign Commercial Services.
          (2) Assistant secretary of commerce and director 
        general; other personnel.--The head of the Commercial 
        Service shall be the Assistant Secretary of Commerce 
        and Director General of the Commercial Service, who 
        shall be appointed by the President, by and with the 
        advice and consent of the Senate. The Assistant 
        Secretary of Commerce and Director General of the 
        Commercial Service may appoint Commercial Service 
        Officers and such other personnel as may be necessary 
        to carry out the activities of the Commercial Service.
          (3) Coordination with foreign policy objectives.--The 
        Secretary shall take the necessary steps to ensure that 
        the activities of the Commercial Service are carried 
        out in a manner consistent with United States foreign 
        policy objectives, and the Secretary shall consult 
        regularly with the Secretary of State in order to 
        comply with this paragraph.
          (4) Authority of chief of mission.--All activities of 
        the Commercial Service shall be subject to section 207 
        of the Foreign Service Act of 1980 (22 U.S.C. 3927).
  (b) Statement of Purpose.--The Commercial Service shall place 
primary emphasis on the promotion of exports of goods and 
services from the United States, particularly by small 
businesses and medium-sized businesses, and on the protection 
of United States business interests abroad by carrying out 
activities such as--
          (1) identifying United States businesses with the 
        potential to export goods and services and providing 
        such businesses with advice and information on 
        establishing export businesses;
          (2) providing United States exporters with 
        information on economic conditions, market 
        opportunities, the status of the intellectual property 
        system in such country, and the legal and regulatory 
        environment within foreign countries;
          (3) providing United States exporters with 
        information and advice on the necessary adaptation of 
        product design and marketing strategy to meet the 
        differing cultural and technical requirements of 
        foreign countries;
          (4) providing United States exporters with actual 
        leads and an introduction to contacts within foreign 
        countries;
          (5) assisting United States exporters in locating 
        reliable sources of business services in foreign 
        countries;
          (6) assisting United States exporters in their 
        dealings with foreign governments and enterprises owned 
        by foreign governments; \18\
---------------------------------------------------------------------------
    \18\ Sec. 202 of the Export Enhancement Act of 1992 (Public Law 
102-429; 106 Stat. 2201) struck out ``and'' at the end of para. (6); 
struck out a period at the end of para. (7) and inserted instead a 
semicolon; and added para. (8).
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          (7) assisting the coordination of the efforts of 
        State and local agencies and private organizations 
        which seek to promote United States business interests 
        abroad so as to maximize their effectiveness and 
        minimize the duplication of efforts; \81\
          (8) \81\ utilizing district and foreign offices as 
        one-stop shops for United States exporters by providing 
        exporters with information on all export promotion and 
        export finance activities of the Federal Government, 
        assisting exporters in identifying which Federal 
        programs may be of greatest assistance, and assisting 
        exporters in making contact with the Federal programs 
        identified; and
          (9) \19\ providing United States exporters and export 
        finance institutions with information on all financing 
        and insurance programs of the Export-Import Bank of the 
        United States, the Overseas Private Investment 
        Corporation, the Trade and Development Agency,\76\ and 
        the Small Business Administration, including providing 
        assistance in completing applications for such programs 
        and working with exporters and export finance 
        institutions to address any deficiencies in such 
        applications that have been submitted.
---------------------------------------------------------------------------
    \19\ Sec. 203(a) of the Export Enhancement Act of 1992 (Public Law 
102-429; 106 Stat. 2201) added para. (9).
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  (c) Offices.--
          (1) In general.--The Commercial Service shall conduct 
        its activities at a headquarters office, district 
        offices located in major United States cities, and 
        foreign offices located in major foreign cities.
          (2) Headquarters.--The headquarters of the Commercial 
        Service shall provide such managerial, administrative, 
        research, and other services as the Secretary considers 
        necessary to carry out the purposes of the Commercial 
        Service.
          (3) District offices.--The Secretary shall establish 
        district offices of the Commercial Service in any 
        United States city in a region in which the Secretary 
        determines that there is a need for Federal Government 
        export assistance.
          (4) Foreign offices.--(A) The Secretary may, after 
        consultation with the Secretary of State, establish 
        foreign offices of the Commercial Service. These 
        offices shall be located in foreign cities in regions 
        in which the Secretary determines there are significant 
        business opportunities for United States exporters.
          (B) The Secretary may, in consultation with the 
        Secretary of State, assign to the foreign offices 
        Commercial Service Officers and such other personnel as 
        the Secretary considers necessary. In employing 
        Commercial Service Officers and such other personnel, 
        the Secretary shall use the Foreign Service personnel 
        system in accordance with the Foreign Service Act of 
        1980. The Secretary shall designate a Commercial 
        Officer as head of each foreign office.
          (C) Upon the request of the Secretary, the Secretary 
        of State shall attach the Commercial Service Officers 
        and other employees of each foreign office to the 
        diplomatic mission of the United States in the country 
        in which that foreign office is located, and shall 
        obtain for them diplomatic privileges and immunities 
        equivalent to those enjoyed by Foreign Service 
        personnel of comparable rank and salary.
          (D) For purposes of official representation, the 
        senior Commercial Service Officer in each country shall 
        be considered to be the senior commercial 
        representative of the United States in that country, 
        and the United States chief of mission in that country 
        shall accord that officer all privileges and 
        responsibilities appropriate to the position of senior 
        commercial representative of other countries.
          (E) The Secretary of State is authorized, upon the 
        request of the Secretary, to provide office space, 
        equipment, facilities, and such other administrative 
        and clerical services as may be required for the 
        operation of the foreign offices. The Secretary is 
        authorized to reimburse or advance funds to the 
        Secretary of State for such services.
          (F) The authority of the Secretary under this 
        paragraph shall be subject to section 103 of the 
        Diplomatic Security Act (22 U.S.C. 4802).
  (d) Rank of Commercial Service Officers in Foreign 
Missions.--
          (1) Minister-counselor.--Notwithstanding any other 
        provision of law, the Secretary is authorized to 
        designate up to 16 \20\ United States missions abroad 
        at which the senior Commercial Service Officer will be 
        able to use the diplomatic title of Minister-Counselor. 
        The Secretary of State shall accord the diplomatic 
        title of Minister-Counselor to the senior Commercial 
        Service Officer assigned to a United States mission so 
        designated.
---------------------------------------------------------------------------
    \20\ Sec. 205 of the Export Enhancement Act of 1992 (Public Law 
102-429; 106 Stat. 2204) struck out ``8'' and inserted in lieu thereof 
``16''.
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          (2) Consul general.--In any United States consulate 
        in which a vacancy occurs in the position of Consul 
        General, the Secretary of State, in consultation with 
        the Secretary, shall consider filling that vacancy with 
        a Commercial Service Officer if the primary functions 
        of the consulate are of a commercial nature and if 
        there are significant business opportunities for United 
        States exporters in the region in which the consulate 
        is located.
  (e) Information Dissemination.--In order to carry out 
subsection (b)(7), to lessen the cost of distribution of 
information produced by the Commercial Service, and to make 
that information more readily available, the Secretary should 
establish a system for distributing that information in those 
areas where no district offices of the Commercial Service are 
located. Distributors of the information should be State export 
promotion agencies or private export and trade promotion 
associations. The distribution system should be consistent with 
cost recovery objectives of the Department of Commerce.
    (f) \21\ Cooperation in Federal Financing and Insurance 
Programs.--To assist the Commercial Service in carrying out 
subsection (b)(9), and consistent with the provisions of 
section 13 of the Export-Import Bank Act of 1945, the Export-
Import Bank of the United States, the Overseas Private 
Investment Corporation, the Trade and Development Agency,\13\ 
and the Small Business Administration shall each--
---------------------------------------------------------------------------
    \21\ Sec. 203(b)(1) of the Export Enhancement Act of 1992 (Public 
Law 102-429; 106 Stat. 2201) redesignated subsecs. (f) through (i) as 
subsecs. (g) through (k), and sec. 203(b)(2) of that Act added a new 
subsec. (f).
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          (1) provide to the Commercial Service complete and 
        current information on all of its programs and 
        financing practices; and
          (2) undertake a training program regarding such 
        programs and practices for Commercial Service Officers 
        who are designated by the Assistant Secretary of 
        Commerce and Director General of the Commercial 
        Service.
  (g) \21\ Audits.--The Inspector General of the Department of 
Commerce shall perform periodic audits of the operations of the 
Commercial Service, but at least once every 3 years. The 
Inspector General shall report to the Congress the results of 
each such audit. In addition to an overview of the activities 
and effectiveness of Commercial Service operations, the audit 
shall include--
          (1) an evaluation of the current placement of 
        domestic personnel and recommendations for transferring 
        personnel among district offices;
          (2) an evaluation of the current placement of 
        foreign-based personnel and recommendations for 
        transferring such personnel in response to newly 
        emerging business opportunities for United States 
        exporters; and
          (3) an evaluation of the personnel system and its 
        management, including the recruitment, assignment, 
        promotion, and performance appraisal of personnel, the 
        use of limited appointees, and the ``time-in-class'' 
        system.
  (h) \21\ Report by the Secretary.--Not later than 1 year 
after the date of the enactment of this Act, the Secretary 
shall submit a report to the Congress on the feasibility and 
desirability, the progress to date, the present status, and the 
5-year outlook, of the comprehensive integration of the 
functions and personnel of the foreign and domestic export 
promotion operations within the International Trade 
Administration of the Department of Commerce.
  (i) \21\ Pay of Assistant Secretary and Director General.--
Section 5315 of title 5, United States Code, is amended by 
adding at the end the following:
          ``Assistant Secretary of Commerce and Director 
        General of the United States and Foreign Commercial 
        Service.''.
  (j) \21\ Definitions.--For purposes of this section--
          (1) the term ``Secretary'' means the Secretary of 
        Commerce;
          (2) the term ``Commercial Service'' means the United 
        States and Foreign Commercial Service;
          (3) the term ``United States exporter'' means--
                  (A) a United States citizen;
                  (B) a corporation, partnership, or other 
                association created under the laws of the 
                United States or of any State; or
                  (C) a foreign corporation, partnership, or 
                other association, more than 95 percent of 
                which is owned by persons described in 
                subparagraphs (A) and (B),
        that exports, or seeks to export, goods or services 
        produced in the United States;
          (4) the term ``small business'' means any small 
        business concern as defined under section 3 of the 
        Small Business Act (15 U.S.C. 632);
          (5) the term ``State'' means any of the several 
        States, the District of Columbia, or any commonwealth, 
        territory, or possession of the United States; and
          (6) the term ``United States'' means the several 
        States, the District of Columbia, and any commonwealth, 
        territory, or possession of the United States.

SEC. 2302.\22\ COMMERCIAL SERVICE OFFICERS AND MULTILATERAL DEVELOPMENT 
                    BANK PROCUREMENT. * * * [TRANSFERRED--1989]
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    \22\ Sec. 2302 (15 U.S.C. 4722) was transferred to the 
International Financial Institutions Act by sec. 541(b)(1) of the 
International Development and Finance Act of 1989 (Public Law 101-240; 
103 Stat. 2517), redesignated as sec. 1803 and recodified at 22 U.S.C. 
262s-2.
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SEC. 2303.\23\ MARKET DEVELOPMENT COOPERATOR PROGRAM.

  (a) Authority of Secretary of Commerce.--In order to promote 
further the exportation of goods and services from the United 
States, the Secretary of Commerce is authorized to establish, 
in the International Trade Administration of the Department of 
Commerce, a Market Development Cooperator Program. The purpose 
of the program is to develop, maintain, and expand foreign 
markets for nonagricultural goods and services produced in the 
United States.
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    \23\ 15 U.S.C. 4723. See also United States Commercial Centers, 
sec. 401 of the Jobs Through Exports Act of 1992 (Public Law 102-549; 
106 Stat. 3661).
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  (b) Implementation of the Program.--The Secretary of Commerce 
shall carry out the Market Development Cooperator Program by 
entering into contracts with--
          (1) nonprofit industry organizations,
          (2) trade associations,
          (3) State departments of trade and their regional 
        associations, including centers for international trade 
        development, and
          (4) private industry firms or groups of firms in 
        cases where no entity described in paragraph (1), (2), 
        or (3) represents that industry,
(in this section referred to as ``cooperators'') to engage in 
activities in order to carry out the purpose of the Market 
Development Cooperator Program set forth in subsection (a). The 
costs of activities under such a contract shall be shared 
equitably among the Department of Commerce, the cooperator 
involved, and, whenever appropriate, foreign businesses. The 
Department of Commerce shall undertake to support direct costs 
of activities under such a contract, and the cooperator shall 
undertake to support indirect costs of such activities. 
Activities under such a contract shall be carried out by the 
cooperator with the approval and assistance of the Secretary.
  (c) Cooperator Partnership Program.--
          (1) In general.--(A) As part of the Market 
        Development Cooperator Program established under 
        subsection (a), the Secretary of Commerce shall 
        establish a partnership program with cooperators under 
        which a cooperator may detail individuals, subject to 
        the approval of the Secretary, to the United States and 
        Foreign Commercial Service for a period of not less 
        than 1 year or more than 2 years to supplement the 
        Commercial Service.
          (B) Any individual detailed to the United States and 
        Foreign Commercial Service under this subsection shall 
        be responsible for such duties as the Secretary may 
        prescribe in order to carry out the purpose of the 
        Market Development Cooperator Program set forth in 
        subsection (a).
          (C) Individuals detailed to the United States and 
        Foreign Commercial Service under this subsection shall 
        not be considered to be employees of the United States 
        for the purposes of any law administered by the Office 
        of Personnel Management, except that the Secretary of 
        State may determine the applicability to such 
        individuals of section 2(f) of the State Department 
        Basic Authorities Act of 1956 (22 U.S.C. 2669(f)) and 
        of any other law administered by the Secretary of State 
        concerning the detail of such individuals abroad.
          (2) Qualifications of participants.--In order to 
        qualify for the program established under this 
        subsection, individuals shall have demonstrated 
        expertise in the international business arena in at 
        least 2 of the following areas: marketing, market 
        research, and computer data bases.
          (3) Expenses of the program.--(A) The cooperator who 
        details an individual to the United States and Foreign 
        Commercial Service under this subsection shall be 
        responsible for that individual's salary and related 
        expenses, including health care, life insurance, and 
        other noncash benefits, if any, normally paid by such 
        cooperator.
          (B) The Secretary of Commerce shall pay 
        transportation and housing costs for each individual 
        participating in the program established under this 
        subsection.
  (d) Budget Act.--Contracts may be entered into under this 
section in a fiscal year only to such extent or in such amounts 
as are provided in appropriations Acts.

SEC. 2304.\24\ TRADE SHOWS.

  (a) Authority of the Secretary of Commerce.--In order to 
facilitate exporting by United States businesses, the Secretary 
of Commerce shall provide assistance for trade shows in the 
United States which bring together representatives of United 
States businesses seeking to export goods or services produced 
in the United States and representatives of foreign companies 
or governments seeking to buy such goods or services from these 
United States businesses.
---------------------------------------------------------------------------
    \24\ 15 U.S.C. 4724.
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  (b) Recipients of Assistance.--Assistance under subsection 
(a) may be provided to--
          (1) nonprofit industry organizations,
          (2) trade associations,
          (3) foreign trade zones, and
          (4) private industry firms or groups of firms in 
        cases where no entity described in paragraph (1), (2), 
        or (3) represents that industry,
to provide the services necessary to operate trade shows 
described in subsection (a).
  (c) Assistance to Small Businesses.--In providing assistance 
under this section, the Secretary of Commerce shall, in 
consultation with the Administrator of the Small Business 
Administration, make special efforts to facilitate 
participation by small businesses and companies new to export.
  (d) Uses of Assistance.--Funds appropriated to carry out this 
section shall be used to--
          (1) identify potential participants for trade show 
        organizers,
          (2) provide information on trade shows to potential 
        participants,
          (3) supply language services for participants, and
          (4) provide information on trade shows to small 
        businesses and companies new to export.
  (e) Definitions.--As used in this section--
          (1) the term ``United States business'' means--
                  (A) a United States citizen;
                  (B) a corporation, partnership, or other 
                association created under the laws of the 
                United States or of any State (including the 
                District of Columbia or any commonwealth, 
                territory, or possession of the United States); 
                or
                  (C) a foreign corporation, partnership, or 
                other association, more than 95 percent of 
                which is owned by persons described in 
                subparagraphs (A) and (B); and
          (2) the term ``small business'' means any small 
        business concern as defined under section 3 of the 
        Small Business Act (15 U.S.C. 632).

SEC. 2305. AUTHORIZATION OF APPROPRIATIONS FOR EXPORT PROMOTION 
                    PROGRAMS.

  (a) * * *
  (b) Authorization of Appropriations.--(1) * * *
  (2) In addition to funds otherwise available, there are 
authorized to be appropriated to the Department of Commerce to 
carry out sections 2303 and 2304 of this Act $6,000,000 for 
each of the fiscal years 1988, 1989, and 1990.

SEC. 2306.\25\ UNITED STATES AND FOREIGN COMMERCIAL SERVICE PACIFIC RIM 
                    INITIATIVE.

  (a) In General.--In order to encourage the export of United 
States goods and services to Japan, South Korea, and Taiwan, 
the United States and Foreign Commercial Service shall make a 
special effort to--
---------------------------------------------------------------------------
    \25\ 15 U.S.C. 4725.
---------------------------------------------------------------------------
          (1) identify United States goods and services which 
        are not being exported to the markets of Japan, South 
        Korea, and Taiwan but which could be exported to these 
        markets under competitive market conditions;
          (2) identify and notify United States persons who 
        sell or provide such goods or services of potential 
        opportunities identified under paragraph (1);
          (3) present, periodically, a list of the goods and 
        services identified under paragraph (1), together with 
        a list of any impediments to the export of such goods 
        and services, to appropriate authorities in Japan, 
        South Korea, and Taiwan, with a view toward 
        liberalizing markets to such goods and services;
          (4) facilitate the entrance into such markets by 
        United States persons identified and notified under 
        paragraph (2); and
          (5) monitor and evaluate the results of efforts to 
        increase the sale of goods and services in such 
        markets.
  (b) Reports to the Congress.--The Secretary of Commerce shall 
report periodically to the Congress on activities carried out 
under subsection (a).
  (c) Definition.--As used in this section, the term ``United 
States person'' means--
          (1) a United States citizen; or
          (2) a corporation, partnership, or other association 
        created under the laws of the United States or any 
        State (including the District of Columbia or any 
        commonwealth, territory, or possession of the United 
        States).

SEC. 2307.\26\ INDIAN TRIBES EXPORT PROMOTION.

  (a) Assistance Authorized.--The Secretary of Commerce is 
authorized to provide assistance to eligible entities for the 
development of foreign markets for authentic American Indian 
arts and crafts. Eligible entities under this section include 
Indian tribes, tribal organizations, tribal enterprises, craft 
guilds, marketing cooperatives, and individual Indian-owned 
businesses.
---------------------------------------------------------------------------
    \26\ 15 U.S.C. 4726.
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  (b) Activities Eligible for Assistance.--Activities eligible 
for assistance under this section include, but are not limited 
to, conduct of market surveys, development of promotional 
materials, financing of trade missions, participation in 
international trade fairs, direct marketing, and other market 
development activities.
  (c) Administration of Assistance.--Assistance under this 
section shall be administered by the Secretary of Commerce 
under guidelines developed by the Secretary. Priority shall be 
given to projects which support the establishment of long term, 
stable international markets for American Indian arts and 
crafts and which are designed to provide the greatest economic 
benefit to American Indian artisans.
  (d) Technical and Other Assistance.--The Secretary of 
Commerce shall provide technical assistance and support 
services to applicants eligible for and entities receiving 
assistance under this section for the purpose of helping them 
in identifying and entering appropriate foreign markets, 
complying with foreign and domestic legal and banking 
requirements regarding the export and import of arts and 
crafts, and utilizing import and export financial arrangements, 
and shall provide such other assistance as may be necessary to 
support the development of export markets for American Indian 
arts and crafts.
  (e) Limitation on Assistance.--No assistance shall be 
provided under this section in support of any activity which 
includes the sale or marketing of any craft items other than 
authentic arts and crafts hand made or hand crafted by American 
Indian artisans.
          * * * * * * *

SEC. 2311.\27\ REPORT ON EXPORT TRADING COMPANIES.

  Not later than 18 months after the date of the enactment of 
this Act, the Secretary of Commerce shall submit a report to 
the Committee on Banking, Housing, and Urban Affairs of the 
Senate, and to the Committee on Banking, Finance and Urban 
Affairs, the Committee on Foreign Affairs, and the Committee on 
the Judiciary of the House of Representatives,\28\ on the 
activities of the Department of Commerce to promote and 
encourage the formation of new and the operation of existing 
and new export promotion intermediaries, including export 
management companies, export trade associations, bank export 
trading companies, and export trading companies. The report 
shall include a survey of the activities of export management 
companies, export trade associations, and those bank export 
trading companies and export trading companies established 
pursuant to the amendments made by title II of the Export 
Trading Company Act of 1982, and pursuant to title III of that 
Act. The report shall not contain any information subject to 
the protections from disclosure provided in that Act.
---------------------------------------------------------------------------
    \27\ 15 U.S.C. 4011 note.
    \28\ Sec. 1(a)(2) of Public Law 104-14 (109 Stat. 186) provided 
that references to the Committee on Banking, Finance and Urban Affairs 
of the House of Representatives shall be treated as referring to the 
Committee on Banking and Financial Services of the House of 
Representatives. Sec. 1(a)(5) of that Act further provided that 
references to the Committee on Foreign Affairs of the House of 
Representatives shall be treated as referring to the Committee on 
International Relations.
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SEC. 2312.\29\ TRADE PROMOTION COORDINATING COMMITTEE.

    (a) Establishment and Purpose.--The President shall 
establish the Trade Promotion Coordinating Committee (hereafter 
in this section referred to as the ``TPCC''). The purpose of 
the TPCC shall be--
---------------------------------------------------------------------------
    \29\ 15 U.S.C. 4727. Added by sec. 201 of the Export Enhancement 
Act of 1992 (Public Law 102-429; 106 Stat. 2199). Sec. 6 of Public Law 
106-158 (15 U.S.C. 4727a) added additional TPCC implementation 
requirements. See page 1104, this volume, for the text of sec. 6.
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          (1) to provide a unifying framework to coordinate the 
        export promotion and export financing activities of the 
        United States Government; and
          (2) to develop a governmentwide strategic plan for 
        carrying out Federal export promotion and export 
        financing programs.
    (b) Duties.--The TPCC shall--
          (1) coordinate the development of the trade promotion 
        policies and programs of the United States Government;
          (2) provide a central source of information for the 
        business community on Federal export promotion and 
        export financing programs;
          (3) coordinate official trade promotion efforts to 
        ensure better delivery of services to United States 
        businesses, including--
                  (A) information and counseling on United 
                States export promotion and export financing 
                programs and opportunities in foreign markets;
                  (B) representation of United States business 
                interests abroad; and
                  (C) assistance with foreign business contacts 
                and projects;
          (4) prevent unnecessary duplication in Federal export 
        promotion and export financing activities;
          (5) assess the appropriate levels and allocation of 
        resources among agencies in support of export promotion 
        and export financing and provide recommendations to the 
        President based on its assessment; and
          (6) carry out such other duties as are deemed to be 
        appropriate, consistent with the purpose of the TPCC.
    (c) Strategic Plan.--To carry out subsection (b), the TPCC 
shall develop and implement a governmentwide strategic plan for 
Federal trade promotion efforts. Such plan shall--
          (1) establish a set of priorities for Federal 
        activities in support of United States exports and 
        explain the rationale for the priorities;
          (2) review current Federal programs designed to 
        promote the sale of United States exports in light of 
        the priorities established under paragraph (1) and 
        develop a plan to bring such activities into line with 
        the priorities and to improve coordination of such 
        activities;
          (3) identify areas of overlap and duplication among 
        Federal export promotion activities and propose means 
        of eliminating them;
          (4) propose to the President an annual unified 
        Federal trade promotion budget that supports the plan 
        for priority activities and improved coordination 
        established under paragraph (2) and eliminates funding 
        for the areas of overlap and duplication identified 
        under paragraph (3); \30\
---------------------------------------------------------------------------
    \30\ Sec. 8 of Public Law 104-288 (110 Stat. 3407) struck out 
``and'' at the end of para. (4), struck out the period at the end of 
para. (5) and inserted in lieu thereof ``; and'', and added a new para. 
(6).
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          (5) review efforts by the States (as defined in 
        section 2301(i)) to promote United States exports and 
        propose means of developing cooperation between State 
        and Federal efforts, including co-location, cost-
        sharing between Federal and State export promotion 
        programs, and sharing of market research data; and \31\
          (6) \31\ reflect the recommendations of the United 
        States National Tourism Organization to the degree 
        considered appropriate by the TPCC.
    (d) Membership.--
          (1) In general.--Members of the TPCC shall include 
        representatives from--
                  (A) the Department of Commerce;
                  (B) the Department of State;
                  (C) the Department of the Treasury;
                  (D) the Department of Agriculture;
                  (E) the Department of Energy;
                  (F) the Department of Transportation;
                  (G) the Office of the United States Trade 
                Representative;
                  (H) the Small Business Administration;
                  (I) the Agency for International Development;
                  (J) the Trade and Development Program;
                  (K) the Overseas Private Investment 
                Corporation;
                  (L) the Export-Import Bank of the United 
                States; and
                  (M) at the discretion of the President, such 
                other departments or agencies as may be 
                necessary.
          (2) Chairperson.--The Secretary of Commerce shall 
        serve as the chairperson of the TPCC.
    (e) Member Qualifications.--Members of the TPCC shall be 
appointed by the heads of their respective departments or 
agencies. Such members, as well as alternates designated by any 
members unable to attend a meeting of the TPCC, shall be 
individuals who exercise significant decisionmaking authority 
in their respective departments or agencies.
    (f) \31\ Report to the Congress.--The chairperson of the 
TPCC shall prepare and submit to the Committee on Banking, 
Housing, and Urban Affairs of the Senate, and the Committee on 
International Relations of the House of Representatives, not 
later than March 30 of each year,\32\ a report describing--
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    \31\ Sec. 1022(a) of Public Law 104-66 (109 Stat. 713) amended and 
restated subsec. (f), which formerly read as follows:
    ``(f) Report to the Congress.--The chairperson of the TPCC shall 
prepare and submit to the Committee on Banking, Housing, and Urban 
Affairs of the Senate, and the Committee on Foreign Affairs of the 
House of Representatives, not later than September 30, 1993, and 
annually thereafter, a report describing the strategic plan developed 
by the TPCC pursuant to subsection (c), the implementation of such 
plan, and any revisions thereto.''.
    \32\ Sec. 7 of the Export Enhancement Act of 1999 (Public Law 106-
158; 113 Stat. 1745) struck out ``September 30, 1995, and annually 
thereafter,'' and inserted in lieu thereof ``March 30 of each year,''.
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          (1) the strategic plan developed by the TPCC pursuant 
        to subsection (c), the implementation of such plan, and 
        any revisions thereto; and
          (2) the implementation of sections 303 and 304 of the 
        Freedom for Russia and Emerging Democracies and Open 
        Markets Support Act of 1992 (22 U.S.C. 5823 and 5824) 
        concerning funding for export promotion activities and 
        the interagency working groups on energy of the TPCC.

SEC. 2313.\33\ ENVIRONMENTAL TRADE PROMOTION.

    (a) Statement of Policy.--It is the policy of the United 
States to foster the export of United States environmental 
technologies, goods, and services. In exercising their powers 
and functions, all appropriate departments and agencies of the 
United States Government shall encourage and support sales of 
such technologies, goods, and services.
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    \33\ 15 U.S.C. 4728. Added by sec. 204(a) of the Export Enhancement 
Act of 1992 (Public Law 102-429; 106 Stat. 2202). Subsec. (b) of that 
section (15 U.S.C. 4728 note) provided the following:
    ``(b) Report on Insurance Feasibility.--Not later than 1 year after 
the date of enactment of this Act, the chairperson of the Trade 
Promotion Coordinating Committee, after consultation with the 
appropriate departments and agencies of the United States Government, 
shall submit a report to the Congress that analyzes--
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          ``(1) the extent to which Federal investment insurance and 
        export financing programs sufficiently protect against business 
        failures or default on obligations arising from changes by a 
        foreign government in its environmental laws or regulations; 
        and
          ``(2) the advisability and feasibility of expanding the 
        coverage of such programs, or creating new programs, to address 
        such risks.''.
    (b) Environmental Trade Working Group of the Trade 
Promotion Coordination Committee.--
          (1) Establishment and purpose.--The President shall 
        establish the Environmental Trade Promotion Working 
        Group (hereafter in this section referred to as the 
        ``Working Group'') as a subcommittee of the Trade 
        Promotion Coordination Committee (hereafter in this 
        section referred to as the ``TPCC''), established under 
        section 2312. The purpose of the Working Group shall 
        be--
                  (A) to address all issues with respect to the 
                export promotion and export financing of United 
                States environmental technologies, goods, and 
                services; and
                  (B) to develop a strategy for expanding 
                United States exports of environmental 
                technologies, goods, and services.
          (2) Membership.--The members of the Working Group 
        shall be--
                  (A) representatives of the departments and 
                agencies that are represented on the TPCC, who 
                are designated by the head of their respective 
                departments or agencies to advise the head of 
                such department or agency on ways of promoting 
                the export of United States environmental 
                technologies, goods, and services; and
                  (B) a representative of the Environmental 
                Protection Agency.
          (3) Chairperson.--The Secretary of Commerce 
        (hereafter in this section referred to as the 
        ``Secretary'') shall designate the chairperson of the 
        Working Group from among senior employees of the 
        Department of Commerce. The chairperson shall--
                  (A) assess the effectiveness of United States 
                Government programs for the promotion of 
                exports of environmental technologies, goods, 
                and services;
                  (B) recommend improvements to such programs, 
                including regulatory changes or additional 
                authority that may be necessary to improve the 
                promotion of exports of environmental 
                technologies, goods, and services;
                  (C) ensure that the members of the Working 
                Group coordinate their environmental trade 
                promotion programs, including feasibility 
                studies, technical assistance, training 
                programs, business information services, and 
                export financing; and
                  (D) assess, jointly with the Working Group 
                representative of the Environmental Protection 
                Agency, the extent to which the environmental 
                trade promotion programs of the Working Group 
                advance the environmental goals established in 
                ``Agenda 21'' by the United Nations Conference 
                on Environment and Development held at Rio de 
                Janeiro, and in other international 
                environmental agreements.
          (4) Report to congress.--The chairperson of the TPCC 
        shall include a report on the activities of the Working 
        Group as a part of the annual report submitted to the 
        Congress by the TPCC.
    (c) \34\ Environmental Technologies Trade Advisory 
Committee.--
---------------------------------------------------------------------------
    \34\ Sec. 402(a)(1) of the Environmental Export Promotion Act of 
1994 (title IV of Public Law 103-392; 108 Stat. 4099) struck out 
subsec. (d), which had provided for the designation of Foreign 
Commercial Service officers to serve as Environmental Export Assistance 
Officers abroad. That section further redesignated subsec. (c) of this 
section as subsec. (e), and added new subsecs. (c) and (d).
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          (1) Establishment and purpose.--The Secretary, in 
        carrying out the duties of the chairperson of the TPCC, 
        shall establish the Environmental Technologies Trade 
        Advisory Committee (hereafter in this section referred 
        to as the ``Committee''). The purpose of the Committee 
        shall be to provide advice and guidance to the Working 
        Group in the development and administration of programs 
        to expand United States exports of environmental 
        technologies, goods, and services and products that 
        comply with United States environmental, safety, and 
        related requirements.
          (2) Membership.--The members of the Committee shall 
        be drawn from representatives of--
                  (A) environmental businesses, including small 
                businesses;
                  (B) trade associations in the environmental 
                sector;
                  (C) private sector organizations involved in 
                the promotion of environmental exports, 
                including products that comply with United 
                States environmental, safety, and related 
                requirements;
                  (D) States (as defined in section 2301(i)(5)) 
                and associations representing the States; and
                  (E) other appropriate interested members of 
                the public, including labor representatives.
        The Secretary shall appoint as members of the Committee 
        at least 1 individual under each of subparagraphs (A) 
        through (E).
    (d) \34\ Export Plans for Priority Countries.--
          (1) Priority country identification.--The Working 
        Group, in consultation with the Committee, shall 
        annually assess which foreign countries have markets 
        with the greatest potential for the export of United 
        States environmental technologies, goods, and services. 
        Of these countries the Working Group shall select as 
        priority countries 5 with the greatest potential for 
        the application of United States Government export 
        promotion resources related to environmental exports.
          (2) Export plans.--The Working Group, in consultation 
        with the Committee, shall annually create a plan for 
        each priority country selected under paragraph (1), 
        setting forth in detail ways to increase United States 
        environmental exports to such country. Each such plan 
        shall--
                  (A) identify the primary public and private 
                sector opportunities for United States 
                exporters of environmental technologies, goods, 
                and services in the priority country;
                  (B) analyze the financing and other 
                requirements for major projects in the priority 
                country which will use environmental 
                technologies, goods, and services, and analyze 
                whether such projects are dependent upon 
                financial assistance from foreign countries or 
                multilateral institutions; and
                  (C) list specific actions to be taken by the 
                member agencies of the Working Group to 
                increase United States exports to the priority 
                country.
    (e) \34\ Trade Information.--In support of the work of the 
Working Group, the Secretary shall, as part of the regular 
market survey and information services activities of the 
Department of Commerce, make available--
          (1) information on existing and emerging markets and 
        market trends for environmental technologies, goods, 
        and services; and
          (2) a description of the export promotion programs 
        for environmental technologies, goods, and services of 
        the agencies that are represented on the Working Group.
    (f) \35\ Environmental Technologies Specialists in the 
United States and Foreign Commercial Service.--
---------------------------------------------------------------------------
    \35\ Sec. 402(b) of the Environmental Export Promotion Act of 1994 
(title IV of Public Law 103-392; 108 Stat. 4100) added subsecs. (f) 
through (k).
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          (1) Assignment of environmental technologies 
        specialists.--The Secretary shall assign a specialist 
        in environmental technologies to the office of the 
        United States and Foreign Commercial Service in each of 
        the 5 priority countries selected under subsection 
        (d)(1), and the Secretary is authorized to assign such 
        a specialist to the office of the United States and 
        Foreign Commercial Service in any country that is a 
        promising market for United States exports of 
        environmental technologies, goods, and services. Such 
        specialist may be an employee of the Department, an 
        employee of any relevant United States Government 
        department or agency assigned on a temporary or limited 
        term basis to the Commerce Department, or a 
        representative of the private sector assigned to the 
        Department of Commerce.
          (2) Duties of environmental technologies 
        specialists.--Each specialist assigned under paragraph 
        (1) shall provide export promotion assistance to United 
        States environmental businesses, including, but not 
        limited to--
                  (A) identifying factors in the country to 
                which the specialist is assigned that affect 
                the United States share of the domestic market 
                for environmental technologies, goods, and 
                services, including market barriers, standards-
                setting activities, and financing issues;
                  (B) providing assessments of assistance by 
                foreign governments that is provided to 
                producers of environmental technologies, goods, 
                and services in such countries in order to 
                enhance exports to the country to which the 
                specialist is assigned, the effectiveness of 
                such assistance on the competitiveness of 
                United States products, and whether comparable 
                United States assistance exists;
                  (C) training Foreign Commercial Service 
                Officers in the country to which the specialist 
                is assigned, other countries in the region, and 
                United States and Foreign Commercial Service 
                offices in the United States, in environmental 
                technologies and the international 
                environmental market;
                  (D) providing assistance in identifying 
                potential customers and market opportunities in 
                the country to which the specialist is 
                assigned;
                  (E) providing assistance in obtaining 
                necessary business services in the country to 
                which the specialist is assigned;
                  (F) providing information on environmental 
                standards and regulations in the country to 
                which the specialist is assigned;
                  (G) providing information on all United 
                States Government programs that could assist 
                the promotion, financing, and sale of United 
                States environmental technologies, goods, and 
                services in the country to which the specialist 
                is assigned; and
                  (H) promoting the equal treatment of United 
                States environmental, safety, and related 
                requirements, with those of other exporting 
                countries, in order to promote exports of 
                United States-made products.
    (g) \35\ Environmental Training in One-Stop Shops.--In 
addition to the training provided under subsection (f)(2)(C), 
the Secretary shall establish a mechanism to train--
          (1) Commercial Service Officers assigned to the one-
        stop shops provided for in section 2301(b)(8), and
          (2) Commercial Service Officers assigned to district 
        offices in districts having large numbers of 
        environmental businesses, in environmental technologies 
        and in the international environmental marketplace, and 
        ensure that such officers receive appropriate training 
        under such mechanism. Such training may be provided by 
        officers or employees of the Department of Commerce, 
        and other United States Government departments and 
        agencies, with appropriate expertise in environmental 
        technologies and the international environmental 
        workplace, and by appropriate representatives of the 
        private sector.
    (h) \35\ International Regional Environmental 
Initiatives.--
          (1) Establishment of initiatives.--The TPCC may 
        establish one or more international regional 
        environmental initiatives the purpose of which shall be 
        to coordinate the activities of Federal departments and 
        agencies in order to build environmental partnerships 
        between the United States and the geographic region 
        outside the United States for which such initiative is 
        established. Such partnerships shall enhance 
        environmental protection and promote sustainable 
        development by using in the region technical expertise 
        and financial resources of United States departments 
        and agencies that provide foreign assistance and by 
        expanding United States exports of environmental 
        technologies, goods, and services to that region.
          (2) Activities.--In carrying out each international 
        regional environmental initiative, the TPCC shall--
                  (A) support, through the provision of foreign 
                assistance, the development of sound 
                environmental policies and practices in 
                countries in the geographic region for which 
                the initiative is established, including the 
                development of environmentally sound regulatory 
                regimes and enforcement mechanisms;
                  (B) identify and disseminate to United States 
                environmental businesses information regarding 
                specific environmental business opportunities 
                in that geographic region;
                  (C) coordinate existing Federal efforts to 
                promote environmental exports to that 
                geographic region, and ensure that such efforts 
                are fully coordinated with environmental export 
                promotion efforts undertaken by the States and 
                the private sector;
                  (D) increase assistance provided by the 
                Federal Government to promote exports from the 
                United States of environmental technologies, 
                goods, and services to that geographic region, 
                such as trade missions, reverse trade missions, 
                trade fairs, and programs in the United States 
                to train foreign nationals in United States 
                environmental technologies; and
                  (E) increase high-level advocacy by United 
                States Government officials (including the 
                United States ambassadors to the countries in 
                that geographic region) for United States 
                environmental businesses seeking market 
                opportunities in that geographic region.
    (i) \35\ Environmental Technologies Project Advocacy 
Calendar and Information Dissemination Program.--The Working 
Group shall--
          (1) maintain a calendar, updated at the end of each 
        calendar quarter, of significant opportunities for 
        United States environmental businesses in foreign 
        markets and trade promotion events, which shall--
                  (A) be made available to the public;
                  (B) identify the 50 to 100 environmental 
                infrastructure and procurement projects in 
                foreign markets that have the greatest 
                potential in the calendar quarter for United 
                States exports of environmental technologies, 
                goods, and services; and
                  (C) include trade promotion events, such as 
                trade missions and trade fairs, in the 
                environmental sector; and
          (2) provide, through the National Trade Data Bank and 
        other information dissemination channels, information 
        on opportunities for environmental businesses in 
        foreign markets and information on Federal export 
        promotion programs.
    (j) \35\ Environmental Technology Export Alliances.--
Subject to the availability of appropriations for such purpose, 
the Secretary is authorized to use the Market Development 
Cooperator Program to support the creation on a regional basis 
of alliances of private sector entities, nonprofit 
organizations, and universities, that support the export of 
environmental technologies, goods, and services and promote the 
export of products complying with United States environmental, 
safety, and related requirements.
    (k) \35\ Definition.--For purposes of this section, the 
term ``environmental business'' means a business that produces 
environmental technologies, goods, or services.

SEC. 2314.\36\ REPORT ON EXPORT POLICY.

    (a) In General.--Not later than May 31 of each year, the 
Secretary of Commerce shall submit to the Congress a report on 
the international economic position of the United States and, 
not later than June 30 of each year, shall appear before the 
Committee on Banking, Housing, and Urban Affairs of the Senate 
and the Committee on Foreign Affairs \37\ of the House of 
Representatives to testify on issues addressed in that report.
---------------------------------------------------------------------------
    \36\ 15 U.S.C. 4729. Added by sec. 206 of the Export Enhancement 
Act of 1992 (Public Law 102-429; 106 Stat. 2204).
    \37\ Sec. 1(a)(5) of Public Law 104-14 (109 Stat. 186) provided 
that references to the Committee on Foreign Affairs of the House of 
Representatives shall be treated as referring to the Committee on 
International Relations of the House of Representatives.
---------------------------------------------------------------------------
    (b) Contents.--
          (1) In general.--Each report required under 
        subsection (a) shall address--
                  (A) the state of United States international 
                economic competitiveness, focusing, in 
                particular, on the efforts of the Department of 
                Commerce--
                          (i) to encourage research and 
                        development of technologies and 
                        products deemed critical for industrial 
                        leadership;
                          (ii) to promote investment in and 
                        improved manufacturing processes for 
                        such technologies and products; and
                          (iii) to increase United States 
                        industrial exports of products using 
                        the technologies described in clause 
                        (i) to those markets where the United 
                        States Government has sought to reduce 
                        barriers to exports;
                  (B) the report on the Trade Promotion 
                Coordinating Committee strategic plan submitted 
                to the Congress in accordance with section 
                2312(f);
                  (C) other specific recommendations of the 
                Department of Commerce to improve the United 
                States balance of trade;
                  (D) the effects on the international economic 
                competitiveness of the United States of--
                          (i) formal and informal trade 
                        barriers; and
                          (ii) subsidies by foreign countries 
                        to their domestic industries;
                  (E) the efforts of the Department of Commerce 
                to reduce trade barriers; \38\
---------------------------------------------------------------------------
    \38\ Sec. 1022(b) of Public Law 104-66 (109 Stat. 713) struck out 
``; and'' at the end of subpara. (E), struck out the period at the end 
of subpara. (F) and inserted in lieu thereof a semicolon, and added new 
subparas. (G) through (J).
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                  (F) the adequacy of export financing programs 
                of the United States Government and 
                recommendations for improving such programs;
                  (G) \38\ the status, activities, and 
                effectiveness of the United States commercial 
                centers established under section 401 of the 
                Jobs Through Exports Act of 1992 (15 U.S.C. 
                4723a);
                  (H) \38\ the implementation of sections 301 
                and 302 of the Freedom for Russia and Emerging 
                Democracies and Open Markets Support Act of 
                1992 (22 U.S.C. 5821 and 5822) concerning 
                American Business Centers and the Independent 
                States Business and Agriculture Advisory 
                Council;
                  (I) \38\ the programs of other industrialized 
                nations to assist their companies with their 
                efforts to transact business in the independent 
                states of the former Soviet Union; and
                  (J) \38\ the trading practices of other 
                Organization for Economic Cooperation and 
                Development nations, as well as the pricing 
                practices of transitional economies in the 
                independent states, that may disadvantage 
                United States companies.
          (2) Policy basis for reports.--Portions of each 
        report under this section may incorporate or be based 
        upon relevant reports and testimony produced by the 
        Department of Commerce or other agencies, but the 
        policy views shall be those of the Secretary of 
        Commerce.

                      Subtitle D--Export Controls

          * * * * * * *

                   PART I--EXPORT CONTROLS GENERALLY

          * * * * * * *

SEC. 2424. EXPORTS OF DOMESTICALLY PRODUCED CRUDE OIL.

  (a) * * *
  (b) \39\ Crude Oil Study.--
---------------------------------------------------------------------------
    \39\ 50 U.S.C. app. 2406 note.
---------------------------------------------------------------------------
          (1) Review of export restrictions on crude oil.--The 
        Secretary of Commerce, in consultation with the 
        Secretary of Energy, shall undertake a comprehensive 
        review to assess whether existing statutory 
        restrictions on the export of crude oil produced in the 
        contiguous United States are adequate to protect the 
        energy and national security interests of the United 
        States and American consumers. Taking into account 
        exports licensed since 1983 and potential exports of 
        heavy crude oil produced in California, the review 
        shall assess the effect of increased exports of crude 
        oil produced in the contiguous United States on--
                  (A) the adequacy of domestic supplies of 
                crude oil and refined petroleum products in 
                meeting United States energy and national 
                security needs;
                  (B) the quantity, quality, and retail price 
                of petroleum products available to consumers in 
                the United States generally and on the West 
                Coast in particular;
                  (C) the overall trade deficit of the United 
                States;
                  (D) acquisition costs of crude oil by 
                domestic petroleum refiners;
                  (E) the financial viability of sectors of the 
                domestic petroleum industry (including 
                independent refiners, distributors, marketers, 
                and pipeline carriers); and
                  (F) the United States tanker fleet (and the 
                industries that support it), with particular 
                emphasis on the availability of militarily 
                useful tankers to meet anticipated national 
                defense requirements.
          (2) Public hearing and comment.--The Secretary of 
        Commerce shall provide notice and a reasonable 
        opportunity for public hearing and comment on the 
        review conducted pursuant to this subsection.
          (3) Consultations with other agencies.--The Secretary 
        of Commerce shall consult with the Secretary of 
        Defense, the Secretary of the Interior, and the 
        Secretary of Transportation, in addition to the 
        Secretary of Energy, in undertaking the review pursuant 
        to this subsection.
          (4) Findings, options, and recommendations.--After 
        taking public comment and consulting with appropriate 
        State and Federal officials, the Secretary of Commerce, 
        in consultation with the Secretary of Energy, shall 
        develop findings, options, and recommendations 
        regarding the adequacy of existing statutory 
        restrictions on the export of crude oil produced in the 
        contiguous United States in protecting the energy and 
        national security interests of the United States and 
        American consumers.
          (5) Consultations and report.--In carrying out this 
        subsection, the Secretary of Commerce shall consult 
        with the Committee on Foreign Affairs and the Committee 
        on Energy and Commerce of the House of Representatives 
        \40\ and the Committee on Banking, Housing, and Urban 
        Affairs, the Committee on Commerce, Science, and 
        Transportation, and the Committee on Energy and Natural 
        Resources of the Senate. Not later than 12 months after 
        the date of the enactment of this Act, the Secretary 
        shall transmit to each of those committees a report 
        which contains the results of the review undertaken 
        pursuant to this subsection and the findings, options, 
        and recommendations developed under paragraph (4).
---------------------------------------------------------------------------
    \40\ Sec. 1(a)(4) of Public Law 104-14 (109 Stat. 186) provided 
that references to the Committee on Energy and Commerce of the House of 
Representatives shall be treated as referring to the Committee on 
Commerce of the House of Representatives. Sec. 1(c)(1) of that Act (110 
Stat. 187) further provided that any reference in any provision of law 
enacted before January 4, 1995 to the House Committee on Energy and 
Commerce shall be treated as referring to (1) the Committee on 
Agriculture in the case of a provision relating to inspection of 
seafood or seafood products; (2) the Committee on Banking and Financial 
Services in the case of a provision relating to bank capital markets 
activities or depository institution securities; or (3) the Committee 
on Transportation and Infrastructure in the case of a provision 
relating to railroads and railway labor issues. Sec. 1(a)(5) of that 
Act further provided that references to the Committee on Foreign 
Affairs of the House of Representatives shall be treated as referring 
to the Committee on International Relations.
---------------------------------------------------------------------------

SEC. 2425. PROCEDURES FOR LICENSE APPLICATIONS.

    (a) * * *
    (b) Report by Secretaries of Commerce and Defense.--The 
Secretary of Commerce and the Secretary of Defense shall each 
evaluate and, not later than 4 months after the date of the 
enactment of this Act, shall jointly prepare and submit a 
report to the Committee on Foreign Affairs \40\ of the House of 
Representatives and the Committee on Banking, Housing, and 
Urban Affairs of the Senate on the review by the Department of 
Defense, for national security purposes as provided in the 
Export Administration Act of 1979, of export license 
applications for exports to countries other than controlled 
countries under section 5(b)(1) of that Act.
    (c) * * *
          * * * * * * *

SEC. 2432.\41\ MONITORING OF WOOD EXPORTS.

  The Secretary of Commerce shall, for a period of 2 years 
beginning on the date of the enactment of this Act, monitor 
exports of processed and unprocessed wood to all countries of 
the Pacific Rim. The Secretary shall include the results of 
such monitoring in monthly reports setting forth, with respect 
to each item monitored, actual exports, the destination by 
country, and the domestic and worldwide price, supply, and 
demand. The Secretary shall transmit such reports to the 
Committee on Foreign Affairs \40\ of the House of 
Representatives and the Committee on Banking, Housing, and 
Urban Affairs of the Senate.
---------------------------------------------------------------------------
    \41\ 50 U.S.C. app. 2406 note.
---------------------------------------------------------------------------

SEC. 2433.\42\ STUDY ON NATIONAL SECURITY EXPORT CONTROLS.

  (a) Arrangements For and Contents of Study.--
---------------------------------------------------------------------------
    \42\ 50 U.S.C. app. 2404 note.
---------------------------------------------------------------------------
          (1) Arrangements for conducting study.--The Secretary 
        of Commerce and the Secretary of Defense, not later 
        than 60 days after the date of the enactment of this 
        Act, shall enter into appropriate arrangements with the 
        National Academy of Sciences and the National Academy 
        of Engineering (hereafter in this section referred to 
        as the ``Academies'') to conduct a comprehensive study 
        of the adequacy of the current export administration 
        system in safeguarding United States national security 
        while maintaining United States international 
        competitiveness and Western technological preeminence.
          (2) Requirements of study.--Recognizing the need to 
        minimize the disruption of United States trading 
        interests while preventing Western technology from 
        enhancing the development of the military capabilities 
        of controlled countries, the study shall--
                  (A) identify those goods and technologies 
                which are likely to make crucial differences in 
                the military capabilities of controlled 
                countries, and identify which of those goods 
                and technologies controlled countries already 
                possess or are available to controlled 
                countries from other sources;
                  (B) develop implementable criteria by which 
                to define those goods and technologies;
                  (C) demonstrate how such criteria would be 
                applied to the control list by the relevant 
                agencies to revise the list, eliminate 
                ineffective controls, and strengthen controls;
                  (D) develop proposals to improve United 
                States and multilateral assessments of foreign 
                availability of goods and technology subject to 
                export controls; and
                  (E) develop proposals to improve the 
                administration of the export control program, 
                including procedures to ensure timely, 
                predictable, and effective decision-making.
  (b) Advisory Panel.--In conducting the study under subsection 
(a), the Academies shall appoint an Advisory Panel of not more 
than 24 members who shall be selected from among individuals in 
private life who, by virtue of their experience and expertise, 
are knowledgeable in relevant scientific, business, legal, or 
administrative matters. No individual may be selected as a 
member who, at the time of his or her appointment, is an 
elected or appointed official or employee in the executive, 
legislative, or judicial branch of the Government. In selecting 
members of the Advisory Panel, the Academies shall seek 
suggestions from the President, the Congress, and 
representatives of industry and the academic community.
  (c) Executive Branch Cooperation.--The Secretary of Commerce, 
the Secretary of Defense, the Secretary of State, the Director 
of the Central Intelligence Agency, and the head of any 
department or agency that exercises authority in export 
administration--
          (1) shall furnish to the Academies, upon request and 
        under appropriate safeguards, classified or 
        unclassified information which the Academies determine 
        to be necessary for the purposes of conducting the 
        study required by this section; and
          (2) shall work with the Academies on such problems 
        related to the study as the Academies consider 
        necessary.
  (d) Report.--Under the direction of the Advisory Panel, the 
Academies shall prepare and submit to the President and the 
Congress, not later than 18 months after entering into the 
arrangements referred to in subsection (a), a report which 
contains a detailed statement of the findings and conclusions 
of the Academies pursuant to the study conducted under 
subsection (a), together with their recommendations for such 
legislative or regulatory reforms as they consider appropriate.
  (e) Authorization of Appropriations.--There are authorized to 
be appropriated $900,000 to carry out this section.

            PART II--MULTILATERAL EXPORT CONTROL ENHANCEMENT

SEC. 2441.\43\ SHORT TITLE.

  This part may be cited as the ``Multilateral Export Control 
Enhancement Amendments Act''.
---------------------------------------------------------------------------
    \43\ 50 U.S.C. app. 2401 note.
---------------------------------------------------------------------------

SEC. 2442.\44\ FINDINGS.

  The Congress makes the following findings:
---------------------------------------------------------------------------
    \44\ 50 U.S.C. app. 2410a note.
---------------------------------------------------------------------------
          (1) The diversion of advanced milling machinery to 
        the Soviet Union by the Toshiba Machine Company and 
        Kongsberg Trading Company has had a serious impact on 
        United States and Western security interests.
          (2) United States and Western security is undermined 
        without the cooperation of the governments and 
        nationals of all countries participating in the group 
        known as the Coordinating Committee (hereafter in this 
        part referred to as ``COCOM'') in enforcing the COCOM 
        agreement.
          (3) It is the responsibility of all governments 
        participating in COCOM to place in effect strong 
        national security export control laws, to license 
        strategic exports carefully, and to enforce those 
        export control laws strictly, since the COCOM system is 
        only as strong as the national laws and enforcement on 
        which it is based.
          (4) It is also important for corporations to 
        implement effective internal control systems to ensure 
        compliance with export control laws.
          (5) In order to protect United States national 
        security, the United States must take steps to ensure 
        the compliance of foreign companies with COCOM 
        controls, including, where necessary conditions have 
        been met, the imposition of sanctions against violators 
        of controls commensurate with the severity of the 
        violation.

SEC. 2443.\45\ MANDATORY SANCTIONS AGAINST TOSHIBA AND KONGSBERG.

  (a) Sanctions Against Toshiba Machine Company, Kongsberg 
Trading Company, and Certain Other Foreign Persons.--(1) The 
President shall impose, for a period of 3 years--
---------------------------------------------------------------------------
    \45\ Sanctions were imposed by Executive Order 12661 of December 
27, 1988, and expired on December 28, 1991.
---------------------------------------------------------------------------
          (1) a prohibition on contracting with, and 
        procurement of products and services from--
                  (A) Toshiba Machine Company and Kongsberg 
                Trading Company, and
                  (B) any other foreign person whom the 
                President finds to have knowingly facilitated 
                the diversion of advanced milling machinery by 
                Toshiba Machine Company and Kongsberg Trading 
                Company to the Soviet Union,
        by any department, agency, or instrumentality of the 
        United States Government; and
          (2) a prohibition on the importation into the United 
        States of all products produced by Toshiba Machine 
        Company, Kongsberg Trading Company, and any foreign 
        person described in paragraph (1)(B).
  (b) Sanctions Against Toshiba Corporation and Kongsberg 
Vaapenfabrikk.--The President shall impose, for a period of 3 
years, a prohibition on contracting with, and procurement of 
products and services from, the Toshiba Corporation and 
Kongsberg Vaapenfabrikk, by any department, agency, or 
instrumentality of the United States Government.
  (c) Exceptions.--The President shall not apply sanctions 
under this section--
          (1) in the case of procurement of defense articles or 
        defense services--
                  (A) under existing contracts or subcontracts, 
                including exercise of options for production 
                quantities to satisfy United States operational 
                military requirements;
                  (B) if the President determines that the 
                company or foreign person to whom the sanctions 
                would otherwise be applied is a sole source 
                supplier of essential defense articles or 
                services and no alternative supplier can be 
                identified; or
                  (C) if the President determines that such 
                articles or services are essential to the 
                national security under defense coproduction 
                agreements; or
          (2) to--
                  (A) products or services provided under 
                contracts or other binding agreements (as such 
                terms are defined by the President in 
                regulations) entered into before June 30, 1987;
                  (B) spare parts;
                  (C) component parts, but not finished 
                products, essential to United States products 
                or production;
                  (D) routine servicing and maintenance of 
                products; or
                  (E) information and technology.
  (d) Definitions.--For purposes of this section--
          (1) the term ``component part'' means any article 
        which is not usable for its intended functions without 
        being imbedded or integrated into any other product and 
        which, if used in production of a finished product, 
        would be substantially transformed in that process;
          (2) the term ``finished product'' means any article 
        which is usable for its intended functions without 
        being imbedded in or integrated into any other product, 
        but in no case shall such term be deemed to include an 
        article produced by a person other than a sanctioned 
        person that contains parts or components of the 
        sanctioned person if the parts or components have been 
        substantially transformed during production of the 
        finished product; and
          (3) the term ``sanctioned person'' means a company or 
        other foreign person upon whom prohibitions have been 
        imposed under subsection (a) or (b).
          * * * * * * *

                  Subtitle E--Miscellaneous Provisions

          * * * * * * *

SEC. 2503. BUDGET ACT.

  Any new spending authority (within the meaning of section 401 
of the Congressional Budget Act of 1974) which is provided 
under this title shall be effective for any fiscal year only to 
the extent or in such amounts as are provided in appropriation 
Acts.
          c. Expansion of Business Capital Assistance Programs

Partial text of Public Law 101-510 [National Defense Authorization Act 
  for Fiscal Year 1991, H.R. 4739], 104 Stat. 1485 at 1853, approved 
   November 5, 1990; amended by Public Law 102-190 [National Defense 
Authorization Act for Fiscal Years 1992 and 1993, H.R. 2100], 105 Stat. 
                    1290, approved December 5, 1991

 AN ACT To authorize appropriations for fiscal year 1991 for military 
activities of the Department of Defense, for military construction, and 
   for defense activities of the Department of Energy, to prescribe 
personnel strengths for such fiscal year for the Armed Forces, and for 
                            other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

  This Act may be cited as the ``National Defense Authorization 
Act for Fiscal Year 1991''.

SEC. 2. ORGANIZATION OF ACT INTO DIVISIONS; TABLE OF CONTENTS.

  (a) Divisions.--This Act is organized into four divisions as 
follows:
          (1) Division A--Department of Defense Authorizations.
          (2) Division B--Military Construction Authorizations.
          (3) Division C--Department of Energy National 
        Security Authorizations and Other Authorizations.
          (4) Division D--Economic Adjustment, Diversification, 
        Conversion, and Stabilization.
          * * * * * * *

   TITLE XLIII--EXPANSION OF BUSINESS CAPITAL ASSISTANCE PROGRAMS \1\

          * * * * * * *
  
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    \1\ 10 U.S.C. 2391 note.
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SEC. 4303. EXPANSION OF EXPORT FINANCING FOR GOODS AND SERVICES 
                    PRODUCED BY FIRMS AND EMPLOYEES FORMERLY ENGAGED IN 
                    DEFENSE PRODUCTION.

    (a) Export-Import Bank.--
          (1) Sense of congress on plan for expansion.--It is 
        the sense of Congress that the United States businesses 
        undergoing transition from defense production to 
        nondefense production will need assistance in seizing 
        export markets overseas. Therefore, in order to provide 
        financial support for such businesses, as well as 
        meeting other normal demands on its resources, the 
        annual direct lending authority of the Export-Import 
        Bank of the United States should be increased by at 
        least 150 percent from the fiscal year 1990 level over 
        the five-year period beginning October 1, 1990.
          (2) Report of feasibility.--Before September 30, 
        1990, the President, acting with the assistance of the 
        Committee \2\ and after consulting the Board of 
        Directors of the Export-Import Bank of the United 
        States and other experts in government and the private 
        sector, shall transmit to the Congress a report 
        assessing the feasibility and desirability of a program 
        for increasing the amount of direct loan authority in 
        the manner described in paragraph (1) and the factors 
        considered in making such assessment.
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    \2\ Sec. 4003(2) of Public Law 101-510 (104 Stat. 1848) defined 
``Committee'' as the Economic Adjustment Committee established in 
Executive Order 12049 (10 U.S.C. 111 note).
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          (3) Transition to nondefense production required to 
        be considered.--In determining whether to provide 
        financial support for an export transaction, the 
        Export-Import Bank of the United States shall take into 
        account, to the extent feasible and in accordance with 
        applicable standards and procedures established by the 
        bank in consultation with the Committee, the fact that 
        the product or service is produced or provided by any 
        business or group of workers which--
                  (A) was substantially and seriously affected 
                \3\ by defense budget reductions; and
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    \3\ Sec. 4003(5) of Public Law 101-510 (104 Stat. 1848) defined 
``substantially and seriously affected'' as a community with one or 
more military installations or defense facilities, or near such 
facilities, and faced with substantial workforce reductions, relative 
to the community's population size, resulting from changes in 
Department of Defense programs or requirements; as a business with any 
defense contract or subcontract which suffers a reduction of 25 percent 
or more in sales or production, or a reduction in workforce of 80 
percent or more, resulting from changes in Department of Defense 
programs or requirements; or a group of 100 or more workers who are 
eligible to participate in the newly established defense conversion 
adjustment program under sec. 325 of the Job Training Partnership Act 
(29 U.S.C. 1662d).
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                  (B) is in transition from defense to 
                nondefense production.
    (b) SBA Use of Authority for Export Financing Assistance.--
In determining whether to provide financial or other assistance 
under the Small Business Act, title VIII of the Omnibus Trade 
and Competitiveness Act of 1988, or any program referred to in 
section 4301 \4\ to any small business involved in, or 
attempting to become involved in, the export of any product or 
service, the Administrator of the Small Business Administration 
shall take into account the fact that such product or service 
is produced by any business or group of workers which--
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    \4\ Business loan program under sec. 7(a) of the Small Business Act 
of 1958.
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          (1) has been substantially and seriously affected \3\ 
        by defense budget reductions; and
          (2) is in transition from defense to nondefense 
        production.
    (c) Coordination and Integration of Activities and 
Assistance with Other Agencies.--In providing additional 
financial assistance pursuant to any increase in loan authority 
under this division--
          (1) Federal agencies concerned with international 
        trade shall participate in the process of coordination 
        conducted by the Committee pursuant to section 
        4004(c)(1); \5\ and
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    \5\ Sec. 1062(c)(1) of Public Law 102-190 (105 Stat. 1475) struck 
out ``section 4003(b)'' and inserted in lieu thereof ``section 
4004(c)(1)''.
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          (2) such Federal agencies shall attempt, to the 
        maximum extent practicable, to coordinate and integrate 
        the activities and assistance of the agencies in 
        support of exports, including financial assistance in 
        the form of direct loans, loan guarantees, and 
        insurance, general trade promotion, marketing 
        assistance, and marketing and commercial information, 
        in a manner consistent with the purposes of this 
        division (and the amendments made by this division to 
        other provisions of law).
    (d) Reporting.--The annual report made by the Export-Import 
Bank of the United States and the Administrator of the Small 
Business Administration and the annual economic stabilization 
and adjustment report under section 4004(c)(3) \6\ of this 
division shall include a description of the extent to which the 
bank and the Administrator are--
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    \6\ Sec. 1062(c)(2) of Public Law 102-190 (105 Stat. 1475) struck 
out ``section 4003'' and inserted in lieu thereof ``section 
4004(c)(3)''.
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          (1) providing financing described in subsections 
        (a)(2) and (b), respectively, to businesses or groups 
        of workers which were substantially and seriously 
        affected \3\ by defense budget reductions; and
          (2) coordinating and integrating export support and 
        financing activities with other Federal agencies.

SEC. 4304. BENEFIT INFORMATION FOR BUSINESSES.

    (a) Information Required To Be Provided.--The Secretary of 
Commerce and the Administrator of the Small Business 
Administration shall provide any business affected by defense 
budget reductions with a complete description of available 
programs which provide any business, whether on an industrywide 
or an individual basis, with any planning assistance, 
financial, technical, or managerial assistance, worker 
retraining assistance, or other assistance authorized under 
this division.
    (b) Effective Notification System.--The Secretary of 
Commerce and the Administrator of the Small Business 
Administration shall take such action as may be appropriate to 
ensure, to the maximum extent practicable, that each business 
affected by defense budget reductions receives the information 
required to be provided under subsection (a) on a timely basis.
          d. Export-Import Bank and Tied Aid Credit Amendments

Partial text of Title III of Public Law 100-418 [Omnibus Trade and 
    Competitiveness Act of 1988; H.R. 4848], 102 Stat. 1107, approved 
    August 23, 1988

  AN ACT To enhance the competitiveness of American industry, and for 
                            other purposes.

          * * * * * * *

               TITLE III--INTERNATIONAL FINANCIAL POLICY

          * * * * * * *

     Subtitle D--Export-Import Bank and Tied Aid Credit Amendments

SEC. 3301. SHORT TITLE.

  This subtitle may be cited as the ``Export-Import Bank and 
Tied Aid Credit Amendments of 1988''.

SEC. 3302. PROVISIONS RELATING TO TIED AID CREDIT.

  (a) Findings.--The Congress finds that--
          (1) negotiations have led to an international 
        agreement to increase the grant element required in 
        tied aid credit offers;
          (2) concern continues to exist that countries party 
        to the agreement may continue to offer tied aid credits 
        that deviate from the agreement;
          (3) in such cases, the United States could continue 
        to lose export sales in connection with the aggressive, 
        and in some cases, unfair, tied aid practices of such 
        countries; and
          (4) in such cases, the Export-Import Bank of the 
        United States should continue to use the Tied Aid 
        Credit Fund established by section 15(c) of the Export-
        Import Bank Act of 1945 to discourage the use of such 
        predatory financing practices.
  (b) * * *
  (c) Report.--
          (1) In general.--On or before December 31, 1988, the 
        President and Chairman of the Export-Import Bank of the 
        United States, in cooperation with other appropriate 
        government agencies, shall submit to the Speaker of the 
        House of Representatives and the President pro tempore 
        of the Senate a written report identifying and 
        analyzing the tied aid credit practices of other 
        countries and shall make recommendations for dealing 
        with such practices.
          (2) Consultation.--In preparing the report described 
        in paragraph (1), the Export-Import Bank shall consult 
        with appropriate international organizations such as 
        the International Bank for Reconstruction and 
        Development, the International Monetary Fund, and the 
        Development Assistance Committee of the Organization 
        for Economic Cooperation and Development, and with the 
        countries which are party to the Arrangement on 
        Guidelines for Officially Supported Export Credits 
        adopted by the Organization for Economic Cooperation 
        and Development in November 1987.

SEC. 3303. REPORT ON UNITED STATES EXPORTS TO DEVELOPING COUNTRIES.

  Within 90 days after the date of the enactment of this Act, 
the President and Chairman of the Export-Import Bank of the 
United States shall submit to the Committee on Banking, Finance 
and Urban Affairs \1\ of the House of Representatives and the 
Committee on Banking, Housing, and Urban Affairs of the Senate 
a written report which contains--
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    \1\ Sec. 1(a)(2) of Public Law 104-14 (109 Stat. 186) provided that 
references to the Committee on Banking, Finance and Urban Affairs of 
the House of Representatives shall be treated as referring to the 
Committee on Banking and Financial Services of the House of 
Representatives.
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          (1) an assessment of the effectiveness of recent 
        program changes in increasing United States exports to 
        developing countries; and
          (2) an identification of additional specific policy 
        and program changes which--
                  (A) would enable the Bank to increase the 
                financing of United States exports to 
                developing countries; and
                  (B) would encourage greater private sector 
                participation in such financing efforts.
          * * * * * * *
              e. Export-Import Bank Act Amendments of 1986

Partial text of Public Law 99-472 [H.R. 5548], 100 Stat. 1200, approved 
                            October 15, 1986

          AN ACT To amend the Export-Import Bank Act of 1945.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

SECTION 1.\1\ SHORT TITLE.

    This Act may be cited as the ``Export-Import Bank Act 
Amendments of 1986''.
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    \1\ 12 U.S.C. 635 note.
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          * * * * * * *

SEC. 16. REPORT ON ROLE OF PRIVATE INSURANCE.

    Not later than October 1, 1987, the Export-Import Bank of 
the United States and the Office of Management and Budget shall 
jointly prepare and transmit to the Congress, and the General 
Accounting Office shall prepare and transmit to the Congress, 
reports analyzing--
          (1) the need for United States Government involvement 
        in export credit insurance, considering the current 
        activities of private insurance companies in this area, 
        private insurance industry trends over the longer term, 
        and ways in which private insurance companies can be 
        encouraged by the Bank to maximize export credit 
        insurance activities;
          (2) the need to employ an agent in administering 
        government-supported insurance programs which are 
        determined to be necessary; and
          (3) the efficiency and effectiveness of continuing to 
        utilize the Foreign Credit Insurance Association as the 
        Bank's agent (including an analysis of the 
        administrative and economic cost to the government and 
        the Bank of maintaining the Foreign Credit Insurance 
        Association).
          * * * * * * *

SEC. 21.\2\ POLICY TOWARD UNITED STATES BUSINESS TRANSACTIONS IN 
                    ANGOLA. * * *

  
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    \2\ For text of sec. 21, see page 1442.
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SEC. 22.\3\ OPPOSITION OF MULTILATERAL ASSISTANCE FOR FOREIGN SURPLUS 
                    COMMODITIES AND MINERALS.

    The Secretary of the Treasury shall instruct the United 
States Executive Director of the International Bank for 
Reconstruction and Development, the International Development 
Association, the International Finance Corporation, the Inter-
American Development Bank, the International Monetary Fund, the 
Asian Development Bank, the Inter-American Investment 
Corporation, the African Development Bank, and the African 
Development Fund to use the voice and vote of the United States 
to oppose any assistance by such institutions, using funds 
appropriated or otherwise made available pursuant to any 
provision of law, for the production or extraction of any 
commodity or mineral for export, if--
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    \3\ 22 U.S.C. 262h. Since 1989, similar provisions have been 
enacted in the annual Foreign Operations, Export Financing, and Related 
Programs Appropriations Act. For fiscal year 1997, see sec. 101(c) of 
title I of Public Law 103-306, sec. 514, Legislation on Foreign 
Relations Through 2002, vol. I-A.
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          (1) such commodity or mineral, as the case may be, is 
        in surplus on world markets; and
          (2) the export of such commodity or mineral, as the 
        case may be, would cause substantial injury to the 
        United States producers of the same, similar, or 
        competing commodity or mineral.

            f. Trade and Development Enhancement Act of 1983

      Partial text of Title VI of Public Law 98-181 [Supplemental 
 Appropriations Act, 1984; H.R. 3959], 97 Stat. 1153 at 1263, approved 
November 30, 1983, as amended by Public Law 100-418 [Omnibus Trade and 
   Competitiveness Act of 1988; H.R. 4848], 102 Stat. 1107, approved 
August 23, 1988; and by Public Law 102-549 [Jobs Through Exports Act of 
      1992, H.R. 4996], 106 Stat. 3651, approved October 28, 1992

 AN ACT Making supplemental appropriations for the fiscal year ending 
              September 30, 1984, and for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled, That the 
following sums are appropriated, out of any money in the 
Treasury not otherwise appropriated, to provide supplemental 
appropriations for the fiscal year ending September 30, 1984, 
and for other purposes, namely:
          * * * * * * *

          TITLE VI--EXPORT-IMPORT BANK ACT AMENDMENTS OF 1983

                              SHORT TITLE

    Sec. 601. This title may be cited as the ``Export-Import 
Bank Act Amendments of 1983''.
          * * * * * * *

                Part C--Tied Aid Credit Export Subsidies

                              SHORT TITLE

    Sec. 641. This part may be referred to as the ``Trade and 
Development Enhancement Act of 1983''.

                          STATEMENT OF PURPOSE

    Sec. 642.\1\ The purpose of this part is--
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    \1\ 12 U.S.C. 635o.
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          (1) to expand employment and economic growth in the 
        United States by expanding United States exports to the 
        markets of the developing world;
          (2) to stimulate the economic development of 
        countries in the developing world by improving their 
        access to credit for the importation of United States 
        products and services for developmental purposes;
          (3) to neutralize the predatory financing engaged in 
        by many nations whose exports compete with United 
        States exports, and thereby restore export competition 
        to a market basis; and
          (4) to encourage foreign governments to enter into 
        effective and comprehensive agreements with the United 
        States to end the use of tied aid credits for exports, 
        and to limit and govern the use of export credit 
        subsidies generally.

                          NEGOTIATING MANDATE

    Sec. 643.\2\ The President shall vigorously pursue 
negotiations to limit and set rules for the use of tied aid for 
exports. The negotiating objectives of the United States should 
include reaching agreements--
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    \2\ 12 U.S.C. 635p.
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          (1) to define the various forms of tied aid credit, 
        particularly mixed credits under the Arrangement on 
        Guidelines for Officially Supported Export Credits 
        established through the Organization for Economic 
        Cooperation and Development (hereinafter in this part 
        referred to as the ``Arrangement'');
          (2) to phase out the use of government-mixed credits 
        by a date certain;
          (3) to set rules governing the use of public-private 
        cofinancing, or other forms of mixed financing, which 
        may have the same result as government-mixed credits of 
        drawing on concessional development assistance to 
        produce subsidized export financing;
          (4) to raise the threshold for notification of the 
        use of tied aid credit to a 50 per centum level of 
        concessionality;
          (5) to improve notification procedures so that 
        advance notification must be given on all uses of tied 
        aid credit; and
          (6) to prohibit the use of tied aid credit for 
        production facilities for goods which are in structural 
        over supply in the world.

ESTABLISHMENT OF A TIED AID CREDIT PROGRAM IN THE UNITED STATES EXPORT-
                              IMPORT BANK

    Sec. 644.\3\ (a)(1) The Chairman of the Export-Import Bank 
of the United States shall establish, within the Export-Import 
Bank of the United States, a program of tied aid credits for 
United States exports.
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    \3\ 12 U.S.C. 635q.
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    (2) The program shall be carried out in co-operation with 
the Trade and Development Agency \4\, \5\ and with 
private financial institutions or entities, as appropriate.
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    \4\ Sec. 202(c)(1) of Public Law 102-549 (106 Stat. 3657) struck 
out ``Trade and Development Program'' each place it appeared in secs. 
644, 645, and 646, and inserted in lieu thereof ``Trade and Development 
Agency''. Subsec. (e) of that section, furthermore, provided that ``Any 
reference in any law to the Trade and Development Program shall be 
deemed to be a reference to the Trade and Development Agency.''.
    \5\ Previously, sec. 644 was amended by sec. 2204(c)(1) of Public 
Law 100-418 (Omnibus Trade and Competitiveness Act of 1988; 102 Stat. 
1330) which inserted ``Trade and Development Program'' in lieu of 
``Agency for International Development'' in subsec. (a); struck out 
``offered by the Agency for International Development'' and inserted 
``made available under section 645(d) of this Act'' in subsecs. (a) and 
(d); and inserted the reference to sec. 645(c) in lieu of ``subsections 
(c) and (d) of section 645'' in subsec. (d).
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    (3) The program may include--
          (A) the combined use of the credits, loans, or 
        guarantees offered by the Export-Import Bank of the 
        United States with concessional financing or grants 
        made available under section 645(d) of this Act,\5\ by 
        methods including the blending of the financing of, or 
        parallel financing by, the Bank and the Trade and 
        Development Agency; \4\ and
          (B) the combined use of credits, loans, or guarantees 
        offered by the Bank, with financing offered by private 
        financial institutions or entities, by methods 
        including the blending of the financing of, or parallel 
        financing by, the Bank and private institutions or 
        entities.
    (b) The purpose of the tied aid credit program under this 
section is to offer or arrange for financing for the export of 
United States goods and services which is substantially as 
concessional as foreign financing for which there is reasonable 
proof that such foreign financing is being offered to, or 
arranged for, a bona fide foreign competitor for a United 
States export sale.
    (c) The Chairman of the Bank is authorized to establish a 
fund, as necessary, for carrying out the tied aid credit 
program described in this section.
    (d) Concessional financing or grants made available under 
section 645(d) of this Act \5\ for the purposes of the mixed 
financing program established under this section shall be made 
available in accordance with the provisions of section 645(c) 
\5\ of this Act.

 ESTABLISHMENT OF A TIED AID CREDIT PROGRAM ADMINISTERED BY THE TRADE 
                       AND DEVELOPMENT AGENCY \5\

    Sec. 645.\6\ (a) The Director of the Trade and Development 
Agency \4\ shall carry out \6\ a program of tied aid credits 
for United States exports. The program shall be carried out in 
cooperation with the Export-Import Bank of the United States 
and with private financial institutions or entities, as 
appropriate. The program may include--
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    \6\ 12 U.S.C. 635r. Sec. 202(c)(2) of the Jobs Through Exports Act 
of 1992 (Public Law 102-549; 106 Stat. 3658) struck out ``trade and 
development program'' in the section heading and inserted in lieu 
thereof ``trade and development agency''. Previously, sec. 645 was 
amended by sec. 2204(c)(1)(B) of Public Law 100-418 (102 Stat. 1330) 
which inserted ``administered by the trade and development program'' in 
the section heading, and substituted ``Director of the Trade and 
Development Program shall carry out'' in lieu of ``Administrator of the 
Agency for International Development shall establish within the 
Agency''. Additionally, sec. 2204(d) of that Act contained the 
following provisions:
    ``(d) Administrative Provisions.--
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          ``(1) * * *
          ``(2) Transition provisions.--(A) The Administrator of the 
        Agency for International Development shall transfer to the 
        Director of the Trade and Development Program all records, 
        contracts, applications, and any other documents or information 
        in connection with the functions transferred by virtue of the 
        amendments made by subsection (c)(1).
          ``(B) All determinations, regulations, and contracts--

                  ``(i) which have been issued, made, granted, or 
                allowed to become effective by the President, the 
                Agency for International Development, or by a court of 
                competent jurisdiction, in the performance of the 
                functions transferred by virtue of the amendments made 
                by subsection (c)(1), and
                  ``(ii) which are in effect at the time this section 
                takes effect,

        shall continue in effect according to their terms until 
        modified, terminated, superseded, set aside, or revoked in 
        accordance with the law by the President, the Director of the 
        Trade and Development Program, or other authorized official, by 
        a court of competent jurisdiction, or by operation of law.
          ``(C)(i) The amendments made by subsection (c)(1) shall not 
        affect any proceedings, including notices of proposed 
        rulemaking, or any application for any financial assistance, 
        which is pending on the effective date of this section before 
        the Agency for International Development in the exercise of 
        functions transferred by virtue of the amendments made by 
        subsection (c)(1). Such proceedings and applications, to the 
        extent that they relate to functions so transferred, shall be 
        continued.
          ``(ii) Orders shall be issued in such proceedings, appeals 
        shall be taken therefrom, and payments shall be made pursuant 
        to such orders, as if this section had not been enacted. Orders 
        issued in any such proceedings shall continue in effect until 
        modified, terminated, superseded, or revoked by the Director of 
        the Trade and Development Program or other authorized official, 
        by a court of competent jurisdiction, or by operation of law.
          ``(iii) Nothing in this subparagraph shall be deemed to 
        prohibit the discontinuance or modification of any such 
        proceeding under the same terms and conditions and to the same 
        extent that such proceeding could have been discontinued or 
        modified if this section had not been enacted.
          ``(iv) The Director of the Trade and Development Agency is 
        authorized to issue regulations providing for the orderly 
        transfer to the Trade and Development Program of proceedings 
        continued under this subparagraph.
          ``(D) With respect to any function transferred by virtue of 
        the amendments made by subsection (c)(1) and exercised on or 
        after the effective date of this section, reference in any 
        other Federal law to the Agency for International Development 
        or any officer shall be deemed to refer to the Trade and 
        Development Agency or other official to which such function is 
        so transferred.''.
          (1) the combined use of the credits, loans, or 
        guarantees offered by the Bank with concessional 
        financing or grants made available under subsection 
        (d),\7\ by methods including the blending of the 
        financing of, or parallel financing, by the Bank and 
        the Trade and Development Agency; \7\ and
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    \7\ Sec. 202(c)(1) of Public Law 102-549 (106 Stat. 3657) struck 
out ``Trade and Development Program'' each place it appeared in secs. 
644, 645, and 646, and inserted in lieu thereof ``Trade and Development 
Agency''. Subsec. (e) of that section, furthermore, provided that ``Any 
reference in any law to the Trade and Development Program shall be 
deemed to be a reference to the Trade and Development Agency.''.
    Paras. (1) and (2) were amended by sec. 2204(c)(1)(B) of Public Law 
100-418 (102 Stat. 1331) which substituted ``made available under 
subsection (d)'' in lieu of ``offered by the Agency for International 
Development''; and ``Trade and Development Program'' in lieu of 
``Agency for International Development''.
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          (2) the combination of concessional financing or 
        grants made available under subsection (d),\7\ with 
        financing offered by private financial institutions or 
        entities, by methods including the blending of the 
        financing of, or parallel financing by, the Trade and 
        Development Agency \7\ and private institutions or 
        entities.
    (b) These funds may be combined with financing by the 
Export-Import Bank of the United States or private commercial 
financing in order to offer, or arrange for, financing for the 
exportation of United States goods and services which is 
substantially as concessional as foreign financing for which 
there is reasonable proof that such foreign financing is being 
offered to, or arranged for, a bona fide foreign competitor for 
a United States export sale.
    (c)(1) Funds \8\ which are used to carry out a tied aid 
credit program authorized by subsections (a) and (b) shall be 
offered only to finance United States exports which can 
reasonably be expected to contribute to the advancement of the 
development objectives of the importing country or countries, 
and shall be consistent with the economic, security, and 
political criteria used to establish country allocations of 
Economic Support Funds.
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    \8\ The words ``of the Agency for International Development'' which 
previously followed this point were struck out by sec. 2204(c)(1)(b) of 
Public Law 100-418 (102 Stat. 1331).
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    (2) The Director of the Trade and Development Agency 
\4\, \5\ is authorized to establish a fund, as 
necessary, for carrying out a tied aid credit financing program 
as described in this section.
  (d) \9\ Funds available to carry out chapter 4 of part II of 
the Foreign Assistance Act of 1961 may be used by the Director 
of the Trade and Development Agency,\4\ with the concurrence of 
the Secretary of State (as provided under section 531 of the 
Foreign Assistance Act of 1961), for the purposes for which 
funds made available under this subsection are authorized to be 
used in section 644 and this section. The Secretary of State 
shall exercise his authority in cooperation with the 
Administrator of the Agency for International Development. 
Funds made available pursuant to this subsection \10\ may be 
used to finance a tied aid credit activity in any country 
eligible for tied aid credits under this Act.
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    \9\ Subsec. (d) was amended and restated by sec. 2204(c)(1)(B)(iv) 
of Public Law 100-418 (102 Stat. 1331). Subsec. (d) previously read as 
follows:
    ``(d) The Administrator of the Agency for International Development 
may draw on Economic Support Funds allocated for Commodity Import 
Programs to finance a tied aid credit activity.''.
    \10\ For current appropriations, see the Foreign Operations, Export 
Finance, and Related Programs Appropriations Act, 1997 (sec. 101(c) of 
title I of Public Law 104-208; 110 Stat. 3009); Legislation on Foreign 
Relations Through 2002, vol. I-A.
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                             IMPLEMENTATION

    Sec. 646.\11\ (a)(1) The National Advisory Council on 
International Monetary and Financial Policies shall coordinate 
the implementation of the tied aid credit programs authorized 
by sections 644 and 645.
---------------------------------------------------------------------------
    \11\ 12 U.S.C. 635s.
---------------------------------------------------------------------------
    (2) No financing may be approved under the tied aid credit 
programs authorized by section 644 or section 645 without the 
unanimous consent of the members of the National Advisory 
Council on International Monetary and Financial Policies.
  (b) \12\ The Trade and Development Agency \4\ shall be 
represented at any meetings of the National Advisory Council on 
International Monetary and Financial Policies for discussion of 
tied aid credit matters, and the representative of the Trade 
and Development Agency \4\ at any such meeting shall have the 
right to vote on any decisions of the Advisory Council relating 
to tied aid credit matters.
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    \12\ Subsec. (b) was added by sec. 2204(c)(2) of Public Law 100-418 
(102 Stat. 1331).
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                              DEFINITIONS

    Sec. 647.\13\ For purposes of this part--
---------------------------------------------------------------------------
    \13\ 12 U.S.C. 635t.
---------------------------------------------------------------------------
          (1) the term ``tied aid credit'' means credit--
                  (A) which is provided for development aid 
                purposes;
                  (B) which is tied to the purchase of exports 
                from the country granting the credit;
                  (C) which is financed either exclusively from 
                public funds, or, as a mixed credit, partly 
                from public and partly from private funds; and
                  (D) which has a grant element, as defined by 
                the Development Assistance Committee of the 
                Organization for Economic Cooperation and 
                Development, greater than zero percent;
          (2) the term ``government-mixed credits'' means the 
        combined use of credits, insurance, and guarantees 
        offered by the Export-Import Bank of the United States 
        with concessional financing or grants offered by the 
        Agency for International Development to finance 
        exports;
          (3) the term ``public-private financing'' means the 
        combined use of either official development assistance 
        or official export credit with private commercial 
        credit to finance exports;
          (4) the term ``blending of financings'' means the use 
        of various combinations of official development 
        assistance, official export credit, and private 
        commercial credit. integrated into a single package 
        with a single set of financial terms, to finance 
        exports;
          (5) the term ``parallel financing'' means the related 
        use of various combinations of separate lines of 
        official development assistance, official export 
        credits, and private commercial credit, not combined 
        into a single package with a single set of financial 
        terms, to finance exports; and
          (6) the term ``Bank'' means the Export-Import Bank of 
        the United States.
          * * * * * * *

              g. Export-Import Bank Act Amendments of 1978

Partial text of Public Law 95-630 [H.R. 14279], 92 Stat. 3641 at 3724, 
  approved November 10, 1978, as amended by Public Law 98-181 [Export-
Import Bank Act Amendments of 1983; H.R. 3959], 97 Stat. 1153 at 1262, 
  approved November 30, 1983; and by Public Law 99-472 [Export-Import 
   Bank Act Amendments of 1986; H.R. 5548], 100 Stat. 1200, approved 
                            October 15, 1986

AN ACT To extend the authority for the flexible regulation of interest 
       rates on deposits and accounts in depository institutions.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled, That this 
Act may be cited as the ``Financial Institutions Regulatory and 
Interest Rate Control Act of 1978''.
          * * * * * * *

              TITLE XIX--EXPORT-IMPORT BANK ACT AMENDMENTS

    Sec. 1901.\1\ That this title may be cited as the ``Export-
Import Bank Act Amendments of 1978''.


          Note.--Except for the sections included below, title 
        XIX of this Act contained amendments to the Export-
        Import Bank Act of 1945.



          * * * * * * *

                       EXPORT CREDIT COMPETITION

    Sec. 1908.\2\ (a) The President is authorized and requested 
to begin negotiations at the ministerial level with other major 
exporting countries to end predatory export financing programs 
and other forms of export subsidies, including mixed credits, 
in third country markets as well as within the United States. 
The President shall report to the Congress prior to January 15, 
1979, on progress toward meeting the goals of this section.
---------------------------------------------------------------------------
    \1\ 12 U.S.C. 635 note.
    \2\ 12 U.S.C. 635a-1.
---------------------------------------------------------------------------
    (b) The Export-Import Bank of the United States is 
authorized to provide guarantees, insurance, and extensions of 
credit at rates and terms and other conditions which are, in 
the opinion of the Board of Directors of the Bank, competitive 
with those provided by the government-supported export credit 
instrumentalities of other nations.
          * * * * * * *
    Sec. 1911.\3\ The Bank shall implement such regulations and 
procedures as may be appropriate to insure that full 
consideration is given to the extent to which any loan or 
financial guarantee is likely to have an adverse effect on 
industries, including agriculture, and employment in the United 
States, either by reducing demand for goods produced in the 
United States or by increasing imports to the United States. To 
carry out the purposes of this subsection, the Bank shall 
request, and the United States International Trade Commission 
shall furnish, a report assessing the impact of the Bank's 
activities on industries and employment in the United States. 
Such report shall include an assessment of previous loans or 
financial guarantees and shall provide recommendations 
concerning general areas which may adversely affect domestic 
industries, including agriculture and employment. After October 
1, 1983, there are authorized to be appropriated such sums as 
may by necessary to carry out the provisions of this 
section.\4\ In all cases to which this section applies, the 
Bank shall consider and address in writing the views of parties 
or persons who may be substantially adversely affected by the 
loan or guarantee prior to taking final action on the loan or 
guarantee. This requirement does not subject the Bank to the 
provisions of subchapter II of chapter 5 of title 5, United 
States Code.\5\
---------------------------------------------------------------------------
    \3\ 12 U.S.C. 635a-2.
    \4\ Sec. 632 of the Export-Import Bank Act Amendments of 1983 
(title VI of Public Law 98-181; 97 Stat. 1262) added this sentence.
    \5\ The words to this point beginning with ``In all cases * * *'' 
were added by sec. 12 of the Export-Import Bank Act Amendments of 1986 
(Public Law 99-472; 100 Stat. 1204).
---------------------------------------------------------------------------
    Sec. 1912.\6\ (a)(1) Upon receipt of information that 
foreign sales to the United States are being offered involving 
foreign official export credits which exceed limits under 
existing standstills, minutes, or practices to which the United 
States and other major exporting countries have agreed, 
irrespective of whether these credits are being offered by 
governments which are signatories to such standstills, minutes, 
or practices,\7\ the Secretary of the Treasury shall 
immediately conduct an inquiry to determine whether 
``noncompetitive financing'' is being offered. The inquiry, and 
where appropriate, the determination and authorization to the 
Export-Import Bank of the United States referred to in this 
section shall be completed and made within 60 days of the 
receipt of such information.\8\
---------------------------------------------------------------------------
    \6\ 12 U.S.C. 635a-3.
    \7\ The words to this point beginning with ``irrespective'' were 
added by sec. 15(b) of Public Law 99-472 (100 Stat. 1205).
    \8\ Sec. 631(1) of the Export-Import Bank Act Amendments of 1983 
(title VI of Public Law 98-181; 97 Stat. 1262) added this sentence.
---------------------------------------------------------------------------
    (2) If the Secretary determines that such foreign 
``noncompetitive'' financing is being offered, the Secretary 
\9\ shall request the immediate withdrawal of such financing by 
the foreign official export credit agency involved.
---------------------------------------------------------------------------
    \9\ Sec. 633 of the Export-Import Bank Act Amendments of 1983 
(title VI of Public Law 98-181; 97 Stat. 1263) substituted ``the 
Secretary'' in lieu of ``he''.
---------------------------------------------------------------------------
    (3) If the offer is not withdrawn or if there is no 
immediate response to the withdrawal request, the Secretary of 
the Treasury shall notify the country offering such financing 
and all parties to the proposed transaction that the Eximbank 
may be authorized to provide competing United States sellers 
with financing to match that available through the foreign 
official export financing entity.
    (b) \10\ The Secretary of the Treasury shall issue such 
authorization to the Bank to provide guarantees, insurance, and 
credits to competing United States sellers, unless the 
Secretary determines that--
---------------------------------------------------------------------------
    \10\ As amended by sec. 15(a) of Public Law 99-472 (100 Stat. 
1204).
---------------------------------------------------------------------------
          (1) the availability of foreign official 
        noncompetitive financing is likely to be a significant 
        factor in the sale; or
          (2) the foreign noncompetitive financing has been 
        withdrawn.
    (c) Upon receipt of authorization by the Secretary of the 
Treasury, the Export-Import Bank may provide financing to match 
that offered by the foreign official export credit entity: 
Provided, however, That loans, guarantees and insurance 
provided under this authority shall conform to all provisions 
of the Export-Import Bank Act of 1945, as amended.
    Sec. 1913. No environmental rule, regulation, or procedure 
shall become effective with regard to exports subject to the 
provisions of 22 U.S.C. 3201 et seq., the Nuclear Non-
Proliferation Act of 1978, until such time as the President has 
reported to Congress on the progress achieved pursuant to 
section 407 of the Act (42 U.S.C. 2153e) entitled ``Protection 
of the Environment'' which requires the President to seek to 
provide, in agreements required under the Act, for cooperation 
between the parties in protecting the environment from 
radioactive, chemical or thermal contaminations arising from 
peaceful nuclear activities.
          * * * * * * *
    Sec. 1917.\11\ This title shall take effect upon enactment.
---------------------------------------------------------------------------
    \11\ 12 U.S.C. 635 note.

                         h. Export-Import Bank

 Executive Order 12166, October 19, 1979, 44 F.R. 60971, 12 U.S.C. 635 
                                  note

    By the authority vested in me as President of the United 
States of America by Section 2(b)(1)(B) of the Export-Import 
Bank Act of 1945, as amended (12 U.S.C. 635(b)(1)(B), and by 
Section 301 of Title 3 of the United States Code, it is hereby 
ordered as follows:
    1-101. The function vested in the President by section 
2(b)(1)(B) of the Export-Import Bank Act of 1945, as amended 
(12 U.S.C. 635(b)(1)(B)), is delegated to the Secretary of 
State. That function is the authority to determine that a 
denial by the Export-Import Bank of an application for credit 
would be in the national interest, where such action could 
clearly and importantly advance United States policy in such 
areas as international terrorism, nuclear proliferation, 
environmental protection and human rights.
    1-102. Before making such a determination, the Secretary of 
State shall consult with the Secretary of Commerce, and the 
heads of other interested Executive agencies.
    1-103. In accord with Section 2(b)(1)(B) of that Act, only 
in those cases where the Secretary of State has made such a 
determination should the Export-Import Bank deny an application 
for credit for nonfinancial or noncommercial considerations.

               i. Trade Promotion Coordinating Committee

  Executive Order 12870, September 30, 1993, 58 F.R. 51753, 15 U.S.C. 
                               4727 note

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including the Export Enhancement Act of 1992 (Public Law 102-
429; 106 Stat. 2186), and section 301 of title 3, United States 
Code, it is hereby ordered as follows:
    Sec. 1. Establishment. There is established the ``Trade 
Promotion Coordinating Committee'' (``TPCC''). The Committee 
shall comprise representatives of each of the following:
          (a) Department of Commerce;
          (b) Department of State;
          (c) Department of the Treasury;
          (d) Department of Agriculture;
          (e) Department of Energy;
          (f) Department of Transportation;
          (g) Department of Defense;
          (h) Department of Labor;
          (i) Department of the Interior;
          (j) Agency for International Development;
          (k) Trade and Development Agency;
          (l) Environmental Protection Agency;
          (m) United States Information Agency;
          (n) Small Business Administration;
          (o) Overseas Private Investment Corporation;
          (p) Export-Import Bank of the United States;
          (q) Office of the United States Trade Representative;
          (r) Council of Economic Advisers;
          (s) Office of Management and Budget;
          (t) National Economic Council;
          (u) National Security Council; and
          (v) At the discretion of the President, such other 
        departments or agencies as may be necessary.
Members of the TPCC shall be appointed by the heads of their 
respective departments or agencies. Such members, as well as 
their designated alternatives, shall be individuals who 
exercise significant decision-making authority in their 
respective departments or agencies.
    Sec. 2. Chairperson. The Secretary of Commerce shall be the 
chairperson of the TPCC.
    Sec. 3. Purpose. The purpose of the TPCC shall be to 
provide a unifying framework to coordinate the export promotion 
and export financing activities of the United States Government 
and to develop a governmentwide strategic plan for carrying out 
such programs.
    Sec. 4. Duties. The TPCC shall:
          (a) coordinate the development of the trade promotion 
        policies and programs of the United States Government;
          (b) provide a central source of information for the 
        business community on Federal export promotion and 
        export financing programs;
          (c) coordinate official trade promotion efforts to 
        ensure better delivery of services to U.S. businesses, 
        including:
                  (1) information and counseling on U.S. export 
                promotion and export financing programs and 
                opportunities in foreign markets;
                  (2) representation of U.S. business interests 
                abroad; and
                  (3) assistance with foreign business contacts 
                and projects;
          (d) prevent unnecessary duplication in Federal export 
        promotion and export financial activities;
          (e) assess the appropriate levels and allocation of 
        resources among agencies in support of export promotion 
        and export financing and provide recommendations, 
        through the Director of the Office of Management and 
        Budget to the President, based on its assessment; and
          (f) carry out such other duties as are deemed to be 
        appropriate, consistent with the purpose of the TPCC.
    Sec. 5. Strategic Plan. To carry out section 4 of this 
order, the TPCC shall develop and implement a governmentwide 
strategic plan for Federal trade promotion efforts. Such plan 
shall:
          (a) establish a set of priorities for Federal 
        activities in support of U.S. exports and explain the 
        rationale for the priorities;
          (b) review current Federal programs designed to 
        promote the sale of U.S. exports in light of the 
        priorities established under paragraph (a) of this 
        section and develop a plan to bring such activities 
        unto line with those priorities and to improve 
        coordination of such activities;
          (c) identify areas of overlap and duplication among 
        Federal export promotion activities and propose means 
        of eliminating them;
          (d) propose, through the Director of the Office of 
        Management and Budget, to the President an annual 
        unified Federal trade promotion budget that supports 
        the plan for priority activities and improved 
        coordination established under paragraph (b) of this 
        section and eliminates funding for the areas of overlap 
        and duplication identified under paragraph (c) of this 
        section; and
          (e) review efforts by the States to promote U.S. 
        exports and propose means of developing cooperation 
        between State and Federal efforts, including co-
        location, cost-sharing between Federal and State export 
        promotion programs, and sharing of market research 
        data.
    Sec. 6. Report. The chairperson of the TPCC, with the 
approval of the President, shall prepare and submit to the 
Committee on Banking, Housing, and Urban Affairs of the Senate, 
and the Committee on Foreign Affairs \1\ of the House of 
Representatives, not later than September 30, 1993, and 
annually thereafter, a report describing the strategic plan 
developed by the TPCC pursuant to section 5 of this order, the 
implementation of such a plan, and any revisions to the plan.
---------------------------------------------------------------------------
    \1\ Sec. 1(a)(5) of Public Law 104-14 (109 Stat. 186) provided that 
references to the Committee on Foreign Affairs of the House of 
Representatives shall be treated as referring to the Committee on 
International Relations of the House of Representatives.

                          3. Export Expansion

               a. Improving the U.S. Balance of Payments

Public Law 90-390 [H.R. 16162], 82 Stat. 296, approved July 7, 1968, as 
amended by Public Law 96-470 [Congressional Reports Elimination Act of 
       1980; H.R. 6686], 94 Stat. 2237, approved October 19, 1980

AN ACT To enable the Export-Import Bank of the United States to approve 
  extension of certain loans, guarantees, and insurance in connection 
with exports from the United States in order to improve the balance of 
 payments and foster the long-term commercial interests of the United 
                                States.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,
    Section 1.\1\ (a) It is the policy of the Congress that the 
Export-Import Bank of the United States should facilitate 
through loans, guarantees, and insurance (including coinsurance 
and reinsurance) those export transactions which, in the 
judgment of the Board of Directors of the Bank, offer 
sufficient likelihood of repayment to justify the Bank's 
support in order to actively foster the foreign trade and long-
term commercial interest of the United States.
---------------------------------------------------------------------------
    \1\ 12 U.S.C. 635j.
---------------------------------------------------------------------------
    (b) The Bank shall specially designate loans, guarantees, 
and insurance on the books of the Bank made under authority of 
this Act. In connection with guarantees and insurance, not less 
than 25 per centum of the related contractual liability of the 
Bank shall be taken into account for the purpose of applying 
the limitation imposed by section 7 of the Export-Import Bank 
Act of 1945, as amended; but the full amount of the related 
contractual liability of such guarantees and insurance shall be 
taken into account for the purpose of applying the limitation 
in section 2(c)(1) of that Act, concerning the amount of 
guarantees and insurance the Bank may have outstanding at any 
one time thereunder. The aggregate amount of loans plus 25 per 
centum of the contractual liability of guarantees and insurance 
outstanding at any one time under this Act shall not exceed 
$500,000,000.
    (c) \2\ * * * [Repealed--1980]
---------------------------------------------------------------------------
    \2\ Subsec. (c), which had required the Board of Directors of the 
Bank to submit a quarterly report to Congress on all actions taken 
under authority of this act, was repealed by sec. 115 of Public Law 96-
470 (94 Stat. 2240).
---------------------------------------------------------------------------
    Sec. 2.\3\ In the event of any losses, as determined by the 
Board of Directors of the Bank, incurred on loans, guarantees, 
and insurance extended under this Act, the first $100,000,000 
of such losses shall be borne by the Bank; the second 
$100,000,000 of such losses shall be borne by the Secretary of 
the Treasury; and any losses in excess thereof shall be borne 
by the Bank. Reimbursement of the Bank by the Secretary of the 
Treasury of the amount of losses which are to be borne by the 
Secretary of the Treasury as aforesaid shall be from funds made 
available pursuant to section 3 of this Act. All guarantees and 
insurance issued by the Bank shall be considered contingent 
obligations backed by the full faith and credit of the 
Government of the United States of America.
---------------------------------------------------------------------------
    \3\ 12 U.S.C. 635k.
---------------------------------------------------------------------------
    Sec. 3.\4\ There are hereby authorized to be appropriated 
to the Secretary of the Treasury without fiscal year limitation 
$100,000,000 to cover the amount of any losses which are to be 
borne by the Secretary of the Treasury as provided in section 2 
hereof.
---------------------------------------------------------------------------
    \4\ 12 U.S.C. 635l.
---------------------------------------------------------------------------
    Sec. 4.\5\ Nothing in this Act shall be construed as a 
limitation on the powers of the Bank under the Export-Import 
Bank Act of 1945, as amended; and except as to the standard of 
reasonable assurance of repayment required under section 
2(b)(1) of that Act, all loans, guarantees, and insurance 
extended hereunder shall be subject to the provisions of said 
Export-Import Bank Act of 1945, as amended, and to the policies 
of the Bank with respect to terms of repayment, interest rates, 
fees, and premiums applicable to loans, guarantees, and 
insurance extended under that Act.
---------------------------------------------------------------------------
    \5\ 12 U.S.C. 635m.
---------------------------------------------------------------------------
    Sec. 5.\6\ The Bank shall not extend loans, guarantees, or 
insurance under this Act in connection with the sale of defense 
articles or defense services.
---------------------------------------------------------------------------
    \6\ 12 U.S.C. 635n.
        b. Establishing the Export Expansion Advisory Committee

  Executive Order 11420, July 31, 1968, 33 F.R. 10997, 12 U.S.C. 635j 
                                  note

Whereas foreign trade is an essential and continuing element in 
    sustaining the growth, strength, and prosperity of our 
    economy, contributes to the improvement of our balance of 
    payments, and fosters the long-term commercial interest of 
    the United States; and
Whereas, on March 20, 1968, I requested the Congress to empower 
    the Export-Import Bank of the United States to use up to 
    $500,000,000 of its loan, guarantee, and insurance 
    authority to finance a broadened program to sell American 
    goods in foreign markets; and
Whereas the Congress has authorized the Bank to extend loans, 
    guarantees, and insurance which, in the judgment of the 
    Board of Directors of the Bank, offer sufficient likelihood 
    of repayment to justify the Bank's support in order to 
    actively foster the foreign trade and long-term commercial 
    interest of the United States; and
Whereas it is desirable and appropriate that guidance 
    concerning the commercial interests and the balance of 
    payments objectives of the United States be provided to the 
    Board of Directors of the Bank in the use of such loan, 
    guarantee, and insurance authority allocated to finance 
    export expansion, and I have stated that I would establish 
    an Export Expansion Advisory Committee to provide such 
    guidance to the Board of Directors of the Bank:
Now, therefore, by virtue of the authority vested in me as 
    President of the United States, it is ordered as follows:

    Section 1. Establishment of Advisory Committee. (a) There 
is hereby established the Export Expansion Advisory Committee 
(hereinafter referred to as ``the Committee'').
    (b) The Committee shall be composed of the following 
members: the Secretary of Commerce, who shall be Chairman of 
the Committee, the Secretary of the Treasury, the Secretary of 
State, and the President and Chairman of the Board of the 
Export-Import Bank of the United States.
    Sec. 2. Functions of the Committee. The Committee shall 
review and make recommendations concerning applications and 
proposals for loans, guarantees, and insurance to be charged 
against allocations made to finance export expansion and shall 
provide guidance to the Board of Directors of the Bank 
concerning the use of such allocations with the view to 
fostering the foreign trade and long-term commercial interest 
of the United States.
    Sec. 3. Construction. Nothing in this order shall be 
construed to abrogate, modify, or restrict any function vested 
by law in, or assigned pursuant to law to, any Federal agency, 
or any officer thereof or to any Federal interagency council or 
committee. As used herein the term ``any Federal agency'' 
includes any executive department and any other executive 
agency.
                        4. Export Administration

                a. Export Administration Act of 1979 \1\

Public Law 96-72 [S. 737], 93 Stat. 503, approved September 29, 1979; 
    as amended by Public Law 96-533 [International Security and 
    Development Cooperation Act of 1980; H.R. 6942], 94 Stat. 3131, 
    approved December 16, 1980; Public Law 97-145 [Export 
    Administration Act of 1981; H.R. 3567], 95 Stat. 1727, approved 
    December 29, 1981; Public Law 98-108 [H.R. 3962], 97 Stat. 744, 
    approved October 1, 1983; Public Law 98-207 [H.R. 4476], 97 Stat. 
    1391, approved December 5, 1983; Public Law 98-222 [H.R. 4956], 98 
    Stat. 36, approved February 29, 1984; Public Law 99-64 [Export 
    Administration Amendments Act of 1985; S. 883], 99 Stat. 120, 
    approved July 12, 1985; Public Law 99-399 [Omnibus Diplomatic 
    Security and Antiterrorism Act of 1986; H.R. 4151], 100 Stat. 853, 
    approved August 27, 1986; Public Law 99-633 [S. 2245], 100 Stat. 
    3522, approved November 7, 1986; Public Law 100-418 [Omnibus Trade 
    and Competitiveness Act of 1988; H.R. 4848], 102 Stat. 1107, 
    approved August 23, 1988; Public Law 100-449 [United States-Canada 
    Free-Trade Agreement Implementation Act of 1988; H.R. 5090], 102 
    Stat. 1851, approved September 28, 1988; Public Law 101-222 [Anti-
    Terrorism and Arms Export Amendments Act of 1989; H.R. 91], 103 
    Stat. 1892, approved December 12, 1989; Public Law 101-510 
    [National Defense Authorization Act for Fiscal Year 1991; H.R. 
    4739], 104 Stat. 1485, approved November 5, 1990; Public Law 102-
    138 [Foreign Relations Authorization Act, Fiscal Years 1992 and 
    1993; H.R. 1415], 105 Stat. 647, approved October 28, 1991; Public 
    Law 102-182 [H.R. 1724], 105 Stat. 1233. approved December 4, 1991; 
    Public Law 103-10 [H.R. 750], 107 Stat. 40, approved March 27, 
    1993; Public Law 103-199 [FRIENDSHIP Act; H.R. 3000], 107 Stat. 
    2317, approved December 17, 1993; Public Law 103-236 [Foreign 
    Relations Authorization Act, Fiscal Years 1994 and 1995; H.R. 
    2333], 108 Stat. 382, approved April 30, 1994; Public Law 103-277 
    [H.R. 4635], 108 Stat. 1407, approved July 5, 1994; Public Law 104-
    316 [General Accounting Office Act of 1996; H.R. 3864], 110 Stat. 
    3826, approved October 19, 1996; and by Public Law 105-277 [Omnibus 
    Consolidated and Emergency Supplemental Appropriations Act, 1999; 
    H.R. 4328], 111 Stat. 2681, approved October 21, 1998


          Note.--The Export Administration Act of 1979 replaced 
        the Export Administration Act of 1969, as amended, 
        which expired on September 30, 1979. The Export 
        Administration Act of 1979 was comprehensively amended 
        by the Export Administration Amendments Act of 1985 
        [Public Law 99-64; 99 Stat. 120].



    AN ACT To provide authority to regulate exports, to improve the 
efficiency of export regulation, and to minimize interference with the 
                     ability to engage in commerce.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

                              SHORT TITLE

    Section 1.\1\ This Act may be cited as the ``Export 
Administration Act of 1979''.
---------------------------------------------------------------------------
    \1\ 50 U.S.C. app. 2401 note.
---------------------------------------------------------------------------

                                FINDINGS

    Sec. 2.\2\ The Congress makes the following findings:
---------------------------------------------------------------------------
    \2\ 50 U.S.C. app. 2401.
---------------------------------------------------------------------------
          (1) The ability of the United States citizens to 
        engage in international commerce is a fundamental 
        concern of United States policy.
          (2) Exports contribute significantly to the economic 
        well-being of the United States and the stability of 
        the world economy by increasing employment and 
        production in the United States, and by earning foreign 
        exchange, thereby contributing favorably to the trade 
        balance. The restriction of exports from the United 
        States can have serious adverse effects on the balance 
        of payments and on domestic employment, particularly 
        when restrictions applied by the United States are more 
        extensive than those imposed by other countries.
          (3) It is important for the national interest of the 
        United States that both the private sector and the 
        Federal Government place a high priority on exports, 
        consistent with the economic, security, and foreign 
        policy objectives of the United States.
          (4) The availability of certain materials at home and 
        abroad varies so that the quantity and composition of 
        United States exports and their distribution among 
        importing countries may affect the welfare of the 
        domestic economy and may have an important bearing upon 
        fulfillment of the foreign policy of the United States.
          (5) Exports of goods or technology without regard to 
        whether they make a significant contribution to the 
        military potential of individual countries or 
        combinations of countries may adversely affect the 
        national security of the United States.
          (6) Uncertainty of export control policy can inhibit 
        the efforts of United States business and work to the 
        detriment of the overall attempt to improve the trade 
        balance of the United States.
          (7) Unreasonable restrictions on access to world 
        supplies can cause worldwide political and economic 
        instability, interfere with free international trade, 
        and retard the growth and development of nations.
          (8) It is important that the administration of export 
        controls imposed for national security purposes give 
        special emphasis to the need to control exports of 
        technology (and goods which contribute significantly to 
        the transfer of such technology) which could make a 
        significant contribution to the military potential of 
        any country or combination of countries which would be 
        detrimental to the national security of the United 
        States.
          (9) Minimization of restrictions on exports of 
        agricultural commodities and products is of critical 
        importance to the maintenance of a sound agricultural 
        sector, to a positive contribution to the balance of 
        payments, to reducing the level of Federal expenditures 
        for agricultural support programs, and to United States 
        cooperation in efforts to eliminate malnutrition and 
        world hunger.
          (10) It is important that the administration of 
        export controls imposed for foreign policy purposes 
        give special emphasis to the need to control exports of 
        goods and substances hazardous to the public health and 
        the environment which are banned or severely restricted 
        for use in the United States, and which, if exported, 
        could affect the international reputation of the United 
        States as a responsible trading partner.
          (11) \3\ Availability to controlled countries of 
        goods and technology from foreign sources is a 
        fundamental concern of the United States and should be 
        eliminated through negotiations and other appropriate 
        means whenever possible.
---------------------------------------------------------------------------
    \3\ Sec. 201(a) of the FRIENDSHIP Act (Public Law 103-199; 107 
Stat. 2320) struck out para. (11), and redesignated paras. (12) and 
(13) as (11) and (12). Para. (11) formerly read as follows:
    ``(11) The acquisition of national security sensitive goods and 
technology by the Soviet Union and other countries the actions or 
policies of which run counter to the national security interests of the 
United States, has led to the significant enhancement of Soviet bloc 
military-industrial capabilities. This enhancement poses a threat to 
the security of the United States, its allies, and other friendly 
nations, and places additional demands on the defense budget of the 
United States.''.
---------------------------------------------------------------------------
          (12) \3\ Excessive dependence of the United States, 
        its allies, or countries sharing common strategic 
        objectives with the United States, on energy and other 
        critical resources from potential adversaries can be 
        harmful to the mutual and individual security of all 
        those countries.

                         DECLARATION OF POLICY

    Sec. 3.\4\ The Congress makes the following declarations:
---------------------------------------------------------------------------
    \4\ 50 U.S.C. app. 2402. Para. (15) of this section, repealed by 
sec. 201(b)(2) of the FRIENDSHIP Act (Public Law 103-199; 107 Stat. 
2321) formerly provided the following:
    ``(15) It is the policy of the United States, particularly in light 
of the Soviet massacre of innocent men, women, and children aboard 
Korean Air Lines flight 7, to continue to object to exceptions to the 
International Control List for the Union of Soviet Socialist Republics, 
subject to periodic review by the President.''.
    Congress stated findings in support of this repeal at sec. 
201(b)(1) of Public Law 103-199 (107 Stat. 2320; 50 U.S.C. app. 2402 
note).
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          (1) It is the policy of the United States to minimize 
        uncertainties in export control policy and to encourage 
        trade with all countries with which the United States 
        has diplomatic or trading relations, except those 
        countries with which such trade has been determined by 
        the President to be against the national interest.
          (2) It is the policy of the United States to use 
        export controls only after full consideration of the 
        impact on the economy of the United States and only to 
        the extent necessary--
                  (A) \5\ to restrict the export of goods and 
                technology which would make a significant 
                contribution to the military potential of any 
                other country or combination of countries which 
                would prove detrimental to the national 
                security of the United States;
---------------------------------------------------------------------------
    \5\ Sec. 1701 of the National Defense Authorization Act for Fiscal 
Year 1991 (Public Law 101-510; 104 Stat. 1738) provided the following:
    ``sec. 1701. policy.
    ``It should be the policy of the United States to take all 
appropriate measures--
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          ``(1) to discourage the proliferation, development, and 
        production of the weapons, material, and technology necessary 
        to produce or acquire missiles that can deliver weapons of mass 
        destruction;
          ``(2) to discourage countries and private persons in other 
        countries from aiding and abetting any states from acquiring 
        such weapons, material, and technology;
          ``(3) to strengthen United States and existing multilateral 
        export controls to prohibit the flow of materials, equipment, 
        and technology that would assist countries in acquiring the 
        ability to produce or acquire missiles that can deliver weapons 
        of mass destruction, including missiles, warheads and 
        weaponization technology, targeting technology, test and 
        evaluation technology, and range and weapons effect measurement 
        technology; and
          ``(4) with respect to the Missile Technology Control Regime 
        (`MTCR') and its participating governments--

                  ``(A) to improve enforcement and seek a common and 
                stricter interpretation among MTCR members of MTCR 
                principles;
                  ``(B) to increase the number of countries that adhere 
                to the MTCR; and
                  ``(C) to increase information sharing among United 
                States agencies and among governments on missile 
                technology transfer, including export licensing, and 
                enforcement activities.''.
                  (B) to restrict the export of goods and 
                technology where necessary to further 
                significantly the foreign policy of the United 
                States or to fulfill its declared international 
                obligations; and
                  (C) to restrict the export of goods where 
                necessary to protect the domestic economy from 
                the excessive drain of scarce materials and to 
                reduce the serious inflationary impact of 
                foreign demand.
          (3) It is the policy of the United States (A) to 
        apply any necessary controls to the maximum extent 
        possible in cooperation with all nations, and (B) to 
        encourage observance of a uniform export control policy 
        by all nations with which the United States has defense 
        treaty commitments or common strategic objectives.
          (4) It is the policy of the United States to use its 
        economic resources and trade potential to further the 
        sound growth and stability of its economy as well as to 
        further its national security and foreign policy 
        objectives.
          (5) It is the policy of the United States--
                  (A) to oppose restrictive trade practices or 
                boycotts fostered or imposed by foreign 
                countries against other countries friendly to 
                the United States or against any United States 
                person;
                  (B) to encourage and, in specified cases, 
                require United States persons engaged in the 
                export of goods or technology or other 
                information to refuse to take actions, 
                including furnishing information or entering 
                into or implementing agreements, which have the 
                effect of furthering or supporting the 
                restrictive trade practices or boycotts 
                fostered or imposed by any foreign country 
                against a country friendly to the United States 
                or against any United States person; and
                  (C) to foster international cooperation and 
                the development of international rules and 
                institutions to assure reasonable access to 
                world supplies.
          (6) It is the policy of the United States that the 
        desirability of subjecting, or continuing to subject, 
        particular goods or technology or other information to 
        United States export controls should be subjected to 
        review by and consultation with representatives of 
        appropriate United States Government agencies and 
        private industry.
          (7) It is the policy of the United States to use 
        export controls, including license fees, to secure the 
        removal by foreign countries of restrictions on access 
        to supplies where such restrictions have or may have a 
        serious domestic inflationary impact, have caused or 
        may cause a serious domestic shortage, or have been 
        imposed for purposes of influencing the foreign policy 
        of the United States. In effecting this policy, the 
        President shall make reasonable and prompt efforts to 
        secure the removal or reduction of such restrictions, 
        policies, or actions through international cooperation 
        and agreement before imposing export controls. No 
        action taken in fulfillment of the policy set forth in 
        this paragraph shall apply to the export of medicine or 
        medical supplies.
          (8) It is the policy of the United States to use 
        export controls to encourage other countries to take 
        immediate steps to prevent the use of their territories 
        or resources to aid, encourage, or give sanctuary to 
        those persons involved in directing, supporting, or 
        participating in acts of international terrorism. To 
        achieve this objective, the President shall make 
        reasonable and prompt efforts to secure the removal or 
        reduction of such assistance to international 
        terrorists through international cooperation and 
        agreement before imposing export controls.
          (9) It is the policy of the United States to 
        cooperate with other countries with which the United 
        States has defense treaty commitments or common 
        strategic objectives in restricting the export of goods 
        and technology which would make a significant 
        contribution to the military potential of any country 
        or combination of countries which would prove 
        detrimental to the security of the United States and of 
        those countries with which the United States has 
        defense treaty commitments, or common strategic 
        objectives, and to encourage other friendly countries 
        to cooperate in restricting the sale of goods and 
        technology that can harm the security of the United 
        States.
          (10) It is the policy of the United States that 
        export trade by United States citizens be given a high 
        priority and not be controlled except when such 
        controls (A) are necessary to further fundamental 
        national security, foreign policy, or short supply 
        objectives, (B) will clearly further such objectives, 
        and (C) are administered consistent with basic 
        standards of due process.
          (11) It is the policy of the United States to 
        minimize restrictions on the export of agricultural 
        commodities and products.
          (12) It is the policy of the United States to sustain 
        vigorous scientific enterprise. To do so involves 
        sustaining the ability of scientists and other scholars 
        freely to communicate research findings, in accordance 
        with applicable provisions of law, by means of 
        publication, teaching, conferences, and other forms of 
        scholarly exchange.
          (13) It is the policy of the United States to control 
        the export of goods and substances banned or severely 
        restricted for use in the United States in order to 
        foster public health and safety and to prevent injury 
        to the foreign policy of the United States as well as 
        to the credibility of the United States as a 
        responsible trading partner.
          (14) It is the policy of the United States to 
        cooperate with countries which are allies of the United 
        States and countries which share common strategic 
        objectives with the United States in minimizing 
        dependence on imports of energy and other critical 
        resources from potential adversaries and in developing 
        alternative supplies of such resources in order to 
        minimize strategic threats posed by excessive hard 
        currency earnings derived from such resource exports by 
        countries with policies adverse to the security 
        interests of the United States.

                           GENERAL PROVISIONS

    Sec. 4.\6\ (a) Types of Licenses.--Under such conditions as 
may be imposed by the Secretary which are consistent with the 
provisions of this Act, the Secretary may require any of the 
following types of export licenses:
---------------------------------------------------------------------------
    \6\ 50 U.S.C. app. 2403.
---------------------------------------------------------------------------
          (1) A validated license, authorizing a specific 
        export, issued pursuant to an application by the 
        exporter.
          (2) Validated licenses authorizing multiple exports, 
        issued pursuant to an application by the exporter, in 
        lieu of an individual validated license for each such 
        export, including, but not limited to, the following:
                  (A) A distribution license, authorizing 
                exports of goods to approved distributors or 
                users of the goods in countries other than 
                controlled countries, except that the Secretary 
                may establish a type of distribution license 
                appropriate for consignees in the People's 
                Republic of China.\7\ The Secretary shall grant 
                the distribution license primarily on the basis 
                of the reliability of the applicant and foreign 
                consignees with respect to the prevention of 
                diversion of goods to controlled countries. The 
                Secretary shall have the responsibility of 
                determining, with the assistance of all 
                appropriate agencies, the reliability of 
                applicants and their immediate consignees. The 
                Secretary's determination shall be based on 
                appropriate investigations of each applicant 
                and periodic reviews of licensees and their 
                compliance with the terms of licenses issued 
                under this Act. Factors such as the applicant's 
                products or volume of business, or the 
                consignees' geographic location, sales 
                distribution area, or degree of foreign 
                ownership, which may be relevant with respect 
                to individual cases, shall not be determinative 
                in creating categories or general criteria for 
                the denial of applications or withdrawal of a 
                distribution license.
---------------------------------------------------------------------------
    \7\ The text to this point beginning with ``, except that the 
Secretary'' was added by sec. 2412(1) of Public Law 100-418 (102 Stat. 
1347).
---------------------------------------------------------------------------
                  (B) A comprehensive operations license, 
                authorizing exports and reexports of technology 
                and related goods, including items from the 
                list of militarily critical technologies 
                developed pursuant to section 5(d) of this Act 
                which are included on the control list in 
                accordance with that section, from a domestic 
                concern to and among its foreign subsidiaries, 
                affiliates, joint venturers, and licensees that 
                have long-term, contractually defined relations 
                with the exporter, are located in countries 
                other than controlled countries, (except the 
                People's Republic of China) \8\ and are 
                approved by the Secretary. The Secretary shall 
                grant the license to manufacturing, laboratory, 
                or related operations on the basis of approval 
                of the exporter's systems of control, including 
                internal proprietary controls, applicable to 
                the technology and related goods to be exported 
                rather than approval of individual export 
                transactions. The Secretary and the 
                Commissioner of Customs, consistent with their 
                authorities under section 12(a) of this Act, 
                and with the assistance of all appropriate 
                agencies, shall periodically, but not less 
                frequently than annually, perform audits of 
                licensing procedures under this subparagraph in 
                order to assure the integrity and effectiveness 
                of those procedures.
---------------------------------------------------------------------------
    \8\ This parenthetical text was added by sec. 2412(2) of Public Law 
100-418 (102 Stat. 1347).
---------------------------------------------------------------------------
                  (C) A project license, authorizing exports of 
                goods or technology for a specified activity.
                  (D) A service supply license, authorizing 
                exports of spare or replacement parts for goods 
                previously exported.
          (3) A general license, authorizing exports, without 
        application by the exporter.
          (4) Such other licenses as may assist in the 
        effective and efficient implementation of this Act.
    (b) Control List.--The Secretary shall establish and 
maintain a list (hereinafter in this Act referred to as the 
``control list'') stating license requirements (other than for 
general licenses) for exports of goods and technology under 
this Act.
    (c) Foreign Availability.--In accordance with the 
provisions of this Act, the President shall not impose export 
controls for foreign policy or national security purposes on 
the export from the United States of goods or technology which 
he determines are available without restriction from sources 
outside the United States in sufficient quantities and 
comparable in quality to those produced in the United States, 
so as to render the controls ineffective in achieving their 
purposes unless the President determines that adequate evidence 
has been presented to him demonstrating that the absence of 
such controls would prove detrimental to the foreign policy or 
national security of the United States. In complying with the 
provisions of this subsection, the President shall give strong 
emphasis to bilateral or multilateral negotiations to eliminate 
foreign availability. The Secretary and the Secretary of 
Defense shall cooperate in gathering information relating to 
foreign availability, including the establishment and 
maintenance of a jointly operated computer system.
    (d) Right of Export.--No authority or permission to export 
may be required under this Act, or under regulations issued 
under this Act, except to carry out the policies set forth in 
section 3 of this Act.
    (e) Delegation of Authority.--The President may delegate 
the power, authority, and discretion conferred upon him by this 
Act to such departments, agencies, or officials of the 
Government as he may consider appropriate, except that no 
authority under this Act may be delegated to, or exercised by, 
any official of any department or agency the head of which is 
not appointed by the President, by and with the advice and 
consent of the Senate. The President may not delegate or 
transfer his power, authority, and discretion to overrule or 
modify any recommendation or decision made by the Secretary, 
the Secretary of Defense, or the Secretary of State pursuant to 
the provisions of this Act.
    (f) Notification of the Public; Consultation With 
Business.--The Secretary shall keep the public fully apprised 
of changes in export control policy and procedures instituted 
in conformity with this Act with a view to encouraging trade. 
The Secretary shall meet regularly with representatives of a 
broad spectrum of enterprises, labor organizations, and 
citizens interested in or affected by export controls, in order 
to obtain their views on United States export control policy 
and the foreign availability of goods and technology.
  (g) \9\ Fees.--No fee may be charged in connection with the 
submission or processing of an export license application.
---------------------------------------------------------------------------
    \9\ Subsec. (g) was added by sec. 2411 of the Omnibus Trade and 
Competitiveness Act of 1988 (Public Law 100-418; 102 Stat. 1347).
---------------------------------------------------------------------------

                       NATIONAL SECURITY CONTROLS

    Sec. 5.\10\ (a) Authority.--(1) In order to carry out the 
policy set forth in section 3(2)(A) of this Act, the President 
may, in accordance with the provisions of this section, 
prohibit or curtail the export of any goods or technology 
subject to the jurisdiction of the United States or exported by 
any person subject to the jurisdiction of the United States. 
The authority contained in this subsection includes the 
authority to prohibit or curtail the transfer of goods or 
technology within the United States to embassies and affiliates 
of controlled countries. For purposes of the preceding 
sentence, the term ``affiliates'' includes both governmental 
entities and commercial entities that are controlled in fact by 
controlled countries.\11\ The authority contained in this 
subsection shall be exercised by the Secretary, in consultation 
with the Secretary of Defense, and such other departments and 
agencies as the Secretary considers appropriate, and shall be 
implemented by means of export licenses described in section 
4(a) of this Act.
---------------------------------------------------------------------------
    \10\ 50 U.S.C. app. 2404. See also in the National Defense 
Authorization Act for Fiscal Year 1996 (Public Law 104-106, 110 Stat. 
186): sec. 1322--National Security Implications of United States Export 
Control Policy; sec. 1323--Department of Defense review of Export 
Licenses for Certain Biological Pathogens; sec. 1324--Annual Reports on 
Improving Export Control Mechanisms, and Military Assistance; and 
Public Law 105-85, Subtitle B--Export Controls on High Performance 
Computers, 111 Stat. 1932 (this volume, page 1260), all codified at 50 
U.S.C. app. 2404 note.
    Public Law 105-85, 111 Stat. 1629 (as amended by Public Law 106-
398, 114 Stat. 1654) further provided the following:
---------------------------------------------------------------------------

``SEC. 3157. REPORTS ON ADVANCED SUPERCOMPUTER SALES TO CERTAIN FOREIGN 
        NATIONS.
---------------------------------------------------------------------------
    ``(a) Reports.--The Secretary of Energy shall require that any 
company that is a participant of the Accelerated Strategic Computing 
Initiative (ASCI) program of the Department of Energy report to the 
Secretary and to the Secretary of Defense each sale by that company to 
a country designated as a Tier III country of a computer capable of 
operating at a speed in excess of 2,000 millions theoretical operations 
per second (MTOPS). The report shall include a description of the 
following with respect to each such sale:
---------------------------------------------------------------------------

          ``(1) The anticipated end-use of the computer sold.
          ``(2) The software included with the computer.
          ``(3) Any arrangement under the terms of the sale regarding--

                  ``(A) upgrading the computer;
                  ``(B) servicing the computer;
                  ``(C) furnishing spare parts for the computer.
---------------------------------------------------------------------------
    ``(b) Covered Countries.--For purposes of this section, the 
countries designated as Tier III countries are the countries listed as 
``computer tier 3'' eligible countries in part 740.7 of title 15 of the 
Code of Federal Regulations, as in effect on June 10, 1997 (or any 
successor list).
    ``(c) Quarterly Submission of Reports.--The Secretary of Energy 
shall require that reports under subsection (a) be submitted quarterly.
    ``(d) Annual Report.--The Secretary of Energy shall submit to 
Congress an annual report containing all information received under 
subsection (a) during the preceding year. The first annual report shall 
be submitted not later than July 1, 1998.
    ``(e) Adjustment of Performance Levels.--Whenever a new composite 
theoretical performance level is established under section 1211(d) [see 
Public Law 105-85 (111 Stat. 1629), this volume, page 1260], that level 
shall apply for the purposes of subsection (a) of this section in lieu 
of the level set forth in subsection (a).''.
    Public Law 105-261 (112 Stat. 1920) further provided the following:
---------------------------------------------------------------------------

``SEC. 1522. RELEASE OF EXPORT INFORMATION BY DEPARTMENT OF COMMERCE TO 
        OTHER AGENCIES FOR PURPOSE OF NATIONAL SECURITY ASSESSMENT.
---------------------------------------------------------------------------
    ``(a) Release of Export Information.--The Secretary of Commerce 
shall, upon the written request of an official specified in subsection 
(c), transmit to that official any information relating to to exports 
that is held by the Department of Commerce and is requested by that 
official for purposes of assessing national security risks. The 
Secretary shall transmit such information within 10 business days after 
receiving such a request.
    ``(b) Nature of Information.--The information referred to in 
subsection (a) includes information concerning--
---------------------------------------------------------------------------

          ``(1) export licenses issued by the Department of Commerce;
          ``(2) exports that were carried out under an export license 
        issued by the Department of Commerce;
          ``(3) exports from the United States that were carried out 
        without an export license.
---------------------------------------------------------------------------
    ``(c) Requesting Officials.--The officials referred to in 
subsection (a) are the Secretary of State, the Secretary of Defense, 
the Secretary of Energy, and the Director of Central Intelligence. Each 
of those officials may delegate to any other official within their 
respective departments and agency the authority to request information 
under subsection (a).''.
    \11\ The sentence preceding this point was added by sec. 2413 of 
Public Law 100-418 (102 Stat. 1347).
---------------------------------------------------------------------------
    (2) Whenever the Secretary makes any revision with respect 
to any goods or technology, or with respect to the countries or 
destinations, affected by export controls imposed under this 
section, the Secretary shall publish in the Federal Register a 
notice of such revision and shall specify in such notice that 
the revision relates to controls imposed under the authority 
contained in this section.
    (3) In issuing regulations to carry out this section, 
particular attention shall be given to the difficulty of 
devising effective safeguards to prevent a country that poses a 
threat to the security of the United States from diverting 
critical technologies to military use, the difficulty of 
devising effective safeguards to protect critical goods, and 
the need to take the effective measures to prevent the reexport 
of critical technologies from other countries to countries that 
pose a threat to the security of the United States.
  (4) \12\ (A) No authority or permission may be required under 
this section to reexport any goods or technology subject to the 
jurisdiction of the United States to any country which 
maintains export controls on such goods or technology 
cooperatively with the United States pursuant to the agreement 
of the group known as the Coordinating Committee, or pursuant 
to an agreement described in subsection (k) of this section. 
The Secretary may require any person reexporting any goods or 
technology under this subparagraph to notify the Secretary of 
such reexports.
---------------------------------------------------------------------------
    \12\ Para. (4) was added by sec. 2414 of Public Law 100-418 (102 
Stat. 1347).
---------------------------------------------------------------------------
  (B) Notwithstanding subparagraph (A), the Secretary may 
require authority or permission to reexport the following:
          (i) supercomputers;
          (ii) goods or technology for sensitive nuclear uses 
        (as defined by the Secretary);
          (iii) devices for surreptitious interception of wire 
        or oral communications; and
          (iv) goods or technology intended for such end users 
        as the Secretary may specify by regulation.
  (5)(A) Except as provided in subparagraph (B), no authority 
or permission may be required under this section to reexport 
any goods or technology subject to the jurisdiction of the 
United States from any country when the goods or technology to 
be reexported are incorporated in another good and--
          (i) the value of the controlled United States content 
        of that other good is 25 percent or less of the total 
        value of the good; or
          (ii) the export of the goods or technology to a 
        controlled country would require only notification of 
        the participating governments of the Coordinating 
        Committee.
For purposes of this paragraph, the ``controlled United States 
content'' of a good means those goods or technology subject to 
the jurisdiction of the United States which are incorporated in 
the good, if the export of those goods or technology from the 
United States to a country, at the time that the good is 
exported to that country, would require a validated license.
  (B) The Secretary may by regulation provide that subparagraph 
(A) does not apply to the reexport of a supercomputer which 
contains goods or technology subject to the jurisdiction of the 
United States.
  (6) Not later than 90 days after the date of the enactment of 
this paragraph, the Secretary shall issue regulations to carry 
out paragraphs (4) and (5). Such regulations shall define the 
term `supercomputer' for purposes of those paragraphs.
    (b) Policy Toward Individual Countries.--(1) \13\ In 
administering export controls for national security purposes 
under this section, the President shall establish as a list of 
controlled countries those countries set forth in section 
620(f) of the Foreign Assistance Act of 1961, except that the 
President may add any country to or remove any country from 
such list of controlled countries if he determines that the 
export of goods or technology to such country would or would 
not (as the case may be) make a significant contribution to the 
military potential of such country or a combination of 
countries which would prove detrimental to the national 
security of the United States. In determining whether a country 
is added to or removed from the list of controlled countries, 
the President shall take into account--
---------------------------------------------------------------------------
    \13\ Sec. 2425(b) of Public Law 100-418 (102 Stat. 1360) required 
the following:
    ``(b) Report by Secretaries of Commerce and Defense.--The Secretary 
of Commerce and the Secretary of Defense shall each evaluate and, not 
later than 4 months after the date of the enactment of this Act [August 
23, 1988], shall jointly prepare and submit a report to the Committee 
on Foreign Affairs of the House of Representatives and the Committee on 
Banking, Housing, and Urban Affairs of the Senate on the review by the 
Department of Defense, for national security purposes as provided in 
the Export Administration Act of 1979, of export license applications 
for exports to countries other than controlled countries under section 
5(b)(1) of that Act.''.
---------------------------------------------------------------------------
          (A) the extent to which the country's policies are 
        adverse to the national security interests of the 
        United States;
          (B) the country's Communist or non-Communist status;
          (C) the present and potential relationship of the 
        country with the United States;
          (D) the present and potential relationship of the 
        country with countries friendly or hostile to the 
        United States;
          (E) the country's nuclear weapons capability and the 
        country's compliance record with respect to 
        multilateral nuclear weapons agreements to which the 
        United States is a party; and
          (F) such other factors as the President considers 
        appropriate.
Nothing in the preceding sentence shall be interpreted to limit 
the authority of the President provided in this Act to prohibit 
or curtail the export of any goods or technology to any country 
to which exports are controlled for national security purposes 
other than countries on the list of controlled countries 
specified in this paragraph. The President shall review not 
less frequently than every three years in the case of controls 
maintained cooperatively with other nations, and annually in 
the case of all other controls, United States policy toward 
individual countries to determine whether such policy is 
appropriate in light of the factors set forth in this 
paragraph.
  (2) \14\ (A) Except as provided in subparagraph (B), no 
authority or permission may be required under this section to 
export goods or technology to a country which maintains export 
controls on such goods or technology cooperatively with the 
United States pursuant to the agreement of the group known as 
the Coordinating Committee or pursuant to an agreement 
described in subsection (k) of this section, if the export of 
such goods or technology to the People's Republic of China or a 
controlled country on the date of the enactment of the Export 
Enhancement Act of 1988 would require only notification of the 
participating governments of the Coordinating Committee.
---------------------------------------------------------------------------
    \14\ Sec. 5(b)(2) was amended and restated by sec. 2415(a) of 
Public Law 100-418 (102 Stat. 1348).
---------------------------------------------------------------------------
  (B)(i) The Secretary may require a license for the export of 
goods or technology described in subparagraph (A) to such end 
users as the Secretary may specify by regulation.
  (ii) The Secretary may require any person exporting goods or 
technology under this paragraph to notify the Secretary of 
those exports.
  (C) The Secretary shall, within 3 months after the date of 
the enactment of the Export Enhancement Act of 1988, determine 
which countries referred to in subparagraph (A) are 
implementing an effective export control system consistent with 
principles agreed to in the Coordinating Committee, including 
the following:
          (i) national laws providing appropriate civil and 
        criminal penalties and statutes of limitations 
        sufficient to deter potential violations;
          (ii) a program to evaluate export license 
        applications that includes sufficient technical 
        expertise to assess the licensing status of exports and 
        ensure the reliability of end-users;
          (iii) an enforcement mechanism that provides 
        authority for trained enforcement officers to 
        investigate and prevent illegal exports;
          (iv) a system of export control documentation to 
        verify the movement of goods and technology; and
          (v) procedures for the coordination and exchange of 
        information concerning violations of the agreement of 
        the Coordinating Committee.
The Secretary shall, at least once each year, review the 
determinations made under the preceding sentence with respect 
to all countries referred to in subparagraph (A). The Secretary 
may, as appropriate, add countries to, or remove countries 
from, the list of countries that are implementing an effective 
export control system in accordance with this subparagraph. No 
authority or permission to export may be required for the 
export of goods or technology to a country on such list.
  (3)(A) \15\ No authority or permission may be required under 
this section to export to any country, other than a controlled 
country, any goods or technology if the export of the goods or 
technology to controlled countries would require only 
notification of the participating governments of the 
Coordinating Committee.
---------------------------------------------------------------------------
    \15\ Para. 3 was added by sec. 2415(b) of Public Law 100-418 (102 
Stat. 1349).
---------------------------------------------------------------------------
  (B) The Secretary may require any person exporting any goods 
or technology under subparagraph (A) to notify the Secretary of 
those exports.
    (c) Control List.--(1) The Secretary shall establish and 
maintain, as part of the control list, a list of all goods and 
technology subject to export controls under this section. Such 
goods and technology shall be clearly identified as being 
subject to controls under this section.
    (2) The Secretary of Defense and other appropriate 
departments and agencies shall identify goods and technology 
for inclusion on the list referred to in paragraph (1). Those 
items which the Secretary and the Secretary of Defense concur 
shall be subject to export controls under this section shall 
comprise such list.\16\ If the Secretary and the Secretary of 
Defense are unable to concur on such items, as determined by 
the Secretary, the Secretary of Defense may, within 20 days 
after receiving notification of the Secretary's determination, 
refer the matter to the President for resolution. The Secretary 
of Defense shall notify the Secretary of any such referral. The 
President shall, not later than 20 days after such referral, 
notify the Secretary of his determination with respect to the 
inclusion of such items on the list. Failure of the Secretary 
of Defense to notify the President or the Secretary, or failure 
of the President to notify the Secretary, in accordance with 
this paragraph, shall be deemed by the Secretary to constitute 
concurrence in the implementation of the actions proposed by 
the Secretary regarding the inclusion of such items on the 
list.
---------------------------------------------------------------------------
    \16\ Sec. 5(c)(2) was amended and restated by sec. 2416(a) of 
Public Law 100-418 (102 Stat. 1349) which inserted the text following 
this point in lieu of ``If the Secretary and the Secretary of Defense 
are unable to concur on such items, the matter shall be referred to the 
President for resolution.''.
---------------------------------------------------------------------------
  (3) \17\ The Secretary shall conduct partial reviews of the 
list established pursuant to this subsection at least once each 
calendar quarter in order to carry out the policy set forth in 
section 3(2)(A) of this Act and the provisions of this section, 
and shall promptly make such revisions of the list as may be 
necessary after each such review. Before beginning each 
quarterly review, the Secretary shall publish notice of that 
review in the Federal Register. The Secretary shall provide a 
30-day period during each review for comment and the submission 
of data, with or without oral presentation, by interested 
Government agencies and other affected or potentially affected 
parties. After consultation with appropriate Government 
agencies, the Secretary shall make a determination of any 
revisions in the list within 30 days after the end of the 
review period. The concurrence or approval of any other 
department or agency is not required before any such revision 
is made. The Secretary shall publish in the Federal Register 
any revisions in the list, with an explanation of the reasons 
for the revisions. The Secretary shall use the data developed 
from each review in formulating United States proposals 
relating to multilateral export controls in the group known as 
the Coordinating Committee. The Secretary shall further assess, 
as part of each review, the availability from sources outside 
the United States of goods and technology comparable to those 
subject to export controls imposed under this section. All 
goods and technology on the list shall be reviewed at least 
once each year. The provisions of this paragraph apply to 
revisions of the list which consist of removing items from the 
list or making changes in categories of, or other 
specifications in, items on the list.
---------------------------------------------------------------------------
    \17\ Sec. 5(c)(3) was amended and restated by sec. 2416(b) of 
Public Law 100-418 (102 Stat. 1349).
---------------------------------------------------------------------------
  (4) \18\ The appropriate technical advisory committee 
appointed under subsection (h) of this section shall be 
consulted by the Secretary with respect to changes, pursuant to 
paragraph (2) or (3), in the list established pursuant to this 
subsection, and such technical advisory committee may submit 
recommendations to the Secretary with respect to such changes. 
The Secretary shall consider the recommendations of the 
technical advisory committee and shall inform the committee of 
the disposition of its recommendations.
---------------------------------------------------------------------------
    \18\ Para. (4) was added by sec. 2416(b)(3) of Public Law 100-418 
(102 Stat. 1350).
---------------------------------------------------------------------------
  (5)(A) \19\ Not later than 6 months after the date of the 
enactment of this paragraph, the following shall no longer be 
subject to export controls under this section:
---------------------------------------------------------------------------
    \19\ Para. (5) was added by sec. 2416(c)(1) of Public Law 100-418 
(102 Stat. 1350).
---------------------------------------------------------------------------
          (i) All goods or technology the export of which to 
        controlled countries on the date of the enactment of 
        the Export Enhancement Act of 1988 would require only 
        notification of the participating governments of the 
        Coordinating Committee, except for those goods or 
        technology on which the Coordinating Committee agrees 
        to maintain such notification requirement.
          (ii) All medical instruments and equipment, subject 
        to the provisions of subsection (m) of this section.
  (B) The Secretary shall submit to the Congress annually a 
report setting forth the goods and technology from which export 
controls have been removed under this paragraph.
  (6)(A) \20\ Notwithstanding subsection (f) or (h)(6) of this 
section, any export control imposed under this section which is 
maintained unilaterally by the United States shall expire 6 
months after the date of the enactment of this paragraph, or 6 
months after the export control is imposed, whichever date is 
later, except that--
---------------------------------------------------------------------------
    \20\ Para. (6) was added by sec. 2416(c)(2) of Public Law 100-418 
(102 Stat. 1351).
---------------------------------------------------------------------------
          (i) any such export controls on those goods or 
        technology for which a determination of the Secretary 
        that there is no foreign availability has been made 
        under subsection (f) or (h)(6) of this section before 
        the end of the applicable 6-month period and is in 
        effect may be renewed for periods of not more than 6 
        months each, and
          (ii) any such export controls on those goods or 
        technology with respect to which the President, by the 
        end of the applicable 6-month period, is actively 
        pursuing negotiations with other countries to achieve 
        multilateral export controls on those goods or 
        technology may be renewed for 2 periods of not more 
        than 6 months each.
  (B) Export controls on goods or technology described in 
clause (i) or (ii) of subparagraph (A) may be renewed only if, 
before each renewal, the President submits to the Congress a 
report setting forth all the controls being renewed and stating 
the specific reasons for such renewal.
  (7) \21\ Notwithstanding any other provision of this 
subsection, after 1 year has elapsed since the last review in 
the Federal Register on any item within a category on the 
control list the export of which to the People's Republic of 
China would require only notification of the members of the 
group known as the Coordinating Committee, an export license 
applicant may file an allegation with the Secretary that such 
item has not been so reviewed within such 1-year period. Within 
90 days after receipt of such allegation, the Secretary--
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    \21\ Para. (7) was added by sec. 2416(c)(3) of Public Law 100-418 
(102 Stat. 1351).
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          (A) shall determine the truth of the allegation;
          (B) shall, if the allegation is confirmed, commence 
        and complete the review of the item; and
          (C) shall, pursuant to such review, submit a finding 
        for publication in the Federal Register.
In such finding, the Secretary shall identify those goods or 
technology which shall remain on the control list and those 
goods or technology which shall be removed from the control 
list. If such review and submission for publication are not 
completed within that 90-day period, the goods or technology 
encompassed by such item shall immediately be removed from the 
control list.
    (d) Militarily Critical Technologies.--(1) The Secretary, 
in consultation with the Secretary of Defense, shall review and 
revise the list established pursuant to subsection (c), as 
prescribed in paragraph (3) of such subsection, for the purpose 
of insuring that export controls imposed under this section 
cover and (to the maximum extent consistent with the purposes 
of this Act) are limited to militarily critical goods and 
technologies and the mechanisms through which such goods and 
technologies may be effectively transferred.
    (2) The Secretary of Defense shall bear primary 
responsibility for developing a list of militarily critical 
technologies. In developing such list, primary emphasis shall 
be given to--
          (A) arrays of design and manufacturing know-how.
          (B) keystone manufacturing, inspection, and test 
        equipment,
          (C) goods accompanied by sophisticated operation, 
        application, or maintenance know-how; and
          (D) keystone equipment which would reveal or give 
        insight into the design and manufacture of a United 
        States military system,
which are not possessed by, or available in fact from sources 
outside the United States to, controlled countries and which, 
if exported, would permit a significant advance in a military 
system of any such country.
    (3) The list referred to in paragraph (2) shall be 
sufficiently specific to guide the determinations of any 
official exercising export licensing responsibilities under 
this Act.
    (4) The Secretary and the Secretary of Defense shall 
integrate items on the list of militarily critical technologies 
into the control list in accordance with the requirements of 
subsection (c) of this section. The integration of items on the 
list of militarily critical technologies into the control list 
shall proceed with all deliberate speed. Any disagreement 
between the Secretary and the Secretary of Defense regarding 
the integration of an item on the list of militarily critical 
technologies into the control list shall be resolved by the 
President. Except in the case of a good or technology for which 
a validated license may be required under subsection (f)(4) or 
(h)(6) of this section, a good or technology shall be included 
on the control list only if the Secretary finds that controlled 
countries do not possess that good or technology, or a 
functionally equivalent good or technology, and the good or 
technology or functionally equivalent good or technology, is 
not available in fact to a controlled country from sources 
outside the United States in sufficient quantity and of 
comparable quality so that the requirement of a validated 
license for the export of such good or technology is or would 
be ineffective in achieving the purpose set forth in subsection 
(a) of this section. The Secretary and the Secretary of Defense 
shall jointly submit a report to the Congress, not later than 1 
year after the date of the enactment of the Export 
Administration Amendments Act of 1985, on actions taken to 
carry out this paragraph. For the purposes of this paragraph, 
assessment of whether a good or technology is functionally 
equivalent shall include consideration of the factors described 
in subsection (f)(3) of this section.
    (5) The Secretary of Defense shall establish a procedure 
for reviewing the goods and technology on the list of 
militarily critical technologies on an ongoing basis \22\ for 
the purpose of removing from the list of militarily critical 
technologies any goods or technology that are no longer 
militarily critical. The Secretary of Defense may add to the 
list of militarily critical technologies any goods or 
technology that the Secretary of Defense determines is 
militarily critical, consistent with the provisions of 
paragraph (2) of this subsection. If the Secretary and the 
Secretary of Defense disagree as to whether any change in the 
list of militarily critical technologies by the addition or 
removal of a good or technology should also be made in the 
control list, consistent with the provisions of the fourth 
sentence of paragraph (4) of this subsection, the President 
shall resolve the disagreement.
---------------------------------------------------------------------------
    \22\ Sec. 2416(b)(2) of Public Law 100-418 (102 Stat. 1350) 
substituted ``on an ongoing basis'' in lieu of ``at least annually''.
---------------------------------------------------------------------------
    (6) The establishment of adequate export controls for 
militarily critical technology and keystone equipment shall be 
accompanied by suitable reductions in the controls on the 
products of that technology and equipment.
    (7) The Secretary of Defense shall, not later than 1 year 
after the date of the enactment of the Export Administration 
Amendments Act of 1985, report to the Congress on efforts by 
the Department of Defense to assess the impact that the 
transfer of goods or technology on the list of militarily 
critical technologies to controlled countries has had or will 
have on the military capabilities of those countries.
    (e) Export Licenses.--(1) The Congress finds that the 
effectiveness and efficiency of the process of making export 
licensing determinations under this section is severely 
hampered by the large volume of validated export license 
applications required to be submitted under this Act. 
Accordingly, it is the intent of Congress in this subsection to 
encourage the use of the multiple validated export licenses 
described in section 4(a)(2) of this Act in lieu of individual 
validated licenses.
    (2) To the maximum extent practicable, consistent with the 
national security of the United States, the Secretary shall 
require a validated license under this section for the export 
of goods or technology only if--
          (A) the export of such goods or technology is 
        restricted pursuant to a multilateral agreement, formal 
        or informal, to which the United States is a party and, 
        under the terms of such multilateral agreement, such 
        export requires the specific approval of the parties to 
        such multilateral agreement;
          (B) with respect to such goods or technology, other 
        nations do not possess capabilities comparable to those 
        possessed by the United States; or
          (C) the United States is seeking the agreement of 
        other suppliers to apply comparable controls to such 
        goods or technology and, in the judgment of the 
        Secretary, United States export controls on such goods 
        or technology, by means of such license, are necessary 
        pending the conclusion of such agreement.
    (3) The Secretary, subject to the provisions of subsection 
(l) of this section, shall not require an individual validated 
export license for replacement parts which are exported to 
replace on a one-for-one basis parts that were in a good that 
has been lawfully exported from the United States.
    (4) The Secretary shall periodically review the procedures 
with respect to the multiple validated export licenses, taking 
appropriate action to increase their utilization by reducing 
qualification requirements or lowering minimum thresholds, to 
combine procedures which overlap, and to eliminate those 
procedures which appear to be of marginal utility.
    (5) The export of goods subject to export controls under 
this section shall be eligible, at the discretion of the 
Secretary, for a distribution license and other licenses 
authorizing multiple exports of goods, in accordance with 
section 4(a)(2) of this Act. The export of technology and 
related goods subject to export controls under this section 
shall be eligible for a comprehensive operations license in 
accordance with section 4(a)(2)(B) of this Act.
  (6) \23\ Any application for a license for the export to the 
People's Republic of China of any good on which export controls 
are in effect under this section, without regard to the 
technical specifications of the good, for the purpose of 
demonstration or exhibition at a trade show shall carry a 
presumption of approval if--
---------------------------------------------------------------------------
    \23\ Para. (6) was added by sec. 2417 of Public Law 100-418 (102 
Stat. 1351).
---------------------------------------------------------------------------
          (A) the United States exporter retains title to the 
        good during the entire period in which the good is in 
        the People's Republic of China; and
          (B) the exporter removes the good from the People's 
        Republic of China no later than at the conclusion of 
        the trade show.
  (f) \24\ Foreign Availability.--
---------------------------------------------------------------------------
    \24\ Sec. 5(f) was amended and restated by sec. 2418(a) of Public 
Law 100-418 (102 Stat. 1352).
---------------------------------------------------------------------------
          (1) Foreign availability to controlled countries.--
        (A) The Secretary, in consultation with the Secretary 
        of Defense and other appropriate Government agencies 
        and with appropriate technical advisory committees 
        established pursuant to subsection (h) of this section, 
        shall review, on a continuing basis, the availability 
        to controlled countries, from sources outside the 
        United States, including countries which participate 
        with the United States in multilateral export controls, 
        of any goods or technology the export of which requires 
        a validated license under this section. In any case in 
        which the Secretary determines, in accordance with 
        procedures and criteria which the Secretary shall by 
        regulation establish, that any such goods or technology 
        are available in fact to controlled countries from such 
        sources in sufficient quantity and of comparable 
        quality so that the requirement of a validated license 
        for the export of such goods or technology is or would 
        be ineffective in achieving the purpose set forth in 
        subsection (a) of this section, the Secretary may not, 
        after the determination is made, require a validated 
        license for the export of such goods or technology 
        during the period of such foreign availability, unless 
        the President determines that the absence of export 
        controls under this section on the goods or technology 
        would prove detrimental to the national security of the 
        United States. In any case in which the President 
        determines under this paragraph that export controls 
        under this section must be maintained notwithstanding 
        foreign availability, the Secretary shall publish that 
        determination, together with a concise statement of its 
        basis and the estimated economic impact of the 
        decision.
          (B) The Secretary shall approve any application for a 
        validated license which is required under this section 
        for the export of any goods or technology to a 
        controlled country and which meets all other 
        requirements for such an application, if the Secretary 
        determines that such goods or technology will, if the 
        license is denied, be available in fact to such country 
        from sources outside the United States, including 
        countries which participate with the United States in 
        multilateral export controls, in sufficient quantity 
        and of comparable quality so that denial of the license 
        would be ineffective in achieving the purpose set forth 
        in subsection (a) of this section, unless the President 
        determines that approving the license application would 
        prove detrimental to the national security of the 
        United States. In any case in which the Secretary makes 
        a determination of foreign availability under this 
        subparagraph with respect to any goods or technology, 
        the Secretary shall determine whether a determination 
        of foreign availability under subparagraph (A) with 
        respect to such goods or technology is warranted.
          (2) Foreign availability to other than controlled 
        countries.--(A) The Secretary shall review, on a 
        continuing basis, the availability to countries other 
        than controlled countries, from sources outside the 
        United States, of any goods or technology the export of 
        which requires a validated license under this section. 
        If the Secretary determines, in accordance with 
        procedures which the Secretary shall establish, that 
        any goods or technology in sufficient quantity and of 
        comparable quality are available in fact from sources 
        outside the United States (other than availability 
        under license from a country which maintains export 
        controls on such goods or technology cooperatively with 
        the United States pursuant to the agreement of the 
        group known as the Coordinating Committee or pursuant 
        to an agreement described in subsection (k) of this 
        section), the Secretary may not, after the 
        determination is made and during the period of such 
        foreign availability, require a validated license for 
        the export of such goods or technology to any country 
        (other than a controlled country) to which the country 
        from which the goods or technology is available does 
        not place controls on the export of such goods or 
        technology. The requirement with respect to a validated 
        license in the preceding sentence shall not apply if 
        the President determines that the absence of export 
        controls under this section on the goods or technology 
        would prove detrimental to the national security of the 
        United States. In any case in which the President 
        determines under this paragraph that export controls 
        under this section must be maintained notwithstanding 
        foreign availability, the Secretary shall publish that 
        determination, together with a concise statement of its 
        basis and the estimated economic impact of the 
        decision.
          (B) The Secretary shall approve any application for a 
        validated license which is required under this section 
        for the export of any goods or technology to a country 
        (other than a controlled country) and which meets all 
        other requirements for such an application, if the 
        Secretary determines that such goods or technology are 
        available from foreign sources to that country under 
        the criteria established in subparagraph (A), unless 
        the President determines that approving the license 
        application would prove detrimental to the national 
        security of the United States. In any case in which the 
        Secretary makes a determination of foreign availability 
        under this subparagraph with respect to any goods or 
        technology, the Secretary shall determine whether a 
        determination of foreign availability under 
        subparagraph (A) with respect to such goods or 
        technology is warranted.
          (3) Procedures for making determinations.--(A) The 
        Secretary shall make a foreign availability 
        determination under paragraph (1) or (2) on the 
        Secretary's own initiative or upon receipt of an 
        allegation from an export license applicant that such 
        availability exists. In making any such determination, 
        the Secretary shall accept the representations of 
        applicants made in writing and supported by reasonable 
        evidence, unless such representations are contradicted 
        by reliable evidence, including scientific or physical 
        examination, expert opinion based upon adequate factual 
        information, or intelligence information. In making 
        determinations of foreign availability, the Secretary 
        may consider such factors as cost, reliability, the 
        availability and reliability of spare parts and the 
        cost and quality thereof, maintenance programs, 
        durability, quality of end products produced by the 
        item proposed for export, and scale of production. For 
        purposes of this subparagraph, ``evidence'' may include 
        such items as foreign manufacturers' catalogues, 
        brochures, or operations or maintenance manuals, 
        articles from reputable trade publications, 
        photographs, and depositions based upon eyewitness 
        accounts.
          (B) In a case in which an allegation is received from 
        an export license applicant, the Secretary shall, upon 
        receipt of the allegation, submit for publication in 
        the Federal Register notice of such receipt. Within 4 
        months after receipt of the allegation, the Secretary 
        shall determine whether the foreign availability 
        exists, and shall so notify the applicant. If the 
        Secretary has determined that the foreign availability 
        exists, the Secretary shall, upon making such 
        determination, submit the determination for review to 
        other departments and agencies as the Secretary 
        considers appropriate. The Secretary's determination of 
        foreign availability does not require the concurrence 
        or approval of any official, department, or agency to 
        which such a determination is submitted. Not later than 
        1 month after the Secretary makes the determination, 
        the Secretary shall respond in writing to the applicant 
        and submit for publication in the Federal Register, 
        that--
                  (i) the foreign availability does exist and--
                          (I) the requirement of a validated 
                        license has been removed,
                          (II) the President has determined 
                        that export controls under this section 
                        must be maintained notwithstanding the 
                        foreign availability and the applicable 
                        steps are being taken under paragraph 
                        (4), or
                          (III) in the case of a foreign 
                        availability determination under 
                        paragraph (1), the foreign availability 
                        determination will be submitted to a 
                        multilateral review process in 
                        accordance with the agreement of the 
                        Coordinating Committee for a period of 
                        not more than 4 months beginning on the 
                        date of the publication; or
                  (ii) the foreign availability does not exist.
        In any case in which the submission for publication is 
        not made within the time period specified in the 
        preceding sentence, the Secretary may not thereafter 
        require a license for the export of the goods or 
        technology with respect to which the foreign 
        availability allegation was made. In the case of a 
        foreign availability determination under paragraph (1) 
        to which clause (i)(III) applies, no license for such 
        export may be required after the end of the 9-month 
        period beginning on the date on which the allegation is 
        received.
          (4) Negotiations to eliminate foreign availability.--
        (A) In any case in which export controls are maintained 
        under this section notwithstanding foreign 
        availability, on account of a determination by the 
        President that the absence of the controls would prove 
        detrimental to the national security of the United 
        States, the President shall actively pursue 
        negotiations with the governments of the appropriate 
        foreign countries for the purpose of eliminating such 
        availability. No later than the commencement of such 
        negotiations, the President shall notify in writing the 
        Committee on Banking, Housing, and Urban Affairs of the 
        Senate and the Committee on Foreign Affairs of the 
        House of Representatives \25\ that he has begun such 
        negotiations and why he believes it is important to 
        national security that export controls on the goods or 
        technology involved be maintained.
---------------------------------------------------------------------------
    \25\ Sec. 1(a)(2) of Public Law 104-14 (109 Stat. 186) provided 
that references to the Committee on Banking, Finance and Urban Affairs 
of the House of Representatives shall be treated as referring to the 
Committee on Banking and Financial Services of the House of 
Representatives. Sec. 1(a)(5) provided that references to the Committee 
on Foreign Affairs of the House of Representatives shall be treated as 
referring to the Committee on International Relations.
---------------------------------------------------------------------------
          (B) If, within 6 months after the President's 
        determination that export controls be maintained, the 
        foreign availability has not been eliminated, the 
        Secretary may not, after the end of that 6-month 
        period, require a validated license for the export of 
        the goods or technology involved. The President may 
        extend the 6-month period described in the preceding 
        sentence for an additional period of 12 months if the 
        President certifies to the Congress that the 
        negotiations involved are progressing and that the 
        absence of the export controls involved would prove 
        detrimental to the national security of the United 
        States. Whenever the President has reason to believe 
        that goods or technology subject to export controls for 
        national security purposes by the United States may 
        become available from other countries to controlled 
        countries and that such availability can be prevented 
        or eliminated by means of negotiations with such other 
        countries, the President shall promptly initiate 
        negotiations with the governments of such other 
        countries to prevent such foreign availability.
          (C) After an agreement is reached with a country 
        pursuant to negotiations under this paragraph to 
        eliminate or prevent foreign availability of goods or 
        technology, the Secretary may not require a validated 
        license for the export of such goods or technology to 
        that country.
          (5) Expedited licenses for items available to 
        countries other than controlled countries.--(A) In any 
        case in which the Secretary finds that any goods or 
        technology from foreign sources is of similar quality 
        to goods or technology the export of which requires a 
        validated license under this section and is available 
        to a country other than a controlled country without 
        effective restrictions, the Secretary shall designate 
        such goods or technology as eligible for export to such 
        country under this paragraph.
          (B) In the case of goods or technology designated 
        under subparagraph (A), then 20 working days after the 
        date of formal filing with the Secretary of an 
        individual validated license application for the export 
        of those goods or technology to an eligible country, a 
        license for the transaction specified in the 
        application shall become valid and effective and the 
        goods or technology are authorized for export pursuant 
        to such license unless the license has been denied by 
        the Secretary on account of an inappropriate end user. 
        The Secretary may extend the 20-day period provided in 
        the preceding sentence for an additional period of 15 
        days if the Secretary requires additional time to 
        consider the application and so notifies the applicant.
          (C) The Secretary may make a foreign availability 
        determination under subparagraph (A) on the Secretary's 
        own initiative, upon receipt of an allegation from an 
        export license applicant that such availability exists, 
        or upon the submission of a certification by a 
        technical advisory committee of appropriate 
        jurisdiction that such availability exists. Upon 
        receipt of such an allegation or certification, the 
        Secretary shall publish notice of such allegation or 
        certification in the Federal Register and shall make 
        the foreign availability determination within 30 days 
        after such receipt and publish the determination in the 
        Federal Register. In the case of the failure of the 
        Secretary to make and publish such determination within 
        that 30-day period, the goods or technology involved 
        shall be deemed to be designated as eligible for export 
        to the country or countries involved, for purposes of 
        subparagraph (B).
          (D) The provisions of paragraphs (1), (2), (3), and 
        (4) do not apply with respect to determinations of 
        foreign availability under this paragraph.
          (6) Office of foreign availability.--The Secretary 
        shall establish in the Department of Commerce an Office 
        of Foreign Availability, which shall be under the 
        direction of the Under Secretary of Commerce for Export 
        Administration. The Office shall be responsible for 
        gathering and analyzing all the necessary information 
        in order for the Secretary to make determinations of 
        foreign availability under this Act. The Secretary 
        shall make available to the Committee on Foreign 
        Affairs of \26\ the House of Representatives and the 
        Committee on Banking, Housing, and Urban Affairs of the 
        Senate at the end of each 6-month period during a 
        fiscal year information on the operations of the 
        Office, and on improvements in the Government's ability 
        to assess foreign availability, during that 6-month 
        period, including information on the training of 
        personnel, the use of computers, and the use of 
        Commercial Service Officers of the United States and 
        Foreign Commercial Service. Such information shall also 
        include a description of representative determinations 
        made under this Act during that 6-month period that 
        foreign availability did or did not exist (as the case 
        may be), together with an explanation of such 
        determinations.
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    \26\ Sec. 1(a)(5) of Public Law 104-14 (109 Stat. 186) provided 
that references to the Committee on Foreign Affairs of the House of 
Representatives shall be treated as referring to the Committee on 
International Relations of the House of Representatives.
---------------------------------------------------------------------------
          (7) Sharing of information.--Each department or 
        agency of the United States, including any intelligence 
        agency, and all contractors with any such department or 
        agency, shall, upon the request of the Secretary and 
        consistent with the protection of intelligence sources 
        and methods, furnish information to the Office of 
        Foreign Availability concerning foreign availability of 
        goods and technology subject to export controls under 
        this Act. Each such department or agency shall allow 
        the Office of Foreign Availability access to any 
        information from a laboratory or other facility within 
        such department or agency.
          (8) Removal of controls on less sophisticated goods 
        or technology.--In any case in which Secretary may not, 
        pursuant to paragraph (1), (2), (3), or (4) of this 
        subsection or paragraph (6) of subsection (h) of this 
        section, require a validated license for the export of 
        goods or technology, then the Secretary may not require 
        a validated license for the export of any similar goods 
        or technology whose function, technological approach, 
        performance thresholds, and other attributes that form 
        the basis for export controls under this section do not 
        exceed the technical parameters of the goods or 
        technology from which the validated license requirement 
        is removed under the applicable paragraph.
          (9) Notice of all foreign availability assessments.--
        Whenever the Secretary undertakes a foreign 
        availability assessment under this subsection or 
        subsection (h)(6), the Secretary shall publish notice 
        of such assessment in the Federal Register.
          (10) Availability defined.--For purposes of this 
        subsection and subsections (f) and (h), the term 
        ``available in fact to controlled countries'' includes 
        production or availability of any goods or technology 
        in any country--
                  (A) from which the goods or technology is not 
                restricted for export to any controlled 
                country; or
                  (B) in which such export restrictions are 
                determined by the Secretary to be ineffective.
        For purposes of subparagraph (B), the mere inclusion of 
        goods or technology on a list of goods or technology 
        subject to bilateral or multilateral national security 
        export controls shall not alone constitute credible 
        evidence that a country provides an effective means of 
        controlling the export of such goods or technology to 
        controlled countries.
    (g) Indexing.--(1) \27\ In order to ensure that 
requirements for validated licenses and other licenses 
authorizing multiple exports are periodically removed as goods 
or technology subject to such requirements becomes obsolete 
with respect to the national security of the United States, 
regulations issued by the Secretary may, where appropriate, 
provide for annual increases in the performance levels of goods 
or technology subject to any such licensing requirement. The 
regulations issued by the Secretary shall establish as one 
criterion for the removal of goods or technology from such 
license requirements the anticipated needs of the military of 
controlled countries. Any such goods or technology which no 
longer meets the performance levels established by the 
regulations shall be removed from the list established pursuant 
to subsection (c) of this section unless, under such exceptions 
and under such procedures as the Secretary shall prescribe, any 
other department or agency of the United States objects to such 
removal and the Secretary determines, on the basis of such 
objection, that the goods or technology shall not be removed 
from the list. The Secretary shall also consider, where 
appropriate, removing site visitation requirements for goods 
and technology which are removed from the list unless 
objections described in this subsection are raised.
---------------------------------------------------------------------------
    \27\ Sec. 5(g) was amended by sec. 2419(1) of Public Law 100-418 
(102 Stat. 1357) which inserted ``(1)'' before the first sentence and 
added a new para. (2).
---------------------------------------------------------------------------
  (2) \27\ (A) In carrying out this subsection, the Secretary 
shall conduct annual reviews of the performance levels of goods 
or technology--
          (i) which are eligible for export under a 
        distribution license,
          (ii) below which exports to the People's Republic of 
        China require only notification of the governments 
        participating in the group known as the Coordinating 
        Committee, and
          (iii) below which no authority or permission to 
        export may be required under subsection (b)(2) or 
        (b)(3) of this section.
The Secretary shall make appropriate adjustments to such 
performance levels based on these reviews.
  (B) In any case in which the Secretary receives a request 
which--
          (i) is to revise the qualification requirements or 
        minimum thresholds of any goods eligible for export 
        under a distribution license, and
          (ii) is made by an exporter of such goods, 
        representatives of an industry which produces such 
        goods, or a technical advisory committee established 
        under subsection (h) of this section,
the Secretary, after consulting with other appropriate 
Government agencies and technical advisory committees 
established under subsection (h) of this section, shall 
determine whether to make such revision, or some other 
appropriate revision, in such qualification requirements or 
minimum thresholds. In making this determination, the Secretary 
shall take into account the availability of the goods from 
sources outside the United States. The Secretary shall make a 
determination on a request made under this subparagraph within 
90 days after the date on which the request is filed. If the 
Secretary's determination pursuant to such a request is to make 
a revision, such revision shall be implemented within 120 days 
after the date on which the request is filed and shall be 
published in the Federal Register.
    (h) Technical Advisory Committees.--(1) Upon written 
request by representatives of a substantial segment of any 
industry which produces any goods or technology subject to 
export controls under this section or being considered for such 
controls because of their significance to the national security 
of the United States, the Secretary shall appoint a technical 
advisory committee for any such goods or technology which the 
Secretary determines are difficult to evaluate because of 
questions concerning technical matters, worldwide availability, 
and actual utilization of production and technology, or 
licensing procedures. Each such committee shall consist of 
representatives of United States industry and Government, 
including the Departments of Commerce, Defense, and State, the 
intelligence community, and, in the discretion of the 
Secretary, other Government departments and agencies. No person 
serving on any such committee who is a representative of 
industry shall serve on such committee for more than four 
consecutive years.
    (2) Technical advisory committees established under 
paragraph (1) shall advise and assist the Secretary, the 
Secretary of Defense, and any other department, agency, or 
official of the Government of the United States to which the 
President delegates authority under this Act, with respect to 
actions designed to carry out the policy set forth in section 
3(2)(A) of this Act. Such committees, where they have expertise 
in such matters, shall be consulted with respect to questions 
involving (A) technical matters, (B) worldwide availability and 
actual utilization of production technology, (C) licensing 
procedures which affect the level of export controls applicable 
to any goods or technology, (D) \28\ revisions of the control 
list (as provided in subsection (c)(4)), including proposed 
revisions of multilateral controls in which the United States 
participates, (E) \28\ the issuance of regulations, and (F) 
\28\ any other questions relating to actions designed to carry 
out the policy set forth in section 3(2)(A) of this Act. 
Nothing in this subsection shall prevent the Secretary or the 
Secretary of Defense from consulting, at any time, with any 
person representing industry or the general public, regardless 
of whether such person is a member of a technical advisory 
committee. Members of the public shall be given a reasonable 
opportunity, pursuant to regulations prescribed by the 
Secretary, to present evidence to such committees.
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    \28\ Sec. 2420(a) of Public Law 100-418 (102 Stat. 1357) amended 
para. (5)(h)(2) by redesignating clause (E) as clause (F); and by 
striking clause (D) and inserting new clauses (D) and (E). Previously, 
clause (D) read: ``(D) exports subject to multilateral controls in 
which the United States participates, including proposed revisions of 
any such multilateral controls, and''.
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    (3) Upon request of any member of any such committee, the 
Secretary may, if the Secretary determines it appropriate, 
reimburse such member for travel, subsistence, and other 
necessary expenses incurred by such member in connection with 
the duties of such member.
    (4) Each such committee shall elect a chairman, and shall 
meet at least every three months at the call of the chairman, 
unless the chairman determines, in consultation with the other 
members of the committee, that such a meeting is not necessary 
to achieve the purposes of this subsection. Each such committee 
shall be terminated after a period of 2 years, unless extended 
by the Secretary for additional periods of 2 years. The 
Secretary shall consult each such committee with respect to 
such termination or extension of that committee.
    (5) To facilitate the work of the technical advisory 
committees, the Secretary, in conjunction with other 
departments and agencies participating in the administration of 
this Act, shall disclose to each such committee adequate 
information, consistent with national security, pertaining to 
the reasons for the export controls which are in effect or 
contemplated for the goods or technology with respect to which 
that committee furnishes advice.
    (6) Whenever a technical advisory committee certifies to 
the Secretary that goods or technology with respect to which 
such committee was appointed have become available in fact, to 
controlled countries, from sources outside the United States, 
including countries which participate with the United States in 
multilateral export controls, in sufficient quantity and of 
comparable quality so that requiring a validated license for 
the export of such goods or technology would be ineffective in 
achieving the purpose set forth in subsection (a) of this 
section, the technical advisory committee shall submit that 
certification to the Congress at the same time the 
certification is made to the Secretary, together with the 
documentation for the certification. The Secretary shall 
investigate the foreign availability so certified and, not 
later than 90 days after the certification is made, shall 
submit a report to the technical advisory committee and the 
Congress stating that--
          (A) the Secretary has removed the requirement of a 
        validated license for the export of the goods or 
        technology, on account of the foreign availability,
          (B) the Secretary has recommended to the President 
        that negotiations be conducted to eliminate the foreign 
        availability, or
          (C) the Secretary has determined on the basis of the 
        investigation that the foreign availability does not 
        exist.
To the extent necessary, the report may be submitted on a 
classified basis. In any case in which the Secretary has 
recommended to the President that negotiations be conducted to 
eliminate the foreign availability, the President shall 
actively pursue such negotiations with the governments of the 
appropriate foreign countries. If, within 6 months after the 
Secretary submits such report to the Congress, the foreign 
availability has not been eliminated, the Secretary may not, 
after the end of that 6-month period, require a validated 
license for the export of the goods or technology involved. The 
President may extend the 6-month period described in the 
preceding sentence for an additional period of 12 months if the 
President certifies to the Congress that the negotiations 
involved are progressing and that the absence of the export 
control involved would prove detrimental to the national 
security of the United States. After an agreement is reached 
with a country pursuant to negotiations under this paragraph to 
eliminate foreign availability of goods or technology, the 
Secretary may not require a validated license for the export of 
such goods or technology to that country.\29\
---------------------------------------------------------------------------
    \29\ The words to this point beginning with ``After an agreement'' 
were added by sec. 2418(b) of Public Law 100-418 (102 Stat. 1357).
---------------------------------------------------------------------------
    (i) Multilateral Export Controls.--Recognizing the 
ineffectiveness of unilateral controls and the importance of 
uniform enforcement measures to the effectiveness of 
multilateral controls, the President \30\ shall enter into 
negotiations with the governments participating in the group 
known as the Coordinating Committee (hereinafter in this 
subsection referred to as the ``Committee'') with a view toward 
accomplishing the following objectives:
---------------------------------------------------------------------------
    \30\ The words to this point beginning with ``Recognizing the 
ineffectiveness of'' were inserted in lieu of ``The President'' by sec. 
2421(a) of Public Law 100-418 (102 Stat. 1358).
---------------------------------------------------------------------------
          (1) \31\ Enhanced public understanding of the 
        Committee's purpose and procedures, including 
        publication of the list of items controlled for export 
        by agreement of the Committee, together with all notes, 
        understandings, and other aspects of such agreement of 
        the Committee, and all changes thereto.
---------------------------------------------------------------------------
    \31\ Sec. 5(i) was amended and restated by sec. 2446 of Public Law 
100-418 (102 Stat. 1369).
---------------------------------------------------------------------------
          (2) Periodic meetings of high-level representatives 
        of participating governments for the purpose of 
        coordinating export control policies and issuing policy 
        guidance to the Committee.
          (3) Strengthened legal basis for each government's 
        export control system, including, as appropriate, 
        increased penalties and statutes of limitations.
          (4) Harmonization of export control documentation by 
        the participating governments to verify the movement of 
        goods and technology subject to controls by the 
        Committee.
          (5) Improved procedures for coordination and exchange 
        of information concerning violations of the agreement 
        of the Committee.
          (6) Procedures for effective implementation of the 
        agreement through uniform and consistent 
        interpretations of export controls agreed to by the 
        governments participating in the Committee.
          (7) Coordination of national licensing and 
        enforcement efforts by governments participating in the 
        Committee, including sufficient technical expertise to 
        assess the licensing status of exports and to ensure 
        end-use verification.
          (8) More effective procedures for enforcing export 
        controls, including adequate training, resources, and 
        authority for enforcement officers to investigate and 
        prevent illegal exports.
          (9) Agreement to provide adequate resources to 
        enhance the functioning of individual national export 
        control systems and of the Committee.
          (10) Improved enforcement and compliance with the 
        agreement through elimination of unnecessary export 
        controls and maintenance of an effective control list.
          (11) Agreement to enhance cooperation among members 
        of the Committee in obtaining the agreement of 
        governments outside the Committee to restrict the 
        export of goods and technology on the International 
        Control List, to establish an ongoing mechanism in the 
        Committee to coordinate planning and implementation of 
        export control measures related to such agreements, and 
        to remove items from the International Control List if 
        such items continue to be available to controlled 
        countries or if the control of the items no longer 
        serves the common strategic objectives of the members 
        of the Committee.
For purposes of reviews of the International Control List, the 
President may include as advisors to the United States 
delegation to the Committee representatives of industry who are 
knowledgeable with respect to the items being reviewed.\32\
---------------------------------------------------------------------------
    \32\ This sentence was added by sec. 2421(b) of Public Law 100-418 
(102 Stat. 1358).
---------------------------------------------------------------------------
    (j) Commercial Agreements With Certain Countries.--(1) Any 
United States firm, enterprise, or other nongovernmental entity 
which enters into an agreement with any agency of the 
government of a controlled country, that calls for the 
encouragement of technical cooperation and that is intended to 
result in the export from the United States to the other party 
of unpublished technical data of United States origin, shall 
report to the Secretary the agreement with such agency in 
sufficient detail.
    (2) The provisions of paragraph (1) shall not apply to 
colleges, universities, or other educational institutions.
    (k) Negotiations With Other Countries.--The Secretary of 
State in consultation with the Secretary of Defense, the 
Secretary of Commerce, and the heads of other appropriate 
departments and agencies, shall be responsible for conducting 
negotiations with other countries, including those countries 
not participating in the group known as the Coordinating 
Committee, regarding their cooperation in restricting the 
export of goods and technology in order to carry out the policy 
set forth in section 3(9) of this Act, as authorized by 
subsection (a) of this section, including negotiations with 
respect to which goods and technology should be subject to 
multilaterally agreed export restrictions and what conditions 
should apply for exceptions from those restrictions. In cases 
where such negotiations produce agreements on export 
restrictions comparable in practice to those maintained by the 
Coordinating Committee, the Secretary shall treat exports, 
whether by individual or multiple licenses, to countries party 
to such agreements in the same manner as exports to members of 
the Coordinating Committee are treated, including the same 
manner as exports are treated under subsection (b)(2) of this 
section and section 10(o) of this Act.
    (l) Diversion of Controlled Goods or Technology.--(1) 
Whenever there is reliable evidence, as determined by the 
Secretary, that goods or technology which were exported subject 
to national security controls under this section to a 
controlled country have been diverted to an unauthorized use or 
consignee in violation of the conditions of an export license, 
the Secretary for as long as that diversion continues--
          (A) shall deny all further exports, to or by the 
        party or parties responsible for that diversion or who 
        conspired in that diversion, of any goods or technology 
        subject to national security controls under this 
        section, regardless of whether such goods or technology 
        are available from sources outside the United States; 
        and
          (B) may take such additional actions under this Act 
        with respect to the party or parties referred to in 
        subparagraph (A) as the Secretary determines are 
        appropriate in the circumstances to deter the further 
        unauthorized use of the previously exported goods or 
        technology.
    (2) As used in this subsection, the term ``unauthorized 
use'' means the use of United States goods or technology in the 
design, production, or maintenance of any item on the United 
States Munitions List, or the military use of any item on the 
International Control List of the Coordinating Committee.
  (m) \33\ Goods Containing Controlled Parts and Components.--
Export controls may not be imposed under this section, or under 
any other provision of law, on a good solely on the basis that 
the good contains parts or components subject to export 
controls under this section if such parts or components--
---------------------------------------------------------------------------
    \33\ Sec. 5(m) was amended and restated by sec. 2422 of Public Law 
100-418 (102 Stat. 1358).
---------------------------------------------------------------------------
          (1) are essential to the functioning of the good,
          (2) are customarily included in sales of the good in 
        countries other than controlled countries, and
          (3) comprise 25 percent or less of the total value of 
        the good,
unless the good itself, if exported, would by virtue of the 
functional characteristics of the good as a whole make a 
significant contribution to the military potential of a 
controlled country which would prove detrimental to the 
national security of the United States.
    (n) Security Measures.--The Secretary and the Commissioner 
of Customs, consistent with their authorities under section 
12(a) of this Act, and in consultation with the Director of the 
Federal Bureau of Investigation, shall provide advice and 
technical assistance to persons engaged in the manufacture or 
handling of goods or technology subject to export controls 
under this section to develop security systems to prevent 
violations or evasions of those export controls.
    (o) Recordkeeping.--The Secretary, the Secretary of 
Defense, and any other department or agency consulted in 
connection with a license application under this Act or a 
revision of a list of goods or technology subject to export 
controls under this Act, shall make and keep records of their 
respective advice, recommendations, or decisions in connection 
with any such license application or revision, including the 
factual and analytical basis of the advice, recommendations, or 
decisions.
    (p) National Security Control Office.--To assist in 
carrying out the policy and other authorities and 
responsibilities of the Secretary of Defense under this 
section, there is established in the Department of Defense a 
National Security Control Office under the direction of the 
Under Secretary of Defense Policy. The Secretary of Defense may 
delegate to that office such of those authorities and 
responsibilities, together with such ancillary functions, as 
the Secretary of Defense considers appropriate.
    (q) Exclusion for Agricultural Commodities.--This section 
does not authorize export controls on agricultural commodities, 
including fats, oils, and animal hides and skins.

                        FOREIGN POLICY CONTROLS

    Sec. 6.\34\ (a) Authority.--(1) In order to carry out the 
policy set forth in paragraph (2)(B), (7), (8), or (13) of 
section 3 of this Act, the President may prohibit or curtail 
the exportation of any goods, technology, or other information 
subject to the jurisdiction of the United States or exported by 
any person subject to the jurisdiction of the United States, to 
the extent necessary to further significantly the foreign 
policy of the United States or to fulfill its declared 
international obligations. The authority granted by this 
subsection shall be exercised by the Secretary, in consultation 
with the Secretary of State, the Secretary of Defense, the 
Secretary of Agriculture, the Secretary of the Treasury, the 
United States Trade Representative, and such other departments 
and agencies as the Secretary considers appropriate, and shall 
be implemented by means of export licenses issued by the 
Secretary.
---------------------------------------------------------------------------
    \34\ 50 U.S.C. app. 2405.
---------------------------------------------------------------------------
    (2) Any export control imposed under this section shall 
apply to any transaction or activity undertaken with the intent 
to evade that export control, even if that export control would 
not otherwise apply to that transaction or activity.
    (3) Export controls maintained for foreign policy purposes 
shall expire on December 31, 1979, or one year after 
imposition, whichever is later, unless extended by the 
President in accordance with subsections (b) and (f). Any such 
extension and any subsequent extension shall not be for a 
period of more than a year.
    (4) Whenever the Secretary denies any export license under 
this subsection, the Secretary shall specify in the notice to 
the applicant of the denial of such license that the license 
was denied under the authority contained in this subsection, 
and the reasons for such denial, with reference to the criteria 
set forth in subsection (b) of this section. The Secretary 
shall also include in such notice what, if any, modifications 
in or restrictions on the goods or technology for which the 
license was sought would allow such export to be compatible 
with controls implemented under this section, or the Secretary 
shall indicate in such notice which officers and employees of 
the Department of Commerce who are familiar with the 
application will be made reasonably available to the applicant 
for consultation with regard to such modifications or 
restrictions, if appropriate.
    (5) In accordance with the provisions of section 10 of this 
Act, the Secretary of State shall have the right to review any 
export license application under this section which the 
Secretary of State requests to review.
  (6) \35\ Before imposing, expanding, or extending export 
controls under this section on exports to a country which can 
use goods, technology, or information available from foreign 
sources and so incur little or no economic costs as a result of 
the controls, the President should, through diplomatic means, 
employ alternatives to export controls which offer 
opportunities of distinguishing the United States from, and 
expressing the displeasure of the United States with, the 
specific actions of that country in response to which the 
controls are proposed. Such alternatives include private 
discussions with foreign leaders, public statements in 
situations where private diplomacy is unavailable or not 
effective, withdrawal of ambassadors, and reduction of the size 
of the diplomatic staff that the country involved is permitted 
to have in the United States.
---------------------------------------------------------------------------
    \35\ Para. (6) was added by sec. 2423(a) of Public Law 100-418 (102 
Stat. 1358).
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    (b) Criteria.--(1) Subject to paragraph (2) of this 
subsection, the President may impose, extend, or expand export 
controls under this section only if the President determines 
that--
          (A) such controls are likely to achieve the intended 
        foreign policy purpose, in light of other factors, 
        including the availability from other countries of the 
        goods or technology proposed for such controls, and 
        that foreign policy purpose cannot be achieved through 
        negotiations or other alternative means;
          (B) the proposed controls are compatible with the 
        foreign policy objectives of the United States and with 
        overall United States policy toward the country to 
        which exports are to be subject to the proposed 
        controls;
          (C) the reaction of other countries to the 
        imposition, extension, or expansion of such export 
        controls by the United States is not likely to render 
        the controls ineffective in achieving the intended 
        foreign policy purpose or to be counterproductive to 
        United States foreign policy interests;
          (D) the effect of the proposed controls on the export 
        performance of the United States, the competitive 
        position of the United States in the international 
        economy, the international reputation of the United 
        States as a supplier of goods and technology, or on the 
        economic well-being of individual United States 
        companies and their employees and communities does not 
        exceed the benefit to United States foreign policy 
        objectives; and
          (E) the United States has the ability to enforce the 
        proposed controls effectively.
    (2) With respect to those export controls in effect under 
this section on the date of the enactment of the Export 
Administration Amendments Act of 1985, the President, in 
determining whether to extend those controls, as required by 
subsection (a)(3) of this section, shall consider the criteria 
set forth in paragraph (1) of this subsection and shall 
consider the foreign policy consequences of modifying the 
export controls.
    (c) Consultation With Industry.--The Secretary in every 
possible instance shall consult with and seek advice from 
affected United States industries and appropriate advisory 
committees established under section 135 of the Trade Act of 
1974 before imposing any export control under this section. 
Such consultation and advice shall be with respect to the 
criteria set forth in subsection (b)(1) and such other matters 
as the Secretary considers appropriate.
    (d) Consultation With Other Countries.--When imposing 
export controls under this section, the President shall, at the 
earliest appropriate opportunity, consult with the countries 
with which the United States maintains export controls 
cooperatively, and with such other countries as the President 
considers appropriate, with respect to the criteria set forth 
in subsection (b)(1) and such other matters as the President 
considers appropriate.
    (e) Alternative Means.--Before resorting to the imposition 
of export controls under this section, the President shall 
determine that reasonable efforts have been made to achieve the 
purposes of the controls through negotiations or other 
alternative means.
    (f) Consultation With the Congress.--(1) The president may 
impose or expand export controls under this section, or extend 
such controls as required by subsection (a)(3) of this section, 
only after consultation with the Congress, including the 
Committee on Foreign Affairs \36\ of the House of 
Representatives and the Committee on Banking, Housing, and 
Urban Affairs of the Senate.
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    \36\ Sec. 1(a)(5) of Public Law 104-14 (109 Stat. 186) provided 
that references to the Committee on Foreign Affairs of the House of 
Representatives shall be treated as referring to the Committee on 
International Relations of the House of Representatives.
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    (2) The President may not impose, expand, or extend export 
controls under this section until the President has submitted 
to the Congress a report--
          (A) specifying the purpose of the controls;
          (B) specifying the determinations of the President 
        (or, in the case of those export controls described in 
        subsection (b)(2), the considerations of the President) 
        with respect to each of the criteria set forth in 
        subsection (b)(1), the bases for such determinations 
        (or considerations), and any possible adverse foreign 
        policy consequences of the controls;
          (C) describing the nature, the subjects, and the 
        results of, or the plans for, the consultation with 
        industry pursuant to subsection (c) and with other 
        countries pursuant to subsection (d);
          (D) specifying the nature and results of any 
        alternative means attempted under subsection (e), or 
        the reasons for imposing, expanding, or extending the 
        controls without attempting any such alternative means; 
        and
          (E) describing the availability from other countries 
        of goods or technology comparable to the goods or 
        technology subject to the proposed export controls, and 
        describing the nature and results of the efforts made 
        pursuant to subsection (h) to secure the cooperation of 
        foreign governments in controlling the foreign 
        availability of such comparable goods or technology.
Such report shall also indicate how such controls will further 
significantly the foreign policy of the United States or will 
further its declared international obligations.
    (3) To the extent necessary to further the effectiveness of 
the export controls portions of a report required by paragraph 
(2) may be submitted to the Congress on a classified basis, and 
shall be subject to the provisions of section 12(c) of this 
Act.\37\
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    \37\ Sec. 128(c) of Public Law 104-316 (110 Stat. 3841) struck out 
a sentence at this point that read as follows:``Each such report shall, 
at the same time it is submitted to the Congress, also be submitted to 
the General Accounting Office for the purpose of assessing the report's 
full compliance with the intent of this subsection.''.
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    (4) In the case of export controls under this section which 
prohibit or curtail the export of any agricultural commodity, a 
report submitted pursuant to paragraph (2) shall be deemed to 
be the report required by section 7(g)(3)(A) of this Act.
    (5) In addition to any written report required, under this 
section, the Secretary, not less frequently than annually, 
shall present in oral testimony before the Committee on 
Banking, Housing, and Urban Affairs of the Senate and the 
Committee on Foreign Affairs \36\ of the House of 
Representatives a report on policies and actions taken by the 
Government to carry out the provisions of this section.
    (g) Exclusion for Medicine and Medical Supplies and for 
Certain Food Exports.--This section does not authorize export 
controls on medicine or medical supplies. This section also 
does not authorize export controls on donations of goods 
(including, but not limited to, food, educational materials, 
seeds and hand tools, medicines and medical supplies, water 
resources equipment, clothing and shelter materials, and basic 
household supplies) that are intended to meet basic human 
needs. Before export controls on food are imposed, expanded, or 
extended under this section, the Secretary shall notify the 
Secretary of State in the case of export controls applicable 
with respect to any developed country and shall notify the 
Administrator of the Agency for International Development \38\ 
in the case of export controls applicable with respect to any 
developing country. The Secretary of State with respect to 
developed countries, and the Administrator \38\ with respect to 
developing countries, shall determine whether the proposed 
export control on food would cause measurable malnutrition and 
shall inform the Secretary of that determination. If the 
Secretary is informed that the proposed export controls on food 
would cause measurable malnutrition, then those controls may 
not be imposed, expanded, or extended, as the case may be, 
unless the President determines that those controls are 
necessary to protect the national security interest of the 
United States, or unless the President determines that 
arrangements are insufficient to ensure that the food will 
reach those most in need. Each such determination by the 
Secretary of State or the Director of the United States 
International Development Cooperation Agency, and any such 
determination by the President, shall be reported to the 
Congress, together with a statement of the reasons for that 
determination. It is the intent of Congress that the President 
not impose export controls under this section on any goods or 
technology if he determines that the principal effect of the 
export of such goods or technology would be to help meet basic 
human needs. The subsection shall not be construed to prohibit 
the President from imposing restrictions on the export of 
medicine or medical supplies or of food under the International 
Emergency Economic Powers Act. This subsection shall not apply 
to any export control on medicine, medical supplies, or food, 
except for donations, which is in effect on the date of the 
enactment of the Export Administration Amendments Act of 1985. 
Notwithstanding the preceding provisions of this subsection, 
the President may impose export controls under this section on 
medicine, medical supplies, food, and donations of goods in 
order to carry out the policy set forth in paragraph (13) of 
section 3 of this Act.
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    \38\ Public Law 105-277 struck out ``Director of the United States 
International Development Cooperation Agency'' and inserted in lieu 
thereof ``Administrator of the Agency for International Development''.
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    (h) Foreign Availability.--(1) In applying export controls 
under this section, the President shall take all feasible steps 
to initiate and conclude negotiations with appropriate foreign 
governments for the purpose of securing the cooperation of such 
foreign governments in controlling the export to countries and 
consignees to which the United States export controls apply of 
any goods or technology comparable to goods or technology 
controlled under this section.
    (2) Before extending any export control pursuant to 
subsection (a)(3) of this section, the President shall evaluate 
the results of his actions under paragraph (1) of this 
subsection and shall include the results of that evaluation in 
his report to the Congress pursuant to subsection (f) of this 
section.
    (3) If, within 6 months after the date on which export 
controls under this section are imposed or expanded, or within 
6 months after the date of the enactment of the Export 
Administration Amendments Act of 1985 in the case of export 
controls in effect on such date of enactment, the President's 
efforts under paragraph (1) are not successful in securing the 
cooperation of foreign governments described in paragraph (1) 
with respect to those export controls, the Secretary shall 
thereafter take into account the foreign availability of the 
goods or technology subject to the export controls. If the 
Secretary affirmatively determines that a good or technology 
subject to the export controls is available in sufficient 
quantity and comparable quality from sources outside the United 
States to countries subject to the export controls so that 
denial of an export license would be ineffective in achieving 
purposes of the controls, then the Secretary shall, during the 
period of such foreign availability, approve any license 
application which is required for the export of the good or 
technology and which meets all requirements for such a license. 
The Secretary shall remove the good or technology from the list 
established pursuant to subsection (1) of this section if the 
Secretary determines that such action is appropriate.
    (4) In making a determination of foreign availability under 
paragraph (3) of this subsection, the Secretary shall follow 
the procedures set forth in section 5(f)(3) of this Act.
    (i) International Obligations.--The provisions of 
subsections (b), (c), (d), (e), (g), and (h) shall not apply in 
any case in which the President exercises the authority 
contained in this section to impose export controls, or to 
approve or deny export license applications, in order to 
fulfill obligations of the United States pursuant to treaties 
to which the United States is a party or pursuant to other 
international agreements.
    (j) \39\ Countries Supporting International Terrorism.--(1) 
A validated license shall be required for the export of goods 
or technology to a country if the Secretary of State has made 
the following determinations:
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    \39\ In Department of State Public Notice 1878 of August 12, 1993, 
(58 F.R. 52523), the Secretary of State stated: ``In accordance with 
section 6(j) of the Export Administration Act (50 U.S.C. App. 2405(j)), 
I hereby determine that Sudan is a country which has repeatedly 
provided support for acts of international terrorism. The list of 6(j) 
countries as of this time therefore includes Cuba, Iran, Iraq, Libya, 
North Korea, Sudan, and Syria.''.
    Sec. 4 of Public Law 101-222 (103 Stat. 1897) amended and restated 
sec. 6(j).
    Sec. 527 of the Foreign Operations, Export Financing, and Related 
Programs Appropriations Act, 2003 (Division E of Public Law 107-8; 117 
Stat. 190) provided the following:
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      ``PROHIBITION ON BILATERAL ASSISTANCE TO TERRORIST COUNTRIES
---------------------------------------------------------------------------
    ``Sec. 527. (a) Funds appropriated for bilateral assistance under 
any heading of this Act and funds appropriated under any such heading 
in a provision of law enacted prior to enactment of this Act, shall not 
be made available to any country which the President determines--
---------------------------------------------------------------------------

          ``(1) grants sanctuary from prosecution to any individual or 
        group which has committed an act of international terrorism, or
          ``(2) otherwise supports international terrorism.
---------------------------------------------------------------------------
    ``(b) The President may waive the application of subsection (a) to 
a country if the President determines that national security or 
humanitarian reasons justify such waiver. The President shall publish 
each waiver in the Federal Register and, at least 15 days before the 
waiver takes effect, shall notify the Committees on Appropriations of 
the waiver (including the justification for the waiver) in accordance 
with the regular notification procedures of the Committees on 
Appropriations.
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          * * * * * * *

 ``PROHIBITION ON ASSISTANCE TO FOREIGN GOVERNMENTS THAT EXPORT LETHAL 
   MILITARY EQUIPMENT TO COUNTRIES SUPPORTING INTERNATIONAL TERRORISM
---------------------------------------------------------------------------
    ``Sec. 543. (a) None of the funds appropriated or otherwise made 
available by this Act may be available to any foreign government which 
provides lethal military equipment to a country the government of which 
the Secretary of State has determined is a terrorist government for 
purposes of section 6(j) of the Export Administration Act. The 
prohibition under this section with respect to a foreign government 
shall terminate 12 months after that government ceases to provide such 
military equipment. This section applies with respect to lethal 
military equipment provided under a contract entered into after October 
1, 1997.
    ``(b) Assistance restricted by subsection (a) or any other similar 
provision of law, may be furnished if the President determines that 
furnishing such assistance is important to the national interests of 
the United States.
    ``(c) Whenever the waiver authority of subsection (b) is exercised, 
the President shall submit to the appropriate congressional committees 
a report with respect to the furnishing of such assistance. Any such 
report shall include a detailed explanation of the assistance to be 
provided, including the estimated dollar amount of such assistance, and 
an explanation of how the assistance furthers United States national 
interests.''.
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          (A) The government of such country has repeatedly 
        provided support for acts of international terrorism.
          (B) The export of such goods or technology could make 
        a significant contribution to the military potential of 
        such country, including its military logistics 
        capability, or could enhance the ability of such 
        country to support acts of international terrorism.
    (2) The Secretary and the Secretary of State shall notify 
the Committee on Foreign Affairs \36\ of the House of 
Representatives and the Committee on Banking, Housing, and 
Urban Affairs and the Committee on Foreign Relations of the 
Senate at least 30 days before issuing any validated license 
required by paragraph (1).
    (3) Each determination of the Secretary of State under 
paragraph (1)(A), including each determination in effect on the 
date of the enactment of the Antiterrorism and Arms Export 
Amendments Act of 1989, shall be published in the Federal 
Register.
    (4) A determination made by the Secretary of State under 
paragraph (1)(A) may not be rescinded unless the President 
submits to the Speaker of the House of Representatives and the 
chairman of the Committee on Banking, Housing, and Urban 
Affairs and the chairman of the Committee on Foreign Relations 
of the Senate--
          (A) before the proposed rescission would take effect, 
        a report certifying that--
                  (i) there has been a fundamental change in 
                the leadership and policies of the government 
                of the country concerned;
                  (ii) that government is not supporting acts 
                of international terrorism; and
                  (iii) that government has provided assurances 
                that it will not support acts of international 
                terrorism in the future; or
          (B) at least 45 days before the proposed rescission 
        would take effect, a report justifying the rescission 
        and certifying that--
                  (i) the government concerned has not provided 
                any support for international terrorism during 
                the preceding 6-month period; and
                  (ii) the government concerned has provided 
                assurances that it will not support acts of 
                international terrorism in the future.
    (5) \40\ The Secretary and the Secretary of State shall 
include in the notification required by paragraph (2)--
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    \40\ Sec. 736 of the Foreign Relations Authorization Act, Fiscal 
Years 1994 and 1995 (Public Law 103-236; 108 Stat. 506) added para. 
(5).
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                  (A) a detailed description of the goods or 
                services to be offered, including a brief 
                description of the capabilities of any article 
                for which a license to export is sought;
                  (B) the reasons why the foreign country or 
                international organization to which the export 
                or transfer is proposed to be made needs the 
                goods or services which are the subject of such 
                export or transfer and a description of the 
                manner in which such country or organization 
                intends to use such articles, services, or 
                design and construction services;
                  (C) the reasons why the proposed export or 
                transfer is in the national interest of the 
                United States;
                  (D) an analysis of the impact of the proposed 
                export or transfer on the military capabilities 
                of the foreign country or international 
                organization to which such export or transfer 
                would be made;
                  (E) an analysis of the manner in which the 
                proposed export would affect the relative 
                military strengths of countries in the region 
                to which the goods or services which are the 
                subject of such export would be delivered and 
                whether other countries in the region have 
                comparable kinds and amounts of articles, 
                services, or design and construction services; 
                and
                  (F) an analysis of the impact of the proposed 
                export or transfer on the United States 
                relations with the countries in the region to 
                which the goods or services which are the 
                subject of such export would be delivered.
    (k) \41\ Negotiations With Other Countries.--
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    \41\ Sec. 1702(a) of the National Defense Authorization Act for 
Fiscal Year 1991 (Public Law 101-510; 104 Stat. 1739) redesignated 
subsecs. (k) through (p) as subsecs. (m) through (r), and added 
subsecs. (k) and (l).
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          (1) Countries participating in certain agreements.--
        The Secretary of State, in consultation with the 
        Secretary, the Secretary of Defense, and the heads of 
        other appropriate departments and agencies, shall be 
        responsible for conducting negotiations with those 
        countries participating in the groups known as the 
        Coordinating Committee, the Missile Technology Control 
        Regime, the Australia Group, and the Nuclear Suppliers' 
        Group, regarding their cooperation in restricting the 
        export of goods and technology in order to carry out--
                  (A) the policy set forth in section 3(2)(B) 
                of this Act, and
                  (B) United States policy opposing the 
                proliferation of chemical, biological, nuclear, 
                and other weapons and their delivery systems, 
                and effectively restricting the export of dual 
                use components of such weapons and their 
                delivery systems, in accordance with this 
                subsection and subsections (a) and (l).
        Such negotiations shall cover, among other issues, 
        which goods and technology should be subject to 
        multilaterally agreement export restrictions, and the 
        implementation of the restrictions consistent with the 
        principles identified in section 5(b)(2)(C) of this 
        Act.
          (2) Other countries.--The Secretary of State, in 
        consultation with the Secretary, the Secretary of 
        Defense, and the heads of other appropriate departments 
        and agencies, shall be responsible for conducting 
        negotiations with countries and groups of countries not 
        referred to in paragraph (1) regarding their 
        cooperation in restricting the export of goods and 
        technology consistent with purposes set forth in 
        paragraph (1). In cases where such negotiations produce 
        agreement on export restrictions that the Secretary, in 
        consultation with the Secretary of State and the 
        Secretary of Defense, determines to be consistent with 
        the principles identified in section 5(b)(2)(C) of this 
        Act, the Secretary may treat exports, whether by 
        individual or multiple licenses, to countries party to 
        such agreements in the same manner as exports are 
        treated to countries that are MTCR adherents.
          (3) Review of determinations.--The Secretary shall 
        annually review any determination under paragraph (2) 
        with respect to a country. For each country which the 
        Secretary determines is not meeting the requirements of 
        an effective export control system in accordance with 
        section 5(b)(2)(C), the Secretary shall restrict or 
        eliminate any preferential licensing treatment for 
        exports to that country provided under this subsection.
    (l) \40\ Missile Technology.--
          (1) Determination of controlled items.--The 
        Secretary, in consultation with the Secretary of State, 
        the Secretary of Defense, and the heads of other 
        appropriate departments and agencies--
                  (A) shall establish and maintain, as part of 
                the control list established under this 
                section, a list of all dual use goods and 
                technology on the MTCR Annex; and
                  (B) may include, as part of the control list 
                established under this section, goods and 
                technology that would provide a direct and 
                immediate impact on the development of missile 
                delivery systems and are not included in the 
                MTCR Annex but which the United States is 
                proposing to the other MTCR adherents to have 
                included in the MTCR Annex.
          (2) Requirement of individual validated licenses.--
        The Secretary shall require an individual validated 
        license for--
                  (A) any export of goods or technology on the 
                list established under paragraph (1) to any 
                country; and
                  (B) any export of goods or technology that 
                the exporter knows is destined for a project or 
                facility for the design, development, or 
                manufacture of a missile in a country that is 
                not an MTCR adherent.
          (3) Policy of denial of licenses.--(A) Licenses under 
        paragraph (2) should in general be denied if the 
        ultimate consignee of the goods or technology is a 
        facility in a country that is not an adherent to the 
        Missile Technology Control Regime and the facility is 
        designed to develop or build missiles.
          (B) Licenses under paragraph (2) shall be denied if 
        the ultimate consignee of the goods or technology is a 
        facility in a country the government of which has been 
        determined under subsection (j) to have repeatedly 
        provided support for acts of international terrorism.
          (4) Consultation with other departments.--(A) A 
        determination of the Secretary to approve an export 
        license under paragraph (2) for the export of goods or 
        technology to a country of concern regarding missile 
        proliferation may be made only after consultation with 
        the Secretary of Defense and the Secretary of State for 
        a period of 20 days. The countries of concern referred 
        to in the preceding sentence shall be maintained on a 
        classified list by the Secretary of State, in 
        consultation with the Secretary and the Secretary of 
        Defense.
          (B) Should the Secretary of Defense disagree with the 
        determination of the Secretary to approve an export 
        license to which subparagraph (A) applies, the 
        Secretary of Defense shall so notify the Secretary 
        within the 20 days provided for consultation on the 
        determination. The Secretary of Defense shall at the 
        same time submit the matter to the President for 
        resolution of the dispute. The Secretary shall also 
        submit the Secretary's recommendation to the President 
        on the license application.
          (C) The President shall approve or disapprove the 
        export license application within 20 days after 
        receiving the submission of the Secretary of Defense 
        under subparagraph (B).
          (D) Should the Secretary of Defense fail to notify 
        the Secretary within the time period prescribed in 
        subparagraph (B), the Secretary may approve the license 
        application without awaiting the notification by the 
        Secretary of Defense. Should the President fail to 
        notify the Secretary of his decision on the export 
        license application within the time period prescribed 
        in subparagraph (C), the Secretary may approve the 
        license application without awaiting the President's 
        decision on the license application.
          (E) Within 10 days after an export license is issued 
        under this subsection, the Secretary shall provide to 
        the Secretary of Defense and the Secretary of State the 
        license application and accompanying documents issued 
        to the applicant, to the extent that the relevant 
        Secretary indicates the need to receive such 
        application and documents.
          (5) Information sharing.--The Secretary shall 
        establish a procedure for information sharing with 
        appropriate officials of the intelligence community, as 
        determined by the Director of Central Intelligence, and 
        other appropriate Government agencies, that will ensure 
        effective monitoring of transfers of MTCR equipment or 
        technology and other missile technology.
    (m) \42\ Chemical and Biological Weapons.--
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    \42\ Subsecs. (m)-(r), as redesignated by sec. 1702(a) of the 
National Defense Authorization Act for Fiscal Year 1991 (Public Law 
101-510; 104 Stat. 1739), were further redesignated as subsecs. (n)-
(s), respectively, and a new subsec. (m) was added by sec. 504(b) of 
the Chemical and Biological Weapons Control and Warfare Elimination Act 
of 1991 (title V of the Foreign Relations Authorization Act, Fiscal 
Years 1992 and 1993; Public Law 102-138; 105 Stat. 724).
    Subsequently, sec. 309(a) of Public Law 102-182 (105 Stat. 1258) 
repealed title V of the Foreign Relations Authorization Act, Fiscal 
Years 1992 and 1993 (Public Law 102-138), and the amendments made by 
that title, including these subsection redesignations. However, sec. 
304(b) of Public Law 102-182 (105 Stat. 1246) made the same 
redesignations and inserted a new subsec. (m). This second new subsec. 
(m) is identical to that earlier added by Public Law 102-138.
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          (1) Establishment of list.--The Secretary, in 
        consultation with the Secretary of State, the Secretary 
        of Defense, and the heads of other appropriate 
        departments and agencies, shall establish and maintain, 
        as part of the list maintained under this section, a 
        list of goods and technology that would directly and 
        substantially assist a foreign government or group in 
        acquiring the capability to develop, produce, 
        stockpile, or deliver chemical or biological weapons, 
        the licensing of which would be effective in barring 
        acquisition or enhancement of such capability.
          (2) Requirement for validated licenses.--The 
        Secretary shall require a validated license for any 
        export of goods or technology on the list established 
        under paragraph (1) to any country of concern.
          (3) Countries of concern.--For purposes of paragraph 
        (2), the term ``country of concern'' means any country 
        other than--
                  (A) a country with whose government the 
                United States has entered into a bilateral or 
                multilateral arrangement for the control of 
                goods or technology on the list established 
                under paragraph (1); and
                  (B) such other countries as the Secretary of 
                State, in consultation with the Secretary and 
                the Secretary of Defense, shall designate 
                consistent with the purposes of the Chemical 
                and Biological Weapons Control and Warfare 
                Elimination Act of 1991.
    (n) \41\ Crime Control Instruments.--(1) Crime control and 
detection instruments and equipment shall be approved for 
export by the Secretary only pursuant to a validated export 
license. Notwithstanding any other provision of this Act--
          (A) any determination of the Secretary of what goods 
        or technology shall be included on the list established 
        pursuant to subsection (1) of this section as a result 
        of the export restrictions imposed by this subsection 
        shall be made with the concurrence of the Secretary of 
        State, and
          (B) any determination of the Secretary to approve or 
        deny an export license application to export crime 
        control or detection instruments or equipment shall be 
        made in concurrence with the recommendations of the 
        Secretary of State submitted to the Secretary with 
        respect to the application pursuant to section 10(e) of 
        this Act,
except that, if the Secretary does not agree with the Secretary 
of State with respect to any determination under subparagraph 
(A) or (B), the matter shall be referred to the President for 
resolution.
    (2) The provisions of this subsection shall not apply with 
respect to exports to countries which are members of the North 
Atlantic Treaty Organization or to Japan, Australia, or New 
Zealand, or to such other countries as the President shall 
designate consistent with the purposes of this subsection and 
section 502B of the Foreign Assistance Act of 1961.
    (o) \41\ Control List.--The Secretary shall establish and 
maintain, as part of the control list, a list of any goods or 
technology subject to export controls under this section, and 
the countries to which such controls apply. The Secretary shall 
clearly identify on the control list which goods or technology, 
and which countries or destinations, are subject to which types 
of controls under this section. Such list shall consist of 
goods and technology identified by the Secretary of State, with 
the concurrence of the Secretary. If the Secretary and the 
Secretary of State are unable to agree on the list, the matter 
shall be referred to the President. Such list shall be reviewed 
not less frequently than every three years in the case of 
controls maintained cooperatively with other countries, and 
annually in the case of all other controls, for the purpose of 
making such revisions as are necessary in order to carry out 
this section. During the course of such review, an assessment 
shall be made periodically of the availability from sources 
outside the United States, or any of its territories or 
possessions, of goods and technology comparable to those 
controlled for export from the United States under this 
section.
    (p) \41\ Effect on Existing Contracts and Licenses.--The 
President may not, under this section, prohibit or curtail the 
export or reexport of goods, technology, or other information--
          (1) in performance of a contract or agreement entered 
        into before the date on which the President reports to 
        the Congress, pursuant to subsection (f) of this 
        section, his intention to impose controls on the export 
        or reexport of such goods, technology, or other 
        information, or
          (2) under a validated license or other authorization 
        issued under this Act,
unless and until the President determines and certifies to the 
Congress that--
                  (A) a breach of the peace poses a serious and 
                direct threat to the strategic interest of the 
                United States,
                  (B) the prohibition or curtailment of such 
                contracts, agreements, licenses, or 
                authorizations will be instrumental in 
                remedying the situation posing the direct 
                threat, and
                  (C) the export controls will continue only so 
                long as the direct threat persists.
    (q) \41\ Extension of Certain Controls.--Those export 
controls imposed under this section with respect to South 
Africa which were in effect on February 28, 1982, and ceased to 
be effective on March 1, 1982, September 15, 1982, or January 
20, 1983, shall become effective on the date of the enactment 
of this subsection, and shall remain in effect until 1 year 
after such date of enactment. At the end of that 1-year period, 
any of those controls made effective by this subsection may be 
extended by the President in accordance with subsections (b) 
and (f) of this section.
    (r) \41\ Expanded Authority to Impose Controls.--(1) In any 
case in which the President determines that it is necessary to 
impose controls under this section without any limitation 
contained in subsection (c), (d), (e), (g), (h), or (m) of this 
section, the President may impose those controls only if the 
President submits that determination to the Congress, together 
with a report pursuant to subsection (f) of this section with 
respect to the proposed controls, and only if a law is enacted 
authorizing the imposition of those controls. If a joint 
resolution authorizing the imposition of those controls is 
introduced in either House of Congress within 30 days after the 
Congress receives the determination and report of the 
President, that joint resolution shall be referred to the 
Committee on Banking, Housing, and Urban Affairs of the Senate 
and to the appropriate committee of the House of 
Representatives. If either such committee has not reported the 
joint resolution at the end of 30 days after its referral, the 
committee shall be discharged from further consideration of the 
joint resolution.
    (2) For purposes of this subsection, the term ``joint 
resolution'' means a joint resolution the matter after the 
resolving clause of which is as follows: ``That the Congress, 
having received on a determination of the President under 
section 6(o)(1) of the Export Administration Act of 1979 with 
respect to the export controls which are set forth in the 
report submitted to the Congress with that determination, 
authorizes the President to impose those export controls.'', 
with the date of the receipt of the determination and report 
inserted in the blank.
    (3) In the computation of the periods of 30 days referred 
to in paragraph (1), there shall be excluded the days on which 
either House of Congress is not in session because of an 
adjournment of more than 3 days to a day certain or because of 
an adjournment of the Congress sine die.
  (s) \43\ Spare Parts.--(1) At the same time as the President 
imposes or expands export controls under this section, the 
President shall determine whether such export controls will 
apply to replacement parts for parts in goods subject to such 
export controls.
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    \43\ Subsec. (s), redesignated as subsec. (r) from subsec. (p) by 
Public Law 101-510, and further redesignated as subsec. (s) from 
subsec. (r) by sec. 304(b)(1) of Public Law 102-182, was added by sec. 
2423(b) of Public Law 100-418 (102 Stat. 1359).
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  (2) With respect to export controls imposed under this 
section before the date of the enactment of this subsection, an 
individual validated export license shall not be required for 
replacement parts which are exported to replace on a one-for-
one basis parts that were in a good that was lawfully exported 
from the United States, unless the President determines that 
such a license should be required for such parts.

                         SHORT SUPPLY CONTROLS

    Sec. 7.\44\ (a) Authority.--(1) In order to carry out the 
policy set forth in section 3(2)(C) of this Act, the President 
may prohibit or curtail the export of any goods subject to the 
jurisdiction of the United States or exported by any person 
subject to the jurisdiction of the United States. In curtailing 
exports to carry out the policy set forth in section 3(2)(C) of 
this Act, the President shall allocate a portion of export 
licenses on the basis of factors other than a prior history of 
exportation. Such factors shall include the extent to which a 
country engages in equitable trade practices with respect to 
United States goods and treats the United States equitably in 
times of short supply.
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    \44\ 50 U.S.C. app. 2406.
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    (2) Upon imposing quantitative restrictions on exports of 
any goods to carry out the policy set forth in section 3(2)(C) 
of this Act, the Secretary shall include in a notice published 
in the Federal Register with respect to such restrictions an 
invitation to all interested parties to submit written comments 
within 15 days from the date of publication on the impact of 
such restrictions and the method of licensing used to implement 
them.
    (3) In imposing export controls under this section, the 
President's authority shall include, but not be limited to, the 
imposition of export license fees.
    (b) Monitoring.--(1) In order to carry out the policy set 
forth in section 3(2)(C) of this Act, the Secretary shall 
monitor exports, and contracts for exports, of any good (other 
than a commodity which is subject to the reporting requirements 
of section 812 of the Agricultural Act of 1970) when the volume 
of such exports in relation to domestic supply contributes, or 
may contribute, to an increase in domestic prices or a domestic 
shortage, and such price increase or shortage has, or may have, 
a serious adverse impact on the economy or any sector thereof. 
Any such monitoring shall commence at a time adequate to assure 
that the monitoring will result in a data base sufficient to 
enable policies to be developed, in accordance with section 
3(2)(C) of this Act, to mitigate a short supply situation or 
serious inflationary price rise or, if export controls are 
needed, to permit imposition of such controls in a timely 
manner. Information which the Secretary requires to be 
furnished in effecting such monitoring shall be confidential, 
except as provided in paragraph (2) of this subsection.
    (2) The results of such monitoring shall, to the extent 
practicable, be aggregated and included in weekly reports 
setting forth, with respect to each item monitored, actual and 
anticipated exports, the destination by country, and the 
domestic and worldwide price, supply, and demand. Such reports 
may be made monthly if the Secretary determines that there is 
insufficient information to justify weekly reports.
    (3) The Secretary shall consult with the Secretary of 
Energy to determine whether monitoring or export controls under 
this section are warranted with respect to exports of 
facilities, machinery, or equipment normally and principally 
used, or intended to be used, in the production, conversion, or 
transportation of fuels and energy (except nuclear energy), 
including, but not limited to, drilling rigs, platforms, and 
equipment; petroleum refineries, natural gas processing, 
liquefaction, and gasification plants; facilities for 
production of synthetic natural gas or synthetic crude oil; oil 
and gas pipelines, pumping stations, and associated equipment; 
and vessels for transporting oil, gas, coal, and other fuels.
    (c) Petitions for Monitoring or Controls.--(1)(A) Any 
entity, including a trade association, firm, or certified or 
recognized union or group of workers, that is representative of 
an industry or a substantial segment of an industry that 
processes metallic materials capable of being recycled may 
transmit a written petition to the Secretary requesting the 
monitoring of exports or the imposition of export controls, or 
both, with respect to any such material, in order to carry out 
the policy set forth in section 3(2)(C) of this Act.
    (B) Each petition shall be in such form as the Secretary 
shall prescribe and shall contain information in support of the 
action requested. The petition shall include any information 
reasonably available to the petitioner indicating that each of 
the criteria set forth in paragraph (3)(A) of this subsection 
is satisfied.
    (2) Within 15 days after receipt of any petition described 
in paragraph (1), the Secretary shall publish a notice in the 
Federal Register. The notice shall--
          (A) include the name of the material that is the 
        subject of the petition,
          (B) include the Schedule B number of the material as 
        set forth in the Statistical Classification of Domestic 
        and Foreign Commodities Exported from the United 
        States,
          (C) indicate whether the petitioner is requesting 
        that controls or monitoring, or both, be imposed with 
        respect to the exportation of such material, and
          (D) provide that interested persons shall have a 
        period of 30 days beginning on the date of publication 
        of such notice to submit to the Secretary written data, 
        views or arguments, with or without opportunity for 
        oral presentation, with respect to the matter involved.
At the request of the petitioner or any other entity described 
in paragraph (1)(A) with respect to the material that is the 
subject of the petition, or at the request of any entity 
representative of producers or exporters of such material, the 
Secretary shall conduct public hearings with respect to the 
subject of the petition, in which case the 30-day period may be 
extended to 45 days.
    (3)(A) Within 45 days after the end of the 30- or 45-day 
period described in paragraph (2), as the case may be, the 
Secretary shall determine whether to impose monitoring or 
controls, or both, on the export of the material that is the 
subject of the petition, in order to carry out the policy set 
forth in section 3(2)(C) of this Act. In making such 
determination, the Secretary shall determine whether--
          (i) there has been a significant increase, in 
        relation to a specific period of time, in exports of 
        such material in relation to domestic supply and 
        demand;
          (ii) there has been a significant increase in the 
        domestic price of such material or a domestic shortage 
        of such material relative to demand;
          (iii) exports of such material are as important as 
        any other cause of a domestic price increase or 
        shortage relative to demand found under clause (ii);
          (iv) a domestic price increase or shortage relative 
        to demand found under clause (ii) has significantly 
        adversely affected or may significantly adversely 
        affect the national economy or any sector thereof, 
        including a domestic industry; and
          (v) monitoring or controls, or both, are necessary in 
        order to carry out the policy set forth in section 
        3(2)(C) of this Act.
    (B) The Secretary shall publish in the Federal Register a 
detailed statement of the reasons for the Secretary's 
determination pursuant to subparagraph (A) of whether to impose 
monitoring or controls, or both, including the findings of fact 
in support of that determination.
    (4) Within 15 days after making a determination under 
paragraph (3) to impose monitoring or controls on the export of 
a material, the Secretary shall publish in the Federal Register 
proposed regulations with respect to such monitoring or 
controls. Within 30 days after the publication of such proposed 
regulations, and after considering any public comments on the 
proposed regulations, the Secretary shall publish and implement 
final regulations with respect to such monitoring or controls.
    (5) For purposes of publishing notices in the Federal 
Register and scheduling public hearings pursuant to this 
subsection, the Secretary may consolidate petitions, and 
responses to such petitions which involve the same or related 
materials.
    (6) If a petition with respect to a particular material or 
group of materials has been considered in accordance with all 
the procedures prescribed in this subsection, the Secretary may 
determine, in the absence of significantly changed 
circumstances, that any other petition with respect to the same 
material or group of materials which is filed within 6 months 
after the consideration of the prior petition has been 
completed does not merit complete consideration under this 
subsection.
    (7) The procedures and time limits set forth in this 
subsection with respect to a petition filed under this 
subsection shall take precedence over any review undertaken at 
the initiative of the Secretary with respect to the same 
subject as that of the petition.
    (8) The Secretary may impose monitoring or controls, on a 
temporary basis, on the export of a metallic material after a 
petition is filed under paragraph (1)(A) with respect to that 
material but before the Secretary makes a determination under 
paragraph (3) with respect to that material only if--
          (A) the failure to take such temporary action would 
        result in irreparable harm to the entity filing the 
        petition, or to the national economy or segment 
        thereof, including a domestic industry, and
          (B) the Secretary considers such action to be 
        necessary to carry out the policy set forth in section 
        3(2)(C) of this Act.
    (9) The authority under this subsection shall not be 
construed to affect the authority of the Secretary under any 
other provision of this Act, except that if the Secretary 
determines, on the Secretary's own initiative, to impose 
monitoring or controls, or both, on the export of metallic 
materials capable of being recycled, under the authority of 
this section, the Secretary shall publish the reasons for such 
action in accordance with paragraph (3) (A) and (B) of this 
subsection.
    (10) Nothing contained in this subsection shall be 
construed to preclude submission on a confidential basis to the 
Secretary of information relevant to a decision to impose or 
remove monitoring or controls under the authority of this Act, 
or to preclude consideration of such information by the 
Secretary in reaching decisions required under this subsection. 
The provisions of this paragraph shall not be construed to 
affect the applicability of section 552(b) of title 5, United 
States Code.
    (d) Domestically Produced Crude Oil.--(1) Notwithstanding 
any other provision of this Act and notwithstanding subsection 
(u) of section 28 of the Mineral Leasing Act of 1920 (30 U.S.C. 
185), no domestically produced crude oil transported by 
pipeline over right-of-way granted pursuant to section 203 of 
the Trans-Alaska Pipeline Authorization Act (43 U.S.C. 1652) 
(except any such crude oil which (A) is exported to an adjacent 
foreign country to be refined and consumed therein in exchange 
for the same quantity of crude oil being exported from that 
country to the United States; such exchange must result through 
convenience or increased efficiency of transportation in lower 
prices for consumers of petroleum products in the United States 
as described in paragraph (2)(A)(ii) of this subsection,\45\ 
(B) is temporarily exported for convenience or increased 
efficiency of transportation across parts of an adjacent 
foreign country and reenters the United States) may be exported 
from the United States, or any of its territories and 
possessions, subject to paragraph (2) of this subsection.
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    \45\ Sec. 7(d)(1) was amended by sec. 305 of the United States-
Canada Free Trade Agreement Implementation Act of 1988 (Public Law 100-
449; 102 Stat. 1876).
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    (2) Crude oil subject to the prohibition contained in 
paragraph (1) may be exported only if--
          (A) the President so recommends to the Congress after 
        making and publishing express findings that exports of 
        such crude oil, including exchanges--
                  (i) will not diminish the total quantity or 
                quality of petroleum refined within, stored 
                within, or legally committed to be transported 
                to and sold within the United States;
                  (ii) will, within 3 months following the 
                initiation of such exports or exchanges, result 
                in (I) acquisition costs to the refiners which 
                purchase the imported crude oil being lower 
                than the acquisition costs such refiners would 
                have to pay for the domestically produced oil 
                in the absence of such an export or exchange, 
                and (II) not less than 75 percent of such 
                savings in costs being reflected in wholesale 
                and retail prices of products refined from such 
                imported crude oil;
                  (iii) will be made only pursuant to contracts 
                which may be terminated if the crude oil 
                suppliers of the United States are interrupted, 
                threatened, or diminished;
                  (iv) are clearly necessary to protect the 
                national interest; and
                  (v) are in accordance with the provisions of 
                this Act; and
          (B) the President includes such findings in his 
        recommendation to the Congress and the Congress, within 
        60 days after receiving that recommendation, agrees to 
        a joint resolution which approves such exports on the 
        basis of those findings, and which is thereafter 
        enacted into law.
    (3) Notwithstanding any other provision of this section or 
any other provision of law, including subsection (u) of section 
28 of the Mineral Leasing Act of 1920, the President may export 
oil to any country pursuant to a bilateral international oil 
supply agreement entered into by the United States with such 
nation before June 25, 1979, or to any country pursuant to the 
International Emergency Oil Sharing Plan of the International 
Energy Agency.
    (4) \46\ * * *
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    \46\ Para. (4) was struck out by sec. 2424(a) of Public Law 100-418 
(102 Stat. 1359). Para. (4) previously read as follows:
    ``Notwithstanding the provisions of section 20 of this Act, the 
provisions of this subsection shall expire on September 30, 1990.''.
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    (e) Refined Petroleum Products.--(1) In any case in which 
the President determines that it is necessary to impose export 
controls on refined petroleum products in order to carry out 
the policy set forth in section 3(2)(C) of this Act, the 
President shall notify the Congress of that determination. The 
President shall also notify the Congress if and when he 
determines that such export controls are no longer necessary. 
During any period in which a determination that such export 
controls are necessary is in effect, no refined petroleum 
product may be exported except pursuant to an export license 
specifically authorizing such export. Not later than 5 days 
after an application for a license to export any refined 
petroleum product or residual fuel oil is received, the 
Secretary shall notify the Congress of such application, 
together with the name of the exporter, the destination of the 
proposed export, and the amount and price of the proposed 
export. Such notification shall be made to the chairman of the 
Committee on Foreign Affairs \47\ of the House of 
Representatives and the chairman of the Committee on Banking, 
Housing, and Urban Affairs of the Senate.
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    \47\ Sec. 1(a)(5) of Public Law 104-14 (109 Stat. 186) provided 
that references to the Committee on Foreign Affairs of the House of 
Representatives shall be treated as referring to the Committee on 
International Relations of the House of Representatives.
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    (2) The Secretary may not grant such license during the 30-
day period beginning on the date on which notification to the 
Congress under paragraph (1) is received, unless the President 
certifies in writing to the Speaker of the House of 
Representatives and the President pro tempore of the Senate 
that the proposed export is vital to the national interest and 
that a delay in issuing the license would adversely affect that 
interest.
    (3) This subsection shall not apply to (A) any export 
license application for exports to a country with respect to 
which historical export quotas established by the Secretary on 
the basis of past trading relationships apply, or (B) any 
license application for exports to a country if exports under 
the license would not result in more than 250,000 barrels of 
refined petroleum products being exported from the United 
States to such country in any fiscal year.
    (4) For purposes of this subsection, ``refined petroleum 
product'' means gasoline, kerosene, distillates, propane or 
butane gas, diesel fuel, and residual fuel oil refined within 
the United States or entered for consumption within the United 
States.
    (5) The Secretary may extend any time period prescribed in 
section 10 of this Act to the extent necessary to take into 
account delays in action by the Secretary on a license 
application on account of the provisions of this subsection.
    (f) Certain Petroleum Products.--Petroleum products refined 
in United States Foreign Trade Zones, or in the United States 
Territory of Guam, from foreign crude oil shall be excluded 
from any quantitative restrictions imposed under this section 
except that, if the Secretary finds that a product is in short 
supply, the Secretary may issue such regulations as may be 
necessary to limit exports.
    (g) Agricultural Commodities.--(1) The authority conferred 
by this section shall not be exercised with respect to any 
agricultural commodity, including fats and oils or animal hides 
or skins, without the approval of the Secretary of Agriculture. 
The Secretary of Agriculture shall not approve the exercise of 
such authority with respect to any such commodity during any 
period for which the supply of such commodity is determined by 
the Secretary of Agriculture to be in excess of the 
requirements of the domestic economy except to the extent the 
President determines that such exercise of authority is 
required to carry out the policies set forth in subparagraph 
(A) or (B) of paragraph (2) of section 3 of this Act. The 
Secretary of Agriculture shall, by exercising the authorities 
which the Secretary of Agriculture has under other applicable 
provisions of law, collect data with respect to export sales of 
animal hides and skins.
    (2) Upon approval of the Secretary, in consultation with 
the Secretary of Agriculture, agricultural commodities 
purchased by or for use in a foreign country may remain in the 
United States for export at a later date free from any 
quantitative limitations on export which may be imposed to 
carry out the policy set forth in section 3(2)(C) of this Act 
subsequent to such approval. The Secretary may not grant such 
approval unless the Secretary receives adequate assurance and, 
in conjunction with the Secretary of Agriculture, finds (A) 
that such commodities will eventually be exported, (B) that 
neither the sale nor export thereof will result in an excessive 
drain of scarce materials and have a serious domestic 
inflationary impact, (C) that storage of such commodities in 
the United States will not unduly limit the space available for 
storage of domestically owned commodities, and (D) that the 
purpose of such storage is to establish a reserve of such 
commodities for later use, not including resale to or use by 
another country. The Secretary may issue such regulations as 
may be necessary to implement this paragraph.
    (3)(A) If the President imposes export controls on any 
agricultural commodity in order to carry out the policy set 
forth in paragraph (2)(B), (2)(C), (7), or (8) of section 3 of 
this Act, the President shall immediately transmit a report on 
such action to the Congress, setting forth the reasons for the 
controls in detail and specifying the period of time, which may 
not exceed 1 year, that the controls are proposed to be in 
effect. If the Congress, within 60 days after the date of its 
receipt of the report, adopts a joint resolution pursuant to 
paragraph (4) approving the imposition of the export controls, 
then such controls shall remain in effect for the period 
specified in the report, or until terminated by the President, 
whichever occurs first. If the Congress, within 60 days after 
the date of its receipt of such report, fails to adopt a joint 
resolution approving such controls, then such controls shall 
cease to be effective upon the expiration of that 60-day 
period.
    (B) The provisions of subparagraph (A) and paragraph (4) 
shall not apply to export controls--
          (i) which are extended under this Act if the 
        controls, when imposed, were approved by the Congress 
        under subparagraph (A) and paragraph (4); or
          (ii) which are imposed with respect to a country as 
        part of the prohibition or curtailment of all exports 
        to that country.
    (4)(A) For purposes of this paragraph, the term joint 
resolution means only a joint resolution the matter after the 
resolving clause of which is as follows: ``That, pursuant to 
section 7(g)(3) of the Export Administration Act of 1979, the 
President may impose export controls as specified in the report 
submitted to the Congress on       .'', with the blank space 
being filled with the appropriate date.
    (B) On the day on which a report is submitted to the House 
of Representatives and the Senate under paragraph (3), a joint 
resolution with respect to the export controls specified in 
such report shall be introduced (by request) in the House by 
the chairman of the Committee on Foreign Affairs,\46\ for 
himself and the ranking minority member of the Committee, or by 
Members of the House designated by the chairman and ranking 
minority member; and shall be introduced (by request) in the 
Senate by the majority leader of the Senate, for himself and 
the minority leader of the Senate, or by Members of the Senate 
designated by the majority leader and minority leader of the 
Senate. If either House is not in session on the day on which 
such a report is submitted, the joint resolution shall be 
introduced in that House, as provided in the preceding 
sentence, on the first day thereafter on which that House is in 
session.
    (C) All joint resolutions introduced in the House of 
Representatives shall be referred to the appropriate committee 
and all joint resolutions introduced in the Senate shall be 
referred to the Committee on Banking, Housing, and Urban 
Affairs.
    (D) If the committee of either House to which a joint 
resolution has been referred has not reported the joint 
resolution at the end of 30 days after its referral, the 
committee shall be discharged from further consideration of the 
joint resolution or of any other joint resolution introduced 
with respect to the same matter.
    (E) A joint resolution under this paragraph shall be 
considered in the Senate in accordance with the provisions of 
section 601(b)(4) of the International Security Assistance and 
Arms Export Control Act of 1976. For the purpose of expediting 
the consideration and passage of joint resolutions reported or 
discharged pursuant to the provisions of this paragraph, it 
shall be in order for the Committee on Rules of the House of 
Representatives to present for consideration a resolution of 
the House of Representatives providing procedures for the 
immediate consideration of a joint resolution under this 
paragraph which may be similar, if applicable, to the 
procedures set forth in section 601(b)(4) of the International 
Security Assistance and Arms Export Control Act of 1976.
    (F) In the case of a joint resolution described in 
subparagraph (A), if, before the passage by one House of a 
joint resolution of that House, that House receives a 
resolution with respect to the same matter from the other 
House, then--
          (i) the procedure in that House shall be the same as 
        if no joint resolution had been received from the other 
        House; but
          (ii) the vote on final passage shall be on the joint 
        resolution of the other House.
    (5) In the computation of the period of 60 days referred to 
in paragraph (3) and the period of 30 days referred to in 
subparagraph (D) of paragraph (4), there shall be excluded the 
days on which either House of Congress is not in session 
because of an adjournment of more than 3 days to a day certain 
or because of an adjournment of the Congress sine die.
    (h) Barter Agreements.--(1) The exportation pursuant to a 
barter agreement of any goods which may lawfully be exported 
from the United States, for any goods which may lawfully be 
imported into the United States, may be exempted, in accordance 
with paragraph (2) of this subsection, from any quantitative 
limitation on exports (other than any reporting requirement) 
imposed to carry out the policy set forth in section 3(2)(C) of 
this Act.
    (2) the Secretary shall grant an exemption under paragraph 
(1) if the Secretary finds, after consultation with the 
appropriate department or agency of the United States, that--
          (A) for the period during which the barter agreement 
        is to be performed--
                  (i) the average annual quantity of the goods 
                to be exported pursuant to the barter agreement 
                will not be required to satisfy the average 
                amount of such goods estimated to be required 
                annually by the domestic economy and will be 
                surplus thereto; and
                  (ii) the average annual quantity of the goods 
                to be imported will be less than the average 
                amount of such goods estimated to be required 
                annually to supplement domestic production; and
          (B) the parties to such barter agreement have 
        demonstrated adequately that they intend, and have the 
        capacity, to perform such barter agreement.
    (3) For purposes of this subsection, the term ``barter 
agreement'' means any agreement which is made for the exchange, 
without monetary consideration, of any goods produced in the 
United States for any goods produced outside of the United 
States.
    (4) This subsection shall apply only with respect to barter 
agreements entered into after the effective date of this Act.
    (i) Unprocessed Red Cedar.--(1) The Secretary shall require 
a validated license, under the authority contained in 
subsection (a) of this section, for the export of unprocessed 
western red cedar (Thuja plicata) logs, harvested from State or 
Federal lands. The Secretary shall impose quantitative 
restrictions upon the export of unprocessed western red cedar 
logs during the 3-year period beginning on the effective date 
of this Act as follows:
          (A) Not more than thirty million board feet scribner 
        of such logs may be exported during the first year of 
        such 3-year period.
          (B) Not more than fifteen million board feet scribner 
        of such logs may be exported during the second year of 
        such period.
          (C) Not more than five million board feet scribner of 
        such logs may be exported during the third year of such 
        period.
After the end of such 3-year period, no unprocessed western red 
cedar logs harvested from State or Federal lands may be 
exported from the United States.
    (2) To the maximum extent practicable, the Secretary shall 
utilize the multiple validated export licenses described in 
section 4(a)(2) of this Act in lieu of validated licenses for 
exports under this subsection.
    (3) The Secretary shall allocate export licenses to 
exporters pursuant to this subsection on the basis of a prior 
history of exportation by such exporters and such other factors 
as the Secretary considers necessary and appropriate to 
minimize any hardship to the producers of western red cedar and 
to further the foreign policy of the United States.
    (4) Unprocessed western red cedar logs shall not be 
considered to be an agricultural commodity for purposes of 
subsection (g) of this section.
    (5) As used in this subsection, the term ``unprocessed 
western red cedar'' means red cedar timber which has not been 
processed into--
          (A) lumber of American Lumber Standards Grades of 
        Number 3 dimension or better, or Pacific Lumber 
        Inspection Bureau Export R-List Grades of Number 3 
        common or better;
          (B) chips, pulp, and pulp products;
          (C) veneer and plywood;
          (D) poles, posts, or pilings cut or treated with 
        preservative for use as such and not intended to be 
        further processed; or
          (E) shakes and shingles.
    (j) Effect of Controls on Existing Contracts.--The export 
restrictions contained in subsection (i) of this section and 
any export controls imposed under this section shall not affect 
any contract to harvest unprocessed western red cedar from 
State lands which was entered into before October 1, 1979, and 
the performance of which would make the red cedar available for 
export. Any export controls imposed under this section on any 
agricultural commodity (including fats, oils, and animal hides 
and skins) or on any forest product or fishery product, shall 
not affect any contract to export entered into before the date 
on which such controls are imposed. For purposes of this 
subsection, the term ``contract to export'' includes, but is 
not limited to, an export sales agreement and an agreement to 
invest in an enterprise which involves the export of goods or 
technology.

                            FOREIGN BOYCOTTS

    Sec. 8.\48\ (a) Prohibitions and Exceptions.--(1) For the 
purpose of implementing the policies set forth in subparagraph 
(A) or (B) of paragraph (5) of section 3 of this Act, the 
President shall issue regulations prohibiting any United States 
person, with respect to his activities in the interstate or 
foreign commerce of the United States, from taking or knowingly 
agreeing to take any of the following actions with intent to 
comply with, further, or support any boycott fostered or 
imposed by a foreign country against a country which is 
friendly to the United States and which is not itself the 
object of any form of boycott pursuant to United States law or 
regulation:
---------------------------------------------------------------------------
    \48\ 50 U.S.C. app. 2407.
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          (A) Refusing, or requiring any other person to 
        refuse, to do business with or in the boycotted 
        country, with any business concern organized under the 
        laws of the boycotted country, with any national or 
        resident of the boycotted country, or with any other 
        person, pursuant to an agreement with, a requirement 
        of, or a request from or on behalf of the boycotting 
        country. The mere absence of a business relationship 
        with or in the boycotted country with any business 
        concern organized under the laws of the boycotted 
        country, with any national or resident of the boycotted 
        country, or with any other person, does not indicate 
        the existence of the intent required to establish a 
        violation of regulations issued to carry out this 
        subparagraph.
          (B) Refusing, or requiring any other person to 
        refuse, to employ or otherwise discriminating against 
        any United States person on the basis of race, 
        religion, sex, or national origin of that person or of 
        any owner, officer, director, or employee of such 
        person.
          (C) Furnishing information with respect to the race, 
        religion, sex, or national origin of any United States 
        person or of any owner, officer, director, or employee 
        of such person.
          (D) Furnishing information about whether any person 
        has, has had, or proposes to have any business 
        relationship (including a relationship by way of sale, 
        purchase, legal or commercial representation, shipping 
        or other transport, insurance, investment, or supply) 
        with or in the boycotted country, with any business 
        concern organized under the laws of the boycotted 
        country, with any national or resident of the boycotted 
        country, or with any other person which is known or 
        believed to be restricted from having any business 
        relationship with or in the boycotting country. Nothing 
        in this paragraph shall prohibit the furnishing of 
        normal business information in a commercial context as 
        defined by the Secretary.
          (E) Furnishing information about whether any person 
        is a member of, has made contribution to, or is 
        otherwise associated with or involved in the activities 
        of any charitable or fraternal organization which 
        supports the boycotted country.
          (F) Paying, honoring, confirming, or otherwise 
        implementing a letter of credit which contains any 
        condition or requirement compliance with which is 
        prohibited by regulations issued pursuant to this 
        paragraph, and no United States person shall, as a 
        result of the application of this paragraph, be 
        obligated to pay or otherwise honor or implement such 
        letter of credit.
    (2) Regulations issued pursuant to paragraph (1) shall 
provide exceptions for--
          (A) complying or agreeing to comply with requirements 
        (i) prohibiting the import of goods or services from 
        the boycotted country or goods produced or services 
        provided by any business concern organized under the 
        laws of the boycotted country or by nationals or 
        residents of the boycotted country, or (ii) prohibiting 
        the shipment of goods to the boycotted country on a 
        carrier of the boycotted country, or by a route other 
        than that prescribed by the boycotting country or the 
        recipient of the shipment;
          (B) complying or agreeing to comply with import and 
        shipping document requirements with respect to the 
        country of origin, the name of the carrier and route of 
        shipment, the name of the supplier of the shipment or 
        the name of the provider of other services, except that 
        no information knowingly furnished or conveyed in 
        response to such requirements may be stated in 
        negative, blacklisting, or similar exclusionary terms, 
        other than with respect to carriers or route of 
        shipment as may be permitted by such regulations in 
        order to comply with precautionary requirements 
        protecting against war risks and confiscation;
          (C) complying or agreeing to comply in the normal 
        course of business with the unilateral and specific 
        selection by a boycotting country, or national or 
        resident thereof, of carriers, insurers, suppliers of 
        services to be performed within the boycotting country 
        or specific goods which, in the normal course of 
        business, are identifiable by source when imported into 
        the boycotting country;
          (D) complying or agreeing to comply with export 
        requirements of the boycotting country relating to 
        shipments or transshipments of exports to the boycotted 
        country, to any business concern of or organized under 
        the laws of the boycotted country, or to any national 
        or resident of the boycotted country;
          (E) compliance by an individual or agreement by an 
        individual to comply with the immigration or passport 
        requirements of any country with respect to such 
        individual or any member of such individual's family or 
        with requests for information regarding requirements of 
        employment of such individual within the boycotting 
        country; and
          (F) compliance by a United States person resident in 
        a foreign country or agreement by such person to comply 
        with the laws of that country with respect to his 
        activities exclusively therein, and such regulations 
        may contain exceptions for such resident complying with 
        the laws or regulations of that foreign country 
        governing imports into such country of trademarked, 
        trade named, or similarly specifically identifiable 
        products, or components of products for his own use, 
        including the performance of contractual services 
        within that country, as may be defined by such 
        regulations.
    (3) Regulations issued pursuant to paragraphs (2)(C) and 
(2)(F) shall not provide exceptions from paragraphs (1)(B) and 
(1)(C).
    (4) Nothing in this subsection may be construed to 
supersede or limit the operation of the antitrust, or civil 
rights laws of the United States.
    (5) This section shall apply to any transaction or activity 
undertaken, by or through a United States person or any other 
person, with intent to evade the provisions of this section as 
implemented by the regulations issued pursuant to this 
subsection, and such regulations shall expressly provide that 
the exceptions set forth in paragraph (2) shall not permit 
activities or agreements (expressed or implied by a course of 
conduct, including a pattern of responses) otherwise 
prohibited, which are not within the intent of such exceptions.
    (b) Foreign Policy Controls.--(1) In addition to the 
regulations issued pursuant to subsection (a) of this section, 
regulations issued under section 6 of this Act shall implement 
the policies set forth in section 3(5).
    (2) Such regulations shall require that any United States 
person receiving a request for the furnishing of information, 
the entering into or implementing of agreements, or the taking 
of any other action referred to in section 3(5) shall report 
that fact to the Secretary, together with such other 
information concerning such request as the Secretary may 
require for such action as the Secretary considers appropriate 
for carrying out the policies of that section. Such person 
shall also report to the Secretary whether such person intends 
to comply and whether such person has complied with such 
request. Any report filed pursuant to this paragraph shall be 
made available promptly for public inspection and copying, 
except that information regarding the quantity, description, 
and value of any goods or technology to which such report 
relates may be kept confidential if the Secretary determines 
that disclosure thereof would place the United States person 
involved at a competitive disadvantage. The Secretary shall 
periodically transmit summaries of the information contained in 
such reports to the Secretary of State for such action as the 
Secretary of State, in consultation with the Secretary, 
considers appropriate for carrying out the policies set forth 
in section 3(5) of this Act.
    (c) Preemption.--The provisions of this section and the 
regulations issued pursuant thereto shall preempt any law, 
rule, or regulation of any of the several States or the 
District of Columbia, or any of the territories or possessions 
of the United States, or of any governmental subdivision 
thereof, which law, rule, or regulation pertains to 
participation in, compliance with, implementation of, or the 
furnishing of information regarding restrictive trade practices 
or boycotts fostered or imposed by foreign countries against 
other countries.

          PROCEDURES FOR HARDSHIP RELIEF FROM EXPORT CONTROLS

    Sec. 9.\49\ (a) Filing of Petitions.--Any person who, in 
such person's domestic manufacturing process or other domestic 
business operation, utilizes a product produced abroad in whole 
or in part from a good historically obtained from the United 
States but which has been made subject to export controls, or 
any person who historically has exported such a good, may 
transmit a petition of hardship to the Secretary requesting an 
exemption from such controls in order to alleviate any unique 
hardship resulting from the imposition of such controls. A 
petition under this section shall be in such form as the 
Secretary shall prescribe and shall contain information 
demonstrating the need for the relief requested.
---------------------------------------------------------------------------
    \49\ 50 U.S.C. app. 2408.
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    (b) Decision of the Secretary.--Not later than 30 days 
after receipt of any petition under subsection (a), the 
Secretary shall transmit a written decision to the petitioner 
granting or denying the requested relief. Such decision shall 
contain a statement setting forth the Secretary's basis for the 
grant or denial. Any exemption granted may be subject to such 
conditions as the Secretary considers appropriate.
    (c) Factors To Be Considered.--For purposes of this 
section, the Secretary's decision with respect to the grant or 
denial of relief from unique hardship resulting directly or 
indirectly from the imposition of export controls shall reflect 
the Secretary's consideration of factors such as the following:
          (1) Whether denial would cause a unique hardship to 
        the petitioner which can be alleviated only by granting 
        an exception to the applicable regulations. In 
        determining whether relief shall be granted, the 
        Secretary shall take into account--
                  (A) ownership of material for which there is 
                no practicable domestic market by virtue of the 
                location or nature of the material;
                  (B) potential serious financial loss to the 
                applicant if not granted an exception;
                  (C) inability to obtain, except through 
                import, an item essential for domestic use 
                which is produced abroad from the good under 
                control;
                  (D) the extent to which denial would 
                conflict, to the particular detriment of the 
                applicant, with other national policies 
                including those reflected in any international 
                agreement to which the United States is a 
                party;
                  (E) possible adverse effects on the economy 
                (including unemployment) in any locality or 
                region of the United States; and
                  (F) other relevant factors, including the 
                applicant's lack of an exporting history during 
                any base period that may be established with 
                respect to export quotas for the particular 
                good.
          (2) The effect a finding in favor of the applicant 
        would have on attainment of the basic objectives of the 
        short supply control program.
In all cases, the desire to sell at higher prices and thereby 
obtain greater profits shall not be considered as evidence of a 
unique hardship, nor will circumstances where the hardship is 
due to imprudent acts or failure to act on the part of the 
petitioner.

 PROCEDURES FOR PROCESSING EXPORT LICENSE APPLICATIONS; OTHER INQUIRIES

    Sec. 10.\50\ (a) Primary Responsibility of the Secretary.--
(1) All export license applications required under this Act 
shall be submitted by the applicant to the Secretary. All 
determinations with respect to any such application shall be 
made by the Secretary, subject to the procedures provided in 
this section.
---------------------------------------------------------------------------
    \50\ 50 U.S.C. app. 2409.
---------------------------------------------------------------------------
    (2) It is the intent of the Congress that a determination 
with respect to any export license application be made to the 
maximum extent possible by the Secretary without referral of 
such application to any other department or agency of the 
Government.
    (3) To the extent necessary, the Secretary shall seek 
information and recommendations from the Government departments 
and agencies concerned with aspects of United States domestic 
and foreign polices and operations having an important bearing 
on exports. Such departments and agencies shall cooperate fully 
in rendering such information and recommendations.
    (b) Initial Screening.--Within 10 days after the date on 
which any export license application is submitted pursuant to 
subsection (a)(1), the Secretary shall--
          (1) send the applicant an acknowledgment of the 
        receipt of the application and the date of the receipt;
          (2) submit to this applicant a written description of 
        the procedures required by this section, the 
        responsibilities of the Secretary and of other 
        departments and agencies with respect to the 
        application and the rights of the applicant;
          (3) return the application without action if the 
        application is improperly completed or if additional 
        information is required, with sufficient information to 
        permit the application to be properly resubmitted, in 
        which case of such application is resubmitted, it shall 
        be treated as a new application for the purpose of 
        calculating the time periods prescribed in this 
        section;
          (4) determine whether it is necessary to refer the 
        application to any other department or agency and, if 
        such referral is determined to be necessary, inform the 
        applicant of any such department or agency to which the 
        application will be referred; and
          (5) determine whether it is necessary to submit the 
        application to a multilateral review process, pursuant 
        to a multilateral agreement, formal or informal, to 
        which the United States is a part and, if so inform the 
        applicant of this requirement.
    (c) Action on Certain Applications.--Except as provided in 
subsection (o), in each case in which the Secretary determines 
that it is not necessary to refer an application to any other 
department or agency for its information and recommendations, a 
license shall be formally issued or denied within 60 days after 
a properly completed application has been submitted pursuant to 
this section.
    (d) Referral to Other Departments and Agencies.--Except in 
the case of exports described in subsection (o), in each case 
in which the Secretary determines that it is necessary to refer 
an application to any other department or agency for its 
information and recommendations, the Secretary shall, within 20 
days after the submission of a properly completed application--
          (1) refer the application, together with all 
        necessary analysis and recommendations of the 
        Department of Commerce, concurrently to all such 
        departments or agencies; and
          (2) if the applicant so requests, provide the 
        applicant with an opportunity to review for accuracy 
        any documentation to be referred to any such department 
        or agency with respect to such application for the 
        purpose of describing the export in question in order 
        to determine whether such documentation accurately 
        describes the proposed export.
Notwithstanding the 10-day period set forth in subsection (b), 
in the case of exports described in subsection (o), in each 
case in which the Secretary determines that it is necessary to 
refer an application to any other department or agency for its 
information and recommendations, the Secretary shall, 
immediately upon receipt of the properly completed application, 
refer the application to such department or agency for its 
review. Such review shall be concurrent with that of the 
Department of Commerce.
    (e) Action by Other Departments and Agencies.--(1) Any 
department or agency to which an application is referred 
pursuant to subsection (d) shall submit to the Secretary the 
information or recommendations requested with respect to the 
application. The information or recommendations shall be 
submitted within 20 days after the department or agency 
receives the application or, in the case of exports described 
in subsection (o), before the expiration of the time periods 
permitted by that subsection. Except as provided in paragraph 
(2), any such department or agency which does not submit its 
recommendations within the time period prescribed in the 
preceding sentence shall be deemed by the Secretary to have no 
objection to the approval of such application.
    (2) (A) Except in the case of exports described in 
subsection (o), if the head of any such department or agency 
notifies the Secretary before the expiration of the time period 
provided in paragraph (1) for submission of its recommendations 
that more time is required for review by such department or 
agency, such department or agency shall have an additional 20-
day period to submit its recommendations to the Secretary. If 
such department or agency does not submit its recommendations 
within the time period prescribed by the preceding sentence, it 
shall be deemed by the Secretary to have no objection to the 
approval of such application.
    (B) In the case of exports described in subsection (o), if 
the head of any such department or agency notifies the 
Secretary, before the expiration of the 15-day period provided 
in subsection (o)(1), that more time is required for review by 
such department or agency, the Secretary shall notify the 
applicant, pursuant to subsection (o)(1)(C), that additional 
time is required to consider the application, and such 
department or agency shall have additional time to consider the 
application within the limits permitted by subsection (o)(2). 
If such department or agency does not submit its 
recommendations within the time periods permitted under 
subsection (o), it shall be deemed by the Secretary to have no 
objection to the approval of such application.
    (f) Action by the Secretary.--(1) Within 60 days after 
receipt of the recommendations of other departments and 
agencies with respect to a license application, as provided in 
subsection (e), the Secretary shall formally issue or deny the 
license. In deciding whether to issue or deny a license, the 
Secretary shall take into account any recommendation of a 
department or agency with respect to the application in 
question. In cases where the Secretary receives conflicting 
recommendations, the Secretary shall, within the 60-day period 
provided for in this subsection, take such action as may be 
necessary to resolve such conflicting recommendations. The 
provisions of this paragraph shall not apply in the case of 
exports described in subsection (o).
    (2) In cases where the Secretary receives questions or 
negative considerations or recommendations from any other 
department or agency with respect to an application, the 
Secretary shall, to the maximum extent consistent with the 
national security and foreign policy of the United States, 
inform the applicant in writing of the specific questions 
raised and any such negative considerations or recommendations. 
Before a final determination with respect to the application in 
made, the applicant shall be entitled--
          (A) to respond in writing to such questions, 
        considerations, or recommendations within 30 days after 
        receipt of such information from the Secretary; and
          (B) upon the filing of a written request with the 
        Secretary within 15 days after the receipt of such 
        information, to respond in person to the department or 
        agency raising such questions, considerations, or 
        recommendations.
The provisions of this paragraph shall not apply in the case of 
exports described in subsection (o).
     (3) In cases where the Secretary has determined that an 
application should be denied, the applicant shall be informed 
in writing, within 5 days after such determination is made, 
of--
          (A) the determination,
          (B) the statutory basis for the proposed denial,
          (C) the policies set forth in section 3 of this Act 
        which would be furthered by the proposed denial,
          (D) what if any modifications in or restrictions on 
        the goods or technology for which the license was 
        sought would allow such export to be compatible with 
        export controls imposed under this Act,
          (E) which officers and employees of the Department of 
        Commerce who are familiar with the application will be 
        made reasonably available to the applicant for 
        considerations with regard to such modifications or 
        restrictions, if appropriate,
          (F) to the extent consistent with the national 
        security and foreign policy of the United States, the 
        specific considerations which led to the determination 
        to deny the application, and
          (G) the availability of appeal procedures.
The Secretary shall allow the applicant at least 30 days to 
respond to the Secretary's determination before the license 
application is denied. In the event decisions on license 
applications are deferred inconsistent with the provisions of 
this section, the applicant shall be so informed in writing 
within 5 days after such deferral.
    (4) If the Secretary determines that a particular 
application or set of applications is of exceptional importance 
and complexity, and that additional time is required for 
negotiations to modify the application or applications, the 
Secretary may extend any time period prescribed in this 
section. The Secretary shall notify the Congress and the 
applicant of such extension and the reasons therefor. The 
provisions of this paragraph shall not apply in the case of 
exports described in subsection (o).
    (g) Special Procedures for Secretary of Defense.--(1) 
Notwithstanding any other provision of this section, the 
Secretary of Defense is authorized to review any proposed 
export of any goods or technology to any country to which 
exports are controlled for national security purposes and, 
whenever the Secretary of Defense determines that the export of 
such goods or technology will make a significant contribution, 
which would prove detrimental to the national security of the 
United States, to the military potential of any such country, 
to recommend to the President that such export be disapproved.
    (2) Notwithstanding any other provision of law, the 
Secretary of Defense shall determine, in consultation with the 
Secretary, and confirm in writing the types and categories of 
transactions which should be reviewed by the Secretary of 
Defense in order to make a determination referred to in 
paragraph (1). Whenever a license or other authority is 
requested for the export to any country to which exports are 
controlled for national security purposes of goods or 
technology within any such type or category, the Secretary 
shall notify the Secretary of Defense of such request, and the 
Secretary may not issue any license or other authority pursuant 
to such request before the expiration of the period within 
which the President may disapprove such export. The Secretary 
of Defense shall carefully consider any notification submitted 
by the Secretary pursuant to this paragraph and, not later than 
20 days after notification of the request, shall--
          (A) recommend to the President and the Secretary \51\ 
        that he disapprove any request for the export of the 
        goods or technology involved to the particular country 
        if the Secretary of Defense determines that the export 
        of such goods or technology will make a significant 
        contribution, which would prove detrimental to the 
        national security of the United States, to the military 
        potential of such country or any other country;
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    \51\ The words ``and the Secretary'' were added by sec. 2425(a)(1) 
of Public Law 100-418 (102 Stat. 1360).
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          (B) notify the Secretary that he would recommend 
        approval subject to specified conditions; or
          (C) recommend to the Secretary that the export of 
        goods or technology be approved.
Whenever the Secretary of Defense makes a recommendation to the 
President pursuant to paragraph (2)(A), the Secretary shall 
also submit his recommendation to the President on the request 
to export if the Secretary differs with the Secretary of 
Defense.\52\
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    \52\ This sentence was added by sec. 2425(a)(2) of Public Law 100-
418 (102 Stat. 1360).
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If the President notifies the Secretary, with 20 days after 
receiving a recommendation from the Secretary of Defense, that 
he disapproves such export, no license or other authority may 
be issued for the export of such goods or technology to such 
country. If the Secretary of Defense fails to make a 
recommendation or notification under this paragraph within the 
20-day period specified in the third sentence, or if the 
President, within 20 days after receiving a recommendation from 
the Secretary of Defense with respect to an export, fails to 
notify the Secretary that he approves or disapproves the 
export, the Secretary shall approve or deny the request for a 
license or other authority to export without such 
recommendation or notification.\53\
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    \53\ The text to this point beginning with ``If the Secretary of 
Defense'' was added by sec. 2425(a)(3) of Public Law 100-418 (102 Stat. 
1360).
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    (3) The Secretary shall approve or disapprove a license 
application, and issue or deny a license, in accordance with 
the provisions of this subsection, and, to the extent 
applicable, in accordance with the time periods and procedures 
otherwise set forth in this section.
    (4) \54\ * * *
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    \54\ Para. (4) was struck out by sec. 2425(a)(4) of Public Law 100-
418 (102 Stat. 1360). Para. (4) previously read as follows:
    ``Whenever the President exercises his authority under this 
subsection to modify or overrule a recommendation made by the Secretary 
of Defense or exercises his authority to modify or overrule any 
recommendation made by the Secretary of Defense under subsection (c) or 
(d) of section 5 of this Act with respect to the list of goods and 
technologies controlled for national security purposes, the President 
shall promptly transmit to the Congress a statement indicating his 
decision, together with the recommendation of the Secretary of 
Defense.''.
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    (h) Multilateral Controls.--In any case in which an 
application, which has been finally approved under subsection 
(c), (f), or (g) of this section, is required to be submitted 
to a multilateral review process, pursuant to a multilateral 
agreement, formal or informal, to which the United States is a 
party, the license shall not be issued as prescribed in such 
subsections, but the Secretary shall notify the applicant of 
the approval of the application (and the date of such approval) 
by the Secretary subject to such multilateral review. The 
license shall be issued upon approval of the application under 
such multilateral review. If such multilateral review has not 
resulted in a determination with respect to the application 
within 40 days after such date, the Secretary's approval of the 
license shall be final and the license shall be issued, unless 
the Secretary determines that issuance of the license would 
prove detrimental to the national security of the United 
States. At the time at which the Secretary makes such a 
determination, the Secretary shall notify the applicant of the 
determination and shall notify the Congress of the 
determination, the reasons for the determination, the reasons 
for which the multilateral review could not be concluded within 
such 40-day period, and the actions planned or being taken by 
the United States Government to secure conclusion of the 
multilateral review. At the end of every 40-day period after 
such notification to Congress, the Secretary shall advise the 
applicant and the Congress of the status of the application, 
and shall report to the Congress in detail on the reasons for 
the further delay and any further actions being taken by the 
United States Government to secure conclusion of the 
multilateral review. In addition, at the time at which the 
Secretary issues or denies the license upon conclusion of the 
multilateral review, the Secretary shall notify the Congress of 
such issuance or denial and of the total time required for the 
multilateral review.
    (i) Records.--The Secretary and any department or agency to 
which any application is referred under this section shall keep 
accurate records with respect to all applications considered by 
the Secretary or by any such department or agency, including, 
in the case of the Secretary, any dissenting recommendations 
received from any such department or agency.
    (j) Appeal and Court Action.--(1) The Secretary shall 
establish appropriate procedures for any applicant to appeal to 
the Secretary the denial of an export license application of 
the applicant.
    (2) In any case in which any action prescribed in this 
section is not taken on a license application within the time 
periods established by this section (except in the case of a 
time period extended under subsection (f)(4) of which the 
applicant is notified), the applicant may file a petition with 
the Secretary requesting compliance with the requirements of 
this section. When such petition is filed, the Secretary shall 
take immediate steps to correct the situation giving rise to 
the petition and shall immediately notify the applicant of such 
steps.
    (3) If, within 20 days after a petition is filed under 
paragraph (2), the processing of the application has not been 
brought into conformity with the requirements of this section, 
or the application has been brought into conformity with such 
requirements but the Secretary has not so notified the 
applicant, the applicant may bring an action in an appropriate 
United States district court for a restraining order, a 
temporary or permanent injunction, or other appropriate relief, 
to require compliance with the requirements of this section. 
The United States district courts shall have jurisdiction to 
provide such relief, as appropriate.
    (k) Changes in Requirements for Applications.--Except as 
provided in subsection (b)(3) of this section, in any case in 
which, after a license application is submitted, the Secretary 
changes the requirements for such a license application, the 
Secretary may request appropriate additional information of the 
applicant, but the Secretary may not return the application to 
the applicant without action because it fails to meet the 
changed requirements.
    (l) Other Inquiries.--(1) In any case in which the 
Secretary receives a written request asking for the proper 
classification of a good or technology on the control list, the 
Secretary shall, within 10 working days after receipt of the 
request, inform the person making the request of the proper 
classification.
    (2) In any case in which the Secretary receives a written 
request for information about the applicability of export 
license requirements under this Act to a proposed export 
transaction or series of transactions, the Secretary shall, 
within 30 days after receipt of the request, reply with that 
information to the person making the request.
    (m) Small Business Assistance.--Not later than 120 days 
after the date of the enactment of this subsection, the 
Secretary shall develop and transmit to the Congress a plan to 
assist small businesses in the export licensing application 
process under this Act. The plan shall include, among other 
things, arrangements for counseling small businesses on filing 
applications and identifying goods or technology on the control 
list, proposals for seminars and conferences to educate small 
businesses on export controls and licensing procedures, and the 
preparation of informational brochures. The Secretary shall, 
not later than 120 days after the date of the enactment of the 
Export Enhancement Act of 1988, report to the Congress on steps 
taken to implement the plan developed under this subsection to 
assist small businesses in the export licensing application 
process.\55\
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    \55\ The sentence was added by sec. 2425(c) of Public Law 100-418 
(102 Stat. 1361).
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    (n) Reports on License Applications.--(1) Not later than 
180 days after the date of the enactment of this subsection, 
and not later than the end of each 3-month period thereafter, 
the Secretary shall submit to the Committee on Foreign Affairs 
\56\ of the House of Representatives and to the Committee on 
Banking, Housing, and Urban Affairs of the Senate a report 
listing--
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    \56\ Sec. 1(a)(5) of Public Law 104-14 (109 Stat. 186) provided 
that references to the Committee on Foreign Affairs of the House of 
Representatives shall be treated as referring to the Committee on 
International Relations of the House of Representatives.
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          (A) all applications on which action was completed 
        during the preceding 3-month period and which required 
        a period longer than the period permitted under 
        subsection (c), (f)(1), or (h) of this section, as the 
        case may be, before notification of a decision to 
        approve or deny the application was sent to the 
        applicant; and
          (B) in a separate section, all applications which 
        have been in process for a period longer than the 
        period permitted under subsection (c), (f)(1), or (h) 
        of this section, as the case may be, and upon which 
        final action has not been taken.
    (2) With regard to each application, each listing shall 
identify--
          (A) the application case number;
          (B) the value of the goods or technology to which the 
        application relates;
          (C) the country of destination of the goods or 
        technology;
          (D) the date on which the application was received by 
        the Secretary;
          (E) the date on which the Secretary approved or 
        denied the application;
          (F) the date on which the notification of approval or 
        denial of the application was sent to the applicant; 
        and
          (G) the total number of days which elapsed between 
        receipt of the application, in its properly completed 
        form, and the earlier of the last day of the 3-month 
        period to which the report relates, or the date on 
        which notification of approval or denial of the 
        application was sent to the applicant.
    (3) With respect to an application which was referred to 
other departments or agencies, the listing shall also include--
          (A) the departments or agencies to which the 
        application was referred;
          (B) the date or dates of such referral; and
          (C) the date or dates on which recommendations were 
        received from those departments or agencies.
    (4) With respect to an application referred to any other 
department or agency which did not submit or has not submitted 
its recommendations on the application within the period 
permitted under subsection (e) of this section to submit such 
recommendations, the listing shall also include--
          (A) the office responsible for processing the 
        application and the position of the officer responsible 
        for the office; and
          (B) the period of time that elapsed before the 
        recommendations were submitted or that has elapsed 
        since referral of the application, as the case may be.
    (5) Each report shall also provide an introduction which 
contains--
          (A) summary of the number of applications described 
        in paragraph (1)(A) and (B) of this subsection, and the 
        value of the goods or technology involved in the 
        applications, grouped according to--
                  (i) the number of days which elapsed before 
                action on the applications was completed, or 
                which has elapsed without action on the 
                applications being completed, as follows: 61 to 
                75 days, 76 to 90 days, 91 to 105 days, 106 to 
                120 days, and more than 120 days; and
                  (ii) the number of days which elapsed before 
                action on the applications was completed, or 
                which has elapsed without action on the 
                applications being completed, beyond the period 
                permitted under subsection (c), (f)(1), or (h) 
                of this section for the processing of 
                applications, as follows: not more than 15 
                days, 16 to 30 days, 31 to 45 days, 46 to 60 
                days, and more than 60 days; and
          (B) a summary by country of destination of the number 
        of applications described in paragraph (1)(A) and (B) 
        of this subsection, and the value of the goods or 
        technology involved in applications, on which action 
        was not completed within 60 days.
    (o) Exports to Members of Coordinating Committee.--(1) 
Fifteen working days after the date of formal filing with the 
Secretary of an individual validated license application for 
the export of goods or technology to a country that maintains 
export controls on such goods or technology pursuant to the 
agreement of the governments participating in the group known 
as the coordinating Committee, a license for the transaction 
specified in the application shall become valid and effective 
and the goods or technology are authorized for export pursuant 
to such license unless--
          (A) the application has been otherwise approved by 
        the Secretary, in which case it shall be valid and 
        effective according to the terms of the approval;
          (B) the application has been denied by the Secretary 
        pursuant to this section and the applicant has been so 
        informed, or the applicant has been informed, pursuant 
        to subsection (f)(3) of this section, that the 
        application should be denied; or
          (C) the Secretary requires additional time to 
        consider the application and the applicant has been so 
        informed.
    (2) In the event that the Secretary notifies an applicant 
pursuant to paragraph (1)(C) that the Secretary notifies an 
applicant pursuant to paragraph (1)(C) that more time is 
required to consider an individual validated license 
application, a license for the transaction specified in the 
application shall become valid and effective and the goods or 
technology are authorized for export pursuant to such license 
30 working days after the date that such license application 
was formally filed with the Secretary unless--
          (A) the application has been otherwise approved by 
        the Secretary, in which case it shall be valid and 
        effective according to the terms of the approval; or
          (B) the application has been denied by the Secretary 
        pursuant to this section and the applicant has been so 
        informed, or the applicant has been informed, pursuant 
        to subsection (f)(3) of this section, that the 
        application should be denied.
    (3) In reviewing an individual license application subject 
to this subsection, the Secretary shall evaluate the 
information set forth in the application and the reliability of 
the end-user.
    (4) Nothing in this subsection shall affect the scope or 
availability of licenses authorizing multiple exports set forth 
in section 4(a)(2) of this Act.
    (5) The provisions of this subsection shall take effect 4 
months after the date of the enactment of the Export 
Administration Amendments Act of 1985.

                               VIOLATIONS

    Sec. 11.\57\ (a) In General.--Except as provided in 
subsection (b) of this section, whoever knowingly violates or 
conspires to or attempts to violate any provision of this Act 
or any regulation, order, or license issued thereunder shall be 
fined not more than five times the value of the exports 
involved or $50,000, whichever is greater, or imprisoned not 
more than 5 years, or both.
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    \57\ 50 U.S.C. app. 2410.
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    (b) Willful Violations.--(1) Whoever willfully violates or 
conspires to or attempts to violate any provision of this Act 
or any regulation, order, or license issued thereunder, with 
knowledge that the exports involved will be used for the 
benefit of, or that the destination or intended destination of 
the goods or technology involved is, any controlled country or 
any country to which exports are controlled for foreign policy 
purposes--
          (A) except in the case of an individual, shall be 
        fined not more than five times the value of the exports 
        involved or $1,000,000, whichever is greater; and
          (B) in the case of an individual, shall be fined not 
        more than $250,000, or imprisoned not more than 10 
        years, or both.
    (2) Any person who is issued a validated license under this 
Act for the export of any good or technology to a controlled 
country and who, with knowledge that such a good or technology 
is being used by such controlled country for military or 
intelligence gathering purposes contrary to the conditions 
under which the license was issued, willfully fails to report 
such use of the Secretary of Defense--
          (A) except in the case of an individual, shall be 
        fined not more than five times the value of the exports 
        involved or $1,000,000, whichever is greater; and
          (B) in the case of an individual, shall be fined not 
        more than $250,000, or imprisoned not more than 5 
        years, or both.
    (3) Any person who possesses any goods or technology--
          (A) with the intent to export such goods or 
        technology in violation of an export control imposed 
        under section 5 or 6 of this Act or any regulation, 
        order, or license issued with respect to such control, 
        or
          (B) knowing or having reason to believe that the 
        goods or technology would be so exported,
shall, in the case of a violation of an export control imposed 
under section 5 (or any regulation, order, or license issued 
with respect to such control), be subject to the penalties set 
forth in paragraph (1) of this subsection and shall, in the 
case of a violation of an export control imposed under section 
6 (or any regulation, order, or license issued with respect to 
such control), be subject to the penalties set forth in 
subsection (a).
    (4) Any person who takes any action with the intent to 
evade the provisions of this act or any regulation, order, or 
license issued under this Act shall be subject to the penalties 
set forth in subsection (a), except that in the case of an 
evasion of an export control imposed under section 5 or 6 of 
this act (or any regulation, order, or license issued with 
respect to such control), such person shall be subject to the 
penalties set forth in paragraph (1) of this subsection.
    (5) Nothing in this subsection or subsection (a) shall 
limit the power of the Secretary to define by regulations 
violations under this Act.
    (c) Civil Penalties; Administrative Sanctions.--(1) The 
Secretary (and officers and employees of the Department of 
Commerce specifically designated by the Secretary) may impose a 
civil penalty not to exceed $10,000 for each violation of this 
Act or any regulation, order, or license issued under this act, 
either in addition to or in lieu of any other liability or 
penalty which may be imposed, except that the civil penalty for 
each such violation involving national security controls 
imposed under section 5 of this Act or controls imposed on the 
export of defense articles and defense services under section 
38 of the Arms Export Control Act may not exceed $100,000.
    (2)(A) The authority under this Act to suspend or revoke 
the authority of any United States person to export goods or 
technology may be used with respect to any violation of the 
regulations issued pursuant to section 8(a) of this Act.
    (B) Any administrative sanction (including any civil 
penalty or any suspension or revocation of authority to export) 
imposed under this Act for a violation of the regulations 
issued pursuant to section 8(a) of this Act may be imposed only 
after notice and opportunity for an agency hearing on the 
record in accordance with sections 554 through 557 of title 5, 
United States Code.
    (C) Any charging letter or other document initiating 
administrative proceedings for the imposition of sanctions for 
violations of the regulations issued pursuant to section 8(a) 
of this Act shall be made available for public inspection and 
copying.
    (3) An exception may not be made to any order issued under 
this Act which revokes the authority of a United States person 
to export goods or technology unless the Committee on Foreign 
Affairs \55\ of the House of Representatives and the Committee 
on Banking, Housing, and Urban Affairs of the Senate are first 
consulted concerning the exception.
    (4) The President may by regulation provide standards for 
establishing levels of civil penalty provided in this 
subsection based upon the seriousness of the violation, the 
culpability of the violator, and the violator's record of 
cooperation with the Government in disclosing the violation.
    (d) Payment of Penalties.--The payment of any penalty 
imposed pursuant to subsection (c) may be made a condition, for 
a period not exceeding one year after the imposition of such 
penalty, to the granting, restoration, or continuing validity 
of any export license, permission, or privilege granted or to 
be granted to the person upon whom such penalty is imposed. In 
addition, the payment of any penalty imposed under subsection 
(c) may be deferred or suspended in whole or in part for a 
period of time no longer than any probation period (which may 
exceed one year) that may be imposed upon such person. Such a 
deferral or suspension shall not operate as a bar to the 
collection of the penalty in the event that the conditions of 
the suspension, deferral, or probation are not fulfilled.
    (e) Refunds.--Any amount paid in satisfaction of any 
penalty imposed pursuant to subsection (c), or any amounts 
realized from the forfeiture of any property interest or 
proceeds pursuant to subsection (g), shall be covered into the 
Treasury as a miscellaneous receipt. The head of the department 
or agency concerned may, in his discretion, refund any such 
penalty imposed pursuant to subsection (c), within 2 years 
after payment, on the ground of a material error of fact or law 
in the imposition of the penalty. Notwithstanding section 
1346(a) of title 28, United States Code, no action for the 
refund of any such penalty may be maintained in any court.
    (f) Actions for Recovery of Penalties.--In the event of the 
failure of any person to pay a penalty imposed pursuant to 
subsection (c) a civil action for the recovery thereof may, in 
the discretion of the head of the department or agency 
concerned, be brought in the name of the United States. In any 
such action the court shall determine de novo all issues 
necessary to the establishment of liability. Except as provided 
in this subsection and in subsection (d), no such liability 
shall be asserted, claimed, or recovered upon by the United 
States in any way unless it has previously been reduced to 
judgment.
    (g) Forfeiture of Property Interest and Proceeds.--(1) Any 
person who is convicted under subsection (a) or (b) of a 
violation of an export control imposed under section 5 of this 
Act (or any regulation, order, or license issued with respect 
to such control) shall, in addition to any other penalty, 
forfeit to the United States--
          (A) any of that person's interest in, security of, 
        claim against, or property or contractual rights of any 
        kind in the goods or tangible items that were the 
        subject of the violation;
          (B) any of that person's interest in, security of, 
        claim against, or property or contractual rights of any 
        kind in tangible property that was used in the export 
        or attempt to export that was the subject of the 
        violation; and
          (C) any of that person's property constituting, or 
        derived from, any proceeds obtained directly or 
        indirectly as a result of the violation.
    (2) The procedures in any forfeiture under this subsection, 
and the duties and authority of the courts of the United States 
and the Attorney General with respect to any forfeiture action 
under this subsection or with respect to any property that may 
be subject to forfeiture under this subsection, shall be 
governed by the provisions of section 1963 of title 18, United 
States Code.
    (h) \58\ Prior Convictions.--(1) No person convicted of a 
violation of this Act (or any regulation, license, or order 
issued under this Act), any regulation, license, or order 
issued under the International Emergency Economic Powers 
Act,\58\ section 793, 794, or 798 of title 18, United States 
Code, section 4(b) on the Internal Security Act of 1950 (50 
U.S.C. 783(b)), or section 38 of the Arms Export Control Act 
(22 U.S.C. 2778) shall be eligible, at the discretion of the 
Secretary, to apply for or use any export license under this 
Act for a period of up to 10 years from the date of the 
conviction. The Secretary may revoke any export license under 
this Act in which such person has an interest at the time of 
the conviction.
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    \58\ Sec. 11(h) was amended by sec. 2426 of Public Law 100-418 (102 
Stat. 1361) which inserted ``(1)'' before ``No''; inserted ``this Act 
(or any regulation, license, or order issued under this Act), any 
regulation, license, or order issued under the International Emergency 
Economic Powers Act,'' in the first sentence; and added a new para. 
(2).
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  (2) \58\ The Secretary may exercise the authority under 
paragraph (1) with respect to any person related, through 
affiliation, ownership, control, or position of responsibility, 
to any person convicted of any violation of law set forth in 
paragraph (1), upon a showing of such relationship with the 
convicted party, and subject to the procedures set forth in 
section 13(c) of this Act.
    (i) Other Authorities.--Nothing in subsection (c), (d), 
(f), (g), or (h) limits--
          (1) the availability of other administrative or 
        judicial remedies with respect to violations of this 
        Act, or any regulation, order, or license issued under 
        this Act;
          (2) the authority to compromise and settle, 
        administrative proceedings brought with respect to 
        violations of this Act, or any regulation, order, or 
        license issued under this Act; or
          (3) the authority to compromise, remit or mitigate 
        seizures and forfeitures pursuant to section 1(b) of 
        title VI of the Act of June 15, 1917 (22 U.S.C. 
        401(b)).

                 Multilateral Export Control Violations

  Sec. 11A.\59\ (a) Determination by the President.--The 
President, subject to subsection (c), shall apply sanctions 
under subsection (b) for a period of not less than 2 years and 
not more than 5 years, if the President determines that--
---------------------------------------------------------------------------
    \59\ 50 U.S.C. app. 2410a. Sec. 11A was added by sec. 2444 of 
Public Law 100-418 (102 Stat. 1366).
---------------------------------------------------------------------------
          (1) a foreign person has violated any regulation 
        issued by a country to control exports for national 
        security purposes pursuant to the agreement of the 
        group known as the Coordinating Committee, and
          (2) such violation has resulted in substantial 
        enhancement of Soviet and East bloc capabilities in 
        submarine or antisubmarine warfare, ballistic or 
        antiballistic missile technology, strategic aircraft, 
        command, control, communications and intelligence, or 
        other critical technologies as determined by the 
        President, on the advice of the National Security 
        Council, to represent a serious adverse impact on the 
        strategic balance of forces.
The President shall notify the Congress of each action taken 
under this section. This section, except subsections (h) and 
(j), applies only to violations that occur after the date of 
the enactment of the Export Enhancement Act of 1988.
  (b) Sanctions.--The sanctions referred to in subsection (a) 
shall apply to the foreign person committing the violation, as 
well as to any parent, affiliate, subsidiary, and successor 
entity of the foreign person, and, except as provided in 
subsection (c), are as follows:
          (1) a prohibition on contracting with, and 
        procurement of products and services from, a sanctioned 
        person, by any department, agency, or instrumentality 
        of the United States Government, and
          (2) a prohibition on importation into the United 
        States of all products produced by a sanctioned person.
  (c) Exceptions.--The President shall not apply sanctions 
under this section--
          (1) in the case of procurement of defense articles or 
        defense services--
                  (A) under existing contracts or subcontracts, 
                including the exercise of options for 
                production quantities to satisfy United States 
                operational military requirements;
                  (B) if the President determines that the 
                foreign person or other entity to which the 
                sanctions would otherwise be applied is a sole 
                source supplier of essential defense articles 
                or services and no alternative supplier can be 
                identified; or
                  (C) if the President determines that such 
                articles or services are essential to the 
                national security under defense coproduction 
                agreements; or
          (2) to--
                  (A) products or services provided under 
                contracts or other binding agreements (as such 
                terms are defined by the President in 
                regulations) entered into before the date on 
                which the President notifies the Congress of 
                the intention to impose the sanctions;
                  (B) spare parts;
                  (C) component parts, but not finished 
                products, essential to United States products 
                or production;
                  (D) routine servicing and maintenance of 
                products; or
                  (E) information and technology.
  (d) Exclusion.--The President shall not apply sanctions under 
this section to a parent, affiliate, subsidiary, and successor 
entity of a foreign person if the President determines that--
          (1) the parent, affiliate, subsidiary, or successor 
        entity (as the case may be) has not knowingly violated 
        the export control regulation violated by the foreign 
        person, and
          (2) the government of the country with jurisdiction 
        over the parent, affiliate, subsidiary, or successor 
        entity had in effect, at the time of the violation by 
        the foreign person, an effective export control system 
        consistent with principles agreed to in the 
        Coordinating Committee, including the following:
                  (A) national laws providing appropriate civil 
                and criminal penalties and statutes of 
                limitations sufficient to deter potential 
                violations;
                  (B) a program to evaluate export license 
                applications that includes sufficient technical 
                expertise to assess the licensing status of 
                exports and ensure the reliability of end-
                users;
                  (C) an enforcement mechanism that provides 
                authority for trained enforcement officers to 
                investigate and prevent illegal exports;
                  (D) a system of export control documentation 
                to verify the movement of goods and technology; 
                and
                  (E) procedures for the coordination and 
                exchange of information concerning violations 
                of the agreement of the Coordinating Committee.
  (e) Definitions.--For purposes of this section--
          (1) the term ``component part'' means any article 
        which is not usable for its intended functions without 
        being imbedded in or integrated into any other product 
        and which, if used in production of a finished product, 
        would be substantially transformed in that process;
          (2) the term ``finished product'' means any article 
        which is usable for its intended functions without 
        being imbedded or integrated into any other product, 
        but in no case shall such term be deemed to include an 
        article produced by a person other than a sanctioned 
        person that contains parts or components of the 
        sanctioned person if the parts or components have been 
        substantially transformed during production of the 
        finished product; and
          (3) the term ``sanctioned person'' means a foreign 
        person, and any parent, affiliate, subsidiary, or 
        successor entity of the foreign person, upon whom 
        sanctions have been imposed under this section.
  (f) Subsequent Modifications of Sanctions.--The President 
may, after consultation with the Congress, limit the scope of 
sanctions applied to a parent, affiliate, subsidiary, or 
successor entity of the foreign person determined to have 
committed the violation on account of which the sanctions were 
imposed if the President determines that--
          (1) the parent, affiliate, subsidiary, or successor 
        entity (as the case may be) has not, on the basis of 
        available evidence, itself violated the export control 
        regulation involved, either directly or through a 
        course of conduct;
          (2) the government with jurisdiction over the parent, 
        affiliate, subsidiary, or successor entity has improved 
        its export control system as measured by the criteria 
        set forth in subsection (d)(2);
          (3) the parent, affiliate, subsidiary, or successor 
        entity, has instituted improvements in internal 
        controls sufficient to detect and prevent violations of 
        the export control regime implemented under paragraph 
        (2); and
          (4) the impact of the sanctions imposed on the 
        parent, affiliate, subsidiary, or successor entity is 
        proportionate to the increased defense expenditures 
        imposed on the United States.
Notwithstanding the preceding sentence, the President may not 
limit the scope of the sanction referred to in subsection 
(b)(1) with respect to the parent of the foreign person 
determined to have committed the violation, until that sanction 
has been in effect for at least 2 years.
  (g) Reports to Congress.--The President shall include in the 
annual report submitted under section 14, a report on the 
status of any sanctions imposed under this section, including 
any exceptions, exclusions, or modifications of sanctions that 
have been applied under subsection (c), (d), or (f).
  (h) Discretionary Imposition of Sanctions.--If the President 
determines that a foreign person has violated a regulation 
issued by a country to control exports for national security 
purposes pursuant to the agreement of the group known as the 
Coordinating Committee, but in a case in which subsection 
(a)(2) may not apply, the President may apply the sanctions 
referred to in subsection (b) against that foreign person for a 
period of not more than 5 years.
  (i) Compensation for Diversion of Militarily Critical 
Technologies to Controlled Countries.--(1) In cases in which 
sanctions have been applied against a foreign person under 
subsection (a), the President shall initiate discussions with 
the foreign person and the government with jurisdiction over 
that foreign person regarding compensation on the part of the 
foreign person in an amount proportionate to the costs of 
research and development and procurement of new defensive 
systems by the United States and the allies of the United 
States to counteract the effect of the technological advance 
achieved by the Soviet Union as a result of the violation by 
that foreign person.
  (2) The President shall, at the time that discussions are 
initiated under paragraph (1), report to the Congress that such 
discussions are being undertaken, and shall report to the 
Congress the outcome of those discussions.
  (j) Other Actions by the President.--Upon making a 
determination under subsection (a) or (h), the President 
shall--
          (1) initiate consultations with the foreign 
        government with jurisdiction over the foreign person 
        who committed the violation involved, in order to seek 
        prompt remedial action by that government;
          (2) initiate discussions with the governments 
        participating in the Coordinating Committee regarding 
        the violation and means to ensure that similar 
        violations do not occur; and
          (3) consult with and report to the Congress on the 
        nature of the violation and the actions the President 
        proposes to take, or has taken, to rectify the 
        situation.
  (k) Damages for Certain Violations.--(1) In any case in which 
the President makes a determination under subsection (a), the 
Secretary of Defense shall determine the costs of restoring the 
military preparedness of the United States on account of the 
violation involved. The Secretary of Defense shall notify the 
Attorney General of his determination, and the Attorney General 
may bring an action for damages, in any appropriate district 
court of the United States, to recover such costs against the 
person who committed the violation, any person that is owned or 
controlled by the person who committed the violation, and any 
person who owns and controls the person who committed the 
violation.
  (3) The total amount awarded in any case brought under 
paragraph (2) shall be determined by the court in light of the 
facts and circumstances, but shall not exceed the amount of the 
net loss to the national security of the United States. An 
action under this subsection shall be commenced not later than 
3 years after the violation occurs, or one year after the 
violation is discovered, whichever is later.
  (l) Definition.--For purposes of this section, the term 
``foreign person'' means any person other than a United States 
person.

                MISSILE PROLIFERATION CONTROL VIOLATIONS

    Sec. 11B.\60\ (a) Violations by United States Persons.--
---------------------------------------------------------------------------
    \60\ 50 U.S.C. app. 2410b. Added by sec. 1702(b) of the National 
Defense Authorization Act for Fiscal Year 1991 (Public Law 101-510; 104 
Stat. 1741). In a memorandum of June 15, 1993 (58 F.R. 33182), the 
President delegated authorities and duties outlined in sec. 11B to the 
Secretary of Commerce, with the following exceptions:
---------------------------------------------------------------------------

          --sec. 11B(b)(1)(A) (insofar as such section authorizes 
        determinations with respect to violations by U.S. persons of 
        the AECA), sec. 11B(b)(1) (insofar as such section authorizes 
        determinations regarding activities by foreign persons, and 
        sec. 11B(b)(5)--delegated to Secretary of State;
          --sec. 11B(a)(3), 11B(b)(6), 11B(b)(7)(A) (findings)--
        Secretary of Defense;
          --sec. 11B(b)(6) (waivers)--Secretary of State shall transmit 
        to Congress, with notification to Secretary of the Treasury;
          --sec. 11B(b)(1) (pursuant to determination made by Secretary 
        of State to prohibit certain imports), and sec. 11B(b)(7) 
        (exceptions)--Secretary of the Treasury.
          (1) \61\ Sanctions.--(A) If the President determines 
        that a United States person knowingly--
---------------------------------------------------------------------------
    \61\ For the President's Memorandum of June 25, 1991, delegating 
authority regarding missile technology proliferation, see 56 F.R. 
31041; July 8, 1991.
---------------------------------------------------------------------------
                  (i) exports, transfers, or otherwise engages 
                in the trade of any item on the MTCR Annex, in 
                violation of the provisions of section 38 (22 
                U.S.C. 2778) or chapter 7 of the Arms Export 
                Control Act,\62\ section 5 or 6 of this Act, or 
                any regulations or orders issued under any such 
                provisions,
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    \62\ For text, see Legislation on Foreign Relations Through 2002, 
vol. I-A.
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                  (ii) conspires to or attempts to engage in 
                such export, transfer, or trade, or
                  (iii) facilitates such export, transfer, or 
                trade by any other person,
        then the President shall impose the applicable 
        sanctions described in subparagraph (B).
          (B) The sanctions which apply to a United States 
        person under subparagraph (A) are the following:
                  (i) If the item on the MTCR Annex involved in 
                the export, transfer, or trade is missile 
                equipment or technology within category II of 
                the MTCR Annex, then the President shall deny 
                to such United States person, for a period of 2 
                years, licenses for the transfer of missile 
                equipment or technology controlled under this 
                Act.
                  (ii) If the item on the MTCR Annex is 
                involved in the export, transfer, or trade is 
                missile equipment or technology within category 
                I of the MTCR Annex, then the President shall 
                deny to such United States person, for a period 
                of not less than 2 years, all licenses for 
                items the export of which is controlled under 
                this Act.
          (2) Discretionary sanctions.--In the case of any 
        determination referred to in paragraph (1), the 
        Secretary may pursue any other appropriate penalties 
        under section 11 of this Act.
          (3) Waiver.--The President may waive the imposition 
        of sanctions under paragraph (1) on a person with 
        respect to a product or service if the President 
        certifies to the Congress that--
                  (A) the product or service is essential to 
                the national security of the United States; and
                  (B) such person is sole source supplier of 
                the product or service, the product or service 
                is not available from any alternative reliable 
                supplier, and the need for the product or 
                service cannot be met in a timely manner by 
                improved manufacturing processes or 
                technological developments.
    (b) Transfers of Missile Equipment or Technology by Foreign 
Persons.--
          (1) \63\ Sanctions.--(A) Subject to paragraph (3) 
        through (7), if the President determines that a foreign 
        person, after the date of the enactment of this 
        section, knowingly--
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    \63\ On March 23, 1999,the Assistant Secretary of State for 
Political Military Affairs announced (Public Notice 3029, 64 F.R. 
18957) ``the United States Government has determined that certain 
entities in the Middle East have engaged in missile technology 
proliferation activities that require imposition of sanctions pursuant 
to the Arms Export Control Act, as amended, and the Export 
Administration Act of 1979, as amended (as carried out under Executive 
Order 12424 of August 19, 1994).'' Sanctions pursuant to sec. 
11B(b)(1)(b)(i) were imposed on Arab British Dynamics (ADB), Helwan 
Machinery and Equipment Company, and Kader Factory for Developed 
Industries.
    On November 21, 2000 (Public Notice 3482, 65 F.R. 71348), the 
Assistant Secretary of State for Nonproliferation determined that 
``entities in Iran and Pakistan have engaged in missile technology 
proliferation activites that require imposition of sanctions pursuant 
to the Arms Export Control Act, as amended, and the Export 
Administration Act of 1979, as amended (as carried out under Executive 
Order 12924 of August 19, 1994.'' Entities named in the notice were the 
Ministry of Defense (Pakistan), the Defense Industries Organization 
(DIO) (Iran), and the Ministry of Defense and Armed Forces Logistics 
(MODAFL) (Iran).
    Sanctions pursuant to this paragraph were also imposed on the 
Shahid Hemmat Industrial Group (SHIG) (Iran) and the SANAM Industrial 
Group (Iran) by Public Notice 3513 (November 17, 2000; 65 F.R. 79441); 
on the National Development Complex (Pakistan) and the China 
Metallurgical Equipment Corporation (China) by Public Notice 3774 
(September 1, 2001; 66 F.R. 47256); on the Changgwang Sinyong 
Corporation (North Korea) by Public Notice 4106 (August 16, 2002; 67 
F.R. 54693) and Public Notice 4326 (March 24, 2003; 63 F.R. 16113) and 
Public Notice 4418 (July 25, 2003; 68 F.R. 44136); on Mickhail 
Pavlovich Vladov (Moldovan person), Cuanta S.A. (Moldova) and Computer 
and Communicatii SRL (Moldova) by Public Notice 4374 (May 9, 2003; 68 
F.R. 31740); and on the China North Industries Corporation (China) by 
Public Notice 4493 (September 19, 2003; 68 F.R. 54930).
---------------------------------------------------------------------------
                  (i) exports, transfers, or otherwise engages 
                in the trade of any MTCR equipment or 
                technology that contributes to the design, 
                development, or production of missiles in a 
                country that is not an MTCR adherent and would 
                be, if it were United States-origin equipment 
                or technology, subject to the jurisdiction of 
                the United States under this Act.
                  (ii) conspires to or attempts to engage in 
                such export, transfer, or trade, or
                  (iii) facilitates such export, transfer, or 
                trade by any other person,
        or if the President has made a determination with 
        respect to a foreign person, under section 73(a) of the 
        Arms Export Control Act,\61\ then the President shall 
        impose on that foreign person the applicable sanctions 
        under subparagraph (B).
          (B) The sanctions which apply to a foreign person 
        under subparagraph (A) are the following:
                  (i) \62\ If the item involved in the export, 
                transfer, or trade is within category II of the 
                MTCR Annex, then the President shall deny, for 
                a period of 2 years, licenses for the transfer 
                to such foreign person of missile equipment or 
                technology the export of which is controlled 
                under this Act.
                  (ii) If the item involved in the export, 
                transfer, or trade is within category I of the 
                MTCR Annex, then the President shall deny, for 
                a period of not less than 2 years, licenses for 
                the transfer to such foreign person of items 
                the export of which is controlled under this 
                Act.
                  (iii) If, in addition to actions taken under 
                clauses (i) and (ii), the President determines 
                that the export, transfer, or trade has 
                substantially contributed to the design, 
                development, or production of missiles in a 
                country that is not an MTCR adherent, then the 
                President shall prohibit, for a period of not 
                less than 2 years, the importation into the 
                United States of products produced by that 
                foreign person.
          (2) Inapplicability with respect to mtcr adherents.--
        Paragraph (1) does not apply with respect to--
                  (A) any export, transfer, or trading activity 
                that is authorized by the laws of an MTCR 
                adherent, if such authorization is not obtained 
                by misrepresentation or fraud; or
                  (B) any export, transfer, or trade of an item 
                to an end user in a country that is an MTCR 
                adherent.
          (3) Effect of enforcement actions by mtcr 
        adherents.--Sanctions set forth in paragraph (1) may 
        not be imposed under this subsection on a person with 
        respect to acts described in such paragraph or, if such 
        sanctions are in effect against a person on account of 
        such acts, such sanctions shall be terminated, if an 
        MTCR adherent is taking judicial or other enforcement 
        action against that person with respect to such acts, 
        or that person has been found by the government of an 
        MTCR adherent to be innocent of wrongdoing with respect 
        to such acts.
          (4) Advisory opinions.--The Secretary, in 
        consultation with the Secretary of State and the 
        Secretary of Defense, may, upon the request of any 
        person, issue an advisory opinion to that person as to 
        whether a proposed activity by that person would 
        subject that person to sanctions under this subsection. 
        Any person who relies in good faith on such an advisory 
        opinion which states that the proposed activity would 
        not subject a person to such sanctions, and any person 
        who thereafter engages in such activity, may not be 
        made subject to such sanctions on account of such 
        activity.
          (5) Waiver and report to congress.--(A) In any case 
        other than one in which an advisory opinion has been 
        issued under paragraph (4) stating that a proposed 
        activity would not subject a person to sanctions under 
        this subsection, the President may waive the 
        application of paragraph (1) to a foreign person if the 
        President determines that such waiver is essential to 
        the national security of the United States.
          (B) In the event that the President decides to apply 
        the waiver described in subparagraph (A), the President 
        shall so notify the Congress not less than 20 working 
        days before issuing the waiver. Such notification shall 
        include a report fully articulating the rationale and 
        circumstances which led the President to apply the 
        waiver.
          (6) Additional waiver.--The President may waive the 
        imposition of sanctions under paragraph (1) on a person 
        with respect to a product or service if the President 
        certifies to the Congress that--
                  (A) the product or service is essential to 
                the national security of the United States; and
                  (B) such person is a sole source supplier of 
                the product or service, the product or service 
                is not available from any alternative reliable 
                supplier, and the need for the product or 
                service cannot be met in a timely manner by 
                improved manufacturing processes or 
                technological developments.
          (7) Exceptions.--The President shall not apply the 
        sanction under this subsection prohibiting the 
        importation of the products of a foreign person--
                  (A) in the case of procurement of defense 
                articles or defense services--
                          (i) under existing contracts or 
                        subcontracts, including the exercise of 
                        options for production quantities to 
                        satisfy requirements essential to the 
                        national security of the United States;
                          (ii) if the President determines that 
                        the person to which the sanctions would 
                        be applied is a sole source supplier of 
                        the defense articles and services, that 
                        the defense articles or services are 
                        essential to the national security of 
                        the United States, and that alternative 
                        sources are not readily or reasonably 
                        available; or
                          (iii) if the President determines 
                        that such articles or services are 
                        essential to the national security of 
                        the United States under defense 
                        coproduction agreements or NATO 
                        Programs of Cooperation;
                  (B) to products or services provided under 
                contracts entered into before the date on which 
                the President publishes his intention to impose 
                the sanctions; or
                  (C) to--
                          (i) spare parts,
                          (ii) component parts, but not 
                        finished products, essential to United 
                        States products or production,
                          (iii) routine services and 
                        maintenance of products, to the extent 
                        that alternative sources are not 
                        readily or reasonably available, or
                          (iv) information and technology 
                        essential to United States products or 
                        production.
    (c) Definitions.--For purposes of this section and 
subsections (k) and (l) of section 6--
          (1) the term ``missile'' means a category I system as 
        defined in the MTCR Annex, and any other unmanned 
        delivery system of similar capability, as well as the 
        specially designed production facilities for these 
        systems;
          (2) the term ``Missile Technology Control Regime'' or 
        ``MTCR'' means the policy statement, between the United 
        States, the United Kingdom, the Federal Republic of 
        Germany, France, Italy, Canada, and Japan, announced on 
        April 16, 19887, to restrict sensitive missile-relevant 
        transfers based on the MTCR Annex, and any amendments 
        thereto;
          (3) the term ``MTCR adherent'' means a country that 
        participates in the MTCR or that, pursuant to an 
        international understanding to which the United States 
        is a party, controls MTCR equipment or technology in 
        accordance with the criteria and standards set forth in 
        the MTCR;
          (4) the term ``MTCR Annex'' means the Guidelines and 
        Equipment and Technology Annex of the MTCR, and any 
        amendments thereto;
          (5) the terms ``missile equipment or technology'' and 
        ``MTCR equipment or technology'' means those items 
        listed in category I or category II of the MTCR Annex;
          (6) the term ``foreign person'' means any person 
        other than a United States person;
          (7)(A) the term ``person'' means a natural person as 
        well as a corporation, business association, 
        partnership, society, trust, any other nongovernmental 
        entity, organization, or group, and any governmental 
        entity operating as a business enterprise, and any 
        successor of any such entity; and
          (B) in the case of countries where it may be 
        impossible to identify a specific governmental entity 
        referred to in subparagraph (A), the term ``person'' 
        means--
                  (i) all activities of that government 
                relating to the development or production of 
                any missile equipment or technology; and
                  (ii) all activities of that government 
                affecting the development or production of 
                aircraft, electronics, and space systems or 
                equipment; and
          (8) the term ``otherwise engaged in the trade of'' 
        means, with respect to a particular export or transfer, 
        to be a freight forwarder or designated exporting 
        agent, or a consignee or end user of the item to be 
        exported or transferred.

        chemical and biological weapons proliferation sanctions
  Sec. 11C.\64\ (a) \65\ Imposition of Sanctions.--
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    \64\ 50 U.S.C. app. 2410c. Sec. 505(a) of the Chemical and 
Biological Weapons Control and Warfare Elimination Act of 1991 (title V 
of the Foreign Relations Authorization Act, Fiscal Years 1992 and 1993; 
Public Law 102-138; 105 Stat. 724) added sec. 11C. Subsequently, sec. 
309(a) of Public Law 102-182 (105 Stat. 1258) repealed title V of the 
Foreign Relations Authorization Act, Fiscal Years 1992 and 1993 and all 
the amendments therein, including this new sec. 11C.
    However, sec. 305(a) of Public Law 102-182 (105 Stat. 1247) amended 
this Act by inserting a new sec. 11C at this point.
    Executive Order 12851 of June 11, 1993 (58 F.R. 33181) delegated 
the authority in sec. 11C to the Secretary of State with the following 
exceptions:
---------------------------------------------------------------------------

          --sec. 11C(c)(1)(A), pursuant to a determination made by the 
        Secretary of State under sec. 81(a)(1) of the AECA or sec. 
        11C(a)(1) of this Act, as well as the authority and duties 
        provided for in sec. 81(c)(2) of the AECA and sec. 11C(c)(2) of 
        this Act--Secretary of Defense;
          --sec. 11C(c)(1)(B), pursuant to a determination made by the 
        Secretary of State under sec. 81(a)(1) of the AECA, or sec. 
        11C(a)(1) of this Act, and the obligation to implement the 
        exceptions provided for in sec. 81(c)(2) of the AECA or sec. 
        11C(c)(2) of this Act, insofar as the exceptions affect imports 
        of goods into the U.S.--Secretary of the Treasury.
---------------------------------------------------------------------------
    \65\ Effective Feb. 9, 1998, the Acting Assistant Secretary of 
State for Political-Military Affairs, issued Public Notice 2745, 
announcing that ``The United States Government had determined that an 
individual has engaged in chemical weapons proliferation activities 
that require the imposition of sanctions pursuant to the Arms Export 
Control Act and the Export Administration Act of 1979 (the authorities 
of which were most recently continued by Executive Order 12924 of 
August 19, 1994).''. The notice placed sanctions pursuant to this 
section on ``Berge Aris Balanian (a fugitive from justice previously 
residing in Germany, and last known to be in Lebanon)''.
    Sanctions pursuant to sec. 11C, announced in Public Notice 4071 
(July 9, 2002; 67 F.R. 48696), were also placed on the following 
companies and individuals, their successors, parents, or subsidiaries: 
Jiangsu Yongli Chemicals and Technology Import and Export Corporation 
(China), Q.C. Chen (China), China Machinery and Equipment Import Export 
Corporation (China), CMEC Machinery and Electric Equipment Import 
Export Company Ltd. (China), CMEC Machinery and Electrical Import 
Export Company, Ltd. (China), China Machinery and Electric Equipment 
Import and Export Company (China), Wha Cheong Tai Company Ltd. (China), 
China Shipbuilding Trading Company (China), and Hans Raj Shiv 
(previously residing in India, and last believed to be in the Middle 
East).
    Sanctions pursuant to sec. 11C, announced in Public Notice 4280 
(February 4, 2003; 68 F.R. 8068) were also placed on the following 
companies and individuals, their successors, parents, or subsidiaries: 
NEC Engineers Private, Ltd. (company originally based in India, but now 
also operating in the Middle East and Eurasia), Hans Raj Shiv 
(previously residing in India, and believed to be in the Middle East).
    Sanctions pursuant to sec. 11C, announced in Public Notice 4435 
(August 7, 2003; 67 F.R. 48696), were also placed on the following 
companies and individuals, their successors, parents, or subsidiaries: 
Mohammed al-Khatib (Jordan).
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          (1) Determination by the president.--Except as 
        provided in subsection (b)(2), the President shall 
        impose both of the sanctions described in subsection 
        (c) if the President determines that a foreign person, 
        on or after the date of the enactment of this 
        section,\66\ has knowingly and materially contributed--
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    \66\ Sec. 309(b)(1) of Public Law 102-182 (105 Stat. 1258) deemed 
this date of enactment to be the date of enactment of the Foreign 
Relations Authorization Act, Fiscal Years 1992 and 1993 (Public Law 
102-138), October 28, 1991.
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                  (A) through the export from the United States 
                of any goods or technology that are subject to 
                the jurisdiction of the United States under 
                this Act, or
                  (B) through the export from any other country 
                of any goods or technology that would be, if 
                they were United States goods or technology, 
                subject to the jurisdiction of the United 
                States under this Act, to the efforts by any 
                foreign country, project, or entity described 
                in paragraph (2) to use, develop, produce, 
                stockpile, or otherwise acquire chemical or 
                biological weapons.
          (2) Countries, projects, or entities receiving 
        assistance.--Paragraph (1) applies in the case of--
                  (A) any foreign country that the President 
                determines has, at any time after January 1, 
                1980--
                          (i) used chemical or biological 
                        weapons in violation of international 
                        law;
                          (ii) used lethal chemical or 
                        biological weapons against its own 
                        nationals; or
                          (iii) made substantial preparations 
                        to engage in the activities described 
                        in clause (i) or (ii);
                  (B) any foreign country whose government is 
                determined for purposes of section 6(j) of this 
                Act to be a government that has repeatedly 
                provided support for acts of international 
                terrorism; or
                  (C) any other foreign country, project, or 
                entity designated by the President for purposes 
                of this section.
          (3) Persons against which sanctions are to be 
        imposed.--Sanctions shall be imposed pursuant to 
        paragraph (1) on--
                  (A) the foreign person with respect to which 
                the President makes the determination described 
                in that paragraph;
                  (B) any successor entity to that foreign 
                person;
                  (C) any foreign person that is a parent or 
                subsidiary of that foreign person if that 
                parent or subsidiary knowingly assisted in the 
                activities which were the basis of that 
                determination; and
                  (D) any foreign person that is an affiliate 
                of that foreign person if that affiliate 
                knowingly assisted in the activities which were 
                the basis of that determination and if that 
                affiliate is controlled in fact by that foreign 
                person.
    (b) Consultations With and Actions by Foreign Government of 
Jurisdiction.--
          (1) Consultations.--If the President makes the 
        determinations described in subsection (a)(1) with 
        respect to a foreign person, the Congress urges the 
        President to initiate consultations immediately with 
        the government with primary jurisdiction over that 
        foreign person with respect to the imposition of 
        sanctions pursuant to this section.
          (2) Actions by government of jurisdiction.--In order 
        to pursue such consultations with that government, the 
        President may delay imposition of sanctions pursuant to 
        this section for a period of up to 90 days. Following 
        these consultations, the President shall impose 
        sanctions unless the President determines and certifies 
        to the Congress that that government has taken specific 
        and effective actions, including appropriate penalties, 
        to terminate the involvement of the foreign person in 
        the activities described in subsection (a)(1). The 
        President may delay imposition of sanctions for an 
        additional period of up to 90 days if the President 
        determines and certifies to the Congress that that 
        government is in the process of taking the actions 
        described in the preceding sentence.
          (3) Report to congress.--The President shall report 
        to the Congress, not later than 90 days after making a 
        determination under subsection (a)(1), on the status of 
        consultations with the appropriate government under 
        this subsection, and the basis for any determination 
        under paragraph (2) of this subsection that such 
        government has taken specific corrective actions.
    (c) Sanctions.--
          (1) Description of sanctions.--The sanctions to be 
        imposed pursuant to subsection (a)(1) are, except as 
        provided in paragraph (2) of this subsection, the 
        following:
                  (A) Procurement sanction.--The United States 
                Government shall not procure, or enter into any 
                contract for the procurement of, any goods or 
                services from any person described in 
                subsection (a)(3).
                  (B) Import sanctions.--The importation into 
                the United States of products produced by any 
                person described in subsection (a)(3) shall be 
                prohibited.
          (2) Exceptions.--The President shall not be required 
        to apply or maintain sanctions under this section--
                  (A) in the case of procurement of defense 
                articles or defense services--
                          (i) under existing contracts or 
                        subcontracts, including the exercise of 
                        options for production quantities to 
                        satisfy United States operational 
                        military requirements;
                          (ii) if the President determines that 
                        the person or other entity to which the 
                        sanctions would otherwise be applied is 
                        a sole source supplier of the defense 
                        articles or services, that the defense 
                        articles or services are essential, and 
                        that alternative sources are not 
                        readily or reasonably available; or
                          (iii) if the President determines 
                        that such articles or services are 
                        essential to the national security 
                        under defense coproduction agreements;
                  (B) to products or services provided under 
                contracts entered into before the date on which 
                the President publishes his intention to impose 
                sanctions;
                  (C) to--
                          (i) spare parts,
                          (ii) component parts, but not 
                        finished products, essential to United 
                        States products or production, or
                          (iii) routine servicing and 
                        maintenance of products, to the extent 
                        that alternative sources are not 
                        readily or reasonably available;
                  (D) to information and technology essential 
                to United States products or production; or
                  (E) to medical or other humanitarian items.
    (d) Termination of Sanctions.--The sanctions imposed 
pursuant to this section shall apply for a period of at least 
12 months following the imposition of sanctions and shall cease 
to apply thereafter only if the President determines and 
certifies to the Congress that reliable information indicates 
that the foreign person with respect to which the determination 
was made under subsection (a)(1) has ceased to aid or abet any 
foreign government, project, or entity in its efforts to 
acquire chemical or biological weapons capability as described 
in that subsection.
    (e) Waiver.--
          (1) Criterion for waiver.--The President may waive 
        the application of any sanction imposed on any person 
        pursuant to this section, after the end of the 12-month 
        period beginning on the date on which that sanction was 
        imposed on that person, if the President determines and 
        certifies to the Congress that such waiver is important 
        to the national security interests of the United 
        States.
          (2) Notification of and report to congress.--If the 
        President decides to exercise the waiver authority 
        provided in paragraph (1), the President shall so 
        notify the Congress not less than 20 days before the 
        waiver takes effect. Such notification shall include a 
        report fully articulating the rationale and 
        circumstances which led the President to exercise the 
        waiver authority.
    (f) Definition of Foreign Person.--For the purposes of this 
section, the term ``foreign person'' means--
          (1) an individual who is not a citizen of the United 
        States or an alien admitted for permanent residence to 
        the United States; or
          (2) a corporation, partnership, or other entity which 
        is created or organized under the laws of a foreign 
        country or which has its principal place of business 
        outside the United States.

                              ENFORCEMENT

    Sec. 12.\67\ (a) General Authority.--(1) To the extent 
necessary or appropriate to the enforcement of this Act or to 
the imposition of any penalty, forfeiture, or liability arising 
under the Export Control Act of 1949 or the Export 
Administration Act of 1969, the head of any department or 
agency exercising any function thereunder (and officers or 
employees of such department or agency specifically designated 
by the head thereof) may make such investigations within the 
United States, and the Commissioner of Customs (and officers or 
employees of the United States Customs Service specifically 
designated by the Commissioner) may make such investigations 
outside of the United States, and the head of such department 
of agency (and such officers or employees) may obtain such 
information from, require such reports or the keeping of such 
records by, make such inspection of the books, records, and 
other writings, premises, or property of, and take the sworn 
testimony of, any person. In addition, such officers or 
employees may administer oaths or affirmations, and may by 
subpoena require any person to appear and testify or to appear 
and produce books, records, and other writings, or both, and in 
the case of contumacy by, or refusal to obey a subpoena issued 
to, any such person, a district court of the United States, 
after notice to any such person and hearing, shall have 
jurisdiction to issue an order requiring such person to appear 
and give testimony or to appear and produce books, records, and 
other writings, or both, and any failure to obey such order of 
the court may be punished by such court as a contempt thereof. 
In addition to the authority conferred by this paragraph, the 
Secretary (and officers or employees of the Department of 
Commerce designated by the Secretary) may conduct, outside the 
United States, pre-license investigations and post-shipment 
verifications of items licensed for export, and investigations 
in the enforcement of section 8 of this Act.
---------------------------------------------------------------------------
    \67\ 50 U.S.C. app. 2411.
---------------------------------------------------------------------------
    (2)(A) Subject to subparagraph (B) of this paragraph, the 
United States Customs Service is authorized, in the enforcement 
of this Act, to search, detain (after search), and seize goods 
or technology at those ports of entry or exit from the United 
States where officers of the Customs Service are authorized by 
law to conduct such searches, detentions, and seizures, and at 
those places outside the United States where the Customs 
Service, pursuant to agreements or other arrangements with 
other countries, is authorized to perform enforcement 
activities.
    (B) An officer of the United States Customs Service may do 
the following in carrying out enforcement authority under this 
Act:
          (i) Stop, search, and examine a vehicle, vessel, 
        aircraft, or person on which or whom such officer has 
        reasonable cause to suspect there are any goods or 
        technology that has been, is being, or is about to be 
        exported from the United States in violation of this 
        Act.
          (ii) Search any package or container in which such 
        officer has reasonable cause to suspect there are any 
        goods or technology that has been, is being, or is 
        about to be exported from the United States in 
        violation of this Act.
          (iii) Detain (after search) or seize and secure for 
        trial any goods or technology on or about such vehicle, 
        vessel, aircraft, or person, or in such package or 
        container, if such officer has probable cause to 
        believe the goods or technology has been, is being, or 
        is about to be exported from the United States in 
        violation of this Act.
          (iv) Make arrests without warrant for any violation 
        of this Act committed in his or her presence or view or 
        if the officer has probable cause to believe that the 
        person to be arrested has committed or is committing 
        such a violation.
The arrest authority conferred by clause (iv) of this 
subparagraph is in addition to any arrest authority under other 
laws. The Customs Service may not detain for more than 20 days 
any shipment of goods or technology eligible for export under a 
general license under section 4(a)(3). In a case in which such 
detention is on account of a disagreement between the Secretary 
and the head of any other department or agency with export 
license authority under other provisions of law concerning the 
export license requirements for such goods or technology, such 
disagreement shall be resolved within that 20-day period. At 
the end of that 20-day period, the Customs Service shall either 
release the goods or technology, or seize the goods or 
technology as authorized by other provisions of law.\68\
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    \68\ The text to this point beginning with ``The Customs Service 
may not detain'' was added by sec. 2427 of Public Law 100-418 (102 
Stat. 1361).
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    (3)(A) Subject to subparagraph (B) of this paragraph, the 
Secretary shall have the responsibility for the enforcement of 
section 8 of this Act and, in the enforcement of the other 
provisions of this Act, the Secretary is authorized to search, 
detain (after search), and seize goods or technology at those 
places within the United States other than those ports 
specified in paragraph (2)(A) of this subsection. The search, 
detention (after search), or seizure of goods or technology at 
those ports and places specified in paragraph (2)(A) may be 
conducted by officers or employees of the Department of 
Commerce designated by the Secretary with the concurrence of 
the Commissioner of Customs or a person designated by the 
Commissioner.
    (B) The Secretary may designate any employee of the Office 
of Export Enforcement of the Department of Commerce to do the 
following in carrying out enforcement authority under this Act:
          (i) Execute any warrant or other process issued by a 
        court or officer of competent jurisdiction with respect 
        to the enforcement of the provisions of this Act.
          (ii) Make arrests without warrant for any violation 
        of this Act committed in his or her presence or view, 
        or if the officer or employee has probable cause to 
        believe that the person to be arrested has committed or 
        is committing such a violation.
          (iii) Carry firearms in carrying out any activity 
        described in clause (i) or (ii).
    (4) The authorities first conferred by the Export 
Administration Amendments Act of 1985 under paragraph (3) shall 
be exercised pursuant to guidelines approved by the Attorney 
General. Such guidelines shall be issued not later than 120 
days after the date of the enactment of the Export 
Administration Amendments Act of 1985.
    (5) All cases involving violations of this Act shall be 
referred to the Secretary for purposes of determining civil 
penalties and administrative sanctions under section 11(c) of 
this Act, or to the Attorney General for criminal action in 
accordance with this Act.
    (6) Notwithstanding any other provision of law, the United 
States Customs Service may expend in the enforcement of export 
controls under this Act not more than $12,000,000 in the fiscal 
year 1985 and not more than $14,000,000 in the fiscal year 
1986.
    (7) Not later than 90 days after the date of the enactment 
of the Export Administration Amendments Act of 1985, the 
Secretary, with the concurrence of the Secretary of the 
Treasury, shall publish in the Federal Register procedures 
setting forth, in accordance with this subsection, the 
responsibilities of the Department of Commerce and the United 
States Customs Service in the enforcement of this Act. In 
addition, the Secretary, with the concurrence of the Secretary 
of the Treasury, may publish procedures for the sharing of 
information in accordance with subsection (c)(3) of this 
section, and procedures for the submission to the appropriate 
departments and agencies by private persons of information 
relating to the enforcement of this Act.
    (8) For purposes of this section, a reference to the 
enforcement of this Act or to a violation of this Act includes 
a reference to the enforcement or a violation of any 
regulation, order, or license issued under this Act.
    (b) Immunity.--No person shall be excused from complying 
with any requirements under this section because of his 
privilege against self-incrimination, but the immunity 
provisions of section 6002 of title 18, United States Code, 
shall apply with respect to any individual who specifically 
claims such privilege.
    (c) Confidentiality.--(1) Except as otherwise provided by 
the third sentence of section 8(b)(2) and by section 
11(c)(2)(C) of this Act, information obtained under this Act on 
or before June 30, 1980, which is deemed confidential, 
including Shippers' Export Declarations, or with reference to 
which a request for confidential treatment is made by the 
person furnishing such information, shall be exempt from 
disclosure under section 552 of title 5, United States Code, 
and such information shall not be published or disclosed unless 
the Secretary determines that the withholding thereof is 
contrary to the national interest. Information obtained under 
this Act after June 30, 1980, may be withheld only to the 
extent permitted by statute, except that information obtained 
for the purpose of consideration of, or concerning, license 
applications under this Act shall be withheld from public 
disclosure unless the release of such information is determined 
by the Secretary to be in the national interest. Enactment of 
this subsection shall not affect any judicial proceeding 
commenced under section 552 of title 5, United States Code, to 
obtain access to boycott reports submitted prior to October 31, 
1976, which was pending on May 15, 1979; but such proceeding 
shall be continued as if this Act had not been enacted.
    (2) Nothing in this Act shall be construed as authorizing 
the withholding of information from the Congress or from the 
General Accounting Office. All information at any time under 
this Act or previous Acts regarding the control of exports, 
including any report or license application required under this 
Act, shall be made available to any committee or subcommittee 
of Congress of appropriate jurisdiction upon request of the 
chairman or ranking minority member of such committee or 
subcommittee. No such committee or subcommittee, or member 
thereof, shall disclose any information obtained under this Act 
or previous Acts regarding the control of exports which is 
submitted on a confidential basis unless the full committee 
determines that the withholding of that information is contrary 
to the national interest. Notwithstanding paragraph (1) of this 
subsection, information referred to in the second sentence of 
this paragraph shall, consistent with the protection of 
intelligence, counterintelligence, and law enforcement sources, 
methods, and activities, as determined by the agency that 
originally obtained the information, and consistent with the 
provisions of section 313 of the Budget and Accounting Act, 
1921, be made available only by that agency, upon request, to 
the Comptroller General of the United States or to any officer 
or employee of the General Accounting Office who is authorized 
by the Comptroller General to have access to such information. 
No officer or employee of the General Accounting Office shall 
disclose, except to the Congress in accordance with this 
paragraph, any such information which is submitted on  a  
confidential  basis and from which any individual can be 
identified.
    (3) Any department or agency which obtains information 
which is relevant to the enforcement of this Act, including 
information pertaining to any investigation, shall furnish such 
information to each department or agency with enforcement 
responsibilities under this Act to the extent consistent with 
the protection of intelligence, counterintelligence, and law 
enforcement sources, methods, and activities. The provisions of 
this paragraph shall not apply to information subject to the 
restrictions set forth in section 9 of title 13, United States 
Code; and return information, as defined in subsection (b) of 
section 6103 of the Internal Revenue Code of 1986,\69\ may be 
disclosed only as authorized by such section. The Secretary and 
the Commissioner of Customs, upon request, shall exchange any 
licensing and enforcement information with each other which is 
necessary to facilitate enforcement efforts and effective 
license decisions. The Secretary, the Attorney General, and the 
Commissioner of Customs shall consult on a continuing basis 
with one another and with the heads of other departments and 
agencies which obtain information subject to this paragraph, in 
order to facilitate the exchange of such information.
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    \69\ Sec. 2 of the Tax Reform Act of 1986 (Public Law 99-514; 100 
Stat. 2095) struck out ``Internal Revenue Code of 1954'' and inserted 
in lieu thereof ``Internal Revenue Code of 1986'', wherever it is cited 
in any law.
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    (d) Reporting Requirements.--In the administration of this 
Act, reporting requirements shall be so designed as to reduce 
the cost of reporting, recordkeeping, and export documentation 
required under this Act to the extent feasible consistent with 
effective enforcement and compilation of useful trade 
statistics. Reporting, recordkeeping, and export documentation 
requirements shall be periodically reviewed and revised in the 
light of developments in the field of information technology.
    (e) Simplification of Regulations.--The Secretary, in 
consultation with appropriate United States Government 
departments and agencies and with appropriate technical 
advisory committees established under section 5(h), shall 
review the regulations issued under this Act and the commodity 
control list in order to determine how compliance with the 
provisions of this Act can be facilitated by simplifying such 
regulations, by simplifying or clarifying such list, or by any 
other means.

              ADMINISTRATIVE PROCEDURE AND JUDICIAL REVIEW

    Sec. 13.\70\ (a) Exemption.--Except as provided in section 
11(c)(2) and subsection (c) of this section, the functions 
exercised under this Act are excluded from the operation of 
sections 551, 553 through 559, and 701 through 706 of title 5, 
United States Code.
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    \70\ 50 U.S.C. app. 2412.
---------------------------------------------------------------------------
    (b) Public Participation.--It is the intent of the Congress 
that, to the extent practicable, all regulations imposing 
controls on exports under this Act be issued in proposed form 
with meaningful opportunity for public comment before taking 
effect. In cases where a regulation imposing controls under 
this Act is issued with immediate effect, it is the intent of 
the Congress that meaningful opportunity for public comment 
also be provided and that the regulation be reissued in final 
form after public comments have been fully considered.
    (c) Procedures Relating to Civil Penalties and Sanctions.--
(1) In any case in which a civil penalty or other civil 
sanction (other than a temporary denial order or a penalty or 
sanction for a violation of section 8) is sought under section 
11 of this Act, the charged party is entitled to receive a 
formal complaint specifying the charges and, at his or her 
request, to contest the charges in a hearing before an 
administrative law judge. Subject to the provisions of this 
subsection, any such hearing shall be conducted in accordance 
with sections 556 and 557 of title 5, United States Code. With 
the approval of the administrative law judge, the Government 
may present evidence in camera in the presence of the charged 
party or his or her representative. After the hearing, the 
administrative law judge shall make findings of fact and 
conclusions of law in a written decision, which shall be 
referred to the Secretary. The Secretary shall, in a written 
order, affirm, modify, or vacate the decision of the 
administrative law judge within 30 days after receiving the 
decision. The order of the Secretary shall be final and is not 
subject to judicial review, except as provided in paragraph 
(3).\71\
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    \71\ Sec. 13(c) was amended by sec. 2428(a)(1) of Public Law 100-
418 (102 Stat. 1361) which inserted the text ``, except as provided in 
paragraph (3)'' in the last sentence of para. (1); redesignated para. 
(3) as para. (4); and inserted a new para. (3) after para. (2).
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    (2) The proceedings described in paragraph (1) shall be 
concluded within a period of 1 year after the complaint is 
submitted, unless the administrative law judge extends such 
period for good cause shown.
  (3) \70\ The order of the Secretary under paragraph (1) shall 
be final, except that the charged party may, within 15 days 
after the order is issued, appeal the order in the United 
States Court of Appeals for the District of Columbia Circuit, 
which shall have jurisdiction of the appeal. The court may, 
while the appeal is pending, stay the order of the Secretary. 
The court may review only those issues necessary to determine 
liability for the civil penalty or other sanction involved. In 
an appeal filed under this paragraph, the court shall set aside 
any finding of fact for which the court finds there is not 
substantial evidence on the record and any conclusion of law 
which the court finds to be arbitrary, capricious, an abuse of 
discretion, or otherwise not in accordance with law.
    (4) \70\ An administrative law judge referred to in this 
subsection shall be appointed by the Secretary from among those 
considered qualified for selection and appointment under 
section 3105 of title 5, United States Code. Any person who, 
for at least 2 of the 10 years immediately preceding the date 
of the enactment of the Export Administration Amendments Act of 
1985, has served as a hearing commissioner of the Department of 
Commerce shall be included among these considered as qualified 
for selection and appointment to such position.
    (d) Imposition of Temporary Denial Orders.--(1) In any case 
in which it is necessary, in the public interest, to prevent an 
imminent violation of this Act or any regulation, order, or 
license issued under this Act, the Secretary may, without a 
hearing, issue an order temporarily denying United States 
export privileges (hereinafter in this subsection referred to 
as a ``temporary denial order'') to a person. A temporary 
denial order may be effective no longer than 180 \72\ days 
unless renewed in writing by the Secretary for additional 180-
day \72\ periods in order to prevent such an imminent 
violation, except that a temporary denial order may be renewed 
only after notice and an opportunity for a hearing is provided.
---------------------------------------------------------------------------
    \72\ The figure ``180'' was substituted in lieu of ``60'' by sec. 
2428(b) of Public Law 100-418 (102 Stat. 1362).
---------------------------------------------------------------------------
    (2) A temporary denial order shall define the imminent 
violation and state why the temporary denial order was granted 
without a hearing. The person or persons subject to the 
issuance or renewal of a temporary denial order may file an 
appeal of the issuance or renewal of the temporary denial order 
with an administrative law judge who shall, within 10 working 
days after the appeal is filed, recommend that the temporary 
denial order be affirmed, modified, or vacated. Parties may 
submit briefs and other material to the judge. The 
recommendation of the administrative law judge shall be 
submitted to the Secretary who shall either accept, reject, or 
modify the recommendation by written order within 5 working 
days after receiving the recommendation. The written order of 
the Secretary under the preceding sentence shall be final and 
is not subject to judicial review, except as provided in 
paragraph (3).\73\ The temporary denial order shall be affirmed 
only if it is reasonable to believe that the order is required 
in the public interest to prevent an imminent violation of this 
Act or any regulation, order, or license issued under this Act. 
All materials submitted to the administrative law judge and the 
Secretary shall constitute the administrative record for 
purposes of review by the courts.\73\
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    \73\ Sec. 13(d) was amended by sec. 2428(a)(2) of Public Law 100-
418 (102 Stat. 1362) which inserted the text ``, except as provided in 
paragraph (3)'' in the fifth sentence of para. (2); added the text 
beginning with ``All materials submitted'' to the end of para. (2); and 
added a new para. (3).
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  (3) \73\ An order of the Secretary affirming, in whole or in 
part, the issuance of a temporary denial order may, within 15 
days after the order is issued, be appealed by a person subject 
to the order to the United States Court of Appeals for the 
District of Columbia Circuit, which shall have jurisdiction of 
the appeal. The court may review only those issues necessary to 
determine whether the standard for issuing the temporary denial 
order has been met. The court shall vacate the Secretary's 
order if the court finds that the Secretary's order is 
arbitrary, capricious, an abuse of discretion, or otherwise not 
in accordance with law.
    (e) Appeals From License Denials.--A determination of the 
Secretary, under section 10(f) of this Act, to deny a license 
may be appealed by the applicant to an administrative law judge 
who shall have the authority to conduct proceedings to 
determine only whether the item sought to be exported is in 
fact on the control list. Such proceedings shall be conducted 
within 90 days after the appeal is filed. Any determination by 
an administrative law judge under this subsection and all 
materials filed before such judge in the proceedings shall be 
reviewed by the Secretary, who shall either affirm or vacate 
the determination in a written decision within 30 days after 
receiving the determination. The Secretary's written decision 
shall be final and is not subject to judicial review. Subject 
to the limitations provided in section 12(c) of this Act, the 
Secretary's decision shall be published in the Federal 
Register.

                             ANNUAL REPORT

    Sec. 14.\74\ (a) Contents.--Not later than December 31 of 
each year, the Secretary shall submit to the Congress a report 
on the administration of this Act during the preceding fiscal 
year. All agencies shall cooperate fully with the Secretary in 
providing information for such report. Such report shall 
include detailed information with respect to--
---------------------------------------------------------------------------
    \74\ 50 U.S.C. app. 2413.
---------------------------------------------------------------------------
          (1) the implementation of the policies set forth in 
        section 3;
          (2) general licensing activities under sections 5, 6, 
        and 7, and any changes in the exercise of the 
        authorities contained in sections 5(a), 6(a), and 7(a);
          (3) the results of the review of United States policy 
        toward individual countries pursuant to section 5(b);
          (4) the results, in as much detail as may be included 
        consistent with the national security and the need to 
        maintain the confidentiality of proprietary 
        information, of the actions, including reviews and 
        revisions of export controls maintained for national 
        security purposes, required by section 5(c)(3);
          (5) actions taken to carry our section 5(d);
          (6) changes in categories of items under export 
        control referred to in section 5(e);
          (7) determinations of foreign availability made under 
        section 5(f), the criteria used to make such 
        determinations, the removal of any export controls 
        under such section, and any evidence demonstrating a 
        need to impose export controls for national security 
        purposes notwithstanding foreign availability;
          (8) actions taken in compliance with section 5(f)(6); 
        \75\
---------------------------------------------------------------------------
    \75\ Sec. 2418(c) of Public Law 100-418 (102 Stat. 1357) inserted 
``5(f)(6)'' in lieu of ``5(f)(5)''.
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          (9) the operation of the indexing system under 
        section 5(g);
          (10) consultations with the technical advisory 
        committees established pursuant to section 5(h), the 
        use made of the advice rendered by such committees, and 
        the contributions of such committees toward 
        implementing the policies set forth in this Act;
          (11) the effectiveness of export controls imposed 
        under section 6 in furthering the foreign policy of the 
        United States;
          (12) export controls and monitoring under section 7;
          (13) the information contained in the reports 
        required by section 7(b)(2), together with an analysis 
        of--
                  (A) the impact on the economy and world trade 
                of shortages or increased prices for 
                commodities subject to monitoring under this 
                Act or section 812 of the Agricultural Act of 
                1970;
                  (B) the worldwide supply of such commodities; 
                and
                  (C) actions being taken by other countries in 
                response to such shortages or increased prices;
          (14) actions taken by the President and the Secretary 
        to carry out the antiboycott policies set forth in 
        section 3(5) of this Act;
          (15) organizational and procedural changes undertaken 
        in furtherance of the policies set forth in this Act, 
        including changes to increase the efficiency of the 
        export licensing process and to fulfill the 
        requirements of section 10, including an accounting of 
        appeals received, court orders issued, and actions 
        taken pursuant thereto under subsection (j) of such 
        section;
          (16) delegations of authority by the President as 
        provided in section 4(e) of this Act;
          (17) efforts to keep the business sector of the 
        Nation informed with respect to policies and procedures 
        adopted under this Act;
          (18) any reviews undertaken in furtherance of the 
        policies of this Act, including the results of the 
        review required by section 12(d), and any action taken, 
        on the basis of the review required by section 12(e), 
        to simplify regulations issued under this Act;
          (19) violations under section 11 and enforcement 
        activities under section 12; and
          (20) the issuance of regulations under the authority 
        of this Act, including an explanation of each case in 
        which regulations were not issued in accordance with 
        the first sentence of section 13(b).
    (b) Report on Certain Export Controls.--To the extent that 
the President determines that the policies set forth in section 
3 of this Act require the control of the export of goods and 
technology other than those subject to multilateral controls, 
or require more stringent controls than the multilateral 
controls, the President shall include in each annual report the 
reasons for the need to impose, or to continue to impose, such 
controls and the estimated domestic economic impact on the 
various industries affected by such controls.
    (c) Report on Negotiations.--The President shall include in 
each annual report a detailed report on the progress of the 
negotiations required by section 5(i), until such negotiations 
are concluded.
    (d) Report on Exports to Controlled Countries.--The 
Secretary shall include in each annual report a detailed report 
which lists every license for exports to controlled countries 
which was approved under this Act during the preceding fiscal 
year. Such report shall specify to whom the license was 
granted, the type of goods or technology exported, and the 
country receiving the goods or technology. The information 
required by this subsection shall be subject to the provisions 
of section 12(c) of this Act.
    (e) Report on Domestic Economic Impact of Exports to 
Controlled Countries.--The Secretary shall include in each 
annual report a detailed description of the extent of injury to 
United States industry and the extent of job displacement 
caused by United States exports of goods and technology to 
controlled countries. The annual report shall also include a 
full analysis of the consequences of exports of turnkey plants 
and manufacturing facilities to controlled countries which are 
used by such countries to produce goods for export to the 
United States or to compete with United States products in 
export markets.
  (f) \76\ Annual Report of the President.--The President shall 
submit an annual report to the Congress estimating the 
additional defense expenditures of the United States arising 
from illegal technology transfers, focusing on estimated 
defense costs arising from illegal technology transfers that 
resulted in a serious adverse impact on the strategic balance 
of forces. These estimates shall be based on assessment by the 
intelligence community of any technology transfers that 
resulted in such serious adverse impact. This report may have a 
classified annex covering any information of a sensitive 
nature.
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    \76\ Subsec. (f) was added by sec. 2445 of Public Law 100-418 (102 
Stat. 1369).
---------------------------------------------------------------------------

                ADMINISTRATIVE AND REGULATORY AUTHORITY

    Sec. 15.\77\ (a) Under Secretary of Commerce.--The 
President shall appoint, by and with the advice and consent of 
the Senate, an Under Secretary of Commerce for Export 
Administration who shall carry out all functions of the 
Secretary under this Act and such other statutes that relate to 
national security \78\ which were delegated to the office of 
the Assistant Secretary of Commerce for Trade Administration 
before the date of the enactment of the Export Administration 
Amendments Act of 1985, and such other functions under this Act 
which were delegated to such office before such date of 
enactment, as the Secretary may delegate. The President shall 
appoint, by and with the advice and consent of the Senate, two 
Assistant Secretaries of Commerce to assist the Under Secretary 
in carrying out such functions.
---------------------------------------------------------------------------
    \77\ 50 U.S.C. app. 2414.
    \78\ The words ``and such other statutes that relate to national 
security'' were added by sec. 2429 of Public Law 100-418 (102 Stat. 
1362).
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    (b) Issuance of Regulations.--The President and the 
Secretary may issue such regulations as are necessary to carry 
out the provisions of this Act. Any such regulations issued to 
carry out the provisions of section 5(a), 6(a), 7(a), or (8)(b) 
may apply to the financing, transporting, or other servicing of 
exports and the participation therein by any person. Any such 
regulations the purpose of which is to carry out the provisions 
of section 5, or of section 4(a) for the purpose of 
administering the provisions of section 5, may be issued only 
after the regulations are submitted for review to the Secretary 
of Defense, the Secretary of State,\78\ such other departments 
and agencies as the Secretary considers appropriate,\79\ and 
the appropriate technical advisory committee. The preceding 
sentence does not require the concurrence or approval of any 
official, department, or agency to which such regulations are 
submitted.
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    \79\ The third sentence of sec. 15(b) was amended by sec. 
2420(b)(1) of Public Law 100-418 (102 Stat. 1358) which deleted the 
word ``and'' which preceded ``such other'' and inserted ``and the 
appropriate technical advisory committee'' after ``appropriate''.
---------------------------------------------------------------------------
    (c) Amendments to Regulations.--If the Secretary proposes 
to amend regulations issued under this Act, the Secretary shall 
report to the Committee on Banking, Housing, and Urban Affairs 
of the Senate and the Committee on Foreign Affairs \80\ of the 
House of Representatives on the intent and rationale of such 
amendments. Such report shall evaluate the cost and burden to 
United States exporters of the proposed amendments in relation 
to any enhancement of licensing objectives. The Secretary shall 
consult with the technical advisory committees authorized under 
section 5(h) of this Act in formulating or amending regulations 
issued under this Act. The procedures defined by regulations in 
effect on January 1, 1984, with respect to sections 4 and 5 of 
this Act, shall remain in effect unless the Secretary 
determines, on the basis of substantial and reliable evidence, 
that specific change is necessary to enhance the prevention of 
diversions of exports which would prove detrimental to the 
national security of the United States or to reduce the 
licensing and paperwork burden on exporters and their 
distributors.
---------------------------------------------------------------------------
    \80\ Sec. 1(a)(5) of Public Law 104-14 (109 Stat. 186) provided 
that references to the Committee on Foreign Affairs of the House of 
Representatives shall be treated as referring to the Committee on 
International Relations of the House of Representatives.
---------------------------------------------------------------------------

                              DEFINITIONS

    Sec. 16.\81\ As used in this Act--
---------------------------------------------------------------------------
    \81\ 50 U.S.C. app. 2415.
---------------------------------------------------------------------------
          (1) the term ``person'' includes the singular and the 
        plural and any individual, partnership, corporation, or 
        other form of association, including any government or 
        agency thereof;
          (2) the term ``United States person'' means any 
        United States resident or national (other than an 
        individual resident outside the United States and 
        employed by other than a United States person), any 
        domestic concern (including any permanent domestic 
        establishment of any foreign concern) and any foreign 
        subsidiary or affiliate (including any permanent 
        foreign establishment) of any domestic concern which is 
        controlled in fact by such domestic concern, as 
        determined under regulations of the President;
          (3) the term ``good'' means any article, natural or 
        manmade substance, material, supply or manufactured 
        product, including inspection and test equipment, and 
        excluding technical data;
          (4) the term ``technology'' means the information and 
        knowhow (whether in tangible form, such as models, 
        prototypes, drawings, sketches, diagrams, blueprints, 
        or manuals, or in intangible form, such as training or 
        technical services) that can be used to design, 
        produce, manufacture, utilize, or reconstruct goods, 
        including computer software and technical data, but not 
        the goods themselves;
          (5) the term ``export'' means--
                  (A) an actual shipment, transfer, or 
                transmission of goods or technology out of the 
                United States;
                  (B) a transfer of goods or technology in the 
                United States to an embassy or affiliate of a 
                controlled country; or
                  (C) a transfer to any person of goods or 
                technology either within the United States or 
                outside of the United States with the knowledge 
                or intent that the goods or technology will be 
                shipped, transferred, or transmitted to an 
                unauthorized recipient;
          (6) the term ``controlled country'' means a 
        controlled country under section 5(b)(1) of this Act;
          (7) the term ``United States'' means the States of 
        the United States, the District of Columbia, and any 
        commonwealth, territory, dependency, or possession of 
        the United States, and includes the outer Continental 
        Shelf, as defined in section 2(a) of the Outer 
        Continental Shelf Lands Act (43 U.S.C. 1331(a)); and
          (8) the term ``Secretary'' means the Secretary of 
        Commerce.

                          EFFECT ON OTHER ACTS

    Sec. 17.\82\ (a) In General.--Except as otherwise provided 
in this Act, nothing contained in this Act shall be construed 
to modify, repeal, supersede, or otherwise affect the 
provisions of any other laws authorizing control over exports 
of any commodity.
---------------------------------------------------------------------------
    \82\ 50 U.S.C. app. 2416.
---------------------------------------------------------------------------
    (b) Coordination of Controls.--The authority granted to the 
President under this Act shall be exercised in such manner as 
to achieve effective coordination with the authority exercised 
under section 38 of the Arms Export Control Act (22 U.S.C. 
2778).
    (c) Civil Aircraft Equipment.--Notwithstanding any other 
provision of law, any product (1) which is standard equipment 
certified by the Federal Aviation Administration, in civil 
aircraft and is an integral part of such aircraft, and (2) 
which is to be exported to a country other than a controlled 
country, shall be subject to export controls exclusively under 
this Act. Any such product shall not be subject to controls 
under section 38(b)(2) of the Arms Export Control Act.
    (d) Nonproliferation Controls.--(1) Nothing in section 5 or 
6 of this Act shall be construed to supersede the procedures 
published by the President pursuant to section 309(c) of the 
Nuclear Non-Proliferation Act of 1978.
    (2) With respect to any export license application which, 
under the procedures published by the President pursuant to 
section 309(c) of the Nuclear Non-Proliferation Act of 1978, is 
referred to the Subgroup on Nuclear Export Coordination or 
other interagency group, the provisions of section 10 of this 
Act shall apply with respect to such license application only 
to the extent that they are consistent with such published 
procedures, except that if the processing of any such 
application under such procedures is not completed within 180 
days after the receipt of the application by the Secretary, the 
applicant shall have the rights of appeal and court action 
provided in section 10(j) of this Act.
    (e) Termination of Other Authority.--On October 1, 1979, 
the Mutual Defense Assistance Control Act of 1951 (22 U.S.C. 
1611-1613d), is superseded.
    (f) Agricultural Act of 1970.--Nothing in this Act shall 
affect the provisions of the last sentence of section 812 of 
the Agricultural Act of 1970 (7 U.S.C. 612c-3).

                    AUTHORIZATION OF APPROPRIATIONS

    Sec. 18.\83\ (a) Requirement of Authorizing Legislation.--
(1) Notwithstanding any other provisions of law, money 
appropriated to the Department of Commerce for expenses to 
carry out the purposes of this Act may be obligated or expended 
only if--
---------------------------------------------------------------------------
    \83\ 50 U.S.C. app. 2417.
---------------------------------------------------------------------------
          (A) the appropriation thereof has been previously 
        authorized by law enacted on or after the date of the 
        enactment of the Export Administration Amendments Act 
        of 1985; or
          (B) the amount of all such obligations and 
        expenditures does not exceed an amount previously 
        prescribed by law enacted on or after such date.
    (2) To the extent that legislation enacted after the making 
of an appropriation to carry out the purposes of this Act 
authorizes the obligation or expenditure thereof, the 
limitation contained in paragraph (1) shall have no effect.
    (3) The provisions of this subsection shall not be 
superseded except by a provision of law enacted after the date 
of the enactment of the Export Administration Amendments Act of 
1985 which specifically repeals, modifies, or supersedes the 
provisions of this subsection.
    (b) \84\ Authorization.--There are authorized to be 
appropriated to the Department of Commerce to carry out the 
purposes of this Act--
---------------------------------------------------------------------------
    \84\ Subsec. (b) was amended and restated by sec. 1 of Public Law 
103-10 (107 Stat. 40; enacted March 27, 1993). The subsection, as 
previously amended, formerly read as follows:
    ``(b) Authorization.--There are authorized to be appropriated to 
the Department of Commerce to carry out the purposes of this Act--
---------------------------------------------------------------------------

          ``(1) $35,935,000 for the fiscal year 1988, of which 
        $12,746,000 shall be available only for enforcement, $2,000,000 
        shall be available only for foreign availability assessments 
        under subsections (f) and (h)(6) of section 5, and $21,189,000 
        shall be available for all other activities under this Act;
          ``(2) $46,913,000 for the fiscal year 1989, of which 
        $15,000,000 shall be available only for enforcement, $5,000,000 
        shall be available only for foreign availability assessments 
        under subsections (f) and (h)(6) of section 5, $4,000,000 shall 
        be available only for regional export control assistance 
        centers, and $22,913,000 shall be available for all other 
        activities under this Act; and
          ``(3) such additional amounts for each of the fiscal years 
        1988 and 1989 as may be necessary for increases in salary, pay, 
        retirement, other employee benefits authorized by law, and 
        other nondiscretionary costs.''.
          (1) $42,813,000 for the fiscal year 1993;
          (2) such sums as may be necessary for the fiscal year 
        1994; and
          (3) such additional amounts, for each such fiscal 
        year, as may be necessary for increases in salary, pay, 
        retirement, other employee benefits authorized by law, 
        and other nondiscretionary costs.

                             EFFECTIVE DATE

    Sec. 19.\85\ (a) Effective Date.--This Act shall take 
effect upon the expiration of the Export Administration Act of 
1969.
---------------------------------------------------------------------------
    \85\ 50 U.S.C. app. 2418.
---------------------------------------------------------------------------
    (b) Issuance of Regulations.--(1) Regulations implementing 
the provisions of section 10 of this Act shall be issued and 
take effect not later than July 1, 1980.
    (2) Regulations implementing the provisions of section 7(c) 
of this Act shall be issued and take effect not later than 
January 1, 1980.

                            TERMINATION DATE

    Sec. 20.\86\ The authority granted by this Act terminates 
on August 20, 2001.\87\
---------------------------------------------------------------------------
    \86\ 50 U.S.C. app. 2419.
    \87\ Sec. 2431 of Public Law 100-418 (102 Stat. 1362) extended the 
termination date from 1989 to 1990. The Act expired on September 30, 
1990. Sec. 2 of Public Law 103-10 (107 Stat. 40) subsequently renewed 
the authority of the Act on March 27, 1993, by striking ``September 30, 
1990'' and inserting in lieu thereof ``June 30, 1994''. For the 
intervening period of September 30, 1990 to March 27, 1993, authority 
of the Act was continued by Executive Order 12730 of September 30, 1990 
(55 F.R. 40373), and further extended by Notice of September 25, 1992 
(57 F.R. 44649). Public Law 103-277 (108 Stat. 1407) extended the 
termination day by striking out ``June 30, 1994'' and inserting in lieu 
thereof ``August 20, 1994''. On November 13, 2000, Public Law 106-508 
(114 Stat. 2360) extended the authority of the Act to August 20, 2001.
    For the intervening period from August 20, 1994 through August 20, 
2001, the authority of the Act was extended pursuant to Executive Order 
12924 of August 19, 1994 (59 F.R. 43437), and further extended by 
Notice of August 15, 1995 (60 F.R. 42767); by Notice of August 14, 1996 
(61 F.R. 42525); by Notice of August 13, 1997 (62 F.R. 43269); by 
Notice of August 13, 1998 (63 F.R. 44119); by Notice of August 10, 1999 
(64 F.R. 44101); by Notice of August 3, 2000 (65 F.R. 48347).
    In Executive Order 13206 of April 4, 2001 (66 F.R. 18397), in view 
of the reauthorization and extension of the Act by Public Law 106-508, 
the President revoked Executive Order 12924.
    In light of the expiration of the Act on August 20, 2001, in 
Executive Order 13222 of August 17, 2001 (66 F.R. 44025), the President 
continued the authority of the Act, effective midnight August 21, 2001. 
The authority of the Act was further continued by Notice of August 14, 
2002 (67 F.R. 53719); and by Notice of August 7, 2003 (68 F.R. 47831).
---------------------------------------------------------------------------

                           SAVINGS PROVISIONS

    Sec. 21.\88\ (a) In General.--All delegations, rules, 
regulations, orders, determinations, licenses, or other forms 
of administrative action which have been made, issued, 
conducted, or allowed to become effective under the Export 
Control Act of 1949 or the Export Administration Act of 1969 
and which are in effect at the time this Act takes effect shall 
continue in effect according to their terms until modified, 
superseded, set aside, or revoked under this Act.
---------------------------------------------------------------------------
    \88\ 50 U.S.C. app. 2420.
---------------------------------------------------------------------------
    (b) Administrative Proceedings.--This Act shall not apply 
to any administrative proceedings commenced or any application 
for a license made, under the Export Administration Act of 
1969, which is pending at the time this Act takes effect.

                          TECHNICAL AMENDMENTS

    Sec. 22.\89\ * * *
---------------------------------------------------------------------------
    \89\ Sec. 22 amended the Arms Export Control Act, the Energy Policy 
and Conservation Act and the Internal Revenue Code of 1954 [1986].
---------------------------------------------------------------------------

           INTERNATIONAL INVESTMENT SURVEY ACT AUTHORIZATIONS

    Sec. 23.\90\ * * *
---------------------------------------------------------------------------
    \90\ Sec. 23 provided authorization of funds for fiscal years 1980 
and 1981 for the International Investment and Trade in Services Survey 
Act.
---------------------------------------------------------------------------

                             MISCELLANEOUS

    Sec. 24.\91\ * * *
---------------------------------------------------------------------------
    \91\ Sec. 24 amended the Agricultural Trade Development and 
Assistance Act of 1954 (Public Law 480).
                      b. China Satellite Provision

Partial text of Public Law 106-553 Department of Commerce, Justice, and 
  State, the Judiciary, and Related Agencies Appropriations Act, 2001 
          [H.R. 5548, enacted by reference] 114 Stat. 2762A-51

 Making appropriations for the Government of the District of Columbia 
 and other activities in whole or in part against the revenues of said 
 District for the fiscal year ending September 30, 2001, and for other 
                               purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,
    Section 1. (a) The provisions of the following bills of the 
106th Congress are hereby enacted into law
          (1) H.R. 5547, introduced on October 25, 2000.
          (2) H.R. 5548, introduced on October 25, 2000.
          * * * * * * *

                         APPENDIX B--H.R. 5548

    That the following sums are appropriated, out of any money 
in the Treasury not otherwise appropriated, for the fiscal year 
ending September 30, 2001, and for other purposes, namely:
          * * * * * * *

            TITLE IV--DEPARTMENT OF STATE AND RELATED AGENCY

                          DEPARTMENT OF STATE

                   ADMINISTRATION OF FOREIGN AFFAIRS

                    DIPLOMATIC AND CONSULAR PROGRAMS

          * * * * * * *
    * * * Provided further, That no funds may be obligated or 
expended for processing licenses for the export of satellites 
of United States origin (including commercial satellites and 
satellite components) to the People's Republic of China, 
unless, at least 15 days in advance, the Committees on 
Appropriations of the House of Representatives and the Senate 
are notified of such proposed action: * * *
          * * * * * * *

            c. Export Controls on High Performance Computers

 Partial text of Public Law 105-85 [National Defense Authorization Act 
for Fiscal Year 1998; H.R. 1119], 111 Stat. 1629, approved November 18, 
1997; as amended by Public Law 105-261 [Strom Thurmond National Defense 
  Authorization Act for Fiscal Year 1999; H.R. 3616], 112 Stat. 2180, 
approved October 17, 1998; Public Law 106-38 [National Missile Defense 
Act of 1999; H.R. 4], 113 Stat. 205, approved July 22, 1999; Public Law 
  106-65 [National Defense Authorization Act for Fiscal Year 2000; S. 
 1059], 113 Stat. 774, approved October 5, 1999; and by Public Law 106-
398 [National Defense Authorization, Fiscal Year 2001; H.R. 4015], 112 
                 Stat. 1654, approved October 30, 2000

     To authorize appropriations for fiscal year 2001 for military 
activities of the Department of Defense, for military construction, and 
   for defense activities of the Department of Energy, to prescribe 
personnel strengths for such fiscal year for the Armed Forces, and for 
                            other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,
          * * * * * * *

              TITLE XII--MATTERS RELATING TO OTHER NATIONS

          * * * * * * *

       Subtitle B--Export Controls on High Performance Computers

SEC. 1211.\1\ EXPORT APPROVALS FOR HIGH PERFORMANCE COMPUTERS.

  (a) Prior Approval of Exports and Reexports.--The President 
shall require that no digital computer with a composite 
theoretical performance level of more than 2,000 millions of 
theoretical operations per second (MTOPS) or with such other 
composite theoretical performance level as may be established 
subsequently by the President under subsection (d), may be 
exported or reexported without a license to a country specified 
in subsection (b) if the Secretary of Commerce, the Secretary 
of Defense, the Secretary of Energy, the Secretary of State, or 
the Director of the Arms Control and Disarmament Agency 
objects, in writing, to such export or reexport. Any person 
proposing to export or reexport such a digital computer shall 
so notify the Secretary of Commerce, who, within 24 hours after 
receiving the notification, shall transmit the notification to 
the Secretary of Defense, the Secretary of Energy, the 
Secretary of State, and the Director of the Arms Control and 
Disarmament Agency.
---------------------------------------------------------------------------
    \1\ 50 U.S.C. app. 2404 note. This section is found in this volume 
on page 1177.
---------------------------------------------------------------------------
  (b) Covered Countries.--For purposes of subsection (a), the 
countries specified in this subsection are the countries listed 
as ``Computer Tier 3'' eligible countries in section 740.7(d) 
of title 15 of the Code of Federal Regulations, as in effect on 
June 10, 1997, subject to modification by the President under 
subsection (e).
  (c) Time Limit.--Written objections under subsection (a) to 
an export or reexport shall be raised within 10 days after the 
notification is received under subsection (a). If such a 
written objection to the export or reexport of a computer is 
raised, the computer may be exported or reexported only 
pursuant to a license issued by the Secretary of Commerce under 
the Export Administration Regulations of the Department of 
Commerce, without regard to the licensing exceptions otherwise 
authorized under section 740.7 of title 15 of the Code of 
Federal Regulations, as in effect on June 10, 1997. If no 
objection is raised within the 10-day period, the export or 
reexport is authorized.
  (d) Adjustment of Composite Theoretical Performance.--The 
President, in consultation with the Secretary of Commerce, the 
Secretary of Defense, the Secretary of Energy, the Secretary of 
State, and the Director of the Arms Control and Disarmament 
Agency, may establish a new composite theoretical performance 
level for purposes of subsection (a). Such new level shall not 
take effect until 60 \2\ days after the President submits to 
the congressional committees designated in section 1215 a 
report setting forth the new composite theoretical performance 
level and the justification for such new level. Each report 
shall, at a minimum--
---------------------------------------------------------------------------
    \2\ Sec. 1234 of Public Law 106-38 (114 Stat. 1654A-330) struck 
``180'' and inserted in lieu thereof ``60''. Sec. 1(a)(2)(314) of 
Public Law 106-554 (114 Stat. 2763A-12) provided that:
    ``Sec. 315. Review of Proposed Changes to Export Thresholds for 
Computers. Not more than 50 days after the date of the submission of 
the report referred to in subsection (d) of section 1211 of the 
National Defense Authorization Act for Fiscal Year 1998 (50 U.S.C. app. 
2404 note), the Comptroller General of the United States shall submit 
an assessment to Congress which contains an analysis of the new 
computer performance levels being proposed by the President under such 
section.''.
---------------------------------------------------------------------------
          (1) address the extent to which high performance 
        computers of a composite theoretical level between the 
        level established in subsection (a) or such level as 
        has been previously adjusted pursuant to this section 
        and the new level, are available from other countries;
          (2) address all potential uses of military 
        significance to which high performance computers at the 
        new level could be applied; and
          (3) assess the impact of such uses on the national 
        security interests of the United States.
  (e) Adjustment of Covered Countries.--
          (1) In general.--The President, in consultation with 
        the Secretary of Commerce, the Secretary of Defense, 
        the Secretary of Energy, the Secretary of State, and 
        the Director of the Arms Control and Disarmament 
        Agency, may add a country to or remove a country from 
        the list of covered countries in subsection (b), except 
        that a country may be removed from the list only in 
        accordance with paragraph (2).
          (2) Deletions from list of covered countries.--The 
        removal of a country from the list of covered countries 
        under subsection (b) shall not take effect until 120 
        days after the President submits to the congressional 
        committees designated in section 1215 a report setting 
        forth the justification for the deletion.
          (3) Excluded countries.--A country may not be removed 
        from the list of covered countries under subsection (b) 
        if--
                  (A) the country is a ``nuclear-weapon state'' 
                (as defined by Article IX of the Treaty on the 
                Non-Proliferation of Nuclear Weapons) and the 
                country is not a member of the North Atlantic 
                Treaty Organization; or
                  (B) the country is not a signatory of the 
                Treaty on the Non-Proliferation of Nuclear 
                Weapons and the country is listed on Annex 2 to 
                the Comprehensive Nuclear Test-Ban Treaty.
  (f) Classification.--Each report under subsections (d) and 
(e) shall be submitted in an unclassified form and may, if 
necessary, have a classified supplement.
  (g) \3\ Delegation of Objection Authority Within the 
Department of Defense.--For the purposes of the Department of 
Defense, the authority to issue an objection referred to in 
subsection (a) shall be executed for the Secretary of Defense 
by an official at the Assistant Secretary level within the 
office of the Undersecretary of Defense for Policy. In 
implementing subsection (a), the Secretary of Defense shall 
ensure that Department of Defense procedures maximize the 
ability of the Department of Defense to be able to issue an 
objection within the 10-day period specified in subsection (c).
---------------------------------------------------------------------------
    \3\ Public Law 105-261 (112 Stat. 1920) added subsec. (g).
---------------------------------------------------------------------------
  (h) \4\ Calculation of the 60-day Period.--The 60-day period 
referred to in subsection (d) shall be calculated by excluding 
the days on which either House of Congress is not in session 
because of an adjournment of the Congress sine die.
---------------------------------------------------------------------------
    \4\ Public Law 106-398 (114 Stat. 1654A-46) added subsec. (h). 
Public Law 106-398 (114 Stat. 1654A-46) further provided the following:
    ``(b) Effective Date.--The amendments made by subsection (a) shall 
apply to any new composite theoretical performance level established 
for purposes of section 1211(a) of the National Defense Authorization 
Act for Fiscal Year 1998 that is submitted by the President pursuant to 
section 1211(d) of that Act on or after the date of the enactment of 
this Act.''.
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SEC. 1212. REPORT ON EXPORTS OF HIGH PERFORMANCE COMPUTERS.

  (a) Report.--Not later than 60 days after the date of the 
enactment of this Act, the President shall provide to the 
congressional committees specified in section 1215 a report 
identifying all exports of digital computers with a composite 
theoretical performance of more than 2,000 millions of 
theoretical operations per second (MTOPS) to all countries 
since January 25, 1996. For each export, the report shall 
identify--
          (1) whether an export license was applied for and 
        whether one was granted;
          (2) the date of the transfer of the computer;
          (3) the United States manufacturer and exporter of 
        the computer;
          (4) the MTOPS level of the computer; and
          (5) the recipient country and end user.
  (b) Additional Information on Exports to Certain Countries.--
In the case of exports to countries specified in subsection 
(c), the report under subsection (a) shall identify the 
intended end use for the exported computer and the assessment 
by the executive branch of whether the end user is a military 
end user or an end user involved in activities relating to 
nuclear, chemical, or biological weapons or missile technology. 
Information provided under this subsection may be submitted in 
classified form if necessary.
  (c) Covered Countries.--For purposes of subsection (b), the 
countries specified in this subsection are--
          (1) the countries listed as ``Computer Tier 3'' 
        eligible countries in section 740.7(d) of title 15 of 
        the Code of Federal Regulations, as in effect on June 
        10, 1997; and
          (2) the countries listed in section 740.7(e) of title 
        15 of the Code of Federal Regulations, as in effect on 
        June 10, 1997.

SEC. 1213. POST-SHIPMENT VERIFICATION OF EXPORT OF HIGH PERFORMANCE 
                    COMPUTERS.

  (a) Required Post-Shipment Verification.--The Secretary of 
Commerce shall conduct post-shipment verification of each 
digital computer with a composite theoretical performance of 
more than 2,000 millions of theoretical operations per second 
(MTOPS) that is exported from the United States, on or after 
the date of the enactment of this Act, to a country specified 
in subsection (b).
  (b) Covered Countries.--For purposes of subsection (a), the 
countries specified in this subsection are the countries listed 
as ``Computer Tier 3'' eligible countries in section 740.7 of 
title 15 of the Code of Federal Regulations, as in effect on 
June 10, 1997, subject to modification by the President under 
section 1211(e).
  (c) Annual Report.--The Secretary of Commerce shall submit to 
the congressional committees specified in section 1215 an 
annual report on the results of post-shipment verifications 
conducted under this section during the preceding year. Each 
such report shall include a list of all such items exported 
from the United States to such countries during the previous 
year and, with respect to each such export, the following:
          (1) The destination country.
          (2) The date of export.
          (3) The intended end use and intended end user.
          (4) The results of the post-shipment verification.
  (d) Explanation When Verification Not Conducted.--If a post-
shipment verification has not been conducted in accordance with 
subsection (a) with respect to any such export during the 
period covered by a report, the Secretary shall include in the 
report for that period a detailed explanation of the reasons 
why such a post-shipment verification was not conducted.

SEC. 1214. GAO STUDY ON CERTAIN COMPUTERS; END USER INFORMATION 
                    ASSISTANCE.

  (a) In General.--The Comptroller General of the United States 
shall submit to the congressional committees specified in 
section 1215 a study of the national security risks relating to 
the sale of computers with a composite theoretical performance 
of between 2,000 and 7,000 millions of theoretical operations 
per second (MTOPS) to end users in countries specified in 
subsection (c). The study shall also analyze any foreign 
availability of computers described in the preceding sentence 
and the impact of such sales on United States exporters.
  (b) End User Information Assistance to Exporters.--The 
Secretary of Commerce shall establish a procedure by which 
exporters may seek information on questionable end users in 
countries specified in subsection (c) who are seeking to obtain 
computers described in subsection (a).
  (c) Covered Countries.--For purposes of subsections (a) and 
(b), the countries specified in this subsection are the 
countries listed as ``Computer Tier 3'' eligible countries in 
section 740.7(d) of title 15 of the Code of Federal 
Regulations, as in effect on June 10, 1997.

SEC. 1215. CONGRESSIONAL COMMITTEES.

  For purposes of sections 1211(d), 1212(a), 1213(c), and 
1214(a) the congressional committees specified in those 
sections are the following:
          (1) The Committee on Banking, Housing, and Urban 
        Affairs and the Committee on Armed Services of the 
        Senate.
          (2) The Committee on International Relations and the 
        Committee on Armed Services \5\ of the House of 
        Representatives.
---------------------------------------------------------------------------
    \5\ Sec. 1067(4) of Public Law 106-65 (113 Stat. 774) struck out 
``Committee on National Security'' and inserted in lieu thereof 
``Committee on Armed Services''.
            d. Export Administration Amendments Act of 1985

Partial text of Public Law 99-64 [S. 883], 99 Stat. 120, approved July 
   12, 1985; as amended by Public Law 99-441 [Defense Production Act 
  Amendments of 1986; H.R. 5480], 100 Stat. 1117, approved October 3, 
      1986; Public Law 99-633 [Export Administration Act of 1979, 
  Authorization; S. 2245], 100 Stat. 3522, approved October 7, 1986; 
Public Law 100-418 [Omnibus Trade and Competitiveness Act of 1988; H.R. 
  4848], 102 Stat. 1107, approved August 23, 1988; Public Law 102-429 
 [Export Enhancement Act of 1992; H.R. 5739], 106 Stat. 2186, approved 
    October 21, 1992; and by Public Law 103-392 [Jobs Through Trade 
Expansion Act of 1994; H.R. 4950], 108 Stat. 4098, approved October 22, 
                                  1994

 AN ACT To reauthorize the Export Administration Act of 1979, and for 
                            other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,
          * * * * * * *

SEC. 122. HOURS OF OFFICE OF EXPORT ADMINISTRATION.

    The Secretary of Commerce shall modify the office hours of 
the Office of Export Administration of the Department of 
Commerce on at least four days of each workweek so as to 
accommodate communications to the Office by exporters 
throughout the continental United States during the normal 
business hours of those exporters.

SEC. 123. TECHNICAL AMENDMENTS. * * *

          * * * * * * *

SEC. 125. EXPORT OF HORSES.

    The Act of March 3, 1891 (46 U.S.C. 466a and 466b), is 
amended by adding at the end the following:

``SEC. 3.\1\ EXPORT OF HORSES.
---------------------------------------------------------------------------

    \1\ 46 U.S.C. app. 466c.
---------------------------------------------------------------------------
    ``(a) Restriction on Export of Horses.--Notwithstanding any 
other provision for law, no horse may be exported by sea from 
the United States, or any of its territories or possessions, 
unless such horse is part of a consignment of horses with 
respect to which a waiver has been granted under subsection 
(b).
    ``(b) Granting of Waivers.--The Secretary of Commerce in 
consultation with the Secretary of Agriculture, may issue 
regulations providing for the granting of waivers permitting 
the export by sea of a specified consignment of horses, if the 
Secretary of Commerce, in consultation with the Secretary of 
Agriculture, determines that no horse in that consignment is 
being exported for purposes of slaughter.
    ``(c) Penalties.--
          ``(1) Criminal penalty.--Any person who knowingly 
        violates this section or any regulation, order, or 
        license issued under this section shall be fined not 
        more than 5 times the value of the consignment of 
        horses involved or $50,000, whichever is greater, or 
        imprisoned not more than 5 years, or both.
          ``(2) Civil penalty.--The Secretary of Commerce, 
        after providing notice and an opportunity for an agency 
        hearing on the record, may impose a civil penalty of 
        not to exceed $10,000 for each violation of this 
        section or any regulation, order, or license issued 
        under this section, either in addition to or in lieu of 
        any other liability or penalty which may be imposed.''.

SEC. 126. ALASKAN OIL STUDY.

    (a) Review of Alaskan Oil Policy.--
          (1) In general.--The President shall undertake a 
        comprehensive review of the issues and related data 
        concerning possible changes in the existing incentives 
        to produce crude oil from the North Slope of Alaska 
        (including changes in Federal and State taxation, 
        pipeline tariffs, and Federal leasing policies) and 
        possible changes in the existing distribution of crude 
        oil from the North Slope of Alaska (including changes 
        in export restrictions which would permit exports at 
        free market levels and at levels of 50,000 barrels per 
        day, 100,000 barrels per day, 200,000 barrels per day, 
        and 500,000 barrels per day), as well as the 
        appropriateness of continuing existing controls. Such 
        review shall include, but not be limited to, a study 
        of--
                  (A) the effect of such changes on the energy 
                and national security of the United States and 
                its allies;
                  (B) the role of such changes in United States 
                foreign policymaking, including international 
                energy policymaking;
                  (C) the impact of such changes on employment 
                levels in the maritime industry, the oil 
                industry, and other industries;
                  (D) the impact of such changes on the 
                refiners and on consumers;
                  (E) the impact of such changes on the 
                revenues and expenditures of the Federal 
                Government and the government of Alaska;
                  (F) the effect of such changes on incentives 
                for oil and gas exploration and development in 
                the United States; and
                  (G) the effect of such changes on the overall 
                trade deficit of the United States, and the 
                trade deficit of the United States with respect 
                to particular countries, including the effect 
                of such changes on trade barriers of other 
                countries.
          (2) Findings, options, and recommendations.--The 
        President shall develop, after consulting with 
        appropriate State and Federal officials and other 
        persons, findings, options, and recommendations 
        regarding the production and distribution of crude oil 
        from North Slope of Alaska.
    (b) Consultation and Report.--In carrying out subsection 
(a), the President shall consult with the Committees on Foreign 
Affairs and Energy and Commerce of the House of Representatives 
and the appropriate committees of the Senate. Not later than 9 
months after the date of the enactment of this Act, the 
President shall transmit to each of those committees a report 
which contains the results of the review under subsection 
(a)(1), and the findings, options, and recommendations 
developed under subsection (a)(2).

                  TITLE II--EXPORT PROMOTION PROGRAMS

SEC. 201.\2\ REQUIREMENT OF PRIOR AUTHORIZATION.

    (a) General Rule.--Notwithstanding any other provision of 
law, money appropriated to the Department of Commerce for 
expenses to carry out any export promotion program may be 
obligated or expended only if--
---------------------------------------------------------------------------
    \2\ 15 U.S.C. 4051.
---------------------------------------------------------------------------
          (1) the appropriation thereof has been previously 
        authorized by law enacted on or after the date of the 
        enactment of this Act; or
          (2) the amount of all such obligations and 
        expenditures does not exceed an amount previously 
        prescribed by law enacted on or after such date.
    (b) Exception for Later Legislation Authorizing Obligations 
or Expenditures.--To the extent that legislation enacted after 
the making of an appropriation to carry out an export promotion 
program authorizes the obligation or expenditure thereof, the 
limitation contained in subsection (a) shall have no effect.
    (c) Provisions Must Be Specifically Superseded.--The 
provisions of this section shall not be superseded except by a 
provision of law enacted after the date of the enactment of 
this Act which specifically repeals, modifies, or supersedes 
the provisions of this section.
    (d) Export Promotion Program Defined.--For purposes of this 
title, the term ``export promotion program'' means any activity 
of the Department of Commerce designed to stimulate or assist 
United States businesses in marketing their goods and services 
abroad competitively with businesses from other countries, 
including, but not limited to--
          (1) trade development (except for the trade 
        adjustment assistance program) and dissemination of 
        foreign marketing opportunities and other marketing 
        information to United States producers of goods and 
        services, including the expansion of foreign markets 
        for United States textiles and apparel and any other 
        United States products;
          (2) the development of regional and multilateral 
        economic policies which enhance United States trade and 
        investment interests, and the provision of marketing 
        services with respect to foreign countries and regions;
          (3) the exhibition of United States goods in other 
        countries; \3\
---------------------------------------------------------------------------
    \3\ Sec. 201(d) was amended by sec. 2305(a) of the Omnibus Trade 
and Competitiveness Act of 1988 (Public Law 100-418; 102 Stat. 1344) 
which struck out ``and'' after the semicolon in para. (3); inserted ``; 
and'' in lieu of the period in para. (4); and added a new para. (5).
---------------------------------------------------------------------------
          (4) the operations of the United States and Foreign 
        Commercial Service, or any successor agency; and \3\
          (5) \3\ the Market Development Cooperator Program 
        established under section 2303 of the Export 
        Enhancement Act of 1988, and assistance for trade shows 
        provided under section 2304 of that Act.
  (e) \4\ Printing Outside the United States.--(1) 
Notwithstanding the provisions of section 501 of title 44, 
United States Code, and consistent with other applicable law, 
the Secretary of Commerce, in carrying out any export promotion 
program, may authorize--
---------------------------------------------------------------------------
    \4\ Subsec. (e) was added by sec. 2308 of Public Law 100-418 (102 
Stat. 1346).
---------------------------------------------------------------------------
          (A) the printing, distribution, and sale of documents 
        outside the contiguous United States, if the Secretary 
        finds that the implementation of such export promotion 
        program would be more efficient, and if such documents 
        will be distributed primarily and sold exclusively 
        outside the United States; and
          (B) the acceptance of private notices and 
        advertisements in connection with the printing and 
        distribution of such documents.
  (2) Any fees received by the Secretary pursuant to paragraph 
(1) shall be deposited in a separate account or accounts which 
may be used to defray directly the costs incurred in conducting 
activities authorized by paragraph (1) or to repay or make 
advances to appropriations or other funds available for such 
activities.

SEC. 202.\5\ AUTHORIZATION OF APPROPRIATIONS.

  There are authorized to be appropriated to the Department of 
Commerce to carry out export promotion programs such sums as 
are necessary for fiscal years 1995 and 1996.
---------------------------------------------------------------------------
    \5\ 15 U.S.C. 4052. Sec. 202 was amended and restated by sec. 301 
of the Jobs Through Trade Expansion Act of 1994 (Public Law 103-392; 
108 Stat. 4099). Previous authorizations for export promotion programs 
were: fiscal years 1985 and 1986--$113,273,000; fiscal years 1987 and 
1988--$123,922,000 (Public Law 99-663); fiscal year 1988--$123,922,000 
(Public Law 100-418); fiscal years 1989 and 1990--$146,400,000 (Public 
Law 100-418); fiscal year 1993--$190,000,000, and fiscal year 1994--
$200,000,000 (and $5,500,000 for each of those years to carry out sec. 
2303 of the Export Enhancement Act of 1988).
---------------------------------------------------------------------------

SEC. 203.\6\ BARTER ARRANGEMENTS.

    (a) Report on Status of Federal Barter Programs.--The 
Secretary of Agriculture and the Secretary of Energy shall, not 
later than 90 days after the date of the enactment of this Act, 
submit to the Congress a report on the status of Federal 
programs relating to the barter or exchange of commodities 
owned by the Commodity Credit Corporation for materials and 
products produced in foreign countries. Such report shall 
include details of any changes necessary in existing law to 
allow the Department of Agriculture and, in the case of 
petroleum resources, the Department of Energy, to implement 
fully any barter program.
---------------------------------------------------------------------------
    \6\ 15 U.S.C. 4053. Sec. 2305(b)(2) of Public Law 100-418 (102 
Stat. 1344) contained the following provision:
    ``(2) In addition to funds otherwise available, there are 
authorized to be appropriated to the Department of Commerce to carry 
out sections 2303 and 2304 of this Act $6,000,000 for each of the 
fiscal years 1988, 1989, and 1990.''.
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    (b) Authorities of the President.--The President is 
authorized--
          (1) to barter stocks of agricultural commodities 
        acquired by the Government for petroleum and petroleum 
        products, and for other materials vital to the national 
        interest, which are produced abroad, in situations in 
        which sales would otherwise not occur; and
          (2) to purchase petroleum and petroleum products, and 
        other materials vital to the national interest, which 
        are produced abroad and acquired by persons in the 
        United States through barter for agricultural 
        commodities produced in and exported from the United 
        States through normal commercial trade channels.
    (c) Other Provisions of Law Not Affected.--In the case of 
any petroleum, petroleum products, or other materials vital to 
the national interest, which are acquired under subsection (b), 
nothing in this section shall be construed to render 
inapplicable the provisions of any law then in effect which 
apply to the storage, distribution, or use of such petroleum, 
petroleum products, or other materials vital to the national 
interest.
    (d) Conventional Markets Not To Be Displaced by Barters.--
The President shall take steps to ensure that, in making any 
barter described in subsection (a) or (b)(1) or any purchase 
authorized by subsection (b)(2), existing export markets for 
agricultural commodities operating on conventional business 
terms are safeguarded from displacement by the barter described 
in subsection (a), (b)(1), or (b)(2), as the case may be. In 
addition, the President shall ensure that any such barter is 
consistent with the international obligations of the United 
States, including the General Agreement on Tariffs and Trade.
    (e) Report to the Congress.--The Secretary of Energy shall 
report to the Congress on the effect on energy security and on 
domestic energy supplies of any action taken under this section 
which results in the acquisition by the Government of petroleum 
or petroleum products. Such report shall be submitted to the 
Congress not later than 90 days after such acquisition.
          * * * * * * *
         e. Offsets in Military-Related Exports: Annual Report

                 Title 50, Appendix, United States Code

Sec. 2099.\1\ Annual report on impact of offsets

    (a) Annual Report on Impact of Offsets.--
---------------------------------------------------------------------------
    \1\ Sec. 2099 was enacted as sec. 309 of the Defense Production Act 
Amendments of 1984 (Public Law 98-265; 98 Stat. 152). Sec. 124 of the 
Defense Production Act Amendments of 1992 (Public Law 102-558; 106 
Stat. 4207) substantially amended and restated the subsecs. (a) and 
(b), and added new subsecs. (c) through (e). See also sec. 123 of that 
Act.
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          (1) Report required.--Not later than 18 months after 
        the date of the enactment of the Defense Production Act 
        Amendments of 1984 \2\ and annually thereafter, the 
        President \3\ shall submit to the Committee on Banking, 
        Finance and Urban Affairs \4\ of the House of 
        Representatives and the Committee on Banking, Housing, 
        and Urban Affairs of the Senate, a detailed report on 
        the impact of offsets on the defense preparedness, 
        industrial competitiveness, employment, and trade of 
        the United States.
---------------------------------------------------------------------------
    \2\ Enacted April 17, 1984.
    \3\ Executive Order 12521 of June 24, 1985, 50 F.R. 26335 (Offsets 
in Military Related Exports), delegated preparation and submission of 
reports to the Director of the Office of Management and Budget (OMB).
    \4\ Sec. 1(a)(2) of Public Law 104-14 (109 Stat. 186) provided that 
references to the Committee on Banking, Finance and Urban Affairs of 
the House of Representatives shall be treated as referring to the 
Committee on Banking and Financial Services of the House of 
Representatives.
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          (2) Duties of the secretary of commerce.--The 
        Secretary of Commerce (hereafter in this subsection 
        referred to as ``the Secretary'') shall--
                  (A) prepare the report required by paragraph 
                (1);
                  (B) consult with the Secretary of Defense, 
                the Secretary of the Treasury, the Secretary of 
                State, and the United States Trade 
                Representative in connection with the 
                preparation of such report; and
                  (C) function as the President's Executive 
                Agent for carrying out this section.
    (b) \5\ Interagency Studies and Related Data.--
---------------------------------------------------------------------------
    \5\ Sec. 4(3) of the Defense Production Act Amendments of 1986 
(Public Law 99-441; 100 Stat. 1117) added subsec. (b). It was amended 
and restated by sec. 124 of Defense Production Act Amendments of 1992 
(Public Law 102-558; 106 Stat. 4207).
---------------------------------------------------------------------------
          (1) Purpose of report.--Each report required under 
        subsection (a) shall identify the cumulative effects of 
        offset agreements on--
                  (A) the full range of domestic defense 
                productive capability (with special attention 
                paid to the firms serving as lower-tier 
                subcontractors or suppliers); and
                  (B) the domestic defense technology base as a 
                consequence of the technology transfers 
                associated with such offset agreements.
          (2) Use of data.--Data developed or compiled by any 
        agency while conducting any interagency study or other 
        independent study or analysis shall be made available 
        to the Secretary to facilitate the execution of the 
        Secretary's responsibilities with respect to trade 
        offset and countertrade policy development.
    (c) Notice of Offset Agreements.--
          (1) In general.--If a United States firm enters into 
        a contract for the sale of a weapons system or defense-
        related item to a foreign country or foreign firm and 
        such contract is subject to an offset agreement 
        exceeding $5,000,000 in value, such firm shall furnish 
        to the official designated in the regulations 
        promulgated pursuant to paragraph (2) information 
        concerning such sale.
          (2) Regulations.--The information to be furnished 
        under paragraph (1) shall be prescribed in regulations 
        promulgated by the Secretary. Such regulations shall 
        provide protection from public disclosure for such 
        information, unless public disclosure is subsequently 
        specifically authorized by the firm furnishing the 
        information.
    (d) Contents of Report.--
          (1) In general.--Each report under subsection (a) 
        shall include--
                  (A) a net assessment of the elements of the 
                industrial base and technology base covered by 
                the report;
                  (B) recommendations for appropriate remedial 
                action under the authority of this Act, or 
                other law or regulations;
                  (C) a summary of the findings and 
                recommendations of any interagency studies 
                conducted during the reporting period under 
                subsection (b);
                  (D) a summary of offset arrangements 
                concluded during the reporting period for which 
                information has been furnished pursuant to 
                subsection (c); and
                  (E) a summary and analysis of any bilateral 
                and multilateral negotiations relating to the 
                use of offsets completed during the reporting 
                period.
          (2) Alternative findings and recommendations.--Each 
        report required under this section shall include any 
        alternative findings or recommendations offered by any 
        departmental Secretary, agency head, or the United 
        States Trade Representative to the Secretary.
    (e) Utilization of Annual Report in Negotiations.--The 
findings and recommendations of the reports required by 
subsection (a), and any interagency reports and analyses shall 
be considered by representatives of the United States during 
bilateral and multilateral negotiations to minimize the adverse 
effects of offsets.
               f. Declaration and Report on Offset Policy

 Partial text of Public Law 102-558 [Defense Production Act Amendments 
      of 1992; S. 347], 106 Stat. 4198, approved October 28, 1992

 AN ACT To amend the Defense Production Act of 1950 to revitalize the 
 defense industrial base of the United States, and for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Defense 
Production Act Amendments of 1992''.
    (b) Table of Contents.--* * *
          * * * * * * *

SEC. 123.\1\ DECLARATION OF OFFSET POLICY.

    (a) In General.--Recognizing that certain offsets for 
military exports are economically inefficient and market 
distorting, and mindful of the need to minimize the adverse 
effects of offsets in military exports while ensuring that the 
ability of United States firms to compete for military export 
sales is not undermined, it is the policy of the Congress 
that--
---------------------------------------------------------------------------
    \1\ 50 U.S.C. app. 2099 note.
---------------------------------------------------------------------------
          (1) no agency of the United States Government shall 
        encourage, enter directly into, or commit United States 
        firms to any offset arrangement in connection with the 
        sale of defense goods or services to foreign 
        governments;
          (2) United States Government funds shall not be used 
        to finance offsets in security assistance transactions, 
        except in accordance with policies and procedures that 
        were in existence on March 1, 1992;
          (3) nothing in this section shall prevent agencies of 
        the United States Government from fulfilling 
        obligations incurred through international agreements 
        entered into before March 1, 1992; and
          (4) the decision whether to engage in offsets, and 
        the responsibility for negotiating and implementing 
        offset arrangements reside with the companies involved.
    (b) Presidential Approval of Exceptions.--It is the policy 
of the Congress that the President may approve an exception to 
the policy stated in subsection (a) after receiving the 
recommendation of the National Security Council.
    (c) Consultation.--It is the policy of the Congress that 
the President shall designate the Secretary of Defense to lead, 
in coordination with the Secretary of State, an interagency 
team to consult with foreign nations on limiting the adverse 
effects of offsets in defense procurement. The President shall 
transmit an annual report on the results of these consultations 
to the Congress as part of the report required under section 
309(a) of the Defense Production Act of 1950.\2\
---------------------------------------------------------------------------
    \2\ 50 U.S.C. app. 2099.
            g. Export Administration Amendments Act of 1981

Partial text of Public Law 97-145 [H.R. 3567], 95 Stat. 1727, approved 
                           December 29, 1981

 AN ACT To authorize appropriations for the fiscal years 1982 and 1983 
to carry out the purposes of the Export Administration Act of 1979, and 
                          for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled, That this 
Act may be cited as the ``Export Administration Amendments Act 
of 1981''.
          * * * * * * *
    SEC. 7.\1\ Notwithstanding any other provision of law, no 
provision of the Export Administration Act of 1979, as amended 
by this Act, or of any other Act shall be construed to prohibit 
the exercise of authorities contained in the Export 
Administration Act of 1979 to impose a total embargo in the 
event of Soviet or Warsaw Pact military action against Poland.
---------------------------------------------------------------------------
    \1\ 50 U.S.C. app. 2405 note.
      h. Administration of Export Controls on Encryption Products

Executive Order 13026, November 15, 1996, 61 F.R. 58767, 50 U.S.C. app. 
                               2403 note

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including but not limited to the International Emergency 
Economic Powers Act (50 U.S.C. 1701 et seq.), and in order to 
take additional steps with respect to the national emergency 
described and declared in Executive Order 12924 of August 19, 
1994, and continued on August 15, 1995, and on August 14, 1996, 
I, WILLIAM J. CLINTON, President of the United States of 
America, have decided that the provisions set forth below shall 
apply to administration of the export control system maintained 
by the Export Administration Regulations, 15 CFR Part 730 et 
seq. (``the EAR''). Accordingly, it is hereby ordered as 
follows:
    Section 1. Treatment of Encryption Products. In order to 
provide for appropriate controls on the export and foreign 
dissemination of encryption products, export controls of 
encryption products that are or would be, on this date, 
designated as defense articles in Category XIII of the United 
States Munitions List and regulated by the United States 
Department of State pursuant to the Arms Export Control Act, 22 
U.S.C. 2778 et seq. (``the AECA''), but that subsequently are 
placed on the Commerce Control List in the EAR, shall be 
subject to the following conditions: (a) I have determined that 
the export of encryption products described in this section 
could harm national security and foreign policy interests even 
where comparable products are or appear to be available from 
sources outside the United States, and that facts and questions 
concerning the foreign availability of such encryption products 
cannot be made subject to public disclosure or judicial review 
without revealing or implicating classified information that 
could harm United States national security and foreign policy 
interests. Accordingly, sections 4(c) and 6(h)(2)-(4) of the 
Export Administration Act of 1979 (``the EAA''), 50 U.S.C. App. 
2403(c) and 2405(h)(2)-(4), as amended and as continued in 
effect by Executive Order 12924 of August 19, 1994, and by 
notices of August 15, 1995, and August 14, 1996, all other 
analogous provisions of the EAA relating to foreign 
availability, and the regulations in the EAR relating to such 
EAA provisions, shall not be applicable with respect to export 
controls on such encryption products. Notwithstanding this, the 
Secretary of Commerce (``Secretary'') may, in his discretion, 
consider the foreign availability of comparable encryption 
products in determining whether to issue a license in a 
particular case or to remove controls on particular products, 
but is not required to issue licenses in particular cases or to 
remove controls on particular products based on such 
consideration;
    (b) Executive Order 12981, as amended by Executive Order 
13020 of October 12, 1996, is further amended as follows: * * * 
\1\
---------------------------------------------------------------------------
    \1\ For Executive Order 12981 as amended, see page 1122.
---------------------------------------------------------------------------
    (c) Because the export of encryption software, like the 
export of other encryption products described in this section, 
must be controlled because of such software's functional 
capacity, rather than because of any possible informational 
value of such software, such software shall not be considered 
or treated as ``technology,'' as that term is defined in 
section 16 of the EAA (50 U.S.C. App. 2415) and in the EAR (61 
Fed. Reg. 12714, March 25, 1996);
    (d) With respect to encryption products described in this 
section, the Secretary shall take such actions, including the 
promulgation of rules, regulations, and amendments thereto, as 
may be necessary to control the export of assistance (including 
training) to foreign persons in the same manner and to the same 
extent as the export of such assistance is controlled under the 
AECA, as amended by section 151 of Public Law 104-164 (110 
Stat. 1437);
    (e) Appropriate controls on the export and foreign 
dissemination of encryption products described in this section 
may include, but are not limited to, measures that promote the 
use of strong encryption products and the development of a key 
recovery management infrastructure; and
    (f) Regulation of encryption products described in this 
section shall be subject to such further conditions as the 
President may direct.
    Sec. 2. Effective Date. The provisions described in section 
1 shall take effect as soon as any encryption products 
described in section 1 are placed on the Commerce Control List 
in the EAR.
    Sec. 3. Judicial Review. This order is intended only to 
improve the internal management of the executive branch and to 
ensure the implementation of appropriate controls on the export 
and foreign dissemination of encryption products. It is not 
intended to, and does not, create any rights to administrative 
or judicial review, or any other right or benefit or trust 
responsibility, substantive or procedural, enforceable by a 
party against the United States, its agencies or 
instrumentalities, its officers or employees, or any other 
person.
                  i. Administration of Export Controls

 Executive Order 12981, December 5, 1995, 60 F.R. 62981, 50 U.S.C. app 
2403 note; amended by Executive Order 13020, October 12, 1996, 61 F.R. 
54079; by Executive Order 13026, November 15, 1996, 61 F.R. 58767; and 
        by Executive Order 13117, March 31, 1999, 64 F.R. 16591

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including but not limited to the International Emergency 
Economic Powers Act (50 U.S.C. 1701 et. seq.) (``the Act''), 
and in order to take additional steps with respect to the 
national emergency described and declared in Executive Order 
No. 12924 of August 19, 1994, and continued on August 15, 1995, 
I, WILLIAM J. CLINTON, President of the United States of 
America, find that it is necessary for the procedures set forth 
below to apply to export license applications submitted under 
the Act and the Export Administration Regulations (15 C.F.R. 
Part 730 et. seq.) (``the Regulations'') or under any renewal 
of, or successor to, the Export Administration Act of 1979, as 
amended (50 U.S.C. App. 2401 et. seq.) (``the Export 
Administration Act''), and the Regulations. Accordingly, it is 
hereby ordered as follows:
    Section 1. License Review. To the extent permitted by law 
and consistent with Executive Order No. 12924 of August 19, 
1994, the power, authority, and discretion conferred upon the 
Secretary of Commerce (``the Secretary'') under the Export 
Administration Act to require, review, and make final 
determinations with regard to export licenses, documentation, 
and other forms of information submitted to the Department of 
Commerce pursuant to the Act and the Regulations or under any 
renewal of, or successor to, the Export Administration Act and 
the Regulations, with the power of successive redelegation, 
shall continue. The Departments of State, Defense, and 
Energy\1\ each shall have the authority to review any export 
license application submitted to the Department of Commerce 
pursuant to the Act and the Regulations or under any renewal 
of, or successor to, the Export Administration Act and the 
Regulations. The Secretary may refer license applications to 
other United States Government departments or agencies for 
review as appropriate. In the event that a department or agency 
determines that certain types of applications need not be 
referred to it, such department or agency shall notify the 
Department of Commerce as to the specific types of such 
applications that it does not wish to review. All departments 
or agencies shall promptly respond, on a case-by-case basis, to 
requests from other departments or agencies for historical 
information relating to past license applications.
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    \1\ Sec. 1 of Executive Order 13117 (March 31, 1999, 64 F.R. 16591) 
struck out ``, and the Arms Control and Disarmament Agency''.
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    Sec. 2. Determinations. (a) All license applications 
submitted under the Act and the Regulations or any renewal of, 
or successor to, the Export Administration Act and the 
Regulations, shall be resolved or referred to the President no 
later than 90 calendar days after registration of the completed 
license application.
    (b) The following actions related to processing a license 
application submitted under the Act and the Regulations or any 
renewal of, or successor to, the Export Administration Act and 
the Regulations shall not be counted in calculating the time 
periods prescribed in this order:
          (1) Agreement of the Applicant. Delays upon which the 
        Secretary and the applicant mutually agree.
          (2) Prelicense Checks. Prelicense checks through 
        government channels that may be required to establish 
        the identity and reliability of the recipient of items 
        controlled under the Act and the Regulations or any 
        renewal of, or successor to, the Export Administration 
        Act and the Regulations, provided that:
                  (A) the need for such prelicense check is 
                established by the Secretary, or by another 
                department or agency if the request for 
                prelicense check is made by such department or 
                agency;
                  (B) the Secretary requests the prelicense 
                check within 5 days of the determination that 
                it is necessary; and
                  (C) the Secretary completes the analysis of 
                the result of the prelicense check within 5 
                days.
          (3) Requests for Government-To-Government Assurances. 
        Requests for government-to-government assurances of 
        suitable end-use of items approved for export under the 
        Act and the Regulations or any renewal of, or successor 
        to, the Export Administration Act and the Regulations, 
        when failure to obtain such assurances would result in 
        rejection of the application, provided that:
                  (A) the request for such assurances is sent 
                to the Secretary of State within 5 days of the 
                determination that the assurances are required;
                  (B) the Secretary of State initiates the 
                request of the relevant government within 10 
                days thereafter; and
                  (C) the license is issued within 5 days of 
                the Secretary's receipt of the requested 
                assurances. Whenever such prelicense checks and 
                assurances are not requested within the time 
                periods set forth above, they must be 
                accomplished within the time periods 
                established by this section.
          (4) Multilateral Reviews. Multilateral review of a 
        license application as provided for under the Act and 
        the Regulations or any renewal of, or successor to, the 
        Export Administration Act and the Regulations, as long 
        as multilateral review is required by the relevant 
        multilateral regime.
          (5) Consultations. Consultation with other 
        governments, if such consultation is provided for by a 
        relevant multilateral regime or bilateral arrangement 
        as a precondition for approving a license.
    Sec. 3. Initial Processing. Within 9 days of registration 
of any license application, the Secretary shall, as 
appropriate:
          (a) request additional information from the 
        applicant. The time required for the applicant to 
        supply the additional information shall not be counted 
        in calculating the time periods prescribed in this 
        section.
          (b) refer the application and pertinent information 
        to agencies or departments as stipulated in section 1 
        of this order, and forward to the agencies any relevant 
        information submitted by the applicant that could not 
        be reduced to electronic form.
          (c) assure that the stated classification on the 
        application is correct; return the application if a 
        license is not required; and, if referral to other 
        departments or agencies is not required, grant the 
        application or notify the applicant of the Secretary's 
        intention to deny the application.
    Sec. 4. Department or Agency Review. (a) Each reviewing 
department or agency shall specify to the Secretary, within 10 
days of receipt of a referral as specified in subsection 3(b), 
any information not in the application that would be required 
to make a determination, and the Secretary shall promptly 
request such information from the applicant. If, after receipt 
of the information so specified or other new information, a 
reviewing department or agency concludes that additional 
information would be required to make a determination, it shall 
promptly specify that additional information to the Secretary, 
and the Secretary shall promptly request such information from 
the applicant. The time that may elapse between the date the 
information is requested by the reviewing department or agency 
and the date the information is received by the reviewing 
department or agency shall not be counted in calculating the 
time periods prescribed in this order. Such information 
specified by reviewing departments or agencies is in addition 
to any information that may be requested by the Department of 
Commerce on its own initiative during the first 9 days after 
registration of an application.
    (b) Within 30 days of receipt of a referral and all 
required information, a department or agency shall provide the 
Secretary with a recommendation either to approve or deny the 
license application. As appropriate, such recommendation may be 
with the benefit of consultation and discussions in interagency 
groups established to provide expertise and coordinate 
interagency consultation. A recommendation that the Secretary 
deny a license shall include a statement of the reasons for 
such recommendation that are consistent with the provisions of 
the Act and the Regulations or any renewal of, or successor to, 
the Export Administration Act and the Regulations and shall 
cite both the statutory and the regulatory bases for the 
recommendation to deny. A department or agency that fails to 
provide a recommendation within 30 days with a statement of 
reasons and the statutory and regulatory bases shall be deemed 
to have no objection to the decision of the Secretary.
    Sec. 5. Interagency Dispute Resolution. (a) Committees. 
(1)(A) Export Administration Review Board. The Export 
Administration Review Board (``the Board''), which was 
established by Executive Order No. 11533 of June 4, 1970, and 
continued in Executive Order No. 12002 of July 7, 1977, is 
hereby continued. The Board shall have as its members, the 
Secretary, who shall be Chair of the Board, the Secretary of 
State, the Secretary of Defense and the Secretary of Energy.\2\ 
The Chairman of the Joint Chiefs of Staff and the Director of 
Central Intelligence shall be nonvoting members of the Board. 
No alternate Board members shall be designated, but the acting 
head or deputy head of any member department or agency may 
serve in lieu of the head of the concerned department or 
agency. The Board may invite the heads of other United States 
Government departments or agencies, other than the departments 
or agencies represented by the Board members, to participate in 
the activities of the Board when matters of interest to such 
departments or agencies are under consideration.
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    \2\ Sec. 3 of Executive Order 13117 (March 31, 1999, 64 F.R. 16591) 
inserted ``and'' after ``the Secretary of Defense'' and before ``the 
Secretary of Energy'', and struck out ``, and the Director of the Arms 
Control and Disarmament Agency''.
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    (B) The Secretary may, from time to time, refer to the 
Board such particular export license matters, involving 
questions of national security or other major policy issues, as 
the Secretary shall select. The Secretary shall also refer to 
the Board any other such export license matter, upon the 
request of any other member of the Board or the head of any 
other United States Government department or agency having any 
interest in such matter. The Board shall consider the matters 
so referred to it, giving due consideration to the foreign 
policy of the United States, the national security, the 
domestic economy, and concerns about the proliferation of 
armaments, weapons of mass destruction, missile delivery 
systems, and advanced conventional weapons and shall make 
recommendations thereon to the Secretary.
    (2) Advisory Committee on Export Policy. An Advisory 
Committee on Export Policy (``ACEP'') is established and shall 
have as its members the Assistant Secretary of Commerce for 
Export Administration, who shall be Chair of the ACEP, and 
Assistant Secretary-level representatives of the Departments of 
State, Defense, and Energy.\3\ Appropriate representatives of 
the Joint Chiefs of Staff and of the Nonproliferation Center of 
the Central Intelligence Agency shall be nonvoting members of 
the ACEP. Representatives of the departments or agencies shall 
be the appropriate Assistant Secretary or equivalent (or 
appropriate acting Assistant Secretary or equivalent in lieu of 
the Assistant Secretary or equivalent) of the concerned 
department or agency, or appropriate Deputy Assistant Secretary 
or equivalent (or the appropriate acting Deputy Assistant 
Secretary or equivalent in lieu of the Deputy Assistant 
Secretary or equivalent) of the concerned department or agency. 
Regardless of the department or agency representative's rank, 
such representative shall speak and vote at the ACEP on behalf 
of the appropriate Assistant Secretary or equivalent of such 
department or agency. The ACEP may invite Assistant Secretary-
level representatives of other United States Government 
departments or agencies, other than the departments and 
agencies represented by the ACEP members, to participate in the 
activities of the ACEP when matters of interest to such 
departments or agencies are under consideration.
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    \3\ Sec. 4 of Executive Order 13117 (March 31, 1999, 64 F.R. 16591) 
struck out ``, and the Arms Control and Disarmament Agency''.
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    (3)(A) Operating Committee. An Operating Committee (``OC'') 
of the ACEP is established. The Secretary shall appoint its 
Chair, who shall also serve as Executive Secretary of the ACEP. 
Its other members shall be representatives of appropriate 
agencies in the Departments of Commerce, State, Defense, and 
Energy, and the Arms Control and Disarmament 
Agency. The appropriate representatives of the Joint Chiefs of 
Staff and the Nonproliferation Center of the Central 
Intelligence Agency shall be nonvoting members of the OC. The 
OC may invite representatives of other United States Government 
departments or agencies, other than the departments and 
agencies represented by the OC members, to participate in the 
activities of the OC when matters of interest to such 
departments or agencies are under consideration.
    (B) \4\ The OC shall review all license applications on 
which the reviewing departments and agencies are not in 
agreement. The Chair of the OC shall consider the 
recommendations of the reviewing departments and agencies and 
inform them of his or her decision on any such matters within 
14 days after the deadline for receiving department and agency 
recommendations. However, for license applications concerning 
commercial communication satellites and hot-section 
technologies for the development, production, and overhaul of 
commercial aircraft engines that are transferred from the 
regulations issued by the Departments of Commerce and State 
after the date of this order, the Chair of the OC shall inform 
reviewing departments and agencies of the majority vote 
decision of the OC. As described below, any reviewing 
department or agency may appeal the decision of the Chair of 
the OC, or the majority vote decision of the OC in cases 
concerning the commercial communication satellites and hot-
section technologies described above, to the Chair of the ACEP. 
In the absence of a timely appeal, the Chair's decision (or the 
majority vote decision in the case of license applications 
concerning the commercial communication satellites and hot-
section technologies described above) will be final.
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    \4\ Sec. 1(a) of Executive Order 13020 (Oct. 12, 1996; 61 F.R. 
54079) amended and restated sec. 5(a)(3)(B). The paragraph formerly 
read as follows:
    ``The OC shall review all license applications on which the 
reviewing departments and agencies are not in agreement. The Chair of 
the OC shall consider the recommendations of the reviewing departments 
and agencies and inform them of his or her decision on any such matters 
within 14 days after the deadline for receiving department and agency 
recommendations. As described below, any reviewing department or agency 
may appeal the decision of the Chair of the OC to the Chair of the 
ACEP. In the absence of a timely appeal, the Chair's decision will be 
final.''.
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    (b) Resolution Procedures. (1) \5\ If any department or 
agency disagrees with a licensing determination of the 
Department of Commerce made through the Chair of the OC (or a 
majority vote decision of the OC in the case of license 
applications concerning the commercial communication satellites 
and the hot-section technologies described in section 
5(a)(3)(B)), it may appeal the matter to the ACEP for 
resolution. A department or agency must appeal a matter within 
5 days of such a decision. Appeals must be in writing from an 
official appointed by the President, by and with the advice and 
consent of the Senate, or an officer properly acting in such 
capacity, and must cite both the statutory and the regulatory 
bases for the appeal. The ACEP shall review all departments' 
and agencies' information and recommendations, and the Chair of 
the ACEP shall inform the reviewing departments and agencies of 
the majority vote decision of the ACEP within 11 days from the 
date of receiving notice of the appeal. Within 5 days of the 
majority vote decision, any dissenting department or agency may 
appeal the decision by submitting a letter from the head of the 
department or agency to the Secretary in his or her capacity as 
the Chair of the Board. Such letter shall cite both the 
statutory and the regulatory bases for the appeal. Within the 
same 5-day period, the Secretary may call a meeting on his or 
her own initiative to consider a license application. In the 
absence of a timely appeal, the majority vote decision of the 
ACEP shall be final.
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    \5\ Sec. 1(b) of Executive Order 13020 (Oct. 12, 1996; 61 F.R. 
54079) amended and restated sec. 5(b)(1). The subsection formerly read 
as follows:
    ``If any department or agency disagrees with a licensing 
determination of the Department of Commerce made through the OC, it may 
appeal the matter to the ACEP for resolution. A department or agency 
must appeal a matter within 5 days of such a decision. Appeals must be 
in writing from an official appointed by the President by and with the 
advice and consent of the Senate, or an officer properly acting in such 
capacity, and must cite both the statutory and the regulatory bases for 
the appeal. The ACEP shall review all departments' and agencies' 
information and recommendations, and the Chair of the ACEP shall inform 
the reviewing departments and agencies of the majority vote decision of 
the ACEP within 11 days from the date of receiving notice of the 
appeal. Within 5 days of the majority vote decision, any dissenting 
department or agency may appeal the decision by submitting a letter 
from the head of the department or agency to the Secretary in his or 
her capacity as the Chair of the Board. Such letter shall cite both the 
statutory and the regulatory bases for the appeal. Within the same 
period of time, the Secretary may call a meeting on his or her own 
initiative to consider a license application. In the absence of a 
timely appeal, the majority vote decision of the ACEP shall be 
final.''.
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    (2) The Board shall review all departments' and agencies' 
information and recommendations, and such other export control 
matters as may be appropriate. The Secretary shall inform the 
reviewing departments and agencies of the majority vote of the 
Board within 11 days from the date of receiving notice of 
appeal. Within 5 days of the decision, any department or agency 
dissenting from the majority vote decision of the Board may 
appeal the decision by submitting a letter from the head of the 
dissenting department or agency to the President. In the 
absence of a timely appeal, the majority vote decision of the 
Board shall be final.
    Sec. 6.\6\ Encryption Products. In conducting the license 
review described in section 1 above, with respect to export 
controls of encryption products that are or would be, on 
November 15, 1996, designated as defense articles in Category 
XIII of the United States Munitions List and regulated by the 
United States Department of State pursuant to the Arms Export 
Control Act, 22 U.S.C. 2778 et seq., but that subsequently are 
placed on the Commerce Control List in the Export 
Administration Regulations, the Departments of State, Defense, 
Energy, and Justice shall have the opportunity to review any 
export license application submitted to the Department of 
Commerce.\7\ The Department of Justice shall, with respect to 
such encryption products, be a voting member of the Export 
Administration Review Board described in section 5(a)(1) of 
this order and of the Advisory Committee on Export Policy 
described in section 5(a)(2) of this order. The Department of 
Justice shall be a full member of the Operating Committee of 
the ACEP described in section 5(a)(3) of this order, and of any 
other committees and consultation groups reviewing export 
controls with respect to such encryption products.
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    \6\ Sec. 1(b) of Executive Order 13026 (61 F.R. 58767) redesignated 
secs. 6 and 7 as secs. 7 and 8, and added a new sec. 6.
    \7\ Sec. 5 of Executive Order 13117 (March 31, 1999, 64 F.R. 16591) 
struck out ``, and the Arms Control and Disarmament Agency''.
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    Sec. 7.\6\ The license review process in this order shall 
take effect beginning with those license applications 
registered by the Secretary 60 days after the date of this 
order and shall continue in effect to the extent not 
inconsistent with any renewal of the Export Administration Act, 
or with any successor to that Act.
    Sec. 8.\6\ Judicial Review. This order is intended only to 
improve the internal management of the executive branch and is 
not intended to, and does not, create any rights to 
administrative or judicial review, or any other right or 
benefit or trust responsibility, substantive or procedural, 
enforceable by a party against the United States, its agencies 
or instrumentalities, its officers or employees, or any other 
person.

             j. Continuation of Export Control Regulations

  Executive Order 13222,\1\ August 17, 2001, 59 F.R. 43437, 22 U.S.C. 
                               2778 note

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including but not limited to section 203 of the International 
Emergency Economic Powers Act (``Act'') (50 U.S.C. 1702), I, 
GEORGE W. BUSH, President of the United States of America, find 
that the unrestricted access of foreign parties to U.S. goods 
and technology and the existence of certain boycott practices 
of foreign nations, in light of the expiration of the Export 
Administration Act of 1979, as amended (50 U.S.C. App. 2401 et 
seq.), constitute an unusual and extraordinary threat to the 
national security, foreign policy, and economy of the United 
States and hereby declare a national emergency with respect to 
that threat.
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    \1\ The Export Administration Act of 1979 expired on September 30, 
1990. To continue export control regulations governed by the Act, the 
President issued Executive Order 12730 (Sept. 30, 1990; 55 F.R. 40373), 
which in turn was extended by a Presidential notice on September 26, 
1991 (56 F.R. 49385), and further extended on September 25, 1992 (57 
F.R. 44649).
    Sec. 2 of Public Law 103-10 (107 Stat. 40) renewed the authority of 
the Act through June 30, 1994, effective March 27, 1993, and authorized 
funds for fiscal years 1993 and 1994. Executive Order 12730 
subsequently was rescinded by sec. 1 of Executive Order 12867 of 
September 30, 1993 (58 F.R. 51747).
    On the day the Act was once again set to expire, June 30, 1994, the 
President issued Executive Order 12923 (59 F.R. 34551) to continue the 
provisions of the Act and provisions for its for administration. 
Subsequently, Public Law 103-277 (108 Stat. 1407; enacted July 5, 1994) 
renewed the authority of the Export Administration Act through August 
20, 1994. Near that expiration, the President issued Executive Order 
12924 (Aug. 19, 1994; 59 F.R. 43437) to continue the authorities in the 
Act.
    Executive Order 12924 was continued beyond August 19, 1995, by a 
notice of August 15, 1995 (60 F.R. 42767); beyond August 19, 1996, by a 
notice of August 14, 1996 (61 F.R. 42527); and beyond August 19, 1997, 
by a notice of August 13, 1997 (62 F.R. 43629); by Notice of August 13, 
1998 (63 F.R. 44119); by Notice of August 10, 1999 (64 F.R. 44101); by 
Notice of August 3, 2000 (65 F.R. 48347).
    In Executive Order 13206 of April 4, 2001 (66 F.R. 18397), in view 
of the reauthorization and extension of the Act by Public Law 106-508, 
the President revoked Executive Order 12924.
    In light of the expiration of the Act on August 20, 2001, in 
Executive Order 13222 of August 17, 2001 (66 F.R. 44025), the President 
continued the authority of the Act, effective midnight August 21, 2001. 
The authority of the Act was further continued by Notice of August 14, 
2002 (67 F.R. 53719); and by Notice of August 7, 2003 (68 F.R. 47831).
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    Accordingly, in order (a) to exercise the necessary 
vigilance over exports and activities affecting the national 
security of the United States; (b) to further significantly the 
foreign policy of the United States, including its policy with 
respect to cooperation by U.S. persons with certain foreign 
boycott activities, and to fulfill its international 
responsibilities; and (c) to protect the domestic economy from 
the excessive drain of scarce materials and reduce the serious 
economic impact of foreign demand, it is hereby ordered as 
follows:
    Section 1. To the extent permitted by law, the provisions 
of the Export Administration Act of 1979, as amended, and the 
provisions for administration of the Export Administration Act 
of 1979, as amended, shall be carried out under this order so 
as to continue in full force and effect and amend, as 
necessary, the export control system heretofore maintained by 
the Export Administration regulations issued under the Export 
Administration Act of 1979, as amended. The delegations of 
authority set forth in Executive Order No. 12002 of July 7, 
1977, as amended, by Executive Order No. 12755 of March 12, 
1991, and Executive Order 13026 of November 15, 1996; Executive 
Order No. 12214 of May 2, 1980; Executive Order No. 12735 of 
November 16, 1990; and Executive Order 12851 of June 11, 1993, 
shall be incorporated in this order and shall apply to the 
exercise of authorities under this order. All actions under 
this order shall be in accordance with Presidential directives 
relating to the export control system heretofore issued and not 
revoked.
    Sec. 2. All rules and regulations issued or continued in 
effect by the Secretary of Commerce under the authority of the 
Export Administration Act of 1979, as amended, including those 
published in Title 15, Subtitle B, Chapter VII, Subchapter C, 
of the Code of Federal Regulations, Parts 730 through 774, and 
all orders, regulations, licenses, and other forms of 
administrative action issued, taken, or continued in effect 
pursuant thereto, shall, until amended or revoked by the 
Secretary of Commerce, remain in full force and effect as if 
issued or taken pursuant to this order, except that the 
provisions of sections 203(b)(2) and 206 of the Act (50 U.S.C. 
1702(b)(2) and 1705) shall control over any inconsistent 
provisions in the regulations. Nothing in this section shall 
affect the continued applicability of administrative sanctions 
provided for by the regulations described above.
    Sec. 3. Provisions for administration of section 38(e) of 
the Arms Export Control Act (22 U.S.C. 2778(e)) may be made and 
shall continue in full force and effect until amended or 
revoked under the authority of section 203 of the Act (50 
U.S.C. 1702). To the extent permitted by law, this order also 
shall constitute authority for the issuance and continuation in 
full force and effect of all rules and regulations by the 
President or his delegate, and all orders, licenses, and other 
forms of administrative actions issued, taken, or continued in 
effect pursuant thereto, relating to the administration of 
section 38(e).
    Sec. 4. This order shall be effective as of midnight 
between August 20, 2001 and August 21, 2001, eastern daylight 
time.
       k. Administration of the Export Administration Act of 1979

Executive Order 12214, May 2, 1980, 45 F.R. 29783, 50 U.S.C. app. 2403 
                                  note

    By the authority vested in me as President of the United 
States of America by Section 4(e) of the Export Administration 
Act of 1979 (Public Law 96-72; 50 U.S.C. App. 2403(e)), is it 
hereby ordered as follows;
    1-101. Except as provided in Section 1-102, the functions 
conferred upon the President by the provisions of the Export 
Administration Act of 1979, hereinafter referred to as the Act 
(Public Law 96-72; 50 U.S.C. App. 2401 et seq.), are delegated 
to the Secretary of Commerce.
    1-102. (a) The functions conferred upon the President by 
Sections 4(e), 5(c), 5(f)(1), 5(h)(6), 6(k), 7(d)(2), 10(g) and 
20 of the Act are reserved to the President.
    (b) The functions conferred upon the President by Sections 
5(f)(4), 5(i), and 6(g) of the Act are delegated to the 
Secretary of State.
    1-103. All delegations, rules, regulations, orders, 
licenses, and other forms of administrative action made, issued 
or otherwise taken under, or continued in existence by, Section 
21 of the Act or Executive Order No. 12002, and not revoked 
administratively or legislatively, shall remain in full force 
and effect until amended, modified, or terminated by proper 
authority. This Order does not supersede or otherwise affect 
Executive Order No. 12002.
    1-104. Except to the extent inconsistent with this Order, 
all actions previously taken pursuant to any function delegated 
or assigned by this Order shall be deemed to have been taken 
and authorized by this Order.

                   l. The President's Export Council

  Executive Order 12131,\1\ May 4, 1979, 44 F.R. 26841; as amended by 
 Executive Order 12551, February 21, 1986, 51 F.R. 6509; by Executive 
  Order 12991, March 6, 1995, 61 F.R. 9587; by Executive Order 13138, 
September 30, 1999, 64 F.R. 53879; by Executive Order 13225, September 
 28, 2001, 66 F.R. 50291; and by Executive Order 13316, September 17, 
                          2003, 68 F.R. 55255

    By the authority vested in me as President by the 
Constitution and statutes of the United States of America, and 
in order to expand the membership of the President's Export 
Council, in accord with the provisions of the Federal Advisory 
Committee Act (5 U.S.C. App. I), it is hereby ordered as 
follows:
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    \1\ 50 U.S.C. app. 2401 note.
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1-1. Establishment and Membership.

    1-101. There is established the President's Export Council.
    1-102. The membership of the Council shall be as follows:
    (a) The heads of the following Executive agencies or their 
representatives:
          (1) Department of State.
          (2) Department of the Treasury.
          (3) Department of Agriculture.
          (4) Department of Commerce.
          (5) Department of Labor.
          (6) Office of the Special Representative for Trade 
        Negotiations.
          (7) Export-Import Bank of the United States.
          (8) \2\ Small Business Administration.
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    \2\ Executive Order 12991 (61 F.R. 9587) added para. (8).
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    (b) \3\ Five members of the United States Senate, 
designated by the President of the Senate, and five members of 
the United States House of Representatives designated by the 
Speaker of the House to serve for a two-year term.
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    \3\ Executive Order 12551 (51 F.R. 6509) increased membership from 
each house of Congress from 3 to 5 and specified that members serve for 
a two-year term.
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    (c) Not to exceed 28 citizens appointed by the President. 
These individuals shall be selected from those who are not 
full-time Federal officers or employees. They shall include 
representatives of business and industry, agriculture, and 
labor.
    1-103. The President shall designate a Chairman and a Vice 
Chairman from among the members appointed by the President.
    1-104. The Secretary of Commerce, with the concurrence of 
the Chairman, shall appoint an Executive Director.

1-2. Functions.

    1-201. The Council shall serve as a national advisory body 
on matters relating to United States export trade, including 
advice on the implementation of the President's National Export 
Policy, which was announced on September 26, 1978. It shall, 
through the Secretary of Commerce, report to the President on 
its activities and on its recommendations for expanding United 
States exports.
    1-202. The Council should survey and evaluate the export 
expansion activities of the communities represented by the 
membership. It should identify and examine specific problems 
which business, industrial, and agricultural practices may 
cause for export trade, and examine the needs of business, 
industry, and agriculture to expand their efforts. The Council 
should recommend specific solutions to these problems and 
needs.
    1-203. The Council may act as liaison among the communities 
represented by the membership; and, may provide a forum for 
those communities on current and emerging problems and issues 
in the field of export expansion. The Council should encourage 
the business, industrial, and agricultural communities to enter 
new foreign markets and to expand existing export programs.
    1-204. The Council shall provide advice on Federal plans 
and actions that affect export expansion policies which have an 
impact on those communities represented by the membership.
    1-205. The Council may establish, with the concurrence of 
the Secretary of Commerce, an executive committee and such 
other subordinate committees it considers necessary for the 
performance of its functions. The Chairman of a subordinate 
committee shall be designated, with the concurrence of the 
Secretary of Commerce, by the Chairman of the Council from 
among the membership of the Council. Members of subordinate 
committees shall be appointed by the Secretary of Commerce.

1-3. Administrative Provisions.

    1-301. The Secretary of Commerce shall, to the extent 
permitted by law, provide the Council, including its executive 
and subordinate committees, with administrative and staff 
services, support and facilities as may be necessary for the 
effective performance of its functions.
    1-302. Each member of the Council, including its executive 
and subordinate committees, who is not otherwise paid a salary 
by the Federal Government, shall receive no compensation from 
the United States by virtue of their service on the Council, 
but all members may receive the transportation and travel 
expenses, including per diem in lieu of subsistence, authorized 
by law (5 U.S.C. 5702 and 5703).

1-4. General Provisions.

    1-401. Notwithstanding the provisions of any other 
Executive order, the functions of the President under the 
Federal Advisory Committee Act (5 U.S.C. App. I), except that 
of reporting annually to the Congress, which are applicable to 
the Council, shall be performed by the Secretary of Commerce in 
accordance with guidelines and procedures established by the 
Administrator of General Services.
    1-402. Executive Order No. 11753 is revoked; however, 
nothing in this Order shall be deemed to require new charters 
for the Council, including its executive and subordinate 
committees, which were current immediately prior to the 
issuance of this Order.
    1-403. The Council shall terminate on December 31, 1980, 
unless sooner extended.\4\
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    \4\ The Council was continued until December 31, 1982 by sec. 1(l) 
of Executive Order 12258, December 31, 1980, 46 F.R. 1251; until 
September 30, 1984, by sec. 1(k) of Executive Order 12398, December 31, 
1982, 48 F.R. 377; until September 30, 1985 by sec. 1(k) of Executive 
Order 12489, September 28, 1984, 49 F.R. 38927; until September 30, 
1987 by sec. 1(l) of Executive Order 12534, September 30, 1985, 50 F.R. 
40319; until September 30, 1989, by sec. 1(j) of Executive Order 12610, 
September 10, 1987, 52 F.R. 36901; until September 30, 1991, by sec. 
1(j) of Executive Order 12692, September 29, 1989, 54 F.R. 40627; until 
September 30, 1993, by sec. (1)(i) of Executive Order 12774, September 
27, 1991, 56 F.R. 49835; until September 30, 1995 by sec. 1(i) of 
Executive Order 12869, September 30, 1993, 58 F.R. 51751; until 
September 30, 1997 by sec. 1(m) of Executive Order 12974, September 29, 
1995, 60 F.R. 51875; until September 30, 1999, by sec. 1(m) of 
Executive Order 13062, September 29, 1997, 62 F.R. 51755; and until 
September 30, 2001 by Executive Order 13138, September 30, 1999, 64 
F.R. 53879; until September 30, 2003 by sec. 1(l) of Executive Order 
13225, September 28, 2001, 66 F.R. 50291; and until September 30, 2005 
by sec. 1(l) of Executive Order 13316, September 17, 2003, 68 F.R. 
55255.

m. Administration of the Export Administration Act of 1969, as amended 
                                  \1\

   Executive Order 12002, July 7, 1977, 42 F.R. 35623; as amended by 
          Executive Order 12755, March 12, 1991, 56 F.R. 11057

    By virtue of the authority vested in me by the Constitution 
and statutes of the United States of America, including Export 
Administration Act of 1969, as amended (50 U.S.C. App. 2401, et 
seq.), and as President of the United States of America, it is 
hereby ordered as follows:
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    \1\ When the Export Administration Act of 1969 expired on September 
30, 1979, it was replaced by the Export Administration Act of 1979. 
Sec. 21 of the 1979 Act provided that all orders (which would include 
this Executive Order) issued under the 1969 Act and which were in force 
on the effective date of the 1979 Act, would continue in effect until 
modified, superseded, set aside, or revoked. Executive Order 12214 was 
issued on May 2, 1980, providing for the administration of the Export 
Administration Act of 1979. However, the new Executive Order stated 
that it did not supersede or otherwise affect Executive Order 12002.
    Authority of the Export Administration Act of 1979 expired on 
September 30, 1990, pursuant to sec. 20 of that Act. Executive Order 
12730 of September 30, 1990, provided for the continuation of export 
control regulations until passage of an extension of the 1979 Act. 
Public Law 103-10 (107 Stat. 40; March 27, 1993) renewed the authority 
of the Act through June 30, 1994, effective March 27, 1993, and 
authorized funds for fiscal years 1993 and 1994. Executive Order 12730 
subsequently was rescinded by sec. 1 of Executive Order 12867 of 
September 30, 1993 (58 F.R. 51747).
    On the day the Act was once again set to expire, June 30, 1994, the 
President issued Executive Order 12923 (59 F.R. 34551) to continue the 
provisions of the Act and provisions for its for administration. 
Subsequently, Public Law 103-277 (108 Stat. 1407; enacted July 5, 1994) 
renewed the authority of the Export Administration Act through August 
20, 1994. Near that expiration, the President issued Executive Order 
12924 (Aug. 19, 1994; 59 F.R. 43437) to continue the authorities in the 
Act.
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    Section 1. Except as provided in Section 2, the power, 
authority, and discretion conferred upon the President by the 
provisions of the Export Administration Act of 1969, as amended 
(50 U.S.C. App. 2401, et seq.) hereinafter referred to as the 
Act, are delegated to the Secretary of Commerce, with the power 
of successive redelegation.
    Sec. 2. (a) The power, authority and discretion conferred 
upon the President in Sections 4(h) and 4(l) of the Act are 
retained by the President.
    (b) The power, authority and discretion conferred upon the 
President in Section 3(8) of the Act, which directs that every 
reasonable effort be made to secure the removal of reduction of 
assistance by foreign countries to international terrorists 
through cooperation and agreement, are delegated to the 
Secretary of State, with the power of successive redelegation.
    Sec. 3.\2\ The Export Administration Review Board, 
hereinafter referred to as the Board, which was established by 
Executive Order No. 11533 of June 4, 1970, as amended, is 
hereby continued. The Board shall continue to have as its 
members, the Secretary of Commerce, who shall be Chairman of 
the Board, the Secretary of State, and the Secretary of 
Defense. The Secretary of Energy and the Director of the United 
States Arms Control and Disarmament Agency shall be members of 
the Board, and shall participate in meetings that consider 
issues involving nonproliferation of armaments and other issues 
within their respective statutory and policy-making 
authorities. The Chairman of the Joint Chiefs of Staff and the 
Director of Central Intelligence shall be non-voting members of 
the Board. No alternate Board members shall be designated, but 
the acting head or deputy head of any department or agency may 
serve in lieu of the head of the concerned department or 
agency. The Board may invite the heads of other United States 
Government departments or agencies, other than the agencies 
represented by Board members, to participate in the activities 
of the Board when matters of interest to such departments or 
agencies are under consideration.''.
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    \2\ Sec. 1 of Executive Order 12755 of March 12, 1991 (56 F.R. 
11057) amended and restated sec. 3.
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    Sec. 4. The Secretary of Commerce may from time to time 
refer to the Board such particular export license matters, 
involving questions of national security or other major policy 
issues, as the Secretary shall select. The Secretary of 
Commerce shall also refer to the Board any other such export 
license matter, upon the request of any other member of the 
Board or of the head of any other United States Government 
department or agency having any interest in such matter. The 
Board shall consider the matters so referred to it, giving due 
consideration to the foreign policy of the United States, the 
national security, concerns about the nonproliferation of 
armaments,\3\ and the domestic economy, and shall make 
recommendation thereon to the Secretary of Commerce.
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    \3\ Sec. 2 of Executive Order 12755 of March 12, 1991 (56 F.R. 
11057) added ``concerns about the nonproliferation of armaments,''.
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    Sec. 5. The President may at any time (a) prescribe rules 
and regulations applicable to the power, authority, and 
discretion referred to in this Order, and (b) communicate to 
the Secretary of Commerce such specific directives applicable 
thereto as the President shall determine. The Secretary of 
Commerce shall from time to time report to the President upon 
the administration of the Act and, as the Secretary deems 
necessary, may refer to the President recommendations made by 
the Board under Section 4 of this Order. Neither the provisions 
of this section nor those of Section 4 shall be construed as 
limiting the provisions of Section 1 of this Order.
    Sec. 6. All delegations, rules, regulations, orders, 
licenses, and other forms of administrative action made, 
issued, or otherwise taken under, or continued in existence by, 
the Executive orders revoked in Section 7 of this Order, and 
not revoked administratively or legislatively, shall remain in 
full force and effect under this Order until amended, or 
terminated by proper authority. The revocations in Section 7 of 
this Order shall not affect any violation of any rules, 
regulations, orders, licenses or other forms of administrative 
action under those Orders during the period those Orders were 
in effect.
    Sec. 7. Executive Order No. 11533 of June 4, 1970, 
Executive Order No. 11683 of August 29, 1972, Executive Order 
No. 11798 of August 14, 1974, Executive Order No. 11818 of 
November 5, 1974, Executive Order No. 11907 of March 1, 1976, 
and Executive Order No. 11940 of September 30, 1976, are hereby 
revoked.
                5. International Economic Sanctions \1\

               a. Trading With the Enemy Act, as amended

 Partial text of Public Law 65-91 [H.R. 4960], 40 Stat. 411, approved 
October 6, 1917; as amended by Public Law 65-217 [H.R. 12923], 40 Stat. 
966, approved September 24, 1918; Public Law 73-1 [H.R. 1491], 48 Stat. 
1, approved March 9, 1933; Public Resolution 76-69 [S.J. Res. 252], 54 
  Stat. 179, approved May 7, 1940; Public Law 77-354 [H.R. 6233], 55 
Stat. 839, approved December 18, 1941; Presidential Proclamation 2695, 
effective July 4, 1946, 60 Stat. 1352; Public Law 95-223 [International 
  Emergency Economic Powers Act; H.R. 7738], 91 Stat. 1625, approved 
 December 28, 1977; Public Law 99-93 [Foreign Relations Authorization 
  Act, Fiscal Years 1986 and 1987; H.R. 2068], 99 Stat. 449, approved 
August 16, 1985; Public Law 100-418 [Omnibus Trade and Competitiveness 
  Act of 1988; H.R. 4848], 102 Stat. 1107, approved August 23, 1988; 
 Public Law 102-393 [Treasury, Postal Service, and General Government 
Appropriations Act, 1993; H.R. 5488], 106 Stat. 1729, approved October 
  6, 1992; Public Law 102-484 [National Defense Authorization Act for 
  Fiscal Year 1993; H.R. 5006], 106 Stat. 2315, approved October 23, 
 1992; Public Law 103-236 [Foreign Relations Authorization Act, Fiscal 
  Years 1994 and 1995; H.R. 2333], 108 Stat. 382, approved April 30, 
     1994; and by Public Law 104-114 [Cuban Liberty and Democratic 
 Solidarity (LIBERTAD) Act of 1996; H.R. 927], 110 Stat. 785, approved 
                             March 12, 1996

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled, That \2\ 
this Act shall be known as the ``Trading with the enemy \3\ 
Act''.
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    \1\ In previous years this section has included legislation and 
Executive Orders relating to proliferation sanctions. The 
proliferation/nonproliferation legislation is consolidated in 
Legislation on Foreign Relations Through 2000, vol. II, beginning at 
page 1327.
    \2\ 50 U.S.C. app. 1.
    \3\ So in original.
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    Sec. 2.\4\ That the word ``enemy,'' as used herein, shall 
be deemed to mean, for the purposes of such trading and of this 
Act--
---------------------------------------------------------------------------
    \4\ 50 U.S.C. app. 2.
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    (a) Any individual, partnership, or other body of 
individuals, of any nationality, resident within the territory 
(including that occupied by the military and naval forces) of 
any nation with which the United States is at war, or resident 
outside the United States and doing business within such 
territory, and any corporation incorporated within such 
territory of any nation with which the United States is at war 
or incorporated within any country other than the United States 
and doing business within such territory.
    (b) The government of any nation with which the United 
States is at war, or any political or municipal subdivision 
thereof, or any officer, official agent, or agency thereof.
    (c) Such other individuals, or body or class of 
individuals, as may be natives, citizens, or subjects of any 
nation with which the United States is at war, other than 
citizens of the United States, wherever resident or wherever 
doing business, as the President, if he shall find the safety 
of the United States or the successful prosecution of the war 
shall so require, may, by proclamation, include within the term 
``enemy.''
    The words ``ally of enemy,'' as used herein, shall be 
deemed to mean--
    (a) Any individual, partnership, or other body of 
individuals, of any nationality, resident within the territory 
(including that occupied by the military and naval forces) of 
any nation which is an ally of a nation with which the United 
States is at war, or resident outside the United States and 
doing business within such territory, and any corporation 
incorporated within such territory of any ally nation, or 
incorporated within any country other than the United States 
and doing business within such territory.
    (b) The government of any nation which is an ally of a 
nation with which the United States is at war, or any political 
or municipal subdivision of such ally nation, or any officer, 
official agent, or agency thereof.
    (c) Such other individuals, or body or class of 
individuals, as may be natives, citizens, or subjects of any 
nation which is an ally of a nation with which the United 
States is at war, other than citizens of the United States, 
wherever resident or wherever doing business, as the President, 
if he shall find the safety of the United States or the 
successful prosecution of the war shall so require, may, by 
proclamation, include within the term ``ally of enemy.''
    The word ``person,'' as used herein, shall be deemed to 
mean an individual, partnership, association, company, or other 
unincorporated body of individuals, or corporation or body 
politic.
    The words ``United States,'' as used herein, shall be 
deemed to mean all land and water, continental or insular, in 
any way within the jurisdiction of the United States or 
occupied by the military or naval forces thereof.
    The words ``the beginning of the war,'' as used herein, 
shall be deemed to mean midnight ending the day on which the 
Congress has declared or shall declare war or the existence of 
a state of war.
    The words ``end of the war,'' as used herein shall be 
deemed to mean the date of proclamation of exchange of 
ratifications of the treaty of peace, unless the President 
shall, by proclamation, declare a prior date, in which case the 
date so proclaimed shall be deemed to be the ``end of the war'' 
within the meaning of this Act.
    The words ``bank or banks,'' as used herein, shall be 
deemed to mean and include national banks, State banks, trust 
companies, or other banks or banking associations doing 
business under the laws of the United States, or of any State 
of the United States.
    The words ``to trade,'' as used herein, shall be deemed to 
mean--
    (a) Pay, satisfy, compromise, or give security for the 
payment or satisfaction of any debt or obligation.
    (b) Draw, accept, pay, present for acceptance or payment, 
or endorse any negotiable instrument or chose in action.
    (c) Enter into, carry on, complete, or perform any 
contract, agreement, or obligation.
    (d) buy or sell, loan or extend credit, trade in, deal 
with, exchange, transmit, transfer, assign, or otherwise 
dispose of, or receive any form of property.
    (e) To have any form of business or commercial 
communication or intercourse with.
    Sec. 3.\5\ That it shall be unlawful--
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    \5\ 50 U.S.C. app. 3.
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    (a) For any person in the United States, except with the 
license of the President, granted to such person, or to the 
enemy, or ally of enemy, as provided in this Act [sections 1 to 
6, 7 to 39, and 41 to 44 of this Appendix] to trade, or attempt 
to trade, either directly or indirectly, with, to, or from, or 
for, or on account of, or on behalf of, or for the benefit of, 
any other person, with knowledge or reasonable cause to believe 
that such other person is an enemy or ally of enemy, or is 
conducting or taking part in such trade, directly or 
indirectly, for, or on account of, or on behalf of, or for the 
benefit of, an enemy or ally of enemy.
    (b) For any person, except with the license of the 
President, to transport or attempt to transport into or from 
the United States, or for any owner, master, or other person in 
charge of a vessel of American registry to transport or attempt 
to transport from any place to any other place, any subject or 
citizen of an enemy or ally of enemy nation, with knowledge or 
reasonable cause to believe that the person transported or 
attempted to be transported is such subject or citizen.
    (c) For any person (other than a person in the service of 
the United States Government or of the Government of any 
nation, except that of an enemy or ally of enemy nation, and 
other than such persons or classes of persons as may be 
exempted hereunder by the President or by such person as he may 
direct), to send, or take out of, or bring into, or attempt to 
send, or take out of, or bring into the United States, any 
letter or other writing or tangible form of communication, 
except in the regular course of the mail; and it shall be 
unlawful for any person to send, take, or transmit, or attempt 
to send, take, or transmit out of the United States, any letter 
or other writing, book, map, plan, or other paper, picture, or 
any telegram, cablegram, or wireless message, or other form of 
communication intended for or to be delivered, directly or 
indirectly, to an enemy or ally of enemy: Provided, however, 
That any person may send, take, or transmit out of the United 
States anything herein forbidden if he shall first submit the 
same to the President, or to such officer as the President may 
direct, and shall obtain the license or consent of the 
President, under such rules and regulations, and with such 
exemptions, as shall be prescribed by the President.
    (d) Whenever, during the present war, the President shall 
deem that the public safety demands it, he may cause to be 
censored under such rules and regulations as he may from time 
to time establish, communications by mail, cable, radio, or 
other means of transmission passing between the United States 
and any foreign country he may from time to time specify, or 
which may be carried by any vessel or other means of 
transportation touching at any port, place, or territory of the 
United States and bound to or from any foreign country. Any 
person who willfully evades or attempts to evade the submission 
of any such communication to such censorship or willfully uses 
or attempts to use any code or other device for the purpose of 
concealing from such censorship the intended meaning of such 
communication shall be punished as provided in section sixteen 
of this Act.
          * * * * * * *
    Sec. 5. (a) * * *
    (b) \6\ (1) During the time of war,\7\ the President may 
through any agency that he may designate, and under such rules 
and regulations as he may prescribe, by means of instructions, 
licenses, or otherwise--
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    \6\ 50 U.S.C. app. 5(b). Subsec. (b), which is also classified to 
12 U.S.C. 95a (Banks and Banking) was amended and restated by sec. 301 
of Public Law 77-354 (55 Stat. 839).
    \7\ The words ``or during any other period of national emergency 
declared by the President'', which previously appeared at this point, 
were struck out by sec. 101(a) of Public Law 95-223 (91 Stat. 1625). 
Secs. 101 (b) and (c) of the same Act further stipulated:
    ``(b) Notwithstanding the amendment made by subsection (a), the 
authorities conferred upon the President by section 5(b) of the Trading 
With the Enemy Act, which were being exercised with respect to a 
country on July 1, 1977, as a result of a national emergency declared 
by the President before such date, may continue to be exercised with 
respect to such country, except that, unless extended the exercise of 
such authorities shall terminate (subject to the savings provisions of 
the second sentence of section 101(a) of the National Emergencies Act) 
at the end of the two-year period beginning on the date of enactment of 
the National Emergencies Act. The President may extend the exercise of 
such authorities for one-year periods upon a determination of each such 
extension that the exercise of such authorities with respect to such 
country for another year is in the national interest of the United 
States.
    ``(c) The termination and extension provisions of subsection (b) of 
this section supersede the provisions of section 101(a) and of title II 
of the National Emergencies Act to the extent that the provisions of 
subsection (b) of this section are inconsistent with those 
provisions.''.
    Each year since 1977, the President has utilized authority granted 
his office pursuant to the National Emergencies Act to extend certain 
authorities being exercised prior to July 1, 1977, under sec. 5(b) of 
the Trading with the Enemy Act. The most recent action, Presidential 
Determination No. 2000-29 of September 12, 2000 extends until September 
14, 2001, the exercise of those authorities with respect to countries 
affected by the Foreign Assets Control Regulations (31 CFR Part 500), 
the Transaction Control Regulations (31 CFR Part 505), and the Cuban 
Assets Control Regulations (31 CFR Part 515).
    Previous extensions have been issued as a memorandum of September 
8, 1978 (43 F.R. 40449); memorandum of September 12, 1979 (44 F.R. 
553153); memorandum of September 8, 1980 (45 F.R. 59549); memorandum of 
September 10, 1981 (46 F.R. 45321); memorandum of September 8, 1982 (47 
F.R. 39797); memorandum of September 7, 1983 (48 F.R. 40695); 
memorandum of September 11, 1984 (49 F.R. 35927); memorandum of 
September 5, 1985 (5 F.R. 36563); memorandum of August 20, 1986 (51 
F.R. 30201); memorandum of August 27, 1987 (52 F.R. 33397); 
Presidential Determination No. 88-22 of September 8, 1988 (53 F.R. 
35289); Presidential Determination No. 89-25 of August 28, 1989 (54 
F.R. 37089); Presidential Determination No. 90-38 of September 5, 1990 
(55 F.R. 37309); Presidential Determination No. 91-52 of September 13, 
1991 (56 F.R. 48415); Presidential Determination No. 92-45 of August 
28, 1992 (57 F.R. 43125); Presidential Determination No. 93-38 of 
September 13, 1993 (58 F.R. 51209); Presidential Determination No. 94-
46 of September 8, 1994 (59 F.R. 47229); Presidential Determination No. 
95-41 of September 8, 1995 (60 F.R. 47659); Presidential Determination 
No. 96-43 of August 27, 1996 (61 F.R. 46529); Presidential 
Determination 97-32 of September 12, 1997 (62 F.R. 48729); Presidential 
Determination No. 98-35 of September 11, 1998 (63 F.R. 50455; 
Presidential Determination No. 99-36 of September 10, 1999 (64 F.R. 
51885); Presidential Determination No. 2000-29 of September 12, 2000 
(65 F.R. 55881); Presidential Determination No. 2001-26 of September 
12, 2001 (66 F.R. 47941); Presidential Determination No. 02-31 of 
September 13, 2002 (67 F.R. 58679); Presidential Determination No. 
2003-36 of September 12, 2003 (68 F.R. 54325).
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          (A) investigate, regulate, or prohibit, any 
        transactions in foreign exchange, transfers of credit 
        or payments between, by, through, or to any banking 
        institution, and the importing, exporting, hoarding, 
        melting, or earmarking of gold or silver coin or 
        bullion, currency or securities, and
          (B) investigate, regulate, direct and compel, 
        nullify, void, prevent or prohibit, any acquisition, 
        holding, withholding, use, transfer withdrawal, 
        transportation, importation or exportation of, or 
        dealing in or exercising any right, power, or privilege 
        with respect to, or transactions involving, any 
        property in which any foreign country or a national 
        thereof has any interest,
by any person, or with respect to any property, subject to the 
jurisdiction of the United States; and any property or interest 
of any foreign country or national thereof shall vest, when, 
as, and upon the terms, directed by the President in such 
agency or person as may be designated from time to time by the 
President, and upon such terms and conditions as the President 
may prescribe such interest or property shall be held, used, 
administered, liquidated, sold, otherwise dealt with in the 
interest of and for the benefit of the United States and such 
designated agency or person may perform any and all acts 
incident to the accomplishment or furtherance of these 
purposes; and the President shall, in the manner hereinabove 
provided, require any person to keep a full record of, and to 
furnish under oath, in the form of reports or otherwise, 
complete information relative to any act or transaction 
referred to in this subdivision either before, during, or after 
the completion thereof, or relative to any interest in foreign 
property, or relative to any property in which any foreign 
country or any national thereof has or has had any interest, or 
as may be otherwise necessary to enforce the provisions of this 
subdivision, and in any case in which a report could be 
required, the President may, in the manner hereinabove 
provided, require the production, or if necessary to the 
national security or defense, the seizure, of any books of 
account, records, contracts, letters, memoranda, or other 
papers, in the custody or control of such person.\8\
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    \8\ The words ``; and the President may, in the manner hereinabove 
provided, take other or further measures not inconsistent herewith for 
the enforcement of this subdivision'', which previously appeared at 
this point, were struck out by sec. 102(2) of Public Law 95-223 (91 
Stat. 1625).
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    (2) Any payment, conveyance, transfer, assignment, or 
delivery of property or interest therein, made to or for the 
account of the United States, or as otherwise directed, 
pursuant to this subdivision or any rule, regulation, 
instruction, or direction issued hereunder shall to the extent 
thereof be a full acquittance and discharge for all purposes of 
the obligation of the person making the same; and no person 
shall be held liable in any court for or in respect to anything 
done or omitted in good faith in connection with the 
administration of, or in pursuance of and in reliance on, this 
subdivision, or any rule, regulation, instruction, or direction 
issued hereunder.
    (3) As used in this subdivision the term ``United States'' 
means the United States and any place subject to the 
jurisdiction thereof: \9\ Provided, however, That the foregoing 
shall not be construed as a limitation upon the power of the 
President, which is hereby conferred, to prescribe from time to 
time, definitions, not inconsistent with the purposes of this 
subdivision, for any or all of the terms used in this 
subdivision.\10\ As used in this subdivision the term 
``person'' means an individual, partnership, association, or 
corporation.
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    \9\ The words ``including the Philippine Islands, and the several 
courts of first instance of the Commonwealth of the Philippine Islands 
shall have jurisdiction in all cases, civil or criminal, arising under 
this subdivision in the Philippine Islands and concurrent jurisdiction 
with the district courts of the United States of all cases, civil or 
criminal, arising upon the high seas'' immediately preceding the 
proviso in subsec. (b)(3) of this section, have been omitted on the 
authority of 1946 Proclamation No. 2695, which is set out as a note 
under sec. 1394 of Title 22, Foreign Relations and Intercourse, and in 
which the President proclaimed the independence of the Philippines.
    \10\ Sec. 103(b) of Public Law 95-223 (91 Stat. 1626) struck out 
the following sentence which previously appeared at this point:
    ``Whoever willfully violates any of the provisions of this 
subdivision or of any license, order, rule or regulation issued 
thereunder, shall, upon conviction, be fined not more than $10,000, or, 
if a natural person, may be imprisoned for not more than ten years, or 
both; and any officer, director, or agent of any corporation who 
knowingly participates in such violation may be punished by a like 
fine, imprisonment, or both.''.
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  (4) \11\ The authority granted to the President by this 
section does not include the authority to regulate or prohibit, 
directly or indirectly, the importation from any country, or 
the exportation to any country, whether commercial or 
otherwise, regardless of format or medium of transmission, of 
any information or informational materials, including but not 
limited to, publications, films, posters, phonograph records, 
photographs, microfilms, microfiche, tapes, compact disks, CD 
ROMs, artworks, and news wire feeds. The exports exempted from 
regulation or prohibition by this paragraph do not include 
those which are otherwise controlled for export under section 5 
of the Export Administration Act of 1979, or under section 6 of 
that Act to the extent that such controls promote the 
nonproliferation or antiterrorism policies of the United 
States, or with respect to which acts are prohibited by chapter 
37 of title 18, United States Code.
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    \11\ Sec. 525(b)(1) of the Foreign Relations Authorization Act, 
Fiscal Years 1994 and 1995 (Public Law 103-236; 108 Stat. 474), amended 
and restated para. (4). Sec. 525(b)(2) of that Act further provided:
    ``(2) The authorities conferred upon the President by section 5(b) 
of the Trading With the Enemy Act, which were being exercised with 
respect to a country on July 1, 1977, as a result of a national 
emergency declared by the President before such date, and are being 
exercised on the date of the enactment of this Act, do not include the 
authority to regulate or prohibit, directly or indirectly, any activity 
which, under section 5(b)(4) of the Trading With the Enemy Act, as 
amended by paragraph (1) of this subsection, may not be regulated or 
prohibited.''.
    Sec. 525(a) of that Act, furthermore, stated the following:
    ``(a) Sense of Congress.--It is the sense of the Congress that the 
President should not restrict travel or exchanges for informational, 
educational, religious, cultural, or humanitarian purposes or for 
public performances or exhibitions, between the United States and any 
other country.''.
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          * * * * * * *
    Sec. 16.\12\ (a) Whoever shall willfully violate any of the 
provisions of this Act or of any license, rule, or regulation 
issued thereunder, and whoever shall willfully violate, 
neglect, or refuse to comply with any order of the President 
issued in compliance with the provisions of this Act shall, 
upon conviction, be fined not more than $1,000,000, or, if a 
natural person, be fined not more than $100,000, or imprisoned 
for not more than ten years, or both; and the officer, 
director, or agent of any corporation who knowingly 
participates \13\ in such violation shall, upon conviction, be 
fined not more than $100,000 or imprisoned for not more than 
ten years or both.
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    \12\ 50 U.S.C. app. 16. Sec. 628 of Public Law 102-393 (106 Stat. 
1772) amended and restated sec. 16, which had formerly read (as amended 
by sec. 103(a) of Public Law 95-223) as follows:
    ``Sec. 16. That whoever shall willfully violate any of the 
provisions of this Act or of any license, rule, or regulation issued 
thereunder, and whoever shall willfully violate, neglect, or refuse to 
comply with any order of the President issued in compliance with the 
provisions of this Act shall, upon conviction, be fined not more than 
$50,000, or, if a natural person, imprisoned for not more than ten 
years, or both; and the officer, director, or agent of any corporation 
who knowingly participates in such violation shall be punished by a 
like fine, imprisonment, or both, and any property, funds, securities, 
papers, or other articles or documents, or any vessel, together with 
her tackle, apparel, furniture, and equipment, concerned in such 
violation shall be forfeited to the United States.''.
    Sec. 1710(c)(1) of Public Law 102-484 (106 Stat. 2580) struck out 
``That whoever'' and inserted ``(a) Whoever'', an amendment that was 
not executable given the earlier amendment in Public Law 102-393.
    Sec. 102(d)(3)(A) of Public Law 104-114 (110 Stat. 793) inserted 
the section designation ``Sec. 16.'' before ``(a)''.
    \13\ Sec. 102(d)(3)(B) of Public Law 104-114 (110 Stat. 793) struck 
out ``participants'' and inserted in lieu thereof ``participates''.
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    (b) \14\ (1) A civil penalty of not to exceed $50,000 may 
be imposed by the Secretary of the Treasury on any person who 
violates any license, order, rule, or regulation issued in 
compliance with the provisions of this Act.
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    \14\ Sec. 102(d) of Public Law 104-114 (110 Stat. 793) amended and 
restated subsec. (b) as earlier amended by Public Law 102-393, and 
struck out a second subsec. (b) that had been added by sec. 1710(c)(2) 
of Public Law 102-484 (106 Stat. 2580). The language added by sec. 628 
of Public Law 102-393 formerly read as follows:
    ``(b)(1) A civil penalty of not to exceed $50,000 may be imposed by 
the Secretary of the Treasury on any person who violates any license, 
order, rule, or regulation issued in compliance with the provisions of 
this Act.
    ``(2) The penalties provided under this subsection may not be 
imposed for--
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          ``(A) news gathering, research, or the export or import of, 
        or transmission of, information or informational materials; or
          ``(B) clearly defined educational or religious activities, or 
        activities of recognized human rights organizations, that are 
        reasonably limited in frequency, duration, and number of 
        participants.''.
---------------------------------------------------------------------------
    Subsec. (b) as added by sec. 1710(c)(2) of Public Law 102-484 
formerly read as follows:
    ``(b)(1) The Secretary of the Treasury may impose a civil penalty 
of not more than $50,000 on any person who violates any license, order, 
rule, or regulation issued under this Act.
    ``(2) Any property, funds, securities, papers, or other articles or 
documents or any vessel, together with its tackle, apparel, furniture, 
and equipment, that is the subject of a violation under paragraph (1) 
shall, at the discretion of the Secretary of the Treasury, be forfeited 
to the United States Government.
    ``(3) The penalties provided under this subsection may not be 
imposed for--
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          ``(A) news gathering, research, or the export or import of, 
        or transmission of, information or informational materials; or
          ``(B) clearly defined educational or religious activities, or 
        activities of recognized human rights organizations, that are 
        reasonably limited in frequency, duration, and number of 
        participants.
---------------------------------------------------------------------------
    ``(4) The penalties provided under this subsection may be imposed 
only on the record after opportunity for an agency hearing in 
accordance with sections 554 through 557 of title 5, United States 
Code, with the right to prehearing discovery.
    ``(5) Judicial review of any penalties imposed under this 
subsection may be had to the extent provided in section 702 of title 5, 
United States Code.''.
    Sec. 1710 of Public Law 102-484 (106 Stat. 2581) further provided:
    ``(d) Applicability of Penalties.--The penalties set forth in 
section 16 of the Trading With the Enemy Act shall apply to violations 
of this title [Cuban Democracy Act] to the same extent as such 
penalties apply to violations under that Act.
    ``(e) Office of Foreign Assets Control.--The Department of the 
Treasury shall establish and maintain a branch of the Office of Foreign 
Assets Control in Miami, Florida, in order to strengthen the 
enforcement of this title [Cuban Democracy Act].''.
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    (2) Any property, funds, securities, papers, or other 
articles or documents, or any vessel, together with its tackle, 
apparel, furniture, and equipment, that is the subject of a 
violation under paragraph (1) shall, at the direction of the 
Secretary of the Treasury, be forfeited to the United States 
Government.
    (3) The penalties provided under this subsection may be 
imposed only on the record after opportunity for an agency 
hearing in accordance with sections 554 through 557 of title 5, 
United States Code, with the right to prehearing discovery.
    (4) Judicial review of any penalty imposed under this 
subsection may be had to the extent provided in section 702 of 
title 5, United States Code.
    (c) Upon conviction, any property, funds, securities, 
papers, or other articles or documents, or any vessel, together 
with tackle, apparel, furniture, and equipment, concerned in 
any violation of subsection (a) may be forfeited to the United 
States.
          * * * * * * *
       b. International Emergency Economic Powers Act, as amended

Partial text of Public Law 95-223 [H.R. 7738], 91 Stat. 1625, approved 
December 28, 1977, as amended by Public Law 100-418 [Omnibus Trade and 
   Competitiveness Act of 1988; H.R. 4848], 102 Stat. 1107, approved 
  August 23, 1988; Public Law 102-393 [Treasury, Postal Service, and 
  General Government Appropriations Act, 1993; H.R. 5488], 106 Stat. 
   1729, approved October 6, 1992; Public Law 102-396 [Department of 
Defense Appropriations Act, 1993; H.R. 5504], 106 Stat. 1876, approved 
October 6, 1992; by Public Law 103-236 [Foreign Relations Authorization 
 Act, Fiscal Years 1994 and 1995; H.R. 2333], 108 Stat. 382, approved 
April 30, 1994; and Public Law 104-201; [National Defense Authorization 
    Act for Fiscal Year 1997; H.R. 3230], 110 Stat. 2725, approved 
                           September 23, 1996

 AN ACT With respect to the powers of the President in time of war or 
                          national emergency.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,


          Note.--Except for the provisions reproduced below, 
        this Act consisted of amendments to the Trading With 
        the Enemy Act (Public Law 65-91; 40 Stat. 411) and the 
        Export Administration Act of 1969 (Public Law 96-72; 93 
        Stat. 503).



         TITLE I--AMENDMENTS TO THE TRADING WITH THE ENEMY ACT

 REMOVAL OF NATIONAL EMERGENCY POWERS UNDER THE TRADING WITH THE ENEMY 
                                  ACT

    Sec. 101. (a) * * *
    (b) \1\ Notwithstanding the amendment made by subsection 
(a), the authorities conferred upon the President by section 
5(b) of the Trading With the Enemy Act, which were being 
exercised with respect to a country on July 1, 1977, as a 
result of a national emergency declared by the President before 
such date, may continue to be exercised with respect to such 
country, except that, unless extended, the exercise of such 
authorities shall terminate (subject to the savings provisions 
of the second sentence of section 101(a) of the National 
Emergencies Act) at the end of the two-year period beginning on 
the date of enactment of the National Emergencies Act. The 
President may extend the exercise of such authorities for one-
year periods upon a determination of each such extension that 
the exercise of such authorities with respect to such country 
for another year is in the national interest of the United 
States.\2\
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    \1\ 50 U.S.C. app. 5 note.
    \2\ Each year since 1977, the President has utilized authority 
granted his office pursuant to the National Emergencies Act to extend 
certain authorities being exercised prior to July 1, 1977, under sec. 
5(b) of the Trading with the Enemy Act. The most recent action, 
Presidential Determination No. 2000-29 of September 12, 2000 extends 
until September 14, 2001, the exercise of those authorities with 
respect to countries affected by the Foreign Assets Control Regulations 
(31 CFR Part 500), the Transaction Control Regulations (31 CFR Part 
505), and the Cuban Assets Control Regulations (31 CFR Part 515).
    Previous extensions have been issued as a memorandum of September 
8, 1978 (43 F.R. 40449); memorandum of September 12, 1979 (44 F.R. 
553153); memorandum of September 8, 1980 (45 F.R. 59549); memorandum of 
September 10, 1981 (46 F.R. 45321); memorandum of September 8, 1982 (47 
F.R. 39797); memorandum of September 7, 1983 (48 F.R. 40695); 
memorandum of September 11, 1984 (49 F.R. 35927); memorandum of 
September 5, 1985 (5 F.R. 36563); memorandum of August 20, 1986 (51 
F.R. 30201); memorandum of August 27, 1987 (52 F.R. 33397); 
Presidential Determination No. 88-22 of September 8, 1988 (53 F.R. 
35289); Presidential Determination No. 89-25 of August 28, 1989 (54 
F.R. 37089); Presidential Determination No. 90-38 of September 5, 1990 
(55 F.R. 37309); Presidential Determination No. 91-52 of September 13, 
1991 (56 F.R. 48415); Presidential Determination No. 92-45 of August 
28, 1992 (57 F.R. 43125); Presidential Determination No. 93-38 of 
September 13, 1993 (58 F.R. 51209); Presidential Determination No. 94-
46 of September 8, 1994 (59 F.R. 47229); Presidential Determination No. 
95-41 of September 8, 1995 (60 F.R. 47659); Presidential Determination 
No. 96-43 of August 27, 1996 (61 F.R. 46529); Presidential 
Determination 97-32 of September 12, 1997 (62 F.R. 48729); Presidential 
Determination No. 98-35 of September 11, 1998 (63 F.R. 50455; 
Presidential Determination No. 99-36 of September 10, 19999 (64 F.R. 
51885).
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    (c) The termination and extension provisions of subsection 
(b) of this section supersede the provisions of section 101(a) 
and of title II of the National Emergencies Act to the extent 
that the provisions of subsection (b) of this section are 
inconsistent with those provisions.
    (d) Paragraph (1) of section 502(a) of the National 
Emergencies Act is repealed.

                          WARTIME AUTHORITIES

    Sec. 102. * * *
    Sec. 103. * * *
          * * * * * * *

           TITLE II--INTERNATIONAL EMERGENCY ECONOMIC POWERS

                              SHORT TITLE

    Sec. 201.\3\ This title may be cited as the ``International 
Emergency Economic Powers Act''.
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    \3\ 50 U.S.C. 1701 note.
---------------------------------------------------------------------------

            situations in which authorities may be exercised

    Sec. 202.\4\ (a) Any authority granted to the President by 
section 203 may be exercised to deal with any unusual and 
extraordinary threat, which has its source in whole or 
substantial part outside the United States, to the national 
security, foreign policy, or economy of the United States, if 
the President declares a national emergency with respect to 
such threat.
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    \4\ 50 U.S.C. 1701. Presidential authority has been granted under 
the Act with respect to the following countries or entities: Sudan, 
Public Law 107-245, the Sudan Peace Act, 116 Stat. 1604.
    Sudan, sec. 501(a) of Public Law 106-570 (114 Stat. 3050). See 
Legislation on Foreign Relations Through 2000, vol. II.
    Iran, see also Public Law 106-178 (114 Stat. 38), the ``Iran 
Nonproliferation Act of 2000'', found in Legislation on Foreign 
Relations Through 2000, vol. II.
    Communist Chinese military companies, sec. 1237 of Public Law 105-
261 (112 Stat. 2160, 50 U.S.C. 1701 note). See Legislation on Foreign 
Relations Through 2002, vol. 1-B.
    Serbia and Montenegro, sec. 539 of Public Law 105-277 (Division A, 
sec. 101(d), 112 Stat. 2681-182, 50 U.S.C. 1701 note). See Legislation 
on Foreign Relations Through 2000, vol. II. Similar provisions with 
regard to Serbia and Montenegro are found in sec. 1237 of Public Law 
104-208 (division A, sec. 101(c)), approved September 30, 1996, 110 
Stat. 3009-155; and sec. 540 of Public Law 104-107 (110 Stat. 736), 
approved February 12, 1996.
    Iran and Iraq, title XVI of the National Defense Authorization Act 
for Fiscal Year 1993, the Iran-Iraq Arms Non-Proliferation Act of 1992, 
(Public Law 102-484; 106 Stat. 2571) in Legislation on Foreign 
Relations Through 2000, vol. II. See also sec. 1458 of the National 
Defense Authorization Act for Fiscal Year 1991 (Public Law 101-510; 104 
Stat. 1697).
    Iraq, secs. 586-586J of Public Law 101-513, the Iraq Sanctions Act 
of 1990 (104 Stat. 2047), this volume, page 1389.
    Iran and Libya, see Public Law 104-172 (110 Stat. 1541), this 
volume, page 1406.
    Serbia, see also sec. 599 (division b, sec. 1000(2), 113 Stat 
1501A-127) of Public Law 106-113, this volume, page 1463, and sec. 540 
0f Public Law 104-208 (sec. 101(c), title V) in Legislation on Foreign 
Relations Through 2002, vol. I-A.
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    (b) The authorities granted to the President by section 203 
may only be exercised to deal with an unusual and extraordinary 
threat with respect to which a national emergency has been 
declared for purposes of this title and may not be exercised 
for any other purpose. Any exercise of such authorities to deal 
with any new threat shall be based on a new declaration of 
national emergency which must be with respect to such threat.

                         GRANTS OF AUTHORITIES

    Sec. 203.\5\ (a)(1) At the times and to the extent 
specified in section 202, the President may, under such 
regulations as he may prescribe, by means of instructions, 
licenses, or otherwise--
---------------------------------------------------------------------------
    \5\ 50 U.S.C. 1702.
---------------------------------------------------------------------------
          (A) investigate, regulate, or prohibit--
                  (i) any transactions in foreign exchange,
                  (ii) transfer of credit or payments between, 
                by, through, or to any banking institution, to 
                the extent that such transfers or payments 
                involve any interest of any foreign country or 
                a national thereof,
                  (iii) the importing or exporting of currency 
                or securities; and
          (B) investigate, regulate, direct and compel, 
        nullify, void, prevent or prohibit, any acquisition, 
        holding, withholding, use, transfer, withdrawal, 
        transportation, importation or exportation of, or 
        dealing in, or exercising any right, power, or 
        privilege with respect to, or transactions involving, 
        any property in which any foreign country or a national 
        thereof has any interest; by any person, or with 
        respect to any property, subject to the jurisdiction of 
        the United States.
    (2) In exercising the authorities granted by paragraph (1), 
the President may require any person to keep a full record of, 
and to furnish under oath, in the form of reports or otherwise, 
complete information relative to any act or transaction 
referred to in paragraph (1) either before, during, or after 
the completion thereof, or relative to any interest in foreign 
property, or relative to any property in which any foreign 
country or any national thereof has or has had any interest, or 
as may be otherwise necessary to enforce the provisions of such 
paragraph. In any case in which a report by a person could be 
required under this paragraph, the President may require the 
production of any books of account, records, contracts, 
letters, memorandums, or other papers, in the custody or 
control of such person.
    (3) Compliance with any regulation, instruction, or 
direction issued under this title shall to the extent thereof 
be a full acquittance and discharge for all purposes of the 
obligations of the person making the same. No person shall be 
held liable in any court for or with respect to anything done 
or omitted in good faith in connection with the administration 
of, or pursuant to and in reliance on, this title, or any 
regulation, instruction, or direction issued under this title.
    (b) The authority granted to the President by this section 
does not include the authority to regulate or prohibit, 
directly or indirectly--
          (1) any postal, telegraphic, telephonic, or other 
        personal communication, which does not involve a 
        transfer of anything of value; \6\
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    \6\ Sec. 203(b) was amended by sec. 2502(b)(1) of Public Law 100-
418 (102 Stat. 1371) which struck out ``or'' in para. (1); struck out 
the period and inserted ``; or'' in para. (2) and added a new para. 
(3). Sec. 2502(b)(2) of that Act also stated that:
    ``(2) The amendments made by paragraph (1) apply to actions taken 
by the President under section 203 of the International Emergency 
Economic Powers Act before the date of the enactment of this Act which 
are in effect on such date of enactment, and to actions taken under 
such section on or after such date of enactment.''.
---------------------------------------------------------------------------
          (2) donations, by persons subject to the jurisdiction 
        of the United States, of articles, such as food, 
        clothing, and medicine, intended to be used to relieve 
        human suffering, except to the extent that the 
        President determines that such donations (A) would 
        seriously impair his ability to deal with any national 
        emergency, declared under section 202 of this title, 
        (B) or in response to coercion against the proposed 
        recipient or donor, or (C) would endanger Armed Forces 
        of the United States which are engaged in hostilities 
        or are in a situation where imminent involvement in 
        hostilities is clearly indicated by the circumstances.
          (3) \7\ the importation from any country, or the 
        exportation to any country, whether commercial or 
        otherwise, regardless of format or medium of 
        transmission, of any information or informational 
        materials, including but not limited to, publications, 
        films, posters, phonograph records, photographs, 
        microfilms, microfiche, tapes, compact disks, CD ROMs, 
        artworks, and news wire feeds. The exports exempted 
        from regulation or prohibition by this paragraph do not 
        include those which are otherwise controlled for export 
        under section 5 of the Export Administration Act of 
        1979, or under section 6 of such Act to the extent that 
        such controls promote the nonproliferation or 
        antiterrorism policies of the United States, or with 
        respect to which acts are prohibited by chapter 37 of 
        title 18, United States Code; or
---------------------------------------------------------------------------
    \7\ Sec. 525(c)(1) of the Foreign Relations Authorization Act, 
Fiscal Years 1994 and 1995 (Public Law 103-236; 108 Stat. 474) struck 
out para. (3) and inserted new paras. (3) and (4). Para. (3) formerly 
read as follows:
    ``(3) the importation from any country, or the exportation to any 
country, whether commercial or otherwise, of publications, films, 
posters, phonograph records, photographs, microfilms, microfiche, 
tapes, or other informational materials, which are not otherwise 
controlled for export under section 5 of the Export Administration Act 
of 1979 or with respect to which no acts are prohibited by chapter 37 
of title 18, United States Code.''.
    Sec. 525(c)(2) and (3) of that Act further provided the following:
    ``(2) The amendments made by paragraph (1) to section 203(b)(3) of 
the International Emergency Economic Powers Act apply to actions taken 
by the President under section 203 of such Act before the date of 
enactment of this Act which are in effect on such date and to actions 
taken under such section on or after such date.
    ``(3) Section 203(b)(4) of the International Emergency Economic 
Powers Act (as added by paragraph (1)) shall not apply to restrictions 
on the transactions and activities described in section 203(b)(4) in 
force on the date of enactment of this Act, with respect to countries 
embargoed under the International Emergency Economic Powers Act on the 
date of enactment of this Act.''.
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          (4) \7\ any transactions ordinarily incident to 
        travel to or from any country, including importation of 
        accompanied baggage for personal use, maintenance 
        within any country including payment of living expenses 
        and acquisition of goods or services for personal use, 
        and arrangement or facilitation of such travel 
        including nonscheduled air, sea, or land voyages.

                        CONSULTATION AND REPORTS

    Sec. 204.\8\ (a) The President, in every possible instance, 
shall consult with the Congress before exercising any of the 
authorities granted by this title and shall consult regularly 
with the Congress so long as such authorities are exercised.
---------------------------------------------------------------------------
    \8\ 50 U.S.C. 1703.
---------------------------------------------------------------------------
    (b) Whenever the President exercises any of the authorities 
granted by this title, he shall immediately transmit to the 
Congress a report specifying--
          (1) the circumstances which necessitate such exercise 
        of authority;
          (2) why the President believes those circumstances 
        constitute an unusual and extraordinary threat, which 
        has its source in whole or substantial part outside the 
        United States, to the national security, foreign 
        policy, or economy of the United States;
          (3) the authorities to be exercised and the actions 
        to be taken in the exercise of those authorities to 
        deal with those circumstances;
          (4) why the President believes such actions are 
        necessary to deal with those circumstances; and
          (5) any foreign countries with respect to which such 
        actions are to be taken and why such actions are to be 
        taken with respect to those countries.
    (c) At least once during each succeeding six-month period 
after transmitting a report pursuant to subsection (b) with 
respect to an exercise of authorities under this title, the 
President shall report to the Congress with respect to the 
actions taken, since the last such report, in the exercise of 
such authorities, and with respect to any changes which have 
occurred concerning any information previously furnished 
pursuant to paragraphs (1) through (5) of subsection (b).
    (d) The requirements of this section are supplemental to 
those contained in title IV of the National Emergencies Act.

                     AUTHORITY TO ISSUE REGULATIONS

    Sec. 205.\9\ The President may issue such regulations, 
including regulations prescribing definitions, as may be 
necessary for the exercise of the authorities granted by this 
title.
---------------------------------------------------------------------------
    \9\ 50 U.S.C. 1704.
---------------------------------------------------------------------------

                               PENALTIES

    Sec. 206.\10\ (a) A civil penalty of not to exceed $10,000 
\12\ may be imposed on any person who violates, or attempts to 
violate,\11\ any license, order or regulation issued under this 
title.
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    \10\ 50 U.S.C. 1705.
    \11\ Secs. 1422(1) and (2) of Public Law 104-201 (110 Stat. 2725) 
inserted ``or attempts to violate'' after ``violates''.
    \12\ Sec. 629 of the Treasury, Postal Service, and General 
Government Appropriations Act, 1993 (Public Law 102-393; 106 Stat. 
1773) struck out ``$10,000'' and inserted in lieu thereof ``$50,000''. 
Sec. 9155 of the Department of Defense Appropriations Act, 1993 (Public 
Law 102-396; 106 Stat. 1943), however, struck out ``$50,000'' and 
inserted in lieu thereof ``$10,000''.
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    (b) Whoever willfully violates, or willfully attempts to 
violate,\11\ any license, order, or regulation issued under 
this title shall, upon conviction, be fined not more than 
$50,000, or, if a natural person, may be imprisoned for not 
more than ten years, or both; and any officer, director, or 
agent of any corporation who knowingly participates in such 
violation may be punished by a like fine, imprisonment, or 
both.

                           SAVINGS PROVISION

    Sec. 207.\13\ (a)(1) Except as provided in subsection (b), 
notwithstanding the termination pursuant to the National 
Emergencies Act of a national emergency declared for purposes 
of this title, any authorities granted by this title, which are 
exercised on the date of such termination on the basis of such 
national emergency to prohibit transactions involving property 
in which a foreign country or national thereof has any 
interest, may continue to be so exercised to prohibit 
transactions involving that property if the President 
determines that the continuation of such prohibition with 
respect to that property is necessary on account of claims 
involving such country of its nationals.
---------------------------------------------------------------------------
    \13\ 50 U.S.C. 1706.
---------------------------------------------------------------------------
    (2) Notwithstanding the termination of the authorities 
described in section 101(b) of this Act, any such authorities, 
which are exercised with respect to a country on the date of 
such termination to prohibit transactions involving any 
property in which such country or any national thereof has any 
interest, may continue to be exercised to prohibit transactions 
involving that property if the President determines that the 
continuation of such prohibition with respect to that property 
is necessary on account of claims involving such country or its 
nationals.
    (b) The authorities described in subsection (a)(1) may not 
continue to be exercised under this section if the national 
emergency is terminated by the Congress by concurrent 
resolution pursuant to section 202 of the National Emergencies 
Act and if the Congress specifies in such concurrent resolution 
that such authorities may not continue to be exercised under 
this section.
    (c)(1) The provisions of this section are supplemental to 
the savings provisions of paragraphs (1), (2), and (3) of 
section 101(a) and of paragraphs (A), (B), and (C) of section 
202(a) of the National Emergencies Act.
    (2) The provisions of this section supersede the 
termination provisions of section 101(a) and of title II of the 
National Emergencies Act to the extent that the provisions of 
this section are inconsistent with these provisions.
    (d) If the President uses the authority of this section to 
continue prohibitions on transactions involving foreign 
property interests, he shall report to the Congress every six 
months on the use of such authority.
    Sec. 208.\14\ If any provision of this Act is held invalid, 
the remainder of the Act shall not be affected thereby.
---------------------------------------------------------------------------
    \14\ 50 U.S.C. 1701 note.
---------------------------------------------------------------------------

     TITLE III--AMENDMENTS TO THE EXPORT ADMINISTRATION ACT OF 1969

AUTHORITY TO REGULATE EXTRATERRITORIAL EXPORTS

           *       *       *       *       *       *       *

                c. National Emergencies Act, as amended

 Public Law 94-412 [H.R. 3884], 90 Stat. 1255, approved September 14, 
1976; as amended by Public Law 95-223 [International Emergency Economic 
Powers Act, H.R. 7738], 91 Stat. 1625, approved December 28, 1977; and 
by Public Law 99-93 [Foreign Relations Authorization Act, Fiscal Years 
   1986 and 1987; H.R. 2068], 99 Stat. 448, approved August 16, 1985

   AN ACT To terminate certain authorities with respect to national 
emergencies still in effect, and to provide for orderly implementation 
            and termination of future national emergencies.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled, That this 
Act may be cited as the ``National Emergencies Act''.

           TITLE I--TERMINATING EXISTING DECLARED EMERGENCIES

    Sec. 101.\1\ (a) All powers and authorities possessed by 
the President, any other officer or employee of the Federal 
Government, or any executive agency, as defined in section 105 
of title 5, United States Code, as a result of the existence of 
this Act are terminated two years from the date of such 
enactment. Such termination shall not affect--
---------------------------------------------------------------------------
    \1\ 50 U.S.C. 1601.
---------------------------------------------------------------------------
          (1) any action taken or proceeding pending not 
        finally concluded or determined on such date;
          (2) any action or proceeding based on any act 
        committed prior to such date; or
          (3) any rights or duties that matured or penalties 
        that were incurred prior to such date.
    (b) For the purpose of this section, the words ``any 
national emergency in effect'' means a general declaration of 
emergency made by the President.

         TITLE II--DECLARATIONS OF FUTURE NATIONAL EMERGENCIES

    Sec. 201.\2\ (a) With respect to Acts of Congress 
authorizing the exercise, during the period of a national 
emergency, of any special or extraordinary power, the President 
is authorized to declare such national emergency. Such 
proclamation shall immediately be transmitted to the Congress 
and published in the Federal Register.
---------------------------------------------------------------------------
    \2\ 50 U.S.C. 1621.
---------------------------------------------------------------------------
    (b) Any provisions of law conferring powers and authorities 
to be exercised during a national emergency shall be effective 
and remain in effect (1) only when the President (in accordance 
with subsection (a) of this section), specifically declares a 
national emergency, and (2) only in accordance with this Act. 
No law enacted after the date of enactment of this Act shall 
supersede this title unless it does so in specific terms, 
referring to this title, and declaring that the new law 
supersedes the provisions of this title.
    Sec. 202.\3\ (a) Any national emergency declared by the 
President in accordance with this title shall terminate if--
---------------------------------------------------------------------------
    \3\ 50 U.S.C. 1622. References to a ``joint'' resolution instead of 
a ``concurrent'' resolution in this section were added by sec. 801 of 
the Foreign Relations Authorization Act, Fiscal Years 1986 and 1987 
(Public Law 99-93; 99 Stat. 448).
---------------------------------------------------------------------------
          (1) there is enacted into law a joint resolution 
        terminating the emergency; or
          (2) the President issues a proclamation terminating 
        the emergency.
Any national emergency declared by the President shall be 
terminated on the date specified in any joint resolution 
referred to in clause (1) or on the date specified in a 
proclamation by the President terminating the emergency as 
provided in clause (2) of this subsection, whichever date is 
earlier, and any powers or authorities exercised by reason of 
said emergency shall cease to be exercised after such specified 
date, except that such termination shall not affect--
          (A) any action taken or proceeding pending not 
        finally concluded or determined on such date;
          (B) any action or proceeding based on any act 
        committed prior to such date; or
          (C) any rights or duties that matured or penalties 
        that were incurred prior to such date.
    (b) Not later than six months after a national emergency is 
declared, and not later than the end of each six-month period 
thereafter that such emergency continues, each House of 
Congress shall meet to consider a vote on a joint resolution to 
determine whether that emergency shall be terminated.
    (c)(1) A joint resolution to terminate a national emergency 
declared by the President shall be referred to the appropriate 
committee of the House of Representatives or the Senate, as the 
case may be. One such joint resolution shall be reported out by 
such committee together with its recommendations within fifteen 
calendar days after the day on which such resolution is 
referred to such committee, unless such House shall otherwise 
determine by the yeas and nays.
    (2) Any joint resolution so reported shall become the 
pending business of the House in question (in the case of the 
Senate the time for debate shall be equally divided between the 
proponents and the opponents) and shall be voted on within 
three calendar days after the day on which such resolution is 
reported, unless such House shall otherwise determine by yeas 
and nays.
    (3) Such a joint resolution passed by one House shall be 
referred to the appropriate committee of the other House and 
shall be reported out by such committee together with its 
recommendations within fifteen calendar days after the day on 
which such resolution is referred to such committee and shall 
thereupon become the pending business of such House and shall 
be voted upon within three calendar days after the day on which 
such resolution is reported, unless such House shall otherwise 
determine by yeas and nays.
    (4) In the case of any disagreement between the two Houses 
of Congress with respect to a joint resolution passed by both 
Houses, conferees shall be promptly appointed and the committee 
of conference shall make and file a report with respect to such 
joint resolution within six calendar days after the day on 
which managers on the part of the Senate and the House have 
been appointed. Notwithstanding any rule in either House 
concerning the printing of conference reports or concerning any 
delay in the consideration of such reports, such report shall 
be acted on by both Houses not later than six calendar days 
after the conference report is filed in the House in which such 
report is filed first. In the event the conferees are unable to 
agree within forty-eight hours, they shall report back to their 
respective houses in disagreement.
    (5) Paragraphs (1)-(4) of this subsection, subsection (b) 
of this section, and section 502(b) of this Act are enacted by 
Congress--
          (A) as an exercise of the rulemaking power of the 
        Senate and the House of Representatives, respectively, 
        and as such they are deemed a part of the rules of each 
        House, respectively, but applicable only with respect 
        to the procedure to be followed in the House in the 
        case of resolutions described by this subsection; and 
        they supersede other rules only to the extent that they 
        are inconsistent therewith; with
          (B) with full recognition of the constitutional right 
        of either House to change the rules (so far as relating 
        to the procedure of that House) at any time, in the 
        same manner, and to the same extent as in the case of 
        any other rule of that House.
    (d) Any national emergency declared by the President in 
accordance with this title, and not otherwise previously 
terminated, shall terminate on the anniversary of the 
declaration of that emergency if, within the ninety-day period 
prior to each anniversary date, the President does not publish 
in the Federal Register and transmit to the Congress a notice 
stating that such emergency is to continue in effect after such 
anniversary.

        TITLE III--EXERCISE OF EMERGENCY POWERS AND AUTHORITIES

    Sec. 301.\4\ When the President declares a national 
emergency, no powers or authorities made available by statute 
for use in the event of an emergency shall be exercised unless 
and until the President specifies the provisions of law under 
which he proposes that he, or other officers will act. Such 
specification may be made either in the declaration of a 
national emergency, or by one or more contemporaneous or 
subsequent Executive orders published in the Federal Register 
and transmitted to the Congress.
---------------------------------------------------------------------------
    \4\ 50 U.S.C. 1631.
---------------------------------------------------------------------------

  TITLE IV--ACCOUNTABILITY AND REPORTING REQUIREMENTS OF THE PRESIDENT

    Sec. 401.\5\ (a) When the President declares a national 
emergency, or Congress declares war, the President shall be 
responsible for maintaining a file and index of all significant 
orders of the President, including Executive orders and 
proclamations, and each Executive agency shall maintain a file 
and index of all rules and regulations, issued during such 
emergency or war issued pursuant to such declarations.
---------------------------------------------------------------------------
    \5\ 50 U.S.C. 1641.
---------------------------------------------------------------------------
    (b) All such significant orders of the President, including 
Executive orders, and such rules and regulations shall be 
transmitted to the Congress promptly under means to assure 
confidentiality where appropriate.
    (c) When the President declares a national emergency or 
Congress declares war, the President shall transmit to 
Congress, within ninety days after the end of each six-month 
period after such declarations, a report on the total 
expenditures incurred by the United States Government during 
such six-month period which are directly attributable to the 
exercise of powers and authorities conferred by such 
declaration. Not later than ninety days after the termination 
of each such emergency or war, the President shall transmit a 
final report on all such expenditures.

 TITLE V--REPEAL AND CONTINUATION OF CERTAIN EMERGENCY POWER AND OTHER 
                                STATUTES

    Sec. 501. (a) Section 349(a) of the Immigration and 
Nationality Act (8 U.S.C. 148(a)) is amended--
          (1) at the end of paragraph (9), by striking out ``; 
        or'' and inserting in lieu thereof a period; and
          (2) by striking out paragraph (10).
    (b) Section 2667(b) of title 10 of the United States Code 
is amended--
          (1) by inserting ``and'' at the end of paragraph (3);
          (2) by striking out paragraph (4); and
          (3) by redesignating paragraph (5) and (4).
    (c) The joint resolution entitled ``Joint resolution to 
authorize the temporary continuation of regulation of consumer 
credit'', approved August 8, 1947 (12 U.S.C. 249), is repealed.
    (d) Section 5(m) of the Tennessee Valley Authority Act of 
1933 as amended (16 U.S.C. 831d(m)) is repealed.
    (e) Section 1383 of title 18, United States Code, is 
repealed.
    (f) Section 6 of the Act entitled ``An Act to amend the 
Public Health Service Act is regard to certain matters of 
personnel and administration, and for other purposes'', 
approved February 28, 1948, is amended by striking out 
subsections (b), (c), (d), (e), and (f) (42 U.S.C. 211b).
    (g) Section 9 of the Merchant Ship Sales Act of 1946 (50 
U.S.C. App. 1742) is repealed.
    (h) This section shall not affect--
          (1) any action taken or proceeding pending not 
        finally concluded or determined at the time of repeal;
          (2) any action or proceeding based on any act 
        committed prior to repeal; or
          (3) any rights or duties that matured or penalties 
        that were incurred prior to repeal;
    Sec. 502.\6\ (a) The provisions of this Act shall not apply 
to the following provisions of law, the powers and authorities 
conferred thereby, and actions taken thereunder:
---------------------------------------------------------------------------
    \6\ 50 U.S.C. 1651.
---------------------------------------------------------------------------
          (1) * * * [Repealed--1977] \7\
---------------------------------------------------------------------------
    \7\ Para. (1), which contained a reference to sec. 5(b) of the 
Trading With the Enemy Act, was repealed by sec. 101(d) of Public Law 
95-223 (91 Stat. 1625).
---------------------------------------------------------------------------
          (2) Act of April 28, 1942 (40 U.S.C. 278b);
          (3) Act of June 30, 1949 (41 U.S.C. 252);
          (4) Section 3477 of the Revised Statutes, as amended 
        (31 U.S.C. 203);
          (5) Section 3737 of the Revised Statutes, as amended 
        (41 U.S.C. 15);
          (6) Public Law 85-804 (Act of Aug. 28, 1958, 72 Stat. 
        972; 50 U.S.C. 1431-1435);
          (7) Section 2304(a)(1) of title 10, United States 
        Code;
          (8) Section 3313, 6386(c), and 8313 of title 10, 
        United States Code.
    (b) Each committee of the House of Representatives and the 
Senate having jurisdiction with respect to any provision of law 
referred to in subsection (a) of this section shall make a 
complete study and investigation concerning that provision of 
law and make a report, including any recommendations and 
proposed revisions such committee may have, to its respective 
House of Congress within two hundred and seventy days after the 
date of enactment of this Act.
d. Denial of Foreign Tax Credit, etc., with Respect to Certain Foreign 
                               Countries

  Partial text of the Internal Revenue Code of 1986 (26 U.S.C. 901), 
 Public Law 83-736 of August 16, 1954 [Internal Revenue Code of 1954, 
     68A Stat. 1] as amended by Public Law 99-509 [Omnibus Budget 
   Reconciliation Act of 1986, H.R. 5300], 100 Stat. 1874, approved 
   October 21, 1986; Public Law 99-514 [Tax Reform Act of 1986, H.R. 
 3838], 100 Stat. 2085, approved October 22, 1986; Public Law 100-203 
Budget Reconciliation Act of 1987, H.R. 3545] 101 Stat. 1330, approved 
    December 22, 1987; Public Law 103-149 [South African Democratic 
  Transition Support Act of 1993, H.R. 3225] 107 Stat. 1503, approved 
November 23, 1993; and by Public Law 106-200 [Trade and Development Act 
        of 2000, H.R. 434], 114 Stat. 251, approved May 18, 2000

  AN ACT To reform to reform the internal revenue laws of the United 
                                States.

    Be it enacted by the Senate and the House of 
Representatives of the United States of America in Congress 
here assembled,

SECTION 1. SHORT TITLE; TABLE OF CONTENTS

    (a) Short Title.--This Act may be cited as the ``Tax Reform 
Act of 1986''.
    (b) Table of Contents.--

                        Subtitle A--Income Taxes

          * * * * * * *

SEC. 901.\1\ TAXES OF FOREIGN COUNTRIES AND OF POSSESSIONS OF UNITED 
                    STATES.

          * * * * * * *
    (j) Denial of Foreign Tax Credit, Etc., With Respect to 
Certain Foreign Countries
---------------------------------------------------------------------------
    \1\ 26 U.S.C. 901.
---------------------------------------------------------------------------
          (1) In general.--Notwithstanding any other provision 
        of this part--
                  (A) no credit shall be allowed under 
                subsection (a) for any income, war profits, or 
                excess profits taxes paid or accrued (or deemed 
                paid under section 902 or 960) to any country 
                if such taxes are with respect to income 
                attributable to a period during which this 
                subsection applies to such country, and
                  (B) * * *
          (2) Countries to which this subsection applies.
                  (A) In general.--This subsection shall apply 
                to any foreign country--
                          (i) the government of which the 
                        United States does not recognize, 
                        unless such government is otherwise 
                        eligible to purchase defense articles 
                        or services under the Arms Export 
                        Control Act.
                          (ii) with respect to which the United 
                        States has severed diplomatic 
                        relations,
                          (iii) with respect to which the 
                        United States has not severed 
                        diplomatic relations but does not 
                        conduct such relations, or
                          (iv) which the Secretary of State 
                        has, pursuant to section 6(j) of the 
                        Export Administration Act of 1979, as 
                        amended, designated as a foreign 
                        country which repeatedly provides 
                        support for acts of international 
                        terrorism.
                  (B) Period for which subsection applies.--
                This subsection shall apply to any foreign 
                country described in subparagraph (A) during 
                the period--
                          (i) beginning on the later of --
                                  (I) January 1, 1987, or
                                  (II) 6 months after such 
                                country becomes a country 
                                described in subparagraph (A), 
                                and
                          (ii) ending on the date the Secretary 
                        of State certifies to the Secretary of 
                        the Treasury that such country is no 
                        longer described in subparagraph (A).
                  (C) \2\ * * * [Repealed, 1993]
---------------------------------------------------------------------------
    \2\ Sec. 4(b)(4)(a) of Public Law 103-149 (107 Stat. 1505) deleted 
para. (C), which originally read as follows:
---------------------------------------------------------------------------

          ``(C) Special rule for south africa.--

                  ``(i) In general.--In addition to any period during 
                which this subsection would otherwise apply to South 
                Africa, this subsection shall apply to South Africa 
                during the period--
                          ``(I) beginning on January 1, 1988, and
                          ``(II) ending on the date the Secretary of 
                        State certifies to the Secretary of the 
                        Treasury that South Africa meets the 
                        requirements of section 311(a) of the 
                        Comprehensive Anti-Apartheid Act of 1986 (as in 
                        effect on the date of the enactment of this 
                        subparagraph).

                  ``(ii) South africa defined.--For purposes of clause 
                (i), the term `South Africa' has the meaning given to 
                such term by paragraph (6) of section 3 of the 
                Comprehensive Anti-Apartheid Act of 1986 (as so in 
                effect).''. This paragraph had been added by sec. 
                10231(a) of Public Law 100-203.
---------------------------------------------------------------------------
    Sec. 4(b)(8)(B) of Public Law 103-149 (107 Stat. 1505) provided 
that the repeal of subsec. (C) should not be construed as affecting any 
of the transitional rules contained in Revenue Ruling 92-62 which 
applied by reason of the termination of the period for which subsec. 
(j) was applicable in South Africa.
---------------------------------------------------------------------------
          (3) Taxes allowed as a deduction, etc.--* * *
          (4) Regulations.--The Secretary shall prescribe such 
        regulations as may be necessary or appropriate to carry 
        out the purposes of this subsection, including 
        regulations which treat income paid through 1 or more 
        entities as derived from a foreign country to which 
        this subsection applies if such income was, without 
        regard to such entities, derived from such country.
          (5) \3\ Waiver of denial.
---------------------------------------------------------------------------
    \3\ Sec. 601 of Public Law 106-200 (114 Stat. 601) added para. (5).
---------------------------------------------------------------------------
                  (A) In general.--Paragraph (1) shall not 
                apply with respect to taxes paid or accrued to 
                a country if the President--
                          (i) determines that a waiver of the 
                        application of such paragraph is in the 
                        national interest of the United States 
                        and will expand trade and investment 
                        opportunities for United States 
                        companies in such country; and
                          (ii) reports such waiver under 
                        subparagraph (B).
                  (B) Report.--Not less than 30 days before the 
                date on which a waiver is granted under this 
                paragraph, the President shall report to the 
                Congress--
                          (i) the intention to grant such 
                        waiver; and
                          (ii) the reason for the determination 
                        under subparagraph (A)(i).
    (b) Effective Date.--The amendment made by this section 
shall apply on or after February 1, 2001.
          * * * * * * *
            e. Trade Sanctions Reform and Export Enhancement

   Partial text of of Public Law 106-387 [H.R. 4461], 114 Stat. 1549

Making appropriations for Agriculture, Rural Development, Food and Drug 
    Administration, and Related Agencies for the fiscal year ending 
              September 30, 2001, and for other purposes.

    Be it enacted by the Senate and the House of 
Representatives of the United States of America in Congress 
here assembled,

SECTION 1.

    (a) The provisions of H.R. 5426 of the 106th Congress, as 
introduced on October 6, 2000, are hereby enacted into law.
          * * * * * * *

                          Appendix--H.R. 5426

          * * * * * * *

        TITLE IX--TRADE SANCTIONS REFORM AND EXPORT ENHANCEMENT

SEC. 901.\1\ SHORT TITLE.

  This title may be cited as the ``Trade Sanctions Reform and 
Export Enhancement Act of 2000''.
---------------------------------------------------------------------------
    \1\ 22 U.S.C. 7201 note.
---------------------------------------------------------------------------

SEC. 902.\2\ DEFINITIONS.

  In this title:
---------------------------------------------------------------------------
    \2\ 22 U.S.C. 7201.
---------------------------------------------------------------------------
          (1) Agricultural commodity.--The term ``agricultural 
        commodity'' has the meaning given the term in section 
        102 of the Agricultural Trade Act of 1978 (7 U.S.C. 
        5602).
          (2) Agricultural program.--The term ``agricultural 
        program'' means--
                  (A) any program administered under the 
                Agricultural Trade Development and Assistance 
                Act of 1954 (7 U.S.C. 1691 et seq.);
                  (B) any program administered under section 
                416 of the Agricultural Act of 1949 (7 U.S.C. 
                1431);
                  (C) any program administered under the 
                Agricultural Trade Act of 1978 (7 U.S.C. 5601 
                et seq.);
                  (D) the dairy export incentive program 
                administered under section 153 of the Food 
                Security Act of 1985 (15 U.S.C. 713a-14);
                  (E) any commercial export sale of 
                agricultural commodities; or
                  (F) any export financing (including credits 
                or credit guarantees) provided by the United 
                States Government for agricultural commodities.
          (3) Joint resolution.--The term ``joint resolution'' 
        means--
                  (A) in the case of section 903(a)(1), only a 
                joint resolution introduced within 10 session 
                days of Congress after the date on which the 
                report of the President under section 903(a)(1) 
                is received by Congress, the matter after the 
                resolving clause of which is as follows: ``That 
                Congress approves the report of the President 
                pursuant to section 903(a)(1) of the Trade 
                Sanctions Reform and Export Enhancement Act of 
                2000, transmitted on _______.'', with the blank 
                completed with the appropriate date; and
                  (B) in the case of section 906(1), only a 
                joint resolution introduced within 10 session 
                days of Congress after the date on which the 
                report of the President under section 906(2) is 
                received by Congress, the matter after the 
                resolving clause of which is as follows: ``That 
                Congress approves the report of the President 
                pursuant to section 906(1) of the Trade 
                Sanctions Reform and Export Enhancement Act of 
                2000, transmitted on _______.'', with the blank 
                completed with the appropriate date.
          (4) Medical device.--The term ``medical device'' has 
        the meaning given the term ``device'' in section 201 of 
        the Federal Food, Drug, and Cosmetic Act (21 U.S.C. 
        321).
          (5) Medicine.--The term ``medicine'' has the meaning 
        given the term ``drug'' in section 201 of the Federal 
        Food, Drug, and Cosmetic Act (21 U.S.C. 321).
          (6) Unilateral agricultural sanction.--The term 
        ``unilateral agricultural sanction'' means any 
        prohibition, restriction, or condition on carrying out 
        an agricultural program with respect to a foreign 
        country or foreign entity that is imposed by the United 
        States for reasons of foreign policy or national 
        security, except in a case in which the United States 
        imposes the measure pursuant to--
                  (A) a multilateral regime and the other 
                member countries of that regime have agreed to 
                impose substantially equivalent measures; or
                  (B) a mandatory decision of the United 
                Nations Security Council.
          (7) Unilateral medical sanction.--The term 
        ``unilateral medical sanction'' means any prohibition, 
        restriction, or condition on exports of, or the 
        provision of assistance consisting of, medicine or a 
        medical device with respect to a foreign country or 
        foreign entity that is imposed by the United States for 
        reasons of foreign policy or national security, except 
        in a case in which the United States imposes the 
        measure pursuant to--
                  (A) a multilateral regime and the other 
                member countries of that regime have agreed to 
                impose substantially equivalent measures; or
                  (B) a mandatory decision of the United 
                Nations Security Council.

SEC. 903.\3\ RESTRICTION.

  (a) New Sanctions.--Except as provided in sections 904 and 
905 and notwithstanding any other provision of law, the 
President may not impose a unilateral agricultural sanction or 
unilateral medical sanction against a foreign country or 
foreign entity, unless--
---------------------------------------------------------------------------
    \3\ 22 U.S.C. 7202.
---------------------------------------------------------------------------
          (1) not later than 60 days before the sanction is 
        proposed to be imposed, the President submits a report 
        to Congress that--
                  (A) describes the activity proposed to be 
                prohibited, restricted, or conditioned; and
                  (B) describes the actions by the foreign 
                country or foreign entity that justify the 
                sanction; and
          (2) there is enacted into law a joint resolution 
        stating the approval of Congress for the report 
        submitted under paragraph (1).
  (b) Existing Sanctions.--The President shall terminate any 
unilateral agricultural sanction or unilateral medical sanction 
that is in effect as of the date of enactment of this Act.

SEC. 904.\4\ EXCEPTIONS.

  Section 903 shall not affect any authority or requirement to 
impose (or continue to impose) a sanction referred to in 
section 903--
---------------------------------------------------------------------------
    \4\ 22 U.S.C. 7203.
---------------------------------------------------------------------------
          (1) against a foreign country or foreign entity--
                  (A) pursuant to a declaration of war against 
                the country or entity;
                  (B) pursuant to specific statutory 
                authorization for the use of the Armed Forces 
                of the United States against the country or 
                entity;
                  (C) against which the Armed Forces of the 
                United States are involved in hostilities; or
                  (D) where imminent involvement by the Armed 
                Forces of the United States in hostilities 
                against the country or entity is clearly 
                indicated by the circumstances; or
          (2) to the extent that the sanction would prohibit, 
        restrict, or condition the provision or use of any 
        agricultural commodity, medicine, or medical device 
        that is--
                  (A) controlled on the United States Munitions 
                List established under section 38 of the Arms 
                Export Control Act (22 U.S.C. 2778);
                  (B) controlled on any control list 
                established under the Export Administration Act 
                of 1979 or any successor statute (50 U.S.C. 
                App. 2401 et seq.); or
                  (C) used to facilitate the development or 
                production of a chemical or biological weapon 
                or weapon of mass destruction.

SEC. 905.\5\ TERMINATION OF SANCTIONS.

  Any unilateral agricultural sanction or unilateral medical 
sanction that is imposed pursuant to the procedures described 
in section 903(a) shall terminate not later than 2 years after 
the date on which the sanction became effective unless--
---------------------------------------------------------------------------
    \5\ 22 U.S.C. 7204.
---------------------------------------------------------------------------
          (1) not later than 60 days before the date of 
        termination of the sanction, the President submits to 
        Congress a report containing--
                  (A) the recommendation of the President for 
                the continuation of the sanction for an 
                additional period of not to exceed 2 years; and
                  (B) the request of the President for approval 
                by Congress of the recommendation; and
          (2) there is enacted into law a joint resolution 
        stating the approval of Congress for the report 
        submitted under paragraph (1).

SEC. 906.\6\ STATE SPONSORS OF INTERNATIONAL TERRORISM.

  (a) Requirement.--
---------------------------------------------------------------------------
    \6\ 22 U.S.C. 7205.
---------------------------------------------------------------------------
          (1) In general.--Notwithstanding any other provision 
        of this title (other than section 904), the export of 
        agricultural commodities, medicine, or medical devices 
        to Cuba or to the government of a country that has been 
        determined by the Secretary of State to have repeatedly 
        provided support for acts of international terrorism 
        under section 620A of the Foreign Assistance Act of 
        1961 (22 U.S.C. 2371), section 6( j)(1) of the Export 
        Administration Act of 1979 (50 U.S.C. App. 2405( 
        j)(1)), or section 40(d) of the Arms Export Control Act 
        (22 U.S.C. 2780(d)), or to any other entity in such a 
        country, shall only be made pursuant to 1-year licenses 
        issued by the United States Government for contracts 
        entered into during the 1-year period of the license 
        and shipped within the 12-month period beginning on the 
        date of the signing of the contract, except that the 
        requirements of such 1-year licenses shall be no more 
        restrictive than license exceptions administered by the 
        Department of Commerce or general licenses administered 
        by the Department of the Treasury, except that 
        procedures shall be in place to deny licenses for 
        exports to any entity within such country promoting 
        international terrorism.
          (2) Exception.--Paragraph (1) shall not apply with 
        respect to the export of agricultural commodities, 
        medicine, or medical devices to the Government of Syria 
        or to the Government of North Korea.
  (b) Quarterly Reports.--The applicable department or agency 
of the Federal Government shall submit to the appropriate 
congressional committees on a quarterly basis a report on any 
activities undertaken under subsection (a)(1) during the 
preceding calendar quarter.
  (c) Biennial Reports.--Not later than 2 years after the date 
of enactment of this Act, and every 2 years thereafter, the 
applicable department or agency of the Federal Government shall 
submit a report to the appropriate congressional committees on 
the operation of the licensing system under this section for 
the preceding 2-year period, including--
          (1) the number and types of licenses applied for;
          (2) the number and types of licenses approved;
          (3) the average amount of time elapsed from the date 
        of filing of a license application until the date of 
        its approval;
          (4) the extent to which the licensing procedures were 
        effectively implemented; and
          (5) a description of comments received from 
        interested parties about the extent to which the 
        licensing procedures were effective, after the 
        applicable department or agency holds a public 30-day 
        comment period.

SEC. 907.\7\ CONGRESSIONAL PROCEDURES.

  (a) Referral of Report.--A report described in section 
903(a)(1) or 905(1) shall be referred to the appropriate 
committee or committees of the House of Representatives and to 
the appropriate committee or committees of the Senate.
---------------------------------------------------------------------------
    \7\ 22 U.S.C. 7206.
---------------------------------------------------------------------------
  (b) Referral of Joint Resolution.--
          (1) In general.--A joint resolution introduced in the 
        Senate shall be referred to the Committee on Foreign 
        Relations, and a joint resolution introduced in the 
        House of Representatives shall be referred to the 
        Committee on International Relations.
          (2) Reporting date.--A joint resolution referred to 
        in paragraph (1) may not be reported before the eighth 
        session day of Congress after the introduction of the 
        joint resolution.

SEC. 908.\8\ PROHIBITION ON UNITED STATES ASSISTANCE AND FINANCING.

  (a) Prohibition on United States Assistance.--
---------------------------------------------------------------------------
    \8\ 22 U.S.C. 7207.
---------------------------------------------------------------------------
          (1) In general.--Notwithstanding any other provision 
        of law, no United States Government assistance, 
        including United States foreign assistance, United 
        States export assistance, and any United States credit 
        or guarantees shall be available for exports to Cuba or 
        for commercial exports to Iran, Libya, North Korea, or 
        Sudan.
          (2) Rule of construction.--Nothing in paragraph (1) 
        shall be construed to alter, modify, or otherwise 
        affect the provisions of section 109 of the Cuban 
        Liberty and Democratic Solidarity (LIBERTAD) Act of 
        1996 (22 U.S.C. 6039) or any other provision of law 
        relating to Cuba in effect on the day before the date 
        of the enactment of this Act.
          (3) Waiver.--The President may waive the application 
        of paragraph (1) with respect to Iran, Libya, North 
        Korea, and Sudan to the degree the President determines 
        that it is in the national security interest of the 
        United States to do so, or for humanitarian reasons.
  (b) Prohibition on Financing of Agricultural Sales to Cuba.--
          (1) In general.--No United States person may provide 
        payment or financing terms for sales of agricultural 
        commodities or products to Cuba or any person in Cuba, 
        except in accordance with the following terms 
        (notwithstanding part 515 of title 31, Code of Federal 
        Regulations, or any other provision of law):
                  (A) Payment of cash in advance.
                  (B) Financing by third country financial 
                institutions (excluding United States persons 
                or Government of Cuba entities), except that 
                such financing may be confirmed or advised by a 
                United States financial institution.
        Nothing in this paragraph authorizes payment terms or 
        trade financing involving a debit or credit to an 
        account of a person located in Cuba or of the 
        Government of Cuba maintained on the books of a United 
        States depository institution.
          (2) Penalties.--Any private person or entity that 
        violates paragraph (1) shall be subject to the 
        penalties provided in the Trading With the Enemy Act 
        for violations under that Act.
          (3) Administration and enforcement.--The President 
        shall issue such regulations as are necessary to carry 
        out this section, except that the President, in lieu of 
        issuing new regulations, may apply any regulations in 
        effect on the date of the enactment of this Act, 
        pursuant to the Trading With the Enemy Act, with 
        respect to the conduct prohibited in paragraph (1).
          (4) Definitions.--In this subsection--
                  (A) the term ``financing'' includes any loan 
                or extension of credit;
                  (B) the term ``United States depository 
                institution'' means any entity (including its 
                foreign branches or subsidiaries) organized 
                under the laws of any jurisdiction within the 
                United States, or any agency, office or branch 
                located in the United States of a foreign 
                entity, that is engaged primarily in the 
                business of banking (including a bank, savings 
                bank, savings association, credit union, trust 
                company, or United States bank holding 
                company); and
                  (C) the term ``United States person'' means 
                the Federal Government, any State or local 
                government, or any private person or entity of 
                the United States.

SEC. 909.\9\ PROHIBITION ON ADDITIONAL IMPORTS FROM CUBA.

  Nothing in this title shall be construed to alter, modify, or 
otherwise affect the provisions of section 515.204 of title 31, 
Code of Federal Regulations, relating to the prohibition on the 
entry into the United States of merchandise that: (1) is of 
Cuban origin; (2) is or has been located in or transported from 
or through Cuba; or (3) is made or derived in whole or in part 
of any article which is the growth, produce, or manufacture of 
Cuba.
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    \9\ 22 U.S.C. 7208.
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SEC. 910.\10\ REQUIREMENTS RELATING TO CERTAIN TRAVEL-RELATED 
                    TRANSACTIONS WITH CUBA.

  (a) Authorization of Travel Relating to Commercial Sale of 
Agricultural Commodities.--The Secretary of the Treasury shall 
promulgate regulations under which the travel-related 
transactions listed in subsection (c) of section 515.560 of 
title 31, Code of Federal Regulations, may be authorized on a 
case-by-case basis by a specific license for travel to, from, 
or within Cuba for the commercial export sale of agricultural 
commodities pursuant to the provisions of this title.
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    \10\ 22 U.S.C. 7209.
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  (b) Prohibition on Travel Relating to Tourist Activities.--
          (1) In general.--Notwithstanding any other provision 
        of law or regulation, the Secretary of the Treasury, or 
        any other Federal official, may not authorize the 
        travel-related transactions listed in subsection (c) of 
        section 515.560 of title 31, Code of Federal 
        Regulations, either by a general license or on a case-
        by-case basis by a specific license for travel to, 
        from, or within Cuba for tourist activities.
          (2) Definition.--In this subsection, the term 
        ``tourist activities'' means any activity with respect 
        to travel to, from, or within Cuba that is not 
        expressly authorized in subsection (a) of this section, 
        in any of paragraphs (1) through (12) of section 
        515.560 of title 31, Code of Federal Regulations, or in 
        any section referred to in any of such paragraphs (1) 
        through (12) (as such sections were in effect on June 
        1, 2000).

SEC. 911. EFFECTIVE DATE.

  (a) In General.--Except as provided in subsection (b), this 
title shall take effect on the date of enactment of this Act, 
and shall apply thereafter in any fiscal year.
  (b) Existing Sanctions.--In the case of any unilateral 
agricultural sanction or unilateral medical sanction that is in 
effect as of the date of enactment of this Act, this title 
shall take effect 120 days after the date of enactment of this 
Act, and shall apply thereafter in any fiscal year.
            f. Economic Relations with Narcotics Traffickers

             (1) Foreign Narcotics Kingpin Designation Act

Partial text of Public Law 106-120 [Intelligence Authorization Act for 
  Fiscal Year 2000, H.R. 13333], 113 Stat. 1606, approved December 3, 
                                  1999

      AN ACT To authorize appropriations for fiscal year 2000 for 
 intelligence and intelligence-related activities of the United States 
     Government, the Community Management Account, and the Central 
  Intelligence Agency Retirement and Disability System, and for other 
                               purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the 
``Intelligence Authorization Act for Fiscal Year 2000''.
          * * * * * * *

            TITLE VIII--INTERNATIONAL NARCOTICS TRAFFICKING

SEC. 801.\1\ SHORT TITLE.

    This title may be cited as the ``Foreign Narcotics Kingpin 
Designation Act''.
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    \1\ 21 U.S.C. 1901 note.
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SEC. 802.\2\ FINDINGS AND POLICY.

    (a) Findings.--Congress makes the following findings:
---------------------------------------------------------------------------
    \2\ 21 U.S.C. 1901.
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          (1) Presidential Decision Directive 42, issued on 
        October 21, 1995, ordered agencies of the executive 
        branch of the United States Government to, inter alia, 
        increase the priority and resources devoted to the 
        direct and immediate threat international crime 
        presents to national security, work more closely with 
        other governments to develop a global response to this 
        threat, and use aggressively and creatively all legal 
        means available to combat international crime.
          (2) Executive Order No. 12978 of October 21, 1995, 
        provides for the use of the authorities in the 
        International Emergency Economic Powers Act (IEEPA) (50 
        U.S.C. 1701 et seq.) to target and apply sanctions to 
        four international narcotics traffickers and their 
        organizations that operate from Colombia.
          (3) IEEPA was successfully applied to international 
        narcotics traffickers in Colombia and based on that 
        successful case study, Congress believes similar 
        authorities should be applied worldwide.
          (4) There is a national emergency resulting from the 
        activities of international narcotics traffickers and 
        their organizations that threatens the national 
        security, foreign policy, and economy of the United 
        States.
    (b) Policy.--It shall be the policy of the United States to 
apply economic and other financial sanctions to significant 
foreign narcotics traffickers and their organizations worldwide 
to protect the national security, foreign policy, and economy 
of the United States from the threat described in subsection 
(a)(4).

SEC. 803.\3\ PURPOSE.

    The purpose of this title is to provide authority for the 
identification of, and application of sanctions on a worldwide 
basis to, significant foreign narcotics traffickers, their 
organizations, and the foreign persons who provide support to 
those significant foreign narcotics traffickers and their 
organizations, whose activities threaten the national security, 
foreign policy, and economy of the United States.
---------------------------------------------------------------------------
    \3\ 21 U.S.C. 1902.
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SEC. 804.\4\ PUBLIC IDENTIFICATION OF SIGNIFICANT FOREIGN NARCOTICS 
                    TRAFFICKERS AND REQUIRED REPORTS.

    (a) Provision of Information to the President.--The 
Secretary of the Treasury, the Attorney General, the Secretary 
of Defense, the Secretary of State, and the Director of Central 
Intelligence shall consult among themselves and provide the 
appropriate and necessary information to enable the President 
to submit the report under subsection (b). This information 
shall also be provided to the Director of the Office of 
National Drug Control Policy.
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    \4\ 21 U.S.C. 1903.
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    (b) Public Identification and Sanctioning of Significant 
Foreign Narcotics Traffickers.--Not later than June 1, 2000, 
and not later than June 1 of each year thereafter, the 
President shall submit a report to the Permanent Select 
Committee on Intelligence, and the Committees on the Judiciary, 
International Relations, Armed Services, and Ways and Means of 
the House of Representatives; and to the Select Committee on 
Intelligence, and the Committees on the Judiciary, Foreign 
Relations, Armed Services, and Finance of the Senate
          (1) identifying publicly the foreign persons that the 
        President determines are appropriate for sanctions 
        pursuant to this title; and
          (2) detailing publicly the President's intent to 
        impose sanctions upon these significant foreign 
        narcotics traffickers pursuant to this title.
    The report required in this subsection shall not include 
information on persons upon which United States sanctions 
imposed under this title, or otherwise on account of narcotics 
trafficking, are already in effect.
    (c) Unclassified Report Required.--The report required by 
subsection (b) shall be submitted in unclassified form and made 
available to the public.
    (d) Classified Report.--(1) Not later than July 1, 2000, 
and not later than July 1 of each year thereafter, the 
President shall provide the Permanent Select Committee on 
Intelligence of the House of Representatives and the Select 
Committee on Intelligence of the Senate with a report in 
classified form describing in detail the status of the 
sanctions imposed under this title, including the personnel and 
resources directed towards the imposition of such sanctions 
during the preceding fiscal year, and providing background 
information with respect to newly-identified significant 
foreign narcotics traffickers and their activities.
    (2) Such classified report shall describe actions the 
President intends to undertake or has undertaken with respect 
to such significant foreign narcotics traffickers.
    (3) The report required under this subsection is in 
addition to the President's obligations to keep the 
intelligence committees of Congress fully and currently 
informed pursuant to the provisions of the National Security 
Act of 1947.
    (e) Exclusion of Certain Information.--
          (1) Intelligence.--Notwithstanding any other 
        provision of this section, the reports described in 
        subsections (b) and (d) shall not disclose the identity 
        of any person, if the Director of Central Intelligence 
        determines that such disclosure could compromise an 
        intelligence operation, activity, source, or method of 
        the United States.
          (2) Law enforcement.--Notwithstanding any other 
        provision of this section, the reports described in 
        subsections (b) and (d) shall not disclose the name of 
        any person if the Attorney General, in coordination as 
        appropriate with the Director of the Federal Bureau of 
        Investigation, the Administrator of the Drug 
        Enforcement Administration, and the Secretary of the 
        Treasury, determines that such disclosure could 
        reasonably be expected to--
                  (A) compromise the identity of a confidential 
                source, including a State, local, or foreign 
                agency or authority or any private institution 
                that furnished information on a confidential 
                basis;
                  (B) jeopardize the integrity or success of an 
                ongoing criminal investigation or prosecution;
                  (C) endanger the life or physical safety of 
                any person; or
                  (D) cause substantial harm to physical 
                property.
    (f) Notification Required.--(1) Whenever either the 
Director of Central Intelligence or the Attorney General makes 
a determination under subsection (e), the Director of Central 
Intelligence or the Attorney General shall notify the Permanent 
Select Committee on Intelligence of the House of 
Representatives and the Select Committee on Intelligence of the 
Senate, and explain the reasons for such determination.
    (2) The notification required under this subsection shall 
be submitted to the Permanent Select Committee on Intelligence 
of the House of Representatives and the Select Committee on 
Intelligence of the Senate not later than July 1, 2000, and on 
an annual basis thereafter.
    (g) Determinations Not to Apply Sanctions.--(1) The 
President may waive the application to a significant foreign 
narcotics trafficker of any sanction authorized by this title 
if the President determines that the application of sanctions 
under this title would significantly harm the national security 
of the United States.
    (2) When the President determines not to apply sanctions 
that are authorized by this title to any significant foreign 
narcotics trafficker, the President shall notify the Permanent 
Select Committee on Intelligence, and the Committees on the 
Judiciary, International Relations, Armed Services, and Ways 
and Means of the House of Representatives, and the Select 
Committee on Intelligence, and the Committees on the Judiciary, 
Foreign Relations, Armed Services, and Finance of the Senate 
not later than 21 days after making such determination.
    (h) Changes in Determinations to Impose Sanctions.--
          (1) Additional determinations.--
                  (A) If at any time after the report required 
                under subsection (b) the President finds that a 
                foreign person is a significant foreign 
                narcotics trafficker and such foreign person 
                has not been publicly identified in a report 
                required under subsection (b), the President 
                shall submit an additional public report 
                containing the information described in 
                subsection (b) with respect to such foreign 
                person to the Permanent Select Committee on 
                Intelligence, and the Committees on the 
                Judiciary, International Relations, Armed 
                Services, and Ways and Means of the House of 
                Representatives, and the Select Committee on 
                Intelligence, and the Committees on the 
                Judiciary, Foreign Relations, Armed Services, 
                and Finance of the Senate.
                  (B) The President may apply sanctions 
                authorized under this title to the significant 
                foreign narcotics trafficker identified in the 
                report submitted under subparagraph (A) as if 
                the trafficker were originally included in the 
                report submitted pursuant to subsection (b) of 
                this section.
                  (C) The President shall notify the Secretary 
                of the Treasury of any determination made under 
                this paragraph.
          (2) Revocation of determination.--
                  (A) Whenever the President finds that a 
                foreign person that has been publicly 
                identified as a significant foreign narcotics 
                trafficker in the report required under 
                subsection (b) or this subsection no longer 
                engages in those activities for which sanctions 
                under this title may be applied, the President 
                shall issue public notice of such a finding.
                  (B) Not later than the date of the public 
                notice issued pursuant to subparagraph (A), the 
                President shall notify, in writing and in 
                classified or unclassified form, the Permanent 
                Select Committee on Intelligence, and the 
                Committees on the Judiciary, International 
                Relations, Armed Services, and Ways and Means 
                of the House of Representatives, and the Select 
                Committee on Intelligence, and the Committees 
                on the Judiciary, Foreign Relations, Armed 
                Services, and Finance of the Senate of actions 
                taken under this paragraph and a description of 
                the basis for such actions.

SEC. 805.\5\ BLOCKING ASSETS AND PROHIBITING TRANSACTIONS.

    (a) Applicability of Sanctions.--A significant foreign 
narcotics trafficker publicly identified in the report required 
under subsection (b) or (h)(1) of section 804 and foreign 
persons designated by the Secretary of the Treasury pursuant to 
subsection (b) of this section shall be subject to any and all 
sanctions as authorized by this title. The application of 
sanctions on any foreign person pursuant to subsection (b) or 
(h)(1) of section 804 or subsection (b) of this section shall 
remain in effect until revoked pursuant to section 804(h)(2) or 
subsection (e)(1)(A) of this section or waived pursuant to 
section 804(g)(1).
---------------------------------------------------------------------------
    \5\ 21 U.S.C. 1904.
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    (b) Blocking of Assets.--Except to the extent provided in 
regulations, orders, instructions, licenses, or directives 
issued pursuant to this title, and notwithstanding any contract 
entered into or any license or permit granted prior to the date 
on which the President submits the report required under 
subsection (b) or (h)(1) of section 804, there are blocked as 
of such date, and any date thereafter, all such property and 
interests in property within the United States, or within the 
possession or control of any United States person, which are 
owned or controlled by--
          (1) any significant foreign narcotics trafficker 
        publicly identified by the President in the report 
        required under subsection (b) or (h)(1) of section 804;
          (2) any foreign person that the Secretary of the 
        Treasury, in consultation with the Attorney General, 
        the Director of Central Intelligence, the Director of 
        the Federal Bureau of Investigation, the Administrator 
        of the Drug Enforcement Administration, the Secretary 
        of Defense, and the Secretary of State, designates as 
        materially assisting in, or providing financial or 
        technological support for or to, or providing goods or 
        services in support of, the international narcotics 
        trafficking activities of a significant foreign 
        narcotics trafficker so identified in the report 
        required under subsection (b) or (h)(1) of section 804, 
        or foreign persons designated by the Secretary of the 
        Treasury pursuant to this subsection;
          (3) any foreign person that the Secretary of the 
        Treasury, in consultation with the Attorney General, 
        the Director of Central Intelligence, the Director of 
        the Federal Bureau of Investigation, the Administrator 
        of the Drug Enforcement Administration, the Secretary 
        of Defense, and the Secretary of State, designates as 
        owned, controlled, or directed by, or acting for or on 
        behalf of, a significant foreign narcotics trafficker 
        so identified in the report required under subsection 
        (b) or (h)(1) of section 804, or foreign persons 
        designated by the Secretary of the Treasury pursuant to 
        this subsection; and
          (4) any foreign person that the Secretary of the 
        Treasury, in consultation with the Attorney General, 
        the Director of Central Intelligence, the Director of 
        the Federal Bureau of Investigation, the Administrator 
        of the Drug Enforcement Administration, the Secretary 
        of Defense, and the Secretary of State, designates as 
        playing a significant role in international narcotics 
        trafficking.
    (c) Prohibited Transactions.--Except to the extent provided 
in regulations, orders, instructions, licenses, or directives 
issued pursuant to this title, and notwithstanding any contract 
entered into or any license or permit granted prior to the date 
on which the President submits the report required under 
subsection (b) or (h)(1) of section 804, the following 
transactions are prohibited:
          (1) Any transaction or dealing by a United States 
        person, or within the United States, in property or 
        interests in property of any significant foreign 
        narcotics trafficker so identified in the report 
        required pursuant to subsection (b) or (h)(1) of 
        section 804, and foreign persons designated by the 
        Secretary of the Treasury pursuant to subsection (b) of 
        this section.
          (2) Any transaction or dealing by a United States 
        person, or within the United States, that evades or 
        avoids, or has the effect of evading or avoiding, and 
        any endeavor, attempt, or conspiracy to violate, any of 
        the prohibitions contained in this title.
    (d) Law Enforcement and Intelligence Activities 
Unaffected.--Nothing in this title prohibits or otherwise 
limits the authorized law enforcement or intelligence 
activities of the United States, or the law enforcement 
activities of any State or subdivision thereof.
    (e) Implementation.--(1) The Secretary of the Treasury, in 
consultation with the Attorney General, the Director of Central 
Intelligence, the Director of the Federal Bureau of 
Investigation, the Administrator of the Drug Enforcement 
Administration, the Secretary of Defense, and the Secretary of 
State, is authorized to take such actions as may be necessary 
to carry out this title, including--
          (A) making those designations authorized by 
        paragraphs (2), (3), and (4) of subsection (b) of this 
        section and revocation thereof;
          (B) promulgating rules and regulations permitted 
        under this title; and
          (C) employing all powers conferred on the Secretary 
        of the Treasury under this title.
    (2) Each agency of the United States shall take all 
appropriate measures within its authority to carry out the 
provisions of this title.
    (3) Section 552(a)(3) of title 5, United States Code, shall 
not apply to any record or information obtained or created in 
the implementation of this title.
    (f) Judicial Review.--The determinations, identifications, 
findings, and designations made pursuant to section 804 and 
subsection (b) of this section shall not be subject to judicial 
review.

SEC. 806. \6\ AUTHORITIES.

    (a) In General.--To carry out the purposes of this title, 
the Secretary of the Treasury may, under such regulations as he 
may prescribe, by means of instructions, licenses, or 
otherwise--
---------------------------------------------------------------------------
    \6\ 21 U.S.C. 1905.
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          (1) investigate, regulate, or prohibit--
                  (A) any transactions in foreign exchange, 
                currency, or securities; and
                  (B) transfers of credit or payments between, 
                by, through, or to any banking institution, to 
                the extent that such transfers or payments 
                involve any interests of any foreign country or 
                a national thereof; and
          (2) investigate, block during the pendency of an 
        investigation, regulate, direct and compel, nullify, 
        void, prevent, or prohibit any acquisition, holding, 
        withholding, use, transfer, withdrawal, transportation, 
        placement into foreign or domestic commerce of, or 
        dealing in, or exercising any right, power, or 
        privilege with respect to, or transactions involving, 
        any property in which any foreign country or a national 
        thereof has any interest, by any person, or with 
        respect to any property, subject to the jurisdiction of 
        the United States.
    (b) Recordkeeping.--Pursuant to subsection (a), the 
Secretary of the Treasury may require recordkeeping, reporting, 
and production of documents to carry out the purposes of this 
title.
    (c) Defenses.--
          (1) Full and actual compliance with any regulation, 
        order, license, instruction, or direction issued under 
        this title shall be a defense in any proceeding 
        alleging a violation of any of the provisions of this 
        title.
          (2) No person shall be held liable in any court for 
        or with respect to anything done or omitted in good 
        faith in connection with the administration of, or 
        pursuant to, and in reliance on this title, or any 
        regulation, instruction, or direction issued under this 
        title.
    (d) Rulemaking.--The Secretary of the Treasury may issue 
such other regulations or orders, including regulations 
prescribing recordkeeping, reporting, and production of 
documents, definitions, licenses, instructions, or directions, 
as may be necessary for the exercise of the authorities granted 
by this title.

SEC. 807.\7\ ENFORCEMENT.

    (a) Criminal Penalties.--(1) Whoever willfully violates the 
provisions of this title, or any license rule, or regulation 
issued pursuant to this title, or willfully neglects or refuses 
to comply with any order of the President issued under this 
title shall be--
---------------------------------------------------------------------------
    \7\ 21 U.S.C. 1906.
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          (A) imprisoned for not more than 10 years,
          (B) fined in the amount provided in title 18, United 
        States Code or, in the case of an entity, fined not 
        more than $10,000,000, or both.
    (2) Any officer, director, or agent of any entity who 
knowingly participates in a violation of the provisions of this 
title shall be imprisoned for not more than 30 years, fined not 
more than $5,000,000, or both.
    (b) Civil Penalties.--A civil penalty not to exceed 
$1,000,000 may be imposed by the Secretary of the Treasury on 
any person who violates any license, order, rule, or regulation 
issued in compliance with the provisions of this title.
    (c) Judicial Review of Civil Penalty.--Any penalty imposed 
under subsection (b) shall be subject to judicial review only 
to the extent provided in section 702 of title 5, United States 
Code.

SEC. 808.\8\ DEFINITIONS.

    As used in this title:
---------------------------------------------------------------------------
    \8\ 21 U.S.C. 1907.
---------------------------------------------------------------------------
          (1) Entity.--The term ``entity'' means a partnership, 
        joint venture, association, corporation, organization, 
        network, group, or subgroup, or any form of business 
        collaboration.
          (2) Foreign person.--The term ``foreign person'' 
        means any citizen or national of a foreign state or any 
        entity not organized under the laws of the United 
        States, but does not include a foreign state.
          (3) Narcotics trafficking.--The term ``narcotics 
        trafficking'' means any illicit activity to cultivate, 
        produce, manufacture, distribute, sell, finance, or 
        transport narcotic drugs, controlled substances, or 
        listed chemicals, or otherwise endeavor or attempt to 
        do so, or to assist, abet, conspire, or collude with 
        others to do so.
          (4) Narcotic drug; controlled substance; listed 
        chemical.--The terms ``narcotic drug'', ``controlled 
        substance'', and ``listed chemical'' have the meanings 
        given those terms in section 102 of the Controlled 
        Substances Act (21 U.S.C. 802).
          (5) Person.--The term ``person'' means an individual 
        or entity.
          (6) United states person.--The term ``United States 
        person'' means any United States citizen or national, 
        permanent resident alien, an entity organized under the 
        laws of the United States (including its foreign 
        branches), or any person within the United States.
          (7) Significant foreign narcotics trafficker.--The 
        term ``significant foreign narcotics trafficker'' means 
        any foreign person that plays a significant role in 
        international narcotics trafficking, that the President 
        has determined to be appropriate for sanctions pursuant 
        to this title, and that the President has publicly 
        identified in the report required under subsection (b) 
        or (h)(1) of section 804.

SEC. 809.\9\ EXCLUSION OF PERSONS WHO HAVE BENEFITED FROM ILLICIT 
                    ACTIVITIES OF DRUG TRAFFICKERS.

          * * * * * * *
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    \9\ Sec. 809 amends sec. 212(a)(2)(C) of the Immigration and 
Nationality Act (8 U.S.C. 1182(a)(2)(C)).
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SEC. 810.\10\ JUDICIAL REVIEW COMMISSION ON FOREIGN ASSET CONTROL.

    (a) Establishment.--There is established a commission to be 
known as the `Judicial Review Commission on Foreign Asset 
Control' (in this section referred to as the `Commission').
---------------------------------------------------------------------------
    \10\ 21 U.S.C. 1908.
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    (b) Membership and Procedural Matters.--(1) The Commission 
shall be composed of five members, as follows:
          (A) One member shall be appointed by the Chairman of 
        the Select Committee on Intelligence of the Senate.
          (B) One member shall be appointed by the Vice 
        Chairman of the Select Committee on Intelligence of the 
        Senate.
          (C) One member shall be appointed by the Chairman of 
        the Permanent Select Committee on Intelligence of the 
        House of Representatives.
          (D) One member shall be appointed by the Ranking 
        Minority Membe of the Permanent Select Committee on 
        Intelligence of the House of Representatives.
          (E) One member shall be appointed jointly by the 
        members appointed under subparagraphs (A) through (D).
    (2) Each member of the Commission shall, for purposes of 
the activities of the Commission under this section, possess or 
obtain an appropriate security clearance in accordance with 
applicable laws and regulations regarding the handling of 
classified information.
    (3) The members of the Commission shall choose the chairman 
of the Commission from among the members of the Commission.
    (4) The members of the Commission shall establish rules 
governing the procedures and proceedings of the Commission.
    (c) Duties.--The Commission shall have as its duties the 
following:
          (1) To conduct a review of the current judicial, 
        regulatory, and administrative authorities relating to 
        the blocking of assets of foreign persons by the United 
        States Government.
          (2) To conduct a detailed examination and evaluation 
        of the remedies available to United States persons 
        affected by the blocking of assets of foreign persons 
        by the United States Government.
    (d) Powers.--(1) The Commission may hold such hearings, sit 
and act at such times and places, take such testimony, and 
receive such evidence as the Commission considers advisable to 
carry out the purposes of this section.
    (2) The Commission may secure directly from any executive 
department, agency, bureau, board, commission, office, 
independent establishment, or instrumentality of the Government 
information, suggestions, estimates, and statistics for the 
purposes of this section. Each such department, agency, bureau, 
board, commission, office, establishment, or instrumentality 
shall, to the extent authorized by law, furnish such 
information, suggestions, estimates, and statistics directly to 
the Commission, upon request of the chairman of the Commission. 
The Commission shall handle and protect all classified 
information provided to it under this section in accordance 
with applicable statutes and regulations.
    (3) The Attorney General and the Secretary of the Treasury 
shall provide to the Commission, on a nonreimbursable basis, 
such administrative services, funds, facilities, and other 
support services as are necessary for the performance of the 
Commission's duties under this section.
    (4) The Commission shall receive the full and timely 
cooperation of any official, department, or agency of the 
United States Government whose assistance is necessary for the 
fulfillment of the duties of the Commission under this section, 
including the provision of full and current briefings and 
analyses.
    (5) No department or agency of the Government may withhold 
information from the Commission on the grounds that providing 
the information to the Commission would constitute the 
unauthorized disclosure of classified information or 
information relating to intelligence sources or methods.
    (6) The Commission may use the United States mails in the 
same manner and under the same conditions as the departments 
and agencies of the United States.
    (e) Staff.--(1) Subject to paragraph (2), the chairman of 
the Commission, in accordance with rules agreed upon by the 
Commission, shall appoint and fix the compensation of a staff 
director and such other personnel as may be necessary to enable 
the Commission to carry out its duties, without regard to the 
provisions of title 5, United States Code, governing 
appointments in the competitive service, and without regard to 
the provisions of chapter 51 and subchapter III or chapter 53 
of such title relating to classification and General Schedule 
pay rates, except that no rate of pay fixed under this 
subsection may exceed the equivalent of that payable to a 
person occupying a position at level V of the Executive 
Schedule under section 5316 of such title.
    (2)(A) Any employee of a department or agency referred to 
in subparagraph (B) may be detailed to the Commission without 
reimbursement from the Commission, and such detailee shall 
retain the rights, status, and privileges of his or her regular 
employment without interruption.
    (B) The departments and agencies referred to in this 
subparagraph are as follows:
          (i) The Department of Justice.
          (ii) The Department of the Treasury.
          (iii) The Central Intelligence Agency.
    (3) All staff of the Commission shall possess a security 
clearance in accordance with applicable laws and regulations 
concerning the handling of classified information.
    (f) Compensation and Travel Expenses.--(1)(A) Except as 
provided in subparagraph (B), each member of the Commission may 
be compensated at not to exceed the daily equivalent of the 
annual rate of basic pay in effect for a position at level IV 
of the Executive Schedule under section 5315 of title 5, United 
States Code, for each day during which that member is engaged 
in the actual performance of the duties of the Commission under 
this section.
    (B) Members of the Commission who are officers or employees 
of the United States shall receive no additional pay by reason 
of their service on the Commission.
    (2) While away from their homes or regular places of 
business in the performance of services for the Commission, 
members of the Commission may be allowed travel expenses, 
including per diem in lieu of subsistence, in the same manner 
as persons employed intermittently in the Government service 
are allowed expenses under section 5703(b) of title 5, United 
States Code.
    (g) Report.--(1) Not later than 1 year after the date of 
the enactment of this Act, the Commissions shall submit to the 
committees of Congress referred to in paragraph (4) a report on 
the activities of the Commission under this section, including 
the findings, conclusions, and recommendations, if any, of the 
Commission as a result of the review under subsection (c)(1) 
and the examination and evaluation under subsection (c)(2).
    (2) The report under paragraph (1) shall include any 
additional or dissenting views of a member of the Commission 
upon the request of the member.
    (3) The report under paragraph (1) shall be submitted in 
unclassified form, but may include a classified annex.
    (4) The committees of Congress referred to in this 
paragraph are the following:
          (A) The Select Committee on Intelligence and the 
        Committees on Foreign Relations and the Judiciary of 
        the Senate.
          (B) The Permanent Select Committee on Intelligence 
        and the Committees on International Relations and the 
        Judiciary of the House of Representatives.
    (h) Termination.--The Commission shall terminate at the end 
of the 60-day period beginning on the date on which the report 
required by subsection (g) is submitted to the committees of 
Congress referred to in that subsection.
    (i) Inapplicability of Certain Administrative Provisions.--
(1) The provisions of the Federal Advisory Committee Act (5 
U.S.C. App.) shall not apply to the activities of the 
Commission under this section.
    (2) The provisions of section 552 of title 5, United States 
Code (commonly referred to as the Freedom of Information Act), 
shall not apply to the activities, records, and proceedings of 
the Commission under this title.
    (j) Funding.--The Attorney General shall, from amounts 
authorized to be appropriated to the Attorney General by this 
Act, make available to the Commission $1,000,000 for purposes 
of the activities of the Commission under this section. Amounts 
made available to the Commission under the preceding sentence 
shall remain available until expended

SEC. 811.\11\ EFFECTIVE DATE.

    This title shall take effect on the date of the enactment 
of this Act.
---------------------------------------------------------------------------
    \11\ 21 U.S.C. 1901 note.
   (2) Blocking Assets and Prohibiting Transactions With Significant 
                         Narcotics Traffickers

Executive Order 12978, October 21, 1995, 60 F.R. 54579, 50 U.S.C. 1701 
                                  note

    By the authority vested in me as President by the 
Constitution and the laws of the United States of america, 
including the International Emergency Economic Powers Act (50 
U.S.C. 1701 et seq.) (IEEPA), the National Emergencies Act (50 
U.S.C. 1601 et seq.), and section 301 of title 3, United States 
Code,
    I, WILLIAM J. CLINTON, President of the United States of 
America, find that the actions of significant foreign narcotics 
traffickers centered in Colombia, and the unparalleled 
violence, corruption, and harm that they cause in the United 
States and abroad, constitute an unusual and extraordinary 
threat to the national security, foreign policy, and economy of 
the United States, and hereby declare a national emergency to 
deal with that threat.\1\
---------------------------------------------------------------------------
    \1\ Continuation of the national emergency declared by Executive 
Order 12978 with respect to significant narcotics traffickers were 
contained in the following: Notice of the President, October 16, 1996 
(61 F.R. 29455); Notice of the President, October 17, 1997 (62 F.R. 
54561); Notice of the President, October 19, 1998 (63 F.R. 56079); 
Notice of the President, October 19, 1999 (64 F.R. 56667; Notice of the 
President, October 19, 2000 (65 F.R. 63193); Notice of the President, 
October 16, 2001 (66 F.R. 53073); Notice of the President, October 16, 
2002 (67 F.R. 64307); Notice of the President, October 16, 2003 (68 
F.R. 60021).
---------------------------------------------------------------------------
    Section 1. Except to the extent provided in section 203(b) 
of IEEPA (50 U.S.C. 1702(b)) and in regulations, orders, 
directives, or licenses that may be issued pursuant to this 
order, and notwithstanding any contract entered into or any 
license or permit granted prior to the effective date, I hereby 
order blocked all property and interests in property that are 
or hereafter come within the United States, or that are or 
hereafter come within the possession or control of United 
States persons, of:
          (a) the foreign persons listed in the Annex to this 
        order;
          (b) foreign persons determined by the Secretary of 
        the Treasury, in consultation with the Attorney General 
        and the Secretary of State:
                  (i) to play a significant role in 
                international narcotics trafficking centered in 
                Colombia; or
                  (ii) materially to assist in, or provide 
                financial or technological support for or goods 
                or services in support of, the narcotics 
                trafficking activities of persons designated in 
                or pursuant to this order; and
          (c) persons determined by the Secretary of the 
        Treasury, in consultation with the Attorney General and 
        the Secretary of State, to be owned or controlled by, 
        or to act for or on behalf of, persons designated in or 
        pursuant to this order.
    Sec. 2.\2\ Further, except to the extent provided in 
section 203(b) of IEEPA and in regulations, orders, directives, 
or licenses that may be issued pursuant to this order, and 
notwithstanding any contract entered into or any license or 
permit gran ted prior to the effective date, I hereby prohibit 
the following:
---------------------------------------------------------------------------
    \2\ The Department of the Treasury issued notices of blocking 
assets for a list of specially designated narcotics traffickers 
effective October 23, 1995 (60 F.R. 54582). Amendments or additions to 
the list were effective on the following dates: November 24, 1995 (60 
F.R. 61288); March 5, 1996 (61 F.R. 9523); June 26, 1996 (61 F.R. 
32936); January 15, 1997 (62 F.R. 2903); April 17, 1997 (62 F.R. 
19500); June 27, 1997 (62 F.R. 34934); July 30, 1997 (62 F.R. 41850); 
September 9, 1997 (62 F.R. 48177); May 26, 1998 (63 F.R. 28896); June 
25, 1999 (64 F.R. 34984); March 29, 2000 (65 F.R. 17590); November 28, 
2000 (65 F.R. 75628); December 19, 2000 (65 F.R. 80749); and February 
12, 2003 (68 F.R. 7168).
---------------------------------------------------------------------------
          (a) any transaction or dealing by United States 
        persons or within the United States in property or 
        interests in property of the persons designated in or 
        pursuant to this order;
          (b) any transaction by any United States person or 
        within the United States that evades or avoids, or has 
        the purposes of evading or avoiding, or attempts to 
        violate, any of the prohibitions set forth in this 
        order.
    Sec. 3. For the purposes of this order:
          (a) the term ``person'' means an individual or 
        entity;
          (b) the term ``entity'' means a partnership, 
        association, corporation, or other organization, group 
        or subgroup;
          (c) the term ``United States person'' means any 
        United States citizen or national, permanent resident 
        alien, entity organized under the laws of the United 
        States (including foreign branches), or any person in 
        the United States:
          (d) the term ``foreign person'' means any citizen or 
        national of a foreign state (including any such 
        individual who is also a citizen or national of the 
        united States) or any entity not organized solely under 
        the laws of the United States or existing solely in the 
        United States, but does not include a foreign state; 
        and
          (e) the term ``narcotics trafficking'' means any 
        activity undertaken illicitly to cultivate, produce, 
        manufacture, distribute, sell, finance or transport, or 
        otherwise assist, abet, conspire, or collude with 
        others in illicit activities relating to, narcotic 
        drugs, including, but not limited to, cocaine.
    Sec. 4. The Secretary of the Treasury, in consultation with 
the Attorney General and the Secretary of State, is hereby 
authorized to take such actions, including the promulgation of 
rules and regulations, and to employ all powers granted to the 
President by IEEPA as may be necessary to carry out this order. 
The Secretary of the Treasury may redelegate any of these 
functions to other officers and agencies of the United States 
Government. All agencies of the United States Government are 
hereby directed to take all appropriate measures within their 
authority to carry out this order.
    Sec. 5. Nothing contained in this order shall create any 
right or benefit, substantive or procedural, enforceable by any 
party against the United States, its agencies or 
instrumentalities, its officers or employees, or any other 
person.
    Sec. 6. (a) This order is effective at 12:01 a.m. Eastern 
Daylight Time on October 22, 1995.
    (b) This order shall be transmitted to the Congress and 
published in the Federal Register.

                                 ANNEX

    Gilberto Rodriguez Orejuela
    Miiguel Angel Rodriguez Orejuela
    Jose Santacruz Londono
    Helmer Herrera Buitrago
g. Prohibiting Transactions With Terrorists Who Threaten To Disrupt the 
                       Middle East Peace Process

 Executive Order 12947, January 23, 1995 (60 F.R. 5079, 50 U.S.C. 1701 
 note), as amended by Executive Order 13099, August 20, 1998 (63 F.R. 
                                 45167)

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including the International Emergency Economic Powers Act (50 
U.S.C. 1701 et seq.) (IEEPA), the National Emergencies Act (50 
U.S.C. 1601 et seq.), and section 301 of title 3, United States 
Code,
    I, WILLIAM J. CLINTON, President of the United States of 
America, find that grave acts of violence committed by foreign 
terrorists that disrupt the Middle East peace process 
constitute an unusual and extraordinary threat to the national 
security, foreign policy, and economy of the United States, and 
hereby declare a national emergency to deal with that 
threat.\1\
---------------------------------------------------------------------------
    \1\ In a notice of January 18, 1996 (61 F.R. 1695), the President 
stated that this national emergency must continue in effect beyond 
January 23, 1996. The national emergency was continued again by a 
notice from the President on January 21, 1997 (62 F.R. 3439); on 
January 21, 1998 (63 F.R. 3445); on January 20, 1999 (64 F.R. 3393); on 
January 19, 2000 (65 F.R. 3581); on January 19, 2001 (66 F.R. 7369); on 
January 18, 2002 (67 F.R. 3031); and on January 20, 2003 (68 F.R. 
3159).
---------------------------------------------------------------------------
    I hereby order:
    Section 1. Except to the extent provided in section 
203(b)(3) and (4) of IEEPA (50 U.S.C. 1702(b)(3) and (4)) and 
in regulations, orders, directives, or licenses that may be 
issued pursuant to this order, and notwithstanding any contract 
entered into or any license or permit granted prior to the 
effective date: (a) all property and interests in property of:
          (i) the persons listed in the Annex to this order;
          (ii) foreign persons designated by the Secretary of 
        State, in coordination with the Secretary of the 
        Treasury and the Attorney General, because they are 
        found;
                  (A) to have committed, or to pose a 
                significant risk of committing, acts of 
                violence that have the purpose or effect of 
                disrupting the Middle East peace process, or
                  (B) to assist in, sponsor, or provide 
                financial, material, or technological support 
                for, or services in support of, such acts of 
                violence; and
          (iii) persons determined by the Secretary of the 
        Treasury, in coordination with the Secretary of State 
        and the Attorney General, to be owned or controlled by, 
        or to act for or on behalf of, any of the foregoing 
        persons, that are in the United States, that hereafter 
        come within the United States, or that hereafter come 
        within the possession or control of United States 
        persons, are blocked;
    (b) any transaction or dealing by United States persons or 
within the United States in property or interests in property 
of the persons designated in or pursuant to this order is 
prohibited, including the making or receiving of any 
contribution of funds, goods, or services to or for the benefit 
of such persons;
    (c) any transaction by any United states person or within 
the United States that evades or avoids, or has the purpose of 
evading or avoiding, or attempts to violate, any of the 
prohibitions set forth in this order, is prohibited.
    Sec. 2. For the purposes of this order: (a) the term 
``person'' means an individual or entity;
    (b) the term ``entity'' means a partnership, association, 
corporation, or other organization, group, or subgroup;
    (c) the term ``United States person'' means any United 
States citizen, permanent resident alien, entity organized 
under the laws of the United States (including foreign 
branches), or any person in the United States; and
    (d) the term ``foreign person'' means any citizen or 
national of a foreign state (including any such individual who 
is also a citizen or national of the United States) or any 
entity not organized solely under the laws of the United States 
or existing solely in the United States, but does not include a 
foreign state.
    Sec. 3. I hereby determine that the making of donations of 
the type specified in section 203(b)(2)(A) of IEEPA (50 U.S.C. 
1702(b)(2)(A)) by United States persons to persons designated 
in or pursuant to this order would seriously impair my ability 
to deal with the national emergency declared in this order, and 
hereby prohibit such donations as provided by section 1 of this 
order.
    Sec. 4. (a) The Secretary of the Treasury, in consultation 
with the Secretary of State and, as appropriate, the Attorney 
General, is hereby authorized to take such actions, including 
the promulgation of rules and regulations, and to employ all 
powers granted to me by IEEPA as may be necessary to carry out 
the purposes of this order. The Secretary of the Treasury may 
redelegate any of these functions to other officers and 
agencies of the United States Government. All agencies of the 
United States Government are hereby directed to take all 
appropriate measures within their authority to carry out the 
provisions of this order.
    (b) Any investigation emanating from a possible violation 
of this order, or of any license, order, or regulation issued 
pursuant to this order, shall first be coordinated with the 
Federal Bureau of Investigation (FBI), and any matter involving 
evidence of a criminal violations shall be referred to the FBI 
for further investigation. The FBI shall timely notify the 
Department of the Treasury of any action it takes on such 
referrals.
    Sec. 5. Nothing contained in this order shall create any 
right or benefit, substantive or procedural, enforceable by any 
party against the United States, its agencies or 
instrumentalities, its officers or employees, or any other 
person.
    Sec. 6. (a) This order is effective at 12:01 a.m., eastern 
standard time on January 24, 1995.
    (b) This order shall be transmitted to the Congress and 
published in the Federal Register.

                                 ANNEX

  TERRORISTS WHO THREATEN TO DISRUPT THE MIDDLE EAST PEACE PROCESS \2\
---------------------------------------------------------------------------

    \2\ Executive Order 13099 amended the title of the Annex of 
Executive Order 12947 and added the following people and organizations: 
Islamic Army (a.k.a. Al-Qaida, Islamic Salvation Foundation, The 
Islamic Army for the Liberation of the Holy Places, The World Islamic 
Front for Jihad Against Jews and Crusaders, and The Group for the 
Preservation of the Holy Sites), Abu Hafs al-Masri, and Rifa'i Ahmad 
Taha Musa. The Annex title orginally read, ``Terrorist Organizations 
which Threaten to Disrupt the Middle East Peace Process''.
    On March 25, 2002, the Secretary of State determined (Public Notice 
No. 3955, 67 F.R. 14761) that certain organizations either used 
currently, or had used aliases. The additional names were included in 
the designations of organizations pursuant to the executive order.
    On October 10, 2003, the Deputy Secretary of State determined 
(Public Notice No. 4511, 68 F.R. 53738) ``that the Al-Aqsa Martyrs 
Brigade (also known as the Al-Aqsa Martyrs Battalion) has committed, or 
poses a serious risk of committing, acts of terrorism that threaten the 
security of U.S. nationals or the national security, foreign policy, or 
economy of the United States''.
---------------------------------------------------------------------------
    Abu Hafs al-Masri
    Abu Nidal Organization (ANO)
    Democratic Front for the Liberation of Palestine (DFLP)
    Hizballah
    Islamic Army (a.k.a. Al-Qaida, Islamic Salvation 
Foundation, The Islamic Army for the Liberation of the Holy 
Places, The World Islamic Front for Jihad Against Jews and 
Crusaders, and The Group for the Preservation of the Holy 
Sites)
    Islamic Gama'at (IG)
    Islamic Resistance Movement (HAMAS)
    Jihad
    Kach
    Kahane Chai
    Palestinian Islamic Jihad-Shiqaqi faction (PIJ)
    Palestine Liberation Front-Abu Abbas faction (PLF-Abu 
Abbas)
    Popular Front for the Liberation of Palestine (PPLF)
    Popular Front for the Liberation of Palestine-General 
Command (PPLF-GC)
    Rifa'i Ahmad Taha Musa
    Usama bin Muhammad bin Awad bin Ladin (a.k.a. Usama bin 
Ladin)
                    h. Economic Relations With Cuba

   (1) Cuban Liberty and Democratic Solidarity (LIBERTAD) Act of 1996

 Public Law 104-114 [H.R.927], 110 Stat. 785, approved March 12, 1996, 
 as amended by Public Law 105-277 [Omnibus Consolidated and Emergency 
   Supplemental Appropriations Act, 1999; H.R. 4328], 112 Stat. 2681

AN ACT To seek international sanctions against the Castro government in 
   Cuba, to plan for support of a transition government leading to a 
   democratically elected government in Cuba, and for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

SECTION 1.\1\ SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Cuban 
Liberty and Democratic Solidarity (LIBERTAD) Act of 1996''.
---------------------------------------------------------------------------
    \1\ 22 U.S.C. 6021 note.
---------------------------------------------------------------------------
    (b) Table of Contents.--The table of contents of this Act 
is as follows:
                                                                    Page

Sec. 1. Short title; table of contents............................  1338
Sec. 2. Findings..................................................  1339
Sec. 3. Purposes..................................................  1342
Sec. 4. Definitions...............................................  1342
Sec. 5. Severability..............................................  1345

   TITLE I--STRENGTHENING INTERNATIONAL SANCTIONS AGAINST THE CASTRO 
                               GOVERNMENT

Sec. 101. Statement of policy.....................................  1345
Sec. 102. Enforcement of the economic embargo of Cuba.............  1346
Sec. 103. Prohibition against indirect financing of Cuba..........  1346
Sec. 104. United States opposition to Cuban membership in 
    international financial institutions..........................  1347
Sec. 105. United States opposition to termination of the 
    suspension of the Cuban Government from participation in the 
    Organization of American States...............................  1348
Sec. 106. Assistance by the independent states of the former 
    Soviet Union for the Cuban Government.........................  1348
Sec. 107. Television broadcasting to Cuba.........................  1348
Sec. 108. Reports on commerce with, and assistance to, Cuba from 
    other foreign countries.......................................  1349
Sec. 109. Authorization of support for democratic and human rights 
    groups and international observers............................  1350
Sec. 110. Importation safeguard against certain Cuban products....  1351
Sec. 111. Withholding of foreign assistance from countries 
    supporting Juragua nuclear plant in Cuba......................  1351
Sec. 112. Reinstitution of family remittances and travel to Cuba..  1353
Sec. 113. Expulsion of criminals from Cuba........................  1354
Sec. 114. News bureaus in Cuba....................................  1354
Sec. 115. Effect of Act on lawful United States Government 
    activities....................................................  1355
Sec. 116. Condemnation of Cuban attack on American aircraft.......  1355

           TITLE II--ASSISTANCE TO A FREE AND INDEPENDENT CUBA

Sec. 201. Policy toward a transition government and a 
    democratically elected government in Cuba.....................  1356
Sec. 202. Assistance for the Cuban people.........................  1357
Sec. 203. Coordination of assistance program; implementation and 
    reports to Congress; reprogramming............................  1360
Sec. 204. Termination of the economic embargo of Cuba.............  1361
Sec. 205. Requirements and factors for determining a transition 
    government....................................................  1363
Sec. 206. Requirements for determining a democratically elected 
    government....................................................  1364
Sec. 207. Settlement of outstanding United States claims to 
    confiscated property in Cuba..................................  1365

   TITLE III--PROTECTION OF PROPERTY RIGHTS OF UNITED STATES NATIONALS

Sec. 301. Findings................................................  1366
Sec. 302. Liability for trafficking in confiscated property 
    claimed by United States nationals............................  1367
Sec. 303. Proof of ownership of claims to confiscated property....  1372
Sec. 304. Exclusivity of Foreign Claims Settlement Commission 
    certification procedure.......................................  1373
Sec. 305. Limitation of actions...................................  1373
Sec. 306. Effective date..........................................  1373

                  TITLE IV--EXCLUSION OF CERTAIN ALIENS

Sec. 401. Exclusion from the United States of aliens who have 
    confiscated property of United States nationals or who traffic 
    in such property..............................................  1374

SEC. 2.\2\ FINDINGS.

    The Congress makes the following findings:
---------------------------------------------------------------------------
    \2\ 22 U.S.C. 6021.
---------------------------------------------------------------------------
          (1) The economy of Cuba has experienced a decline of 
        at least 60 percent in the last 5 years as a result 
        of--
                  (A) the end of its subsidization by the 
                former Soviet Union of between 5 billion and 6 
                billion dollars annually;
                  (B) 36 years of communist tyranny and 
                economic mismanagement by the Castro 
                government;
                  (C) the extreme decline in trade between Cuba 
                and the countries of the former Soviet bloc; 
                and
                  (D) the stated policy of the Russian 
                Government and the countries of the former 
                Soviet bloc to conduct economic relations with 
                Cuba on strictly commercial terms.
          (2) At the same time, the welfare and health of the 
        Cuban people have substantially deteriorated as a 
        result of this economic decline and the refusal of the 
        Castro regime to permit free and fair democratic 
        elections in Cuba.
          (3) The Castro regime has made it abundantly clear 
        that it will not engage in any substantive political 
        reforms that would lead to democracy, a market economy, 
        or an economic recovery.
          (4) The repression of the Cuban people, including a 
        ban on free and fair democratic elections, and 
        continuing violations of fundamental human rights, have 
        isolated the Cuban regime as the only completely 
        nondemocratic government in the Western Hemisphere.
          (5) As long as free elections are not held in Cuba, 
        the economic condition of the country and the welfare 
        of the Cuban people will not improve in any significant 
        way.
          (6) The totalitarian nature of the Castro regime has 
        deprived the Cuban people of any peaceful means to 
        improve their condition and has led thousands of Cuban 
        citizens to risk or lose their lives in dangerous 
        attempts to escape from Cuba to freedom.
          (7) Radio Marti and Television Marti have both been 
        effective vehicles for providing the people of Cuba 
        with news and information and have helped to bolster 
        the morale of the people of Cuba living under tyranny.
          (8) The consistent policy of the United States 
        towards Cuba since the beginning of the Castro regime, 
        carried out by both Democratic and Republican 
        administrations, has sought to keep faith with the 
        people of Cuba, and has been effective in sanctioning 
        the totalitarian Castro regime.
          (9) The United States has shown a deep commitment, 
        and considers it a moral obligation, to promote and 
        protect human rights and fundamental freedoms as 
        expressed in the Charter of the United Nations and in 
        the Universal Declaration of Human Rights.
          (10) The Congress has historically and consistently 
        manifested its solidarity and the solidarity of the 
        American people with the democratic aspirations of the 
        Cuban people.
          (11) The Cuban Democracy Act of 1992 calls upon the 
        President to encourage the governments of countries 
        that conduct trade with Cuba to restrict their trade 
        and credit relations with Cuba in a manner consistent 
        with the purposes of that Act.
          (12) Amendments to the Foreign Assistance Act of 1961 
        made by the FREEDOM Support Act require that the 
        President, in providing economic assistance to Russia 
        and the emerging Eurasian democracies, take into 
        account the extent to which they are acting to 
        ``terminate support for the communist regime in Cuba, 
        including removal of troops, closing military 
        facilities, and ceasing trade subsidies and economic, 
        nuclear, and other assistance''.
          (13) The Cuban Government engages in the illegal 
        international narcotics trade and harbors fugitives 
        from justice in the United States.
          (14) The Castro government threatens international 
        peace and security by engaging in acts of armed 
        subversion and terrorism such as the training and 
        supplying of groups dedicated to international 
        violence.
          (15) The Castro government has utilized from its 
        inception and continues to utilize torture in various 
        forms (including by psychiatry), as well as execution, 
        exile, confiscation, political imprisonment, and other 
        forms of terror and repression, as means of retaining 
        power.
          (16) Fidel Castro has defined democratic pluralism as 
        ``pluralistic garbage'' and continues to make clear 
        that he has no intention of tolerating the 
        democratization of Cuban society.
          (17) The Castro government holds innocent Cubans 
        hostage in Cuba by no fault of the hostages themselves 
        solely because relatives have escaped the country.
          (18) Although a signatory state to the 1928 Inter-
        American Convention on Asylum and the International 
        Covenant on Civil and Political Rights (which protects 
        the right to leave one's own country), Cuba 
        nevertheless surrounds embassies in its capital by 
        armed forces to thwart the right of its citizens to 
        seek asylum and systematically denies that right to the 
        Cuban people, punishing them by imprisonment for 
        seeking to leave the country and killing them for 
        attempting to do so (as demonstrated in the case of the 
        confirmed murder of over 40 men, women, and children 
        who were seeking to leave Cuba on July 13, 1994).
          (19) The Castro government continues to utilize 
        blackmail, such as the immigration crisis with which it 
        threatened the United States in the summer of 1994, and 
        other unacceptable and illegal forms of conduct to 
        influence the actions of sovereign states in the 
        Western Hemisphere in violation of the Charter of the 
        Organization of American States and other international 
        agreements and international law.
          (20) The United Nations Commission on Human Rights 
        has repeatedly reported on the unacceptable human 
        rights situation in Cuba and has taken the 
        extraordinary step of appointing a Special Rapporteur.
          (21) The Cuban Government has consistently refused 
        access to the Special Rapporteur and formally expressed 
        its decision not to ``implement so much as one comma'' 
        of the United Nations Resolutions appointing the 
        Rapporteur.
          (22) The United Nations General Assembly passed 
        Resolution 47-139 on December 18, 1992, Resolution 48-
        142 on December 20, 1993, and Resolution 49-200 on 
        December 23, 1994, referencing the Special Rapporteur's 
        reports to the United Nations and condemning violations 
        of human rights and fundamental freedoms in Cuba.
          (23) Article 39 of Chapter VII of the United Nations 
        Charter provides that the United Nations Security 
        Council ``shall determine the existence of any threat 
        to the peace, breach of the peace, or act of aggression 
        and shall make recommendations, or decide what measures 
        shall be taken . . ., to maintain or restore 
        international peace and security.''.
          (24) The United Nations has determined that massive 
        and systematic violations of human rights may 
        constitute a ``threat to peace'' under Article 39 and 
        has imposed sanctions due to such violations of human 
        rights in the cases of Rhodesia, South Africa, Iraq, 
        and the former Yugoslavia.
          (25) In the case of Haiti, a neighbor of Cuba not as 
        close to the United States as Cuba, the United States 
        led an effort to obtain and did obtain a United Nations 
        Security Council embargo and blockade against that 
        country due to the existence of a military dictatorship 
        in power less than 3 years.
          (26) United Nations Security Council Resolution 940 
        of July 31, 1994, subsequently authorized the use of 
        ``all necessary means'' to restore the ``democratically 
        elected government of Haiti'', and the democratically 
        elected government of Haiti was restored to power on 
        October 15, 1994.
          (27) The Cuban people deserve to be assisted in a 
        decisive manner to end the tyranny that has oppressed 
        them for 36 years, and the continued failure to do so 
        constitutes ethically improper conduct by the 
        international community.
          (28) For the past 36 years, the Cuban Government has 
        posed and continues to pose a national security threat 
        to the United States.

SEC. 3.\3\ PURPOSES.

    The purposes of this Act are--
---------------------------------------------------------------------------
    \3\ 22 U.S.C. 6022.
---------------------------------------------------------------------------
          (1) to assist the Cuban people in regaining their 
        freedom and prosperity, as well as in joining the 
        community of democratic countries that are flourishing 
        in the Western Hemisphere;
          (2) to strengthen international sanctions against the 
        Castro government;
          (3) to provide for the continued national security of 
        the United States in the face of continuing threats 
        from the Castro government of terrorism, theft of 
        property from United States nationals by the Castro 
        government, and the political manipulation by the 
        Castro government of the desire of Cubans to escape 
        that results in mass migration to the United States;
          (4) to encourage the holding of free and fair 
        democratic elections in Cuba, conducted under the 
        supervision of internationally recognized observers;
          (5) to provide a policy framework for United States 
        support to the Cuban people in response to the 
        formation of a transition government or a 
        democratically elected government in Cuba; and
          (6) to protect United States nationals against 
        confiscatory takings and the wrongful trafficking in 
        property confiscated by the Castro regime.

SEC. 4.\4\ DEFINITIONS.

    As used in this Act, the following terms have the following 
meanings:
---------------------------------------------------------------------------
    \4\ 22 U.S.C. 6023.
---------------------------------------------------------------------------
          (1) Agency or instrumentality of a foreign state.--
        The term ``agency or instrumentality of a foreign 
        state'' has the meaning given that term in section 
        1603(b) of title 28, United States Code.
          (2) Appropriate congressional committees.--The term 
        ``appropriate congressional committees'' means the 
        Committee on International Relations and the Committee 
        on Appropriations of the House of Representatives and 
        the Committee on Foreign Relations and the Committee on 
        Appropriations of the Senate.
          (3) Commercial activity.--The term ``commercial 
        activity'' has the meaning given that term in section 
        1603(d) of title 28, United States Code.
          (4) Confiscated.--As used in titles I and III, the 
        term ``confiscated'' refers to--
                  (A) the nationalization, expropriation, or 
                other seizure by the Cuban Government of 
                ownership or control of property, on or after 
                January 1, 1959--
                          (i) without the property having been 
                        returned or adequate and effective 
                        compensation provided; or
                          (ii) without the claim to the 
                        property having been settled pursuant 
                        to an international claims settlement 
                        agreement or other mutually accepted 
                        settlement procedure; and
                  (B) the repudiation by the Cuban Government 
                of, the default by the Cuban Government on, or 
                the failure of the Cuban Government to pay, on 
                or after January 1, 1959--
                          (i) a debt of any enterprise which 
                        has been nationalized, expropriated, or 
                        otherwise taken by the Cuban 
                        Government;
                          (ii) a debt which is a charge on 
                        property nationalized, expropriated, or 
                        otherwise taken by the Cuban 
                        Government; or
                          (iii) a debt which was incurred by 
                        the Cuban Government in satisfaction or 
                        settlement of a confiscated property 
                        claim.
          (5) Cuban government.--(A) The term ``Cuban 
        Government'' includes the government of any political 
        subdivision of Cuba, and any agency or instrumentality 
        of the Government of Cuba.
          (B) For purposes of subparagraph (A), the term 
        ``agency or instrumentality of the Government of Cuba'' 
        means an agency or instrumentality of a foreign state 
        as defined in section 1603(b) of title 28, United 
        States Code, with each reference in such section to ``a 
        foreign state'' deemed to be a reference to ``Cuba''.
          (6) Democratically elected government in cuba.--The 
        term ``democratically elected government in Cuba'' 
        means a government determined by the President to have 
        met the requirements of section 206.
          (7) Economic embargo of cuba.--The term ``economic 
        embargo of Cuba'' refers to--
                  (A) the economic embargo (including all 
                restrictions on trade or transactions with, and 
                travel to or from, Cuba, and all restrictions 
                on transactions in property in which Cuba or 
                nationals of Cuba have an interest) that was 
                imposed against Cuba pursuant to section 620(a) 
                of the Foreign Assistance Act of 1961 (22 
                U.S.C. 2370(a)), section 5(b) of the Trading 
                with the Enemy Act (50 U.S.C. App. 5(b)), the 
                Cuban Democracy Act of 1992 (22 U.S.C. 6001 and 
                following), or any other provision of law; and
                  (B) the restrictions imposed by section 
                902(c) of the Food Security Act of 1985.
          (8) Foreign national.--The term ``foreign national'' 
        means--
                  (A) an alien; or
                  (B) any corporation, trust, partnership, or 
                other juridical entity not organized under the 
                laws of the United States, or of any State, the 
                District of Columbia, or any commonwealth, 
                territory, or possession of the United States.
          (9) Knowingly.--The term ``knowingly'' means with 
        knowledge or having reason to know.
          (10) Official of the cuban government or the ruling 
        political party in cuba.--The term ``official of the 
        Cuban Government or the ruling political party in 
        Cuba'' refers to any member of the Council of 
        Ministers, Council of State, central committee of the 
        Communist Party of Cuba, or the Politburo of Cuba, or 
        their equivalents.
          (11) Person.--The term ``person'' means any person or 
        entity, including any agency or instrumentality of a 
        foreign state.
          (12) Property.--(A) The term ``property'' means any 
        property (including patents, copyrights, trademarks, 
        and any other form of intellectual property), whether 
        real, personal, or mixed, and any present, future, or 
        contingent right, security, or other interest therein, 
        including any leasehold interest.
          (B) For purposes of title III of this Act, the term 
        ``property'' does not include real property used for 
        residential purposes unless, as of the date of the 
        enactment of this Act--
                  (i) the claim to the property is held by a 
                United States national and the claim has been 
                certified under title V of the International 
                Claims Settlement Act of 1949; or
                  (ii) the property is occupied by an official 
                of the Cuban Government or the ruling political 
                party in Cuba.
          (13) Traffics.--(A) As used in title III, and except 
        as provided in subparagraph (B), a person ``traffics'' 
        in confiscated property if that person knowingly and 
        intentionally--
                  (i) sells, transfers, distributes, dispenses, 
                brokers, manages, or otherwise disposes of 
                confiscated property, or purchases, leases, 
                receives, possesses, obtains control of, 
                manages, uses, or otherwise acquires or holds 
                an interest in confiscated property,
                  (ii) engages in a commercial activity using 
                or otherwise benefiting from confiscated 
                property, or (iii) causes, directs, 
                participates in, or profits from, trafficking 
                (as described in clause (i) or (ii)) by another 
                person, or otherwise engages in trafficking (as 
                described in clause (i) or (ii)) through 
                another person, without the authorization of 
                any United States national who holds a claim to 
                the property.
          (B) The term ``traffics'' does not include--
                  (i) the delivery of international 
                telecommunication signals to Cuba;
                  (ii) the trading or holding of securities 
                publicly traded or held, unless the trading is 
                with or by a person determined by the Secretary 
                of the Treasury to be a specially designated 
                national;
                  (iii) transactions and uses of property 
                incident to lawful travel to Cuba, to the 
                extent that such transactions and uses of 
                property are necessary to the conduct of such 
                travel; or
                  (iv) transactions and uses of property by a 
                person who is both a citizen of Cuba and a 
                resident of Cuba, and who is not an official of 
                the Cuban Government or the ruling political 
                party in Cuba.
          (14) Transition government in cuba.--The term 
        ``transition government in Cuba'' means a government 
        that the President determines is a transition 
        government consistent with the requirements and factors 
        set forth in section 205.
          (15) United states national.--The term ``United 
        States national'' means--
                  (A) any United States citizen; or
                  (B) any other legal entity which is organized 
                under the laws of the United States, or of any 
                State, the District of Columbia, or any 
                commonwealth, territory, or possession of the 
                United States, and which has its principal 
                place of business in the United States.

SEC. 5.\5\ SEVERABILITY.

    If any provision of this Act or the amendments made by this 
Act or the application thereof to any person or circumstance is 
held invalid, the remainder of this Act, the amendments made by 
this Act, or the application thereof to other persons not 
similarly situated or to other circumstances shall not be 
affected by such invalidation.
---------------------------------------------------------------------------
    \5\ 22 U.S.C. 6024.
---------------------------------------------------------------------------

   TITLE I--STRENGTHENING INTERNATIONAL SANCTIONS AGAINST THE CASTRO 
                               GOVERNMENT

SEC. 101.\6\ STATEMENT OF POLICY.

    It is the sense of the Congress that--
---------------------------------------------------------------------------
    \6\ 22 U.S.C. 6031.
---------------------------------------------------------------------------
          (1) the acts of the Castro government, including its 
        massive, systematic, and extraordinary violations of 
        human rights, are a threat to international peace;
          (2) the President should advocate, and should 
        instruct the United States Permanent Representative to 
        the United Nations to propose and seek within the 
        Security Council, a mandatory international embargo 
        against the totalitarian Cuban Government pursuant to 
        chapter VII of the Charter of the United Nations, 
        employing efforts similar to consultations conducted by 
        United States representatives with respect to Haiti;
          (3) any resumption of efforts by any independent 
        state of the former Soviet Union to make operational 
        any nuclear facilities in Cuba, and any continuation of 
        intelligence activities by such a state from Cuba that 
        are targeted at the United States and its citizens will 
        have a detrimental impact on United States assistance 
        to such state; and
          (4) in view of the threat to the national security 
        posed by the operation of any nuclear facility, and the 
        Castro government's continuing blackmail to unleash 
        another wave of Cuban refugees fleeing from Castro's 
        oppression, most of whom find their way to United 
        States shores, further depleting limited humanitarian 
        and other resources of the United States, the President 
        should do all in his power to make it clear to the 
        Cuban Government that--
                  (A) the completion and operation of any 
                nuclear power facility, or
                  (B) any further political manipulation of the 
                desire of Cubans to escape that results in mass 
                migration to the United States,
        will be considered an act of aggression which will be 
        met with an appropriate response in order to maintain 
        the security of the national borders of the United 
        States and the health and safety of the American 
        people.

SEC. 102.\7\ ENFORCEMENT OF THE ECONOMIC EMBARGO OF CUBA.

    (a) Policy.--
---------------------------------------------------------------------------
    \7\ 22 U.S.C. 6032.
---------------------------------------------------------------------------
          (1) Restrictions by other countries.--The Congress 
        hereby reaffirms section 1704(a) of the Cuban Democracy 
        Act of 1992, which states that the President should 
        encourage foreign countries to restrict trade and 
        credit relations with Cuba in a manner consistent with 
        the purposes of that Act.
          (2) Sanctions on other countries.--The Congress 
        further urges the President to take immediate steps to 
        apply the sanctions described in section 1704(b)(1) of 
        that Act against countries assisting Cuba.
    (b) Diplomatic Efforts.--The Secretary of State should 
ensure that United States diplomatic personnel abroad 
understand and, in their contacts with foreign officials, are 
communicating the reasons for the United States economic 
embargo of Cuba, and are urging foreign governments to 
cooperate more effectively with the embargo.
    (c) Existing Regulations.--The President shall instruct the 
Secretary of the Treasury and the Attorney General to enforce 
fully the Cuban Assets Control Regulations set forth in part 
515 of title 31, Code of Federal Regulations.
    (d) \8\ Trading With the Enemy Act.--* * *
---------------------------------------------------------------------------
    \8\ Subsec. (d) amended sec. 16 of the Trading With the Enemy Act.
---------------------------------------------------------------------------
    (e) Denial of Visas to Certain Cuban Nationals.--It is the 
sense of the Congress that the President should instruct the 
Secretary of State and the Attorney General to enforce fully 
existing regulations to deny visas to Cuban nationals 
considered by the Secretary of State to be officers or 
employees of the Cuban Government or of the Communist Party of 
Cuba.
    (f) \9\ Coverage of Debt-for-Equity Swaps by Economic 
Embargo of Cuba.--Section 1704(b)(2) of the Cuban Democracy Act 
of 1992 (22 U.S.C. 6003(b)(2)) is amended--* * *
---------------------------------------------------------------------------
    \9\ Subsecs. (f) and (g) amended secs. 1704(b)(2) and 1705, 
respectively, of the Cuban Democracy Act of 1992.
---------------------------------------------------------------------------
    (g) \9\ Telecommunications Services.--Section 1705(e) of 
the Cuban Democracy Act of 1992 (22 U.S.C. 6004(e)) is amended 
* * *
    (h) Codification of Economic Embargo.--The economic embargo 
of Cuba, as in effect on March 1, 1996, including all 
restrictions under part 515 of title 31, Code of Federal 
Regulations, shall be in effect upon the enactment of this Act, 
and shall remain in effect, subject to section 204 of this Act.

SEC. 103.\10\ PROHIBITION AGAINST INDIRECT FINANCING OF CUBA.

    (a) Prohibition.--Notwithstanding any other provision of 
law, no loan, credit, or other financing may be extended 
knowingly by a United States national, a permanent resident 
alien, or a United States agency to any person for the purpose 
of financing transactions involving any confiscated property 
the claim to which is owned by a United States national as of 
the date of the enactment of this Act, except for financing by 
the United States national owning such claim for a transaction 
permitted under United States law.
---------------------------------------------------------------------------
    \10\ 22 U.S.C. 6033.
---------------------------------------------------------------------------
    (b) Suspension and Termination of Prohibition.--
          (1) Suspension.--The President is authorized to 
        suspend the prohibition contained in subsection (a) 
        upon a determination made under section 203(c)(1) that 
        a transition government in Cuba is in power.
          (2) Termination.--The prohibition contained in 
        subsection (a) shall cease to apply on the date on 
        which the economic embargo of Cuba terminates as 
        provided in section 204.
    (c) Penalties.--Violations of subsection (a) shall be 
punishable by such civil penalties as are applicable to 
violations of the Cuban Assets Control Regulations set forth in 
part 515 of title 31, Code of Federal Regulations.
    (d) Definitions.--As used in this section--
          (1) the term ``permanent resident alien'' means an 
        alien lawfully admitted for permanent residence into 
        the United States; and
          (2) the term ``United States agency'' has the meaning 
        given the term ``agency'' in section 551(1) of title 5, 
        United States Code.

SEC. 104.\11\ UNITED STATES OPPOSITION TO CUBAN MEMBERSHIP IN 
                    INTERNATIONAL FINANCIAL INSTITUTIONS.

    (a) Continued Opposition to Cuban Membership in 
International Financial Institutions.--
---------------------------------------------------------------------------
    \11\ 22 U.S.C. 6034.
---------------------------------------------------------------------------
          (1) In general.--Except as provided in paragraph (2), 
        the Secretary of the Treasury shall instruct the United 
        States executive director of each international 
        financial institution to use the voice and vote of the 
        United States to oppose the admission of Cuba as a 
        member of such institution until the President submits 
        a determination under section 203(c)(3) that a 
        democratically elected government in Cuba is in power.
          (2) Transition government.--Once the President 
        submits a determination under section 203(c)(1) that a 
        transition government in Cuba is in power--
                  (A) the President is encouraged to take steps 
                to support the processing of Cuba's application 
                for membership in any international financial 
                institution, subject to the membership taking 
                effect after a democratically elected 
                government in Cuba is in power, and
                  (B) the Secretary of the Treasury is 
                authorized to instruct the United States 
                executive director of each international 
                financial institution to support loans or other 
                assistance to Cuba only to the extent that such 
                loans or assistance contribute to a stable 
                foundation for a democratically elected 
                government in Cuba.
    (b) Reduction in United States Payments to International 
Financial Institutions.--If any international financial 
institution approves a loan or other assistance to the Cuban 
Government over the opposition of the United States, then the 
Secretary of the Treasury shall withhold from payment to such 
institution an amount equal to the amount of the loan or other 
assistance, with respect to either of the following types of 
payment:
          (1) The paid-in portion of the increase in capital 
        stock of the institution.
          (2) The callable portion of the increase in capital 
        stock of the institution.
    (c) Definition.--For purposes of this section, the term 
``international financial institution'' means the International 
Monetary Fund, the International Bank for Reconstruction and 
Development, the International Development Association, the 
International Finance Corporation, the Multilateral Investment 
Guaranty Agency, and the Inter-American Development Bank.

SEC. 105.\12\ UNITED STATES OPPOSITION TO TERMINATION OF THE SUSPENSION 
                    OF THE CUBAN GOVERNMENT FROM PARTICIPATION IN THE 
                    ORGANIZATION OF AMERICAN STATES.

    The President should instruct the United States Permanent 
Representative to the Organization of American States to oppose 
and vote against any termination of the suspension of the Cuban 
Government from participation in the Organization until the 
President determines under section 203(c)(3) that a 
democratically elected government in Cuba is in power.
---------------------------------------------------------------------------
    \12\ 22 U.S.C. 6035.
---------------------------------------------------------------------------

SEC. 106.\13\ ASSISTANCE BY THE INDEPENDENT STATES OF THE FORMER SOVIET 
                    UNION FOR THE CUBAN GOVERNMENT.

    (a) Reporting Requirement.--Not later than 90 days after 
the date of the enactment of this Act, the President shall 
submit to the appropriate congressional committees a report 
detailing progress toward the withdrawal of personnel of any 
independent state of the former Soviet Union (within the 
meaning of section 3 of the FREEDOM Support Act (22 U.S.C. 
5801)), including advisers, technicians, and military 
personnel, from the Cienfuegos nuclear facility in Cuba.
---------------------------------------------------------------------------
    \13\ 22 U.S.C. 6036. For text of the Foreign Assistance Act as 
amended by subsecs. (b), (c), and (d)(2) of this section, see 
Legislation on Foreign Relations Through 2002, vol. I-A.
---------------------------------------------------------------------------
    (b)-(c) * * *
    (d) Facilities at Lourdes, Cuba.--
          (1) Disapproval of credits.--The Congress expresses 
        its strong disapproval of the extension by Russia of 
        credits equivalent to $200,000,000 in support of the 
        intelligence facility at Lourdes, Cuba, in November 
        1994.
          (2) Reduction in assistance.--Section 498A of the 
        Foreign Assistance Act of 1961 (22 U.S.C. 2295a) is 
        amended * * *

SEC. 107.\14\ TELEVISION BROADCASTING TO CUBA.

    (a) Conversion to UHF.--The Director of the International 
Broadcasting Bureau \15\ shall implement a conversion of 
television broadcasting to Cuba under the Television Marti 
Service to ultra high frequency (UHF) broadcasting.
---------------------------------------------------------------------------
    \14\ 22 U.S.C. 6037.
    \15\ Sec. 1335(r) of Public Law 105-277 (112 Stat. 2681-790) 
amended sec. 107 by striking out ``Director of the United States 
Information Agency'' where it appeared, and inserting in lieu thereof 
``Director of the International Broadcasting Bureau''.
---------------------------------------------------------------------------
    (b) Periodic Reports.--Not later than 45 days after the 
date of the enactment of this Act, and every three months 
thereafter until the conversion described in subsection (a) is 
fully implemented, the Director of the International 
Broadcasting Bureau \15\ shall submit a report to the 
appropriate congressional committees on the progress made in 
carrying out subsection (a).
    (c) Termination of Broadcasting Authorities.--Upon 
transmittal of a determination under section 203(c)(3), the 
Television Broadcasting to Cuba Act (22 U.S.C. 1465aa and 
following) and the Radio Broadcasting to Cuba Act (22 U.S.C. 
1465 and following) are repealed.

SEC. 108.\16\ REPORTS ON COMMERCE WITH, AND ASSISTANCE TO, CUBA FROM 
                    OTHER FOREIGN COUNTRIES.

    (a) Reports Required.--Not later than 90 days after the 
date of the enactment of this Act, and by January 1 of each 
year thereafter until the President submits a determination 
under section 203(c)(1), the President shall submit a report to 
the appropriate congressional committees on commerce with, and 
assistance to, Cuba from other foreign countries during the 
preceding 12-month period.
---------------------------------------------------------------------------
    \16\ 22 U.S.C. 6038.
---------------------------------------------------------------------------
    (b) Contents of Reports.--Each report required by 
subsection (a) shall, for the period covered by the report, 
contain the following, to the extent such information is 
available:
          (1) A description of all bilateral assistance 
        provided to Cuba by other foreign countries, including 
        humanitarian assistance.
          (2) A description of Cuba's commerce with foreign 
        countries, including an identification of Cuba's 
        trading partners and the extent of such trade.
          (3) A description of the joint ventures completed, or 
        under consideration, by foreign nationals and business 
        firms involving facilities in Cuba, including an 
        identification of the location of the facilities 
        involved and a description of the terms of agreement of 
        the joint ventures and the names of the parties that 
        are involved.
          (4) A determination as to whether or not any of the 
        facilities described in paragraph (3) is the subject of 
        a claim against Cuba by a United States national.
          (5) A determination of the amount of debt of the 
        Cuban Government that is owed to each foreign country, 
        including--
                  (A) the amount of debt exchanged, forgiven, 
                or reduced under the terms of each investment 
                or operation in Cuba involving foreign 
                nationals; and
                  (B) the amount of debt owed the foreign 
                country that has been exchanged, forgiven, or 
                reduced in return for a grant by the Cuban 
                Government of an equity interest in a property, 
                investment, or operation of the Cuban 
                Government or of a Cuban national.
          (6) A description of the steps taken to assure that 
        raw materials and semifinished or finished goods 
        produced by facilities in Cuba involving foreign 
        nationals do not enter the United States market, either 
        directly or through third countries or parties.
          (7) An identification of countries that purchase, or 
        have purchased, arms or military supplies from Cuba or 
        that otherwise have entered into agreements with Cuba 
        that have a military application, including--
                  (A) a description of the military supplies, 
                equipment, or other material sold, bartered, or 
                exchanged between Cuba and such countries,
                  (B) a listing of the goods, services, 
                credits, or other consideration received by 
                Cuba in exchange for military supplies, 
                equipment, or material, and
                  (C) the terms or conditions of any such 
                agreement.

SEC. 109.\17\ AUTHORIZATION OF SUPPORT FOR DEMOCRATIC AND HUMAN RIGHTS 
                    GROUPS AND INTERNATIONAL OBSERVERS.

    (a) Authorization.--Notwithstanding any other provision of 
law (including section 102 of this Act), except for section 
634A of the Foreign Assistance Act of 1961 (22 U.S.C. 2394-1) 
and comparable notification requirements contained in any Act 
making appropriations for foreign operations, export financing, 
and related programs, the President is authorized to furnish 
assistance and provide other support for individuals and 
independent nongovernmental organizations to support democracy-
building efforts for Cuba, including the following:
---------------------------------------------------------------------------
    \17\ 22 U.S.C. 6039.
---------------------------------------------------------------------------
          (1) Published and informational matter, such as 
        books, videos, and cassettes, on transitions to 
        democracy, human rights, and market economies, to be 
        made available to independent democratic groups in 
        Cuba.
          (2) Humanitarian assistance to victims of political 
        repression, and their families.
          (3) Support for democratic and human rights groups in 
        Cuba.
          (4) Support for visits and permanent deployment of 
        independent international human rights monitors in 
        Cuba.
    (b) OAS Emergency Fund.--
          (1) For support of human rights and elections.--The 
        President shall take the necessary steps to encourage 
        the Organization of American States to create a special 
        emergency fund for the explicit purpose of deploying 
        human rights observers, election support, and election 
        observation in Cuba.
          (2) Action of other member states.--The President 
        should instruct the United States Permanent 
        Representative to the Organization of American States 
        to encourage other member states of the Organization to 
        join in calling for the Cuban Government to allow the 
        immediate deployment of independent human rights 
        monitors of the Organization throughout Cuba and on-
        site visits to Cuba by the Inter-American Commission on 
        Human Rights.
          (3) Voluntary contributions for fund.--
        Notwithstanding section 307 of the Foreign Assistance 
        Act of 1961 (22 U.S.C. 2227) or any other provision of 
        law limiting the United States proportionate share of 
        assistance to Cuba by any international organization, 
        the President should provide not less than $5,000,000 
        of the voluntary contributions of the United States to 
        the Organization of American States solely for the 
        purposes of the special fund referred to in paragraph 
        (1).
    (c) Denial of Funds to the Cuban Government.--In 
implementing this section, the President shall take all 
necessary steps to ensure that no funds or other assistance is 
provided to the Cuban Government.

SEC. 110.\18\ IMPORTATION SAFEGUARD AGAINST CERTAIN CUBAN PRODUCTS.

    (a) Prohibition on Import of and Dealings in Cuban 
Products.--The Congress notes that section 515.204 of title 31, 
Code of Federal Regulations, prohibits the entry of, and 
dealings outside the United States in, merchandise that--
---------------------------------------------------------------------------
    \18\ 22 U.S.C. 6040.
---------------------------------------------------------------------------
          (1) is of Cuban origin;
          (2) is or has been located in or transported from or 
        through Cuba; or
          (3) is made or derived in whole or in part of any 
        article which is the growth, produce, or manufacture of 
        Cuba.
    (b) Effect of NAFTA.--The Congress notes that United States 
accession to the North American Free Trade Agreement does not 
modify or alter the United States sanctions against Cuba. The 
statement of administrative action accompanying that trade 
agreement specifically states the following:
          (1) ``The NAFTA rules of origin will not in any way 
        diminish the Cuban sanctions program. . . . Nothing in 
        the NAFTA would operate to override this 
        prohibition.''.
          (2) ``Article 309(3) [of the NAFTA] permits the 
        United States to ensure that Cuban products or goods 
        made from Cuban materials are not imported into the 
        United States from Mexico or Canada and that United 
        States products are not exported to Cuba through those 
        countries.''.
    (c) Restriction of Sugar Imports.--The Congress notes that 
section 902(c) of the Food Security Act of 1985 (Public Law 99-
198 requires the President not to allocate any of the sugar 
import quota to a country that is a net importer of sugar 
unless appropriate officials of that country verify to the 
President that the country does not import for reexport to the 
United States any sugar produced in Cuba.
    (d) Assurance Regarding Sugar Products.--Protection of 
essential security interests of the United States requires 
assurances that sugar products that are entered, or withdrawn 
from warehouse for consumption, into the customs territory of 
the United States are not products of Cuba.

SEC. 111.\19\ WITHHOLDING OF FOREIGN ASSISTANCE FROM COUNTRIES 
                    SUPPORTING JURAGUA NUCLEAR PLANT IN CUBA.

    (a) Findings.--The Congress makes the following findings:
---------------------------------------------------------------------------
    \19\ 22 U.S.C. 6041.
---------------------------------------------------------------------------
          (1) President Clinton stated in April 1993 that the 
        United States opposed the construction of the Juragua 
        nuclear power plant because of the concerns of the 
        United States about Cuba's ability to ensure the safe 
        operation of the facility and because of Cuba's refusal 
        to sign the Nuclear Non-Proliferation Treaty or ratify 
        the Treaty of Tlatelolco.
          (2) Cuba has not signed the Treaty on the Non-
        Proliferation of Nuclear Weapons or ratified the Treaty 
        of Tlatelolco, the latter of which establishes Latin 
        America and the Caribbean as a nuclear weapons-free 
        zone.
          (3) The State Department, the Nuclear Regulatory 
        Commission, and the Department of Energy have expressed 
        concerns about the construction and operation of Cuba's 
        nuclear reactors.
          (4) In a September 1992 report to the Congress, the 
        General Accounting Office outlined concerns among 
        nuclear energy experts about deficiencies in the 
        nuclear plant project in Juragua, near Cienfuegos, 
        Cuba, including--
                  (A) a lack in Cuba of a nuclear regulatory 
                structure;
                  (B) the absence in Cuba of an adequate 
                infrastructure to ensure the plant's safe 
                operation and requisite maintenance;
                  (C) the inadequacy of training of plant 
                operators;
                  (D) reports by a former technician from Cuba 
                who, by examining with x-rays weld sites 
                believed to be part of the auxiliary plumbing 
                system for the plant, found that 10 to 15 
                percent of those sites were defective;
                  (E) since September 5, 1992, when 
                construction on the plant was halted, the 
                prolonged exposure to the elements, including 
                corrosive salt water vapor, of the primary 
                reactor components; and
                  (F) the possible inadequacy of the upper 
                portion of the reactors' dome retention 
                capability to withstand only 7 pounds of 
                pressure per square inch, given that normal 
                atmospheric pressure is 32 pounds per square 
                inch and United States reactors are designed to 
                accommodate pressures of 50 pounds per square 
                inch.
          (5) The United States Geological Survey claims that 
        it had difficulty determining answers to specific 
        questions regarding earthquake activity in the area 
        near Cienfuegos because the Cuban Government was not 
        forthcoming with information.
          (6) The Geological Survey has indicated that the 
        Caribbean plate, a geological formation near the south 
        coast of Cuba, may pose seismic risks to Cuba and the 
        site of the power plant, and may produce large to 
        moderate earthquakes.
          (7) On May 25, 1992, the Caribbean plate produced an 
        earthquake numbering 7.0 on the Richter scale.
          (8) According to a study by the National Oceanic and 
        Atmospheric Administration, summer winds could carry 
        radioactive pollutants from a nuclear accident at the 
        power plant throughout all of Florida and parts of the 
        States on the coast of the Gulf of Mexico as far as 
        Texas, and northern winds could carry the pollutants as 
        far northeast as Virginia and Washington, D.C.
          (9) The Cuban Government, under dictator Fidel 
        Castro, in 1962 advocated the Soviets' launching of 
        nuclear missiles to the United States, which 
        represented a direct and dangerous provocation of the 
        United States and brought the world to the brink of a 
        nuclear conflict.
          (10) Fidel Castro over the years has consistently 
        issued threats against the United States Government, 
        most recently that he would unleash another perilous 
        mass migration from Cuba upon the enactment of this 
        Act.
          (11) Despite the various concerns about the plant's 
        safety and operational problems, a feasibility study is 
        being conducted that would establish a support group to 
        include Russia, Cuba, and third countries with the 
        objective of completing and operating the plant.
    (b) Withholding of Foreign Assistance.--
          (1) In general.--Notwithstanding any other provision 
        of law, the President shall withhold from assistance 
        allocated, on or after the date of the enactment of 
        this Act, for any country an amount equal to the sum of 
        assistance and credits, if any, provided on or after 
        such date of enactment by that country or any entity in 
        that country in support of the completion of the Cuban 
        nuclear facility at Juragua, near Cienfuegos, Cuba.
          (2) Exceptions.--The requirement of paragraph (1) to 
        withhold assistance shall not apply with respect to--
                  (A) assistance to meet urgent humanitarian 
                needs, including disaster and refugee relief;
                  (B) democratic political reform or rule of 
                law activities;
                  (C) the creation of private sector or 
                nongovernmental organizations that are 
                independent of government control;
                  (D) the development of a free market economic 
                system;
                  (E) assistance for the purposes described in 
                the Cooperative Threat Reduction Act of 1993 
                (title XII of Public Law 103-160); or
                  (F) assistance under the secondary school 
                exchange program administered by the United 
                States Information Agency.
          (3) Definition.--As used in paragraph (1), the term 
        ``assistance'' means assistance under the Foreign 
        Assistance Act of 1961, credits, sales, guarantees of 
        extensions of credit, and other assistance under the 
        Arms Export Control Act, assistance under titles I and 
        III of the Agricultural Trade Development and 
        Assistance Act of 1954, assistance under the FREEDOM 
        Support Act, and any other program of assistance or 
        credits provided by the United States to other 
        countries under other provisions of law.

SEC. 112.\20\ REINSTITUTION OF FAMILY REMITTANCES AND TRAVEL TO CUBA.

    It is the sense of the Congress that the President should--
---------------------------------------------------------------------------
    \20\ 22 U.S.C. 6042.
---------------------------------------------------------------------------
          (1)(A) before considering the reinstitution of 
        general licenses for family remittances to Cuba, insist 
        that, prior to such reinstitution, the Cuban Government 
        permit the unfettered operation of small businesses 
        fully empowered with the right to hire others to whom 
        they may pay wages and to buy materials necessary in 
        the operation of the businesses, and with such other 
        authority and freedom as are required to foster the 
        operation of small businesses throughout Cuba; and
          (B) if licenses described in subparagraph (A) are 
        reinstituted, require a specific license for 
        remittances described in subparagraph (A) in amounts of 
        more than $500; and
          (2) before considering the reinstitution of general 
        licenses for travel to Cuba by individuals resident in 
        the United States who are family members of Cuban 
        nationals who are resident in Cuba, insist on such 
        actions by the Cuban Government as abrogation of the 
        sanction for departure from Cuba by refugees, release 
        of political prisoners, recognition of the right of 
        association, and other fundamental freedoms.

SEC. 113.\21\ EXPULSION OF CRIMINALS FROM CUBA.

    The President shall instruct all United States Government 
officials who engage in official contacts with the Cuban 
Government to raise on a regular basis the extradition of or 
rendering to the United States all persons residing in Cuba who 
are sought by the United States Department of Justice for 
crimes committed in the United States.
---------------------------------------------------------------------------
    \21\ 22 U.S.C. 6043.
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SEC. 114.\22\ NEWS BUREAUS IN CUBA.

    (a) Establishment of News Bureaus.--The President is 
authorized to establish and implement an exchange of news 
bureaus between the United States and Cuba, if the exchange 
meets the following conditions:
---------------------------------------------------------------------------
    \22\ 22 U.S.C. 6044.
---------------------------------------------------------------------------
          (1) The exchange is fully reciprocal.
          (2) The Cuban Government agrees not to interfere with 
        the establishment of news bureaus or with the movement 
        in Cuba of journalists of any United States-based news 
        organizations, including Radio Marti and Television 
        Marti.
          (3) The Cuban Government agrees not to interfere with 
        decisions of United States-based news organizations 
        with respect to individuals assigned to work as 
        journalists in their news bureaus in Cuba.
          (4) The Department of the Treasury is able to ensure 
        that only accredited journalists regularly employed 
        with a news gathering organization travel to Cuba under 
        this subsection.
          (5) The Cuban Government agrees not to interfere with 
        the transmission of telecommunications signals of news 
        bureaus or with the distribution within Cuba of 
        publications of any United States-based news 
        organization that has a news bureau in Cuba.
    (b) Assurance Against Espionage.--In implementing this 
section, the President shall take all necessary steps to ensure 
the safety and security of the United States against espionage 
by Cuban journalists it believes to be working for the 
intelligence agencies of the Cuban Government.
    (c) Fully Reciprocal.--As used in subsection (a)(1), the 
term ``fully reciprocal'' means that all news services, news 
organizations, and broadcasting services, including such 
services or organizations that receive financing, assistance, 
or other support from a governmental or official source, are 
permitted to establish and operate a news bureau in the United 
States and Cuba.

SEC. 115.\23\ EFFECT OF ACT ON LAWFUL UNITED STATES GOVERNMENT 
                    ACTIVITIES.

    Nothing in this Act prohibits any lawfully authorized 
investigative, protective, or intelligence activity of a law 
enforcement agency, or of an intelligence agency, of the United 
States.
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    \23\ 22 U.S.C. 6045.
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SEC. 116.\24\ CONDEMNATION OF CUBAN ATTACK ON AMERICAN AIRCRAFT.

    (a) Findings.--The Congress makes the following findings:
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    \24\ 22 U.S.C. 6046.
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          (1) Brothers to the Rescue is a Miami-based 
        humanitarian organization engaged in searching for and 
        aiding Cuban refugees in the Straits of Florida, and 
        was engaged in such a mission on Saturday, February 24, 
        1996.
          (2) The members of Brothers to the Rescue were flying 
        unarmed and defenseless planes in a mission identical 
        to hundreds they have flown since 1991 and posed no 
        threat whatsoever to the Cuban Government, the Cuban 
        military, or the Cuban people.
          (3) Statements by the Cuban Government that Brothers 
        to the Rescue has engaged in covert operations, bombing 
        campaigns, and commando operations against the 
        Government of Cuba have no basis in fact.
          (4) The Brothers to the Rescue aircraft notified air 
        traffic controllers as to their flight plans, which 
        would take them south of the 24th parallel and close to 
        Cuban airspace.
          (5) International law provides a nation with airspace 
        over the 12-mile territorial sea.
          (6) The response of Fidel Castro's dictatorship to 
        Saturday's afternoon flight was to scramble 2 fighter 
        jets from a Havana airfield.
          (7) At approximately 3:24 p.m., the pilot of one of 
        the Cuban MiGs received permission and proceeded to 
        shoot down one Brothers to the Rescue airplane more 
        than 6 miles north of the Cuban exclusion zone, or 18 
        miles from the Cuban coast.
          (8) Approximately 7 minutes later, the pilot of the 
        Cuban fighter jet received permission and proceeded to 
        shoot down the second Brothers to the Rescue airplane 
        almost 18.5 miles north of the Cuban exclusion zone, or 
        30.5 miles from the Cuban coast.
          (9) The Cuban dictatorship, if it truly felt 
        threatened by the flight of these unarmed aircraft, 
        could have and should have pursued other peaceful 
        options as required by international law.
          (10) The response chosen by Fidel Castro, the use of 
        lethal force, was completely inappropriate to the 
        situation presented to the Cuban Government, making 
        such actions a blatant and barbaric violation of 
        international law and tantamount to cold-blooded 
        murder.
          (11) There were no survivors of the attack on these 
        aircraft, and the crew of a third aircraft managed to 
        escape this criminal attack by Castro's Air Force.
          (12) The crew members of the destroyed planes, Pablo 
        Morales, Carlos Costa, Mario de la Pena, and Armando 
        Alejandre, were United States citizens from Miami 
        flying with Brothers to the Rescue on a voluntary 
        basis.
          (13) It is incumbent upon the United States 
        Government to protect the lives and livelihoods of 
        United States citizens as well as the rights of free 
        passage and humanitarian missions.
          (14) This premeditated act took place after a week-
        long wave of repression by the Cuban Government against 
        Concilio Cubano, an umbrella organization of human 
        rights activists, dissidents, independent economists, 
        and independent journalists, among others.
          (15) The wave of repression against Concilio Cubano, 
        whose membership is committed to peaceful democratic 
        change in Cuba, included arrests, strip searches, house 
        arrests, and in some cases sentences to more than 1 
        year in jail.
    (b) Statements by the Congress.--(1) The Congress strongly 
condemns the act of terrorism by the Castro regime in shooting 
down the Brothers to the Rescue aircraft on February 24, 1996.
    (2) The Congress extends its condolences to the families of 
Pablo Morales, Carlos Costa, Mario de la Pena, and Armando 
Alejandre, the victims of the attack.
    (3) The Congress urges the President to seek, in the 
International Court of Justice, indictment for this act of 
terrorism by Fidel Castro.

          TITLE II--ASSISTANCE TO A FREE AND INDEPENDENT CUBA

SEC. 201.\25\ POLICY TOWARD A TRANSITION GOVERNMENT AND A 
                    DEMOCRATICALLY ELECTED GOVERNMENT IN CUBA.

    The policy of the United States is as follows:
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    \25\ 22 U.S.C. 6061.
---------------------------------------------------------------------------
          (1) To support the self-determination of the Cuban 
        people.
          (2) To recognize that the self-determination of the 
        Cuban people is a sovereign and national right of the 
        citizens of Cuba which must be exercised free of 
        interference by the government of any other country.
          (3) To encourage the Cuban people to empower 
        themselves with a government which reflects the self-
        determination of the Cuban people.
          (4) To recognize the potential for a difficult 
        transition from the current regime in Cuba that may 
        result from the initiatives taken by the Cuban people 
        for self-determination in response to the intransigence 
        of the Castro regime in not allowing any substantive 
        political or economic reforms, and to be prepared to 
        provide the Cuban people with humanitarian, 
        developmental, and other economic assistance.
          (5) In solidarity with the Cuban people, to provide 
        appropriate forms of assistance--
                  (A) to a transition government in Cuba;
                  (B) to facilitate the rapid movement from 
                such a transition government to a 
                democratically elected government in Cuba that 
                results from an expression of the self-
                determination of the Cuban people; and
                  (C) to support such a democratically elected 
                government.
          (6) Through such assistance, to facilitate a peaceful 
        transition to representative democracy and a market 
        economy in Cuba and to consolidate democracy in Cuba.
          (7) To deliver such assistance to the Cuban people 
        only through a transition government in Cuba, through a 
        democratically elected government in Cuba, through 
        United States Government organizations, or through 
        United States, international, or indigenous 
        nongovernmental organizations.
          (8) To encourage other countries and multilateral 
        organizations to provide similar assistance, and to 
        work cooperatively with such countries and 
        organizations to coordinate such assistance.
          (9) To ensure that appropriate assistance is rapidly 
        provided and distributed to the people of Cuba upon the 
        institution of a transition government in Cuba.
          (10) Not to provide favorable treatment or influence 
        on behalf of any individual or entity in the selection 
        by the Cuban people of their future government.
          (11) To assist a transition government in Cuba and a 
        democratically elected government in Cuba to prepare 
        the Cuban military forces for an appropriate role in a 
        democracy.
          (12) To be prepared to enter into negotiations with a 
        democratically elected government in Cuba either to 
        return the United States Naval Base at Guantanamo to 
        Cuba or to renegotiate the present agreement under 
        mutually agreeable terms.
          (13) To consider the restoration of diplomatic 
        recognition and support the reintegration of the Cuban 
        Government into Inter-American organizations when the 
        President determines that there exists a democratically 
        elected government in Cuba.
          (14) To take steps to remove the economic embargo of 
        Cuba when the President determines that a transition to 
        a democratically elected government in Cuba has begun.
          (15) To assist a democratically elected government in 
        Cuba to strengthen and stabilize its national currency.
          (16) To pursue trade relations with a free, 
        democratic, and independent Cuba.

SEC. 202.\26\ ASSISTANCE FOR THE CUBAN PEOPLE.

    (a) Authorization.--
          (1) In general.--The President shall develop a plan 
        for providing economic assistance to Cuba at such time 
        as the President determines that a transition 
        government or a democratically elected government in 
        Cuba (as determined under section 203(c)) is in power.
---------------------------------------------------------------------------
    \26\ 22 U.S.C. 6062.
---------------------------------------------------------------------------
          (2) Effect on other laws.--Assistance may be provided 
        under this section subject to an authorization of 
        appropriations and subject to the availability of 
        appropriations.
    (b) Plan for Assistance.--
          (1) Development of plan.--The President shall develop 
        a plan for providing assistance under this section--
                  (A) to Cuba when a transition government in 
                Cuba is in power; and
                  (B) to Cuba when a democratically elected 
                government in Cuba is in power.
          (2) Types of assistance.--Assistance under the plan 
        developed under paragraph (1) may, subject to an 
        authorization of appropriations and subject to the 
        availability of appropriations, include the following:
                  (A) Transition government.--(i) Except as 
                provided in clause (ii), assistance to Cuba 
                under a transition government shall, subject to 
                an authorization of appropriations and subject 
                to the availability of appropriations, be 
                limited to--
                          (I) such food, medicine, medical 
                        supplies and equipment, and assistance 
                        to meet emergency energy needs, as is 
                        necessary to meet the basic human needs 
                        of the Cuban people; and
                          (II) assistance described in 
                        subparagraph (C).
                  (ii) Assistance in addition to assistance 
                under clause (i) may be provided, but only 
                after the President certifies to the 
                appropriate congressional committees, in 
                accordance with procedures applicable to 
                reprogramming notifications under section 634A 
                of the Foreign Assistance Act of 1961, that 
                such assistance is essential to the successful 
                completion of the transition to democracy.
                  (iii) Only after a transition government in 
                Cuba is in power, freedom of individuals to 
                travel to visit their relatives without any 
                restrictions shall be permitted.
                  (B) Democratically elected government.--
                Assistance to a democratically elected 
                government in Cuba may, subject to an 
                authorization of appropriations and subject to 
                the availability of appropriations, consist of 
                economic assistance in addition to assistance 
                available under subparagraph (A), together with 
                assistance described in subparagraph (C). Such 
                economic assistance may include--
                          (i) assistance under chapter 1 of 
                        part I (relating to development 
                        assistance), and chapter 4 of part II 
                        (relating to the economic support 
                        fund), of the Foreign Assistance Act of 
                        1961;
                          (ii) assistance under the 
                        Agricultural Trade Development and 
                        Assistance Act of 1954;
                          (iii) financing, guarantees, and 
                        other forms of assistance provided by 
                        the Export-Import Bank of the United 
                        States;
                          (iv) financial support provided by 
                        the Overseas Private Investment 
                        Corporation for investment projects in 
                        Cuba;
                          (v) assistance provided by the Trade 
                        and Development Agency;
                          (vi) Peace Corps programs; and
                          (vii) other appropriate assistance to 
                        carry out the policy of section 201.
                  (C) Military adjustment assistance.--
                Assistance to a transition government in Cuba 
                and to a democratically elected government in 
                Cuba shall also include assistance in preparing 
                the Cuban military forces to adjust to an 
                appropriate role in a democracy.
    (c) Strategy for Distribution.--The plan developed under 
subsection (b) shall include a strategy for distributing 
assistance under the plan.
    (d) Distribution.--Assistance under the plan developed 
under subsection (b) shall be provided through United States 
Government organizations and nongovernmental organizations and 
private and voluntary organizations, whether within or outside 
the United States, including humanitarian, educational, labor, 
and private sector organizations.
    (e) International Efforts.--The President shall take the 
necessary steps--
          (1) to seek to obtain the agreement of other 
        countries and of international financial institutions 
        and multilateral organizations to provide to a 
        transition government in Cuba, and to a democratically 
        elected government in Cuba, assistance comparable to 
        that provided by the United States under this Act; and
          (2) to work with such countries, institutions, and 
        organizations to coordinate all such assistance 
        programs.
    (f) Communication With the Cuban People.--The President 
shall take the necessary steps to communicate to the Cuban 
people the plan for assistance developed under this section.
    (g) \27\ Report to Congress.--Not later than 180 days after 
the date of the enactment of this Act, the President shall 
transmit to the appropriate congressional committees a report 
describing in detail the plan developed under this section.
---------------------------------------------------------------------------
    \27\ The President submitted ``Support for a Democratic Transition 
in Cuba: Report to the Congress,'' to the House Committees on 
Appropriations and International Relations, and the Senate Committees 
on Appropriations and Foreign Relations, on January 28, 1997.
---------------------------------------------------------------------------
    (h) Report on Trade and Investment Relations.--
          (1) Report to congress.--The President, following the 
        transmittal to the Congress of a determination under 
        section 203(c)(3) that a democratically elected 
        government in Cuba is in power, shall submit to the 
        Committee on Ways and Means of the House of 
        Representatives and the Committee on Finance of the 
        Senate and the appropriate congressional committees a 
        report that describes--
                  (A) acts, policies, and practices which 
                constitute significant barriers to, or 
                distortions of, United States trade in goods or 
                services or foreign direct investment with 
                respect to Cuba;
                  (B) policy objectives of the United States 
                regarding trade relations with a democratically 
                elected government in Cuba, and the reasons 
                therefor, including possible--
                          (i) reciprocal extension of 
                        nondiscriminatory trade treatment 
                        (most-favored-nation treatment);
                          (ii) designation of Cuba as a 
                        beneficiary developing country under 
                        title V of the Trade Act of 1974 
                        (relating to the Generalized System of 
                        Preferences) or as a beneficiary 
                        country under the Caribbean Basin 
                        Economic Recovery Act, and the 
                        implications of such designation with 
                        respect to trade with any other country 
                        that is such a beneficiary developing 
                        country or beneficiary country or is a 
                        party to the North American Free Trade 
                        Agreement; and
                          (iii) negotiations regarding free 
                        trade, including the accession of Cuba 
                        to the North American Free Trade 
                        Agreement;
                  (C) specific trade negotiating objectives of 
                the United States with respect to Cuba, 
                including the objectives described in section 
                108(b)(5) of the North American Free Trade 
                Agreement Implementation Act (19 U.S.C. 
                3317(b)(5)); and
                  (D) actions proposed or anticipated to be 
                undertaken, and any proposed legislation 
                necessary or appropriate, to achieve any of 
                such policy and negotiating objectives.
          (2) Consultation.--The President shall consult with 
        the Committee on Ways and Means of the House of 
        Representatives and the Committee on Finance of the 
        Senate and the appropriate congressional committees and 
        shall seek advice from the appropriate advisory 
        committees established under section 135 of the Trade 
        Act of 1974 regarding the policy and negotiating 
        objectives and the legislative proposals described in 
        paragraph (1).

SEC. 203.\28\ COORDINATION OF ASSISTANCE PROGRAM; IMPLEMENTATION AND 
                    REPORTS TO CONGRESS; REPROGRAMMING.

    (a) Coordinating Official.--The President shall designate a 
coordinating official who shall be responsible for--
---------------------------------------------------------------------------
    \28\ 22 U.S.C. 6063.
---------------------------------------------------------------------------
          (1) implementing the strategy for distributing 
        assistance described in section 202(b);
          (2) ensuring the speedy and efficient distribution of 
        such assistance; and
          (3) ensuring coordination among, and appropriate 
        oversight by, the agencies of the United States that 
        provide assistance described in section 202(b), 
        including resolving any disputes among such agencies.
    (b) United States-Cuba Council.--Upon making a 
determination under subsection (c)(3) that a democratically 
elected government in Cuba is in power, the President, after 
consultation with the coordinating official, is authorized to 
designate a United States-Cuba council--
          (1) to ensure coordination between the United States 
        Government and the private sector in responding to 
        change in Cuba, and in promoting market-based 
        development in Cuba; and
          (2) to establish periodic meetings between 
        representatives of the United States and Cuban private 
        sectors for the purpose of facilitating bilateral 
        trade.
    (c) Implementation of Plan; Reports to Congress.--
          (1) Implementation with respect to transition 
        government.--Upon making a determination that a 
        transition government in Cuba is in power, the 
        President shall transmit that determination to the 
        appropriate congressional committees and shall, subject 
        to an authorization of appropriations and subject to 
        the availability of appropriations, commence the 
        delivery and distribution of assistance to such 
        transition government under the plan developed under 
        section 202(b).
          (2) Reports to congress.--(A) The President shall 
        transmit to the appropriate congressional committees a 
        report setting forth the strategy for providing 
        assistance described in section 202(b)(2) (A) and (C) 
        to the transition government in Cuba under the plan of 
        assistance developed under section 202(b), the types of 
        such assistance, and the extent to which such 
        assistance has been distributed in accordance with the 
        plan.
          (B) The President shall transmit the report not later 
        than 90 days after making the determination referred to 
        in paragraph (1), except that the President shall 
        transmit the report in preliminary form not later than 
        15 days after making that determination.
          (3) Implementation with respect to democratically 
        elected government.--The President shall, upon 
        determining that a democratically elected government in 
        Cuba is in power, submit that determination to the 
        appropriate congressional committees and shall, subject 
        to an authorization of appropriations and subject to 
        the availability of appropriations, commence the 
        delivery and distribution of assistance to such 
        democratically elected government under the plan 
        developed under section 202(b).
          (4) Annual reports to congress.--Not later than 60 
        days after the end of each fiscal year, the President 
        shall transmit to the appropriate congressional 
        committees a report on the assistance provided under 
        the plan developed under section 202(b), including a 
        description of each type of assistance, the amounts 
        expended for such assistance, and a description of the 
        assistance to be provided under the plan in the current 
        fiscal year.
    (d) Reprogramming.--Any changes in the assistance to be 
provided under the plan developed under section 202(b) may not 
be made unless the President notifies the appropriate 
congressional committees at least 15 days in advance in 
accordance with the procedures applicable to reprogramming 
notifications under section 634A of the Foreign Assistance Act 
of 1961 (22 U.S.C. 2394-1).

SEC. 204.\29\ TERMINATION OF THE ECONOMIC EMBARGO OF CUBA.

    (a) Presidential Actions.--Upon submitting a determination 
to the appropriate congressional committees under section 
203(c)(1) that a transition government in Cuba is in power, the 
President, after consultation with the Congress, is authorized 
to take steps to suspend the economic embargo of Cuba and to 
suspend the right of action created in section 302 with respect 
to actions thereafter filed against the Cuban Government, to 
the extent that such steps contribute to a stable foundation 
for a democratically elected government in Cuba.
---------------------------------------------------------------------------
    \29\ 22 U.S.C. 6064.
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    (b) Suspension of Certain Provisions of Law.--In carrying 
out subsection (a), the President may suspend the enforcement 
of--
          (1) section 620(a) of the Foreign Assistance Act of 
        1961 (22 U.S.C. 2370(a));
          (2) section 620(f) of the Foreign Assistance Act of 
        1961 (22 U.S.C. 2370(f)) with respect to the ``Republic 
        of Cuba'';
          (3) sections 1704, 1705(d), and 1706 of the Cuban 
        Democracy Act of 1992 (22 U.S.C. 6003, 6004(d), and 
        6005);
          (4) section 902(c) of the Food Security Act of 1985; 
        and
          (5) the prohibitions on transactions described in 
        part 515 of title 31, Code of Federal Regulations.
    (c) Additional Presidential Actions.--Upon submitting a 
determination to the appropriate congressional committees under 
section 203(c)(3) that a democratically elected government in 
Cuba is in power, the President shall take steps to terminate 
the economic embargo of Cuba, including the restrictions under 
part 515 of title 31, Code of Federal Regulations.
    (d) Conforming Amendments.--On the date on which the 
President submits a determination under section 203(c)(3)--
          (1) section 620(a) of the Foreign Assistance Act of 
        1961 (22 U.S.C. 2370(a)) is repealed;
          (2) section 620(f) of the Foreign Assistance Act of 
        1961 (22 U.S.C. 2370(f)) is amended by striking 
        ``Republic of Cuba'';
          (3) sections 1704, 1705(d), and 1706 of the Cuban 
        Democracy Act of 1992 (22 U.S.C. 6003, 6004(d), and 
        6005) are repealed; and
          (4) section 902(c) of the Food Security Act of 1985 
        is repealed.\30\
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    \30\ 7 U.S.C. 1446g note.
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    (e) Review of Suspension of Economic Embargo.--
          (1) Review.--If the President takes action under 
        subsection (a) to suspend the economic embargo of Cuba, 
        the President shall immediately so notify the Congress. 
        The President shall report to the Congress no less 
        frequently than every 6 months thereafter, until he 
        submits a determination under section 203(c)(3) that a 
        democratically elected government in Cuba is in power, 
        on the progress being made by Cuba toward the 
        establishment of such a democratically elected 
        government. The action of the President under 
        subsection (a) shall cease to be effective upon the 
        enactment of a joint resolution described in paragraph 
        (2).
          (2) Joint resolutions.--For purposes of this 
        subsection, the term ``joint resolution'' means only a 
        joint resolution of the 2 Houses of Congress, the 
        matter after the resolving clause of which is as 
        follows: ``That the Congress disapproves the action of 
        the President under section 204(a) of the Cuban Liberty 
        and Democratic Solidarity (LIBERTAD) Act of 1996 to 
        suspend the economic embargo of Cuba, notice of which 
        was submitted to the Congress on ____.'', with the 
        blank space being filled with the appropriate date.
          (3) Referral to committees.--Joint resolutions 
        introduced in the House of Representatives shall be 
        referred to the Committee on International Relations 
        and joint resolutions introduced in the Senate shall be 
        referred to the Committee on Foreign Relations.
          (4) Procedures.--(A) Any joint resolution shall be 
        considered in the Senate in accordance with the 
        provisions of section 601(b) of the International 
        Security Assistance and Arms Export Control Act of 
        1976.
          (B) For the purpose of expediting the consideration 
        and enactment of joint resolutions, a motion to proceed 
        to the consideration of any joint resolution after it 
        has been reported by the appropriate committee shall be 
        treated as highly privileged in the House of 
        Representatives.
          (C) Not more than 1 joint resolution may be 
        considered in the House of Representatives and the 
        Senate in the 6-month period beginning on the date on 
        which the President notifies the Congress under 
        paragraph (1) of the action taken under subsection (a), 
        and in each 6-month period thereafter.

SEC. 205.\31\ REQUIREMENTS AND FACTORS FOR DETERMINING A TRANSITION 
                    GOVERNMENT.

    (a) Requirements.--For the purposes of this Act, a 
transition government in Cuba is a government that--
---------------------------------------------------------------------------
    \31\ 22 U.S.C. 6065.
---------------------------------------------------------------------------
          (1) has legalized all political activity;
          (2) has released all political prisoners and allowed 
        for investigations of Cuban prisons by appropriate 
        international human rights organizations;
          (3) has dissolved the present Department of State 
        Security in the Cuban Ministry of the Interior, 
        including the Committees for the Defense of the 
        Revolution and the Rapid Response Brigades; and
          (4) has made public commitments to organizing free 
        and fair elections for a new government--
                  (A) to be held in a timely manner within a 
                period not to exceed 18 months after the 
                transition government assumes power;
                  (B) with the participation of multiple 
                independent political parties that have full 
                access to the media on an equal basis, 
                including (in the case of radio, television, or 
                other telecommunications media) in terms of 
                allotments of time for such access and the 
                times of day such allotments are given; and
                  (C) to be conducted under the supervision of 
                internationally recognized observers, such as 
                the Organization of American States, the United 
                Nations, and other election monitors;
          (5) has ceased any interference with Radio Marti or 
        Television Marti broadcasts;
          (6) makes public commitments to and is making 
        demonstrable progress in--
                  (A) establishing an independent judiciary;
                  (B) respecting internationally recognized 
                human rights and basic freedoms as set forth in 
                the Universal Declaration of Human Rights, to 
                which Cuba is a signatory nation;
                  (C) allowing the establishment of independent 
                trade unions as set forth in conventions 87 and 
                98 of the International Labor Organization, and 
                allowing the establishment of independent 
                social, economic, and political associations;
          (7) does not include Fidel Castro or Raul Castro; and
          (8) has given adequate assurances that it will allow 
        the speedy and efficient distribution of assistance to 
        the Cuban people.
    (b) Additional Factors.--In addition to the requirements in 
subsection (a), in determining whether a transition government 
in Cuba is in power, the President shall take into account the 
extent to which that government--
          (1) is demonstrably in transition from a communist 
        totalitarian dictatorship to representative democracy;
          (2) has made public commitments to, and is making 
        demonstrable progress in--
                  (A) effectively guaranteeing the rights of 
                free speech and freedom of the press, including 
                granting permits to privately owned media and 
                telecommunications companies to operate in 
                Cuba;
                  (B) permitting the reinstatement of 
                citizenship to Cuban-born persons returning to 
                Cuba;
                  (C) assuring the right to private property; 
                and
                  (D) taking appropriate steps to return to 
                United States citizens (and entities which are 
                50 percent or more beneficially owned by United 
                States citizens) property taken by the Cuban 
                Government from such citizens and entities on 
                or after January 1, 1959, or to provide 
                equitable compensation to such citizens and 
                entities for such property;
          (3) has extradited or otherwise rendered to the 
        United States all persons sought by the United States 
        Department of Justice for crimes committed in the 
        United States; and
          (4) has permitted the deployment throughout Cuba of 
        independent and unfettered international human rights 
        monitors.

SEC. 206.\32\ REQUIREMENTS FOR DETERMINING A DEMOCRATICALLY ELECTED 
                    GOVERNMENT.

    For purposes of this Act, a democratically elected 
government in Cuba, in addition to meeting the requirements of 
section 205(a), is a government which--
---------------------------------------------------------------------------
    \32\ 22 U.S.C. 6066.
---------------------------------------------------------------------------
          (1) results from free and fair elections--
                  (A) conducted under the supervision of 
                internationally recognized observers; and
                  (B) in which--
                          (i) opposition parties were permitted 
                        ample time to organize and campaign for 
                        such elections; and
                          (ii) all candidates were permitted 
                        full access to the media;
          (2) is showing respect for the basic civil liberties 
        and human rights of the citizens of Cuba;
          (3) is substantially moving toward a market-oriented 
        economic system based on the right to own and enjoy 
        property;
          (4) is committed to making constitutional changes 
        that would ensure regular free and fair elections and 
        the full enjoyment of basic civil liberties and human 
        rights by the citizens of Cuba;
          (5) has made demonstrable progress in establishing an 
        independent judiciary; and
          (6) has made demonstrable progress in returning to 
        United States citizens (and entities which are 50 
        percent or more beneficially owned by United States 
        citizens) property taken by the Cuban Government from 
        such citizens and entities on or after January 1, 1959, 
        or providing full compensation for such property in 
        accordance with international law standards and 
        practice.

SEC. 207.\33\ SETTLEMENT OF OUTSTANDING UNITED STATES CLAIMS TO 
                    CONFISCATED PROPERTY IN CUBA.

    (a) Report to Congress.--Not later than 180 days after the 
date of the enactment of this Act, the Secretary of State shall 
provide a report to the appropriate congressional committees 
containing an assessment of the property dispute question in 
Cuba, including--
---------------------------------------------------------------------------
    \33\ 22 U.S.C. 6067. The Department of State submitted a report on 
September 27, 1996, in accordance with this section.
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          (1) an estimate of the number and amount of claims to 
        property confiscated by the Cuban Government that are 
        held by United States nationals in addition to those 
        claims certified under section 507 of the International 
        Claims Settlement Act of 1949;
          (2) an assessment of the significance of promptly 
        resolving confiscated property claims to the 
        revitalization of the Cuban economy;
          (3) a review and evaluation of technical and other 
        assistance that the United States could provide to help 
        either a transition government in Cuba or a 
        democratically elected government in Cuba establish 
        mechanisms to resolve property questions;
          (4) an assessment of the role and types of support 
        the United States could provide to help resolve claims 
        to property confiscated by the Cuban Government that 
        are held by United States nationals who did not receive 
        or qualify for certification under section 507 of the 
        International Claims Settlement Act of 1949; and
          (5) an assessment of any areas requiring legislative 
        review or action regarding the resolution of property 
        claims in Cuba prior to a change of government in Cuba.
    (b) Sense of Congress.--It is the sense of the Congress 
that the satisfactory resolution of property claims by a Cuban 
Government recognized by the United States remains an essential 
condition for the full resumption of economic and diplomatic 
relations between the United States and Cuba.

  TITLE III--PROTECTION OF PROPERTY RIGHTS OF UNITED STATES NATIONALS

SEC. 301.\34\ FINDINGS.

    The Congress makes the following findings:
---------------------------------------------------------------------------
    \34\ 22 U.S.C. 6081.
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          (1) Individuals enjoy a fundamental right to own and 
        enjoy property which is enshrined in the United States 
        Constitution.
          (2) The wrongful confiscation or taking of property 
        belonging to United States nationals by the Cuban 
        Government, and the subsequent exploitation of this 
        property at the expense of the rightful owner, 
        undermines the comity of nations, the free flow of 
        commerce, and economic development.
          (3) Since Fidel Castro seized power in Cuba in 1959--
                  (A) he has trampled on the fundamental rights 
                of the Cuban people; and
                  (B) through his personal despotism, he has 
                confiscated the property of--
                          (i) millions of his own citizens;
                          (ii) thousands of United States 
                        nationals; and
                          (iii) thousands more Cubans who 
                        claimed asylum in the United States as 
                        refugees because of persecution and 
                        later became naturalized citizens of 
                        the United States.
          (4) It is in the interest of the Cuban people that 
        the Cuban Government respect equally the property 
        rights of Cuban nationals and nationals of other 
        countries.
          (5) The Cuban Government is offering foreign 
        investors the opportunity to purchase an equity 
        interest in, manage, or enter into joint ventures using 
        property and assets some of which were confiscated from 
        United States nationals.
          (6) This ``trafficking'' in confiscated property 
        provides badly needed financial benefit, including hard 
        currency, oil, and productive investment and expertise, 
        to the current Cuban Government and thus undermines the 
        foreign policy of the United States--
                  (A) to bring democratic institutions to Cuba 
                through the pressure of a general economic 
                embargo at a time when the Castro regime has 
                proven to be vulnerable to international 
                economic pressure; and
                  (B) to protect the claims of United States 
                nationals who had property wrongfully 
                confiscated by the Cuban Government.
          (7) The United States Department of State has 
        notified other governments that the transfer to third 
        parties of properties confiscated by the Cuban 
        Government ``would complicate any attempt to return 
        them to their original owners''.
          (8) The international judicial system, as currently 
        structured, lacks fully effective remedies for the 
        wrongful confiscation of property and for unjust 
        enrichment from the use of wrongfully confiscated 
        property by governments and private entities at the 
        expense of the rightful owners of the property.
          (9) International law recognizes that a nation has 
        the ability to provide for rules of law with respect to 
        conduct outside its territory that has or is intended 
        to have substantial effect within its territory.
          (10) The United States Government has an obligation 
        to its citizens to provide protection against wrongful 
        confiscations by foreign nations and their citizens, 
        including the provision of private remedies.
          (11) To deter trafficking in wrongfully confiscated 
        property, United States nationals who were the victims 
        of these confiscations should be endowed with a 
        judicial remedy in the courts of the United States that 
        would deny traffickers any profits from economically 
        exploiting Castro's wrongful seizures.

SEC. 302.\35\ LIABILITY FOR TRAFFICKING IN CONFISCATED PROPERTY CLAIMED 
                    BY UNITED STATES NATIONALS.

    (a) Civil Remedy.--
---------------------------------------------------------------------------
    \35\ 22 U.S.C. 6082.
---------------------------------------------------------------------------
          (1) Liability for trafficking.--(A) Except as 
        otherwise provided in this section, any person that, 
        after the end of the 3-month period beginning on the 
        effective date of this title, traffics in property 
        which was confiscated by the Cuban Government on or 
        after January 1, 1959, shall be liable to any United 
        States national who owns the claim to such property for 
        money damages in an amount equal to the sum of--
                  (i) the amount which is the greater of--
                          (I) the amount, if any, certified to 
                        the claimant by the Foreign Claims 
                        Settlement Commission under the 
                        International Claims Settlement Act of 
                        1949, plus interest;
                          (II) the amount determined under 
                        section 303(a)(2), plus interest; or
                          (III) the fair market value of that 
                        property, calculated as being either 
                        the current value of the property, or 
                        the value of the property when 
                        confiscated plus interest, whichever is 
                        greater; and
                  (ii) court costs and reasonable attorneys' 
                fees.
          (B) Interest under subparagraph (A)(i) shall be at 
        the rate set forth in section 1961 of title 28, United 
        States Code, computed by the court from the date of 
        confiscation of the property involved to the date on 
        which the action is brought under this subsection.
          (2) Presumption in favor of the certified claims.--
        There shall be a presumption that the amount for which 
        a person is liable under clause (i) of paragraph (1)(A) 
        is the amount that is certified as described in 
        subclause (I) of that clause. The presumption shall be 
        rebuttable by clear and convincing evidence that the 
        amount described in subclause (II) or (III) of that 
        clause is the appropriate amount of liability under 
        that clause.
          (3) Increased liability.--(A) Any person that 
        traffics in confiscated property for which liability is 
        incurred under paragraph (1) shall, if a United States 
        national owns a claim with respect to that property 
        which was certified by the Foreign Claims Settlement 
        Commission under title V of the International Claims 
        Settlement Act of 1949, be liable for damages computed 
        in accordance with subparagraph (C).
          (B) If the claimant in an action under this 
        subsection (other than a United States national to whom 
        subparagraph (A) applies) provides, after the end of 
        the 3-month period described in paragraph (1) notice 
        to--
                  (i) a person against whom the action is to be 
                initiated, or
                  (ii) a person who is to be joined as a 
                defendant in the action,
        at least 30 days before initiating the action or 
        joining such person as a defendant, as the case may be, 
        and that person, after the end of the 30-day period 
        beginning on the date the notice is provided, traffics 
        in the confiscated property that is the subject of the 
        action, then that person shall be liable to that 
        claimant for damages computed in accordance with 
        subparagraph (C).
          (C) Damages for which a person is liable under 
        subparagraph (A) or subparagraph (B) are money damages 
        in an amount equal to the sum of--
                  (i) the amount determined under paragraph 
                (1)(A)(ii), and
                  (ii) 3 times the amount determined applicable 
                under paragraph (1)(A)(i).
          (D) Notice to a person under subparagraph (B)--
                  (i) shall be in writing;
                  (ii) shall be posted by certified mail or 
                personally delivered to the person; and
                  (iii) shall contain--
                          (I) a statement of intention to 
                        commence the action under this section 
                        or to join the person as a defendant 
                        (as the case may be), together with the 
                        reasons therefor;
                          (II) a demand that the unlawful 
                        trafficking in the claimant's property 
                        cease immediately; and
                          (III) a copy of the summary statement 
                        published under paragraph (8).
          (4) Applicability.--(A) Except as otherwise provided 
        in this paragraph, actions may be brought under 
        paragraph (1) with respect to property confiscated 
        before, on, or after the date of the enactment of this 
        Act.
          (B) In the case of property confiscated before the 
        date of the enactment of this Act, a United States 
        national may not bring an action under this section on 
        a claim to the confiscated property unless such 
        national acquires ownership of the claim before such 
        date of enactment.
          (C) In the case of property confiscated on or after 
        the date of the enactment of this Act, a United States 
        national who, after the property is confiscated, 
        acquires ownership of a claim to the property by 
        assignment for value, may not bring an action on the 
        claim under this section.
          (5) Treatment of certain actions.--(A) In the case of 
        a United States national who was eligible to file a 
        claim with the Foreign Claims Settlement Commission 
        under title V of the International Claims Settlement 
        Act of 1949 but did not so file the claim, that United 
        States national may not bring an action on that claim 
        under this section.
          (B) In the case of any action brought under this 
        section by a United States national whose underlying 
        claim in the action was timely filed with the Foreign 
        Claims Settlement Commission under title V of the 
        International Claims Settlement Act of 1949 but was 
        denied by the Commission, the court shall accept the 
        findings of the Commission on the claim as conclusive 
        in the action under this section.
          (C) A United States national, other than a United 
        States national bringing an action under this section 
        on a claim certified under title V of the International 
        Claims Settlement Act of 1949, may not bring an action 
        on a claim under this section before the end of the 2-
        year period beginning on the date of the enactment of 
        this Act.
          (D) An interest in property for which a United States 
        national has a claim certified under title V of the 
        International Claims Settlement Act of 1949 may not be 
        the subject of a claim in an action under this section 
        by any other person. Any person bringing an action 
        under this section whose claim has not been so 
        certified shall have the burden of establishing for the 
        court that the interest in property that is the subject 
        of the claim is not the subject of a claim so 
        certified.
          (6) Inapplicability of act of state doctrine.--No 
        court of the United States shall decline, based upon 
        the act of state doctrine, to make a determination on 
        the merits in an action brought under paragraph (1).
          (7) Licenses not required.--(A) Notwithstanding any 
        other provision of law, an action under this section 
        may be brought and may be settled, and a judgment 
        rendered in such action may be enforced, without 
        obtaining any license or other permission from any 
        agency of the United States, except that this paragraph 
        shall not apply to the execution of a judgment against, 
        or the settlement of actions involving, property 
        blocked under the authorities of section 5(b) of the 
        Trading with the Enemy Act that were being exercised on 
        July 1, 1977, as a result of a national emergency 
        declared by the President before such date, and are 
        being exercised on the date of the enactment of this 
        Act.
          (B) Notwithstanding any other provision of law, and 
        for purposes of this title only, any claim against the 
        Cuban Government shall not be deemed to be an interest 
        in property the transfer of which to a United States 
        national required before the enactment of this Act, or 
        requires after the enactment of this Act, a license 
        issued by, or the permission of, any agency of the 
        United States.
          (8) \36\ Publication by attorney general.--Not later 
        than 60 days after the date of the enactment of this 
        Act, the Attorney General shall prepare and publish in 
        the Federal Register a concise summary of the 
        provisions of this title, including a statement of the 
        liability under this title of a person trafficking in 
        confiscated property, and the remedies available to 
        United States nationals under this title.
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    \36\ The Department of Justice published a summary of title III in 
AG Order No. 2029-96, effective May 17, 1996 (61 F.R. 24955).
---------------------------------------------------------------------------
    (b) Amount in Controversy.--An action may be brought under 
this section by a United States national only where the amount 
in controversy exceeds the sum or value of $50,000, exclusive 
of interest, costs, and attorneys' fees. In calculating $50,000 
for purposes of the preceding sentence, the applicable amount 
under subclause (I), (II), or (III) of subsection (a)(1)(A)(i) 
may not be tripled as provided in subsection (a)(3).
    (c) Procedural Requirements.--
          (1) In general.--Except as provided in this title, 
        the provisions of title 28, United States Code, and the 
        rules of the courts of the United States apply to 
        actions under this section to the same extent as such 
        provisions and rules apply to any other action brought 
        under section 1331 of title 28, United States Code.
          (2) Service of process.--In an action under this 
        section, service of process on an agency or 
        instrumentality of a foreign state in the conduct of a 
        commercial activity, or against individuals acting 
        under color of law, shall be made in accordance with 
        section 1608 of title 28, United States Code.
    (d) Enforceability of Judgments Against Cuban Government.--
In an action brought under this section, any judgment against 
an agency or instrumentality of the Cuban Government shall not 
be enforceable against an agency or instrumentality of either a 
transition government in Cuba or a democratically elected 
government in Cuba.
    (e) Certain Property Immune From Execution.--Section 1611 
of title 28, United States Code, is amended by adding at the 
end the following new subsection:
    ``(c) Notwithstanding the provisions of section 1610 of 
this chapter, the property of a foreign state shall be immune 
from attachment and from execution in an action brought under 
section 302 of the Cuban Liberty and Democratic Solidarity 
(LIBERTAD) Act of 1996 to the extent that the property is a 
facility or installation used by an accredited diplomatic 
mission for official purposes.''.
    (f) Election of Remedies.--
          (1) Election.--Subject to paragraph (2)--
                  (A) any United States national that brings an 
                action under this section may not bring any 
                other civil action or proceeding under the 
                common law, Federal law, or the law of any of 
                the several States, the District of Columbia, 
                or any commonwealth, territory, or possession 
                of the United States, that seeks monetary or 
                nonmonetary compensation by reason of the same 
                subject matter; and
                  (B) any person who brings, under the common 
                law or any provision of law other than this 
                section, a civil action or proceeding for 
                monetary or nonmonetary compensation arising 
                out of a claim for which an action would 
                otherwise be cognizable under this section may 
                not bring an action under this section on that 
                claim.
          (2) Treatment of certified claimants.--(A) In the 
        case of any United States national that brings an 
        action under this section based on a claim certified 
        under title V of the International Claims Settlement 
        Act of 1949--
                  (i) if the recovery in the action is equal to 
                or greater than the amount of the certified 
                claim, the United States national may not 
                receive payment on the claim under any 
                agreement entered into between the United 
                States and Cuba settling claims covered by such 
                title, and such national shall be deemed to 
                have discharged the United States from any 
                further responsibility to represent the United 
                States national with respect to that claim;
                  (ii) if the recovery in the action is less 
                than the amount of the certified claim, the 
                United States national may receive payment 
                under a claims agreement described in clause 
                (i) but only to the extent of the difference 
                between the amount of the recovery and the 
                amount of the certified claim; and
                  (iii) if there is no recovery in the action, 
                the United States national may receive payment 
                on the certified claim under a claims agreement 
                described in clause (i) to the same extent as 
                any certified claimant who does not bring an 
                action under this section.
          (B) In the event some or all actions brought under 
        this section are consolidated by judicial or other 
        action in such manner as to create a pool of assets 
        available to satisfy the claims in such actions, 
        including a pool of assets in a proceeding in 
        bankruptcy, every claimant whose claim in an action so 
        consolidated was certified by the Foreign Claims 
        Settlement Commission under title V of the 
        International Claims Settlement Act of 1949 shall be 
        entitled to payment in full of its claim from the 
        assets in such pool before any payment is made from the 
        assets in such pool with respect to any claim not so 
        certified.
    (g) Deposit of Excess Payments by Cuba Under Claims 
Agreement.--Any amounts paid by Cuba under any agreement 
entered into between the United States and Cuba settling 
certified claims under title V of the International Claims 
Settlement Act of 1949 that are in excess of the payments made 
on such certified claims after the application of subsection 
(f) shall be deposited into the United States Treasury.
    (h) Termination of Rights.--
          (1) In general.--All rights created under this 
        section to bring an action for money damages with 
        respect to property confiscated by the Cuban 
        Government--
                  (A) may be suspended under section 204(a); 
                and
                  (B) shall cease upon transmittal to the 
                Congress of a determination of the President 
                under section 203(c)(3) that a democratically 
                elected government in Cuba is in power.
          (2) Pending suits.--The suspension or termination of 
        rights under paragraph (1) shall not affect suits 
        commenced before the date of such suspension or 
        termination (as the case may be), and in all such 
        suits, proceedings shall be had, appeals taken, and 
        judgments rendered in the same manner and with the same 
        effect as if the suspension or termination had not 
        occurred.
    (i) Imposition of Filing Fees.--The Judicial Conference of 
the United States shall establish a uniform fee that shall be 
imposed upon the plaintiff or plaintiffs in each action brought 
under this section. The fee should be established at a level 
sufficient to recover the costs to the courts of actions 
brought under this section. The fee under this subsection is in 
addition to any other fees imposed under title 28, United 
States Code.

SEC. 303.\37\ PROOF OF OWNERSHIP OF CLAIMS TO CONFISCATED PROPERTY.

    (a) Evidence of Ownership.--
---------------------------------------------------------------------------
    \37\ 22 U.S.C. 6083.
---------------------------------------------------------------------------
          (1) Conclusiveness of certified claims.--In any 
        action brought under this title, the court shall accept 
        as conclusive proof of ownership of an interest in 
        property a certification of a claim to ownership of 
        that interest that has been made by the Foreign Claims 
        Settlement Commission under title V of the 
        International Claims Settlement Act of 1949 (22 U.S.C. 
        1643 and following).
          (2) Claims not certified.--If in an action under this 
        title a claim has not been so certified by the Foreign 
        Claims Settlement Commission, the court may appoint a 
        special master, including the Foreign Claims Settlement 
        Commission, to make determinations regarding the amount 
        and ownership of the claim. Such determinations are 
        only for evidentiary purposes in civil actions brought 
        under this title and do not constitute certifications 
        under title V of the International Claims Settlement 
        Act of 1949.
          (3) Effect of determinations of foreign or 
        international entities.--In determining the amount or 
        ownership of a claim in an action under this title, the 
        court shall not accept as conclusive evidence any 
        findings, orders, judgments, or decrees from 
        administrative agencies or courts of foreign countries 
        or international organizations that declare the value 
        of or invalidate the claim, unless the declaration of 
        value or invalidation was found pursuant to binding 
        international arbitration to which the United States or 
        the claimant submitted the claim.
    (b) Amendment of the International Claims Settlement Act of 
1949.--Title V of the International Claims Settlement Act of 
1949 (22 U.S.C. 1643 and following) is amended by adding at the 
end the following new section: * * * \38\
---------------------------------------------------------------------------
    \38\ See Legislation on Foreign Relations Through 1996, vol. IV.
---------------------------------------------------------------------------
    (c) Rule of Construction.--Nothing in this Act or in 
section 514 of the International Claims Settlement Act of 1949, 
as added by subsection (b), shall be construed--
          (1) to require or otherwise authorize the claims of 
        Cuban nationals who became United States citizens after 
        their property was confiscated to be included in the 
        claims certified to the Secretary of State by the 
        Foreign Claims Settlement Commission for purposes of 
        future negotiation and espousal of claims with a 
        friendly government in Cuba when diplomatic relations 
        are restored; or
          (2) as superseding, amending, or otherwise altering 
        certifications that have been made under title V of the 
        International Claims Settlement Act of 1949 before the 
        date of the enactment of this Act.

SEC. 304. EXCLUSIVITY OF FOREIGN CLAIMS SETTLEMENT COMMISSION 
                    CERTIFICATION PROCEDURE.

    Title V of the International Claims Settlement Act of 1949 
(22 U.S.C. 1643 and following), as amended by section 303, is 
further amended by adding at the end the following new section: 
* * * \39\
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    \39\ See Legislation on Foreign Relations Through 1996, vol. IV.
---------------------------------------------------------------------------

SEC. 305.\40\ LIMITATION OF ACTIONS.

    An action under section 302 may not be brought more than 2 
years after the trafficking giving rise to the action has 
ceased to occur.
---------------------------------------------------------------------------
    \40\ 22 U.S.C. 6084.
---------------------------------------------------------------------------

SEC. 306.\41\ EFFECTIVE DATE.

    (a) In General.--Subject to subsections (b) and (c), this 
title and the amendments made by this title shall take effect 
on August 1, 1996.
---------------------------------------------------------------------------
    \41\ 22 U.S.C. 6085.
---------------------------------------------------------------------------
    (b) \42\ Suspension Authority.--
---------------------------------------------------------------------------
    \42\ The President ``determine[d] and report[ed] to the Congress 
that suspension for 6 months beyond August 1 [1996] of the right to 
bring an action under Title III of the Act is necessary to the national 
interests of the United State and will expedite a transition to 
democracy in Cuba,'' in letters to congressional committees 
(``Statement on Action on Title III of the Cuban Liberty and Democratic 
Solidarity (LIBERTAD) Act of 1995, July 16, 1996'' in Weekly 
Compilation of Presidential Documents, p. 1265). The President extended 
the suspension beyond August 1, 1997, in similar letters on July 16, 
1997 (House Document 105-107, 105th Congress, 1st session, July 17, 
1997); January 16, 1998 (Weekly Compilation of Presidential Documents, 
p. 81); July 16, 1998 (Weekly Compilation of Presidential Documents, p. 
1398); January 25, 1999 (Weekly Compilation of Presidential Documents, 
p. 63); July 16, 1999 (Weekly Compilation of Presidential Documents, p. 
1384); January 21, 2000 (Weekly Compilation of Presidential Documents, 
p. 89); July 14, 2000 (Weekly Compilation of Presidential Documents, p. 
1651); January 16, 2001 (Weekly Compilation of Presidential Documents, 
p. 137); July 22, 2001 (Weekly Compilation of Presidential Documents, 
p. 1048); January 16, 2002 (Weekly Compilation of Presidential 
Documents, p. 77); July 22, 2002 (Weekly Compilation of Presidential 
Documents, p. 1212); January 16, 2003 (Weekly Compilation of 
Presidential Documents, p. 80); and July 18, 2003 (Weekly Compilation 
of Presidential Documents, p. 925).
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          (1) Suspension authority.--The President may suspend 
        the effective date under subsection (a) for a period of 
        not more than 6 months if the President determines and 
        reports in writing to the appropriate congressional 
        committees at least 15 days before such effective date 
        that the suspension is necessary to the national 
        interests of the United States and will expedite a 
        transition to democracy in Cuba.
          (2) Additional suspensions.--The President may 
        suspend the effective date under subsection (a) for 
        additional periods of not more than 6 months each, each 
        of which shall begin on the day after the last day of 
        the period during which a suspension is in effect under 
        this subsection, if the President determines and 
        reports in writing to the appropriate congressional 
        committees at least 15 days before the date on which 
        the additional suspension is to begin that the 
        suspension is necessary to the national interests of 
        the United States and will expedite a transition to 
        democracy in Cuba.
    (c) Other Authorities.--
          (1) Suspension.--After this title and the amendments 
        of this title have taken effect--
                  (A) no person shall acquire a property 
                interest in any potential or pending action 
                under this title; and
                  (B) the President may suspend the right to 
                bring an action under this title with respect 
                to confiscated property for a period of not 
                more than 6 months if the President determines 
                and reports in writing to the appropriate 
                congressional committees at least 15 days 
                before the suspension takes effect that such 
                suspension is necessary to the national 
                interests of the United States and will 
                expedite a transition to democracy in Cuba.
          (2) Additional suspensions.--The President may 
        suspend the right to bring an action under this title 
        for additional periods of not more than 6 months each, 
        each of which shall begin on the day after the last day 
        of the period during which a suspension is in effect 
        under this subsection, if the President determines and 
        reports in writing to the appropriate congressional 
        committees at least 15 days before the date on which 
        the additional suspension is to begin that the 
        suspension is necessary to the national interests of 
        the United States and will expedite a transition to 
        democracy in Cuba.
          (3) Pending suits.--The suspensions of actions under 
        paragraph (1) shall not affect suits commenced before 
        the date of such suspension, and in all such suits, 
        proceedings shall be had, appeals taken, and judgments 
        rendered in the same manner and with the same effect as 
        if the suspension had not occurred.
    (d) Rescission of Suspension.--The President may rescind 
any suspension made under subsection (b) or (c) upon reporting 
to the appropriate congressional committees that doing so will 
expedite a transition to democracy in Cuba.

                 TITLE IV--EXCLUSION OF CERTAIN ALIENS

SEC. 401.\43\ EXCLUSION FROM THE UNITED STATES OF ALIENS WHO HAVE 
                    CONFISCATED PROPERTY OF UNITED STATES NATIONALS OR 
                    WHO TRAFFIC IN SUCH PROPERTY.

    (a) Grounds for Exclusion.--The Secretary of State shall 
deny a visa to, and the Attorney General shall exclude from the 
United States, any alien who the Secretary of State determines 
is a person who, after the date of the enactment of this Act--
---------------------------------------------------------------------------
    \43\ 22 U.S.C. 6091. ``Department of State Guidelines for 
Implementation of Title IV of the LIBERTAD Act'' were printed as 
Department of State Public Notice 2403, effective June 17, 1996 (61 
F.R. 30655).
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          (1) has confiscated, or has directed or overseen the 
        confiscation of, property a claim to which is owned by 
        a United States national, or converts or has converted 
        for personal gain confiscated property, a claim to 
        which is owned by a United States national;
          (2) traffics in confiscated property, a claim to 
        which is owned by a United States national;
          (3) is a corporate officer, principal, or shareholder 
        with a controlling interest of an entity which has been 
        involved in the confiscation of property or trafficking 
        in confiscated property, a claim to which is owned by a 
        United States national; or
          (4) is a spouse, minor child, or agent of a person 
        excludable under paragraph (1), (2), or (3).
    (b) Definitions.--As used in this section, the following 
terms have the following meanings:
          (1) Confiscated; confiscation.--The terms 
        ``confiscated'' and ``confiscation'' refer to--
                  (A) the nationalization, expropriation, or 
                other seizure by the Cuban Government of 
                ownership or control of property--
                          (i) without the property having been 
                        returned or adequate and effective 
                        compensation provided; or
                          (ii) without the claim to the 
                        property having been settled pursuant 
                        to an international claims settlement 
                        agreement or other mutually accepted 
                        settlement procedure; and
                  (B) the repudiation by the Cuban Government 
                of, the default by the Cuban Government on, or 
                the failure of the Cuban Government to pay--
                          (i) a debt of any enterprise which 
                        has been nationalized, expropriated, or 
                        otherwise taken by the Cuban 
                        Government;
                          (ii) a debt which is a charge on 
                        property nationalized, expropriated, or 
                        otherwise taken by the Cuban 
                        Government; or
                          (iii) a debt which was incurred by 
                        the Cuban Government in satisfaction or 
                        settlement of a confiscated property 
                        claim.
          (2) Traffics.--(A) Except as provided in subparagraph 
        (B), a person ``traffics'' in confiscated property if 
        that person knowingly and intentionally--
                  (i)(I) transfers, distributes, dispenses, 
                brokers, or otherwise disposes of confiscated 
                property,
                  (II) purchases, receives, obtains control of, 
                or otherwise acquires confiscated property, or
                  (III) improves (other than for routine 
                maintenance), invests in (by contribution of 
                funds or anything of value, other than for 
                routine maintenance), or begins after the date 
                of the enactment of this Act to manage, lease, 
                possess, use, or hold an interest in 
                confiscated property,
                  (ii) enters into a commercial arrangement 
                using or otherwise benefiting from confiscated 
                property, or
                  (iii) causes, directs, participates in, or 
                profits from, trafficking (as described in 
                clause (i) or (ii)) by another person, or 
                otherwise engages in trafficking (as described 
                in clause (i) or (ii)) through another person, 
                without the authorization of any United States 
                national who holds a claim to the property.
          (B) The term ``traffics'' does not include--
                  (i) the delivery of international 
                telecommunication signals to Cuba;
                  (ii) the trading or holding of securities 
                publicly traded or held, unless the trading is 
                with or by a person determined by the Secretary 
                of the Treasury to be a specially designated 
                national;
                  (iii) transactions and uses of property 
                incident to lawful travel to Cuba, to the 
                extent that such transactions and uses of 
                property are necessary to the conduct of such 
                travel; or
                  (iv) transactions and uses of property by a 
                person who is both a citizen of Cuba and a 
                resident of Cuba, and who is not an official of 
                the Cuban Government or the ruling political 
                party in Cuba.
    (c) Exemption.--This section shall not apply where the 
Secretary of State finds, on a case by case basis, that the 
entry into the United States of the person who would otherwise 
be excluded under this section is necessary for medical reasons 
or for purposes of litigation of an action under title III.
    (d) Effective Date.--
          (1) In general.--This section applies to aliens 
        seeking to enter the United States on or after the date 
        of the enactment of this Act.
          (2) Trafficking.--This section applies only with 
        respect to acts within the meaning of ``traffics'' that 
        occur on or after the date of the enactment of this 
        Act.
  (2) Declaration of a National Emergency and Invocation of Emergency 
 Authority Relating to the Regulation of the Anchorage and Movement of 
                                Vessels

  Presidential Proclamation 6867 of March 1, 1996 (61 F.R. 8843), 50 
                               U.S.C. 191

    By the President of the United States of America

    A Proclamation

    WHEREAS, on February 24, 1996, Cuban military aircraft 
intercepted and destroyed two unarmed U.S.-registered civilian 
aircraft in international airspace north of Cuba;
    WHEREAS the Government of Cuba has demonstrated a ready and 
reckless willingness to use excessive force, including deadly 
force, in the ostensible enforcement of its sovereignty;
    WHEREAS, on July 13, 1995, persons in U.S.-registered 
vessels who entered into Cuban territorial waters suffered 
injury as a result of the reckless use of force against them by 
the Cuban military; and
    WHEREAS the entry of U.S.-registered vessels into Cuban 
territorial waters could again result in injury to, or loss of 
life of, persons engaged in that conduct, due to the potential 
use of excessive force, including deadly force, against them by 
the Cuban military, and could threaten a disturbance in 
international relations;
    NOW, THEREFORE, I, WILLIAM J. CLINTON, President of the 
United States of America, by the authority vested in me by the 
Constitution and the laws of the United States of America, 
including section 1 of title II of Public Law 65-24, ch. 30, 
June 15, 1917, as amended (50 U.S.C. 191), sections 201 and 301 
of the National Emergencies Act (50 U.S.C. 1601 et seq.), and 
section 301 of title 3, United States Code, find and do hereby 
proclaim that a national emergency does exist by reason of a 
disturbance or threatened disturbance of international 
relations. In order to address this national emergency and to 
secure the observance of the rights and obligations of the 
United States, I hereby authorize and direct the Secretary of 
Transportation (the ``Secretary'') to make and issue such rules 
and regulations as the Secretary may find appropriate to 
regulate the anchorage and movement of vessels, and delegate to 
the Secretary my authority to approve such rules and 
regulations, as authorized by the Act of June 15, 1917.
    Section 1. The Secretary may make rules and regulations 
governing the anchorage and movement of any vessel, foreign or 
domestic, in the territorial waters of the United States, which 
may be used, or is susceptible of being used, for voyage into 
Cuban territorial waters and that may create unsafe conditions 
and threaten a disturbance of international relations. Any rule 
or regulation issued pursuant to this proclamation may be 
effective immediately upon issuance as such rule or regulation 
shall involve a foreign affairs function of the United States.
    Sec. 2. The Secretary is authorized to inspect any vessel, 
foreign or domestic, in the territorial waters of the United 
States, at any time; to place guards on any such vessel; and, 
with my consent expressly hereby granted, take full possession 
and control of any such vessel and remove the officers and 
crew, and all other persons not specifically authorized by the 
Secretary to go or remain on board the vessel when necessary to 
secure the rights and obligations of the United States.
    Sec. 3. The Secretary may request assistance from such 
departments, agencies, officers, or instrumentalities of the 
United States as the Secretary deems necessary to carry out the 
purposes of this proclamation. Such departments, agencies, 
officers, or instrumentalities shall, consistent with other 
provisions of law and to the extent practicable, provide 
requested assistance.
    Sec. 4. The Secretary may seek assistance from State and 
local authorities in carrying out the purposes of this 
proclamation. Because State and local assistance may be 
essential for an effective response to this emergency, I urge 
all State and local officials to cooperate with Federal 
authorities and to take all actions within their lawful 
authority necessary to prevent the unauthorized departure of 
vessels intending to enter Cuban territorial waters.
    Sec. 5. All powers and authorities delegated by this 
proclamation to the Secretary may be delegated by the Secretary 
to other officers and agents of the United States Government 
unless otherwise prohibited by law.
    Sec. 6.\1\ This proclamation shall be immediately 
transmitted to the Congress and published in the Federal 
Register.

    \1\ This proclamation was continued by notice of the President on 
February 27, 1997 (62 F.R. 9347); February 26, 1998 (63 F.R. 9923); 
February 26, 1999 (64 F.R. 9903); February 20, 2000 (65 F.R. 10929); 
February 27, 2001 (66 F.R. 12839); February 26, 2002 (67 F.R. 9387); 
and February 27, 2003 (68 F.R. 9847).
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    IN WITNESS WHEREOF, I have hereunto set my hand this first 
day of March, in the year of our Lord nineteen hundred and 
ninety-six, and of the Independence of the United States of 
America the two hundred and twentieth.
                    (3) Cuban Democracy Act of 1992

Partial text of Public Law 102-484 [National Defense Authorization Act 
for Fiscal Year 1993; H.R. 5006], 106 Stat. 2315, approved October 23, 
     1992; and by Public Law 104-114 [Cuban Liberty and Democratic 
 Solidarity (LIBERTAD) Act of 1996; H.R. 927], 110 Stat. 785, approved 
                             March 12, 1996

 AN ACT To authorize appropriations for fiscal year 1993 for military 
activities of the Department of Defense, for military construction, and 
   for defense activities of the Department of Energy, to prescribe 
   personnel strengths for such fiscal year for the Armed Forces, to 
        provide for defense conversion, and for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,
          * * * * * * *

                TITLE XVII--CUBAN DEMOCRACY ACT OF 1992

SEC. 1701.\1\ SHORT TITLE.

    This title may be cited as the ``Cuban Democracy Act of 
1992''.
---------------------------------------------------------------------------
    \1\ 22 U.S.C. 6001 note.
---------------------------------------------------------------------------

SEC. 1702.\2\ FINDINGS.

    The Congress makes the following findings:
---------------------------------------------------------------------------
    \2\ 22 U.S.C. 6001.
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          (1) The government of Fidel Castro has demonstrated 
        consistent disregard for internationally accepted 
        standards of human rights and for democratic values. It 
        restricts the Cuban people's exercise of freedom of 
        speech, press, assembly, and other rights recognized by 
        the Universal Declaration of Human Rights adopted by 
        the General Assembly of the United Nations on December 
        10, 1948. It has refused to admit into Cuba the 
        representative of the United Nations Human Rights 
        Commission appointed to investigate human rights 
        violations on the island.
          (2) The Cuban people have demonstrated their yearning 
        for freedom and their increasing opposition to the 
        Castro government by risking their lives in organizing 
        independent, democratic activities on the island and by 
        undertaking hazardous flights for freedom to the United 
        States and other countries.
          (3) The Castro government maintains a military-
        dominated economy that has decreased the well-being of 
        the Cuban people in order to enable the government to 
        engage in military interventions and subversive 
        activities throughout the world and, especially, in the 
        Western Hemisphere. These have included involvement in 
        narcotics trafficking and support for the FMLN 
        guerrillas in El Salvador.
          (4) There is no sign that the Castro regime is 
        prepared to make any significant concessions to 
        democracy or to undertake any form of democratic 
        opening. Efforts to suppress dissent through 
        intimidation, imprisonment, and exile have accelerated 
        since the political changes that have occurred in the 
        former Soviet Union and Eastern Europe.
          (5) Events in the former Soviet Union and Eastern 
        Europe have dramatically reduced Cuba's external 
        support and threaten Cuba's food and oil supplies.
          (6) The fall of communism in the former Soviet Union 
        and Eastern Europe, the now universal recognition in 
        Latin America and the Caribbean that Cuba provides a 
        failed model of government and development, and the 
        evident inability of Cuba's economy to survive current 
        trends, provide the United States and the international 
        democratic community with an unprecedented opportunity 
        to promote a peaceful transition to democracy in Cuba.
          (7) However, Castro's intransigence increases the 
        likelihood that there could be a collapse of the Cuban 
        economy, social upheaval, or widespread suffering. The 
        recently concluded Cuban Communist Party Congress has 
        underscored Castro's unwillingness to respond 
        positively to increasing pressures for reform either 
        from within the party or without.
          (8) The United States cooperated with its European 
        and other allies to assist the difficult transitions 
        from Communist regimes in Eastern Europe. Therefore, it 
        is appropriate for those allies to cooperate with 
        United States policy to promote a peaceful transition 
        in Cuba.

SEC. 1703.\3\ STATEMENT OF POLICY.

    It should be the policy of the United States--
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    \3\ 22 U.S.C. 6002.
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          (1) to seek a peaceful transition to democracy and a 
        resumption of economic growth in Cuba through the 
        careful application of sanctions directed at the Castro 
        government and support for the Cuban people;
          (2) to seek the cooperation of other democratic 
        countries in this policy;
          (3) to make clear to other countries that, in 
        determining its relations with them, the United States 
        will take into account their willingness to cooperate 
        in such a policy;
          (4) to seek the speedy termination of any remaining 
        military or technical assistance, subsidies, or other 
        forms of assistance to the Government of Cuba from any 
        of the independent states of the former Soviet Union;
          (5) to continue vigorously to oppose the human rights 
        violations of the Castro regime;
          (6) to maintain sanctions on the Castro regime so 
        long as it continues to refuse to move toward 
        democratization and greater respect for human rights;
          (7) to be prepared to reduce the sanctions in 
        carefully calibrated ways in response to positive 
        developments in Cuba;
          (8) to encourage free and fair elections to determine 
        Cuba's political future;
          (9) to request the speedy termination of any military 
        or technical assistance, subsidies, or other forms of 
        assistance to the Government of Cuba from the 
        government of any other country; and
          (10) to initiate immediately the development of a 
        comprehensive United States policy toward Cuba in a 
        post-Castro era.

SEC. 1704.\4\, \5\ INTERNATIONAL COOPERATION.

    (a) Cuban Trading Partners.--The President should encourage 
the governments of countries that conduct trade with Cuba to 
restrict their trade and credit relations with Cuba in a manner 
consistent with the purposes of this title.
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    \4\ 22 U.S.C. 6003. Authority in this section was delegated to the 
Secretary of State, pursuant to sec. 2 of Executive Order 12854 (58 
F.R. 36587; July 4, 1993).
    \5\ Sec. 204 of the Cuban Liberty and Democratic Solidarity 
(LIBERTAD) Act of 1996 (Public Law 104-114; 110 Stat. 810) authorized 
the President to take steps to suspend the economic embargo of Cuba 
upon submitting a determination to the appropriate congressional 
committees that a transition government is in power in Cuba. The 
section, furthermore, repealed the following sections of law upon the 
issuance of a Presidential determination that a democratically elected 
government is in power in Cuba:
    (1) sec. 620(a) of the Foreign Assistance Act of 1961 (22 U.S.C. 
2370(a));
    (2) sec. 620(f) of the Foreign Assistance Act of 1961 (22 U.S.C. 
2370(f)) with respect to the ``Republic of Cuba'';
    (3) secs. 1704, 1705(d), and 1706 of the Cuban Democracy Act of 
1992 (22 U.S.C. 6003, 6004(d), and 6005); and
    (4) sec. 902(c) of the Food Security Act of 1985.
    Congress, until such a transition to democracy in Cuba is attained, 
reaffirmed the intent of sec. 1704, and other sections, of the Cuban 
Democracy Act. See Public Law 104-114.
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    (b) Sanctions Against Countries Assisting Cuba.--
          (1) Sanctions.--The President may apply the following 
        sanctions to any country that provides assistance to 
        Cuba:
                  (A) The government of such country shall not 
                be eligible for assistance under the Foreign 
                Assistance Act of 1961 or assistance or sales 
                under the Arms Export Control Act.
                  (B) Such country shall not be eligible, under 
                any program, for forgiveness or reduction of 
                debt owed to the United States Government.
          (2) Definition of assistance.--For purposes of 
        paragraph (1), the term ``assistance to Cuba''--
                  (A) means assistance to or for the benefit of 
                the Government of Cuba that is provided by 
                grant, concessional sale, guaranty, or 
                insurance, or by any other means on terms more 
                favorable than that generally available in the 
                applicable market, whether in the form of a 
                loan, lease, credit, or otherwise, and such 
                term includes subsidies for exports to Cuba and 
                favorable tariff treatment of articles that are 
                the growth, product, or manufacture of Cuba; 
                \6\
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    \6\ Sec. 102(f) of the Cuban Liberty and Democratic Solidarity 
(LIBERTAD) Act of 1996 (Public Law 104-114; 110 Stat. 793) struck out 
``and'' at the end of subpara. (A); redesignated subpara. (B) as 
subpara. (C); inserted a new subpara. (B); and added the flush sentence 
at the end of para. (2).
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                  (B) \6\ includes an exchange, reduction, or 
                forgiveness of Cuban debt owed to a foreign 
                country in return for a grant of an equity 
                interest in a property, investment, or 
                operation of the Government of Cuba (including 
                the government of any political subdivision of 
                Cuba, and any agency or instrumentality of the 
                Government of Cuba) or of a Cuban national; and
                  (C) \6\ does not include--
                          (i) donations of food to 
                        nongovernmental organizations or 
                        individuals in Cuba, or
                          (ii) exports of medicines or medical 
                        supplies, instruments, or equipment 
                        that would be permitted under section 
                        1705(c).
        As used in this paragraph, the term ``agency or 
        instrumentality of the Government of Cuba'' means an 
        agency or instrumentality of a foreign state as defined 
        in section 1603(b) of title 28, United States Code, 
        with each reference in such section to ``a foreign 
        state'' deemed to be a reference to ``Cuba''.
          (3) Applicability of section.--This section, and any 
        sanctions imposed pursuant to this section, shall cease 
        to apply at such time as the President makes and 
        reports to the Congress a determination under section 
        1708(a).

SEC. 1705.\7\ SUPPORT FOR THE CUBAN PEOPLE.

    (a) Provisions of Law Affected.--The provisions of this 
section apply notwithstanding any other provision of law, 
including section 620(a) of the Foreign Assistance Act of 1961, 
and notwithstanding the exercise of authorities, before the 
enactment of this Act, under section 5(b) of the Trading With 
the Enemy Act, the International Emergency Economic Powers Act, 
or the Export Administration Act of 1979.
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    \7\ 22 U.S.C. 6004. Authority in subsecs. (b)-(e) of this section, 
as such subsections pertain to transactions with Cuba, was delegated to 
the Secretary of the Treasury, pursuant to sec. 3 of Executive Order 
12854 (58 F.R. 36587; July 4, 1993). Authority in subsecs. (b)-(e) 
pertaining to exportation to Cuba, was delegated to the Secretary of 
Commerce, pursuant to sec. 4 of that Order.
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    (b) Donations of Food.--Nothing in this or any other Act 
shall prohibit donations of food to nongovernmental 
organizations or individuals in Cuba.
    (c) Exports of Medicines and Medical Supplies.--Exports of 
medicines or medical supplies, instruments, or equipment to 
Cuba shall not be restricted--
          (1) except to the extent such restrictions would be 
        permitted under section 5(m) of the Export 
        Administration Act of 1979 or section 203(b)(2) of the 
        International Emergency Economic Powers Act;
          (2) except in a case in which there is a reasonable 
        likelihood that the item to be exported will be used 
        for purposes of torture or other human rights abuses;
          (3) except in a case in which there is a reasonable 
        likelihood that the item to be exported will be 
        reexported; and
          (4) except in a case in which the item to be exported 
        could be used in the production of any biotechnological 
        product.
    (d) \5\ Requirements for Certain Exports.--
          (1) Onsite verifications.--(A) Subject to 
        subparagraph (B), an export may be made under 
        subsection (c) only if the President determines that 
        the United States Government is able to verify, by 
        onsite inspections and other appropriate means, that 
        the exported item is to be used for the purposes for 
        which it was intended and only for the use and benefit 
        of the Cuban people.
          (B) Subparagraph (A) does not apply to donations to 
        nongovernmental organizations in Cuba of medicines for 
        humanitarian purposes.
          (2) Licenses.--Exports permitted under subsection (c) 
        shall be made pursuant to specific licenses issued by 
        the United States Government.
    (e) Telecommunications Services and Facilities.--
          (1) Telecommunications services.--Telecommunications 
        services between the United States and Cuba shall be 
        permitted.
          (2) Telecommunications facilities.--
        Telecommunications facilities are authorized in such 
        quantity and of such quality as may be necessary to 
        provide efficient and adequate telecommunications 
        services between the United States and Cuba.
          (3) Licensing of payments to cuba.--(A) The President 
        may provide for the issuance of licenses for the full 
        or partial payment to Cuba of amounts due Cuba as a 
        result of the provision of telecommunications services 
        authorized by this subsection, in a manner that is 
        consistent with the public interest and the purposes of 
        this title, except that this paragraph shall not 
        require any withdrawal from any account blocked 
        pursuant to regulations issued under section 5(b) of 
        the Trading With the Enemy Act.
          (B) If only partial payments are made to Cuba under 
        subparagraph (A), the amounts withheld from Cuba shall 
        be deposited in an account in a banking institution in 
        the United States. Such account shall be blocked in the 
        same manner as any other account containing funds in 
        which Cuba has any interest, pursuant to regulations 
        issued under section 5(b) of the Trading With the Enemy 
        Act.
          (4) Authority of federal communications commission.--
        Nothing in this subsection shall be construed to 
        supersede the authority of the Federal Communications 
        Commission.
          (5) \8\ Prohibition on investment in domestic 
        telecommunications services.--Nothing in this 
        subsection shall be construed to authorize the 
        investment by any United States person in the domestic 
        telecommunications network within Cuba. For purposes of 
        this paragraph, an ``investment'' in the domestic 
        telecommunications network within Cuba includes the 
        contribution (including by donation) of funds or 
        anything of value to or for, and the making of loans to 
        or for, such network.
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    \8\ Sec. 102(g) of the Cuban Liberty and Democratic Solidarity 
(LIBERTAD) Act of 1996 (Public Law 104-114; 110 Stat. 793) added paras. 
(5) and (6).
---------------------------------------------------------------------------
          (6) \8\ Reports to congress.--The President shall 
        submit to the Congress on a semiannual basis a report 
        detailing payments made to Cuba by any United States 
        person as a result of the provision of 
        telecommunications services authorized by this 
        subsection.
    (f) Direct Mail Delivery to Cuba.--The United States Postal 
Service shall take such actions as are necessary to provide 
direct mail service to and from Cuba, including, in the absence 
of common carrier service between the 2 countries, the use of 
charter service providers.
    (g) Assistance To Support Democracy in Cuba.--The United 
States Government may provide assistance, through appropriate 
nongovernmental organizations, for the support of individuals 
and organizations to promote nonviolent democratic change in 
Cuba.

SEC. 1706.\5\, \9\ SANCTIONS.

    (a) Prohibition on Certain Transactions Between Certain 
United States Firms and Cuba.--
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    \9\ 22 U.S.C. 6005. Authority in this section pertaining to 
transactions with Cuba was delegated to the Secretary of the Treasury, 
pursuant to sec. 3 of Executive Order 12854 (58 F.R. 36587; July 4, 
1993).
---------------------------------------------------------------------------
          (1) Prohibition.--Notwithstanding any other provision 
        of law, no license may be issued for any transaction 
        described in section 515.559 of title 31, Code of 
        Federal Regulations, as in effect on July 1, 1989.
          (2) Applicability to existing contracts.--Paragraph 
        (1) shall not affect any contract entered into before 
        the date of the enactment of this Act.
    (b) Prohibitions on Vessels.--
          (1) Vessels engaging in trade.--Beginning on the 61st 
        day after the date of the enactment of this Act, a 
        vessel which enters a port or place in Cuba to engage 
        in the trade of goods or services may not, within 180 
        days after departure from such port or place in Cuba, 
        load or unload any freight at any place in the United 
        States, except pursuant to a license issued by the 
        Secretary of the Treasury.
          (2) Vessels carrying goods or passengers to or from 
        cuba.--Except as specifically authorized by the 
        Secretary of the Treasury, a vessel carrying goods or 
        passengers to or from Cuba or carrying goods in which 
        Cuba or a Cuban national has any interest may not enter 
        a United States port.
          (3) Inapplicability of ship stores general license.--
        No commodities which may be exported under a general 
        license described in section 771.9 of title 15, Code of 
        Federal Regulations, as in effect on May 1, 1992, may 
        be exported under a general license to any vessel 
        carrying goods or passengers to or from Cuba or 
        carrying goods in which Cuba or a Cuban national has an 
        interest.
          (4) Definitions.--As used in this subsection--
                  (A) the term ``vessel'' includes every 
                description of water craft or other contrivance 
                used, or capable of being used, as a means of 
                transportation in water, but does not include 
                aircraft;
                  (B) the term ``United States'' includes the 
                territories and possessions of the United 
                States and the customs waters of the United 
                States (as defined in section 401 of the Tariff 
                Act of 1930 (19 U.S.C. 1401)); and
                  (C) the term ``Cuban national'' means a 
                national of Cuba, as the term ``national'' is 
                defined in section 515.302 of title 31, Code of 
                Federal Regulations, as of August 1, 1992.
    (c) Restrictions on Remittances to Cuba.--The President 
shall establish strict limits on remittances to Cuba by United 
States persons for the purpose of financing the travel of 
Cubans to the United States, in order to ensure that such 
remittances reflect only the reasonable costs associated with 
such travel, and are not used by the Government of Cuba as a 
means of gaining access to United States currency.
    (d) Clarification of Applicability of Sanctions.--The 
prohibitions contained in subsections (a), (b), and (c) shall 
not apply with respect to any activity otherwise permitted by 
section 1705 or section 1707 of this Act or any activity which 
may not be regulated or prohibited under section 5(b)(4) of the 
Trading With the Enemy Act (50 U.S.C. App. 5(b)(4)).

SEC. 1707.\10\ POLICY TOWARD A TRANSITIONAL CUBAN GOVERNMENT.

    Food, medicine, and medical supplies for humanitarian 
purposes should be made available for Cuba under the Foreign 
Assistance Act of 1961 and the Agricultural Trade Development 
and Assistance Act of 1954 if the President determines and 
certifies to the Committee on Foreign Affairs \11\ of the House 
of Representatives and the Committee on Foreign Relations of 
the Senate that the government in power in Cuba--
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    \10\ 22 U.S.C. 6006. Authority in this section was delegated to the 
Secretary of State, pursuant to sec. 2 of Executive Order 12854 (58 
F.R. 36587; July 4, 1993).
    \11\ Sec. 1(a)(5) of Public Law 104-14 (109 Stat. 186) provided 
that references to the Committee on Foreign Affairs of the House of 
Representatives shall be treated as referring to the Committee on 
International Relations of the House of Representatives.
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          (1) has made a public commitment to hold free and 
        fair elections for a new government within 6 months and 
        is proceeding to implement that decision;
          (2) has made a public commitment to respect, and is 
        respecting, internationally recognized human rights and 
        basic democratic freedoms; and
          (3) is not providing weapons or funds to any group, 
        in any other country, that seeks the violent overthrow 
        of the government of that country.

SEC. 1708.\12\ POLICY TOWARD A DEMOCRATIC CUBAN GOVERNMENT.

    (a) Waiver of Restrictions.--The President may waive the 
requirements of section 1706 if the President determines and 
reports to the Congress that the Government of Cuba--
---------------------------------------------------------------------------
    \12\ 22 U.S.C. 6007. Authority in this section was delegated to the 
Secretary of State, pursuant to sec. 2 of Executive Order 12854 (58 
F.R. 36587; July 4, 1993).
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          (1) has held free and fair elections conducted under 
        internationally recognized observers;
          (2) has permitted opposition parties ample time to 
        organize and campaign for such elections, and has 
        permitted full access to the media to all candidates in 
        the elections;
          (3) is showing respect for the basic civil liberties 
        and human rights of the citizens of Cuba;
          (4) is moving toward establishing a free market 
        economic system; and
          (5) has committed itself to constitutional change 
        that would ensure regular free and fair elections that 
        meet the requirements of paragraph (2).
    (b) Policies.--If the President makes a determination under 
subsection (a), the President shall take the following actions 
with respect to a Cuban Government elected pursuant to 
elections described in subsection (a):
          (1) To encourage the admission or reentry of such 
        government to international organizations and 
        international financial institutions.
          (2) To provide emergency relief during Cuba's 
        transition to a viable economic system.
          (3) To take steps to end the United States trade 
        embargo of Cuba.

SEC. 1709.\13\ EXISTING CLAIMS NOT AFFECTED.

    Except as provided in section 1705(a), nothing in this 
title affects the provisions of section 620(a)(2) of the 
Foreign Assistance Act of 1961.
---------------------------------------------------------------------------
    \13\ 22 U.S.C. 6008.
---------------------------------------------------------------------------

SEC. 1710.\14\ ENFORCEMENT.

    (a) Enforcement Authority.--The authority to enforce this 
title shall be carried out by the Secretary of the Treasury. 
The Secretary of the Treasury shall exercise the authorities of 
the Trading With the Enemy Act in enforcing this title. In 
carrying out this subsection, the Secretary of the Treasury 
shall take the necessary steps to ensure that activities 
permitted under section 1705 are carried out for the purposes 
set forth in this title and not for purposes of the 
accumulation by the Cuban Government of excessive amounts of 
United States currency or the accumulation of excessive profits 
by any person or entity.
---------------------------------------------------------------------------
    \14\ 22 U.S.C. 6009.
---------------------------------------------------------------------------
    (b) Authorization of Appropriations.--There are authorized 
to be appropriated to the Secretary of the Treasury such sums 
as may be necessary to carry out this title.
    (c) Penalties Under the Trading With the Enemy Act.--
Section 16 of the Trading With the Enemy Act (50 U.S.C. App. 
16) is amended--
          (1) by striking ``That whoever'' and inserting ``(a) 
        Whoever''; and
          (2) by adding at the end the following:
     ``(b)(1) The Secretary of the Treasury may impose a civil 
penalty of not more than $50,000 on any person who violates any 
license, order, rule, or regulation issued under this Act.
    ``(2) Any property, funds, securities, papers, or other 
articles or documents, or any vessel, together with its tackle, 
apparel, furniture, and equipment, that is the subject of a 
violation under paragraph (1) shall, at the discretion of the 
Secretary of the Treasury, be forfeited to the United States 
Government.
    ``(3) The penalties provided under this subsection may not 
be imposed for--
          ``(A) news gathering, research, or the export or 
        import of, or transmission of, information or 
        informational materials; or
          ``(B) clearly defined educational or religious 
        activities, or activities of recognized human rights 
        organizations, that are reasonably limited in 
        frequency, duration, and number of participants.
    ``(4) The penalties provided under this subsection may be 
imposed only on the record after opportunity for an agency 
hearing in accordance with sections 554 through 557 of title 5, 
United States Code, with the right to prehearing discovery.
    ``(5) Judicial review of any penalty imposed under this 
subsection may be had to the extent provided in section 702 of 
title 5, United States Code.''.
    (d) Applicability of Penalties.--The penalties set forth in 
section 16 of the Trading With the Enemy Act shall apply to 
violations of this title to the same extent as such penalties 
apply to violations under that Act.
    (e) Office of Foreign Assets Control.--The Department of 
the Treasury shall establish and maintain a branch of the 
Office of Foreign Assets Control in Miami, Florida, in order to 
strengthen the enforcement of this title.

SEC. 1711.\15\ DEFINITION.

    As used in this title, the term ``United States person'' 
means any United States citizen or alien admitted for permanent 
residence in the United States, and any corporation, 
partnership, or other organization organized under the laws of 
the United States.
---------------------------------------------------------------------------
    \15\ 22 U.S.C. 6010.
---------------------------------------------------------------------------

SEC. 1712.\16\ EFFECTIVE DATE.

    This title shall take effect on the date of the enactment 
of this Act.
---------------------------------------------------------------------------
    \16\ 22 U.S.C. 6001 note.
             (4) Implementation of the Cuban Democracy Act

 Executive Order 12854 of July 4, 1993, 58 F.R. 36587, 22 U.S.C. 6001 
                                  note

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including the Trading With the Enemy Act, as amended (50 U.S.C. 
App. 1-6, 7-39, 41-44), the Cuban Democracy Act of 1992 (Public 
Law 102-484, sections 1701-1712, October 23, 1992, 106 Stat. 
2575) (the ``Act''), and section 301 of title 3, United States 
Code,
    I, WILLIAM J. CLINTON, President of the United States of 
America, hereby order:
    Section 1. Implementation of the Act. All agencies are 
hereby directed to take all appropriate measures within their 
authority, including the promulgation of rules and regulations, 
to carry out the provisions of the Act.
    Sec. 2. Functions of the Department of State. The Secretary 
of State shall be responsible for implementing sections 1704, 
1707, and 1708 of the Act. Responsibility for transmitting the 
certification required by section 1707 and the report required 
by section 1708 of the Act is delegated to the Secretary of 
State.
    Sec. 3. Functions of the Department of the Treasury. Except 
as provided in section 4 of this order, the Secretary of the 
Treasury shall be responsible for implementing sections 
1705(b)-(e) and 1706 of the Act, to the extent that these 
sections pertain to transactions with Cuba.
    Sec. 4. Functions of the Department of Commerce. The 
Secretary of Commerce shall be responsible for implementing 
sections 1705(b)-(e) of the Act, to the extent that these 
sections pertain to the exportation to Cuba from the United 
States or from a third country of goods and technology subject 
to the jurisdiction of the Department of Commerce.
    Sec. 5. Consultation. In consultation with the Secretary of 
State, the Secretary of the Treasury and the Secretary of 
Commerce are hereby authorized to take such actions, including 
the promulgation of rules and regulations, as may be necessary 
to carry out the purposes of the Act and this order.
    Sec. 6. Nothing in this order shall be deemed to affect any 
functions vested by law in the Federal Communications 
Commission.
    Sec. 7. Effective Date. This order shall be effective 
immediately.
                  i. Economic Relations With Iraq \1\

                     (1) Iraq Sanctions Act of 1990

    Partial text of Public Law 101-513 [Foreign Operations, Export 
 Financing, and Related Programs Appropriations Act, 1991; H.R. 5114], 
           104 Stat. 1979 at 2047, approved November 5, 1990

AN ACT Making appropriations for foreign operations, export financing, 
and related programs for the fiscal year ending September 30, 1991, and 
                          for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled, That the 
following sums are appropriated, out of any money in the 
Treasury not otherwise appropriated, for foreign operations, 
export financing, and related programs for the fiscal year 
ending September 30, 1991, and for other purposes, namely:
---------------------------------------------------------------------------
    \1\ See also the Iran-Iraq Arms Non-Proliferation Act of 1992 
(title XVI of Public Law 102-484; 106 Stat. 2571), in Legislation on 
Foreign Relations Through 2000, vol. II; and secs. 507, 523, and 533 of 
the Foreign Operations, Export Financing, and Related Programs 
Appropriations Act, 1997 (sec. 101(c) of title I of Public Law 104-208; 
110 Stat. 3009), in Legislation on Foreign Relations Through 2002, vol. 
I-A.
---------------------------------------------------------------------------
          * * * * * * *

                      TITLE V--GENERAL PROVISIONS

          * * * * * * *

                     iraq sanctions act of 1990 \2\

SEC. 586. SHORT TITLE.

  Sections 586 through 586J of this Act may be cited as the 
``Iraq Sanctions Act of 1990''.
---------------------------------------------------------------------------
    \2\ 50 U.S.C. 1701 note.
---------------------------------------------------------------------------

SEC. 586A. DECLARATIONS REGARDING IRAQ'S INVASION OF KUWAIT.

  The Congress--
          (1) condemns Iraq's invasion of Kuwait on August 2, 
        1990;
          (2) supports the actions that have been taken by the 
        President in response to that invasion;
          (3) calls for the immediate and unconditional 
        withdrawal of Iraqi forces from Kuwait;
          (4) supports the efforts of the United Nations 
        Security Council to end this violation of international 
        law and threat to international peace;
          (5) supports the imposition and enforcement of 
        multilateral sanctions against Iraq;
          (6) calls on United States allies and other countries 
        to support fully the efforts of the United Nations 
        Security Council, and to take other appropriate 
        actions, to bring about an end to Iraq's occupation of 
        Kuwait; and
          (7) condemns the brutal occupation of Kuwait by Iraq 
        and its gross violations of internationally recognized 
        human rights in Kuwait, including widespread arrests, 
        torture, summary executions, and mass extrajudicial 
        killings.

SEC. 586B. CONSULTATIONS WITH CONGRESS.

  The President shall keep the Congress fully informed, and 
shall consult with the Congress, with respect to current and 
anticipated events regarding the international crisis caused by 
Iraq's invasion of Kuwait, including with respect to United 
States actions.

SEC. 586C. TRADE EMBARGO AGAINST IRAQ.

  (a) Continuation of Embargo.--Except as otherwise provided in 
this section, the President shall continue to impose the trade 
embargo and other economic sanctions with respect to Iraq and 
Kuwait that the United States is imposing, in response to 
Iraq's invasion of Kuwait, pursuant to Executive Orders 
Numbered 12724 and 12725 (August 9, 1990) and, to the extent 
they are still in effect, Executive Orders Numbered 12722 and 
12723 (August 2, 1990).\3\ Notwithstanding any other provision 
of law, no funds, credits, guarantees, or insurance 
appropriated or otherwise made available by this or any other 
Act for fiscal year 1991 or any fiscal year thereafter shall be 
used to support or administer any financial or commercial 
operation of any United States Government department, agency, 
or other entity, or of any person subject to the jurisdiction 
of the United States, for the benefit of the Government of 
Iraq, its agencies or instrumentalities, or any person working 
on behalf of the Government of Iraq, contrary to the trade 
embargo and other economic sanctions imposed in accordance with 
this section.
---------------------------------------------------------------------------
    \3\ Executive Order 12771 of July 25, 1991 (56 F.R. 35993), revoked 
Executive Orders 12723 and 12725, relating to blocking Kuwaiti 
government property and prohibiting transactions with Kuwait while 
occupied by Iraq.
---------------------------------------------------------------------------
  (b) Humanitarian Assistance.--To the extent that transactions 
involving foodstuffs or payments for foodstuffs are exempted 
``in humanitarian circumstances'' from the prohibitions 
established by the United States pursuant to United Nations 
Security Council Resolution 661 (1990), those exemptions shall 
be limited to foodstuffs that are to be provided consistent 
with United Nations Security Council Resolution 666 (1990) and 
other relevant Security Council resolutions.\4\
---------------------------------------------------------------------------
    \4\ United Nations Security Council Resolution 678, adopted 
November 29, 1990, recalled and reaffirmed the intentions of earlier 
U.N. resolutions relating to Iraq's invasion of Kuwait on August 2, 
1990. Earlier resolutions, in part: condemned the Iraqi invasion of 
Kuwait, demanded that Iraq withdraw immediately and unconditionally 
from Kuwait, called upon Iraq and Kuwait to begin negotiations for the 
resolution of their differences (Resolution 660 adopted August 2, 
1990); prevented trade relations between Iraq and U.N. Member States, 
or the import of any Iraqi or Kuwaiti products, and established a 
Committee of the Security Council to examine progress of this trade 
embargo (Resolution 661 adopted August 6, 1990); determined that the 
annexation of Kuwait by Iraq had no legal validity (Resolution 662 of 
August 9, 1990); demanded that Iraq facilitate and permit the immediate 
departure from Kuwait and Iraq of third country citizens (Resolution 
664 adopted August 18, 1990); called upon Member States to blockade 
maritime activity to the region (Resolution 665 adopted August 25, 
1990); considered an exemption of the trade embargo for foodstuffs to 
Iraq and Kuwait (Resolution 666 adopted September 13, 1990); condemned 
Iraq's aggressions against international diplomatic premises and 
personnel in Kuwait (Resolution 667 adopted September 16, 1990); 
expanded responsibilities of the Committee established under Resolution 
661 (Resolution 669 adopted September 14, 1990); further defined the 
trade embargo to include air traffic, and called upon Member States to 
detain Iraqi ships in port (Resolution 670 adopted September 25, 1990); 
condemned the taking of third nation nationals hostage, and condemned 
the destruction of Kuwaiti property by Iraq (Resolution 674 adopted 
October 29, 1990); and condemned Iraqi attempts to alter the 
demographic composition of the Kuwaiti population (Resolution 677 
adopted November 28, 1990).
    Resolution 678, adopted by the U.N. Security Council on November 
29, 1990, in part:
    ``Demands that Iraq comply fully with resolutions 660 (1990) and 
all subsequent relevant resolutions, and decides, while maintaining all 
its decisions, to allow Iraq one final opportunity, as a pause of 
goodwill, to do so;
    ``Authorizes Member States cooperating with the Government of 
Kuwait, unless Iraq on or before 15 January 1991 fully implements, as 
set forth in paragraph 1 above, the foregoing resolutions, to use all 
necessary means to uphold and implement resolution 660 (1990) and all 
subsequent relevant resolutions and to restore international peace and 
security in the area;''.
---------------------------------------------------------------------------
  (c) Notice to Congress of Exceptions to and Termination of 
Sanctions.--
          (1) Notice of regulations.--Any regulations issued 
        after the date of enactment of this Act with respect to 
        the economic sanctions imposed with respect to Iraq and 
        Kuwait by the United States under Executive Orders 
        Numbered 12722 and 12723 (August 2, 1990) and Executive 
        Orders Numbered 12724 and 12725 (August 9, 1990) \3\ 
        shall be submitted to the Congress before those 
        regulations take effect.
          (2) Notice of termination of sanctions.--The 
        President shall notify the Congress at least 15 days 
        before the termination, in whole or in part, of any 
        sanction imposed with respect to Iraq or Kuwait 
        pursuant to those Executive orders.
  (d) Relation to Other Laws.--
          (1) Sanctions legislation.--The sanctions that are 
        described in subsection (a) are in addition to, and not 
        in lieu of the sanctions provided for in section 586G 
        of this Act or any other provision of law.
          (2) National emergencies and united nations 
        legislation.--Nothing in this section supersedes any 
        provision of the National Emergencies Act or any 
        authority of the President under the International 
        Emergency Economic Powers Act or section 5(a) of the 
        United Nations Participation Act of 1945.

SEC. 586D.\5\ COMPLIANCE WITH UNITED NATIONS SANCTIONS AGAINST IRAQ.

  (a) Denial of Assistance.--None of the funds appropriated or 
otherwise made available pursuant to this Act to carry out the 
Foreign Assistance Act of 1961 (including title IV of chapter 2 
of part I, relating to the Overseas Private Investment 
Corporation) or the Arms Export Control Act may be used to 
provide assistance to any country that is not in compliance 
with the United Nations Security Council sanctions against Iraq 
unless the President determines and so certifies to the 
Congress that--
---------------------------------------------------------------------------
    \5\ In Presidential Determination 91-46 of July 13, 1991, the 
President invoked the authority of this section when he determined and 
certified ``that assistance for Jordan under chapter 4 of part II of 
the Foreign Assistance Act of 1961, as amended, and under section 23 of 
the Arms Export Control Act, is in the national interest of the United 
States.'' He further determined, by virtue of authority given in sec. 
502(c) of Public Law 102-27, that such assistance ``would be beneficial 
to the peace process in the Middle East'' (56 F.R. 33839; July 24, 
1991).
    In Presidential Determination 91-53 of September 16, 1991, the 
President made the same determinations regarding assistance for Jordan 
under chapter 5 of part II of the Foreign Assistance Act of 1961, as 
amended (56 F.R. 49837; October 2, 1991).
---------------------------------------------------------------------------
          (1) such assistance is in the national interest of 
        the United States;
          (2) such assistance will directly benefit the needy 
        people in that country; or
          (3) the assistance to be provided will be 
        humanitarian assistance for foreign nationals who have 
        fled Iraq and Kuwait.
  (b) Import Sanctions.--If the President considers that the 
taking of such action would promote the effectiveness of the 
economic sanctions of the United Nations and the United States 
imposed with respect to Iraq, and is consistent with the 
national interest, the President may prohibit, for such a 
period of time as he considers appropriate, the importation 
into the United States of any or all products of any foreign 
country that has not prohibited--
          (1) the importation of products of Iraq into its 
        customs territory, and
          (2) the export of its products to Iraq.

SEC. 586E. PENALTIES FOR VIOLATIONS OF EMBARGO.

  Notwithstanding section 206 of the International Emergency 
Economic Powers Act (50 U.S.C. 1705) and section 5(b) of the 
United Nations Participation Act of 1945 (22 U.S.C. 287c(b))--
          (1) a civil penalty of not to exceed $250,000 may be 
        imposed on any person who, after the date of enactment 
        of this Act, violates or evades or attempts to violate 
        or evade Executive Order Numbered 12722, 12723, 12724, 
        or 12725 \3\ or any license, order, or regulation 
        issued under any such Executive order; and
          (2) whoever, after the date of enactment of this Act, 
        willfully violates or evades or attempts to violate or 
        evade Executive Order Numbered 12722, 12723, 12724, or 
        12725 \3\ or any license, order, or regulation issued 
        under any such Executive order--
                  (A) shall, upon conviction, be fined not more 
                than $1,000,000, if a person other than a 
                natural person; or
                  (B) if a natural person, shall, upon 
                conviction, be fined not more than $1,000,000, 
                be imprisoned for not more than 12 years, or 
                both.
Any officer, director, or agent of any corporation who 
knowingly participates in a violation, evasion, or attempt 
described in paragraph (2) may be punished by imposition of the 
fine or imprisonment (or both) specified in subparagraph (B) of 
that paragraph.

SEC. 586F. DECLARATIONS REGARDING IRAQ'S LONG-STANDING VIOLATIONS OF 
                    INTERNATIONAL LAW.

  (a) Iraq's Violations of International Law.--The Congress 
determines that--
          (1) the Government of Iraq has demonstrated repeated 
        and blatant disregard for its obligations under 
        international law by violating the Charter of the 
        United Nations, the Protocol for the Prohibition of the 
        Use in War of Asphyxiating, Poisonous or Other Gases, 
        and of Bacteriological Methods of Warfare (done at 
        Geneva, June 17, 1925), as well as other international 
        treaties;
          (2) the Government of Iraq is a party to the 
        International Covenant on Civil and Political Rights 
        and the International Covenant on Economic, Social, and 
        Cultural Rights and is obligated under the Covenants, 
        as well as the Universal Declaration of Human Rights, 
        to respect internationally recognized human rights;
          (3) the State Department's Country Reports on Human 
        Rights Practices for 1989 again characterizes Iraq's 
        human rights record as ``abysmal'';
          (4) Amnesty International, Middle East Watch, and 
        other independent human rights organizations have 
        documented extensive, systematic, and continuing human 
        rights abuses by the Government of Iraq, including 
        summary executions, mass political killings, 
        disappearances, widespread use of torture, arbitrary 
        arrests and prolonged detention without trial of 
        thousands of political opponents, forced relocation and 
        deportation, denial of nearly all civil and political 
        rights such as freedom of association, assembly, 
        speech, and the press, and the imprisonment, torture, 
        and execution of children;
          (5) since 1987, the Government of Iraq has 
        intensified its severe repression of the Kurdish 
        minority of Iraq, deliberately destroyed more than 
        3,000 villages and towns in the Kurdish regions, and 
        forcibly expelled more than 500,000 people, thus 
        effectively depopulating the rural areas of Iraqi 
        Kurdistan;
          (6) Iraq has blatantly violated international law by 
        initiating use of chemical weapons in the Iran-Iraq 
        war;
          (7) Iraq has also violated international law by using 
        chemical weapons against its own Kurdish citizens, 
        resulting in tens of thousands of deaths and more than 
        65,000 refugees;
          (8) Iraq continues to expand its chemical weapons 
        capability, and President Saddam Hussein has threatened 
        to use chemical weapons against other nations;
          (9) persuasive evidence exists that Iraq is 
        developing biological weapons in violation of 
        international law;
          (10) there are strong indications that Iraq has taken 
        steps to produce nuclear weapons and has attempted to 
        smuggle from the United States, in violation of United 
        States law, components for triggering devices used in 
        nuclear warheads whose manufacture would contravene the 
        Treaty on the Non-Proliferation of Nuclear Weapons, to 
        which Iraq is a party; and
          (11) Iraqi President Saddam Hussein has threatened to 
        use terrorism against other nations in violation of 
        international law and has increased Iraq's support for 
        the Palestine Liberation Organization and other 
        Palestinian groups that have conducted terrorist acts.
  (b) Human Rights Violations.--The Congress determines that 
the Government of Iraq is engaged in a consistent pattern of 
gross violations of internationally recognized human rights. 
All provisions of law that impose sanctions against a country 
whose government is engaged in a consistent pattern of gross 
violations of internationally recognized human rights shall be 
fully enforced against Iraq.
  (c) Support for International Terrorism.--(1) The Congress 
determines that Iraq is a country which has repeatedly provided 
support for acts of international terrorism, a country which 
grants sanctuary from prosecution to individuals or groups 
which have committed an act of international terrorism, and a 
country which otherwise supports international terrorism. The 
provisions of law specified in paragraph (2) and all other 
provisions of law that impose sanctions against a country which 
has repeatedly provided support for acts of international 
terrorism, which grants sanctuary from prosecution to an 
individual or group which has committed an act of international 
terrorism, or which otherwise supports international terrorism 
shall be fully enforced against Iraq.
  (2) The provisions of law referred to in paragraph (1) are--
          (A) section 40 of the Arms Export Control Act;
          (B) section 620A of the Foreign Assistance Act of 
        1961;
          (C) sections 555 and 556 of this Act (and the 
        corresponding sections of predecessor foreign 
        operations appropriations Acts); and
          (D) section 555 of the International Security and 
        Development Cooperation Act of 1985.
  (d) Multilateral Cooperation.--The Congress calls on the 
President to seek multilateral cooperation--
          (1) to deny dangerous technologies to Iraq;
          (2) to induce Iraq to respect internationally 
        recognized human rights; and
          (3) to induce Iraq to allow appropriate international 
        humanitarian and human rights organizations to have 
        access to Iraq and Kuwait, including the areas in 
        northern Iraq traditionally inhabited by Kurds.

SEC. 586G. SANCTIONS AGAINST IRAQ.

  (a) \6\ Imposition.--Except as provided in section 586H, the 
following sanctions shall apply with respect to Iraq:
---------------------------------------------------------------------------
    \6\ Sec. 1603 of the National Defense Authorization Act for Fiscal 
Year 1993 (Public Law 102-484; 106 Stat. 2752) provided the following:
---------------------------------------------------------------------------

``sec. 1603. application to iran of certain iraq sanctions.
---------------------------------------------------------------------------
    ``The sanctions against Iraq specified in paragraphs (1) through 
(4) of section 586G(a) of the Iraq Sanctions Act of 1990 (as contained 
in Public Law 100-513), including denial of export licenses for United 
States persons and prohibitions on United States Government sales, 
shall be applied to the same extent and in the same manner with respect 
to Iran.''.
---------------------------------------------------------------------------
          (1) FMS sales.--The United States Government shall 
        not enter into any sale with Iraq under the Arms Export 
        Control Act.
          (2) Commercial arms sales.--Licenses shall not be 
        issued for the export to Iraq of any item on the United 
        States Munitions List.
          (3) Exports of certain goods and technology.--The 
        authorities of section 6 of the Export Administration 
        Act of 1979 (50 U.S.C. App. 2405) shall be used to 
        prohibit the export to Iraq of any goods or technology 
        listed pursuant to that section or section 5(c)(1) of 
        that Act (50 U.S.C. App. 2404(c)(1)) on the control 
        list provided for in section 4(b) of that Act (50 
        U.S.C. App. 2403(b)).
          (4) Nuclear equipment, materials, and technology.--
                  (A) NRC licenses.--The Nuclear Regulatory 
                Commission shall not issue any license or other 
                authorization under the Atomic Energy Act of 
                1954 (42 U.S.C. 2011 and following) for the 
                export to Iraq of any source or special nuclear 
                material, any production or utilization 
                facility, any sensitive nuclear technology, any 
                component, item, or substance determined to 
                have significance for nuclear explosive 
                purposes pursuant to section 109b. of the 
                Atomic Energy Act of 1954 (42 U.S.C. 2139(b)), 
                or any other material or technology requiring 
                such a license or authorization.
                  (B) Distribution of nuclear materials.--The 
                authority of the Atomic Energy Act of 1954 
                shall not be used to distribute any special 
                nuclear material, source material, or byproduct 
                material to Iraq.
                  (C) DOE authorizations.--The Secretary of 
                Energy shall not provide a specific 
                authorization under section 57b. (2) of the 
                Atomic Energy Act of 1954 (42 U.S.C. 
                2077(b)(2)) for any activity that would 
                constitute directly or indirectly engaging in 
                Iraq in activities that require a specific 
                authorization under that section.
          (5) Assistance from international financial 
        institutions.--The United States shall oppose any loan 
        or financial or technical assistance to Iraq by 
        international financial institutions in accordance with 
        section 701 of the International Financial Institutions 
        Act (22 U.S.C. 262d).
          (6) Assistance through the export-import bank.--
        Credits and credit guarantees through the Export-Import 
        Bank of the United States shall be denied to Iraq.
          (7) Assistance through the commodity credit 
        corporation.--Credit, credit guarantees, and other 
        assistance through the Commodity Credit Corporation 
        shall be denied to Iraq.
          (8) Foreign assistance.--All forms of assistance 
        under the Foreign Assistance Act of 1961 (22 U.S.C. 
        2151 and following) other than emergency assistance for 
        medical supplies and other forms of emergency 
        humanitarian assistance, and under the Arms Export 
        Control Act (22 U.S.C. 2751 and following) shall be 
        denied to Iraq.
  (b) Contract Sanctity.--For purposes of the export controls 
imposed pursuant to subsection (a)(3), the date described in 
subsection (m)(1) of section 6 of the Export Administration Act 
of 1979 (50 U.S.C. App. 2405) shall be deemed to be August 1, 
1990.

SEC. 586H. WAIVER AUTHORITY.

  (a) In General.--The President may waive the requirements of 
any paragraph of section 586G(a) if the President makes a 
certification under subsection (b) or subsection (c).
  (b) Certification of Fundamental Changes in Iraqi Policies 
and Actions.--The authority of subsection (a) may be exercised 
60 days after the President certifies to the Congress that--
          (1) the Government of Iraq--
                  (A) has demonstrated, through a pattern of 
                conduct, substantial improvement in its respect 
                for internationally recognized human rights;
                  (B) is not acquiring, developing, or 
                manufacturing (i) ballistic missiles, (ii) 
                chemical, biological, or nuclear weapons, or 
                (iii) components for such weapons; has forsworn 
                the first use of such weapons; and is taking 
                substantial and verifiable steps to destroy or 
                otherwise dispose of any such missiles and 
                weapons it possesses; and
                  (C) does not provide support for 
                international terrorism;
          (2) the Government of Iraq is in substantial 
        compliance with its obligations under international 
        law, including--
                  (A) the Charter of the United Nations;
                  (B) the International Covenant on Civil and 
                Political Rights (done at New York, December 
                16, 1966) and the International Covenant on 
                Economic, Social, and Cultural Rights (done at 
                New York, December 16, 1966);
                  (C) the Convention on the Prevention and 
                Punishment of the Crime of Genocide (done at 
                Paris, December 9, 1948);
                  (D) the Protocol for the Prohibition of the 
                Use in War of Asphyxiating, Poisonous or Other 
                Gases, and of Bacteriological Methods of 
                Warfare (done at Geneva, June 17, 1925);
                  (E) the Treaty on the Non-Proliferation of 
                Nuclear Weapons (done at Washington, London, 
                and Moscow, July 1, 1968); and
                  (F) the Convention on the Prohibition of the 
                Development, Production and Stockpiling of 
                Bacteriological (Biological) and Toxin Weapons 
                and on Their Destruction (done at Washington, 
                London, and Moscow, April 10, 1972); and
           (3) the President has determined that it is 
        essential to the national interests of the United 
        States to exercise the authority of subsection (a).
  (c) Certification of Fundamental Changes in Iraqi Leadership 
and Policies.--The authority of subsection (a) may be exercised 
30 days after the President certifies to the Congress that--
          (1) there has been a fundamental change in the 
        leadership of the Government of Iraq; and
          (2) the new Government of Iraq has provided reliable 
        and credible assurance that--
                  (A) it respects internationally recognized 
                human rights and it will demonstrate such 
                respect through its conduct;
                  (B) it is not acquiring, developing, or 
                manufacturing and it will not acquire, develop, 
                or manufacture (i) ballistic missiles, (ii) 
                chemical, biological, or nuclear weapons, or 
                (iii) components for such weapons; has forsworn 
                the first use of such weapons; and is taking 
                substantial and verifiable steps to destroy or 
                otherwise dispose of any such missiles and 
                weapons it possesses;
                  (C) it is not and will not provide support 
                for international terrorism; and
                  (D) it is and will continue to be in 
                substantial compliance with its obligations 
                under international law, including all the 
                treaties specified in subparagraphs (A) through 
                (F) of subsection (b)(2).
  (d) Information To Be Included in Certifications.--Any 
certification under subsection (b) or (c) shall include the 
justification for each determination required by that 
subsection. The certification shall also specify which 
paragraphs of section 586G(a) the President will waive pursuant 
to that certification.

SEC. 586I. DENIAL OF LICENSES FOR CERTAIN EXPORTS TO COUNTRIES 
                    ASSISTING IRAQ'S ROCKET OR CHEMICAL, BIOLOGICAL, OR 
                    NUCLEAR WEAPONS CAPABILITY.

  (a) Restriction on Export Licenses.--None of the funds 
appropriated by this or any other Act may be used to approve 
the licensing for export of any supercomputer to any country 
whose government the President determines is assisting, or 
whose government officials the President determines are 
assisting, Iraq to improve its rocket technology or chemical, 
biological, or nuclear weapons capability.
  (b) Negotiations.--The President is directed to begin 
immediate negotiations with those governments with which the 
United States has bilateral supercomputer agreements, including 
the Government of the United Kingdom and the Government of 
Japan, on conditions restricting the transfer to Iraq of 
supercomputer or associated technology.

SEC. 586J. REPORTS TO CONGRESS.

  (a) Study and Report on the International Export to Iraq of 
Nuclear, Biological, Chemical, and Ballistic Missile 
Technology.--(1) The President shall conduct a study on the 
sale, export, and third party transfer or development of 
nuclear, biological, chemical, and ballistic missile technology 
to or with Iraq including--
          (A) an identification of specific countries, as well 
        as companies and individuals, both foreign and 
        domestic, engaged in such sale or export of, nuclear, 
        biological, chemical, and ballistic missile technology;
          (B) a detailed description and analysis of the 
        international supply, information, support, and 
        coproduction network, individual, corporate, and state, 
        responsible for Iraq's current capability in the area 
        of nuclear, biological, chemical, and ballistic missile 
        technology; and
          (C) a recommendation of standards and procedures 
        against which to measure and verify a decision of the 
        Government of Iraq to terminate the development, 
        production, coproduction, and deployment of nuclear, 
        biological, chemical, and offensive ballistic missile 
        technology as well as the destruction of all existing 
        facilities associated with such technologies.
  (2) The President shall include in the study required by 
paragraph (1) specific recommendations on new mechanisms, to 
include, but not be limited to, legal, political, economic and 
regulatory, whereby the United States might contribute, in 
conjunction with its friends, allies, and the international 
community, to the management, control, or elimination of the 
threat of nuclear, biological, chemical, and ballistic missile 
proliferation.
  (3) Not later than March 30, 1991, the President shall submit 
to the Committee on Appropriations and the Committee on Foreign 
Relations of the Senate and the Committee on Appropriations and 
the Committee on Foreign Affairs \7\ of the House of 
Representatives, a report, in both classified and unclassified 
form, setting forth the findings of the study required by 
paragraph (1) of this subsection.
---------------------------------------------------------------------------
    \7\ Sec. 1(a)(5) of Public Law 104-14 (109 Stat. 186) provided that 
references to the Committee on Foreign Affairs of the House of 
Representatives shall be treated as referring to the Committee on 
International Relations of the House of Representatives.
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  (b) Study and Report on Iraq's Offensive Military 
Capability.--(1) The President shall conduct a study on Iraq's 
offensive military capability and its effect on the Middle East 
balance of power including an assessment of Iraq's power 
projection capability, the prospects for another sustained 
conflict with Iran, joint Iraqi-Jordanian military cooperation, 
the threat Iraq's arms transfer activities pose to United 
States allies in the Middle East, and the extension of Iraq's 
political-military influence into Africa and Latin America.
  (2) Not later than March 30, 1991, the President shall submit 
to the Committee on Appropriations and the Committee on Foreign 
Relations of the Senate and the Committee on Appropriations and 
the Committee on Foreign Affairs \7\ of the House of 
Representatives, a report, in both classified and unclassified 
form, setting forth the findings of the study required by 
paragraph (1).
  (c) Report on Sanctions Taken by Other Nations Against 
Iraq.--(1) The President shall prepare a report on the steps 
taken by other nations, both before and after the August 2, 
1990, invasion of Kuwait, to curtail the export of goods, 
services, and technologies to Iraq which might contribute to, 
or enhance, Iraq's nuclear, biological, chemical, and ballistic 
missile capability.
  (2) The President shall provide a complete accounting of 
international compliance with each of the sanctions resolutions 
adopted by the United Nations Security Council against Iraq 
since August 2, 1990, and shall list, by name, each country 
which to his knowledge, has provided any assistance to Iraq and 
the amount and type of that assistance in violation of each 
United Nations resolution.\4\
  (3) The President shall make every effort to encourage other 
nations, in whatever forum or context, to adopt sanctions 
toward Iraq similar to those contained in this section.
  (4) Not later than every 6 months after the date of enactment 
of this Act, the President shall submit to the Committee on 
Appropriations and the Committee on Foreign Relations of the 
Senate and the Committee on Appropriations and the Committee on 
Foreign Affairs \7\ of the House of Representatives, a report 
in both classified and unclassified form, setting forth the 
findings of the study required by paragraph (1) of this 
subsection.
(2) Prohibition on Supercomputer Licensing With End-User Designated as 
                                  Iraq

 Partial text of Public Law 101-515 [Departments of Commerce, Justice, 
  and State, the Judiciary, and Related Agencies Appropriations Act, 
      1991; H.R. 5021], 104 Stat. 2101, approved November 5, 1990

AN ACT Making appropriations for the Departments of Commerce, Justice, 
  and State, the Judiciary, and related agencies for the fiscal year 
           ending September 30, 1991, and for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled, That the 
following sums are appropriated, out of any money in the 
Treasury not otherwise appropriated, for the Departments of 
Commerce, Justice, and State, the Judiciary, and related 
agencies for the fiscal year ending September 30, 1991, and for 
other purposes, namely:
          * * * * * * *

                      TITLE VI--GENERAL PROVISIONS

          * * * * * * *
  Sec. 608. (a) None of the funds in this or any other Act may 
be used to approve the licensing for export of any 
supercomputer to any country whose government the President 
determines to be assisting Iraq to improve its ballistic 
missile technology or chemical, biological, or nuclear weapons 
capability and so reports to the Congress.
  (b) None of the funds in this or any other Act may be used to 
approve the licensing for export of any supercomputer to any 
country whose nationals are assisting Iraq to improve its 
rocket technology or chemical, biological, or nuclear weapons 
capability: Provided, That this provision shall apply only if 
the President determines that the government of the country has 
made inadequate efforts to restrict such involvement by its 
citizens or corporations and so reports to the Congress.
  This Act may be cited as the ``Departments of Commerce, 
Justice, and State, the Judiciary, and Related Agencies 
Appropriations Act, 1991''.
          (3) Economic Sanctions Against the Republic of Iraq

Partial text of Public Law 101-510 [National Defense Authorization Act 
  for Fiscal Year 1991; H.R. 4739], 104 Stat. 1485 at 1697, approved 
                            November 5, 1990

 AN ACT To authorize appropriations for fiscal year 1991 for military 
activities of the Department of Defense, for military construction, and 
   for defense activities of the Department of Energy, to prescribe 
personnel strengths for such fiscal year for the Armed Forces, and for 
                            other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,
          * * * * * * *

SEC. 1458.\1\ ECONOMIC SANCTIONS AGAINST THE REPUBLIC OF IRAQ

    If the President considers that the taking of such action 
would promote the effectiveness of the economic sanctions of 
the United Nations and the United States imposed with respect 
to Iraq, and is consistent with the national interest, the 
President may prohibit, for such a period of time as he 
considers appropriate, the importation into the United States 
of any or all products of any foreign country that has not--
---------------------------------------------------------------------------
    \1\ 50 U.S.C. 1701 note.
---------------------------------------------------------------------------
          (1) prohibited--
                  (A) the importation of products of Iraq into 
                its customs territory, and
                  (B) the export of its products to Iraq; or
          (2) given assurances satisfactory to the President 
        that such import and export sanctions will be promptly 
        implemented.
          * * * * * * *
  (4) Blocking Iraqi Government Property and Prohibiting Transactions 
                               With Iraq

 Executive Order 12724, August 9, 1990, 55 F.R. 33089, 50 U.S.C. 1701 
                                  note

    By the authority vested in me as President by the 
Constitution and laws of the United States of America, 
including the International Emergency Economic Powers Act (50 
U.S.C. 1701 et seq.), the National Emergencies Act (50 U.S.C. 
1601 et seq.), section 301 of title 3 of the United States 
Code, and the United Nations Participation Act (22 U.S.C. 
287c), in view of United Nations Security Council Resolution 
No. 661 of August 6, 1990, and in order to take additional 
steps with respect to Iraq's invasion of Kuwait and the 
national emergency declared in Executive Order No. 12722,\1\
---------------------------------------------------------------------------
    \1\ In a notice of July 21, 1992, (57 F.R. 32875), the President 
stated that this national emergency must continue in effect beyond 
August 2, 1992. The national emergency was continued by Presidential 
notices on the following dates: July 20, 1993 (58 F.R. 39111); July 19, 
1994 (59 F.R. 37151); July 28, 1995 (60 F.R. 39099); July 22, 1996 (61 
F.R. 38561); July 31, 1997 (62 F.R. 41803); July 28, 1998 (63 F.R. 
41175); July 20, 1999 (64 F.R. 39897); July 28, 2000 (65 F.R. 47241); 
July 31, 2001 (66 F.R. 40103); July 30, 2002 (66 F.R. 50339); and July 
31, 2003 (68 F.R. 45737).
    Executive Order 12722 (August 2, 1990, 55 F.R. 31803, 50 U.S.C. 
1701 note), revoked by sec. 6 of this Executive Order, read, in part, 
as follows:
---------------------------------------------------------------------------

``blocking iraqi government property and prohibiting transactions with 
                                  iraq
---------------------------------------------------------------------------
    ``By the authority vested in me as President by the Constitution 
and laws of the United States of America, including the International 
Emergency Economic Powers Act (50 U.S.C. 1701 et seq.), the National 
Emergencies Act (50 U.S.C. 1601 et seq.), and section 301 of title 3 of 
the United States Code.
    ``I, George Bush, President of the United States of America, find 
that the policies and actions of the Government of Iraq constitute an 
unusual and extraordinary threat to the national security and foreign 
policy of the United States and hereby declare a national emergency to 
deal with that threat.
    ``I hereby order:
    ``Section 1. All property and interests in property of the 
Government of Iraq, its agencies, instrumentalities and controlled 
entities and the Central Bank of Iraq that are in the United States, 
that hereafter come within the United States or that are or hereafter 
come within the possession or control of United States persons, 
including their overseas branches, are hereby blocked.
    ``Section 2. The following are prohibited, except to the extent 
provided in regulations which may hereafter be issued pursuant to this 
Order:
    ``(a) the import into the United States of any goods or services of 
Iraqi origin, other than publications and other informational 
materials;
    ``(b) the export to Iraq of any goods, technology (including 
technical data or other information controlled for export pursuant to 
Section 5 of the Export Administration Act (50 U.S.C. App. 2404)) or 
services from the United States, except publications and other 
informational materials, and donations of articles intended to relieve 
human suffering, such as food, clothing, medicine and medical supplies 
intended strictly for medical purposes;
    ``(c) Any transaction by a United States person relating to 
transportation to or from Iraq; the provision of transportation to or 
from the United States by any Iraqi person or any vessel or aircraft of 
Iraqi registration; or the sale in the United States by any person 
holding authority under the Federal Aviation Act of 1958, as amended 
(49 U.S.C. 1514), of any transportation by air which includes any stop 
in Iraq;
    ``(d) The purchase by any United States person of goods for export 
from Iraq to any country;
    ``(e) The performance by any United States person of any contract 
in support of an industrial or other commercial or governmental project 
in Iraq;
    ``(f) The grant or extension of credits or loans by any United 
States person to the Government of Iraq, its instrumentalities and 
controlled entities;
    ``(g) Any transaction by a United States person relating to travel 
by any United States citizen or permanent resident alien to Iraq, or to 
activities by any such person within Iraq, after the date of this 
Order, other than transactions necessary to effect such person's 
departure from Iraq, or travel for journalistic activity by persons 
regularly employed in such capacity by a newsgathering organization; 
and
    ``(h) Any transaction by any United States person which evades or 
avoids, or has the purpose of evading or avoiding, any of the 
prohibitions set forth in this Order.
    ``For purposes of this Order, the term `United States person' means 
any United States citizen, permanent resident alien, juridical person 
organized under the laws of the United States, or any person in the 
United States.''.
---------------------------------------------------------------------------
    I, George Bush, President of the United States of America, 
hereby order:
    Section 1. Except to the extent provided in regulations 
that may hereafter be issued pursuant to this order, all 
property and interests in property of the Government of Iraq 
that are in the United States, that hereafter come within the 
United States, or that are or hereafter come within the 
possession or control of United States persons, including their 
overseas branches, are hereby blocked.
    Sec. 2. The following are prohibited, except to the extent 
provided in regulations which may hereafter be issued pursuant 
to this order:
    (a) The importation into the United States of any goods or 
services of Iraqi origin, or any activity that promotes or is 
intended to promote such importation;
    (b) The exportation to Iraq, or to any entity operated from 
Iraq, or owned or controlled by the Government of Iraq, 
directly or indirectly, of any goods, technology (including 
technical data or other information), or services either (i) 
from the United States, or (ii) requiring the issuance of a 
license by a Federal agency, or any activity that promotes or 
is intended to promote such exportation, except donations of 
articles intended to relieve human suffering, such as food and 
supplies intended strictly for medical purposes;
    (c) Any dealing by a United States person related to 
property of Iraqi origin exported from Iraq after August 6, 
1990, or property intended for exportation from Iraq to any 
country, or exportation to Iraq from any country, or any 
activity of any kind that promotes or is intended to promote 
such dealing;
    (d) Any transaction by a United States person relating to 
travel by any United States citizen or permanent resident alien 
to Iraq, or to activities by any such person within Iraq, after 
the date of this order, other than transactions necessary to 
effect (i) such person's departure from Iraq, (ii) travel and 
activities for the conduct of the official business of the 
Federal Government or the United Nations, or (iii) travel for 
journalistic activity by persons regularly employed in such 
capacity by a news-gathering organization;
    (e) Any transaction by a United States person relating to 
transportation to or from Iraq; the provision of transportation 
to or from the United States by any Iraqi person or any vessel 
or aircraft of Iraqi registration; or the sale in the United 
States by any person holding authority under the Federal 
Aviation Act of 1958, as amended (49 U.S.C. 1301 et seq.), of 
any transportation by air which includes any stop in Iraq;
    (f) The performance by any United States person of any 
contract, including a financing contract, in support of an 
industrial, commercial, public utility, or governmental project 
in Iraq;
    (g) Except as otherwise authorized herein, any commitment 
or transfer, direct or indirect, of funds, or other financial 
or economic resources by any United States person to the 
Government of Iraq or any other person in Iraq;
    (h) any transaction by any United States person that evades 
or avoids, or has the purpose of evading or avoiding, any of 
the prohibitions set forth in this order.
    Sec. 3. For purposes of this order:
    (a) the term ``United States person'' means any United 
States citizen, permanent resident alien, juridical person 
organized under the laws of the United States (including 
foreign branches), or any person in the United States, and 
vessels of U.S. registration.
    (b) the term ``Government of Iraq'' includes the Government 
of Iraq, its agencies, instrumentalities and controlled 
entities, and the Central Bank of Iraq.
    Sec. 4. This order is effective immediately.
    Sec. 5. The Secretary of the Treasury, in consultation with 
the Secretary of State, is hereby authorized to take such 
actions, including the promulgation of rules and regulations, 
as may be necessary to carry out the purposes of this order. 
Such actions may include prohibiting or regulating payments or 
transfers of any property or any transactions involving the 
transfer of anything of economic value by any United States 
person to the Government of Iraq, or to any Iraqi national or 
entity owned or controlled, directly or indirectly, by the 
Government of Iraq or Iraqi nationals. The Secretary of the 
Treasury may redelegate any of these functions to other 
officers and agencies of the Federal Government. All agencies 
of the Federal Government are directed to take all appropriate 
measures within their authority to carry out the provisions of 
this order, including the suspension or termination of licenses 
or other authorizations in effect as of the date of this order.
    Sec. 6. Executive Order No. 12722 of August 2, 1990, is 
hereby revoked to the extent inconsistent with this order. All 
delegation, rules, regulations, orders, licenses, and other 
forms of administrative action made, issued, or otherwise taken 
under Executive Order No. 12722 and not revoked 
administratively shall remain in full force and effect under 
this order until amended, modified, or terminated by proper 
authority. The revocation of any provision of Executive Order 
No. 12722 pursuant to this section shall not affect any 
violation of any rules, regulations, orders, licenses, or other 
forms of administrative action under that order during the 
period that such provision of that order was in effect.
    This order shall be transmitted to the Congress and 
published in the Federal Register.
 (5) Transfer of Certain Iraqi Government Assets Held By Domestic Banks

Executive Order 12817, October 21, 1992, 57 F.R. 48433, 50 U.S.C. 1701 
                                  note

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including the International Emergency Economic Powers Act (50 
U.S.C. 1701 et seq.), the National Emergencies Act (50 U.S.C. 
1601 et seq.), section 5 of the United Nations Participation 
Act of 1945, as amended 922 U.S.C. 287c), and section 301 of 
title 3 of the United States Code, in order to apply in the 
United States measures adopted in United Nations Security 
Council Resolution No. 778 of October 2, 1992,\1\ and in order 
to take additional steps with respect to the actions and 
policies of the Government of Iraq and the national emergency 
described and declared in Executive Order 12722,
---------------------------------------------------------------------------
    \1\ United Nations Security Council Resolution No. 778 of October 
2, 1992, recalled earlier U.N. resolutions that sought to establish a 
mechanism for disbursing humanitarian relief to the Iraqi civilian 
population, including creating an escrow fund (the ``Compensation 
Fund'') to hold the proceeds from Iraqi oil sales. Resolution No. 778 
provided, in part, the means for States to make deposits and transfers 
to the Compensation Fund as a result of seizing Iraqi government 
assets.
---------------------------------------------------------------------------
    I, GEORGE BUSH, President of the United States of America, 
hereby order:
    Section 1. The Secretary of the Treasury is authorized and 
directed to take all actions necessary to carry out the 
provision of United Nations Security Council Resolution No. 778 
with respect to blocked funds and other assets described in 
section 2 of this order. For this purpose, the Secretary of the 
Treasury is delegated and authorized to exercise all 
authorities vested in the President by sections 203 and 205 of 
the International Emergency Economic Powers Act (50 U.S.C. 1702 
and 1704) and section 5 of the United Nations Participation Act 
(22 U.S.C. 287c).
    Sec. 2. Upon a determination by the Secretary of the 
Treasury that funds or other assets in which the Government of 
Iraq or its agencies, instrumentalities, or controlled entities 
have an interest represent the proceeds of the sale of Iraqi 
petroleum or petroleum products, paid for by or on behalf of 
the purchaser on or after August 6, 1990, each and every United 
States financial institution is directed and compelled to 
transfer such funds or assets held by it or carried on its 
books to the Federal Reserve Bank of New York, when, to the 
extent, and in the manner required by the Secretary of the 
Treasury.
    Sec. 3. The Federal Reserve Bank of New York, as fiscal 
agent of the United States, is authorized, directed, and 
compelled to receive funds and other assets in which the 
Government of Iraq or its agencies, instrumentalities, or 
controlled entities have an interest, and to hold, invest, or 
transfer such funds and assets, and any earnings thereon, when, 
to the extent, and in the manner required by the Secretary of 
the Treasury in order to fulfill the rights and obligations of 
the United States under United Nations Security Council 
Resolution No. 778.
    Sec. 4. Compliance with this order, or any regulation, 
instruction, or direction issued under this order, licensing, 
authorizing, directing, or compelling the transfer of the 
blocked funds and other assets described in section 2 of this 
order, or funds and other assets received from the United 
Nations in repayment of funds and assets transferred pursuant 
to section 2 of this order, shall, to the extent thereof, be a 
full acquittance and discharge for all purposes of the 
obligation of the person making the transfer. No person shall 
be held liable in any court for or with respect to anything 
done or omitted in good faith in connection with the 
administration of, or pursuant to and in reliance on, this 
order or any regulation, instruction, or direction issued 
hereunder. The operation of this order shall have no effect on 
rights, debts, and claims existing with respect to funds or 
other assets prior to their transfer to the Federal Reserve 
Bank of New York.
    Sec. 5. For the purposes of this order, the term ``United 
States financial institution'' means any United States citizen, 
permanent resident alien, juridical person organized under the 
laws of the United States, or any person located in the United 
States, which is engaged in the business of accepting deposits, 
making, granting, transferring, holding, or brokering loans or 
credits, or purchasing or selling foreign exchange or 
securities, including but not limited to, depository 
institutions, banks, saving banks, trust companies, securities 
brokers and dealers, clearing corporations, investment 
companies, and U.S. holding companies, U.S. affiliates, or U.S. 
subsidiaries of the foregoing. This term includes branches, 
offices, and agencies of foreign financial institutions which 
are located in the United States.
    Sec. 6. The Secretary of the Treasury, in consultation with 
the Secretary of State, is authorized to take such actions, 
including the issuance of directive licenses, rules, and 
regulations, as may be necessary to carry out the purposes of 
this order. The Secretary of the Treasury may redelegate any of 
these functions to other officers and agencies of the Federal 
Government. All agencies of the Federal Government are directed 
to take all appropriate measures within their authority to 
carry out the provisions of this order.
    Sec. 7. Nothing contained in this order shall create any 
right or benefit, substantive or procedural, enforceable by any 
part (other than the United States) against the United States, 
its agencies or instrumentalities, its officers or employees, 
or any other person.
    Sec. 8.
          (a) This order is effective immediately.
          (b) this order shall be transmitted to the Congress 
        and published in the Federal Register.
                    j. Economic Relations With Iran

              (1) Iran and Libya Sanctions Act of 1996 \1\

Public Law 104-172 [H.R. 3107], 110 Stat. 1541, approved August 5, 1996

   AN ACT To impose sanctions on persons making certain investments 
   directly and significantly contributing to the enhancement of the 
  ability of Iran or Libya to develop its petroleum resources, and on 
    persons exporting certain items that enhance Libya's weapons or 
    aviation capabilities or enhance Libya's ability to develop its 
              petroleum resources, and for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Iran and Libya Sanctions Act 
of 1996''.
---------------------------------------------------------------------------
    \1\ 50 U.S.C. 1701 note. In a memorandum of November 21, 1996 (61 
F.R. 64249), the President made the following delegations of authority 
under this Act:
    ``I hereby delegate to the Secretary of State the functions vested 
in the President by the following provisions of the Iran and Libya 
Sanctions Act of 1996 (Public Law 104-172) (`the Act'), such functions 
to be exercised in consultation with the Departments of the Treasury 
and Commerce and the United States Trade Representative, and with the 
Export-Import Bank and the Federal Reserve Board and other interested 
agencies as appropriate: sections 4(c), 5(a), 5(b), 5(c), 5(f), 6(1), 
6(2), and 9(c). I hereby delegate to the Secretary of State the 
functions vested in the President by the following provisions of the 
Act: sections 4(a), 4(b), 4(d), 4(e), 5(d), 5(e), 9(a), 9(b), and 10. * 
* * The following functions vested in the President by the following 
provisions of the Act delegated by this memorandum may be redelegated: 
4(a), 4(b), 4(d), 4(e), 4(d), 5(e), and 10. All other functions 
delegated by this memorandum may not be redelegated.''.
---------------------------------------------------------------------------

SEC. 2. FINDINGS.

    The Congress makes the following findings:
          (1) The efforts of the Government of Iran to acquire 
        weapons of mass destruction and the means to deliver 
        them and its support of acts of international terrorism 
        endanger the national security and foreign policy 
        interests of the United States and those countries with 
        which the United States shares common strategic and 
        foreign policy objectives.
          (2) The objective of preventing the proliferation of 
        weapons of mass destruction and acts of international 
        terrorism through existing multilateral and bilateral 
        initiatives requires additional efforts to deny Iran 
        the financial means to sustain its nuclear, chemical, 
        biological, and missile weapons programs.
          (3) The Government of Iran uses its diplomatic 
        facilities and quasi-governmental institutions outside 
        of Iran to promote acts of international terrorism and 
        assist its nuclear, chemical, biological, and missile 
        weapons programs.
          (4) The failure of the Government of Libya to comply 
        with Resolutions 731, 748, and 883 of the Security 
        Council of the United Nations, its support of 
        international terrorism, and its efforts to acquire 
        weapons of mass destruction constitute a threat to 
        international peace and security that endangers the 
        national security and foreign policy interests of the 
        United States and those countries with which it shares 
        common strategic and foreign policy objectives.

SEC. 3. DECLARATION OF POLICY.

    (a) Policy With Respect to Iran.--The Congress declares 
that it is the policy of the United States to deny Iran the 
ability to support acts of international terrorism and to fund 
the development and acquisition of weapons of mass destruction 
and the means to deliver them by limiting the development of 
Iran's ability to explore for, extract, refine, or transport by 
pipeline petroleum resources of Iran.
    (b) Policy With Respect to Libya.--The Congress further 
declares that it is the policy of the United States to seek 
full compliance by Libya with its obligations under Resolutions 
731, 748, and 883 of the Security Council of the United 
Nations, including ending all support for acts of international 
terrorism and efforts to develop or acquire weapons of mass 
destruction.

SEC. 4. MULTILATERAL REGIME.

    (a) Multilateral Negotiations.--In order to further the 
objectives of section 3, the Congress urges the President to 
commence immediately diplomatic efforts, both in appropriate 
international fora such as the United Nations, and bilaterally 
with allies of the United States, to establish a multilateral 
sanctions regime against Iran, including provisions limiting 
the development of petroleum resources, that will inhibit 
Iran's efforts to carry out activities described in section 2.
    (b) Reports to Congress.--The President shall report to the 
appropriate congressional committees, not later than 1 year 
after the date of the enactment of this Act, and periodically 
thereafter, on the extent that diplomatic efforts described in 
subsection (a) have been successful. Each report shall 
include--
          (1) the countries that have agreed to undertake 
        measures to further the objectives of section 3 with 
        respect to Iran, and a description of those measures; 
        and
          (2) the countries that have not agreed to measures 
        described in paragraph (1), and, with respect to those 
        countries, other measures (in addition to that provided 
        in subsection (d)) the President recommends that the 
        United States take to further the objectives of section 
        3 with respect to Iran.
    (c) Waiver.--The President may waive the application of 
section 5(a) with respect to nationals of a country if--
          (1) that country has agreed to undertake substantial 
        measures, including economic sanctions, that will 
        inhibit Iran's efforts to carry out activities 
        described in section 2 and information required by 
        subsection (b)(1) has been included in a report 
        submitted under subsection (b); and
          (2) the President, at least 30 days before the waiver 
        takes effect, notifies the appropriate congressional 
        committees of his intention to exercise the waiver.
    (d) Enhanced Sanction.--
          (1) Sanction.--With respect to nationals of countries 
        except those with respect to which the President has 
        exercised the waiver authority of subsection (c), at 
        any time after the first report is required to be 
        submitted under subsection (b), section 5(a) shall be 
        applied by substituting ``$20,000,000'' for 
        ``$40,000,000'' each place it appears, and by 
        substituting ``$5,000,000'' for ``$10,000,000''.
          (2) Report to congress.--The President shall report 
        to the appropriate congressional committees any country 
        with respect to which paragraph (1) applies.
    (e) Interim Report on Multilateral Sanctions; Monitoring.--
The President, not later than 90 days after the date of the 
enactment of this Act, shall report to the appropriate 
congressional committees on--
          (1) whether the member states of the European Union, 
        the Republic of Korea, Australia, Israel, or Japan have 
        legislative or administrative standards providing for 
        the imposition of trade sanctions on persons or their 
        affiliates doing business or having investments in Iran 
        or Libya;
          (2) the extent and duration of each instance of the 
        application of such sanctions; and
          (3) the disposition of any decision with respect to 
        such sanctions by the World Trade Organization or its 
        predecessor organization.

SEC. 5. IMPOSITION OF SANCTIONS.

    (a) Sanctions With Respect to Iran.--Except as provided in 
subsection (f), the President shall impose 2 or more of the 
sanctions described in paragraphs (1) through (6) of section 6 
if the President determines that a person has, with actual 
knowledge, on or after the date of the enactment of this Act, 
made an investment of $40,000,000 or more (or any combination 
of investments of at least $10,000,000 each, which in the 
aggregate equals or exceeds $40,000,000 in any 12-month 
period), that directly and significantly contributed to the 
enhancement of Iran's ability to develop petroleum resources of 
Iran.
    (b) Mandatory Sanctions With Respect to Libya.--
          (1) Violations of prohibited transactions.--Except as 
        provided in subsection (f), the President shall impose 
        2 or more of the sanctions described in paragraphs (1) 
        through (6) of section 6 if the President determines 
        that a person has, with actual knowledge, on or after 
        the date of the enactment of this Act, exported, 
        transferred, or otherwise provided to Libya any goods, 
        services, technology, or other items the provision of 
        which is prohibited under paragraph 4(b) or 5 of 
        Resolution 748 of the Security Council of the United 
        Nations, adopted March 31, 1992, or under paragraph 5 
        or 6 of Resolution 883 of the Security Council of the 
        United Nations, adopted November 11, 1993, if the 
        provision of such items significantly and materially--
                  (A) contributed to Libya's ability to acquire 
                chemical, biological, or nuclear weapons or 
                destabilizing numbers and types of advanced 
                conventional weapons or enhanced Libya's 
                military or paramilitary capabilities;
                  (B) contributed to Libya's ability to develop 
                its petroleum resources; or
                  (C) contributed to Libya's ability to 
                maintain its aviation capabilities.
          (2) Investments that contribute to the development of 
        petroleum resources.--Except as provided in subsection 
        (f), the President shall impose 2 or more of the 
        sanctions described in paragraphs (1) through (6) of 
        section 6 if the President determines that a person 
        has, with actual knowledge, on or after the date of the 
        enactment of this Act, made an investment of 
        $40,000,000 or more (or any combination of investments 
        of at least $10,000,000 each, which in the aggregate 
        equals or exceeds $40,000,000 in any 12-month period), 
        that directly and significantly contributed to the 
        enhancement of Libya's ability to develop its petroleum 
        resources.
    (c) Persons Against Which the Sanctions Are To Be 
Imposed.--The sanctions described in subsections (a) and (b) 
shall be imposed on--
          (1) any person the President determines has carried 
        out the activities described in subsection (a) or (b); 
        and
          (2) any person the President determines--
                  (A) is a successor entity to the person 
                referred to in paragraph (1);
                  (B) is a parent or subsidiary of the person 
                referred to in paragraph (1) if that parent or 
                subsidiary, with actual knowledge, engaged in 
                the activities referred to in paragraph (1); or
                  (C) is an affiliate of the person referred to 
                in paragraph (1) if that affiliate, with actual 
                knowledge, engaged in the activities referred 
                to in paragraph (1) and if that affiliate is 
                controlled in fact by the person referred to in 
                paragraph (1).
For purposes of this Act, any person or entity described in 
this subsection shall be referred to as a ``sanctioned 
person''.
    (d) Publication in Federal Register.--The President shall 
cause to be published in the Federal Register a current list of 
persons and entities on whom sanctions have been imposed under 
this Act. The removal of persons or entities from, and the 
addition of persons and entities to, the list, shall also be so 
published.
    (e) \2\ Publication of Projects.--The President shall cause 
to be published in the Federal Register a list of all 
significant projects which have been publicly tendered in the 
oil and gas sector in Iran.
---------------------------------------------------------------------------
    \2\ The Department of State published such a list in Public Notice 
No. 2501, January 2, 1997 (62 F.R. 1141).
---------------------------------------------------------------------------
    (f) Exceptions.--The President shall not be required to 
apply or maintain the sanctions under subsection (a) or (b)--
          (1) in the case of procurement of defense articles or 
        defense services--
                  (A) under existing contracts or subcontracts, 
                including the exercise of options for 
                production quantities to satisfy requirements 
                essential to the national security of the 
                United States;
                  (B) if the President determines in writing 
                that the person to which the sanctions would 
                otherwise be applied is a sole source supplier 
                of the defense articles or services, that the 
                defense articles or services are essential, and 
                that alternative sources are not readily or 
                reasonably available; or
                  (C) if the President determines in writing 
                that such articles or services are essential to 
                the national security under defense 
                coproduction agreements;
          (2) in the case of procurement, to eligible products, 
        as defined in section 308(4) of the Trade Agreements 
        Act of 1979 (19 U.S.C. 2518(4)), of any foreign country 
        or instrumentality designated under section 301(b)(1) 
        of that Act (19 U.S.C. 2511(b)(1));
          (3) to products, technology, or services provided 
        under contracts entered into before the date on which 
        the President publishes in the Federal Register the 
        name of the person on whom the sanctions are to be 
        imposed;
          (4) to--
                  (A) spare parts which are essential to United 
                States products or production;
                  (B) component parts, but not finished 
                products, essential to United States products 
                or production; or
                  (C) routine servicing and maintenance of 
                products, to the extent that alternative 
                sources are not readily or reasonably 
                available;
          (6) to information and technology essential to United 
        States products or production; or
          (7) to medicines, medical supplies, or other 
        humanitarian items.

SEC. 6. DESCRIPTION OF SANCTIONS.

    The sanctions to be imposed on a sanctioned person under 
section 5 are as follows:
          (1) Export-import bank assistance for exports to 
        sanctioned persons.--The President may direct the 
        Export-Import Bank of the United States not to give 
        approval to the issuance of any guarantee, insurance, 
        extension of credit, or participation in the extension 
        of credit in connection with the export of any goods or 
        services to any sanctioned person.
          (2) Export sanction.--The President may order the 
        United States Government not to issue any specific 
        license and not to grant any other specific permission 
        or authority to export any goods or technology to a 
        sanctioned person under--
                  (i) the Export Administration Act of 1979;
                  (ii) the Arms Export Control Act;
                  (iii) the Atomic Energy Act of 1954; or
                  (iv) any other statute that requires the 
                prior review and approval of the United States 
                Government as a condition for the export or 
                reexport of goods or services.
          (3) Loans from united states financial 
        institutions.--The United States Government may 
        prohibit any United States financial institution from 
        making loans or providing credits to any sanctioned 
        person totaling more than $10,000,000 in any 12-month 
        period unless such person is engaged in activities to 
        relieve human suffering and the loans or credits are 
        provided for such activities.
          (4) Prohibitions on financial institutions.--The 
        following prohibitions may be imposed against a 
        sanctioned person that is a financial institution:
                  (A) Prohibition on designation as primary 
                dealer.--Neither the Board of Governors of the 
                Federal Reserve System nor the Federal Reserve 
                Bank of New York may designate, or permit the 
                continuation of any prior designation of, such 
                financial institution as a primary dealer in 
                United States Government debt instruments.
                  (B) Prohibition on service as a repository of 
                government funds.--Such financial institution 
                may not serve as agent of the United States 
                Government or serve as repository for United 
                States Government funds.
        The imposition of either sanction under subparagraph 
        (A) or (B) shall be treated as 1 sanction for purposes 
        of section 5, and the imposition of both such sanctions 
        shall be treated as 2 sanctions for purposes of section 
        5.
          (5) Procurement sanction.--The United States 
        Government may not procure, or enter into any contract 
        for the procurement of, any goods or services from a 
        sanctioned person.
          (6) Additional sanctions.--The President may impose 
        sanctions, as appropriate, to restrict imports with 
        respect to a sanctioned person, in accordance with the 
        International Emergency Economic Powers Act (50 U.S.C. 
        1701 and following).

SEC. 7. ADVISORY OPINIONS.

    The Secretary of State may, upon the request of any person, 
issue an advisory opinion to that person as to whether a 
proposed activity by that person would subject that person to 
sanctions under this Act. Any person who relies in good faith 
on such an advisory opinion which states that the proposed 
activity would not subject a person to such sanctions, and any 
person who thereafter engages in such activity, will not be 
made subject to such sanctions on account of such activity.

SEC. 8. TERMINATION OF SANCTIONS.

    (a) Iran.--The requirement under section 5(a) to impose 
sanctions shall no longer have force or effect with respect to 
Iran if the President determines and certifies to the 
appropriate congressional committees that Iran--
          (1) has ceased its efforts to design, develop, 
        manufacture, or acquire--
                  (A) a nuclear explosive device or related 
                materials and technology;
                  (B) chemical and biological weapons; and
                  (C) ballistic missiles and ballistic missile 
                launch technology; and
          (2) has been removed from the list of countries the 
        governments of which have been determined, for purposes 
        of section 6(j) of the Export Administration Act of 
        1979, to have repeatedly provided support for acts of 
        international terrorism.
    (b) Libya.--The requirement under section 5(b) to impose 
sanctions shall no longer have force or effect with respect to 
Libya if the President determines and certifies to the 
appropriate congressional committees that Libya has fulfilled 
the requirements of United Nations Security Council Resolution 
731, adopted January 21, 1992, United Nations Security Council 
Resolution 748, adopted March 31, 1992, and United Nations 
Security Council Resolution 883, adopted November 11, 1993.

SEC. 9. DURATION OF SANCTIONS; PRESIDENTIAL WAIVER.

    (a) Delay of Sanctions.--
          (1) Consultations.--If the President makes a 
        determination described in section 5(a) or 5(b) with 
        respect to a foreign person, the Congress urges the 
        President to initiate consultations immediately with 
        the government with primary jurisdiction over that 
        foreign person with respect to the imposition of 
        sanctions under this Act.
          (2) Actions by government of jurisdiction.--In order 
        to pursue consultations under paragraph (1) with the 
        government concerned, the President may delay 
        imposition of sanctions under this Act for up to 90 
        days. Following such consultations, the President shall 
        immediately impose sanctions unless the President 
        determines and certifies to the Congress that the 
        government has taken specific and effective actions, 
        including, as appropriate, the imposition of 
        appropriate penalties, to terminate the involvement of 
        the foreign person in the activities that resulted in 
        the determination by the President under section 5(a) 
        or 5(b) concerning such person.
          (3) Additional delay in imposition of sanctions.--The 
        President may delay the imposition of sanctions for up 
        to an additional 90 days if the President determines 
        and certifies to the Congress that the government with 
        primary jurisdiction over the person concerned is in 
        the process of taking the actions described in 
        paragraph (2).
          (4) Report to congress.--Not later than 90 days after 
        making a determination under section 5(a) or 5(b), the 
        President shall submit to the appropriate congressional 
        committees a report on the status of consultations with 
        the appropriate foreign government under this 
        subsection, and the basis for any determination under 
        paragraph (3).
    (b) Duration of Sanctions.--A sanction imposed under 
section 5 shall remain in effect--
          (1) for a period of not less than 2 years from the 
        date on which it is imposed; or
          (2) until such time as the President determines and 
        certifies to the Congress that the person whose 
        activities were the basis for imposing the sanction is 
        no longer engaging in such activities and that the 
        President has received reliable assurances that such 
        person will not knowingly engage in such activities in 
        the future, except that such sanction shall remain in 
        effect for a period of at least 1 year.
    (c) Presidential Waiver.--
          (1) Authority.--The President may waive the 
        requirement in section 5 to impose a sanction or 
        sanctions on a person described in section 5(c), and 
        may waive the continued imposition of a sanction or 
        sanctions under subsection (b) of this section, 30 days 
        or more after the President determines and so reports 
        to the appropriate congressional committees that it is 
        important to the national interest of the United States 
        to exercise such waiver authority.
          (2) Contents of report.--Any report under paragraph 
        (1) shall provide a specific and detailed rationale for 
        the determination under paragraph (1), including--
                  (A) a description of the conduct that 
                resulted in the determination under section 
                5(a) or (b), as the case may be;
                  (B) in the case of a foreign person, an 
                explanation of the efforts to secure the 
                cooperation of the government with primary 
                jurisdiction over the sanctioned person to 
                terminate or, as appropriate, penalize the 
                activities that resulted in the determination 
                under section 5(a) or (b), as the case may be;
                  (C) an estimate as to the significance--
                          (i) of the provision of the items 
                        described in section 5(a) to Iran's 
                        ability to develop its petroleum 
                        resources, or
                          (ii) of the provision of the items 
                        described in section 5(b)(1) to the 
                        abilities of Libya described in 
                        subparagraph (A), (B), or (C) of 
                        section 5(b)(1), or of the investment 
                        described in section 5(b)(2) on Libya's 
                        ability to develop its petroleum 
                        resources, as the case may be; and
                  (D) a statement as to the response of the 
                United States in the event that the person 
                concerned engages in other activities that 
                would be subject to section 5(a) or (b).
          (3) Effect of report on waiver.--If the President 
        makes a report under paragraph (1) with respect to a 
        waiver of sanctions on a person described in section 
        5(c), sanctions need not be imposed under section 5(a) 
        or (b) on that person during the 30-day period referred 
        to in paragraph (1).

SEC. 10. REPORTS REQUIRED.

    (a) Report on Certain International Initiatives.--Not later 
than 6 months after the date of the enactment of this Act, and 
every 6 months thereafter, the President shall transmit a 
report to the appropriate congressional committees describing--
          (1) the efforts of the President to mount a 
        multilateral campaign to persuade all countries to 
        pressure Iran to cease its nuclear, chemical, 
        biological, and missile weapons programs and its 
        support of acts of international terrorism;
          (2) the efforts of the President to persuade other 
        governments to ask Iran to reduce the presence of 
        Iranian diplomats and representatives of other 
        government and military or quasi-governmental 
        institutions of Iran and to withdraw any such diplomats 
        or representatives who participated in the takeover of 
        the United States embassy in Tehran on November 4, 
        1979, or the subsequent holding of United States 
        hostages for 444 days;
          (3) the extent to which the International Atomic 
        Energy Agency has established regular inspections of 
        all nuclear facilities in Iran, including those 
        presently under construction; and
          (4) Iran's use of Iranian diplomats and 
        representatives of other government and military or 
        quasi-governmental institutions of Iran to promote acts 
        of international terrorism or to develop or sustain 
        Iran's nuclear, chemical, biological, and missile 
        weapons programs.
    (b) Other Reports.--The President shall ensure the 
continued transmittal to the Congress of reports describing--
          (1) the nuclear and other military capabilities of 
        Iran, as required by section 601(a) of the Nuclear Non-
        Proliferation Act of 1978 and section 1607 of the 
        National Defense Authorization Act for Fiscal Year 
        1993; and
          (2) the support provided by Iran for acts of 
        international terrorism, as part of the Department of 
        State's annual report on international terrorism.

SEC. 11. DETERMINATIONS NOT REVIEWABLE.

    A determination to impose sanctions under this Act shall 
not be reviewable in any court.

SEC. 12. EXCLUSION OF CERTAIN ACTIVITIES.

    Nothing in this Act shall apply to any activities subject 
to the reporting requirements of title V of the National 
Security Act of 1947.

SEC. 13. EFFECTIVE DATE; SUNSET.

    (a) Effective Date.--This Act shall take effect on the date 
of the enactment of this Act.
    (b) Sunset.--This Act shall cease to be effective on the 
date that is 5 years after the date of the enactment of this 
Act.

SEC. 14. DEFINITIONS.

    As used in this Act:
          (1) Act of international terrorism.--The term ``act 
        of international terrorism'' means an act--
                  (A) which is violent or dangerous to human 
                life and that is a violation of the criminal 
                laws of the United States or of any State or 
                that would be a criminal violation if committed 
                within the jurisdiction of the United States or 
                any State; and
                  (B) which appears to be intended--
                          (i) to intimidate or coerce a 
                        civilian population;
                          (ii) to influence the policy of a 
                        government by intimidation or coercion; 
                        or
                          (iii) to affect the conduct of a 
                        government by assassination or 
                        kidnapping.
          (2) Appropriate congressional committees.--The term 
        ``appropriate congressional committees'' means the 
        Committee on Finance, the Committee on Banking, 
        Housing, and Urban Affairs, and the Committee on 
        Foreign Relations of the Senate and the Committee on 
        Ways and Means, the Committee on Banking and Financial 
        Services, and the Committee on International Relations 
        of the House of Representatives.
          (3) Component part.--The term ``component part'' has 
        the meaning given that term in section 11A(e)(1) of the 
        Export Administration Act of 1979 (50 U.S.C. App. 
        2410a(e)(1)).
          (4) Develop and development.--To ``develop'', or the 
        ``development'' of, petroleum resources means the 
        exploration for, or the extraction, refining, or 
        transportation by pipeline of, petroleum resources.
          (5) Financial institution.--The term ``financial 
        institution'' includes--
                  (A) a depository institution (as defined in 
                section 3(c)(1) of the Federal Deposit 
                Insurance Act), including a branch or agency of 
                a foreign bank (as defined in section 1(b)(7) 
                of the International Banking Act of 1978);
                  (B) a credit union;
                  (C) a securities firm, including a broker or 
                dealer;
                  (D) an insurance company, including an agency 
                or underwriter; and
                  (E) any other company that provides financial 
                services.
          (6) Finished product.--The term ``finished product'' 
        has the meaning given that term in section 11A(e)(2) of 
        the Export Administration Act of 1979 (50 U.S.C. App. 
        2410a(e)(2)).
          (7) Foreign person.--The term ``foreign person'' 
        means--
                  (A) an individual who is not a United States 
                person or an alien lawfully admitted for 
                permanent residence into the United States; or
                  (B) a corporation, partnership, or other 
                nongovernmental entity which is not a United 
                States person.
          (8) Goods and technology.--The terms ``goods'' and 
        ``technology'' have the meanings given those terms in 
        section 16 of the Export Administration Act of 1979 (50 
        U.S.C. App. 2415).
          (9) Investment.--The term ``investment'' means any of 
        the following activities if such activity is undertaken 
        pursuant to an agreement, or pursuant to the exercise 
        of rights under such an agreement, that is entered into 
        with the Government of Iran or a nongovenmental entity 
        in Iran, or with the Government of Libya or a 
        nongovernmental entity in Libya, on or after the date 
        of the enactment of this Act:
                  (A) The entry into a contract that includes 
                responsibility for the development of petroleum 
                resources located in Iran or Libya (as the case 
                may be), or the entry into a contract providing 
                for the general supervision and guarantee of 
                another person's performance of such a 
                contract.
                  (B) The purchase of a share of ownership, 
                including an equity interest, in that 
                development.
                  (C) The entry into a contract providing for 
                the participation in royalties, earnings, or 
                profits in that development, without regard to 
                the form of the participation.
        The term ``investment'' does not include the entry 
        into, performance, or financing of a contract to sell 
        or purchase goods, services, or technology.
          (10) Iran.--The term ``Iran'' includes any agency or 
        instrumentality of Iran.
          (11) Iranian diplomats and representatives of other 
        government and military or quasi-governmental 
        institutions of iran.--The term ``Iranian diplomats and 
        representatives of other government and military or 
        quasi-governmental institutions of Iran'' includes 
        employees, representatives, or affiliates of Iran's--
                  (A) Foreign Ministry;
                  (B) Ministry of Intelligence and Security;
                  (C) Revolutionary Guard Corps;
                  (D) Crusade for Reconstruction;
                  (E) Qods (Jerusalem) Forces;
                  (F) Interior Ministry;
                  (G) Foundation for the Oppressed and 
                Disabled;
                  (H) Prophet's Foundation;
                  (I) June 5th Foundation;
                  (J) Martyr's Foundation;
                  (K) Islamic Propagation Organization; and
                  (L) Ministry of Islamic Guidance.
          (12) Libya.--The term ``Libya'' includes any agency 
        or instrumentality of Libya.
          (13) Nuclear explosive device.--The term ``nuclear 
        explosive device'' means any device, whether assembled 
        or disassembled, that is designed to produce an 
        instantaneous release of an amount of nuclear energy 
        from special nuclear material (as defined in section 
        11(aa) of the Atomic Energy Act of 1954) that is 
        greater than the amount of energy that would be 
        released from the detonation of one pound of 
        trinitrotoluene (TNT).
          (14) Person.--The term ``person'' means--
                  (A) a natural person;
                  (B) a corporation, business association, 
                partnership, society, trust, any other 
                nongovernmental entity, organization, or group, 
                and any governmental entity operating as a 
                business enterprise; and
                  (C) any successor to any entity described in 
                subparagraph (B).
          (15) Petroleum resources.--The term ``petroleum 
        resources'' includes petroleum and natural gas 
        resources.
          (16) United states or state.--The term ``United 
        States'' or ``State'' means the several States, the 
        District of Columbia, the Commonwealth of Puerto Rico, 
        the Commonwealth of the Northern Mariana Islands, 
        American Samoa, Guam, the United States Virgin Islands, 
        and any other territory or possession of the United 
        States.
          (17) United states person.--The term ``United States 
        person'' means--
                  (A) a natural person who is a citizen of the 
                United States or who owes permanent allegiance 
                to the United States; and
                  (B) a corporation or other legal entity which 
                is organized under the laws of the United 
                States, any State or territory thereof, or the 
                District of Columbia, if natural persons 
                described in subparagraph (A) own, directly or 
                indirectly, more than 50 percent of the 
                outstanding capital stock or other beneficial 
                interest in such legal entity.
                (2) Blocking Iranian Government Property

Executive Order 12170, November 14, 1979, 44 F.R. 65729, 50 U.S.C. 1701 
                                  note


          Note.--Other actions taken by the President regarding 
        the Iranian crisis included a series of Executive 
        Orders prohibiting certain transactions with Iran, 
        establishing of and managing of escrow accounts, and 
        overseeing the transfer of various Iranian assets. See 
        this volume, beginning at page 1422, for text. The 
        President also issued Proclamation 4702 (44 F.R. 
        65581), issued on November 12, 1979, to prohibit 
        Iranian oil from entering the United States (revoked 
        Jan. 19, 1981), and Executive Order 12172 (November 26, 
        1979; 44 F.R. 67947), to delegate authority conferred 
        on him by 8 U.S.C. 1185 (travel control of citizens and 
        aliens during war or national emergency) to the 
        Secretary of State and the Attorney General with 
        respect to Iranians holding nonimmigrant visas.



    Pursuant to the authority vested in me as President by the 
Constitution and laws of the United States including the 
International Emergency Economic Powers Act, 50 U.S.C.A. sec. 
1701 et seq., the National Emergencies Act, 50 U.S.C. sec. 1601 
et seq., and 3 U.S.C. sec. 301,
    I, JIMMY CARTER, President of the United States, find that 
the situation in Iran constitutes an unusual and extraordinary 
threat to the national security, foreign policy and economy of 
the United States and hereby declare a national emergency to 
deal with that threat.\1\
---------------------------------------------------------------------------
    \1\ In a notice of November 12, 1980 (45 F.R. 75159), the President 
stated that the situation which prompted the declaration of this 
national emergency continues and that therefore, this national 
emergency must continue in effect beyond November 14, 1980. Subsequent 
notices of the continuation of this national emergency were transmitted 
to the Congress on November 12, 1981 (46 F.R. 55915); November 8, 1982 
(47 F.R. 50841); November 4, 1983 (48 F.R. 51277); November 7, 1984 (49 
F.R. 44741); November 1, 1985 (50 F.R. 45901); November 10, 1986 (51 
F.R. 41067); November 10, 1987 (52 F.R. 43549); November 8, 1988 (53 
F.R. 45750); October 30, 1989 (54 F.R. 46043); November 9, 1990 (55 
F.R. 47453); November 12, 1991 (56 F.R. 57791); October 25, 1992 (57 
F.R. 48719); November 1, 1993 (58 F.R. 58639); October 31, 1994 (59 
F.R. 54785); October 31, 1995 (60 F.R. 55651); October 29, 1996 (61 
F.R. 56107); September 30, 1997 (62 F.R. 51591); November 9, 1998 (63 
F.R. 63125; November 5, 1999 (64 F.R. 61471); November 5, 2000 (65 F.R. 
68061); November 14, 2001 (67 F.R. 56966); November 13, 2002 (67 F.R. 
68927); November 12, 2003 (68 F.R. 64487).
---------------------------------------------------------------------------
    I hereby order blocked all property and interests in 
property of the Government of Iran, its instrumentalities and 
controlled entities and the Central Bank of Iran which are or 
become subject to the jurisdiction of the United States or 
which are in or come within the possession or control of 
persons subject to the jurisdiction of the United States.
    The Secretary of the Treasury is authorized to employ all 
powers granted to me by the International Emergency Economic 
Powers Act to carry out the provisions of this order.
    This order is effective immediately and shall be 
transmitted to the Congress and published in the Federal 
Register.
                   (3) Prohibiting Imports From Iran

 Executive Order 12613, October 29, 1987, 52 F.R. 41940, as amended by 
Executive Order 12959, May 6, 1995, 60 F.R. 24757; revoked by Executive 
              Order 13059, August 19, 1997, 62 F.R. 44531


          Note.--Executive Order 13059 of August 19, 1997 (62 
        F.R. 44531) consolidated several Executive Orders 
        pertaining to transactions with Iran and revoked the 
        remaining sections of this order, with respect to 
        transactions occurring after the August 20, 1997. For 
        Executive Order 12613 as it applied to earlier 
        transactions, see this volume, page 1425, and notes.



(4) Prohibiting Certain Transactions With Respect to the Development of 
                      Iranian Petroleum Resources

  Executive Order 12957, March 15, 1995, 60 F.R. 14615; as amended by 
         Executive Order 12959, May 6, 1995, 60 F.R. 24757 \1\

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including the International Emergency Economic Powers Act (50 
U.S.C. 1701 et seq.), the National Emergencies Act (50 U.S.C. 
1601 et seq.), and section 301 of title 3, United States Code,
---------------------------------------------------------------------------
    \1\ See also 31 CFR Part 560.
---------------------------------------------------------------------------
    I, WILLIAM J. CLINTON, President of the United States of 
America, find that the actions and policies of the Government 
of Iran constitute an unusual and extraordinary threat to the 
national security, foreign policy, and economy of the United 
States, and hereby declare a national emergency to deal with 
that threat.\2\
---------------------------------------------------------------------------
    \2\ This national emergency was continued by Presidential notices 
on the following dates: March 8, 1996 (61 F.R. 9897); March 5, 1997 (62 
F.R. 10409); March 4, 1998 (63 F.R. 11099); March 10, 1999 (64 F.R. 
12239); March 13, 2000 (65 F.R. 13863); March 13, 2001 (66 F.R. 14013); 
March 13, 2002 (67 F.R. 11553); and March 12, 2003 (68 F.R. 12567).
---------------------------------------------------------------------------
    I hereby order:
    Section 1.\3\ * * * [Revoked--1995]
---------------------------------------------------------------------------
    \3\ Sec. 5 of Executive Order No. 12959 (May 6, 1995; 60 F.R. 
24757) revoked sections 1 and 2, which formerly read as follows:
    ``Section 1. The following are prohibited, except to the extent 
provided in regulations, orders, directives, or licenses that may be 
issued pursuant to this order, and notwithstanding any contract entered 
into or any license or permit granted prior to the effective date of 
this order: (a) the entry into or performance by a United States 
person, or the approval by a United States person of the entry into or 
performance by an entity owned or controlled by a United States person, 
of (i) a contract that includes overall supervision and management 
responsibility for the development of petroleum resources located in 
Iran, or (ii) a guaranty of another person's performance under such a 
contract;
    ``(b) the entry into or performance by a United States person, or 
the approval by a United States person of the entry into or performance 
by an entity owned or controlled by a United States person, of (i) a 
contract for the financing of the development of petroleum resources 
located in Iran, or (ii) a guaranty of another person's performance 
under such a contract; and
    ``(c) any transaction by any United States person or within the 
United States that evades or avoids, or has the purpose of evading or 
avoiding, or attempts to violate, any of the prohibitions set forth in 
this order.
    ``Sec. 2. For the purposes of this order: (a) The term `person' 
means an individual or entity;
    ``(b) The term `entity' means a partnership, association, trust, 
joint venture, corporation, or other organization;
    ``(c) The term `United States person' means any United States 
citizen, permanent resident alien, entity organized under the laws of 
the United States (including foreign branches), or any person in the 
United States; and
    ``(d) The term `Iran' means the land territory claimed by Iran and 
any other area over which Iran claims sovereignty, sovereign rights or 
jurisdiction, including the territorial sea, exclusive economic zone, 
and continental shelf claimed by Iran.''.
---------------------------------------------------------------------------
    Sec. 2.\3\ * * * [Revoked--1995]
    Sec. 3. The Secretary of the treasury, in consultation with 
the Secretary of State, is hereby authorized to take such 
actions, including the promulgation of rules and regulations, 
and to employ all powers granted to me by the International 
Emergency Economic Powers Act as may be necessary to carry out 
the purposes of this order. The Secretary of the Treasury may 
redelegate any of these functions to other officers and 
agencies of the United States Government. All agencies of the 
United States Government are hereby directed to take all 
appropriate measures within their authority to carry out the 
provisions of this order.
    Sec. 4. Nothing contained in this order shall create any 
right or benefit, substantive or procedural, enforceable by any 
party against the United States, its agencies or 
instrumentalities, its officers or employees, or any other 
person.
    Sec. 5. (a) This order is effective at 12:01 a.m., eastern 
standard time, on March 16, 1995.
    (b) This order shall be transmitted to the Congress and 
published in the Federal Register.
       (5) Prohibiting Certain Transactions With Respect to Iran

Executive Order 12959, May 6, 1995, 60 F.R. 24757; amended by Executive 
            Order 13059, August 19, 1997, 62 F.R. 44531 \1\

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including the International Emergency Economic Powers Act (50 
U.S.C. 1701 et seq.) (IEEPA), the National Emergencies Act (50 
U.S.C. 1601 et seq.), section 505 of the International Security 
and Development Cooperation Act of 1985 (22 U.S.C. 2349aa-9) 
(ISDCA), and section 301 of title 3, United States Code,
    I, WILLIAM J. CLINTON, President of the United States of 
America, in order to take steps with respect to Iran in 
addition to those set forth in Executive Order No. 12957 of 
March 15, 1995, to deal with the unusual and extraordinary 
threat to the national security, foreign policy, and economy of 
the United States referred to in that order, hereby order:
---------------------------------------------------------------------------
    \1\ See also 31 CFR Part 560.
---------------------------------------------------------------------------
    Section 1. The following are prohibited, except to the 
extent provided in regulations, orders, directives, or licenses 
that may be issued pursuant to this order, and notwithstanding 
any contract entered into or any license or permit granted 
prior to the effective date of this order: \2\
---------------------------------------------------------------------------
    \2\ Executive Order 13059 (August 19, 1997; 62 F.R. 44531) 
consolidated provisions of Executive Orders 12613, 12957, and 12959, 
and revoked Executive Order 12613 and subsecs. (a), (b), (c), (d), and 
(f) of sec. 1 of this order, with respect to transactions occurring 
after the effective date of Executive Order 13059 (effective August 20, 
1997). Subsecs. (a), (b), (c), (d), and (f) formerly read as follows:
    ``(a) the importation into the United States, or the financing of 
such importation, of any goods or services of Iranian origin, other 
than Iranian-origin publications and materials imported for news 
publications or news broadcast dissemination;
    ``(b) except to the extent provided in section 203(b) of IEEPA (50 
U.S.C. 1702(b)), the exportation from the United States to Iran, the 
Government of Iran, or to any entity owned or controlled by the 
Government of Iran, or the financing of such exportation, of any goods, 
technology (including technical data or other information subject to 
the Export Administration Regulations, 15 CFR Parts 768-799 (1994) (the 
`EAR')), or services;
    ``(c) the reexportation to Iran, the Government of Iran, or to any 
entity owned or controlled by the Government of Iran, of any goods or 
technology (including technical data or other information) exported 
from the United States, the exportation of which to Iran is subject to 
export license application requirements under any United States 
regulations in effect immediately prior to the issuance of this order, 
unless, for goods, they have been (i) substantially transformed outside 
the United States, or (ii) incorporated into another product outside 
the United States and constitute less than 10 percent by value of that 
product exported from a third country;
    ``(d) except to the extent provided in section 203(b) of IEEPA (50 
U.S.C. 1702(b)), any transaction, including purchase, sale, 
transportation, swap, financing, or brokering transactions, by a United 
States person relating to goods or services of Iranian origin or owned 
or controlled by the Government of Iran;
---------------------------------------------------------------------------
          * * * * * * *
---------------------------------------------------------------------------
    ``(f) the approval or facilitation by a United States person of the 
entry into or performance by an entity owned or controlled by a United 
States person of a transaction or contract (i) prohibited as to United 
States persons by subsection (c), (d), or (e) above, or (ii) relating 
to the financing of activities prohibited as to United States persons 
by those subsections, or of a guaranty of another person's performance 
of such transaction or contract; and''.
---------------------------------------------------------------------------
    (a)-(d) \2\ * * * [Revoked--1997]
    (e) any new investment by a United States person in Iran or 
in property (including entities) owned or controlled by the 
Government of Iran;
    (f) \2\ * * * [Revoked--1997]
    (g) any transaction by any United States person or within 
the United States that evades or avoids, or has the purpose of 
evading or avoiding, or attempts to violate, any of the 
prohibitions set forth in this order.
    Sec. 2. For the purposes of this order:
    (a) the term ``person'' means an individual or entity;
    (b) the term ``entity'' means a partnership, association, 
trust, joint venture, corporation, or other organization;
    (c) the term ``United States person'' means any United 
States citizen, permanent resident alien, entity organized 
under the laws of the United States (including foreign 
branches), or any person in the United States;
    (d) the term ``Iran'' means the territory of Iran and any 
other territory or marine area, including the exclusive 
economic zone and continental shelf, over which the Government 
of Iran claims sovereignty, sovereign rights orjurisdiction, 
provided that the Government of Iran exercises partial or total 
de facto control over the area or derives a benefit from 
economic activity in the area pursuant to international 
arrangements; and
    (e) the term ``new investment'' means (i) a commitment or 
contribution of funds or other assets, or (ii) a loan or other 
extension of credit.
    Sec. 3. The Secretary of the Treasury, in consultation with 
the Secretary of State, is hereby authorized to take such 
actions, including the promulgation of rules and regulations, 
the requirement of reports, including reports by United States 
persons on oil transactions engaged in by their foreign 
affiliates with Iran or the Government of Iran, and to employ 
all powers granted to the President by IEEPA and ISDCA as may 
be necessary to carry out the purposes of this order. The 
Secretary of the Treasury may redelegate any of these functions 
to other officers and agencies of the United States Government. 
All agencies of the United States Government are hereby 
directed to take all appropriate measures within their 
authority to carry out the provisions of this order.
    Sec. 4. The Secretary of the Treasury may not authorize the 
exportation or reexportation to Iran, the Government of Iran, 
or an entity owned or controlled by the Government of Iran of 
any goods, technology, or services subject to export license 
application requirements of another agency of the United States 
Government, if authorization of the exportation or 
reexportation by that agency would be prohibited by law.
    Sec. 5. Sections 1 and 2 of Executive Order No. 12613 of 
October 29, 1987, and sections 1 and 2 of Executive Order No. 
12957 of March 15, 1995, are hereby revoked to the extent 
inconsistent with this order.\3\ Otherwise, the provisions of 
this order supplement the provisions of Executive Orders No. 
12613 and 12957.
---------------------------------------------------------------------------
    \3\ Sections 1 and 2 of Executive Order No. 12613 formerly read as 
follows:
    ``Section 1. Except as otherwise provided in regulations issued 
pursuant to this Order, no good or services of Iranian origin may be 
imported into the United States, including its territories and 
possessions, after the effective date of this Order.
    ``Sec. 2. The prohibition contained in Section 1 shall not apply 
to:
---------------------------------------------------------------------------

          ``(a) Iranian-origin publications and materials imported for 
        news publications or news broadcast dissemination;
          ``(b) petroleum products refined from Iranian crude oil in a 
        third country;
          ``(c) articles imported directly from Iran into the United 
        States that were exported from Iran prior to the effective date 
        of this Order.''.
---------------------------------------------------------------------------
    Sections 1 and 2 of Executive Order No. 12957 formerly read as 
follows:
    ``Section 1. The following are prohibited, except to the extent 
provided in regulations, orders, directives, or licenses that may be 
issued pursuant to this order, and notwithstanding any contract entered 
into or any license or permit granted prior to the effective date of 
this order: (a) the entry into or performance by a United States 
person, or the approval by a United States person of the entry into or 
performance by an entity owned or controlled by a United States person, 
of (i) a contract that includes overall supervision and management 
responsibility for the development of petroleum resources located in 
Iran, or (ii) a guaranty of another person's performance under such a 
contract;
    ``(b) the entry into or performance by a United States person, or 
the approval by a United States person of the entry into or performance 
by an entity owned or controlled by a United States person, of (i) a 
contract for the financing of the development of petroleum resources 
located in Iran, or (ii) a guaranty of another person's performance 
under such a contract; and
    ``(c) any transaction by any United States person or within the 
United States that evades or avoids, or has the purpose of evading or 
avoiding, or attempts to violate, any of the prohibitions set forth in 
this order.
    ``Sec. 2. For the purposes of this order: (a) The term `person' 
means an individual or entity;
    ``(b) The term `entity' means a partnership, association, trust, 
joint venture, corporation, or other organization;
    ``(c) The term `United States person' means any United States 
citizen, permanent resident alien, entity organized under the laws of 
the United States (including foreign branches), or any person in the 
United States; and
    ``(d) The term `Iran' means the land territory claimed by Iran and 
any other area over which Iran claims sovereignty, sovereign rights or 
jurisdiction, including the territorial sea, exclusive economic zone, 
and continental shelf claimed by Iran.''.
---------------------------------------------------------------------------
    Sec. 6. Nothing contained in this order shall create any 
right or benefit, substantive or procedural, enforceable by any 
party against the United States, its agencies or 
instrumentalities, its officers or employees, or any other 
person.
    Sec. 7. The measures taken pursuant to this order are in 
response to actions of the Government of Iran occurring after 
the conclusion of the 1981 Algiers Accords, and are intended 
solely as a response to those later actions.
    Sec. 8. (a) This order is effective at 12:01 a.m., eastern 
daylight time, on May 7, 1995, except that (i) section 1(b), 
(c), and (d) of this order shall not apply until 12:01 a.m., 
eastern daylight time, on June 6, 1995, to trade transactions 
under contracts in force as of the date of this order if such 
transactions are authorized pursuant to Federal regulations in 
force immediately prior to the date of this order (''existing 
trade contracts''), and (ii) letters of credit and other 
financing agreements with respect to existing trade contracts 
may be performed pursuant to their terms with respect to 
underlying trade transactions occurring prior to 12:01 a.m., 
eastern daylight time, on June 6, 1995.
    (b) This order shall be transmitted to the Congress and 
published in the Federal Register.
      (6) Prohibiting Certain Transactions With Respect to Iran--
                             Consolidation

 Executive Order 13059, August 19, 1997, 62 F.R. 44531, 50 U.S.C. 1701 
                                  note

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including the International Emergency Economic Powers Act (50 
U.S.C. 1701 et seq.) (``IEEPA''), the National Emergencies Act 
(50 U.S.C. 1601 et seq.), section 505 of the International 
Security and Development Cooperation Act of 1985 (22 U.S.C. 
2349aa-9) (``ISDCA''), and section 301 of title 3, United 
States Code,
    I, WILLIAM J. CLINTON, President of the United States of 
America, in order to clarify the steps taken in Executive 
Orders 12957 of March 15, 1995, and 12959 of May 6, 1995, to 
deal with the unusual and extraordinary threat to the national 
security, foreign policy, and economy of the United States 
declared in Executive Order 12957 in response to the actions 
and policies of the Government of Iran, hereby order:
    Section 1.\1\ Except to the extent provided in section 3 of 
this order or in regulations, orders, directives, or licenses 
issued pursuant to this order, and notwithstanding any contract 
entered into or any license or permit granted prior to the 
effective date of this order, the importation into the United 
States of any goods or services of Iranian origin or owned or 
controlled by the Government of Iran, other than information or 
informational materials within the meaning of section 203(b)(3) 
of IEEPA (50 U.S.C. 1702(b)(3)), is hereby prohibited.
---------------------------------------------------------------------------
    \1\ Executive Order 13059 amended and consolidated certain 
provisions of Executive Orders 12613, 12957, and 12959, and revoked 
Executive Order 12613. These orders, as amended, are found in this 
volume, beginning on page 1419. See page 1417 for reference to 
Presidential notices continuing the emergency with respect to Iran.
---------------------------------------------------------------------------
    Sec. 2. Except to the extent provided in section 3 of this 
order, in section 203(b) of IEEPA (50 U.S.C. 1702(b)), or in 
regulations, orders, directives, or licenses issued pursuant to 
this order, and notwithstanding any contract entered into or 
any license or permit granted prior to the effective date of 
this order, the following are prohibited:
    (a) the exportation, reexportation, sale, or supply, 
directly or indirectly, from the United States, or by a United 
States person, wherever located, of any goods, technology, or 
services to Iran or the Government of Iran, including the 
exportation, reexportation, sale, or supply of any goods, 
technology, or services to a person in a third country 
undertaken with knowledge or reason to know that:
          (i) such goods, technology, or services are intended 
        specifically for supply, transshipment, or 
        reexportation, directly or indirectly, to Iran or the 
        Government of Iran; or
          (ii) such goods, technology, or services are intended 
        specifically for use in the production of, for 
        commingling with, or for incorporation into goods, 
        technology, or services to be directly or indirectly 
        supplied, transshipped, or reexported exclusively or 
        predominantly to Iran or the Government of Iran;
    (b) the reexportation from a third country, directly or 
indirectly, by a person other than a United States person of 
any goods, technology, or services that have been exported from 
the United States, if:
          (i) undertaken with knowledge or reason to know that 
        the reexportation is intended specifically for Iran or 
        the Government of Iran, and
          (ii) the exportation of such goods, technology, or 
        services to Iran from the United States was subject to 
        export license application requirements under any 
        United States regulations in effect on May 6, 1995, or 
        thereafter is made subject to such requirements imposed 
        independently of the actions taken pursuant to the 
        national emergency declared in Executive Order 12957; 
        provided, however, that this prohibition shall not 
        apply to those goods or that technology subject to 
        export license application requirements if such goods 
        or technology have been:
                  (A) substantially transformed into a foreign-
                made product outside the United States; or
                  (B) incorporated into a foreign-made product 
                outside the United States if the aggregate 
                value of such controlled United States goods 
                and technology constitutes less than 10 percent 
                of the total value of the foreign-made product 
                to be exported from a third country;
    (c) any new investment by a United States person in Iran or 
in property, including entities, owned or controlled by the 
Government of Iran;
    (d) any transaction or dealing by a United States person, 
wherever located, including purchasing, selling, transporting, 
swapping, brokering, approving, financing, facilitating, or 
guaranteeing, in or related to:
          (i) goods or services of Iranian origin or owned or 
        controlled by the Government of Iran; or
          (ii) goods, technology, or services for exportation, 
        reexportation, sale, or supply, directly or indirectly, 
        to Iran or the Government of Iran;
    (e) any approval, financing, facilitation, or guarantee by 
a United States person, wherever located, of a transaction by a 
foreign person where the transaction by that foreign person 
would be prohibited by this order if performed by a United 
States person or within the United States; and
    (f) any transaction by a United States person or within the 
United States that evades or avoids, or has the purpose of 
evading or avoiding, or attempts to violate, any of the 
prohibitions set forth in this order.
    Sec. 3. Specific licenses issued pursuant to Executive 
Orders 12613 (of October 29, 1987), 12957, or 12959 continue in 
effect in accordance with their terms except to the extent 
revoked, amended, or modified by the Secretary of the Treasury. 
General licenses, regulations, orders, and directives issued 
pursuant to those orders continue in effect in accordance with 
their terms except to the extent inconsistent with this order 
or to the extent revoked, amended, or modified by the Secretary 
of the Treasury.
    Sec. 4. For the purposes of this order:
    (a) the term ``person'' means an individual or entity;
    (b) the term ``entity'' means a partnership, association, 
trust, joint venture, corporation, or other organization;
    (c) the term ``United States person'' means any United 
States citizen, permanent resident alien, entity organized 
under the laws of the United States (including foreign 
branches), or any person in the United States;
    (d) the term ``Iran'' means the territory of Iran and any 
other territory or marine area, including the exclusive 
economic zone and continental shelf, over which the Government 
of Iran claims sovereignty, sovereign rights, or jurisdiction, 
provided that the Government of Iran exercises partial or total 
de facto control over the area or derives a benefit from 
economic activity in the area pursuant to international 
arrangements;
    (e) the term ``Government of Iran'' includes the Government 
of Iran, any political subdivision, agency, or instrumentality 
thereof, and any person owned or controlled by, or acting for 
or on behalf of, the Government of Iran;
    (f) the term ``new investment'' means:
          (i) a commitment or contribution of funds or other 
        assets; or
          (ii) a loan or other extension of credit, made after 
        the effective date of Executive Order 12957 as to 
        transactions prohibited by that order, or otherwise 
        made after the effective date of Executive Order 12959.
    Sec. 5. The Secretary of the Treasury, in consultation with 
the Secretary of State and, as appropriate, other agencies, is 
hereby authorized to take such actions, including the 
promulgation of rules and regulations, the requirement of 
reports, including reports by United States persons on oil and 
related transactions engaged in by their foreign affiliates 
with Iran or the Government of Iran, and to employ all powers 
granted to me by IEEPA and the ISDCA as may be necessary to 
carry out the purposes of this order. The Secretary of the 
Treasury may redelegate any of these functions to other 
officers and agencies of the United States Government. All 
agencies of the United States Government are hereby directed to 
take all appropriate measures within their authority to carry 
out the provisions of this order.
    Sec. 6. (a) The Secretary of the Treasury may authorize the 
exportation or reexportation to Iran or the Government of Iran 
of any goods, technology, or services also subject to export 
license application requirements of another agency of the 
United States Government only if authorization by that agency 
of the exportation or reexportation to Iran would be permitted 
by law.
    (b) Nothing contained in this order shall be construed to 
supersede the requirements established under any other 
provision of law or to relieve a person from any requirement to 
obtain a license or other authorization from another department 
or agency of the United States Government in compliance with 
applicable laws and regulations subject to the jurisdiction of 
that department or agency.
    Sec. 7. The provisions of this order consolidate the 
provisions of Executive Orders 12613, 12957, and 12959. 
Executive Order 12613 and subsections (a), (b), (c), (d), and 
(f) of section 1 of Executive Order 12959 are hereby revoked 
with respect to transactions occurring after the effective date 
of this order. The revocation of those provisions shall not 
alter their applicability to any transaction or violation 
occurring before the effective date of this order, nor shall it 
affect the applicability of any rule, regulation, order, 
license, or other form of administrative action previously 
taken pursuant to Executive Orders 12613 or 12959.
    Sec. 8. Nothing contained in this order shall create any 
right or benefit, substantive or procedural, enforceable by any 
party against the United States, its agencies or 
instrumentalities, its officers or employees, or any other 
person.
    Sec. 9. The measures taken pursuant to this order are in 
response to actions of the Government of Iran occurring after 
the conclusion of the 1981 Algiers Accords, and are intended 
solely as a response to those later actions.
    Sec. 10. (a) This order is effective at 12:01 a.m. eastern 
daylight time on August 20, 1997.
    (b) This order shall be transmitted to the Congress and 
published in the Federal Register.
     k. South African Democratic Transition Support Act of 1993 \1\

 Public Law 103-149 [H.R. 3225], 107 Stat. 1503, approved November 23, 
                                  1993

   AN ACT To support the transition to nonracial democracy in South 
                                Africa.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``South African Democratic 
Transition Support Act of 1993''.
---------------------------------------------------------------------------
    \1\ 22 U.S.C. 5001 note.
---------------------------------------------------------------------------

SEC. 2. FINDINGS.

    The Congress makes the following findings:
          (1) After decades of apartheid, South Africa has 
        entered a new era which presents a historic opportunity 
        for a transition to a peaceful, stable, and democratic 
        future.
          (2) The United States policy of economic sanctions 
        toward the apartheid government of South Africa, as 
        expressed in the Comprehensive Anti-Apartheid Act of 
        1986, helped bring about reforms in that system of 
        government and has facilitated the establishment of a 
        nonracial government.
          (3) Through broad and open negotiations, the parties 
        in South Africa have reached a landmark agreement on 
        the future of their country. This agreement includes 
        the establishment of a Transitional Executive Council 
        and the setting of a date for nonracial elections.
          (4) The international community has a vital interest 
        in supporting the transition from apartheid toward 
        nonracial democracy.
          (5) The success of the transition in South Africa is 
        crucial to the stability and economic development of 
        the southern African region.
          (6) Nelson Mandela of the African National Congress 
        and other representative leaders in South Africa have 
        declared that the time has come when the international 
        community should lift all economic sanctions against 
        South Africa.
          (7) In light of recent developments, the continuation 
        of these economic sanctions is detrimental to persons 
        disadvantaged by apartheid.
          (8) Those calling for the lifting of economic 
        sanctions against South Africa have made clear that 
        they do not seek the immediate termination of the 
        United Nations-sponsored special sanctions relating to 
        arms transfers, nuclear cooperation, and exports of 
        oil. The Ad Hoc Committee on Southern Africa of the 
        Organization of African Unity, for example, has urged 
        that the oil embargo established pursuant to a 1986 
        General Assembly resolution be lifted after the 
        establishment and commencement of the work of the 
        Transitional Executive Council.

SEC. 3. UNITED STATES POLICY.

    It is the sense of the Congress that--
          (1) the United States should--
                  (A) strongly support the Transitional 
                Executive Council in South Africa,
                  (B) encourage rapid progress toward the 
                establishment of a nonracial democratic 
                government in South Africa, and
                  (C) support a consolidation of democracy in 
                South Africa through democratic elections for 
                an interim government and a new nonracial 
                constitution;
          (2) the United States should continue to provide 
        assistance to support the transition to a nonracial 
        democracy in South Africa, and should urge 
        international financial institutions and other donors 
        to also provide such assistance;
          (3) to the maximum extent practicable, the United 
        States should consult closely with international 
        financial institutions, other donors, and South African 
        entities on a coordinated strategy to support the 
        transition to a nonracial democracy in South Africa;
          (4) in order to provide ownership and managerial 
        opportunities, professional advancement, training, and 
        employment for disadvantaged South Africans and to 
        respond to the historical inequities created under 
        apartheid, the United States should--
                  (A) promote the expansion of private 
                enterprise and free markets in South Africa,
                  (B) encourage the South African private 
                sector to take a special responsibility and 
                interest in providing such opportunities, 
                advancement, training, and employment for 
                disadvantaged South Africans,
                  (C) encourage United States private sector 
                investment in and trade with South Africa,
                  (D) urge United States investors to develop a 
                working partnership with representative organs 
                of South African civil society, particularly 
                churches and trade unions, in promoting 
                responsible codes of corporate conduct and 
                other measures to address the historical 
                inequities created under apartheid;
          (5) the United States should urge the Government of 
        South Africa to liberalize its trade and investment 
        policies to facilitate the expansion of the economy, 
        and to shift resources to meet the needs of 
        disadvantaged South Africans;
          (6) the United States should promote cooperation 
        between South Africa and other countries in the region 
        to foster regional stability and economic growth; and
          (7) the United States should demonstrate its support 
        for an expedited transition to, and should adopt a long 
        term policy beneficial to the establishment and 
        perpetuation of, a nonracial democracy in South Africa.

SEC. 4. REPEAL OF APARTHEID SANCTIONS LAWS AND OTHER MEASURES DIRECTED 
                    AT SOUTH AFRICA.

    (a) Comprehensive Anti-Apartheid Act.--
          (1) In general.--All provisions of the Comprehensive 
        Anti-Apartheid Act of 1986 (22 U.S.C. 5001 and 
        following) are repealed as of the date of enactment of 
        this Act, except for the sections specified in 
        paragraph (2).
          (2) Effective date of repeal of code of conduct 
        requirements.--Sections 1, 3, 203(a), 203(b), 205, 207, 
        208, 601, 603, and 604 of the Comprehensive Anti-
        Apartheid Act of 1986 are repealed as of the date on 
        which the President certifies to the Congress that an 
        interim government, elected on a nonracial basis 
        through free and fair elections, has taken office in 
        South Africa.\2\
---------------------------------------------------------------------------
    \2\ The President so certified on June 8, 1994 (according to 
Department of State Public Notice 2025; 59 F.R. 33909).
---------------------------------------------------------------------------
          (3) Conforming amendments.--(A) Section 3 of the 
        Comprehensive Anti-Apartheid Act of 1986 is amended by 
        striking paragraphs (2) through (4) and paragraphs (7) 
        through (9), by inserting ``and'' at the end of 
        paragraph (5), and by striking ``; and'' at the end of 
        paragraph (6) and inserting a period.
          (B) The following provisions of the Foreign 
        Assistance Act of 1961 that were enacted by the 
        Comprehensive Anti-Apartheid Act of 1986 are repealed: 
        subsections (e)(2), (f), and (g) of section 116 (22 
        U.S.C. 2151n); section 117 (22 U.S.C. 2151o), relating 
        to assistance for disadvantaged South Africans; and 
        section 535 (22 U.S.C. 2346d). Section 116(e)(1) of the 
        Foreign Assistance Act of 1961 is amended by striking 
        ``(1)''.
    (b) Other Provisions.--The following provisions are 
repealed or amended as follows:
          (1) Subsections (c) and (d) of section 802 of the 
        International Security and Development Cooperation Act 
        of 1985 (99 Stat. 261) is repealed.
          (2) Section 211 of the Foreign Relations 
        Authorization Act, Fiscal Years 1986 and 1987 (99 Stat. 
        432) is repealed, and section 1(b) of that Act is 
        amended by striking the item in the table of contents 
        relating to section 211.
          (3) Sections 1223 and 1224 of the Foreign Relations 
        Authorization Act, Fiscal Years 1988 and 1989 (101 
        Stat. 1415) is repealed, and section 1(b) of that Act 
        is amended by striking the items in the table of 
        contents relating to sections 1223 and 1224.
          (4) Section 362 of the Foreign Relations 
        Authorization Act, Fiscal Years 1992 and 1993 (105 
        Stat. 716) is repealed, and section 2 of that Act is 
        amended by striking the item in the table of contents 
        relating to section 362.
          (5) Section 2(b)(9) of the Export-Import Bank Act of 
        1945 (12 U.S.C. 635(b)(9)) is repealed.
          (6) Section 43 of the Bretton Woods Agreements Act 
        (22 U.S.C. 286aa) is amended by repealing subsection 
        (b) and by striking ``(a)''.
          (7) Section 330 of H.R. 5205 of the 99th Congress 
        (Department of Transportation and Related Agencies 
        Appropriations Act, 1987) (22 U.S.C. 5056a) as 
        incorporated by reference in section 101(l) of Public 
        Law 99-500 and Public Law 99-591, and made effective as 
        if enacted into law by section 106 of Public Law 100-
        202, is repealed.
          (8)(A) Section 901(j)(2)(C) of the Internal Revenue 
        Code of 1986 (26 U.S.C. 901(j)(2)(C)) is repealed.
          (B) Subparagraph (A) shall not be construed as 
        affecting any of the transitional rules contained in 
        Revenue Ruling 92-62 which apply by reason of the 
        termination of the period for which section 901(j) of 
        the Internal Revenue Code of 1986 was applicable to 
        South Africa.
          (9) The table in section 502(b) of the Trade Act of 
        1974 (19 U.S.C. 2462(b)) is amended by striking 
        ``Republic of South Africa''.
    (c) Sanctions Measures Adopted by State or Local 
Governments or Private Entities.--
          (1) Policy regarding rescission.--The Congress urges 
        all State or local governments and all private entities 
        in the United States that have adopted any restriction 
        on economic interactions with South Africa, or any 
        policy discouraging such interaction, to rescind such 
        restriction or policy.
          (2) Repeal of provisions relating to withholding 
        federal funds.--Effective October 1, 1995, the 
        following provisions are repealed:
                  (A) The undesignated paragraph entitled 
                ``state and local anti-apartheid policies'' in 
                chapter IX of the Dire Emergency Supplemental 
                Appropriations and Transfers, Urgent 
                Supplementals, and Correcting Enrollment Errors 
                Act of 1989 (22 U.S.C. 5117).
                  (B) Section 210 of the Urgent Supplemental 
                Appropriations Act, 1986 (100 Stat. 749).
    (d) Continuation of UN Special Sanctions.--It is the sense 
of the Congress that the United States should continue to 
respect United Nations Security Council resolutions on South 
Africa, including the resolution providing for a mandatory 
embargo on arms sales to South Africa and the resolutions 
relating to the import of arms, restricting exports to the 
South African military and police, and urging states to refrain 
from nuclear cooperation that would contribute to the 
manufacture and development by South Africa of nuclear weapons 
or nuclear devices.

SEC. 5. UNITED STATES ASSISTANCE FOR THE TRANSITION TO A NONRACIAL 
                    DEMOCRACY.

    (a) In General.--The President is authorized and encouraged 
to provide assistance under chapter 10 of part I of the Foreign 
Assistance Act of 1961 (relating to the Development Fund for 
Africa) or chapter 4 of part II of that Act (relating to the 
Economic Support Fund) to support the transition to nonracial 
democracy in South Africa. Such assistance shall--
          (1) focus on building the capacity of disadvantaged 
        South Africans to take their rightful place in the 
        political, social, and economic systems of their 
        country;
          (2) give priority to working with and through South 
        African nongovernmental organizations whose leadership 
        and staff represent the majority population and which 
        have the support of the disadvantaged communities being 
        served by such organizations;
          (3) in the case of education programs--
                  (A) be used to increase the capacity of South 
                African institutions to better serve the needs 
                of individuals disadvantaged by apartheid;
                  (B) emphasize education within South Africa 
                to the extent that assistance takes the form of 
                scholarships for disadvantaged South African 
                students; and
                  (C) fund nontraditional training activities;
          (4) support activities to prepare South Africa for 
        elections, including voter and civic education 
        programs, political party building, and technical 
        electoral assistance;
          (5) support activities and entities, such as the 
        Peace Accord structures, which are working to end the 
        violence in South Africa; and
          (6) support activities to promote human rights, 
        democratization, and a civil society.
    (b) Government of South Africa.--
          (1) Limitation on assistance.--Except as provided in 
        paragraph (2), assistance provided in accordance with 
        this section may not be made available to the 
        Government of South Africa, or organizations financed 
        and substantially controlled by that government, unless 
        the President certifies to the Congress that an interim 
        government that was elected on a nonracial basis 
        through free and fair elections has taken office in 
        South Africa.
          (2) Exceptions.--Notwithstanding paragraph (1), 
        assistance may be provided for--
                  (A) the Transitional Executive Council;
                  (B) South African higher education 
                institutions, particularly those traditionally 
                disadvantaged by apartheid policies; and
                  (C) any other organization, entity, or 
                activity if the President determines that the 
                assistance would promote the transition to 
                nonracial democracy in South Africa.
        Any determination under subparagraph (C) should be 
        based on consultations with South African individuals 
        and organizations representative of the majority 
        population in South Africa (particularly consultations 
        through the Transitional Executive Council) and 
        consultations with the appropriate congressional 
        committees.
    (c) Ineligible Organizations.--
          (1) Acts of violence.--An organization that has 
        engaged in armed struggle or other acts of violence 
        shall not be eligible for assistance provided in 
        accordance with this section unless that organization 
        is committed to a suspension of violence in the context 
        of progress toward nonracial democracy.
          (2) Views inconsistent with democracy and free 
        enterprise.--Assistance provided in accordance with 
        this section may not be made available to any 
        organization that has espoused views inconsistent with 
        democracy and free enterprise unless such organization 
        is engaged actively and positively in the process of 
        transition to a nonracial democracy and such assistance 
        would advance the United States objective of promoting 
        democracy and free enterprise in South Africa.

SEC. 6. UNITED STATES INVESTMENT AND TRADE.

    (a) Tax Treaty.--The President should begin immediately to 
negotiate a tax treaty with South Africa to facilitate United 
States investment in that country.
    (b) OPIC.--The President should immediately initiate 
negotiations with the Government of South Africa for an 
agreement authorizing the Overseas Private Investment 
Corporation to carry out programs with respect to South Africa 
in order to expand United States investment in that country.
    (c) Trade and Development Agency.--In carrying out section 
661 of the Foreign Assistance Act of 1961, the Director of the 
Trade and Development Agency should provide additional funds 
for activities related to projects in South Africa.
    (d) Export-Import Bank.--The Export-Import Bank of the 
United States should expand its activities in connection with 
exports to South Africa.
    (e) Promoting Disadvantaged Enterprises.--
          (1) Investment and trade programs.--Each of the 
        agencies referred to in subsections (b) through (d) 
        should take active steps to encourage the use of its 
        programs to promote business enterprises in South 
        Africa that are majority-owned by South Africans 
        disadvantaged by apartheid.
          (2) United states government procurement.--To the 
        extent not inconsistent with the obligations of the 
        United States under any international agreement, the 
        Secretary of State and the head of any other department 
        or agency of the United States carrying out activities 
        in South Africa shall, to the maximum extent 
        practicable, in procuring goods or services, make 
        affirmative efforts to assist business enterprises 
        having more than 50 percent beneficial ownership by 
        South African blacks or other nonwhite South Africans, 
        notwithstanding any law relating to the making or 
        performance of, or the expenditure of funds for, United 
        States Government contracts.

SEC. 7. INFORMATION AND EDUCATIONAL EXCHANGE PROGRAMS.

    The Director of the United States Information Agency should 
use the authorities of the United States Information and 
Educational Exchange Act of 1948 to promote the development of 
a nonracial democracy in South Africa.

SEC. 8. OTHER COOPERATIVE AGREEMENTS.

    In addition to the actions specified in the preceding 
sections of this Act, the President should seek to conclude 
cooperative agreements with South Africa on a range of issues, 
including cultural and scientific issues.

SEC. 9. INTERNATIONAL FINANCIAL INSTITUTIONS AND OTHER DONORS.

    (a) In General.--The President should encourage other 
donors, particularly Japan and the European Community 
countries, to expand their activities in support of the 
transition to nonracial democracy in South Africa.
    (b) International Financial Institutions.--The Secretary of 
the Treasury should instruct the United States Executive 
Director of each relevant international financial institution, 
including the International Bank for Reconstruction and 
Development and the International Development Association, to 
urge that institution to initiate or expand its lending and 
other financial assistance activities to South Africa in order 
to support the transition to nonracial democracy in South 
Africa.
    (c) Technical Assistance.--The Secretary of the Treasury 
should instruct the United States Executive Director of each 
relevant international financial institution to urge that 
institution to fund programs to initiate or expand technical 
assistance to South Africa for the purpose of training the 
people of South Africa in government management techniques.

SEC. 10. CONSULTATION WITH SOUTH AFRICANS.

    In carrying out this Act, the President should consult 
closely with South African individuals and organizations 
representative of the majority population in South Africa 
(particularly consultations through the Transitional Executive 
Council) and others committed to abolishing the remnants of 
apartheid.
  l. Prohibiting Trade and Certain Other Transactions Involving Libya

          (1) Imports of Refined Petroleum Products From Libya

 Executive Order 12538 of November 15, 1985, 50 F.R. 47527, 19 U.S.C. 
                               1862 note

    By the authority vested in me as President by the 
Constitution and laws of the United States, including Section 
504 of the International Security and Development Cooperation 
Act of 1985 (Public Law 99-83), and considering that the Libyan 
government actively pursues terrorism as an instrument of state 
policy and that Libya has developed significant capability to 
export petroleum products and thereby circumvent the 
prohibition imposed by Proclamation No. 4907 of March 10, 1982 
and retained in Proclamation No. 5141 of December 22, 1983 on 
the importation of Libyan crude oil, it is ordered as follows:
    Section 1. (a) No petroleum product refined in Libya 
(except petroleum product loaded aboard maritime vessels at any 
time prior to two days after the effective date of this 
Executive Order) may be imported into the United States, its 
territories or possessions.
    (b) For the purposes of this Executive Order, the 
prohibition on importation of petroleum products refined in 
Libya shall apply to petroleum products which are currently 
classifiable under Item Numbers: 475.05; 475.10; 475.15; 
475.25; 475.30; 475.35; 475.45; 475.65; 475.70 of the Tariff 
Schedules of the United States (19 U.S.C. 1202).
    Sec. 2. The Secretary of the Treasury may issue such 
rulings and instructions, or, following consultation with the 
Secretaries of State and Energy, such regulations as he deems 
necessary to implement this Order.
    Sec. 3. This Order shall be effective immediately.
     (2) Prohibiting Trade and Certain Transactions Involving Libya

 Executive Order 12543 of January 7, 1986, 51 F.R. 875, 50 U.S.C. 1701 
                                  note

    By the authority vested in me as President by the 
Constitution and laws of the United States of America, 
including the International Emergency Economic Powers Act (50 
U.S.C. 1701 et seq.), the National Emergencies Act (50 U.S.C. 
1601 et seq.), sections 504 and 505 of the International 
Security and Development Cooperation Act of 1985 (Public Law 
99-83), section 1114 of the Federal Aviation Act of 1958, as 
amended (49 U.S.C. 1514), and section 301 of title 3 of the 
United States Code.
    I, RONALD REAGAN, President of the United States of 
America, find that the policies and actions of the Government 
of Libya constitute an unusual and extraordinary threat to the 
national security and foreign policy of the United States and 
hereby declare a national emergency to deal with that 
threat.\1\
---------------------------------------------------------------------------
    \1\ In the notice transmitted to the Congress on December 23, 1986 
(51 F.R. 46849), the President continued this national emergency for an 
additional year beyond January 7, 1987. This emergency was further 
continued by Presidential notice on the following dates: December 15, 
1987 (52 F.R. 47891); December 28, 1988 (53 F.R. 52971); January 4, 
1990 (55 F.R. 589); December 26, 1991 (56 F.R. 67465); December 14, 
1992 (57 F.R. 59895); December 2, 1993 (58 F.R. 64361); December 22, 
1994 (59 F.R. 67119); January 3, 1996 (61 F.R. 383); January 2, 1997 
(62 F.R. 587); January 2, 1998 (63 F.R. 653); December 30, 1998 (64 
F.R. 383); December 29, 1999 (65 F.R. 199); January 4, 2001 (66 F.R. 
1249); January 3, 2002 (67 F.R. 635); and January 2, 2003 (68 F.R. 
659).
---------------------------------------------------------------------------
    I hereby order:
    Section 1. The following are prohibited, except to the 
extent provided in regulations which may hereafter be issued 
pursuant to this Order:
    (a) The import into the United States of any goods or 
services of Libyan origin, other than publications and 
materials imported for news publications or news broadcast 
dissemination;
    (b) The export to Libya of any goods, technology (including 
technical data or other information) or services from the 
United States, except publications and donations of articles 
intended to relieve human suffering, such as food, clothing, 
medicine and medical supplies intended strictly for medical 
purposes;
    (c) Any transaction by a United States person relating to 
transportation to or from Libya; the provision of 
transportation to or from the United States by any Libyan 
person or any vessel or aircraft of Libyan registration; or the 
sale in the United States by any person holding authority under 
the Federal Aviation Act of any transportation by air which 
includes any stop in Libya;
    (d) The purchase by any United States person of goods for 
export from Libya to any country;
    (e) The performance by any United States person of any 
contract in support of an industrial or other commercial or 
governmental project in Libya;
    (f) The grant or extension of credits or loans by any 
United States person to the Government of Libya, its 
instrumentalities and controlled entities;
    (g) Any transaction by a United States person relating to 
travel by any United States citizen or permanent resident alien 
to Libya, or to activities by any such person within Libya, 
after the date of this Order, other than transactions necessary 
to effect such person's departure from Libya, to perform acts 
permitted until February 1, 1986, by Section 3 of this Order, 
or travel for journalistic activity by persons regularly 
employed in such capacity by a newsgathering organization; and
    (h) Any transaction by any United States person which 
evades or avoids, or has the purpose of evading or avoiding, 
any of the prohibitions set forth in this Order.
    For purposes of this Order, the term ``United States 
person'' means any United States citizen, permanent resident 
alien, juridical person organized under the laws of the United 
States or any person in the United States.
    Sec. 2. In light of the prohibition in Section 1(a) of this 
Order, section 251 of the Trade Expansion Act of 1962, as 
amended (19 U.S.C. 1881), and section 126 of the Trade Act of 
1974, as amended (19 U.S.C. 2136) will have no effect with 
respect of Libya.
    Sec. 3. This Order is effective immediately, except that 
the prohibitions set forth in Section 1 (a), (b), (c), (d) and 
(e) shall apply as of 12:01 a.m. Eastern Standard Time, 
February 1, 1986.
    Sec. 4.  The Secretary of the Treasury, in consultation 
with the Secretary of State, is hereby authorized to take such 
actions, including the promulgation of rules and regulations, 
as may be necessary to carry out the purposes of this Order. 
Such actions may include prohibiting or regulating payments or 
transfers of any property or any transactions involving the 
transfer of anything of economic value by any United States 
person to the Government of Libya, its instrumentalities and 
controlled entities, or to any Libyan national or entity owned 
or controlled, directly or indirectly, by Libya or Libyan 
nationals. The Secretary may redelegate any of these functions 
to other officers and agencies of the Federal government. All 
agencies of the United States government are directed to take 
all appropriate measures within their authority to carry out 
the provisions of this Order, including the suspension or 
termination of licenses or other authorizations in effect as of 
the date of this Order.
    Sec. 5. This Order shall be transmitted to the Congress and 
published in the Federal Register.
(3) Blocking Libyan Government Property in the United States or Held by 
                              U.S. Persons

Executive Order 12544 of January 8, 1986, 51 F.R. 1235, 50 U.S.C. 1701 
                                  note

    By the authority vested in me as President by the 
Constitution and laws of the United States, including the 
International Emergency Economic Power Act (50 U.S.C. 1701 et 
seq.), the National Emergencies Act (50 U.S.C. 1601 et seq.) 
and section 301 of title 3 of the United States Code, in order 
to take steps with respect to Libya additional to those set 
forth in Executive Order No. 12543 of January 7, 1986, to deal 
with the threat to the national security and foreign policy of 
the United States referred to in that Order.\1\
---------------------------------------------------------------------------
    \1\ In the notice transmitted to the Congress on December 23, 1986 
(51 F.R. 46849), the President continued this national emergency for an 
additional year beyond January 7, 1987. This emergency was further 
continued by Presidential notice on the following dates: December 15, 
1987 (52 F.R. 47891); December 28, 1988 (53 F.R. 52971); January 4, 
1990 (55 F.R. 589); December 26, 1991 (56 F.R. 67465); December 14, 
1992 (57 F.R. 59895); December 2, 1993 (58 F.R. 64361); December 22, 
1994 (59 F.R. 67119); January 3, 1996 (61 F.R. 383); January 2, 1997 
(62 F.R. 587); January 2, 1998 (63 F.R. 653); December 30, 1998 (64 
F.R. 383); December 29, 1999 (65 F.R. 199); January 4, 2001 (66 F.R. 
1249); January 3, 2002 (67 F.R. 635); and January 2, 2003 (68 F.R. 
659).
---------------------------------------------------------------------------
    I, RONALD REAGAN, President of the United States, hereby 
order blocked all property and interests in property of the 
Government of Libya, its agencies, instrumentalities and 
controlled entities and the Central Bank of Libya that are in 
the United States, that hereafter come within the United States 
or that are or hereafter come within the possession or control 
of U.S. persons, including overseas branches of U.S. persons.
    The Secretary of the Treasury, in consultation with the 
Secretary of State, is authorized to employ all powers granted 
to me by the International Emergency Economics Power Act, 50 
U.S.C. 1701 et seq., to carry out the provisions of this Order.
    This Order is effective immediately and shall be 
transmitted to the Congress and published in the Federal 
Register.
 (4) Barring Overflight, Takeoff, and Landing of Aircraft Flying To or 
                               From Libya

Executive Order 12801 of April 15, 1992, 57 F.R. 14319, 50 U.S.C. 1701 
                                  note

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including the International Emergency Economic Power Act (50 
U.S.C. 1701 et seq.), the National Emergencies Act (50 U.S.C. 
1601 et seq.), section 1114 of the Federal Aviation Act of 
1958, as amended (49 U.S.C. App. 1514), section 5 of the United 
Nations Participation Act of 1945, as amended (22 U.S.C. 287c), 
and section 301 of title 3 of the United States Code, in view 
of United Nations Security Council Resolutions No. 731 of 
January 21, 1992, and 748 of March 31, 1992,\1\ and in order to 
take additional steps with respect to Libya's continued support 
for international terrorism and the national emergency declared 
in Executive Order No. 12543 of January 7, 1986, it is hereby 
ordered that:
---------------------------------------------------------------------------
    \1\ United Nations Security Council Resolution No. 731 of January 
21, 1992, in part, reaffirmed earlier resolutions calling for 
international aviation security, condemned the downing of Pan Am flight 
103 and UTA flight 772, and called on the Government of Libya to 
provide full and effective responses toward the elimination of 
international terrorism. United Nations Security Council Resolution No. 
748 of March 31, 1992, in part, reaffirmed Resolution 731, expressed 
conviction in the role of involved States and the international 
community in the suppression of international terrorism. Resolution 
731, furthermore, called on the international community to impose 
economic and diplomatic sanctions against Libya on April 15, 1992, if 
Libya failed to provide documentation relating to the downing of Pan Am 
flight 103 and UTA flight 772, and further failed to commit itself to 
the cessation of international terrorism.
---------------------------------------------------------------------------
    Section 1. Except to the extent provided in regulations, 
orders, directives, authorizations, or licenses that may 
hereafter be issued pursuant to this order, and notwithstanding 
the existence of any rights or obligations conferred or imposed 
by any international agreement or any contract entered into or 
any license or permit granted before the effective date of this 
order, the granting of permission to any aircraft to take off 
from, land in, or overfly the United States, if the aircraft, 
as part of the same flight or as a continuation of that flight, 
is destined to land in or has taken off from the territory of 
Libya, is hereby prohibited.
    Sec. 2. The Secretary of the Treasury, in consultation with 
the Secretary of Transportation, is hereby authorized to take 
such actions, including the promulgation of rules and 
regulations, as may be necessary to carry out the provisions of 
section 1 of this order. The Secretary of the Treasury may 
redelegate the authority set forth in this order to other 
officers in the Department of the Treasury and may confer or 
impose such authority upon any other officer of the United 
States, with the consent of the head of the department or 
agency within which such officer is serving. All executive 
branch agencies of the Federal Government hereby affected are 
directed to consult as appropriate on the implementation of 
this order and to take all necessary measures within their 
authority to carry out the provisions of this order, including 
the suspension or termination of licenses or other 
authorizations in effect as of the date of this order.
    Sec. 3. Nothing contained in this order shall confer any 
substantive or procedural right or privilege on any person or 
organization, enforceable against the United States, its 
agencies or instrumentalities, its officers, or its employees.
    Sec. 4. This order is effective 11:59 p.m. eastern daylight 
time, April 15, 1992.
    Sec. 5. This order shall be transmitted to the Congress and 
published in the Federal Register.
          m. Prohibiting Certain Transactions Involving Angola

    (1) Policy Toward United States Business Transactions in Angola

Partial text of Public Law 99-472 [H.R. 5548], 100 Stat. 1200, approved 
                            October 15, 1986

          AN ACT To amend the Export-Import Bank Act of 1945.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Export-Import Bank Act 
Amendments of 1986''.
          * * * * * * *

SEC. 21. POLICY TOWARD UNITED STATES BUSINESS TRANSACTIONS IN ANGOLA.

    (a) The Congress finds that--
          (1) the Marxist Popular Movement for the Liberation 
        of Angola (hereafter in this section referred to as the 
        ``MPLA'') has failed to hold fair and free elections 
        since assuming power in Angola in 1975;
          (2) Angola currently harbors more than 35,000 Soviet 
        and Cuban troops and advisers;
          (3) the Cubans and Soviets have channeled more than 
        $4,000,000,000 in assistance and military aid in 
        furtherance of this intervention in Africa;
          (4) the MPLA government of Angola obtains more than 
        90 percent of its foreign exchange from the extraction 
        and production of oil;
          (5) most of Angola's oil is extracted in Cabinda 
        Province, where 75 percent of it is extracted by the 
        Chevron-Gulf Oil company;
          (6) the MPLA has refused to take meaningful steps to 
        end its dependency on Soviet and Cuban forces, engage 
        in national reconciliation within Angola, or encourage 
        the independence of Namibia; and
          (7) United States business interests are in direct 
        conflict with United States foreign policy objectives 
        in aiding the MPLA government of Angola, which directly 
        opposes Jonas Savimbi and UNITA, recipients of United 
        States support.
    (b)(1) It is the sense of the Congress that the interests 
of the United States are best served when United States 
business transactions conducted in Angola do not directly or 
indirectly support Cuban troops and Soviet advisers.
    (2) the Congress hereby requests that the President 
consider using his authorities under the Export Administration 
Act of 1979 to restrict United States business transactions 
that conflict with United States security interests in Angola.
          * * * * * * *
          (2) Prohibiting Certain Transactions Involving UNITA

  Executive Order 12865, September 26, 1993, 58 F.R. 51005, 50 U.S.C. 
                               1701 note

    By the authority vested in me as President by the 
constitution and the laws of the United States of America, 
including the International Emergency Economic Powers Act (50 
U.S.C. 1701 et seq.), the National Emergencies Act (50 U.S.C. 
1601 et seq.), section 5 of the United National Participation 
Act of 1945, as amended (22 U.S.C. 287c), and section 301 of 
title 3, United States Code, and in view of United Nations 
Security Council Resolution No. 864 of September 15, 1993,
    I, WILLIAM J. CLINTON, President of the United States of 
America, take note of the United Nations Security Council's 
determination that, as a result of UNITA's military actions, 
the situation in Angola constitutes a threat to international 
peace and security, and find that the actions and policies of 
UNITA, in continuing military actions, repeated attempts to 
seize additional territory and failure to withdraw its troops 
from locations that it has occupied since the resumption of 
hostilities, in repeatedly attacking United Nations personnel 
working to provide humanitarian assistance, in holding foreign 
nationals against their will, in refusing to accept the results 
of the democratic elections held in Angola in 1992, and in 
failing to abide by the ``Accordos de Paz,'' constitute an 
unusual and extraordinary threat to the foreign policy of the 
United States, and hereby declare a national emergency to deal 
with that threat.\1\
---------------------------------------------------------------------------
    \1\ In a notice of August 17, 1994 (59 F.R. 42749), the President 
stated that this national emergency must continue in effect beyond 
September 26, 1994. The national emergency was further continued by 
Presidential Notice on the following dates: September 18, 1995 (60 F.R. 
48621); September 16, 1996 (61 F.R. 49047); September 24, 1997 (62 F.R. 
50477); September 23, 1998 (63 F.R. 51509); September 21, 1999 (64 F.R. 
51419); September 22, 2000 (65 F.R. 57721); September 24, 2001 (66 F.R. 
49084); and September 23, 2002 (67 F.R. 60105).
    The emergency with respect to UNITA was terminated on May 6, 2003 
by Executive Order 13298 (68 F.R. 25855).
---------------------------------------------------------------------------
    I hereby order:
    Section 1. The following are prohibited, notwithstanding 
the existence of any rights or obligations conferred or imposed 
by any international agreement or contract entered into or any 
license or permit granted before the effective date of this 
order, except to the extent provided in regulations, orders, 
directives, or licenses which may hereafter be issued pursuant 
to this order:
    (a) The sale or supply by United States persons or from the 
United States, or using U.S.-registered vessels or aircraft, of 
arms and related materiel of all types, including weapons and 
ammunition, military vehicles and equipment and spare parts for 
the aforementioned, as well as petroleum and petroleum 
products, regardless of origin:
          (1) to UNITA;
          (2) to the territory of Angola, other than through 
        points of entry to be designated by the Secretary of 
        the Treasury, or any activity by United States persons 
        or in the United States which promotes or is calculated 
        to promote such sale or supply.
    (b) Any transaction by any United States person that evades 
or avoids, or has the purpose of evading or avoiding, or 
attempts to violate, any of the prohibitions set forth in this 
order.
    Sec. 2. For purposes of this order:
    (a) The term ``United States person'' means any United 
States citizen, permanent resident alien, juridical person 
organized under the laws of the United States (including 
foreign branches), or person in the United States;
    (b) The term ``UNITA'' includes:
          (1) the Uniao Nacional para a Independencia Total de 
        Angola (UNITA), known in English as the ``National 
        Union for the Total Independence of Angola;''
          (2) the Forcas Armadas para a Liberacao de Angola 
        (FALA), known in English as the ``Armed Forces for the 
        Liberation of Angola;''
          (3) any person acting or purporting to act for or on 
        behalf of any of the foregoing, including the Free 
        Angola Information Service, Inc.
    Sec. 3. The Secretary of the Treasury, in consultation with 
the Secretary of State, is hereby authorized to take such 
actions, including the promulgation of rules and regulations, 
and to employ all powers granted to the President by the 
International Emergency Economic Powers Act and the United 
Nations Participation Act as may be necessary to carry out the 
purpose of this order. The Secretary of the Treasury may 
redelegate any of these functions to other officers and 
agencies of the United States Government.
    Sec. 4. Nothing contained in this order shall be construed 
to supersede the requirements established under the Arms Export 
Control Act (22 U.S.C. 2751 et seq.) and the Export 
Administration Act (50 U.S.C. App. 2401 et seq.) to obtain 
licenses for the exportation from the United States or from a 
third country of any goods, data, or services subject to the 
export jurisdiction of the Department of State or the 
Department of Commerce.
    Sec. 5. All Federal agencies are hereby directed to take 
all appropriate measures within their authority to carry out 
the provisions of this order, including suspension or 
termination of licenses or other authorizations in effect as of 
the date of this order.
    Sec. 6. Nothing contained in this order shall create any 
right or benefit, substantive or procedural, enforceable by any 
party against the United States, its agencies or 
instrumentalities, its officers or employees, or any other 
person.
    Sec. 7. (a) This order shall take effect immediately.
    (b) This order shall be transmitted to the Congress and 
published in the Federal Register.
          (3) Prohibiting Certain Transactions Involving UNITA

 Executive Order 13098, August 18, 1998, 63 F.R. 44771, 50 U.S.C. 1701 
                                  note

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including the International Emergency Economic Powers Act (50 
U.S.C. 1701 et seq.) (IEEPA), the National Emergencies Act (50 
U.S.C. 1601 et seq.), section 5 of the United Nations 
Participation Act of 1945, as amended (22 U.S.C. 287c) (UNPA), 
and section 301 of title 3, United States Code, in view of 
United Nations Security Council Resolutions 1173 of June 12, 
1998, and 1176 of June 24, 1998, and in order to take 
additional steps with respect to the actions and policies of 
the National Union for the Total Independence of Angola (UNITA) 
and the national emergency declared in Executive Order 12865, 
I, WILLIAM J. CLINTON, President of the United States of 
America, hereby order:
    Section 1.\1\ Except to the extent provided in regulations, 
orders, directives, or licenses issued pursuant to this order, 
and notwithstanding the existence of any rights or obligations 
conferred or imposed by any international agreement or any 
contract entered into or any license or permit granted prior to 
the effective date of this order, all property and interests in 
property that are in the United States, that hereafter come 
within the United States, or that are or hereafter come within 
the possession or control of United States persons, of UNITA, 
or of those senior officials of UNITA, or adult members of 
their immediate families, who are designated pursuant to 
section 5 of this order, are hereby blocked.
---------------------------------------------------------------------------
    \1\ See Executive Order 12865 (this volume, page 1444) for 
references to presidential documents announcing extension and 
termination of the national emergency with respect to UNITA.
---------------------------------------------------------------------------
    Sec. 2. Except to the extent provided in regulations, 
orders, directives, or licenses issued pursuant to this order, 
and notwithstanding the existence of any rights or obligations 
conferred or imposed by any international agreement or any 
contract entered into or any license or permit granted prior to 
the effective date of this order, the following are prohibited:
    (a) the direct or indirect importation into the United 
States of all diamonds exported from Angola on or after the 
effective date of this order that are not controlled through 
the Certificate of Origin regime of the Angolan Government of 
Unity and National Reconciliation;
    (b) the sale or supply by United States persons or from the 
United States or using U.S.-registered vessels or aircraft, of 
equipment used in mining, regardless of origin, to the 
territory of Angola other than through a point of entry 
designated pursuant to section 5 of this order;
    (c) the sale or supply by United States persons or from the 
United States or using U.S.-registered vessels or aircraft, of 
motorized vehicles, watercraft, or spare parts for the 
foregoing, regardless of origin, to the territory of Angola 
other than through a point of entry designated pursuant to 
section 5 of this order; and
    (d) the sale or supply by United States persons or from the 
United States or using U.S.-registered vessels or aircraft, of 
mining services or ground or waterborne transportation 
services, regardless of origin, to persons in areas of Angola 
to which State administration has not been extended, as 
designated pursuant to section 5 of this order.
    Sec. 3. Any transaction by a United States person or within 
the United States that evades or avoids, or has the purpose of 
evading or avoiding, or attempts to violate, any of the 
prohibitions set forth in this order is prohibited.
    Sec. 4. For the purposes of this order:
    (a) the term ``person'' means an individual or entity;
    (b) the term ``entity'' means a partnership, association, 
trust, joint venture, corporation, or other organization;
    (c) the term ``United States person'' means any United 
States citizen, permanent resident alien, entity organized 
under the laws of the United States (including foreign 
branches), or any person in the United States;
    (d) the term ``UNITA'' includes:
          (i) the Uniao Nacional para a Independencia Total de 
        Angola (UNITA), known in English as the ``National 
        Union for the Total Independence of Angola;''
          (ii) the Forcas Armadas para a Liberacao de Angola 
        (FALA), known in English as the ``Armed Forces for the 
        Liberation of Angola;'' and
          (iii) any person acting or purporting to act for or 
        behalf of any of the foregoing, including the Center 
        for Democracy in Angola (CEDA);
    (e) the term ``controlled through the Certificate of Origin 
regime of the Angolan Government of Unity and National 
Reconciliation'' means accompanied by any documentation that 
demonstrates to the satisfaction of the United States Customs 
Service that the diamonds were legally exported from Angola 
with the approval of the Angolan Government of Unity and 
National Reconciliation.
    Sec. 5. The Secretary of the Treasury, in consultation with 
the Secretary of State, is hereby authorized to take such 
actions, including designating senior officials of UNITA and 
adult members of their immediate families for purposes of 
section 1 of this order, designating points of entry in Angola 
and areas of Angola to which State administration has not been 
extended for purposes of section 2 of this order, establishing 
exemptions from the prohibitions set forth in this order for 
medical and humanitarian purposes, and promulgating rules and 
regulations, and to employ all powers granted to the President 
by IEEPA and UNPA, as may be necessary to carry out the 
purposes of this order. The Secretary of the Treasury may 
redelegate any of these functions to other officers and 
agencies of the United States Government. All agencies of the 
United States Government are hereby directed to take all 
appropriate measures within their authority to carry out the 
provisions of this order, including suspension or termination 
of licenses or other authorizations in effect as of the 
effective date of this order.
    Sec. 6. Nothing contained in this order shall create any 
right or benefit, substantive or procedural, enforceable by any 
party against the United States, its agencies or 
instrumentalities, its officers or employees, or any other 
person.
    Sec. 7. (a) This order is effective at 12:01 a.m., eastern 
daylight time on August 19, 1998.
    (b) This order shall be transmitted to the Congress and 
published in the Federal Register.
          n. Prohibiting Certain Transactions with Afghanistan

(1) Authority to Deny Most-Favored-Nation Treatment to the Products of 
                              Afghanistan

 Partial text of Public Law 99-190 [Further Continuing Appropriations 
Act 1986; H.J. Res. 465], 99 Stat. 1185 at 1314, approved December 19, 
                                  1985

    AN ACT Making appropriations for foreign assistance and related 
 programs for the fiscal year ending September 30, 1986, and for other 
                           purposes, namely:

          * * * * * * *

                      TITLE V--GENERAL PROVISIONS

          * * * * * * *
    Sec. 552.\1\ (a) Notwithstanding any other provision of 
law, the President is authorized--
---------------------------------------------------------------------------
    \1\ 19 U.S.C. 2434 note. The President suspended the most-favored-
nation status for products of Afghanistan in Proclamation 5437 of 
January 31, 1986 (51 F.R. 4287). Normal trade relations (most-favored-
nation status) was restored in Proclamation 7553 of May 3, 2002 (67 
F.R. 30535).
---------------------------------------------------------------------------
          (1) to deny nondiscriminatory (most-favored-nation) 
        trade treatment to the products of Afghanistan and 
        thereby cause such products to be subject to the rate 
        of duty set forth in column number 2 of the Tariff 
        Schedules of the United States, and
          (2) to deny credit, credit guarantees, and investment 
        guarantees to, or for the benefit of, Afghanistan under 
        any Federal program.
    (b) If the President has not denied nondiscriminatory trade 
treatment to the products of Afghanistan before the date that 
is 45 days after the date of enactment of this joint 
resolution, the President shall submit to the Congress on such 
date.
          * * * * * * *
    Sec. 118.\1\ (a) Notwithstanding any other provision of 
law, the President is authorized--
          (1) to deny nondiscriminatory (most-favored-nation) 
        trade treatment to the products of Afghanistan and 
        thereby cause such products to be subject to the rate 
        of duty set forth in column number 2 of the Tariff 
        Schedules of the United States, and
          (2) to deny credit, credit guarantees, and investment 
        guarantees to, or for the benefit of, Afghanistan under 
        any Federal program.
    (b) If the President has not denied nondiscriminatory trade 
treatment to the products of Afghanistan before the date that 
is 45 days after the date of enactment of this joint 
resolution, the President shall submit to the Congress on such 
date a report which states the reasons why the President has 
not denied such treatment.
    (c) Notwithstanding any other provision of law, if the 
President takes any action under subsection (a), the President 
is authorized to--
          (1) restore nondiscriminatory trade treatment to the 
        products of Afghanistan, and
          (2) extend credit, credit guarantees, and investment 
        guarantees to, or for the benefit of, Afghanistan under 
        any Federal program.
only if the President provides written notice of such 
restoration or extension to the Congress at least 30 days prior 
to the date on which such restoration or extension takes 
effect.
    (d) For purposes of this joint resolution, the term 
``product of Afghanistan'' means any article which is grown, 
produced, or manufactured (in whole or in part) in Afghanistan.
          * * * * * * *
  (2) Blocking Property and Prohibiting Transactions with the Taliban

  Executive Order 13129, July 4, 1999, (64 F.R. 13129) 50 U.S.C. 1701 
                                  note

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including the International Emergency Economic Powers Act (50 
U.S.C. 1701 et seq.) (``IEEPA''), the National Emergencies Act 
(50 U.S.C. 1601 et seq.), and section 301 of title 3, United 
States Code,
    I, WILLIAM J. CLINTON, President of the United States of 
America, find that the actions and policies of the Taliban in 
Afghanistan, in allowing territory under its control in 
Afghanistan to be used as a safe haven and base of operations 
for Usama bin Ladin and the Al-Qaida organization who have 
committed and threaten to continue to commit acts of violence 
against the United States and its nationals, constitute an 
unusual an extraordinary threat to the national security and 
foreign policy of the United States, and hereby declare a 
national emergency to deal with that threat.\1\
---------------------------------------------------------------------------
    \1\ The national emergency with respect to the Taliban was 
continued by Presidential notice on June 30, 2000 (65 F.R. 41549); June 
30, 2002 (66 F.R. 35363). The national emergency was terminated by 
Executive Order 13268 of July 2, 2002 (66 F.R. 35363).
---------------------------------------------------------------------------
    I hereby order:
    Section 1. Except to the extent provided in section 203(b) 
of IEEPA (50 U.S.C. 1702(b)) and in regulations, orders, 
directives, or licenses that may be issued pursuant to this 
order, and notwithstanding any contract entered into or any 
license or permit granted prior to the effective date:
    (a) all property and interests in property of the Taliban; 
and
    (b) all property and interests in property of persons 
determined by the Secretary of the Treasury, in consultation 
with the Secretary of State and the Attorney General:
          (i) to be owned or controlled by, or to act for or on 
        behalf of, the Taliban; or
          (ii) to provide financial, material, or technological 
        support for, or services in support of, any of the 
        foregoing that are in the United States, that hereafter 
        come within the United States, or that are or hereafter 
        come within the possession or control of United States 
        persons, are blocked.
    Sec. 2. Except to the extent provided in section 203(b) of 
IEEPA (50 U.S.C. 1702(b)) and in regulations, orders, 
directives, or licenses that may be issued pursuant to this 
order, and notwithstanding any contract entered into or any 
license or permit granted prior to the effective date:
    (a) any transaction or dealing by United States persons or 
within the United States in property or interests in property 
blocked pursuant to this order is prohibited, including the 
making or receiving of any contribution of funds, goods, or 
services to or for the benefit of the Taliban or persons 
designated pursuant to this order;
    (b) the exportation, reexportation, sale, or supply, 
directly or indirectly, from the United States, or by a United 
States person, wherever located, of any goods, software, 
technology (including technical data), or services to the 
territory of Afghanistan controlled by the Taliban or to the 
Taliban or persons designated pursuant to this order is 
prohibited;
    (c) the importation into the United States of any goods, 
software, technology, or services owned or controlled by the 
Taliban or persons designated pursuant to this order or from 
the territory of Afghanistan controlled by the Taliban is 
prohibited;
    (d) any transaction by any United States person or within 
the United States that evades or avoids, or has the purpose of 
evading or avoiding, or attempts to violate, any of the 
prohibitions set forth in this order is prohibited; and
    (e) any conspiracy formed to violate any prohibitions set 
forth in this order is prohibited.
    Sec. 3. The Secretary of the Treasury, in consultation with 
the Secretary of State, is hereby directed to authorize 
commercial sales of agricultural commodities and products, 
medicine, and medical equipment for civilian end use in the 
territory of Afghanistan controlled by the Taliban under 
appropriate safeguards to prevent diversion to military, 
paramilitary, or terrorist end users or end use or to political 
end use.
    Sec. 4. For the purposes of this order:
    (a) the term ``person'' means an individual or entity;
    (b) the term ``entity'' means a partnership, association, 
corporation, or other organization, group, or subgroup;
    (c) the term ``the Taliban'' means the political/military 
entity headquartered in Kandahar, Afghanistan that as of the 
date of this order exercises de facto control over the 
territory of Afghanistan described in paragraph (d) of this 
section, its agencies and instrumentalities, and the Taliban 
leaders listed in the Annex to this order or designated by the 
Secretary of State in consultation with the Secretary of the 
Treasury and the Attorney General. The Taliban is also known as 
the ``Taleban,'' ``Islamic Movement of Taliban,'' ``the Taliban 
Islamic Movement,'' ``Talibano Islami Tahrik,'' and ``Tahrike 
Islami'a Taliban''
    (d) the term ``territory of Afghanistan controlled by the 
Taliban'' means the territory referred to as the``Islamic 
Emirate of Afghanistan,'' known in Pashtun as ``de Afghanistan 
Islami Emarat'' or in Dari as ``Emarat Islami-e Afghanistan,'' 
including the following provinces of the country of 
Afghanistan: Kandahar, Farah, Helmund, Nimruz, Herat, Badghis, 
Ghowr, Oruzghon, Zabol, Paktiha, Ghazni, Nangarhar, Lowgar, 
Vardan, Faryab, Jowlan, Balkh, and Paktika. The Secretary of 
State, in consultation with the Secretary of the Treasury, is 
hereby authorized to modify the description of the term 
``territory of Afghanistan controlled by the Taliban''
    (e) the term ``United States person'' means any United 
States citizen, permanent resident alien, entity organized 
under the laws of the United States (including foreign 
branches), or any person in the United States.
    Sec. 5. The Secretary of the Treasury, in consultation with 
the Secretary of State and the Attorney General, is hereby 
authorized to take such actions, including the promulgation of 
rules and regulations, and to employ all powers granted to me 
by IEEPA as may be necessary to carry out the purposes of this 
order. The Secretary of the Treasury may redelegate any of 
these functions to other officers and agencies of the United 
States Government. All agencies of the United States Government 
are hereby directed to take all appropriate measures within 
their authority to carry out the provisions of this order.
    Sec. 6. Nothing contained in this order shall create any 
right or benefit, substantive or procedural, enforceable by any 
party against the United States, its agencies or 
instrumentalities, its officers or employees, or any other 
person.
    Sec. 7. (a) This order is effective at 12:01 a.m. Eastern 
Daylight Time on July 6, 1999.
    (b) This order shall be transmitted to the Congress and 
published in the Federal Register.

                                 Annex

    Mohammed Omar (Amir al-Mumineen [Commander of the 
Faithful])
    o. Prohibiting Certain Transactions with and Investment in Burma

                (1) Prohibiting New Investment in Burma

Executive Order 13047, May 20, 1997, 62 F.R. 28301, 50 U.S.C. 1701 note

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America 
including section 570 of the Foreign Operations, Export 
Financing, and Related Programs Appropriations Act, 1997 
(Public Law 104-208) (the ``Act''), the International Emergency 
Economic Powers Act (50 U.S.C. 1701 et seq.) (IEEPA), the 
National Emergencies Act (50 U.S.C. 1601 et seq.), and section 
301 of title 3 of the United States Code;
    I, WILLIAM J. CLINTON, President of the United States of 
America, hereby determine and certify that, for purposes of 
section 570(b) of the Act, the Government of Burma has 
committed large-scale repression of the democratic opposition 
in Burma after September 30, 1996, and further determine that 
the actions and policies of the Government of Burma constitute 
an unusual and extraordinary threat to the national security 
and foreign policy of the United States and declare a national 
emergency to deal with that threat.\1\
---------------------------------------------------------------------------
    \1\ The national emergency with respect to Burma was continued by 
Presidential notice on the following dates: May 18, 1998 (63 F.R. 
27661); May 18, 1999 (64 F.R. 27443); May 18, 2000 (65 F.R. 32005); May 
15, 2001 (66 F.R. 27443); May 16, 2002 (67 F.R. 35423); and May 16, 
2003 (68 F.R. 27425).
---------------------------------------------------------------------------
    Section 1. Except to the extent provided in regulations, 
orders, directives, or licenses that may be issued in 
conformity with section 570 of the Act and pursuant to this 
order, I hereby prohibit new investment in Burma by United 
States persons.
    Sec. 2. The following are also prohibited, except to the 
extent provided in section 203(b) of IEEPA (50 U.S.C. 1702(b)) 
or in regulations, orders, directives, or licenses that may be 
issued pursuant to this order:
          (a) any approval or other facilitation by a United 
        States person, wherever located, of a transaction by a 
        foreign person where the transaction would constitute 
        new investment in Burma prohibited by this order if 
        engaged in by a United States person or within the 
        United States; and
          (b) any transaction by a United States person or 
        within the United States that evades or avoids, or has 
        the purpose of evading or avoiding, or attempts to 
        violate, any of the prohibitions set forth in this 
        order.
    Sec. 3. Nothing in this order shall be construed to 
prohibit the entry into, performance of, or financing of a 
contract to sell or purchase goods, services, or technology, 
except:
          (a) where the entry into such contract on or after 
        the effective date of this order is for the general 
        supervision and guarantee of another person's 
        performance of a contract for the economic development 
        of resources located in Burma; or
          (b) where such contract provides for payment, in 
        whole or in part, in:
                  (i) shares of ownership, including an equity 
                interest, in the economic development of 
                resources located in Burma; or
                  (ii) participation in royalties, earnings, or 
                profits in the economic development of 
                resources located in Burma.
    Sec. 4. For the purposes of this order:
          (a) the term ``person'' means an individual or 
        entity;
          (b) the term ``entity'' means a partnership, 
        association, trust, joint venture, corporation, or 
        other organization;
          (c) the term ``United States person'' means any 
        United States citizen, permanent resident alien, 
        juridical person organized under the laws of the United 
        States (including foreign branches), or any person in 
        the United States;
          (d) the term ``new investment'' means any of the 
        following activities, if such an activity is undertaken 
        pursuant to an agreement, or pursuant to the exercise 
        of rights under such an agreement, that is entered into 
        with the Government of Burma or a nongovernmental 
        entity in Burma on or after the effective date of this 
        order:
                  (i) the entry into a contract that includes 
                the economic development of resources located 
                in Burma;
                  (ii) the entry into a contract providing for 
                the general supervision and guarantee of 
                another person's performance of a contract that 
                includes the economic development of resources 
                located in Burma;
                  (iii) the purchase of a share of ownership, 
                including an equity interest, in the economic 
                development of resources located in Burma; or
                  (iv) the entry into a contract providing for 
                the participation in royalties, earnings, or 
                profits in the economic development of 
                resources located in Burma, without regard to 
                the form of the participation;
          (e) the term ``resources located in Burma'' means any 
        resources, including natural, agricultural, commercial, 
        financial, industrial, and human resources, located 
        within the territory of Burma, including the 
        territorial sea, or located within the exclusive 
        economic zone or continental shelf of Burma;
          (f) the term ``economic development of resources 
        located in Burma'' shall not be construed to include 
        not-for-profit educational, health, or other 
        humanitarian programs or activities.
    Sec. 5. I hereby delegate to the Secretary of State the 
functions vested in me under section 570(c) and (d) of the Act, 
to be exercised in consultation with the heads of other 
agencies of the United States Government as appropriate.
    Sec. 6. The Secretary of the Treasury, in consultation with 
the Secretary of State, is hereby authorized to take such 
actions, including the promulgation of rules and regulations, 
and to employ all powers granted to me by section 570(b) of the 
Act and by IEEPA, as may be necessary to carry out the purposes 
of this order. The Secretary of the Treasury may redelegate the 
authority set forth in this order to other officers and 
agencies of the United States Government. All agencies of the 
United States Government are hereby directed to take all 
appropriate measures within their authority to carry out the 
provisions of this order.
    Sec. 7. Nothing contained in this order shall create any 
right or benefit, substantive or procedural, enforceable by any 
party against the United States, its agencies or 
instrumentalities, its officers or employees, or any other 
person.
    Sec. 8. (a) This order shall take effect at 12:01 a.m., 
eastern daylight time, May 21, 1997.
    (b) This order shall be transmitted to the Congress and 
published in the Federal Register.
                   (2) Policy Toward Burma--Sanctions

    Partial text of Public Law 104-208 [Foreign Operations, Export 
Financing, and Related Programs Appropriations Act, 1997; title I, sec. 
   101(c) of the Omnibus Consolidated Appropriations Act, 1997; H.R. 
           3610], 110 Stat. 3009, approved September 30, 1996

    AN ACT Making appropriations for the foreign operations, export 
 financing, and related programs for the fiscal year ending September 
                    30, 1997, and for other purposes

                                TITLE I

          * * * * * * *
    Sec. 101. * * *
          * * * * * * *
    (c) For programs, projects or activities in the Foreign 
Operations, Export Financing, and Related Programs 
Appropriations Act, 1997, provided as follows, to be effective 
as if it had been enacted into law as the regular 
appropriations Act:
          * * * * * * *

                      TITLE V--GENERAL PROVISIONS

          * * * * * * *

                          POLICY TOWARD BURMA

    Sec. 570. (a) Until such time as the President determines 
and certifies to Congress that Burma has made measurable and 
substantial progress in improving human rights practices and 
implementing democratic government, the following sanctions 
shall be imposed on Burma:
          (1) Bilateral assistance.--There shall be no United 
        States assistance to the Government of Burma, other 
        than:
                  (A) humanitarian assistance,
                  (B) subject to the regular notification 
                procedures of the Committees on Appropriations, 
                counter-narcotics assistance under chapter 8 of 
                part I of the Foreign Assistance Act of 1961, 
                or crop substitution assistance, if the 
                Secretary of State certifies to the appropriate 
                congressional committees that--
                          (i) the Government of Burma is fully 
                        cooperating with United States counter-
                        narcotics efforts, and
                          (ii) the programs are fully 
                        consistent with United States human 
                        rights concerns in Burma and serve the 
                        United States national interest, and
                  (C) assistance promoting human rights and 
                democratic values.
          (2) Multilateral assistance.--The Secretary of the 
        Treasury shall instruct the United States executive 
        director of each international financial institution to 
        vote against any loan or other utilization of funds of 
        the respective bank to or for Burma.
          (3) Visas.--Except as required by treaty obligations 
        or to staff the Burmese mission to the United States, 
        the United States should not grant entry visas to any 
        Burmese government official.
    (b) Conditional Sanctions.--The President is hereby 
authorized to prohibit, and shall prohibit United States 
persons from new investment in Burma, if the President 
determines and certifies to Congress that, after the date of 
enactment of this Act, the Government of Burma has physically 
harmed, rearrested for political acts, or exiled Daw Aung San 
Suu Kyi or has committed large-scale repression of or violence 
against the Democratic opposition.
    (c) Multilateral Strategy.--The President shall seek to 
develop, in coordination with members of ASEAN and other 
countries having major trading and investment interests in 
Burma, a comprehensive, multilateral strategy to bring 
democracy to and improve human rights practices and the quality 
of life in Burma, including the development of a dialogue 
between the State Law and Order Restoration Council (SLORC) and 
democratic opposition groups within Burma.
    (d) \1\ Presidential Reports.--Every six months following 
the enactment of this Act, the President shall report to the 
Chairmen of the Committee on Foreign Relations, the Committee 
on International Relations and the House and Senate 
Appropriations Committees on the following:
---------------------------------------------------------------------------
    \1\ The President filed a report pursuant to this section with 
Presidential Determination No. 97-29 of June 13, 1997 (62 F.R. 34157); 
and Presidential Determination No. 98-6 of December 2, 1997 (62 F.R. 
65005). In Presidential Determination No. 98-30 of June 15, 1998, the 
President authorized and directed the Secretary of State to transmit 
the required report to the Congress (63 F.R. 34255). The Secretary of 
State was subsequently authorized and directed to transmit the report 
on the following dates: Presidential Memorandum of October 27, 1998 (63 
F.R. 63123); Presidential Memorandum of October 27, 1999 (64 F.R. 
60647); Presidential Memorandum of April 19, 2000 (65 F.R. 24849); 
Presidential Memorandum of October 31, 2000 (65 F.R. 66599); 
Presidential Memorandum of April 12, 2001 (66 F.R. 20723); Presidential 
Memorandum of February 1, 2002 (67 F.R. 5923); Presidential Memorandum 
of November 6, 2002 (67 F.R. 75799); Presidential Determination 03-07 
of December 11, 2002 (due to clerical error, report was not transmitted 
on November 6; 67 F.R. 77645); and Presidential Memorandum of March 28, 
2003 (68 F.R. 17529).
---------------------------------------------------------------------------
          (1) progress toward democratization in Burma;
          (2) progress on improving the quality of life of the 
        Burmese people, including progress on market reforms, 
        living standards, labor standards, use of forced labor 
        in the tourism industry, and environmental quality; and
          (3) progress made in developing the strategy referred 
        to in subsection (c).
    (e) Waiver Authority.--The President shall have the 
authority to waive, temporarily or permanently, any sanction 
referred to in subsection (a) or subsection (b) if he 
determines and certifies to Congress that the application of 
such sanction would be contrary to the national security 
interests of the United States.
    (f) Definitions.--
          (1) The term ``international financial institutions'' 
        shall include the International Bank for Reconstruction 
        and Development, the International Development 
        Association, the International Finance Corporation, the 
        Multilateral Investment Guarantee Agency, the Asian 
        Development Bank, and the International Monetary Fund.
          (2) The term ``new investment'' shall mean any of the 
        following activities if such an activity is undertaken 
        pursuant to an agreement, or pursuant to the exercise 
        of rights under such an agreement, that is entered into 
        with the Government of Burma or a nongovernmental 
        entity in Burma, on or after the date of the 
        certification under subsection (b):
                  (A) the entry into a contract that includes 
                the economical development of resources located 
                in Burma, or the entry into a contract 
                providing for the general supervision and 
                guarantee of another person's performance of 
                such a contract;
                  (B) the purchase of a share of ownership, 
                including an equity interest, in that 
                development;
                  (C) the entry into a contract providing for 
                the participation in royalties, earnings, or 
                profits in that development, without regard to 
                the form of the participation:

        Provided, That the term ``new investment'' does not 
        include the entry into, performance of, or financing of 
        a contract to sell or purchase goods, services, or 
        technology.
            (3) Economic Sanctions Against Products of Burma

Partial text of Public Law 101-382 [Customs and Trade Act of 1990; H.R. 
             1594], 104 Stat. 629, approved August 20, 1990

  AN ACT To make miscellaneous and technical changes to various trade 
                                 laws.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,
          * * * * * * *

   TITLE I--TRADE AGENCY AUTHORIZATION, CUSTOMS USER FEES, AND OTHER 
                               PROVISIONS

          * * * * * * *

                  Subtitle D--Miscellaneous Provisions

          * * * * * * *

SEC. 138. ECONOMIC SANCTIONS AGAINST PRODUCTS OF BURMA.

    (a) In General.--If, prior to October 1, 1990, the 
President does not certify to Congress that Burma has met all 
of the conditions listed in subsection (b), then the 
President--
          (1) shall impose such economic sanctions upon Burma 
        as the President determines to be appropriate, 
        including any sanctions appropriate under the Narcotics 
        Control Trade Act of 1986; and
          (2) should confer with other industrialized 
        democracies in order to reach cooperative agreements to 
        impose sanctions against Burma.
    (b) Conditions Which Burma Must Meet.--The conditions 
referred to in subsection (a) are as follows:
          (1) Burma meets the certification requirements listed 
        in section 802(b) of the Narcotics Control Trade Act of 
        1986;
          (2) The national governmental legal authority in 
        Burma has been transferred to a civilian government.
          (3) Martial law has been lifted in Burma.
          (4) Prisoners held for political reasons in Burma 
        have been released.
    (c) Imposition of Sanctions.--In applying subsection 
(a)(1), the President shall give primary consideration to the 
imposition of sanctions on those products which constitute 
major imports from Burma, including fish, tropical timber, and 
aquatic animals, unless the President determines that sanctions 
against such products would have a significant adverse effect 
on the economic interests of the United States.
    (d) Reports if Sanctions not Imposed.--If the President 
does not impose economic sanctions under subsection (a)(1), the 
President shall--
          (1) report to the Congress his reasons for not 
        imposing sanctions and the actions he intends to take 
        to achieve the conditions listed in subsection (b) (1) 
        through (4); and
          (2) for as long as economic sanctions are not imposed 
        during the 2-year period after the date on which the 
        report is first made under paragraph (1), submit 
        semiannual reports to the Congress regarding the 
        reasons and actions referred in such paragraph.
          * * * * * * *
      p. Prohibiting Certain Transactions with [Former] Yugoslavia

(1) Compliance with United Nations Sanctions Against Iraq, Serbia, and 
                               Montenegro

Partial text of Public Law 104-208, 110 Stat. 3009, approved September 
                                30, 1996

          * * * * * * *
    Sec. 533.\1\ (a) Denial of Assistance.--None of the funds 
appropriated or otherwise made available pursuant to this Act 
to carry out the Foreign Assistance Act of 1961 (including 
title IV of chapter 2 of part I, relating to the Overseas 
Private Investment Corporation) or the Arms Export Control Act 
may be used to provide assistance to any country that is not in 
compliance with the United Nations Security Council sanctions 
against Iraq, Serbia, or Montenegro unless the President 
determines that--
---------------------------------------------------------------------------
    \1\ 110 Stat. 3009-152, 50 U.S.C. 1701 note. See also sec. 540 of 
this Act, set forth as a note to sec. 1511 of Public Law 103-160 (50 
U.S.C. 1701 note) in Legislation on Foreign Relations Through 2002, 
vol. I-B.
---------------------------------------------------------------------------
          (1) such assistance is in the national interest of 
        the United States
          (2) such assistance will directly benefit the needy 
        people in that country; or
          (3) the assistance to be provided will be 
        humanitarian assistance for foreign nationals who have 
        fled Iraq and Kuwait.
    (b) Import Sanctions.--If the President considers that the 
taking of such action would promote the effectiveness of the 
economic sanctions imposed with respect to Iraq, Serbia, or 
Montenegro, as the case may be, and is consistent with the 
national interest, the President may prohibit, for such a 
period of time as he considers appropriate, the importation 
into the United States of any and all products of any foreign 
country that has not prohibited--
          (1) the importation of products of Iraq, Serbia, or 
        Montenegro into its customs territory, and
          (2) the export of its products to Iraq, Serbia, or 
        Montenegro, as the case may be.
          * * * * * * *
                      (2) Sanctions Against Serbia

  Partial text of P.L. 106-113, 113 Stat. 1501, approved November 29, 
                                  1999

                        SANCTIONS AGAINST SERBIA

    Sec. 599.\1\ --(a) Continuation of Executive Branch 
Sanctions.--The sanctions listed in subsection (b) shall remain 
in effect for fiscal year 2000, unless the President submits to 
the Committees on Appropriations and Foreign Relations in the 
Senate and the Committees on Appropriations and International 
Relations of the House of Representatives a certification 
described in subsection (c).
---------------------------------------------------------------------------
    \1\ See also sec. 1511 of Public Law 103-160, the National Defense 
Authorization Act for Fiscal Year 1994, in Legislation on Foreign 
Relations Through 2002, vol. I-B.
---------------------------------------------------------------------------
    (b) Applicable Sanctions.--
          (1) The Secretary of the Treasury shall instruct the 
        United States executive directors of the international 
        financial institutions to work in opposition to, and 
        vote against, any extension by such institutions of any 
        financial or technical assistance or grants of any kind 
        to Serbia.
          (2) The Secretary of State should instruct the United 
        States Ambassador to the Organization for Security and 
        Cooperation in Europe (OSCE) to block any consensus to 
        allow the participation of Serbia in the OSCE or any 
        organization affiliated with the OSCE.
          (3) The Secretary of State should instruct the United 
        States Representative to the United Nations to vote 
        against any resolution in the United Nations Security 
        Council to admit Serbia to the United Nations or any 
        organization affiliated with the United Nations, to 
        veto any resolution to allow Serbia to assume the 
        United Nations' membership of the former Socialist 
        Federal Republic of Yugoslavia, and to take action to 
        prevent Serbia from assuming the seat formerly occupied 
        by the Socialist Federal Republic of Yugoslavia.
          (4) The Secretary of State should instruct the United 
        States Permanent Representative on the Council of the 
        North Atlantic Treaty Organization to oppose the 
        extension of the Partnership for Peace program or any 
        other organization affiliated with NATO to Serbia.
          (5) The Secretary of State should instruct the United 
        States Representative to the Southeast European 
        Cooperative Initiative (SECI) to oppose and to work to 
        prevent the extension of SECI membership to Serbia.
    (c) Certification.--A certification described in this 
subsection is a certification that--
          (1) the representatives of the successor states to 
        the Socialist Federal Republic of Yugoslavia have 
        successfully negotiated the division of assets and 
        liabilities and all other succession issues following 
        the dissolution of the Socialist Federal Republic of 
        Yugoslavia;
          (2) the Government of Serbia is fully complying with 
        its obligations as a signatory to the General Framework 
        Agreement for Peace in Bosnia and Herzegovina;
          (3) the Government of Serbia is fully cooperating 
        with and providing unrestricted access to the 
        International Criminal Tribunal for the former 
        Yugoslavia, including surrendering persons indicted for 
        war crimes who are within the jurisdiction of the 
        territory of Serbia, and with the investigations 
        concerning the commission of war crimes and crimes 
        against humanity in Kosova;
          (4) the Government of Serbia is implementing internal 
        democratic reforms; and
          (5) Serbian federal government officials, and 
        representatives of the ethnic Albanian community in 
        Kosova have agreed on, signed, and begun implementation 
        of a negotiated settlement on the future status of 
        Kosova.
    (d) Statement of Policy.--It is the sense of the Congress 
that the United States should not restore full diplomatic 
relations with Serbia until the President submits to the 
Committees on Appropriations and Foreign Relations in the 
Senate and the Committees on Appropriations and International 
Relations in the House of Representatives the certification 
described in subsection (c).
    (e) Exemption of Montenegro and Kosova.--The sanctions 
described in subsection (b) shall not apply to Montenegro or 
Kosova.
    (f) Definition.--The term ``international financial 
institution'' includes the International Monetary Fund, the 
International Bank for Reconstruction and Development, the 
International Development Association, the International 
Finance Corporation, the Multilateral Investment Guarantee 
Agency, and the European Bank for Reconstruction and 
Development.
    (g) Waiver Authority.--The President may waive the 
application in whole or in part, of any sanction described in 
subsection (b) if the President certifies to the Congress that 
the President has determined that the waiver is necessary to 
meet emergency humanitarian needs.
          * * * * * * *

  RESTRICTION ON UNITED STATES ASSISTANCE FOR CERTAIN RECONSTRUCTION 
                     EFFORTS IN THE BALKANS REGION

    Sec. 599B. (a) Funds appropriated or otherwise made 
available by this Act for United States assistance for 
reconstruction efforts in the Federal Republic of Yugoslavia or 
any contiguous country should to the maximum extent practicable 
be used for the procurement of articles and services of United 
States origin.
    (b) Definitions.--In this section:
          (1) Article.--The term ``article'' means any 
        agricultural commodity, steel, communications 
        equipment, farm machinery or petrochemical refinery 
        equipment.
          (2) Federal republic of yugoslavia.--The term 
        ``Federal Republic of Yugoslavia'' includes Serbia, 
        Montenegro and Kosova.
          * * * * * * *
   (3) Blocking ``Yugoslav Government'' Property and Property of the 
                  Governments of Serbia and Montenegro

Executive Order 12808, May 30, 1992, 57 F.R. 23299, 50 U.S.C. 1701 note

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including the International Emergency Economic Powers Act (50 
U.S.C. 1701 et seq.), the National Emergencies Act (50 U.S.C. 
1601 et seq.), and section 301 of title 3 of the United States 
Code,
    I, GEORGE BUSH, President of the United States of America, 
find that the actions and policies of the Governments of Serbia 
and Montenegro, acting under the name of the Socialist Federal 
Republic of Yugoslavia or the Federal Republic of Yugoslavia, 
in their involvement in and support for groups attempting to 
seize territory in Croatia and Bosnia-Hercegovina by force and 
violence utilizing, in part, the forces of the so-called 
Yugoslav National Army, constitute an unusual and extraordinary 
threat to the national security, foreign policy, and economy of 
the United States, and hereby declare a national emergency to 
deal with that threat.\1\
---------------------------------------------------------------------------
    \1\ The national emergency was continued by Presidential notice on 
the following dates: May 25, 1993 (58 F.R. 30693), May 25, 1994 (59 
F.R. 27429); May 10, 1995 (60 F.R. 25599); May 24, 1996 (61 F.R. 
26773); May 28, 1997 (62 F.R. 29283); May 28, 1998 (63 F.R. 29527); May 
27, 1999 (64 F.R. 29205); May 25, 2000 (65 F.R. 34379).
    In Presidential Determination No. 2001-07 of December 19, 2000 (66 
F.R. 1013), the President determined that a waiver of the application 
of certain restrictions on assistance to the governments of Serbia and 
Montenegro was ``necessary to achieve a negotiated settlement to the 
conflict in Bosnia--Herzegovina that is acceptable to the parties''.
    The national emergency was nonetheless continued by Presidential 
Notice on May 24, 2001 (66 F.R. 29005); and May 27, 2002 (67 F.R. 
37659).
    The emergencies with respect to Yugoslavia were terminated by 
Executive Order 13304 of May 28, 2003 (68 F.R. 32315).
---------------------------------------------------------------------------
    I hereby order:
    Section 1. Except to the extent provided in regulations, 
orders, directives, or licenses which may hereafter be issued 
pursuant to this order, all property and interests in property 
of the Government of Serbia and the Government of Montenegro 
that are in the United States, that hereafter come within the 
United States, or that are or hereafter come within the 
possession or control of United States persons, including their 
overseas branches, are hereby blocked.
    Sec. 2. Except to the extent provided in regulations, 
orders, directives, or licenses which may hereafter be issued 
pursuant to this order, all property in the name of the 
Government of the Socialist Federal Republic of Yugoslavia or 
the Government of the Federal Republic of Yugoslavia that are 
in the United States, that hereafter come within the United 
States, or that are or hereafter come within the possession or 
control of United States persons, including their overseas 
branches, are hereby blocked.
    Sec. 3. Any transaction by any United States person that 
evades or avoids, or has the purpose of evading or avoiding, or 
attempts to violate, any of the prohibitions set forth in this 
order is prohibited.
    Sec. 4. For the purposes of this order:
    (a) The term ``United States person'' means any United 
States citizen, permanent resident alien, juridical person 
organized under the laws of the United States (including 
foreign branches), or person in the United States;
    (b) The terms ``Government of Serbia'' and ``Government of 
Montenegro'' include the governments of Serbia and Montenegro, 
including any subdivisions thereof or local government therein, 
their respective agencies, instrumentalities and controlled 
entities, and any persons acting or purporting to act for or on 
behalf of any of the foregoing, including the National Bank of 
Serbia, the Serbian Chamber of Economy, the National Bank of 
Montenegro, and the Montenegrin Chamber of Economy;
    (c) The terms ``Government of the Socialist Federal 
Republic of Yugoslavia'' and ``Government of the Federal 
Republic of Yugoslavia'' include the government of the former 
Socialist Federal Republic of Yugoslavia, the government of the 
newly constituted Federal Republic of Yugoslavia, their 
respective agencies, instrumentalities and controlled entities, 
and any person acting or purporting to act for or on behalf of 
the foregoing, including the National Bank of Yugoslavia, the 
Yugoslav National Army, and the Yugoslav Chamber of Economy.
    Sec. 5. The Secretary of the Treasury, in consultation with 
the Secretary of State, is hereby authorized to take such 
actions, including the promulgation of rules and regulations, 
and to employ all powers granted to the President by the 
International Emergency Economic Powers Act, as may be 
necessary to carry out the purposes of this order. Such actions 
may include prohibiting or regulating payments or transfers of 
any property, or any transactions involving the transfer of 
anything of economic value by any United States person to the 
Government of the Socialist Federal Republic of Yugoslavia, the 
Government of the Federal Republic of Yugoslavia, the 
Government of Serbia, the Government of Montenegro, any person 
in Serbia or Montenegro, or any person or entity acting for or 
on behalf of, or owned or controlled, directly or indirectly, 
by any of the foregoing. The Secretary of the Treasury may 
redelegate any of these functions to other officers and 
agencies of the United States Government, all agencies of which 
are hereby directed to take all appropriate measures within 
their authority to carry out the provisions of this order, 
including suspension or termination of licenses or other 
authorizations in effect as of the date of this order.
    Sec. 6. Nothing contained in this order shall create any 
right or benefit, substantive or procedural, enforceable by any 
party against the United States, its agencies or 
instrumentalities, its officers or employees, or any other 
person.
    Sec. 7. (a) This order shall take effect at 11:59 p.m. 
Eastern Daylight Time, May 30, 1992.
    (b) This order shall be transmitted to the Congress and 
published in the Federal Register.
(4) Blocking Property of and Prohibiting Transactions With the Federal 
             Republic of Yugoslavia (Serbia and Montenegro)

  Executive Order 12810, June 5, 1992, 57 F.R. 24347, 50 U.S.C. 1701 
 note; amended by Executive Order 12831, January 15, 1993, 58 F.R. 5253

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including the International Emergency Economic Powers Act (50 
U.S.C. 1701 et seq.), the National Emergencies Act (50 U.S.C. 
1601 et seq.), section 1114 of the Federal Aviation Act of 
1958, as amended (49 U.S.C. App. 1514), section 5 of the United 
Nations Participation Act of 1945, as amended (22 U.S.C. 287c), 
and section 301 of title 3 of the United States Code, in view 
of United Nations Security Council Resolution No. 757 of May 
30, 1992,\1\ and in order to take additional steps with respect 
to the actions and policies of the Federal Republic of 
Yugoslavia (Serbia and Montenegro) and the national emergency 
described and declared in Executive Order No. 12808,\2\
---------------------------------------------------------------------------
    \1\ United Nations Security Council Resolution No. 757 of May 30, 
1992, reaffirmed several earlier U.N. resolutions denouncing recent 
fighting in Bosnia and Herzegovina and called for the imposition of 
international trade and diplomatic sanctions against the Federal 
Republic of Yugoslavia (Serbia and Montenegro).
    \2\ See Executive Order 12808, page 1465, this volume, for 
references to continuation and eventual termination of the national 
emergency with respect to the former Yugoslavia.
---------------------------------------------------------------------------
    I, GEORGE BUSH, President of the United States of America, 
hereby order:
    Section 1. Except to the extent provide in regulations, 
orders, directives, or licenses which may hereafter be issued 
pursuant to this order, and notwithstanding the existence of 
any rights or obligations conferred or imposed by any 
international agreement or any contract entered into or any 
license or permit granted before the effective date of this 
order, all property and interests in property of the Government 
of the Federal Republic of Yugoslavia (Serbia and Montenegro), 
and property and interests in property held in the name of the 
Government of the Federal Republic of Yugoslavia or of the 
former Government of the Socialist Federal Republic of 
Yugoslavia, that are in the United States, that hereafter come 
within the United States, or that are or hereafter come with in 
the possession or control of United States persons, including 
their overseas branches, are blocked.
    Sec. 2. The following are prohibited, notwithstanding the 
existence of any rights or obligations conferred or imposed by 
any international agreement or any contract entered into or any 
license or permit granted before the effective date of this 
order, except to the extent provided in regulations, orders, 
directives, or licenses which may hereafter be issued pursuant 
to this order:
    (a) The importation into the United States of any goods 
originating in, or services performed in, the Federal Republic 
of Yugoslavia (Serbia and Montenegro), exported from the 
Federal Republic of Yugoslavia (Serbia and Montenegro) after 
May 30, 1992, or any activity that promotes or is intended to 
promote such importation;
    (b) The exportation to the Federal Republic of Yugoslavia 
(Serbia and Montenegro), or to any entity operated from the 
Federal Republic of Yugoslavia (Serbia and Montenegro), or 
owned or controlled by the Government of the Federal Republic 
of Yugoslavia (Serbia and Montenegro), directly or indirectly, 
of any goods, technology (including technical data or other 
information controlled for export pursuant to the Export 
Administration Regulations, 15 C.F.R. Parts 768, et seq.), or 
services, either (i) from the United States, (ii) requiring the 
issuance of a license by a Federal agency, or (iii) involving 
the use of U.S.-registered vessels or aircraft, or any activity 
that promotes or is intended to promote such exportation;
    (c) Any dealing by a United States person related to 
property originating in Federal Republic of Yugoslavia (Serbia 
and Montenegro) exported from the Federal Republic of 
Yugoslavia (Serbia and Montenegro) after May 30, 1992, or 
property intended for exportation from the Federal Republic of 
Yugoslavia (Serbia and Montenegro) to any country, or 
exportation to the Federal Republic of Yugoslavia (Serbia and 
Montenegro) from any country, or any activity of any kind that 
promotes or is intended to promote such dealing;
    (d) Any transaction by a United States person, or involving 
the use of U.S.-registered vessels and aircraft, relating to 
transportation to or from the Federal Republic of Yugoslavia 
(Serbia and Montenegro), the provision of transportation to or 
from the United States by any person in the Federal Republic of 
Yugoslavia (Serbia and Montenegro) or any vessel or aircraft 
registered in the Federal Republic of Yugoslavia (Serbia and 
Montenegro), or the sale in the United States by any person 
holding authority under the Federal Aviation Act of 1958, as 
amended (49 U.S.C. 1301 et seq.), of any transportation by air 
that includes any stop in the Federal Republic of Yugoslavia 
(Serbia and Montenegro);
    (e) The granting of permission to any aircraft to take off 
from, land in, or overfly the United States, if the aircraft, 
as part of the same flight or as a continuation of that flight, 
is destined to land in or has taken off from the territory of 
the Federal Republic of Yugoslavia (Serbia and Montenegro);
    (f) The performance by any United States person of any 
contract, including a financing contract, in support of any 
industrial, commercial, public utility, or governmental project 
in the Federal Republic of Yugoslavia (Serbia and Montenegro);
    (g) Any commitment or transfer, direct or indirect, of 
funds, or other financial or economic resources by any United 
States person to or for the benefit of the Government of the 
Federal Republic of Yugoslavia (Serbia and Montenegro) or any 
other person in the Federal Republic of Yugoslavia (Serbia and 
Montenegro);
    (h) Any transaction in the United States or by a United 
States person related to participation in sporting events in 
the United States by persons or groups representing the Federal 
Republic of Yugoslavia (Serbia and Montenegro);
    (i) Any transaction in the United States or by a United 
States person related to scientific and technical cooperation 
and cultural exchanges involving persons or groups officially 
sponsored by or representing the Federal Republic of Yugoslavia 
(Serbia and Montenegro), or related to visits to the United 
States by such persons or groups other than as authorized for 
the purpose of participation at the United Nations.
    Sec. 3. Nothing in this order shall apply to \3\ activities 
related to the United Nations Protection Force (UNPROFOR), the 
Conference on Yugoslavia, or the European Community Monitor 
Mission.
---------------------------------------------------------------------------
    \3\ Sec. 4 of Executive Order 12831 (58 F.R. 5253; January 15, 
1993) revoked sec. 3(i) at this point [the remaining text following 
this note was designated ``(ii)''], which read as follows:
    ``(i) the transshipment through the Federal Republic of Yugoslavia 
(Serbia and Montenegro) of commodities and products originating outside 
the Federal Republic of Yugoslavia (Serbia and Montenegro) and 
temporarily present in the territory of the Federal Republic of 
Yugoslavia (Serbia and Montenegro) only for the purpose of such 
transshipment,''.
---------------------------------------------------------------------------
    Sec. 4. Any transaction by any United States person that 
evades or avoids, or has the purpose of evading or avoiding, or 
attempts to violate, any of the prohibitions set forth in this 
order is prohibited.
    Sec. 5. For the purposes of this order:
    (a) The term ``United States person'' means any United 
States citizen, permanent resident alien, juridical person 
organized under the laws of the United States (including 
foreign branches), or any person in the United States, and 
vessels and aircraft of U.S. registration;
    (b) The term ``Federal Republic of Yugoslavia (Serbia and 
Montenegro)'' means the territory of Serbia and Montenegro;
    (c) The term ``the Government of the Federal Republic of 
Yugoslavia (Serbia and Montenegro)'' includes the government of 
the newly constituted Federal Republic of Yugoslavia, the 
Government of Serbia, and the Government of Montenegro, 
including any subdivisions thereof or local governments 
therein, their respective agencies, instrumentalities and 
controlled entities, and any persons acting or purporting to 
act for or on behalf of any of the foregoing, including the 
National Bank of Yugoslavia, the Yugoslav National Army, and 
the Yugoslav Chamber of Economy, the National Bank of Serbia, 
the Serbian Chamber of Economy, the National Bank of 
Montenegro, and the Montenegrin Chamber of Economy.
    Sec. 6. The Secretary of the Treasury, in consultation with 
the Secretary of State, is hereby authorized to take such 
actions, including the promulgation of rules and regulations, 
and to employ all powers granted to the President by the 
International Emergency Economic Powers Act and the United 
Nations Participation Act, as may be necessary to carry out the 
purposes of this order. Such actions may include prohibiting or 
regulating payments or transfers of any property, or any 
transactions involving the transfer of anything or economic 
value, by the \4\ any United States person to the Government of 
the Federal Republic of Yugoslavia (Serbia and Montenegro), any 
person in the Federal Republic of Yugoslavia (Serbia and 
Montenegro), or any person or entity acting for or on behalf 
of, or owned or controlled, directly or indirectly, by any of 
the foregoing. The Secretary of the Treasury may redelegate any 
of these functions to other officers and agencies of the United 
States Government, all agencies of which are hereby directed to 
take all appropriate measures within their authority to carry 
out the provisions of this order, including suspension or 
termination of licenses or other authorizations in effect as of 
the date of this order.
---------------------------------------------------------------------------
    \4\ As published in the Federal Register.
---------------------------------------------------------------------------
    Sec. 7. All delegations, rules, regulations, orders, 
licenses, and other forms of administrative action made, 
issued, or otherwise taken under Executive Order No. 12808 and 
not revoked administratively shall remain in full force and 
effect under this order until amended, modified, or terminated 
by proper authority.
    Sec. 8. Nothing contained in this order shall create any 
right or benefit, substantive or procedural, enforceable by any 
party against the United States, its agencies or 
instrumentalities, its officers, or employees, or any other 
person.
    Sec. 9. (a) This order is effective immediately.
    (b) This order shall be transmitted to the Congress and 
published in the Federal Register.
    (5) Additional Measures With Respect to the Federal Republic of 
                   Yugoslavia (Serbia and Montenegro)

 Executive Order 12831, January 15, 1993, 58 F.R. 5253, 50 U.S.C. 1701 
                                  note

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including the International Emergency Economic Powers Act (50 
U.S.C. 1701 et seq.), the National Emergencies Act (50 U.S.C. 
1601 et seq.), section 5 of the United Nations Participation 
Act of 1945, as amended (22 U.S.C. 287c), and section 301 of 
title 3 of the United States Code, in view of United Nations 
Security Council Resolution No. 757 of May 30, 1992, and No. 
787 of November 16, 1992,\1\ and in order to take additional 
steps with respect to the actions and policies of the Federal 
Republic of Yugoslavia (Serbia and Montenegro) and the national 
emergency described and declared in Executive Order No. 12808, 
and expanded in Executive Order No. 12810,\2\
---------------------------------------------------------------------------
    \1\ United Nations Security Council Resolution No. 757 of May 30, 
1992, reaffirmed several earlier U.N. resolutions denouncing recent 
fighting in Bosnia and Herzegovina and called for the imposition of 
international trade and diplomatic sanctions against the Federal 
Republic of Yugoslavia (Serbia and Montenegro).
    United Nations Security Council Resolution No. 787 of November 16, 
1992, called for a naval blockade against the Federal Republic of 
Yugoslavia (Serbia and Montenegro).
    \2\ See Executive Order 12808, page 1465, this volume, for 
references to continuation and eventual termination of the national 
emergency with respect to the former Yugoslavia.
---------------------------------------------------------------------------
    I, GEORGE BUSH, President of the United States of America, 
hereby order:
    Section 1. The following are prohibited, except to the 
extent provided in regulations, orders, directives, or licenses 
which may hereafter be issued pursuant to this order, and 
notwithstanding the existence of any rights or obligations 
conferred or imposed by any international agreement or any 
contract entered into or any license or permit granted before 
the effective date of this order:
          (a) Any transaction within the United States or by a 
        United States person related to the transshipment of 
        commodities or products through the Federal Republic of 
        Yugoslavia (Serbia and Montenegro); and
          (b) Any transaction within the United States or by a 
        United states person relating to any vessel in which a 
        majority or controlling interest is held by a person or 
        entity in, or operating from, the Federal Republic of 
        Yugoslavia (Serbia and Montenegro) regardless of the 
        flag under which the vessel sails.
    Sec. 2. Any vessel in which a majority or controlling 
interest is held by a person or entity in, or operating from, 
the Federal Republic of Yugoslavia (Serbia and Montenegro) 
shall be considered as a vessel of the Federal Republic of 
Yugoslavia (Serbia and Montenegro) regardless of the flag under 
which the vessel sails.
    Sec. 3. The Secretary of the Treasury, in consultation with 
the Secretary of State, is hereby authorized to take such 
actions, including the promulgation of rules and regulations, 
and to employ all powers granted to the President by the 
International Emergency Economic Powers Act and the United 
Nations Participation Act, as may be necessary to carry out the 
purpose of this order. Such actions may include prohibiting or 
regulating trade and financial transactions involving any areas 
of the territory of the former Socialist Federal Republic of 
Yugoslavia as to which there is inadequate assurance that such 
transactions will not be diverted to the benefit of the Federal 
Republic of Yugoslavia (Serbia and Montenegro). The Secretary 
of the Treasury may redelegate the authority set forth in this 
order to other officers and agencies of the United States 
Government, all agencies of which are hereby directed to take 
all appropriate measures within their authority to carry out 
the provisions of this order, including suspension or 
termination of licenses or other authorizations in effect as of 
the date of this order.
    Sec. 4. Section 3(i) of Executive Order No. 12810 is hereby 
revoked.
    Sec. 5. The definitions contained in Section 5 of Executive 
order No. 12810 apply to the terms used in this order.
    Sec. 6. Nothing contained in this order shall create any 
right or benefit, substantive or procedural, enforceable by any 
party against the United States, its agencies or 
instrumentalities, its officers or employees, or any other 
person.
    Sec. 7. (a) This order is effective immediately.
    (b) This order shall be transmitted to the Congress and 
published in the Federal Register.
    (6) Additional Measures With Respect to the Federal Republic of 
                   Yugoslavia (Serbia and Montenegro)

 Executive Order 12846, April 25, 1993, 58 F.R. 25771, 50 U.S.C. 1701 
                                  note

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including the International Emergency Economic Powers Act (50 
U.S.C. 1701 et seq.), the National Emergencies Act (50 U.S.C. 
1601 et seq.), section 5 of the United Nations Participation 
Act of 1945, as amended (22 U.S.C. 287c), and section 301 of 
title 3 of the United States Code, in view of United Nations 
Security Council Resolution No. 757 of May 30, 1992, No. 787 of 
November 16, 1992, and No. 820 of April 17, 1993,\1\ and in 
order to take additional steps with respect to the actions and 
policies of the Federal Republic of Yugoslavia (Serbia and 
Montenegro) and the national emergency described and declared 
in Executive Order No. 12808, and expanded in Executive Order 
No. 12810 and No. 12831,\2\
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    \1\ United Nations Security Council Resolution No. 757 of May 30, 
1992, reaffirmed several earlier U.N. resolutions denouncing recent 
fighting in Bosnia and Herzegovina and called for the imposition of 
international trade and diplomatic sanctions against the Federal 
Republic of Yugoslavia (Serbia and Montenegro).
    United Nations Security Council Resolution No. 787 of November 16, 
1992, called for a naval blockade against the Federal Republic of 
Yugoslavia (Serbia and Montenegro).
    United Nations Security Council Resolution No. 820 of April 17, 
1993, further restricts access for shipments the U.N.-protected areas 
in Croatia and the areas in Bosnia-Herzegovina controlled by Bosnian 
Serb forces.
    \2\ See Executive Order 12808, page 1465, this volume, for 
references to continuation and eventual termination of the national 
emergency with respect to the former Yugoslavia.
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    I, WILLIAM J. CLINTON, President of the United States of 
America, hereby order:
    Section 1. Notwithstanding the existence of any rights or 
obligations conferred or imposed by an international agreement 
or any contract entered into or any license or permit granted 
before the effective date of this order, except to the extent 
provided in regulations, orders, directives, or licenses which 
may hereafter be issued pursuant to this order:
          (a) All property and interests in property of all 
        commercial, industrial, or public utility undertakings 
        or entities organized or located in the Federal 
        Republic of Yugoslavia (Serbia and Montenegro), 
        including, without limitation, the property and 
        interests in property of entities (wherever organized 
        or located) owned or controlled by such undertakings or 
        entities, that are in the United States, that hereafter 
        come within the United States, or that are or hereafter 
        come with in the possession or control of United States 
        persons, including their overseas branches, are hereby 
        blocked.
          (b) All expenses incident to the blocking and 
        maintenance of property blocked under Executive Order 
        Nos. 12808, 12810, 12831 or this order shall be charged 
        to the owners or operators of such property, which 
        expenses shall not be met from blocked funds. Such 
        property may also be sold or liquidated and the 
        proceeds placed in a blocked interest-bearing account 
        in the name of the owner;
          (c) All vessels, freight vehicles, rolling stock, 
        aircraft and cargo that are within or hereafter come 
        within the United States and are not subject to 
        blocking under Executive Order Nos. 12808, 12810, 12831 
        or this order, but which are suspected of a violation 
        of United Nations Security Council Resolution Nos. 713, 
        757, 787 or 820,\1\, \3\ shall be detained 
        pending investigation and, upon a determination by the 
        Secretary of the Treasury that they have been in 
        violation of any of these resolutions, shall be 
        blocked. Such blocked conveyances and cargo may also be 
        sold or liquidated and the proceeds placed in a blocked 
        interest-bearing account in the name of the owner;
---------------------------------------------------------------------------
    \3\ United Nations Security Council Resolution Nos. 713, agreed to 
September 25, 1991, implemented an ``embargo on all deliveries of 
weapons and military equipment to Yugoslavia''.
---------------------------------------------------------------------------
          (d) No vessel registered in the United States or 
        owned or controlled by United states persons, other 
        than a United States naval vessel, may enter the 
        territorial waters of the Federal Republic of 
        Yugoslavia (Serbia and Montenegro); and
          (e) Any dealing by a United States person relating to 
        the importation from, exportation to, or transshipment 
        through the United Nations Protected Areas in the 
        Republic of Croatia and those areas of the Republic of 
        Bosnia-Hercegovina under the control of Bosnian Serb 
        forces, or activity of any kind that promotes or is 
        intended to promote such dealing, is prohibited.
    Sec. 2. The Secretary of the Treasury, in consultation with 
the Secretary of State, is hereby authorized to take such 
actions, including the promulgation of rules and regulations, 
and to employ all powers granted to the President by the 
International Emergency Economic Powers Act and the United 
Nations Participation Act as may be necessary to carry out the 
purposes of this order. The Secretary of the Treasury may 
redelegate the authority set forth in this order to other 
officers and agencies of the Federal Government, all agencies 
of which are hereby directed to take all appropriate measures 
within their authority to carry out the provisions of this 
order, including suspension or termination of licenses or other 
authorizations in effect as of the date of this order.
    Sec. 3. Nothing in this order shall apply to activities 
related to the United Nations Protection Force, the 
International Conference on the Former Yugoslavia, and the 
European Community Monitor Mission.
    Sec. 4. The definitions contained in section 5 of Executive 
Order 12810 apply to the terms used in this order.
    Sec. 5. Nothing contained in this order shall create any 
right or benefit, substantive or procedural, enforceable by any 
party against the United States, its agencies or 
instrumentalities, its officers or employees, or any other 
person.
    Sec. 6. This order shall not affect the provisions of 
licenses and authorizations issued pursuant to Executive Orders 
12808, 12810, 12831 and in force on the effective date of this 
order, except as such licenses or authorization may hereafter 
be terminated, modified or suspended by the issuing federal 
agency.
    Sec. 7. (a) This order shall take effect at 12:01 a.m. 
Eastern Daylight Time, April 26, 1993.
    (b) This order shall be transmitted to the Congress and 
published in the Federal Register.
   (7) Blocking Property and Additional Measures With Respect to the 
Bosnian Serb-Controlled Areas of the Republic of Bosnia and Herzegovina

Executive Order 12934, October 25, 1994, 59 F.R. 54117, 50 U.S.C. 1701 
                                  note

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including the International Emergency Economic Powers Act (50 
U.S.C. 1701 et seq.), the National Emergencies Act (50 U.S.C. 
1601 et seq.), section 5 of the United Nations Participation 
Act of 1945, as amended (22 U.S.C. 287c), and section 301 of 
title 3, United States Code, in view of United Nations Security 
Council Resolution 942 of September 23, 1994,\1\ and in order 
to take additional steps with respect to the crisis in the 
former Yugoslavia, I hereby expand the scope of the national 
emergency declared in Executive Order No. 12808 to address the 
unusual and extraordinary threat to the national security, 
foreign policy, and economy of the United States posed by the 
actions and policies of the Bosnian Serb forces and the 
authorities in the territory that they control, including their 
refusal to accept the proposed territorial settlement of the 
conflict in the Republic of Bosnia and Herzegovina.\2\
---------------------------------------------------------------------------
    \1\ United Nations Security Council Resolution No. 942 of September 
23, 1994, reaffirmed several earlier U.N. resolutions denouncing recent 
fighting in Bosnia and Herzegovina, expressed approval of a proposed 
territorial settlement for Bosnia and Herzegovina, which was accepted 
by all parties except the Bosnian Serbs, and condemned the Bosnian 
Serbs for their refusal to accept the settlement proposal.
    The President authorized the Secretary of State to restrict entry 
into the United States of persons with ties to the Bosnian Serbs, 
pursuant to para. 14 of Security Council Resolution 942 (Proclamation 
6749 of October 25, 1994, 59 F.R. 54119).
    \2\ See Executive Order 12808, page 1465, this volume, for 
references to continuation and eventual termination of the national 
emergency with respect to the former Yugoslavia.
---------------------------------------------------------------------------
    I, WILLIAM J. CLINTON, President of the United States of 
America, hereby order:
    Section 1. Notwithstanding the existence of any rights or 
obligations conferred or imposed by any international agreement 
or any contract entered into or any license or permit granted 
before the effective date of this order, except to the extent 
provided in regulations, orders, directives, or licenses, which 
may hereafter be issued pursuant to this order, all property 
and interests in property of: (a) the Bosnian Serb military and 
paramilitary forces and the authorities in those areas of the 
Republic of Bosnia and Herzegovina under the control of those 
forces;
    (b) any entity, including any commercial, industrial, or 
public utility undertaking, organized or located in those areas 
of the Republic of Bosnia and Herzegovina under the control of 
Bosnian Serb forces;
    (c) any entity, wherever organized or located, which is 
owned or controlled directly or indirectly by any person in, or 
resident in, those areas of the Republic of Bosnia and 
Herzegovina under the control of Bosnian Serb forces;
    (d) any person acting for or on behalf of any person 
included within the scope of paragraph (a), (b), or (c) of this 
section; that are in the United States, that hereafter come 
within the United States, or that are or hereafter come within 
the possession or control of United States persons, including 
their overseas branches, are blocked.
    Sec. 2. Notwithstanding the existence of any rights or 
obligations conferred or imposed by any international agreement 
or any contract entered into or any license or permit granted 
before the effective date of this order, except to the extent 
provided in regulations, orders, directives, or licenses, which 
may hereafter be issued pursuant to this order: (a) the 
provision or exportation of services to those areas of the 
Republic of Bosnia and Herzegovina under the control of the 
Bosnian Serb forces, or to any person for the purpose of any 
business carried on in those areas, either from the United 
States or by a United States person, is prohibited; and
    (b) no vessel registered in the United States or owned or 
controlled by a United States person, other than a United 
States naval vessel, may enter the riverine ports of those 
areas of the Republic of Bosnia and Herzegovina under the 
control of Bosnian Serb forces.
    Sec. 3. Any transaction by any United States person that 
evades or avoids, or has the purpose of evading or avoiding, or 
attempts to violate, any of the prohibitions set forth in this 
order is prohibited.
    Sec. 4. The Secretary of the Treasury, in consultation with 
the Secretary of State, is hereby authorized to take such 
actions, including the promulgation of rules and regulations, 
and to employ all powers granted to me by the International 
Emergency Economic Powers Act and the United Nations 
Participation Act, as amended, as may be necessary to carry out 
the purposes of this order. The Secretary of the Treasury may 
redelegate the authority set forth in this order to other 
officers and agencies of the United States Government, all 
agencies of which are hereby directed to take all appropriate 
measures within their authority to carry out the provisions of 
this order, including suspension or termination of licenses or 
other authorizations in effect as of the date of this order.
    Sec. 5. Nothing in this order shall apply to activities 
related to the United Nations Protection Force, the 
International Conference on the Former Yugoslavia, or the 
European Community Monitor Mission.
    Sec. 6. For the purposes of this order:
    (a) The term ``person'' means an individual or entity;
    (b) The term ``entity'' means a corporation, partnership, 
association, or other organization;
    (c) The term ``United States person'' is as defined in 
section 5 of Executive Order No. 12810.
    Sec. 7. Nothing contained in this order shall create any 
right or benefit, substantive or procedural, enforceable by any 
party against the United States, its agencies or 
instrumentalities, its officers or employees, or any other 
person.
    Sec. 8. (a) This order shall take effect at 11:59 p.m. 
eastern daylight time on October 25, 1994.
    (b) This order shall be transmitted to the Congress and 
published in the Federal Register.
  (8) Blocking Property of the Governments of the Federal Republic of 
  Yugoslavia (Serbia and Montenegro), the Republic of Serbia, and the 
Republic of Montenegro, and Prohibiting New Investment in the Republic 
            of Serbia in Response to the Situation in Kosovo

  Executive Order 13088, June 9, 1998 (63 F.R. 32109), 50 U.S.C. 1701 
note; as amended by Executive Order No. 13121, April 30, 1999 (64 F.R. 
 24201); and Executive Order No. 13192, January 17, 2001 (66 F.R. 7379)

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including the International Emergency Economic Powers Act 
(IEEPA) (50 U.S.C. 1701 et seq.), the National Emergencies Act 
(50 U.S.C. 1601 et seq.), and section 301 of title 3, United 
States Code,
    I, WILLIAM J. CLINTON, President of the United States of 
America, find that the actions and policies of the Governments 
of the Federal Republic of Yugoslavia (Serbia and Montenegro) 
and the Republic of Serbia with respect to Kosovo, by promoting 
ethnic conflict and human suffering, threaten to destabilize 
countries of the region and to disrupt progress in Bosnia and 
Herzegovina in implementing the Dayton peace agreement, and 
therefore constitute an unusual and extraordinary threat to the 
national security and foreign policy of the United States, and 
hereby declare a national emergency to deal with that threat. I 
hereby order:
    Section 1.\1\ (a) Except to the extent provided in section 
203(b) of IEEPA (50 U.S.C. 1702(b)), and in regulations, 
orders, directives, or licenses that may hereafter be issued 
pursuant to this order, and notwithstanding any contract 
entered into or any license or permit granted prior to the 
effective date, I hereby order blocked all property and 
interests in property that are or hereafter come within the 
United States or that are or hereafter come within the 
possession or control of United States persons, of:
---------------------------------------------------------------------------
    \1\ Executive Order 13192 revised section 1(a). The section, as 
revised by Executive Order 13121 previously read as follows:
    ``Section 1. (a) Except to the extent provided in section 203(b) of 
IEEPA (50 U.S.C. 1702(b)), and in regulations, orders, directives, or 
licenses that may hereafter be issued pursuant to this order, all 
property and interests in property of the Governments of the Federal 
Republic of Yugoslavia (Serbia and Montenegro), the Republic of Serbia, 
and the Republic of Montenegro that are in the United States, that 
hereafter come within the United States, or that are or hereafter come 
within the possession or control of United States persons, including 
their overseas branches, are hereby blocked.''.
    Section 1(a) originally read as follows:
    ``Section 1. (a) Except to the extent provided in section 2 of this 
order, section 203(b) of IEEPA (50 U.S.C. 1702(b)), and in regulations, 
orders, directives, or licenses that may hereafter be issued pursuant 
to this order, all property and interests in property of the 
Governments of the Federal Republic of Yugoslavia (Serbia and 
Montenegro), the Republic of Serbia, and the Republic of Montenegro 
that are in the United States, that hereafter come within the United 
States, or that are or hereafter come within the possession or control 
of United States persons, including their overseas branches, are hereby 
blocked.''.
---------------------------------------------------------------------------
          (i) any person listed in the Annex to this order; and
          (ii) any person determined by the Secretary of the 
        Treasury, in consultation with the Secretary of State:
                  (A) to be under open indictment by the 
                International Criminal Tribunal for the former 
                Yugoslavia, subject to applicable laws and 
                procedures;
                  (B) to have sought, or be seeking, through 
                repressive measures or otherwise, to maintain 
                or reestablish illegitimate control over the 
                political processes or institutions or the 
                economic resources or enterprises of the 
                Federal Republic of Yugoslavia, the Republic of 
                Serbia, the Republic of Montenegro, or the 
                territory of Kosovo;
                  (C) to have provided material support or 
                resources to any person designated in or 
                pursuant to section 1(a) of this order; or
                  (D) to be owned or controlled by or acting or 
                purporting to act directly or indirectly for or 
                on behalf of any person designated in or 
                pursuant to section 1(a) of this order.
    (b) \2\ All property and interests in property blocked 
prior to 12:01 a.m. eastern standard time, on January 19, 2001, 
shall remain blocked except as otherwise authorized by the 
Secretary of the Treasury.
---------------------------------------------------------------------------
    \2\ Executive Order 13192 revised subsec. (b). The subsection 
originally read as follows:
    ``(b) The blocking of property and property interests in paragraph 
(a) of this section includes the prohibition of financial transactions 
with, including trade financing for, the Governments of the Federal 
Republic of Yugoslavia (Serbia and Montenegro), the Republic of Serbia, 
and the Republic of Montenegro by United States persons.''.
---------------------------------------------------------------------------
    Sec. 2.\3\ Further, except to the extent provided in 
section 203(b) of IEEPA (50 U.S.C. 1702(b)), and in 
regulations, orders, directives, or licences that may hereafter 
be issued pursuant to this order, and nothwithstanding any 
contract entered into or any license or permit granted prior to 
the effective date, I hereby prohibit any transaction or 
dealing by a United States person or within the United States 
in property or interests in property of any person designated 
in or pursuant to section 1(a) of this order.
---------------------------------------------------------------------------
    \3\ Sec. 2 was revoked by Executive Order 13192 of January 17, 2001 
(66 F.R. 7379), and a new sec. 2 was added. The section, as previously 
amended by Executive Order 13121 (April 30, 1999, 64 F.R. 24021) read 
as follows:
    ``Sec. 2. Except to the extent provided in section 203(b) of IEEPA 
(50 U.S.C. 1702(b)) and in regulations, orders, directives, or licenses 
that may hereafter be issued pursuant to this order, and 
notwithstanding any contract entered into or any license or permit 
granted prior to the effective date of this order, the following are 
prohibited:
    ``(a) the exportation, reexportation, sale, or supply, directly or 
indirectly, from the United States, or by a United States person, 
wherever located, to the Federal Republic of Yugoslavia (Serbia and 
Montenegro) or the Government of the Federal Republic of Yugoslavia 
(Serbia and Montenegro), the Government of the Republic of Serbia, or 
the Government of the Republic of Montenegro, of any goods (including 
petroleum and petroleum products), software, technology (including 
technical data), or services;
    ``(b) the importation into the United States, directly or 
indirectly, of any goods, software, technology (including technical 
data), or services from the Federal Republic of Yugoslavia (Serbia and 
Montenegro) or owned or controlled by the Government of the Federal 
Republic of Yugoslavia (Serbia and Montenegro), the Government of the 
Republic of Serbia, or the Government of the Republic of Montenegro; 
and
    ``(c) any transaction or dealing by a United States person, 
wherever located, in goods, software, technology (including technical 
data), or services, regardless of country of origin, for exportation, 
reexportation, sale, or supply to, or exportation from or by, the 
Federal Republic of Yugoslavia (Serbia and Montenegro) or the 
Government of the Federal Republic of Yugoslavia (Serbia and 
Montenegro), the Government of the Republic of Serbia, or the 
Government of the Republic of Montenegro. This prohibition includes, 
without limitation, purchase, sale, transport, swap, or brokerage 
transactions in such items, and approving, financing, insuring, 
facilitating, or guaranteeing any such transactions.''.
    The section originally read as follows:
    ``Sec. 2. Nothing in section 1 of this order shall prohibit 
financial transactions, including trade financing, by United States 
persons within the territory of the Federal Republic of Yugoslavia 
(Serbia and Montenegro) if (a) conducted exclusively through the 
domestic banking system within the Federal Republic of Yugoslavia 
(Serbia and Montenegro) in local currency (dinars), or (b) conducted 
using bank notes or barter.''.
---------------------------------------------------------------------------
    Sec. 3.\4\ Any transaction by a United States person that 
evades or avoids, or has the purpose of evading or avoiding, or 
attempts to violate, any of the prohibitions set forth in this 
order is prohibited. Any conspiracy formed to violate the 
prohibitions of this order is prohibited.
---------------------------------------------------------------------------
    \4\ Sec. 3 was revoked by section 1(c) of Executive Order 13192 of 
January 17, 2001 (66 F.R. 7379). The section originally read as 
follows:
    ``Sec. 3. Except as otherwise provided in regulations, orders, 
directives, or licenses that may hereafter be issued pursuant to this 
order, all new investment by United States persons in the territory of 
the Republic of Serbia, and the approval or other facilitation by 
United States persons of other persons' new investment in the territory 
of the Republic of Serbia, are prohibited.''.
    Section 1(d) of Executive Order 13192 subsequently renumbered sec. 
4 as sec. 3.
    Prior to this amendment, sec. 4, as amended by section 1(c) of 
Executive Order 13121 (April 30, 1999, 64 F.R. 24021) read as follows:
    ``Sec. 4. Any transaction by a United States person that evades or 
avoids, or has the purpose of evading or avoiding, or attempts to 
violate, any of the prohibitions set forth in this order is prohibited. 
Any conspiracy formed to violate the prohibitions of this order is 
prohibited.''.
    The section originally read as follows:
    ``Sec. 4. Any transaction by a United States person that evades or 
avoids, or has the purpose of evading or avoiding, or attempts to 
violate, any of the prohibitions set forth in this order is 
prohibited.''.
---------------------------------------------------------------------------
    Sec. 4.\5\ For the purposes of this order:
    (a) The term ``person'' means an individual or entity;
---------------------------------------------------------------------------
    \5\ Section 1(e) of Executive Order 13192 of January 17, 2001 (66 
F.R. 7379) renumbered sec. 4. The section, originally numbered sec. 5, 
read as follows:
    ``Sec. 5. For the purposes of this order:
    ``(a) The term `person' means an individual or entity;
    ``(b) The term `entity' means a partnership, association, trust, 
joint venture, corporation, or other organization;
    ``(c) The term `new investment' means
---------------------------------------------------------------------------

          ``(i) the acquisition of debt or equity interests in,
          ``(ii) a commitment or contribution of funds or other assets 
        to, or
          ``(iii) a loan or other extension of credit to, a public or 
        private undertaking, entity, or project, including the 
        Government of the Republic of Serbia, other than donations of 
        funds for purely humanitarian purposes to charitable 
        organizations;
---------------------------------------------------------------------------
    ``(d) The term `United States person' means any United States 
citizen, permanent resident alien, juridical person organized under the 
laws of the United States (including foreign branches), or any person 
in the United States.
    ``(e) The term `Government of the Federal Republic of Yugoslavia 
(Serbia and Montenegro)' means the government of the Federal Republic 
of Yugoslavia (Serbia and Montenegro), its agencies, instrumentalities, 
and controlled entities, including all financial institutions and 
state-owned and socially owned entities organized or located in the 
Federal Republic of Yugoslavia (Serbia and Montenegro) as of June 9, 
1998, any successors to such entities, and their respective 
subsidiaries and branches, wherever located, and any persons acting or 
purporting to act for or on behalf of any of the foregoing;
    ``(f) The term `Government of the Republic of Serbia' means the 
government of the Republic of Serbia, including any subdivisions 
thereof or local governments therein, its agencies, instrumentalities, 
and controlled entities, including all financial institutions and 
state-owned and socially owned entities organized or located in the 
Republic of Serbia as of June 9, 1998, any successors to such entities, 
and their respective subsidiaries and branches, wherever located, and 
any persons acting or purporting to act for or on behalf of any of the 
foregoing;
    ``(g) The term `Government of the Republic of Montenegro' means the 
government of the Republic of Montenegro, including any subdivisions 
thereof or local governments therein, its agencies, instrumentalities, 
and controlled entities, including all financial institutions and 
state-owned and socially owned entities organized or located in the 
Republic of Montenegro as of June 9, 1998, any successors to such 
entities, and their respective subsidiaries and branches, wherever 
located, and any persons acting or purporting to act for or on behalf 
of any of the foregoing.''.
---------------------------------------------------------------------------
    (b) The term ``entity'' means a partnership, association, 
trust, joint venture, corporation, or other organization;
    (c) The term ``United States person'' means any United 
States citizen, permanent resident alien, entity organized 
under the laws of the United States or any jurisdiction within 
the United States (including foreign branches), or any person 
in the United States.
    Sec. 5.\6\ The Secretary of the Treasury, in consultation 
with the Secretary of State, is hereby authorized to take such 
actions, including the promulgation of rules and regulations, 
and to employ all powers granted to me by IEEPA and UNPA, as 
may be necessary to carry out the purposes of this order. The 
Secretary of the Treasury may redelegate any of these functions 
to other officers and agencies of the United States Government. 
All agencies of the United States Government are hereby 
directed to take all appropriate measures within their 
statutory authority to carry out he provisions of this order.
---------------------------------------------------------------------------
    \6\ Section 1(f) of Executive Order 13192 of January 17, 2001 (66 
F.R. 7379) renumbered sec. 5. The section, originally numbered sec. 6, 
read as follows:
    ``Sec. 5. The Secretary of the Treasury, in consultation with the 
Secretary of State, is hereby authorized to take such actions, 
including the promulgation of rules and regulations, and to employ all 
powers granted to me by the International Emergency Economic Powers 
Act, as may be necessary to carry out the purposes of this order. The 
Secretary of the Treasury may redelegate any of these functions to 
other officers and agencies of the United States Government, all 
agencies of which are hereby directed to take all appropriate measures 
within their authority to carry out the provisions of this order, 
including suspension or termination of licenses or other authorizations 
in effect as of the effective date of this order.''.
---------------------------------------------------------------------------
    Sec. 6.\7\ The Secretary of the Treasury, in consultation 
with the Secretary of State, is hereby authorized to remove any 
person from the Annex to this order as circumstances warrant.
---------------------------------------------------------------------------
    \7\ Section 1(g) of Executive Order 13192 of January 17, 2001 (66 
F.R. 7379) inserted sec. 6.
---------------------------------------------------------------------------
    Sec. 7.\8\ * * * [Revoked--2001]
---------------------------------------------------------------------------
    \8\ Executive Order 13192 of January 17, 2001 (66 F.R. 7379), 
revoked sec. 7. Section 1(d) of Executive Order 13121 (April 30, 1999, 
64 F.R. 24021) had revised sec. 7 to read as follows.
    ``Sec. 7. (a) The Secretary of the Treasury, in consultation with 
the Secretary of State, shall give special consideration to the 
circumstances of the Government of the Republic of Montenegro and 
persons located in and organized under the laws of the Republic of 
Montenegro in the implementation of this order.
    ``(b) The Secretary of the Treasury, in consultation with the 
Secretary of State, shall give special consideration to the 
humanitarian needs of refugees from Kosovo and other civilians within 
the Federal Republic of Yugoslavia (Serbia and Montenegro) in the 
implementation of this order.
    ``(c) The Secretary of the Treasury, in consultation with the 
Secretary of State, is hereby directed to authorize commercial sales of 
agricultural commodities and products, medicine, and medical equipment 
for civilian end use in the territory of the Federal Republic of 
Yugoslavia (Serbia and Montenegro) under appropriate safeguards to 
prevent diversion to military, paramilitary, or political use by the 
Government of the Federal Republic of Yugoslavia (Serbia and 
Montenegro), the Government of the Republic of Serbia, or the 
Government of the Republic of Montenegro.''.
    The section originally read as follows:
    ``Sec. 7. The Secretary of the Treasury, in consultation with the 
Secretary of State, shall give special consideration to the 
circumstances of the Government of the Republic of Montenegro and 
persons located in and organized under the laws of the Republic of 
Montenegro in the implementation of this order.''.
---------------------------------------------------------------------------
    Sec. 8. Nothing contained in this order shall confer any 
substantive or procedural right or privilege on any person or 
organization, enforceable against the United States, its 
agencies or its officers.
    Sec. 9. (a) This order is effective at 12:01 a.m. eastern 
daylight time on June 10, 1998.
    (b) This order shall be transmitted to the Congress and 
published in the Federal Register.
  (9) Blocking Property of the Governments of the Federal Republic of 
  Yugoslavia (Serbia and Montenegro), the Republic of Serbia, and the 
 Republic of Montenegro, and Prohibiting Trade Transactions Involving 
the Federal Republic of Yugoslavia (Serbia and Montenegro) in Response 
                     to the Situation in Kosovo\1\
---------------------------------------------------------------------------

    \1\ The national emergency with respect to Yugoslavia and all 
related executive orders, including Executive Order 13121 were 
terminated by Executive Order 13304 of May 28, 2003 (68 F.R. 32315).
---------------------------------------------------------------------------

         Executive Order 13121 of April 30, 1999, 64 F.R. 24021

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including the International Emergency Economic Powers Act 
(IEEPA) (50 U.S.C. 1701 et seq.), the National Emergencies Act 
(50 U.S.C. 1601 et seq.), and section 301 of title 3, United 
States Code,
    I, WILLIAM J. CLINTON, President of the United States of 
America, in order to take additional steps with respect to the 
continuing human rights and humanitarian crisis in Kosovo and 
the national emergency described and declared in Executive 
Order 13088 of June 9, 1998, hereby order:
    Section 1.\2\ * * *
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    \2\ Section 1 consists entirely of amendments to Executive Order 
13088, June 9, 1998 (63 F.R. 32109). See Executive Order 13088 as 
amended, this volume, page 1465.
---------------------------------------------------------------------------
    Sec. 2. Preservation of Authorities. Nothing in this order 
is intended to affect the continued effectiveness of any rules, 
regulations, orders, licenses, or other forms of administrative 
action issued, taken, or continued in effect heretofore or 
hereafter under the authority of IEEPA, except as hereafter 
terminated, modified, or suspended by the issuing Federal 
agency.
    Sec. 3. No rights or privileges conferred. Nothing 
contained in this order shall confer any substantive or 
procedural right or privilege on any person or organization, 
enforceable against the United States, its agencies or its 
officers.
    Sec. 4. (a) Effective date. This order is effective at 
12:01 a.m. eastern daylight time on May 1, 1999.
    (b) Transmittal; Publication. This order shall be 
transmitted to the Congress and published in the Federal 
Register.
    (10) Lifting and Modifying Measures With Respect to the Federal 
             Republic of Yugoslavia (Serbia and Montenegro)

        Executive Order 13192 of January 17, 2001 (66 F.R. 7379)

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including the International Emergency Economic Powers Act (50 
U.S.C. 1701 et seq.) (IEEPA), the National Emergencies Act (50 
U.S.C. 1601 et seq.), section 5 of the United Nations 
Participation Act of 1945, as amended (22 U.S.C. 287c) (UNPA), 
and section 301 of title 3, United States Code, and in view of 
United Nations Security Council Resolution 827 of May 25, 1993 
(UNSCR 827), and subsequent resolutions,
    I, WILLIAM J. CLINTON, President of the United States of 
America, found in Executive Order 13088 of June 9, 1998, that 
the actions and policies of the Governments of the Federal 
Republic of Yugoslavia (Serbia and Montenegro) (the ``FRY 
(S&M)'') and the Republic of Serbia with respect to Kosovo, by 
promoting ethnic conflict and human suffering, threatened to 
destabilize countries of the region and to disrupt progress in 
Bosnia and Herzegovina in implementing the Dayton peace 
agreement, and therefore constituted an unusual and 
extraordinary threat to the national security and foreign 
policy of the United States. I declared a national emergency to 
deal with that threat and ordered that economic sanctions be 
imposed with respect to those governments. I issued Executive 
Order 13121 of April 30, 1999, in response to the continuing 
human rights and humanitarian crises in Kosovo. That order 
revised and substantially expanded the sanctions imposed 
pursuant to Executive Order 13088.
    In view of the peaceful democratic transition begun by 
President Vojislav Kostunica and other newly elected leaders in 
the FRY (S&M), the promulgation of UNSCR 827 and subsequent 
resolutions calling for all states to cooperate fully with the 
International Criminal Tribunal for the former Yugoslavia, the 
illegitimate control over FRY (S&M) political institutions and 
economic resources or enterprises exercised by former President 
Slobodan Milosevic, his close associates and other persons, and 
those individuals' capacity to repress democracy or perpetrate 
or promote further human rights abuses, and in order to take 
steps to counter the continuing threat to regional stability 
and implementation of the Dayton peace agreement and to address 
the national emergency described and declared in Executive 
Order 13088, I hereby order:
    Section 1. Amendments to Executive Order 13088.\1\ * * *
---------------------------------------------------------------------------
    \1\ See Executive Order 13088, this volume, page 1479, for 
amendments.
---------------------------------------------------------------------------
          * * * * * * *
    Sec. 2. Preservation of Authorities. Nothing in this order 
is intended to affect the continued effectiveness of any rules, 
regulations, orders, licenses, or other forms of administrative 
action issued, taken, or continued in effect heretofore or 
hereafter under Executive Order 13088, Executive Order 13121, 
or the authority of IEEPA or UNPA, except as hereafter 
terminated, modified, or suspended by the issuing Federal 
agency.
    Sec. 3. No Rights or Privileges Conferred. This order is 
not intended to create, nor does it create, any right, benefit, 
or privilege, substantive or procedural, enforceable at law by 
a party against the United States, its agencies, officers, or 
any other person.
    Sec. 4. (a) Effective Date. This order is effective at 
12:01 a.m. eastern standard time on January 19, 2001.
    (b) Transmittal; Publication. This order shall be 
transmitted to the Congress and published in the Federal 
Register.
    q. Prohibiting Certain Transactions With Respect to Rwanda and 
    Delegating Authority With Respect to Other United Nations Arms 
                               Embargoes

Executive Order 12918, May 26, 1994, 59 F.R. 28205, 22 U.S.C. 287c note

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including section 5 of the United Nations Participation Act of 
1945, as amended (22 U.S.C. 287c), the Export Administration 
Act of 1979 (50 U.S.C. App. 2401 et seq.), the Arms Export 
Control Act (22 U.S.C. 2751 et seq.), and section 301 of title 
3, United States Code, and in view of United Nations Security 
Council Resolution 918 of May 17, 1994, it is hereby ordered as 
follows: \1\
---------------------------------------------------------------------------
    \1\ The Department of State suspended all licenses and other 
approvals to export or otherwise transfer defense articles or defense 
services to Rwanda, pursuant to secs. 38 and 42 of the AECA, on May 27, 
1994 (Public Notice 2016; 59 F.R. 28583). Subsequently, the Department 
of State amended the International Traffic in Arms Regulations (22 CFR 
parts 120-130) to include Rwanda (Public Notice 2050; 59 F.R. 42158).
---------------------------------------------------------------------------
    Section 1. Arms Embargo. The following activities are 
prohibited, notwithstanding the existence of any rights or 
obligations conferred or imposed by any international agreement 
or any contract entered into or any license or permit granted 
before the effective date of this order, except to the extent 
provided in regulations, orders, directives, or licenses that 
may hereafter be issued pursuant to this order: (a) The sale or 
supply to Rwanda from the territory of the United States by any 
person, or by any United States person in any foreign country 
or other location, or using any U.S.-registered vessel or 
aircraft, of arms and related materiel of all types, including 
weapons and ammunition, military vehicles and equipment, 
paramilitary police equipment, and spare parts for the 
aforementioned, irrespective of origin. This prohibition does 
not apply to activities related to the United Nations 
Assistance Mission for Rwanda or the United Nations Observer 
Mission Uganda-Rwanda or other entities permitted to have such 
items by the United Nations Security Council; and
    (b) Any willful evasion or attempt to violate or evade any 
of the prohibitions set forth in this order, by any person.
    Sec. 2. Definitions. For purposes of this order, the term: 
(a) ``Person'' means a natural person as well as a corporation, 
business association, partnership, society, trust, or any other 
entity, organization or group, including governmental entities; 
and
    (b) ``United States person'' means any citizen or national 
of the United States, any lawful permanent resident of the 
United States, or any corporation, business association, 
partnership, society, trust, or any other entity, organization 
or group, including governmental entities, organized under the 
laws of the United States (including foreign branches).
    Sec. 3. Responsibilities. The functions and 
responsibilities for the enforcement of the foregoing 
prohibitions are delegated as follows: (a) The Secretary of 
State is hereby authorized to take such actions, including the 
promulgation of rules and regulations, and to employ all powers 
granted to the President by section 5 of the United Nations 
Participation Act and other authorizes available to the 
Secretary of State, as may be necessary to carry out the 
purpose of this order, relating to arms and related materiel of 
a type enumerated on the United States Munitions List (22 
C.F.R. Part 121). The Secretary of State may redelegate any of 
these functions to other officers and agencies of the United 
States Government; and
    (b) The Secretary of Commerce, in consultation with the 
Secretary of State, is hereby authorized to take such actions, 
including the promulgation of rules and regulations, and to 
employ all powers granted to the President by section 5 of the 
United Nations Participation Act and other authorities 
available to the Secretary of Commerce, as may be necessary to 
carry out the purposes of this order, relating to arms and 
related materiel identified in the Export Administration 
Regulations (15 C.F.R. Parts 730-799). The Secretary of 
Commerce may redelegate any of these functions to other 
officers and agencies of the United States Government.
    Sec. 4. Authorization. All agencies of the United States 
Government are hereby directed to take all appropriate measures 
within their authority to carry out the provisions of this 
order, including suspension or termination of licenses or other 
authorizations in effect as of the date of this order.
    Sec. 5. Delegation of Authority. The Secretary of State and 
the Secretary of Commerce in consultation with the Secretary of 
State are hereby authorized to promulgate rules and 
regulations, and to employ all powers granted to the President 
by section 5 of the United Nations Participation Act and not 
otherwise delegated by Executive order, as may be necessary to 
carry out the purpose of implementing any other arms embargo 
mandated by resolution of the United Nations Security Council, 
consistent with the allocation of functions delegated under 
section 3 of this order. The Secretary of State or the 
Secretary of Commerce may redelegate any of these functions to 
other officers and agencies of the United States Government.
    Sec. 6. Judicial Review. Nothing contained in this order 
shall create any right or benefit, substantive or procedural, 
enforceable by any party against the United States, its 
agencies or instrumentalities, its officers or employees, or 
any other person.
    Sec. 7. Effective Date. This order shall take effect at 
11:59 p.m. eastern daylight time on May 26, 1994.
             r. Prohibiting Certain Transactions with Sudan

                (1) Importation of Gum Arabic from Sudan

    Section 1464 of Public Law 106-476 [H.R. 4868], 114 Stat. 2173, 
                       approved November 9, 2000

SEC. 1464. IMPORTATION OF GUM ARABIC.

  (a) Findings.--The Congress finds the following:
          (1) The Republic of the Sudan produces 60 percent of 
        the world's supply of gum arabic in raw form and has a 
        virtual monopoly on the world's supply of the highest 
        grade of gum arabic.
          (2) The President imposed comprehensive sanctions 
        against Sudan on November 3, 1997, under Executive 
        Order No. 13067.
          (3) The Secretary of the Treasury, upon 
        recommendation of the Secretary of State, has issued 
        limited licenses each year since the imposition of 
        sanctions against Sudan under Executive Order No. 13067 
        to permit United States gum arabic processors to import 
        gum arabic in raw form from Sudan due to a lack of 
        alternative sources in other countries.
          (4) The United States gum arabic processing industry 
        consists of three small companies whose existence is 
        threatened by the comprehensive sanctions in effect 
        against Sudan.
          (5) The United States gum arabic processing industry 
        is working with the United States Agency for 
        International Development to develop alternative 
        sources of gum arabic in raw form in countries that are 
        not subject to sanctions, but alternative sources of 
        the highest grade of gum arabic in raw form are not 
        currently available.
  (b) License Applications to Import Gum Arabic From Sudan.--
Notwithstanding any other provision of law, the Secretary of 
the Treasury and the Secretary of State, in consultation with 
the Secretary of Commerce and the heads of other appropriate 
agencies--
          (1) shall consider promptly any license application 
        by a United States gum arabic processor to import gum 
        arabic in raw form from the Republic of the Sudan; and
          (2) in reviewing such license applications by United 
        States gum arabic processors, shall consider whether 
        adequate commercial quantities of the highest grade of 
        gum arabic in raw form are available from countries not 
        subject to United States sanctions in order to allow 
        such United States processors of gum arabic to remain 
        in business.
  (c) Development of Alternative Sources of Gum Arabic.--The 
President shall utilize such authority as is available to the 
President to promote the development in countries other than 
Sudan of alternative sources of the highest grade of gum arabic 
in raw form of sufficient commercial quality to be utilized in 
products intended for human consumption.
  (d) Definition.--In this section, the term ``gum arabic in 
raw form'' means gum arabic of the type described in 
subheadings 1301.20.00 and 1301.90.90 of the Harmonized Tariff 
Schedule of the United States.
(2) Blocking Sudanese Government Property and Prohibiting Transactions 
                               with Sudan

Executive Order 13067, November 3, 1997, 62 F.R. 59989, 50 U.S.C. 1701 
                                  note

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including the International Emergency Economic Powers Act (50 
U.S.C. 1701 et seq.) (IEEPA), the National Emergencies Act (50 
U.S.C. 1601 et seq.), and section 301 of title 3, United States 
Code;
    I, WILLIAM J. CLINTON, President of the United States of 
America, find that the policies and actions of the Government 
of Sudan, including continued support for international 
terrorism; ongoing efforts to destabilize neighboring 
governments; and the prevalence of human rights violations, 
including slavery and the denial of religious freedom, 
constitute an unusual and extraordinary threat to the national 
security and foreign policy of the United States, and hereby 
declare a national emergency \1\ to deal with that threat. I 
hereby order:
---------------------------------------------------------------------------
    \1\ The national emergency with respect to Sudan was continued in 
Presidential notices of October 27, 1998 (63 F.R. 58617); October 29, 
1999 (64 F.R. 59105); October 31, 2000 (65 F.R. 66161); October 31, 
2001 (66 F.R. 55867); October 31, 2002 (67 F.R. 66523); and October 29, 
2003 (68 F.R. 62211).
---------------------------------------------------------------------------
    Section 1. Except to the extent provided in section 203(b) 
of IEEPA (50 U.S.C. 1702(b)) and in regulations, orders, 
directives, or licenses that may be issued pursuant to this 
order, all property and interests in property of the Government 
of Sudan that are in the United States, that hereafter come 
within the United States, or that hereafter come within the 
possession or control of United States persons, including their 
overseas branches, are blocked.
    Sec. 2. The following are prohibited, except to the extent 
provided in section 203(b) of IEEPA (50 U.S.C. 1702(b)) and in 
regulations, orders, directives, or licenses that may be issued 
pursuant to this order:
          (a) the importation into the United States of any 
        goods or services of Sudanese origin, other than 
        information or informational materials;
          (b) the exportation or reexportation, directly or 
        indirectly, to Sudan of any goods, technology 
        (including technical data, software, or other 
        information), or services from the United States or by 
        a United States person, wherever located, or requiring 
        the issuance of a license by a Federal agency, except 
        for donations of articles intended to relieve human 
        suffering, such as food, clothing, and medicine;
          (c) the facilitation by a United States person, 
        including but not limited to brokering activities, of 
        the exportation or reexportation of goods, technology, 
        or services from Sudan to any destination, or to Sudan 
        from any location;
          (d) the performance by any United States person of 
        any contract, including a financing contract, in 
        support of an industrial, commercial, public utility, 
        or governmental project in Sudan;
          (e) the grant or extension of credits or loans by any 
        United States person to the Government of Sudan;
          (f) any transaction by a United States person 
        relating to transportation of cargo to or from Sudan; 
        the provision of transportation of cargo to or from the 
        United States by any Sudanese person or any vessel or 
        aircraft of Sudanese registration; or the sale in the 
        United States by any person holding authority under 
        subtitle 7 of title 49, United States Code, of any 
        transportation of cargo by air that includes any stop 
        in Sudan; and
          (g) any transaction by any United States person or 
        within the United States that evades or avoids, or has 
        the purpose of evading or avoiding, or attempts to 
        violate, any of the prohibitions set forth in this 
        order.
    Sec. 3. Nothing in this order shall prohibit:
          (a) transactions for the conduct of the official 
        business of the Federal Government or the United 
        Nations by employees thereof; or
          (b) transactions in Sudan for journalistic activity 
        by persons regularly employed in such capacity by a 
        news-gathering organization.
    Sec. 4. For the purposes of this order:
          (a) the term ``person'' means an individual or 
        entity;
          (b) the term ``entity'' means a partnership, 
        association, trust, joint venture, corporation, or 
        other organization;
          (c) the term ``United States person'' means any 
        United States citizen, permanent resident alien, entity 
        organized under the laws of the United States 
        (including foreign branches), or any person in the 
        United States; and
          (d) the term ``Government of Sudan'' includes the 
        Government of Sudan, its agencies, instrumentalities 
        and controlled entities, and the Central Bank of Sudan.
    Sec. 5. The Secretary of the Treasury, in consultation with 
the Secretary of State and, as appropriate, other agencies, is 
hereby authorized to take such actions, including the 
promulgation of rules and regulations, and to employ all powers 
granted to me by IEEPA, as may be necessary to carry out the 
purposes of this order. The Secretary of the Treasury may 
redelegate any of these functions to other officers and 
agencies of the United States Government. All agencies of the 
United States Government are hereby directed to take all 
appropriate measures within their authority to carry out the 
provisions of this order.
    Sec. 6. Nothing contained in this order shall create any 
right or benefit, substantive or procedural, enforceable by any 
party against the United States, its agencies or 
instrumentalities, its officers or employees, or any other 
person.
    Sec. 7. (a) This order shall take effect at 12:01 a.m. 
eastern standard time on November 4, 1997, except that trade 
transactions under contracts in force as of the effective date 
of this order may be performed pursuant to their terms through 
12:01 a.m. eastern standard time on December 4, 1997, and 
letters of credit and other financing agreements for such 
underlying trade transactions may be performed pursuant to 
their terms.
    (b) This order shall be transmitted to the Congress and 
published in the Federal Register.
   s. Blocking Property of the Government of the Russian Federation 
 Relating to the Disposition of Highly Enriched Uranium Extracted from 
                            Nuclear Weapons

  Executive Order 13159, June 24, 2000, 65 F.R. 39279, 50 U.S.C. 1701 
                                  note

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including the International Emergency Economic Powers Act 
(IEEPA) (50 U.S.C. 1701 et seq.), the National Emergencies Act 
(50 U.S.C. 1601 et seq.), and section 301 of title 3, United 
States Code.
    I, WILLIAM J. CLINTON, President of the United States of 
America, in view of the policies underlying Executive Order 
12938 of November 14, 1994, and Executive Order 13085 of May 
26, 1998, find that the risk of nuclear proliferation created 
by the accumulation of a large volume of weapons-usable fissile 
material in the territory of the Russian Federation constitutes 
an unusual and extraordinary threat to the national security 
and foreign policy of the United States, and hereby declare a 
national emergency to deal with that threat, Ihereby order:
    Section 1.\1\ A major national security goal of the United 
States is to ensure that fissile material removed from Russian 
nuclear weapons pursuant to various arms control and 
disarmament agreements is dedicated to peaceful uses, subject 
to transparency measures, and protected from diversion to 
activities of proliferation concern. As reflected in Executive 
Order 13085, the full implementation of the Agreement Between 
the Government of the United States of America and the 
Government of the Russian Federation Concerning the Disposition 
of Highly Enriched Uranium Extracted from Nuclear Weapons, 
dated February 18, 1993, and related contracts and agreements 
(collectively, the ``HEU Agreements'') is essential to the 
attainment of this goal. The HEU Agreements provide for the 
conversion of approximately 500 metric tons of highly enriched 
uranium contained in Russian nuclear weapons into low-enriched 
uranium for use as fuel in commercial nuclear reactors. In 
furtherance of our national security goals, all heads of 
departments and agencies of the United States Government shall 
continue to take all appropriate measures within their 
authority to further the full implementation of the HEU 
Agreements.
---------------------------------------------------------------------------
    \1\ The national emergency with respect to the disposition of 
highly enriched uranium from Russia was continued in a notice of the 
President on June 11, 2001 (66 F.R. 32207); June 18, 2002 (67 F.R. 
42179); and June 10, 2003 (68 F.R. 35149).
    In Executive Order 13313 of July 31, 2003 (68 F.R. 46073), the 
President assigned the function of the President of submitting 
recurring reports to the Congress pursuant to this order to the 
Secretary of State.
---------------------------------------------------------------------------
    Sec. 2. Government of the Russian Federation assets 
directly related to the implementation of the HEU Agreements 
currently may be subject to attachment, judgment, decree, lien, 
execution, garnishment, or other judicial process, thereby 
jeopardizing the full implementation of the HEU Agreements to 
the detriment of U.S. foreign policy. In order to ensure the 
preservation and proper and complete transfer to the Government 
of the Russian Federation of all payments due to it under the 
HEU Agreements, and except to the extent provided in 
regulations, orders, directives, or licenses that may hereafter 
be issued pursuant to this order, all property and interests in 
property of the Government of the Russian Federation directly 
related to the implementation of the HEU Agreements that are in 
the United States, that hereafter come within the United 
States, or that are or hereafter come within the possession or 
control of United States persons, including their overseas 
branches, are hereby blocked and may not be transferred, paid, 
exported, withdrawn, or otherwise dealt in. Unless licensed or 
authorized pursuant to this order, any attachment, judgment, 
decree, lien, execution, garnishment, or other judicial process 
is null and void with respect to any property or interest in 
property blocked pursuant to this order.
    Sec. 3. For the purposes of this order: (a) The term 
``person'' means an individual or entity;
    (b) The term ``entity'' means a partnership, association, 
trust, joint venture, corporation, or other organization;
    (c) The term ``United States person'' means any United 
States citizen; permanent resident alien; juridical person 
organized under the laws of the United States or any 
jurisdiction within the United States, including foreign 
branches; or any person in the United States; and
    (d) The term ``Government of the Russian Federation'' means 
the Government of the Russian Federation, any political 
subdivision, agency, or instrumentality thereof, and any person 
owned or controlled by, or acting for or on behalf of, the 
Government of the Russian Federation.
    Sec. 4. (a) The Secretary of the Treasury, in consultation 
with the Secretary of State, the Secretary of Energy, and, as 
appropriate, other agencies, is hereby authorized to take such 
actions, including the promulgation of rules and regulations, 
and to employ all powers granted to me by IEEPA, as may be 
necessary to carry out the purposes of this order. The 
Secretary of the Treasury may redelegate any of these functions 
to other officers and agencies of the United States Government. 
All agencies of the United States Government are hereby 
directed to take all appropriate measures within their 
statutory authority to carry out the provisions of this order.
    (b) Nothing contained in this order shall relieve a person 
from any requirement to obtain a license or other authorization 
from any department or agency of the United States Government 
in compliance with applicable laws and regulations subject to 
the jurisdiction of the department or agency.
    Sec. 5. This order is not intended to create, nor does it 
create, any right, benefit, or privilege, substantive or 
procedural, enforceable at law by a party against the United 
States, its agencies, officers, or any other person.
    Sec. 6. (a) This order is effective at 12:01 a.m. eastern 
daylight time on June 22, 2000.
    (b) This order shall be transmitted to the Congress and 
published in the Federal Register.
   t. Prohibiting the Importation of Rough Diamonds from Sierra Leone

 Executive Order 13194, January 18, 2001, 66 F.R. 7389, 50 U.S.C. 1701 
                                  note

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including the International Emergency Economic Powers Act (50 
U.S.C. 1701 et seq.) (IEEPA), the National Emergencies Act (50 
U.S.C. 1601 et seq.), section 5 of the United Nations 
Participation Act of 1945, as amended (22 U.S.C. 287c) (UNPA), 
and section 301 of title 3, United States Code, and in view of 
United Nations Security Council Resolution 1306 of July 5, 
2000,
    I, WILLIAM J. CLINTON, President of the United States of 
America, take note that the people of Sierra Leone have 
suffered the ravages of a brutal civil war for nearly 10 years, 
and that the United Nations Security Council has determined 
that the situation in Sierra Leone constitutes a threat to 
international peace and security in the region and also has 
expressed concerns regarding the role played by the illicit 
trade in diamonds in fueling the conflict in Sierra Leone. 
Sierra Leone's insurgent Revolutionary United Front's (RUF's) 
illicit trade in diamonds from Sierra Leone to fund its 
operations and procurement of weapons, the RUF's flagrant 
violation of the Lome Peace Agreement of July 7, 1999, and its 
attacks on personnel of the United Nations Mission in Sierra 
Leone are direct challenges to the United States foreign policy 
objectives in the region as well as a direct challenge to the 
rule-based international order which is crucial to the peace 
and prosperity of the United States. Therefore, I find these 
actions constitute an unusual and extraordinary threat to the 
foreign policy of the United States and hereby declare a 
national emergency to deal with that threat. In order to 
implement United Nations Security Council Resolution 1306 and 
to ensure that the direct or indirect importation into the 
United States of rough diamonds from Sierra Leone will not 
contribute financial support to aggressive actions by the RUF 
or to the RUF's procurement of weapons, while at the same time 
seeking to avoid undermining the legitimate diamond trade or 
diminishing confidence in the integrity of the legitimate 
diamond industry, I hereby order:
    Section 1.\1\ Except to the extent provided by section 2 of 
this order, and notwithstanding the existence of any rights or 
obligations conferred or imposed by any contract entered into 
or any license or permit granted prior to the effective date of 
this order, the importation into, or exportation from, any 
rough diamond from Sierra Leone on or after July 30, 2003, is 
prohibited.
---------------------------------------------------------------------------
    \1\ The national emergency with respect to Sierra Leone and Liberia 
was continued by Presidential Notice on January 15, 2002 (67 F.R. 
2547); and January 16, 2003 (68 F.R. 2675).
    Section 1 was revised by Executive Order 13312 of July 29, 2003 (68 
F.R. 45151). The section originally read as follows:
    ``Except to the extent provided in section 2 of this order and to 
the extent provided in regulations, orders, directives, or licenses 
issued pursuant to this order, and notwithstanding the existence of any 
rights or obligations conferred or imposed by any international 
agreement or any contract entered into or any license or permit granted 
prior to the effective date of this order, the direct or indirect 
importation into the United States of all rough diamonds from Sierra 
Leone on or after the effective date of this order is prohibited.''.
---------------------------------------------------------------------------
    Sec. 2.\2\ The prohibitions in section 1 of this order 
shall not apply to the importation or exportation of any rough 
diamond that has been controlled through the Kimberley Process 
Certification Scheme.
---------------------------------------------------------------------------
    \2\ Executive Order 13312 of July 29, 2003 (68 F.R. 45151) revised 
sec. 2. The section originally read as follows:
    ``The prohibition in section 1 of this order shall not apply to the 
importation of rough diamonds controlled through the Certificate of 
Origin regime of the Government of Sierra Leone.''.
---------------------------------------------------------------------------
    Sec. 3. Any transaction by a United States person or within 
the United States that evades or avoids, or has the purpose of 
evading or avoiding, or attempts to violate, any of the 
prohibitions set forth in this order is prohibited.
    Sec. 4. For the purposes of this order:
    (a) the term ``person'' means an individual or entity; and 
\3\
---------------------------------------------------------------------------
    \3\ Executive Order 13312 of July 29, 2003 (68 F.R. 45151) deleted 
subsecs. 4 (c), (d) and (e) and added the word ``and'' after the 
semicolon at the end of sec. 4 (a). These subsections read as follows:
    ``(c) the term `United States person' means any United States 
citizen, permanent resident alien, entity organized under the laws of 
the United States or any jurisdiction within the United States 
(including foreign branches), or any person in the United States;
    ``(d) the term `rough diamond' means all unworked diamonds 
classifiable in heading 7102 of the Harmonized Tariff Schedule of the 
United States; and
    ``(e) the term `controlled through the Certificate of Origin regime 
of the Government of Sierra Leone' means accompanied by a Certificate 
of Origin or other documentation that demonstrates to the satisfaction 
of the United States Customs Service (or analogous officials of a 
United States territory or possession with its own customs 
administration) that the rough diamonds were legally exported from 
Sierra Leone with the approval of the Government of Sierra Leone.''.
---------------------------------------------------------------------------
    (b) the term ``entity'' means a partnership, association, 
trust, joint venture, corporation, or other organization;
    Sec. 5. The Secretary of the Treasury, in consultation with 
the Secretary of State, is hereby authorized to take such 
actions, including the promulgation of rules and regulations, 
and to employ all powers granted to the President by IEEPA and 
UNPA, as may be necessary to carry out the purposes of this 
order. The Secretary of the Treasury may redelegate any of 
these functions to other officers and agencies of the United 
States Government. All agencies of the United States Government 
are hereby directed to take all appropriate measures within 
their authority to carry out the provisions of this order.
    Sec. 6. This order is not intended to create, nor does it 
create, any right, benefit, or privilege, substantive or 
procedural, enforceable at law by a party against the United 
States, its agencies, officers, or any other person.
    Sec. 7. This order is effective at 12:01 a.m. eastern 
standard time on January 19, 2001.
  6. Johnson Act--Financial Transactions With Foreign Governments \1\

 Partial text of Public Law 80-772 [H.R. 3190], 62 Stat. 744, approved 
June 25, 1948; amended by Public Law 103-322 [Violent Crime Control and 
   Law Enforcement Act of 1994; H.R. 3355], 108 Stat. 1796, approved 
                           September 13, 1994

          * * * * * * *
    Whoever, within the United States, purchases or sells the 
bonds, securities, or other obligations of any foreign 
government or political subdivision thereof or any organization 
or association acting for or on behalf of a foreign government 
or political subdivision thereof, issued after April 13, 1934, 
or makes any loan to such foreign government, political 
subdivision, organization or association, except a renewal or 
adjustment of existing indebtedness, while such government, 
political subdivision, organization or association, is in 
default in the payment of its obligations, or any part thereof, 
to the United States, shall be fined under this title \2\ or 
imprisoned for not more than five years, or both.
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    \1\ 18 U.S.C. 955. For text of Foreign Agents Registration Act of 
1938, as amended (Public Law 75-583), see Legislation on Foreign 
Relations Through 1996, vol. IV, sec. N.
    For text of Logan Act--Private correspondence with foreign 
governments (Public Law 80-772), see Legislation on Foreign Relations 
Through 1996, vol. IV, sec. N.
    Sec. 902 of the FREEDOM Support Act (Public Law 102-511; 106 Stat. 
3355) provided the following:
    ``SEC. 902. JOHNSON ACT.
    ``Section 955 of title 18, United States Code, shall not apply with 
respect to any obligations of the former Soviet Union, or any of the 
independent states of the former Soviet Union, or any political 
subdivision, organization, or association thereof.''.
    \2\ Sec. 330016(1)(L) of Public Law 103-322 (108 Stat. 2147) struck 
out ``not more than $10,000'' and inserted in lieu thereof ``under this 
title''.
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    This section is applicable to individuals, partnerships, 
corporations, or associations other than public corporations 
created by or pursuant to special authorizations of Congress, 
or corporations in which the United States has or exercises a 
controlling interest through stock ownership or otherwise. 
While any foreign government is a member both of the 
International Monetary Fund and of the International Bank for 
Reconstruction and Development, this section shall not apply to 
the sale or purchase of bonds, securities, or other obligations 
of such government or any political subdivision thereof or of 
any organization or association acting for or on behalf of such 
government or political subdivision, or to making of any loan 
to such government, political subdivision, organization, or 
association.
          * * * * * * *
               7. Foreign Investment in the United States

                a. Foreign Investment Study Act of 1974

 Public Law 93-479 [S. 2840], 88 Stat. 1450, approved October 26, 1974 
                                  \1\

AN ACT To authorize the Secretary of Commerce and the Secretary of the 
Treasury to conduct a study of foreign direct and portfolio investment 
             in the United States, and for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled, That this 
Act may be cited as the ``Foreign Investment Study Act of 
1974''.
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    \1\ 15 U.S.C. 78b note.
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    Sec. 2. The Secretary of the Treasury and the Secretary of 
Commerce are hereby authorized and directed to conduct a 
comprehensive, overall study of foreign direct and portfolio 
investments in the United States.
    Sec. 3. The Departments of Commerce and Treasury, in 
consultation with appropriate agencies, shall determine the 
definitions and limitations of direct and portfolio investments 
for the(purposes of the study authorized in section 2 of this 
Act.
    Sec. 4. In carrying out the study described in section 2 of 
this Act, the Secretary of Commerce and the Secretary of the 
Treasury shall, respectively and jointly as may be 
appropriate--
          (1) identify and collect such information as may be 
        required to carry out the study authorized in section 2 
        of this Act;
          (2) consult with and secure information from (and 
        where appropriate the views of) representatives of 
        industry, the financial community, labor, agriculture, 
        science and technology, academic institutions, public 
        interest organizations, and such other groups as the 
        Secretaries deem suitable; and
          (3) consult and cooperate with other government 
        agencies, Federal, State, and local, and, to the extent 
        appropriate, with foreign governments and international 
        organizations.
    Sec. 5. The Secretary of Commerce shall carry out that part 
of the study authorized in section 2 of this Act relating to 
foreign direct investment, and shall, among other things, to 
the extent he determines feasible, specifically--
          (1) investigate and review the nature, scope, 
        magnitude, and rate of foreign direct investment 
        activities in the United States;
          (2) survey the reasons foreign firms are undertaking 
        direct investment in the United States;
          (3) identify the processes and mechanisms through 
        which foreign direct investment flows into the United 
        States, the financing methods used by foreign direct 
        investors, and the effects of such financing on 
        American financial markets;
          (4) analyze the scope and significance of foreign 
        direct investment in acquisitions and takeovers of 
        existing American enterprises, the significance of such 
        investments in the form of new facilities or joint 
        ventures with American firms, and the effects thereof 
        on domestic business competition;
          (5) analyze the concentration and distribution of 
        foreign direct investment in specific geographic areas 
        and economic sectors;
          (6) analyze the effects of foreign direct investment 
        on United States national security, energy, natural 
        resources, agriculture, environment, real property 
        holdings, balance of payments, balance of trade, the 
        United States international economic position, and 
        various significant American product markets;
          (7) analyze the effect of foreign direct investment 
        in terms of employment opportunities and practices and 
        the activities and influence of foreign and American 
        management executives employed by foreign firms;
          (8) analyze the effect of Federal, regional, State, 
        and local laws, rules, regulations, controls, and 
        policies on foreign direct investment activities in the 
        United States.
          (9) compare the purpose and effect of United States, 
        State, and local laws, rules, regulations, programs, 
        and policies on foreign direct investment in the United 
        States with laws, rules, regulations, programs, and 
        policies of selected nations and areas where such 
        comparison may be informative;
          (10) compare and contrast the foreign direct 
        investment activities in the United States with the 
        investment activities of American investors abroad and 
        appraise the impact of such American activities abroad 
        on the investment activities and policies of foreign 
        firms in the United States;
          (11) study the adequacy of information, disclosure, 
        and reporting requirements and procedure;
          (12) determine the effects of variations between 
        accounting, financial reporting, and other business 
        practices of American and foreign investors on foreign 
        investment activities in the United States; and
          (13) study and recommend means whereby information 
        and statistics on foreign direct investment activities 
        can be kept current.
    Sec. 6. The Secretary of the Treasury shall carry out that 
part of the study authorized in section 2 of this Act relating 
to foreign portfolio investment, and shall, to the extent he 
determines feasible, specifically--
          (1) investigate and review the nature, scope, and 
        magnitude of foreign portfolio investment activities in 
        the United States;
          (2) survey the reasons for foreign portfolio 
        investment in the United States;
          (3) identify the processes and mechanisms through 
        which foreign portfolio investment is made in the 
        United States, the financing methods used, and the 
        effects of foreign portfolio investment on American 
        financial markets;
          (4) analyze the effects of foreign portfolio 
        investment on the United States balance of payments and 
        the United States international investment position;
          (5) study and analyze the concentration and 
        distribution of foreign portfolio investment in 
        specific United States economic sectors;
          (6) study the effect of Federal securities laws, 
        rules, regulations, and policies on foreign portfolio 
        investment activities in the United States;
          (7) compare the purpose and effect of United States, 
        State, and local laws, rules, regulations, programs, 
        and policies on foreign portfolio investment in the 
        United States with laws, rules, regulations, programs, 
        and policies of selected nations and areas where such 
        comparison may be informative;
          (8) compare the foreign portfolio investment 
        activities in the United States with information 
        available on the portfolio investment activities of 
        American investors abroad;
          (9) study adequacy of information, disclosures, and 
        reporting requirements and procedures; and
          (10) study and recommend means whereby information 
        and statistics on foreign portfolio investment 
        activities can be kept current.

                                 POWERS

    Sec. 7. (a) The Secretary of Commerce and the Secretary of 
the Treasury may each by regulation establish whatever rules 
each deems necessary to carry out each of his functions under 
this Act.
    (b) Each such Secretary may require any person subject to 
the jurisdiction of the United States--
          (1) to maintain a complete record of any information 
        (including journals or other books of original entry, 
        minute books, stock transfer records, lists of 
        shareholders, or financial statements) which such 
        Secretary determines is germane to his functions in the 
        foreign direct investment and foreign portfolio 
        investment studies to be conducted pursuant to this 
        Act; and
          (2) to furnish under oath any report containing 
        whatever information such Secretary determines is 
        necessary to carry out his functions in such studies. 
        Whenever an order under clause (2) of this subsection 
        requires a person to produce information which can be 
        specifically identified as being part of the records of 
        its customers, the Secretary shall, upon being provided 
        the names and addresses of such customers, send a 
        notice to such customers that information from their 
        records will be disclosed pursuant to this Act; 
        Provided, That this requirement shall not apply when 
        such person is directly involved in the ownership or 
        management of assets for the customer as nominee, 
        agent, partner, fiduciary, trustee, or in a similar 
        relationship.
The authority of each Secretary under this subsection shall 
expire on the date provided under section 10 of this Act for 
the Secretary of Commerce and the Secretary of the Treasury to 
submit a full and complete report to the Congress.
    (c) In addition to the Secretary of Commerce and the 
Secretary of the Treasury, the only individuals who may have 
access to information furnished under subsection (b)(2) are 
those sworn employees, including consultants, of the Department 
of Commerce or Department of the Treasury designated by the 
Secretary of either such Department. Neither such Secretary nor 
any such employee may--
          (1) use any information furnished under subsection 
        (b)(2) except for analytical or statistical purposes 
        with the United States Government; or
          (2) publish, or make available to any other person in 
        any manner, any such information in a manner that the 
        information furnished under subsection (b)(2) by any 
        person can be specifically identified, except for the 
        purposes of a proceeding under section 8.
Such Secretaries may exchange any such information furnished 
under subsection (b)(2) in order to prevent any duplication or 
omission in the studies conducted by each such Secretary 
pursuant to this Act.
    (d) Except for the requirement under subsection (b)(2), no 
agency of the United States or employee thereof may compel (1) 
the Secretary of Commerce or the Secretary of the Treasury, (2) 
any individual designated by either such Secretary under the 
first sentence of subsection (c), or (3) any person which 
maintained or furnished any report under subsection (b), to 
submit any such report or constituent part thereof to that 
agency or any other agency of the United States. Without the 
prior written consent of the person which maintained or 
furnished any report under subsection (b) and without the prior 
written consent of the customer, where the person maintained or 
furnished any such report which included information 
identifiable as being derived from the records of such 
customer, such report or any such constituent part may not be 
produced for any judicial or administrative proceeding, except 
for a proceeding under section 8(b) of this Act.

                              ENFORCEMENT

    Sec. 8. (a) Whoever fails to furnish any information 
required pursuant to the authority of this Act, whether 
required to be furnished in the form of a report or otherwise, 
or to comply with any rule, regulation, order, or instruction 
promulgated pursuant to the authority of this Act may be 
assessed a civil penalty not exceeding $10,000 in a proceeding 
brought under subsection (b) of this section.
    (b) Whenever it appears to either the Secretary of the 
Treasury or the Secretary of Commerce that any person has 
failed to furnish any information required pursuant to the 
provisions of this Act, whether required to be furnished in the 
form of a report or otherwise, or has failed to comply with any 
rule, regulation, order, or instruction promulgated pursuant to 
the authority of this Act, such Secretary may in his discretion 
bring an action, in the proper district court of the United 
States or the proper United States court of any territory or 
other place subject to the jurisdiction of the United States, 
seeking a mandatory injunction commanding such person to comply 
with such rule, regulation, order, or instruction, and upon a 
proper showing by such Secretary of the relevance to the 
purposes of the Act of such rule, regulation, order, or 
instruction, a permanent or temporary injunction or restraining 
order shall be granted without bond, and such person, may also 
be subject to the civil penalty provided in subsection (a) of 
this section if the judge finds that such penalty is necessary 
to obtain compliance with such injunction or restraining order.
    (c) Whoever willfully fails to submit any information 
required pursuant to this Act, whether required to be furnished 
in the form of a report or otherwise, or willfully violates any 
rule, regulation, order, or instruction promulgated pursuant to 
the authority of this Act shall, upon conviction, be fined not 
more than $10,000 or, if a natural person, may be imprisoned 
for not more than one year or both; and any officer, director, 
or agent of any corporation who knowingly participates in such 
violation may be punished by a like fine, imprisonment, or 
both.
    Sec. 9. (a) The Secretary of Commerce and the Secretary of 
the Treasury may procure the temporary or intermittent services 
of experts and consultants in accordance with the provisions of 
section 3109 of title 5, United States Code. Persons so 
employed shall receive compensation at a rate to be fixed by 
the Secretaries concerned but not in excess of the maximum 
amount payable under such section. While away from his home or 
regular place of business and engaged in the performance of 
services for the Department of Commerce or the Department of 
the Treasury in conjunction with the provisions of this Act, 
any such person may be allowed travel expenses, including per 
diem in lieu of subsistence, as authorized by section 5703(b) 
of title 5, United States Code, for persons in the Government 
service employed intermittently.
    (b) The Secretary of Commerce and the Secretary of the 
Treasury are authorized, on a reimbursable basis when 
appropriate, to use the available services, equipment, 
personnel, and facilities of any agency or instrumentality of 
the Federal Government in conjunction with the study authorized 
in this Act.
    Sec. 10. The Secretary of Commerce and the Secretary of the 
Treasury shall submit to the Congress an interim report twelve 
months after the date of enactment of this Act, and not later 
than one and one-half years after enactment of this Act, a full 
and complete report of the findings made under the study 
authorized by this Act, together with such recommendations as 
they consider appropriate.
    Sec. 11. There is authorized to be appropriated a sum not 
to exceed $3,000,000 to carry out the purposes of this Act. Any 
funds so appropriated shall remain available until expended.
      b. International Investment and Trade in Services Survey Act

 Text of Public Law 94-472 [S. 2839], 90 Stat. 2059, approved October 
  11, 1976; as amended by Public Law 95-381 [S. 2028], 92 Stat. 726, 
 approved September 22, 1978; Public Law 96-72 [Export Administration 
 Act 1979; S. 737], 93 Stat. 503 at 536, approved September 29, 1979; 
  Public Law 97-33 [S. 1104], 95 Stat. 170, approved August 7, 1981; 
 Public Law 97-70 [S. 1687], 95 Stat. 1045, approved October 26, 1981; 
 Public Law 98-573 [Trade and Tariff Act of 1984; H.R. 3398], 98 Stat. 
  2948 at 3009, approved October 30, 1984; and by Public Law 101-533 
      [Foreign Direct Investment and International Financial Data 
 Improvements Act of 1990; S. 2516], 104 Stat. 2344, approved November 
                                7, 1990

AN ACT To supplement the authority of the President to collect regular 
         and periodic information on international investment.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

                              SHORT TITLE

    Section 1. This Act may be cited as the ``International 
Investment and Trade in Services Survey Act''.\1\
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    \1\ Sec. 306(b)(1) of the International Trade and Investment Act 
(title III of Public Law 98-573; 98 Stat. 3009) redesignated this Act 
as the ``International Investment and Trade in Services Survey Act''.
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                          FINDINGS AND PURPOSE

    Sec. 2.\2\ (a) The Congress finds and declares that--
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    \2\ 22 U.S.C. 3101.
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          (1) the United States Government is presently 
        authorized to collect limited amounts of information on 
        United States investment abroad and foreign investment 
        in the United States.
          (2) international investment has increased rapidly 
        within recent years;
          (3) such investment significantly affects the 
        economies of the United States and other nations;
          (4) international efforts to obtain information on 
        the activities of multinational enterprises and other 
        international investors have accelerated recently;
          (5) the potential consequences of international 
        investment cannot be evaluated accurately because the 
        United States Government lacks sufficient information 
        on such investment and its actual or possible effects 
        on the national security, commerce, employment, 
        inflation, general welfare, and foreign policy of the 
        United States;
          (6) accurate and comprehensive information on 
        international investment is needed by the Congress to 
        develop an informed United States policy on such 
        investment;
          (7) \3\ United States service industries engaged in 
        interstate and foreign commerce account for a 
        substantial part of the labor force and gross national 
        product of the United States economy, and such commerce 
        is rapidly increasing;
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    \3\ Sec. 306(b)(2) of the International Trade and Investment Act 
(title III of Public Law 98-573; 98 Stat. 3009) redesignated existing 
para. (7) as para. (9), and added new paras. (7) and (8).
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          (8) \3\ international trade and services is an 
        important issue for international negotiations and 
        deserves priority in the attention of governments, 
        international agencies, negotiators, and the private 
        sector; and
          (9) \3\ existing estimates of international 
        investment and trade in services,\4\ collected under 
        existing legal authority, are limited in scope and are 
        based on outdated statistical bases, reports, and 
        information which are insufficient for policy 
        formulation and decisionmaking.
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    \4\ Sec. 306(b) of the International Trade and Investment Act 
(title III of Public Law 98-573; 98 Stat. 3009) added the words ``and 
trade in services''.
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    (b) It is therefore the purpose of this Act to provide 
clear and unambiguous authority for the President to collect 
information on international investment and United States 
foreign trade in services, whether directly or by affiliates, 
including related information necessary for assessing the 
impact of such investment and trade,\5\ to authorize the 
collection and use of information on direct investments owned 
or controlled directly or indirectly by foreign governments or 
persons,\6\ and to provide analyses of such information to the 
Congress, the executive agencies, and the general public. It is 
the intent of the Congress that information which is collected 
from the public under this Act be obtained with a minimum 
burden on business and other respondents and with no 
unnecessary duplication of effort, consistent with the national 
interest in obtaining comprehensive and reliable information on 
international investment and trade in services,\4\
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    \5\ Sec. 306(b)(2) of the International Trade and Investment Act 
(title III of Public Law 98-573; 98 Stat. 3010) added the words to this 
point beginning with ``and United States foreign trade in services,''.
    \6\ Sec. 6(A) of the Foreign Direct Investment and International 
Financial Data Improvements Act of 1990 (Public Law 101-533; 104 Stat. 
2348), added text to this point beginning with ``to authorize the 
collection * * *''.
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    (c) Nothing in this Act is intended to restrain or deter 
foreign investment in the United States, United States 
investment abroad, or trade in services.\4\

                              DEFINITIONS

    Sec. 3.\7\ As used in this Act, the term--
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    \7\ 22 U.S.C. 3102.
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          (1) ``United States'', when used in a geographic 
        sense, means the several States, the District of 
        Columbia, the Commonwealth of Puerto Rico, the Canal 
        Zone, and all territories and possessions of the United 
        States;
          (2) ``foreign'', when used in a geographic sense, 
        means that which is situated outside the United States 
        or which belongs to or is characteristic of a country 
        other than the United States;
          (3) ``person'' means any individual, branch, 
        partnership, associated group, association, estate, 
        trust, corporation, or other organization (whether or 
        not organized under the laws of any State), and any 
        government (including a foreign government, the United 
        States Government, a State or local government, and any 
        agency, corporation, financial institution, or other 
        entity or instrumentality thereof, including a 
        government-sponsored agency);
          (4) ``United States person'' means any person 
        resident in the United States or subject to the 
        jurisdiction of the United States;
          (5) ``foreign person'' means any person resident 
        outside the United States or subject to the 
        jurisdiction of a country other than the United States;
          (6) ``business enterprise'' means any organization, 
        association, branch, or venture which exists for 
        profit-making purposes or to otherwise secure economic 
        advantage, and any ownership of any real estate;
          (7) ``parent'' means a person of one country who, 
        directly or indirectly, owns or controls 10 per centum 
        or more of the voting stock of an incorporated business 
        enterprise, or an equivalent ownership interest in an 
        unincorporated business enterprise, which is located 
        outside that country;
          (8) ``affiliate'' means a business enterprise located 
        in one country which is directly or indirectly owned or 
        controlled by a person of another country to the extent 
        of 10 per centum or more of its voting stock for an 
        unincorporated business or an equivalent interest for 
        an unincorporated business, including a branch;
          (9) ``international investment'' means (A) the 
        ownership or control, directly or indirectly, by 
        contractual commitment or otherwise, by foreign persons 
        of any interest in property in the United States, or of 
        stock, other securities, or short- and long-term debt 
        obligations of a United States person, and (B) the 
        ownership or control, directly or indirectly, by 
        contractual commitment or otherwise, by United States 
        persons of any interest in property outside the United 
        States, or of stock, other securities, or short- and 
        long-term debt obligations or a foreign person;
          (10) ``direct investment'' means the ownership or 
        control, directly or indirectly, by one person of 10 
        per centum or more of the voting securities of an 
        incorporated business enterprise or an equivalent 
        interest in an unincorporated business enterprise; and
          (11) ``portfolio investment'' means any international 
        investment which is not direct investment.

                          AUTHORITY AND DUTIES

    Sec. 4.\8\ (a) The President shall, to the extent he deems 
necessary and feasible--
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    \8\ 22 U.S.C. 3103.
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          (1) conduct a regular data collection program to 
        secure current information on international capital 
        flows and other information related to international 
        investment and trade in services,\4\ including (but not 
        limited to such information as may be necessary for 
        computing and analyzing the United States balance of 
        payments), the employment and taxes of United States 
        parents and affiliates, and the international 
        investment and trade in services \4\ position of the 
        United States;
          (2) conduct such studies and surveys as may be 
        necessary to prepare reports in a timely manner on 
        specific aspects of international investment and trade 
        in services \4\ which may have significant implications 
        for the economic welfare and national security of the 
        United States;
          (3) study the adequacy of information, disclosure, 
        and reporting requirements and procedures relating to 
        international investment and trade in services; \4\ 
        recommend necessary improvements in information 
        recording, collection, and retrieval and in statistical 
        analysis and presentation; \9\ and report periodically 
        to the Committees on Finance, Foreign Relations and 
        Commerce of the Senate and the Committees on Ways and 
        Means, Energy and Commerce, and Foreign Affairs,\10\ of 
        the House of Representatives on national and 
        international developments with respect to laws and 
        regulations affecting international investment and 
        trade in services; \4\
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    \9\ Sec. 306(b)(4) of the International Trade and Investment Act 
(title III of Public Law 98-573; 98 Stat. 3010) deleted the words 
``relating to international investment'' that previously appeared at 
this point.
    \10\ Sec. 306(b)(3) of the International Trade and Investment Act 
(title III of Public Law 98-573; 98 Stat. 3010) added references to the 
Committees on Finance, Ways and Means, and Energy and Commerce.
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          (4) \11\ conduct (not more frequently than once every 
        five years and in addition to any other surveys 
        conducted pursuant to paragraphs (1) and (2) benchmark 
        surveys with respect to trade in services between 
        unaffiliated United States persons and foreign persons; 
        and
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    \11\ Sec. 306(b)(4) of the International Trade and Investment Act 
(title III of Public Law 98-573; 8 Stat. 3010) redesignated existing 
para. (4) as para. (5), and added a new para. (4).
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          (5) \11\ publish for the use of the general public 
        and United States Government agencies periodic, 
        regular, and comprehensive statistical information 
        collected pursuant to this subsection and to the 
        benchmark surveys conducted pursuant to subsections (b) 
        and (c), including, with respect to foreign direct 
        investment in the United States, information on 
        ownership by foreign government of United States 
        affiliates by country, and tables, on an aggregated 
        basis, of business enterprises the ownership or control 
        of which by foreign persons is more than 50 percent of 
        the voting securities or other evidences of ownership 
        of such enterprises, and business enterprises the 
        ownership or control of which by foreign persons is 50 
        percent or less of the voting securities or other 
        evidences of ownership of such enterprises.\12\
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    \12\ Sec. 6(b) of the Foreign Direct Investment and International 
Financial Data Improvements Act of 1990 (Public Law 101-533; 104 Stat. 
2348), added text to this point beginning with ``, including, with 
respect to * * *''.
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    (b) With respect to foreign direct investment in the United 
States, the President shall conduct a benchmark survey covering 
\13\ year 1980, a benchmark survey covering \13\ year 1987, and 
benchmark surveys covering every fifth year thereafter. With 
respect to United States direct investment abroad, the 
President shall conduct a benchmark survey covering \13\ year 
1989, and benchmark surveys covering every fifth year 
thereafter. In conducting surveys pursuant to this subsection, 
the President shall,\14\ among other things and to the extent 
he determines necessary and feasible--
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    \13\ The word ``calendar'', which formerly appeared at this point, 
was struck out by Public Law 97-70 (95 Stat. 1045).
    \14\ Subsec. (b) was amended and restated to this point by section 
1 of Public Law 97-33 (95 Stat. 170). Former text had required a survey 
at least every 5 years for both U.S. direct investment abroad and 
foreign direct investment in the United States.
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          (1) identify the location, nature, and magnitude of, 
        and changes in total investment by any parent in each 
        of its affiliates and the financial transactions 
        between any parent and each of its affiliates;
          (2) obtain (A) information on the balance sheets of 
        parents and affiliates and related financial data, (B) 
        income statements, including the gross sales by primary 
        line of business (with as much product line detail as 
        is necessary and feasible) of parents and affiliates in 
        each country in which they have significant operations, 
        and (C) related information regarding trade (including 
        trade in both goods and services) \15\ between a parent 
        and each of its affiliates and between each parent or 
        affiliate and any other person;
---------------------------------------------------------------------------
    \15\ Sec. 306(b)(4) of the International Trade and Investment Act 
(title III of Public Law 98-573; 98 Stat. 3010) added the phrase 
``(including trade in both goods and services)''.
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          (3) collect employment data showing both the number 
        of United States and foreign employees of each parent 
        and affiliate and the levels of compensation, by 
        country, industry, and skill level;
          (4) obtain information on tax payments by parents and 
        affiliates by country; and
          (5) determine, by industry and country, the total 
        dollar amount of research and development expenditures 
        by each parent and affiliate, payments or other 
        compensation for the transfer of technology between 
        parents and their affiliates, and payments or other 
        compensation received by parents or affiliates from the 
        transfer of technology to other persons.
    (c)(1) The President shall conduct a comprehensive 
benchmark survey of foreign portfolio investment in the United 
States at least once every five years and, for such purposes, 
shall (among other things and to the extent he determines 
necessary and feasible) determine the magnitude and aggregate 
value of portfolio investment, form of investments, types of 
investors, nationality of investors and recorded residence of 
foreign private holders, diversification of holdings by 
economic sector, and holders of record.
  (2) \16\ In addition to the benchmark surveys conducted 
pursuant to paragraph (1), the President shall annually compile 
currently available data on United States portfolio investment 
abroad including items such as data on the magnitude and 
aggregate value of portfolio investment, form of investments, 
types of investors, nationality of investors and recorded 
residence of private holders, diversification of holdings by 
economic sector, and holders of record. The President shall 
submit an analysis of such data to the Congress not later than 
the first day of July each year.
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    \16\ Para. (2) was amended and restated by sec. 2 of Public Law 97-
33 (95 Stat. 170). Former text required a survey of U.S. portfolio 
investment abroad to be submitted to Congress on October 11, 1981, 
together with a report on the feasibility and desirability of 
conducting such surveys on a periodic basis.
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  (d) The President shall conduct a study of the feasibility of 
establishing a system to monitor foreign direct investment in 
agricultural, rural, and urban real property, including the 
feasibility of establishing a nationwide multipurpose land data 
system, and shall submit to the Congress an interim report of 
his findings and conclusions not later than two years after the 
date of enactment of this Act and a final report of such 
findings and conclusions not later than three years after such 
date of enactment.\17\
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    \17\ The final version of this report was originally due in 2 
years. Sec. 2 of Public Law 95-381 (92 Stat. 726) added the requirement 
for an interim report and extended the due date for the final report to 
3 years.
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  (e) \18\ The Secretary of Commerce shall prepare a report on 
the estimated cost of monitoring and compiling data on 
legislation enacted by the major trading partners of the United 
States, and such other foreign nations as the Secretary deems 
appropriate, which regulates or restricts foreign inward 
investment in such foreign nations.
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    \18\ Sec. 3 of Public Law 97-33 (95 Stat. 170) redesignated 
subsecs. (e) and (f) as subsecs. (f) and (g), respectively, and added a 
new subsec. (e).
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    (f) \18\ Activities shall be conducted so that information 
obtained pursuant to this Act shall be timely and useful in the 
development of policy with respect to international investment 
and trade in services.\4\ Reporting and recordkeeping 
requirements imposed under this Act shall be designed in order 
to minimize costs to the extent feasible, consistent with 
effective enforcement and the compilation of information 
required by this Act. Reporting, recordkeeping, and 
documentation requirements shall be periodically reviewed and 
revised in the light of developments in the field of 
information technology.
    (g) \18\ In collecting information under this Act, the 
President shall give due regard to the costs incurred by 
persons supplying such information, as well as to the costs 
incurred by the Government, and shall insure that the 
information collected is only in such detail as is necessary to 
fulfill the stated purposes for which the information is being 
gathered.
    (h) \19\ (1) The President, or the designee of the 
President responsible for monitoring the impact of foreign 
investment in the United States, coordinating implementation of 
United States policy on investment, and investigating foreign 
acquisitions under section 721 of the Defense Production Act of 
1950 (50 App. U.S.C. 2170)), may request a report from the 
Bureau of Economic Analysis of the Department of Commerce. When 
such request is made in connection with an investigation under 
such section 721, the report shall be provided within 14 days 
after the request is made. When such request is not made in 
connection with an investigation under such section 721, the 
report shall be provided within 60 days after the request.
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    \19\ Added by sec. 6(c) of the Foreign Direct Investment and 
International Financial Data Improvements Act of 1990 (Public Law 101-
533; 104 Stat. 2348).
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    (2) A report requested under paragraph (1) shall contain 
the best available information on the extent of foreign direct 
investment in a given industry, including a breakdown of total 
investment in the industry, and any foreign government 
investment in the industry, by country of the foreign owner, 
and any other information that the Bureau of Economic Analysis 
or such designee of the President considers relevant. The 
industry information provided shall be at the most detailed 
level available of Standard Industrial Classification, subject 
to the requirements of section 5.

              RULES AND REGULATIONS; ACCESS TO INFORMATION

    Sec. 5.\20\ (a) The authorities and responsibilities under 
this Act may be exercised through such rules and regulations as 
may be necessary to carry out the purposes of this Act.
---------------------------------------------------------------------------
    \20\ 22 U.S.C. 3104.
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    (b) Rules or regulations issued pursuant to this Act may 
require any person subject to the jurisdiction of the United 
States--
          (1) to maintain a complete record of any information 
        (including journals or other books of original entry, 
        minute books, stock transfer records, lists of 
        shareholders, or financial statements) which is 
        essential to carrying out the \21\ surveys and studies 
        to be conducted under this Act; and
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    \21\ Sec. 306(b)(5) of the International Trade and Investment Act 
(title III of Public Law 98-573; 98 Stat. 3010) deleted the words 
``international investment'' which previously appeared at this point.
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          (2) to furnish, under oath, any report containing 
        information which is determined to be necessary to 
        carry out the \21\ surveys and studies conducted under 
        this Act.
When a report under paragraph (2) is furnished under oath, such 
oath shall be by the officer of such person who is directly 
responsible for the maintenance and compilation of such 
information, and shall certify that the report was prepared in 
accordance with this Act, is complete, and is to such officer's 
best knowledge and belief, substantially accurate, except in a 
case in which, in accordance with rules and regulations issued 
under this Act, estimates have been provided because data are 
not available from customary accounting records or precise data 
could not be obtained without undue burden, and the data 
subject to such estimates has been noted in the report.\22\
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    \22\ Sec. 7(a) of the Foreign Direct Investment and International 
Financial Data Improvements Act of 1990 (Public Law 101-533; 104 Stat. 
2349) added this sentence.
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    (c) Access to information obtained under subsection (b)(2) 
of this section shall be available only to officials or 
employees designated to perform functions under this Act, 
including consultants and persons working on contracts awarded 
pursuant to this Act. Subject to the limitation of paragraph 
(1) of this subsection, the President may authorize the 
exchange between agencies or officials designated by him of 
information furnished by any person under this Act as he deems 
necessary to carry out the purposes of this Act. Nothing in 
this section shall be construed to require any Federal agency 
to disclose to any official exercising authority under this Act 
any information or report collected under legal authority other 
than this Act where disclosure is prohibited by law. 
Information collected pursuant to subsection (b)(2) may be used 
only--
          (1) for analytical or statistical purposes within the 
        United States Government; or
          (2) for the purpose of a proceeding under subsection 
        (c) \23\ of this section or under section 6 (b) or (c).
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    \23\ Sec. 6(e) of the Foreign Direct Investment and International 
Financial Data Improvements Act of 1990 (Public Law 101-533; 104 Stat. 
2349), struck out ``(d)'' and inserted in lieu thereof ``(e)'' in 
subsec. (c)(2); and inserted ``or (d)'' in subsec. (e), as conforming 
amendments for the addition of new subsec. (d) and redesignation of 
subsec. (d) to (e).
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    No official or employee designated to perform functions 
under this Act, including consultants and persons working on 
contracts awarded pursuant to this Act, may publish or make 
available to any other person any information collected 
pursuant to subsection (b)(2) in a manner that the person who 
furnished the information can be specifically identified except 
as provided in this section. No person can compel the 
submission or disclosure of any report or constituent part 
thereof collected pursuant to this Act, or any copy of such 
report or constituent part thereof, without the prior written 
consent of the person who maintained or furnished such report 
under subsection (b) and without prior written consent of the 
customer, where the person who maintained or furnished such 
report included information identifiable as being derived from 
the records of such customer.
    (d) \24\ The Bureau of the Census of the Department of 
Commerce is authorized, for purposes of augmenting and 
improving the quality of data collected by the Bureau of the 
Census, to have, upon written request, access to data relating 
to business enterprises that is collected directly by the 
Bureau of Economic Analysis for purposes of this Act. The 
Bureau of Labor Statistics of the Department of Labor is 
authorized, for purposes of augmenting and improving the data 
collected by the Bureau of Labor Statistics, to have access, 
upon written request, to selected identification information on 
business enterprises and data on international services 
transactions, that is collected directly by the Bureau of 
Economic Analysis for purposes of this Act. Officers and 
employees of the Bureau of the Census and the Bureau of Labor 
Statistics shall, for purposes of subsection (c), be deemed to 
be officials or employees designated to perform functions under 
this Act.
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    \24\ Sec. 6(d) of the Foreign Direct Investment and International 
Financial Data Improvements Act of 1990 (Public Law 101-533; 104 Stat. 
2349) redesignated subsec. (d) as (e), and added a new subsec. (d).
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    (e) \24\ Any person who willfully violates subsection (c) 
or (d) \23\ shall, upon conviction, be fined not more than 
$10,000, in addition to any other penalty imposed by law.

                              ENFORCEMENT

    Sec. 6.\25\ (a) Whoever fails to furnish any information 
required under this Act, whether required to be furnished in 
the form of a report or otherwise, or to comply with any rule, 
regulation, order, or instruction promulgated under this Act, 
shall be subject to a civil penalty of not less than $2,500, 
and not more than $25,000,\26\ in a proceeding brought under 
subsection (b) of this section.
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    \25\ 22 U.S.C. 3105.
    \26\ Sec. 7(b) of the Foreign Direct Investment and International 
Financial Data Improvements Act of 1990 (Public Law 101-533; 104 Stat. 
2349) struck out ``may be subject to a civil penalty not exceeding 
$10,000'' and inserted in lieu thereof ``shall be subject to a civil 
penalty of not less than $2,500, and not more than $25,000,''.
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    (b) Whenever it appears that any person has failed to 
furnish any information required under this Act, whether 
required to be furnished in the form of a report or otherwise, 
or has failed to comply with any rule, regulation, order, or 
instruction promulgated under this Act, a civil action may be 
brought in an appropriate district court of the United States, 
or the appropriate United States court of any territory or 
other place subject to the jurisdiction of the United States, 
and such court may enter a restraining order or a permanent or 
temporary injunction commanding such person to furnish such 
information or to comply with such rule, regulation, order, or 
instruction, as the case may be, or impose the civil penalty 
provided in subsection (a) of this section, or both.
    (c) Whoever willfully fails to submit any information 
required under this Act, whether required to be furnished in 
the form of a report or otherwise, or willfully violates any 
rule, regulation, order, or instruction promulgated under this 
Act, upon conviction, shall be fined not more than $10,000 and, 
if an individual, may be imprisoned for not more than one year, 
or both, and any officer, director, employee, or agent of any 
corporation who knowingly participates in such violation, upon 
conviction, may be punished by a like fine, imprisonment, or 
both.

           USE OF EXPERTS AND ADMINISTRATIVE SUPPORT SERVICES

    Sec. 7.\27\ (a) Any official designated by the President to 
carry out this Act may procure the temporary or intermittent 
services of experts and consultants in accordance with the 
provisions of section 3109 of title 5, United States Code. 
Persons so employed shall receive compensation at a rate not in 
excess of the maximum amount payable under such section. While 
away from his home or regular place of business and engaged in 
the performance of services in conjunction with the provisions 
of this Act, any such person may be allowed travel expenses, 
including per diem in lieu of subsistence, as authorized by 
section 5703(b) of title 5, United States Code, for persons in 
the Government service employed intermittently.
---------------------------------------------------------------------------
    \27\ 22 U.S.C. 3106.
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    (b) Any official designated by the President to carry out 
this Act may use, on a reimbursable basis when appropriate (as 
determined by the President), the available services, 
equipment, personnel, and facilities of any agency or 
instrumentality of the United States Government.

                           CONSULTATIONS \28\

    Sec. 8.\28\ Officials performing functions pursuant to this 
Act shall secure balanced, diverse, and responsible views from 
qualified persons representing business, organized labor, and 
the academic community and may, where appropriate, create such 
independent public advisory committees as are necessary to 
carry out the purposes of this Act.
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    \28\ 22 U.S.C. 3107. Sec. 4 of Public law 97-33 (95 Stat. 171) 
amended sec. 8 by deleting the words ``and reviews'' from the section 
title and by striking out subsec. (b). Subsec. (b) had directed the 
President to review the results of any studies and surveys conducted 
pursuant to this act and to report annually to Congress ``on any trends 
or developments which may have national policy implications and which 
in the President's opinion warrant the review of the respective 
committees.''.
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                             AUTHORIZATIONS

    Sec. 9.\29\ To carry out this Act, there are authorized to 
be appropriated $4,400,000 for the fiscal year ending September 
30, 1980, $4,500,000 for the fiscal year ending September 30, 
1981, $4,000,000 for the fiscal year ending September 30, 1982, 
and such sums as may be necessary for any subsequent fiscal 
years.
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    \29\ 22 U.S.C. 3108. The authorization figures for fiscal years 
1980 and 1981 were added by sec. 23 of the Export Administration Act of 
1979 (Public Law 96-72; 93 Stat. 536). The authorization for fiscal 
year 1982 and subsequent fiscal years was added by sec. 5 of Public Law 
97-33 (95 Stat. 171). Authorizations for previous years included: 
fiscal year 1978--$1,000,000; fiscal year 1979--$4,000,000.
     c. Foreign Direct Investment and International Financial Data 
                        Improvements Act of 1990

  Public Law 101-533 [S. 2516], 104 Stat. 2344, approved November 7, 
1990; amended by Public Law 102-484 [National Defense Authorization Act 
for Fiscal Year 1993; H.R. 5006], 106 Stat. 2315, approved October 23, 
1992; Public Law 103-160 [National Defense Authorization Act for Fiscal 
  Year 1994; H.R. 2401], 107 Stat. 1547, approved November 30, 1993; 
Public Law 104-316 [General Accounting Office Act of 1996; H.R. 3864], 
   110 Stat. 3826, approved October 19, 1996; and Public Law 106-261 
  [Strom Thurmond National Defense Authorization Act for Fiscal Year 
      1999; H.R. 3616], 112 Stat. 2136, approved October 17, 1998

    AN ACT To augment and improve the quality of international data 
  compiled by the Bureau of Economic Analysis under the International 
Investment and Trade in Services Survey Act by allowing that agency to 
share statistical establishment list information compiled by the Bureau 
                 of the Census, and for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

SECTION 1.\1\ SHORT TITLE.

    This Act may be cited as the ``Foreign Direct Investment 
and International Financial Data Improvements Act of 1990''.
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    \1\ 22 U.S.C. 3141 note.
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SEC. 2.\2\ FINDINGS.

    The Congress makes the following findings:
---------------------------------------------------------------------------
    \2\ 22 U.S.C. 3141.
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          (1) The United States Government collects substantial 
        amounts of information from foreign owned or controlled 
        business enterprise or affiliates operating in the 
        United States.
          (2) Additional analysis and presentation of this 
        information is desirable to assist the public debate on 
        the issue of foreign direct investments in the United 
        States.
          (3) Information collected from foreign owned or 
        controlled firms by the Bureau of Economic Analysis has 
        serious analytical limitations because it is largely 
        collected on an ``enterprise'' basis that does not 
        permit an adequate analysis by industry groupings.
          (4) Statistical and analytic comparisons of the 
        performance of foreign owned or controlled businesses 
        operating within the United States with other business 
        enterprises operating within the same industry can be 
        accomplished under sections 2(b) and 5(c) of the 
        International Investment and Trade in Services Survey 
        Act, and under Executive Order Numbered 11961, without 
        the need to collect additional information, by sharing 
        with other authorized Government agencies the employer 
        identification numbers maintained by the Bureau of 
        Economic Analysis.
          (5) Public disclosures of confidential business 
        information collected by the United States Government 
        relating to international direct investment flows could 
        cause serious damage to the accuracy of the statistical 
        data base.
          (6) The General Accounting Office may have limited 
        access to Government data on foreign direct investment.

SEC. 3.\3\ REPORT BY SECRETARY OF COMMERCE.

    (a) Annual Report on Foreign Direct Investment in the 
United States.--Not later than 6 months after the date of the 
enactment of this Act, and not later than the end of each 1-
year period occurring thereafter, the Secretary of Commerce 
shall submit to the Committee on Energy and Commerce, the 
Committee on Ways and Means, and the Committee on Foreign 
Affairs of the House of Representatives,\4\ to the Committee on 
Commerce, Science, and Transportation of the Senate, and to the 
Joint Economic Committee of the Congress a report on the role 
and significance of foreign direct investment in the United 
States. Such report shall address the history, scope, trends, 
market concentrations, and effects on the United States economy 
of such investment. In addition, the Secretary of Commerce 
shall, if requested by any such committee, appear before that 
committee to provide testimony with respect to any report under 
this subsection.
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    \3\ 22 U.S.C. 3142.
    \4\ Section 1(a)(4) of Public Law 104-14 (109 Stat. 186) provided 
that references to the Committee on Energy and Commerce of the House of 
Representatives shall be treated as referring to the Committee on 
Commerce of the House of Representatives. Section 1(c)(1) of that Act 
(110 Stat. 187) further provided that any reference in any provision of 
law enacted before January 4, 1995 to the House Committee on Energy and 
Commerce shall be treated as referring to (1) the Committee on 
Agriculture in the case of a provision relating to inspection of 
seafood or seafood products; (2) the Committee on Banking and Financial 
Services in the case of a provision relating to bank capital markets 
activities or depository institution securities; or (3) the Committee 
on Transportation and Infrastructure in the case of a provision 
relating to railroads and railway labor issues.
    Section 1(a)(5) of Public Law 104-14 (109 Stat. 186) provided that 
references to the Committee on Foreign Affairs of the House of 
Representatives shall be treated as referring to the Committee on 
International Relations of the House of Representatives.
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    (b) Sources of Data.--In preparing each report under 
subsection (a), the Secretary of Commerce, or the Secretary's 
designees, shall consider information collected by--
          (1) the Bureau of Economic Analysis under the 
        International Investment and Trade in Services Survey 
        Act (22 U.S.C. 3101 and following);
          (2) the Bureau of the Census on industry, 
        manufacturing, research and development, and trade, 
        under title 13, United States Code;
          (3) the Bureau of Labor Statistics pertaining to 
        information collected under the International 
        Investment and Trade in Services Survey Act, but only 
        to the extent that such information is in a form that 
        cannot be associated with, or otherwise identify, 
        directly or indirectly, a person, including any 
        enterprise or establishment;
          (4) the Secretary of Commerce or the Secretary's 
        designee pursuant to section 2 of Executive Order 11858 
        of May 7, 1975;
          (5) the United States Department of Agriculture under 
        the Agricultural Foreign Investment Disclosure Act of 
        1978 (7 U.S.C. 3501 and following);
          (6) the Department of the Treasury under section 
        6039C of the Internal Revenue Code of 1986 (26 U.S.C. 
        6039C), but only to the extent that such information is 
        in a form that cannot be associated with, or otherwise 
        identify, directly or indirectly, a person, including 
        any enterprise or establishment;
          (7) the Department of Energy under section 657(8) of 
        the Department of Energy Organization Act (42 U.S.C. 
        7267(8)), but only to the extent that such information 
        is in a form that cannot be associated with, or 
        otherwise identify, directly or indirectly, a person, 
        including any enterprise or establishment;
          (8) other Federal agencies not referred to in 
        paragraph (1) through (7), but only to the extent that 
        such information is in a form that cannot be associated 
        with, or otherwise identify, directly or indirectly, a 
        person, including any enterprise or establishment;
          (9) foreign governments and agencies thereof; and
          (10) private sector sources.
    (c) Analyses.--(1) The analysis in each report prepared 
under subsection (a) shall, to the extent of available data, 
compare business enterprises controlled by foreign persons with 
other business enterprises in the United States with respect to 
employment, market share, value added, productivity, research 
and development, exports, imports, profitability, taxes paid, 
and investment incentives and services provided by State and 
local governments (including quasi-governmental entities).
    (2) Each such analysis shall be done by significant 
industry sectors and geographical regions, except that 
information shall not be presented in a way in which any 
person, including any business enterprise or establishment, can 
be identified. The restriction contained in the preceding 
sentence on presentation of information does not apply to 
information that is obtained from foreign governments or 
agencies thereof and that has been published pursuant tot he 
lawful disclosure of the information. To the extent that data 
are available, each such analysis shall include an analysis, 
together with current levels and trends, of the number and 
market share of business enterprises at least 10 percent of the 
voting securities or other evidences of ownership of which are 
owned or controlled by a foreign person, and of the number and 
market share of the establishments of such business 
enterprises, that are engaged substantially in the production 
or coproduction of any critical technologies \5\ United States 
Code, or included in the most recent report submitted to the 
President under section 603 of the National Science and 
Technology Policy, Organization, and Priorities Act of 1976.
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    \5\ Sec. 1069(d)(2) of Public Law 105-261 (112 Stat. 2136) deleted 
``included in the most recent plan submitted to the Congress under 
section 2506 of title 10'', and inserted ``identified in the most 
recent assessment prepared under section 2505 of title 10''. 
Previously, sec. 1182(d)(2) of Public Law 103-160 (107 Stat. 1773) 
struck out ``section 2522 of title 10'' and inserted in lieu thereof 
``section 2506 of title 10''. Furthermore, sec. 1054(f) of Public Law 
102-484 (106 Stat. 2503) struck out ``section 2368 of title 10'' and 
inserted in lieu thereof ``section 2522 of title 10''.
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SEC 4.\6\ REPORTS BY GENERAL ACCOUNTING OFFICE.

    (a) In General.--The Comptroller General, to the extent 
permitted by law, including section 8 of this Act, is 
authorized to review the information described in section 3(b) 
for purposes of preparing the reports referred to in \7\ 
subsection (b) of this section. Nothing in this section 
authorizes disclosure of any individually identifiable data or 
information in any form that can be associated with or 
otherwise identify, directly or indirectly, any person, 
including any enterprise or establishment.
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    \6\ 22 U.S.C. 3143.
    \7\ Sec. 111(c)(1) of Public Law 104-316 (110 Stat. 3833) struck 
out ``report required under'' and inserted in lieu thereof ``reports 
referred to in''.
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    (b) \8\ Reports.--Consistent with the provisions of this 
section, the Comptroller General may submit to the Committee on 
Energy and Commerce, the Committee on Ways and Means, and the 
Committee on Foreign Affairs of the House of 
Representatives,\4\ to the Committee on Commerce, Science, and 
Transportation of the Senate, and to the Joint Economic 
Committee of the Congress reports-- \9\
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    \8\ Sec. 111(c)(2)(A) of Public Law 104-316 (110 Stat. 3833) struck 
out ``(b) Report.--Not later than 5 months after each report issued by 
the Secretary of Commerce under section 3, the Comptroller General of 
the United States shall submit'' and inserted in lieu thereof ``(b) 
Reports.--Consistent with the provisions of this section, the 
Comptroller General may submit''.
    \9\ Sec. 111(c)(2)(B) of Public Law 104-316 (110 Stat. 3833) struck 
out ``Congress, a report'' and inserted in lieu thereof ``Congress 
reports''.
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          (1) analyzing reports issued by the Secretary of 
        Commerce under section 3; \10\
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    \10\ Sec. 111(c)(2)(C) of Public Law 104-316 (110 Stat. 3833) 
struck out ``the report of the Secretary of Commerce'' and inserted in 
lieu thereof ``reports issued by the Secretary of Commerce under 
section 3''.
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          (2) making recommendations for changes in the 
        analysis done in the report due the following year 
        under section 3;
          (3) making recommendations for improving the 
        collection by respective Federal agencies of data on 
        foreign direct investment in the United States, 
        including use of private sector data, and improving 
        survey questionnaires to obtain useful and consistent 
        information that avoids unnecessary redundancy among 
        Federal agencies;
          (4) reviewing the status and processes for 
        reconciliation of data exchanged as required by this 
        Act and the amendments made by this Act, and making any 
        recommendations for improving and augmenting 
        international financial data;
          (5) making recommendations for possible additional 
        policy coordination within the executive branch 
        affecting foreign direct investment in the United 
        States; and
          (6) making recommendations for improvement of the 
        coverage, industry, classification, and consistency 
        among Federal agencies of their respective surveys.\11\
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    \11\ Sec. 111(c)(2)(D) of Public Law 104-316 (110 Stat. 3833) 
struck out a final sentence in the subsection following para. (6), 
which had read: ``Reports under this subsection shall be issued only 
with respect to the first 3 reports issued by the Secretary of Commerce 
under section 3.''.
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    (c) Other Reviews and Reports.--(1) The Comptroller General 
may, to the extent permitted by law, including section 5(c) of 
the International Investment and Trade in Services Survey Act 
(22 U.S.C. 3104(c)) and section 8 of this Act, also review data 
and information at the Bureau of the Census, the Bureau of 
Labor Statistics, and the Bureau of Economic Analysis and from 
time to time report to the Committee on Energy and Commerce, 
the Committee on Ways and Means, and the Committee on Foreign 
Affairs of the House of Representatives,\4\ to the Committee on 
Commerce, Science, and Transportation of the Senate, and to the 
Joint Economic Committee of the Congress.
    (2) The Comptroller General shall, in carrying out 
paragraph (1), comply with procedures relating to access to and 
disclosure of data and information established within the 
Federal statistical agencies referred to in paragraph (1), and 
maintain any and all individually identifiable data and 
information at the statistical agency where the information is 
reviewed.
    (d) Confidentiality; Review by Other Agencies.--In 
preparing any report under this section, the Comptroller 
General shall not--
          (1) disclose any confidential business information or 
        present any information in a way in which any person, 
        including a business enterprise or establishment, can 
        be identified; or
          (2) combine, match, or use in any other way 
        individually identifiable data or information 
        maintained by any of the Federal statistical agencies 
        referred to in subsection (c) with any other 
        individually identifiable confidential data or 
        information that is not collected by such statistical 
        agencies.
Before issuing any such report, the Comptroller General shall 
in each instance submit the report to the head or heads of the 
agency or agencies from which confidential or identifiable 
information described in the preceding sentence was obtained. 
The agency or agencies concerned shall promptly review the 
report for the purpose of assuring that the confidentiality of 
such information and identity is maintained, and for any other 
purpose, and shall provide the Comptroller General with 
appropriate comments or other suggestions within 10 working 
days after receiving the report.
    (e) Right of Access.--The access by the Comptroller General 
to information under this Act shall be in conformity with 
section 716 of title 31, United States Code.
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    \12\ Sec. 5 amended title 13, U.S.C., by adding a new chapter 10, 
sec. 401.
    \13\ Secs. 6 and 7 amended the International Investment and Trade 
in Service Survey Act.
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SEC. 5.\12\ ACCESS TO CENSUS DATA BY BUREAU OF ECONOMIC ANALYSIS. * * *

SEC. 6.\13\ AMENDMENTS TO THE INTERNATIONAL INVESTMENT AND TRADE IN 
                    SERVICE SURVEY ACT. * * *

SEC. 7.\13\ ACCOUNTABILITY FOR TIMELY REPORTING. * * *

SEC. 8.\14\ ACCESS TO INFORMATION; CONFIDENTIALITY.

    (a) Confidentiality.--(1) Those officers and employees who 
have access to information under this Act to which the 
provisions of section 9 of title 13, United States Code, apply 
must have been sworn, as provided for in section 23(c) of such 
title, to observe the limitations imposed by section 9(a) of 
such title and to be subject to the provisions of section 214 
of such title to the same extent as such section applies to 
officers or employees of the Bureau of the Census.
---------------------------------------------------------------------------
    \14\ 22 U.S.C. 3144.
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    (2) Only those officers and employees who have sworn to 
observe the provisions of section 5(c) of the International 
Investment and Trade in Service Survey Act (22 U.S.C. 3104(c)) 
may have access under this Act to information to which such 
provisions apply, and such officers and employees are subject 
to the penalties for improper disclosure of such information 
provided in section 5(e) of that Act to the same extent as such 
section applies to officers or employees designated to perform 
functions under that Act.
    (3) Those officers and employees referred to in paragraphs 
(1) and (2) of this section shall be subject to any other 
restriction or penalty imposed by law with respect to 
disclosure of information to which such officers or employees 
have access under this Act.
    (b) Violations and Penalties.--Whoever is in possession of 
information made available to any department or agency by 
virtue of this Act or the amendments made by this Act and 
discloses the information in any form which can be associated 
with, or otherwise identify, any person, including any business 
enterprise or establishment, shall be fined not less than 
$2,500 nor more than $25,000 or imprisoned not more than 5 
years, or both.
    (c) Unlawful Access.--Whoever procures, by fraud, 
misrepresentation, or other unlawful act, access to information 
made available to any department or agency by virtue of this 
Act or the amendments made by this Act shall be fined not less 
than $2,500 nor more than $25,000 or imprisoned not more than 5 
years, or both.
    (d) Information Immune From Process.--Information obtained 
under this Act shall be immune from legal process and shall not 
be used as evidence or for any purpose in any Federal, State, 
or local government action, suit, or other administrative or 
judicial proceeding except as necessary to enforce requirements 
imposed by law on the collection of information, to enforce the 
provisions of subsections (b) and (c).
    (e) Implementation.--(1) The Secretary of Commerce shall be 
responsible for the implementation of the exchange of 
information under this Act between the Bureau of the Census and 
the Bureau of Economic Analysis, and shall resolve any 
questions on access to information, data, or methodology that 
may arise between the Bureau of the Census and the Bureau of 
Economic Analysis, except that the Secretary shall not construe 
this section in a manner which would prevent the augmentation 
and improvement of the quality of international data collected 
under the International Investment and Trade in Services Survey 
Act. The Bureau of Economic Analysis and the Bureau of the 
Census shall agree in writing to the data to be shared under 
this Act.
    (2) The Director of the Office of Management and Budget 
shall be responsible for the implementation of the exchange of 
information under this Act between the Bureau of Economic 
Analysis and the Bureau of Labor Statistics, and shall resolve 
any questions on access to information, data, or methodology 
that may arise between the Bureau of Economic Analysis and the 
Bureau of Labor Statistics, except that the Director shall not 
construe this section in a manner which would prevent the 
augmentation and improvement of the quality of international 
data collected under the International Investment and Trade in 
Services Survey Act.

SEC. 9.\15\ CONSTRUCTION OF THE ACT.

    (a) In General.--Nothing in this Act or the amendments made 
by this Act shall be construed to require any business 
enterprise or any of its officers, directors, shareholders, or 
employees, or any other person, to provide information beyond 
that which is required before the enactment of this Act.
---------------------------------------------------------------------------
    \15\ 22 U.S.C. 3145.
---------------------------------------------------------------------------
    (b) Implementation.--All departments and agencies 
implementing this Act and the amendments made by this Act 
shall, with respect to surveys or questionnaires used in such 
implementation--
          (1) eliminate questions that are no longer necessary,
          (2) cooperate with one another in order to ensure 
        that questions asked are consistent among the 
        departments and agencies, and
          (3) develop new questions in order to obtain more 
        refined statistics and analyses,
consistent with the purposes of the provisions of law amended 
by this Act and the Paperwork Reduction Act of 1980.

SEC. 10.\16\ DEFINITIONS.

    For purposes of this Act--
---------------------------------------------------------------------------
    \16\ 22 U.S.C. 3146.
---------------------------------------------------------------------------
          (1) the terms ``foreign'', ``direct investment'', 
        ``international investment'', ``United States'', 
        ``business enterprise'', ``foreign person'', and 
        ``United States person'', have the meaning given those 
        terms in section 3 of the International Investment and 
        Trade in Services Survey Act (22 U.S.C.3102); and
          (2) the term ``foreign direct investment in the 
        United States'' means direct investment by foreign 
        persons in any business enterprise that is a United 
        States person.
         d. International Investment and Trade in Services \1\

 Executive Order 11961, January 19, 1977, 42 F.R. 4321, 22 U.S.C. 3101 
  note; as amended by Executive Order 12013, October 7, 1977, 42 F.R. 
 45931; Executive Order 12318, August 21, 1981, 46 F.R. 42833; and by 
           Executive Order 12518, June 3, 1985, 50 F.R. 23661

    By virtue of the authority vested in me by the 
International Investment and Trade in Services Survey Act \1\ 
(90 Stat. 2059, 22 U.S.C. 3101), and section 301 of title 3 of 
the United States Code, and as President of the United States 
of America, it is hereby ordered as follows:
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    \1\ Executive Order 12518 (50 F.R. 23661) redesignated this title 
from ``Administration of the International Investment Survey Act of 
1976''; substituted ``International Investment and Trade in Services 
Survey Act'' for ``International Investment Survey Act of 1976'' 
wherever it appears; substituted ``(5)'' for ``(4)'' in sec. 2; added 
``and trade in services'' after ``investment'' in sec. 3; and added 
``(5)'' after ``(4)'' in sec. 3.
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    Section 1. All the functions vested in the President by the 
International Investment and Trade in Services Survey Act \1\ 
(90 Stat. 2059, 22 U.S.C. 3101), hereinafter referred to as the 
Act, are hereby delegated to the Director of the Office of 
Management and Budget, hereinafter referred to as the Director. 
The Director may, from time to time, designate other officers 
or agencies of the Federal Government to perform any or all of 
the functions hereby delegated to the Director, subject to such 
instructions, limitations, and directions as the Director deems 
appropriate.
    Sec. 2. Subject to the provisions of section 1 of this 
order, and in the absence of any contrary delegation or 
direction by the Director, the Secretary of the Treasury, with 
respect to portfolio investment shall perform the functions set 
forth in section 4(a) (1), (2), (5) \1\ and 4(c) of the Act.
    Sec. 3. Subject to the provisions of section 1 of this 
order, and in the absence of any contrary delegation or 
direction by the Director, the Secretary of Commerce, with 
respect to direct investment and trade in services \1\ shall 
perform the functions set forth in sections 4(a) (1), (2), (4), 
(5) \1\ and 4(b) of the Act.
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    \2\ Sec. 4(b) of Executive Order 12318 (46 F.R. 42833) substituted 
the text beginning with the words ``the Secretary of Commerce'' to this 
point. Previously the text read ``the Secretary of Commerce shall 
perform the functions set forth in Sections 4(a)(3) and 5(c) of the 
Act''. The original text, which stated ``the Council on International 
Economic Policy shall perform the function of making periodic reports 
to the Committees of the Congress set forth in Section 4(a)(3) of the 
Act'' was deleted by Executive Order 12013 (42 F.R. 54931).
      
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    Sec. 4. Subject of the provisions of section 1 of this 
order, and in the absence of any contrary delegation or 
direction by the Director, the Secretary of Commerce shall 
perform the function of making periodic reports to the 
Committees of the Congress as set forth in Section 4(a)(3) of 
the Act.\2\

        e. Committee on Foreign Investment in the United States

Executive Order 11858, May 7, 1975, 40 F.R. 20263, 15 U.S.C. 78b note; 
  as amended by Executive Order 12188, January 2, 1980, 45 F.R. 989; 
Executive Order 12661, December 27, 1988, 54 F.R. 779; and by Executive 
             Order 12860, September 3, 1993, 58 F.R. 47201

    By virtue of the authority vested in me by the Constitution 
and statutes of the United States of America, including the Act 
of February 14, 1903, as amended (15 U.S.C. 1501 et seq.), 
section 10 of the Gold Reserve Act of 1934, as amended (31 
U.S.C. 822a), and section 301 of the United States Code, and as 
President of the United States of America, it is hereby ordered 
as follows:
    Section 1. (a) There is hereby established the Committee on 
Foreign Investment in the United States (hereinafter referred 
to as the Committee). The Committee shall be composed of \1\ 
the following:
---------------------------------------------------------------------------
    \1\ Sec. 3-201(B) of Executive Order 12661, December 27, 1988 (54 
F.R. 779) deleted ``a representative, whose status is not below that of 
an Assistant Secretary, designated by each of'' at this point.
---------------------------------------------------------------------------
          (1) The Secretary of State.
          (2) The Secretary of the Treasury.
          (3) The Secretary of Defense.
          (4) The Secretary of Commerce.
          (5) \2\ The United States Trade Representative.
---------------------------------------------------------------------------
    \2\ The U.S. Trade Representative was substituted for the Assistant 
to the President for Economic Affairs in this list by sec. 1-105(f)(1) 
of Executive Order 12188.
---------------------------------------------------------------------------
          (6) \3\ The Chairman of the Council of Economic 
        Advisers.
---------------------------------------------------------------------------
    \3\ The Chairman of the Council of Economic Advisers was 
substituted for the Executive Director of the Council on International 
Economic Policy in this list by sec. 1-105(f)(2) of Executive Order 
12188.
---------------------------------------------------------------------------
          (7) \4\ The Attorney General.
---------------------------------------------------------------------------
    \4\ Sec. 3-201(F) of Executive Order 12661, December 27, 1988 (54 
F.R. 779) added subparas. (7) and (8).
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          (8) \4\ The Director of the Office of Management and 
        Budget.
          (9) \5\ the Director of the Office of Science and 
        Technology Policy.
---------------------------------------------------------------------------
    \5\ Sec. 1 of Executive Order 12860 (58 F.R. 47201) added subparas. 
(9), (10), and (11).
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          (10) \5\ the Assistant to the President for National 
        Security Affairs.
          (11) \5\ the Assistance to the President for Economic 
        Policy.
    The \6\ Secretary of the Treasury shall be the chairman of 
the Committee. The chairman, as he deems appropriate, may 
invite representatives of other departments and agencies to 
participate from time to time in activities of the Committee.
---------------------------------------------------------------------------
    \6\ Sec. 3-201(C) of Executive Order 12661, December 27, 1988 (54 
F.R. 779) deleted ``representative of the'' at this point.
    An Interim Presidential Directive Regarding Disposition of Certain 
Mergers, Acquisitions, and Takeovers, October 26, 1988 (53 F.R. 43999, 
November 1, 1988) designated the Secretary of the Treasury to perform 
the functions of the President as defined by sec. 721 of the Defense 
Production Act of 1950, as amended, and to consult with the Committee 
on Foreign Investment in the United States, established here. This 
Interim Directive was revoked by sec. 3-201(G) of Executive Order 
12661, December 27, 1988 (54 F.R. 779).
---------------------------------------------------------------------------
    (b) The Committee shall have primary continuing 
responsibility within the executive branch for monitoring the 
impact of foreign investment in the United States, both direct 
and portfolio, and for coordinating the implementation of U.S. 
policy on such investment. In fulfillment of this 
responsibility, the Committee shall:
          (1) arrange for the preparation of analyses of trends 
        and significant developments in foreign investments in 
        the United States;
          (2) provide guidance on arrangements with foreign 
        governments for advance consultations on prospective 
        major foreign governmental investments in the United 
        States;
          (3) review investments in the United States which, in 
        the judgment of the Committee, might have major 
        implications for U.S. national interests;
          (4) consider proposals for new legislation or 
        regulations relating to foreign investment as may 
        appear necessary; and
          (5) \7\ coordinate the views of the Executive Branch 
        and discharge the responsibilities with respect to 
        Section 721(a) and (e) of the Defense Production Act of 
        1950, as amended (50 U.S.C. App. 2061 et seq.) 
        (``Defense Production Act'').
---------------------------------------------------------------------------
    \7\ Sec. 3-201(D) of Executive Order 12661, December 27, 1988 (54 
F.R. 779) added subpara. (5).
---------------------------------------------------------------------------
    (c) As the need arises, the Committee shall submit 
recommendations and analyses to the National Security Council 
and to the Economic Policy Board. It shall also arrange for the 
preparation and publication of periodic reports.
    Sec. 2. The Secretary of Commerce, with respect to the 
collection and use of data on foreign investment in the United 
States, shall provide, in particular, for the performance of 
the following activities:
    (a) The obtainment, consolidation, and analysis of 
information on foreign investment in the United States;
    (b) the improvement on such foreign investment;
    (c) the close observation of foreign investment in the 
United States;
    (d) the preparation of reports and analyses of trends and 
of significant developments in appropriate categories of such 
investment;
    (e) the compilation of data and preparation of evaluations 
of significant investment transactions; and
    (f) the submission to the Committee of appropriate reports, 
analyses, data and recommendations relating to foreign 
investment in the United States, including recommendations as 
to how information on foreign investment can be kept current.
    Sec. 3. The Secretary of the Treasury is authorized, 
without further approval of the President, to make reasonable 
use of the resources of the Exchange Stabilization Fund, in 
accordance with section 10 of the Gold Reserve Act of 1934, as 
amended (31 U.S.C. 822a), to pay any of the expenses directly 
incurred by the Secretary of Commerce in the performance of the 
functions and activities provided by this order. This authority 
shall be in effect for one year, unless revoked prior thereto.
    Sec. 4. All departments and agencies are directed to 
provide, to the extent permitted by law, such information and 
assistance as may be requested by the Committee or the 
Secretary of Commerce in carrying out their functions and 
activities under this order.
    Sec. 5. Information which has been submitted or received in 
confidence shall not be publicly disclosed, except to the 
extent required by law; and such information shall be used by 
the Committee only for the purpose of carrying out the 
functions and activities prescribed by this order. Information 
or documentary material filed pursuant to Section 1(b)(5) or 
Section 7 of this Order shall be treated in accordance with 
paragraph (b) of Section 721 of the Defense Production Act.\8\
---------------------------------------------------------------------------
    \8\ Sec. 3-201(E) of Executive Order 12661, December 27, 1988 (54 
F.R. 779) added the last sentence to sec. 5.
---------------------------------------------------------------------------
    Sec. 6. Nothing in this order shall affect the data-
gathering, regulatory, or enforcement authority of any existing 
department or agency over foreign investment, and the review of 
individual investments provided by this order shall not in any 
way supersede or prejudice any other process provided by law.
    Sec. 7.\9\ (1) Investigations. (a) The Committee is 
designated to receive notices and other information, to 
determine whether investigations should be undertaken , and to 
make investigations, pursuant to Section 721(a) of the Defense 
Production Act. (b) If the Committee determines that an 
investigation should be undertaken, such investigation shall 
commence no later than 30 days after receipt by the Committee 
of written notification of the proposed or pending merger, 
acquisition, or takeover. Such investigation shall be completed 
no later than 45 days after such determination. (c) If one or 
more Committee members differ with a Committee decision not to 
undertake an investigation, the Chairman shall submit a report 
of the Committee to the President setting forth the differing 
views and presenting the issues for his decision within 25 days 
after receipt by the Committee or written notification of the 
proposed or pending merger, acquisition, or takeover. (d) A 
unanimous decision by the Committee not to undertake an 
investigation with regard to a notice shall conclude action 
under this section on such notice. The Chairman shall advise 
the President of said decision.
---------------------------------------------------------------------------
    \9\ Sec. 3-201(A) of Executive Order 12661, December 27, 1988 (54 
F.R. 779), added secs. 7 and 8.
---------------------------------------------------------------------------
    (2) Report to the President. Upon completion or termination 
of any investigation, the Committee shall report to the 
President and present a recommendation. Any such report shall 
include information relevant to subparagraphs (1) and (2) of 
Section 721(d) of the Defense Production Act. If the Committee 
is unable to reach a unanimous recommendation, the Chairman 
shall submit a report of the Committee to the President setting 
forth the differing views and presenting the issues for his 
decision.
    Sec. 8.\9\ The Chairman of the Committee, in consultation 
with other members of the Committee, is hereby delegated the 
authority to issue regulations to implement Section 721 of the 
Defense Production Act.
 8. Collection and Publication of Foreign Commerce and Trade Statistics

  Sections 301-307, Title 13, U.S.C.; as added by Public Law 87-826, 
 approved Oct. 15, 1962, 76 Stat. 951-52; and amended by Public Law 93-
 618 [Trade Act of 1974; H.R. 10710], 88 Stat. 1978 at 2074, approved 
January 3, 1975; Public Law 96-39, [Trade Agreements Act of 1979; H.R. 
4537], 93 Stat. 144 at 313, approved July 26, 1979; Public Law 96-275, 
 [H.R. 6842], 94 Stat. 539, approved June 17, 1980; Public Law 100-418 
 [Omnibus Trade and Competitiveness Act of 1988; H.R. 4848], 102 Stat. 
 1107, approved August 23, 1988; and Public Law 106-113 [Proliferation 
 Prevention Enhancement Act of 1999; H.R. 3194], 113 Stat. 1501A-505, 
                       approved November 29, 1999

Sec. 301. Collection and publication.

    (a) \1\ The Secretary is authorized to collect information 
from all persons exporting from, or importing into, the United 
States and the noncontiguous areas over which the United States 
exercises sovereignty, jurisdiction, or control, and from all 
persons engaged in trade between the United States and such 
noncontiguous areas and between those areas, or from the 
owners, or operators of carriers engaged in such foreign 
commerce or trade, and shall compile and publish such 
information pertaining to exports, imports, trade, and 
transportation relating thereto, as he deems necessary or 
appropriate to enable him to foster, promote, develop, and 
further the commerce, domestic and foreign, of the United 
States and for other lawful purposes.
---------------------------------------------------------------------------
    \1\ The subsec. designation ``(a)'' and new subsecs. (b), (c), and 
(d) were added by sec. 609(a) of the Trade Act of 1974 (Public Law 93-
618; 88 Stat. 2074).
---------------------------------------------------------------------------
    (b) \1\ The Secretary shall submit to the Committee on Ways 
and Means of the House of Representatives and the Committee on 
Finance of the Senate, on quarterly and cumulative bases, 
statistics on United States imports for consumption and United 
States exports by country and by product. Statistics on United 
States imports shall be submitted in accordance with the Tariff 
Schedules of United States Annotated and general statistical 
headnote 1 thereof, in detail as follows:
          (1) net quantity;
          (2) United States customs value:
          (3) purchase price or its equivalent;
          (4) equivalent of arm's length value;
          (5) aggregate cost from port of exportation to United 
        States port of entry;
          (6) a United States port of entry value comprised of 
        (5) plus (4), if applicable, or, if not applicable, (5) 
        plus (3); and
          (7) for transactions where (3) and (4) are equal, the 
        total value of such transactions.
The data for paragraphs (1), (2), (3), (5), and (6) shall be 
reported separately for nonrelated and related party 
transactions, and shall also be reported as a total of all 
transactions.
    (c) \1\ In submitting any information under subsection (b) 
with respect to exports, the Secretary shall state separately 
from the total value of all exports--
          (1)(A) the value of agricultural commodities exported 
        under the Agricultural Trade Development and Assistance 
        Act of 1954, as amended; and
          (B) the total amount of all export subsidies paid to 
        exporters by the United States under such Act for the 
        exportation of such commodities; and
          (2) the value of goods exported under the Foreign 
        Assistance Act of 1961.
    (d) \1\ To assist the Secretary to carry out the provisions 
of subsections (b) and (c)--
          (1) the Secretary of Agriculture shall furnish 
        information to the Secretary concerning the value of 
        agricultural commodities exported under provisions of 
        the Agricultural Trade Development and Assistance Act 
        of 1954, as amended, and the total amounts of all 
        export subsidies paid to exporters by the United States 
        under such Act for the exportation of such commodities; 
        and
          (2) the Secretary of State shall furnish information 
        to the Secretary concerning the value of goods exported 
        under the provisions of the Foreign Assistance Act of 
        1961, as amended.
    (e) \2\ There shall be reported, on monthly and cumulative 
bases, for each item in the Tariff Schedules of the United 
States Annotated, the United States port of entry value (as 
determined under subsection (b)(6)). There shall be reported, 
on monthly and cumulative bases, the balance of international 
trade for the United States reflecting (1) the aggregate value 
of all United States imports as reported in accordance with the 
first sentence of this subsection, and (2) the aggregate value 
of all United States exports. The information required to be 
reported under this subsection shall be reported in a form that 
is adjusted for economic inflation or deflation (on a constant 
dollar basis consistent with the reporting of the National 
Income and Product Accounts), and in a form that is not so 
adjusted.\3\
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    \2\ Subsecs. (e) and (f) were added by sec. 1108(a) of the Trade 
Agreements Act of 1979 (Public Law 96-39; 93 Stat. 313), effective Dec. 
31, 1979.
    \3\ This sentence was added by sec. 1932 of Public Law 100-418 
(Omnibus Trade and Competitiveness Act of 1988; 102 Stat. 1320). The 
sentence previously appearing at this point was deleted by sec. 1931(a) 
of that Act and read ``The values and balance of trade required to be 
reported by this subsection shall be released no later than 48 hours 
before the release of any other government statistics concerning values 
of United States imports or United States balance of trade, or 
statistics from which such values or balance may be derived.''.
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    (f) \2\ On or before January 1, 1981, and as often 
thereafter as may be necessary to reflect significant changes 
in rates, there shall be reported for each item of the Tariff 
Schedules of the United States Annotated, the ad valorem or ad 
valorem equivalent rate of duty which would have been required 
to be imposed on dutiable imports under that item, if the 
United States customs values of such imports were based on the 
United States port of entry value (as reported in accordance 
with the first sentence of subsection (e)) in order to collect 
the same amount of duties on imports under that item as are 
currently collected.
    (g) \4\ Shippers' Export Declarations (or any successor 
document), wherever located, shall be exempt from public 
disclosure unless the Secretary determines that such exemption 
would be contrary to the national interest.
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    \4\ Subsec. (g) was added by sec. 1 of Public Law 96-275 (94 Stat. 
539).
---------------------------------------------------------------------------
    (h) \5\ The Secretary is authorized to require by 
regulation the filing of Shippers' Export Declarations under 
this chapter through an automated electronic system for the 
filing of export information established by the Department of 
the Treasury.
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    \5\ Public Law 106-113 (113 Stat. 1501) added subsec. (h).
    Public Law 106-113 further provided:
    ``(b) Implementing Regulations.--
---------------------------------------------------------------------------

          ``(1) In general.--The Secretary of Commerce, with the 
        concurrence of the Secretary of State, shall publish 
        regulations in the Federal Register to require that, upon the 
        effective date of those regulations, exporters (or their 
        agents) who are required to file Shippers' Export Declarations 
        under chapter 9 of title 13, United States Code, file such 
        Declarations through the Automated Export System with respect 
        to exports of items on the United States Munitions List or the 
        Commerce Control List.
          ``(2) Elements of the regulations.--The regulations referred 
        to in paragraph (1) shall include at a minimum--

                  ``(A) provision by the Department of Commerce for the 
                establishment of on-line assistance services to be 
                available for those individuals who must use the 
                Automated Export System;
                  ``(B) provision by the Department of Commerce for 
                ensuring that an individual who is required to use the 
                Automated Export System is able to print out from the 
                System a validated record of the individual's 
                submission, including the date of the submission and a 
                serial number or other unique identifier, where 
                appropriate, for the export transaction; and
                  ``(C) a requirement that the Department of Commerce 
                print out and maintain on file a paper copy or other 
                acceptable back-up record of the individual's 
                submission at a location selected by the Secretary of 
                Commerce.''.
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    Public Law 106-113 further provided:
    ``(c) Effective Date.--The amendment made by subsection (a) shall 
take effect 270 days after the Secretary of Commerce, the Secretary of 
the Treasury, and the Director of the National Institute of Standards 
and Technology jointly provide a certification to the Committee on 
Foreign Relations of the Senate and the Committee on International 
Relations of the House of Representatives that a secure Automated 
Export System available through the Internet that is capable of 
handling the expected volume of information required to be filed under 
subsection (b), plus the anticipated volume from voluntary use of the 
Automated Export System, has been successfully implemented and tested 
and is fully functional with respect to reporting all items on the 
United States Munitions List, including their quantities and 
destinations.''.
    Sec. 1256 of Public Law 106-113 (113 Stat. 1501A-507) further 
provided:
    ``SEC. 1256. DEFINITIONS
    ``In this subtitle:
---------------------------------------------------------------------------

                  ``(1) Automated export system.--The term ``Automated 
                Export System'' means the automated and electronic 
                system for filing export information established under 
                chapter 9 of title 13, United States Code, on June 19, 
                1995 (60 Federal Register 32040).
                  ``(2) Commerce control list.--The term ``Commerce 
                Control List'' has the meaning given the term in 
                section 774.1 of title 15, Code of Federal Regulations.
                  ``(3) Shippers' export declaration.--The term 
                ``Shippers' Export Declaration'' means the export 
                information filed under chapter 9 of title 13, United 
                States Code, as described in part 30 of title 15, Code 
                of Federal Regulations.
                  ``(4) United states munitions list.--The term 
                ``United States Munitions List'' means the list of 
                items controlled under section 38 of the Arms Export 
                Control Act (22 U.S.C. 2778).''.

Sec. 302. Rules, regulations, and orders.

    The Secretary may make such rules, regulations, and orders 
as he deems necessary or appropriate to carry out the 
provisions of this chapter. Any rules, regulations, or orders 
issued pursuant to this authority may be established in such 
form or manner, may contain such classifications or 
differentiations, and may provide for such adjustments and 
reasonable exceptions as in the judgment of the Secretary are 
necessary or proper to effectuate the purpose of this chapter, 
or to prevent circumvention or evasion of any rule, regulation, 
or order issued hereunder. The Secretary may also provide by 
rule or regulation, for such confidentiality, publication, or 
disclosure, of information collected hereunder as he may deem 
necessary or appropriate in the public interest. Rules, 
regulations, and orders, or amendments thereto shall have the 
concurrence of the Secretary of the Treasury prior to 
promulgation.

Sec. 303. Secretary of Treasury functions.

    To assist the Secretary to carry out the functions of this 
chapter, the Secretary of the Treasury shall collect 
information in the form and manner prescribed by the 
regulations issued pursuant to this chapter from persons 
engaged in foreign commerce or trade, other than by mail, and 
from the owners or operators of carriers.

Sec. 304. Filing export information, delayed filings, penalties for 
        failure to file.

    (a) The information or reports in connection with the 
exportation or transportation of cargo required to be filed by 
carriers with the Secretary of the Treasury under any rule, 
regulation, or order issued pursuant to this chapter may be 
filed after the departure of such carrier from the port or 
place of exportation or transportation, whether such departing 
carrier is destined directly to a foreign port or place or to a 
noncontiguous area, or proceeds by way of other ports or places 
of the United States, provided that a bond in an approved form 
in the penal sum of $1,000 is filed with the Secretary of the 
Treasury. The Secretary of Commerce may, by a rule, regulation, 
or order issued in conformity herewith, prescribe a maximum 
period after such departure during which the required 
information or reports may be filed. In the event any such 
information or report is not filed within such prescribed 
period, a penalty not to exceed $100 for each day's delinquency 
beyond the prescribed period, but not more than $1,000 shall be 
exacted. Civil suit may be instituted in the name of the United 
States against the principal and surety for the recovery of any 
penalties that may accrue and be exacted in accordance with the 
terms of the bond.
    (b) The Secretary may remit or mitigate any penalty 
incurred for violations of this section and regulations issued 
pursuant thereto if, in his opinion, they were incurred without 
willful negligence or fraud, or other circumstances justify a 
remission or mitigation.

Sec. 305. Violations, penalties.

    Any person, including the owners or operators of carriers, 
violating the provisions of this chapter, or any rule, 
regulation, or order issued thereunder, except as provided in 
section 304 above, shall be liable to a penalty not to exceed 
$1,000 in addition to any other penalty imposed by law. The 
amount of any such penalty shall be payable into the Treasury 
of the United States and shall be recoverable in a civil suit 
in the name of the United States.

Sec. 306. Delegation of functions.

    Subject to the concurrence of the head of the department or 
agency concerned, the Secretary may make such provisions as he 
shall deem appropriate, authorizing the performance by any 
officer, agency or employee of the United States Government 
departments or offices, or the governments of any areas over 
which the United States exercises sovereignty, jurisdiction, or 
control, of any function of the Secretary, contained in this 
chapter.

Sec. 307. Relationship to general census law.

    The following sections only, 1, 2, 3, 4, 5, 6, 7, 11, 21, 
22, 23, 24, 211, 212, 213, and 214, of chapters 1 through 7 of 
this title are applicable to this chapter.
                      9. Materials and Commodities

 a. Opposition of Use of Multilateral Assistance To Produce or Extract 
          Foreign Surplus Commodities and Minerals for Export

Partial text of Public Law 99-472 [H.R. 5548], 100 Stat. 1200 at 1210, 
                       approved October 15, 1986

          AN ACT To amend the Export-Import Bank Act of 1945.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Export-Import Bank Act 
Amendments of 1986''.
          * * * * * * *

SEC. 22.\1\ OPPOSITION OF MULTILATERAL ASSISTANCE FOR FOREIGN SURPLUS 
                    COMMODITIES AND MINERALS.

    The Secretary of the Treasury shall instruct the United 
States Executive Directors of the International Bank for 
Reconstruction and Development, the International Development 
Association, the International Finance Corporation, the Inter-
American Development Bank, the International Monetary Fund, the 
Asian Development Bank, the Inter-American Investment 
Corporation, the African Development Bank, and the African 
Development Fund to use the voice and vote of the United States 
to oppose any assistance by such institutions, using funds 
appropriated or otherwise made available pursuant to any 
provision of law, for the production or extraction of any 
commodity or mineral for export, if--
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    \1\ 22 U.S.C. 262h. Similar language was enacted as sec. 514 of the 
Foreign Operations, Export Financing, and Related Programs 
Appropriations Act, 1997 (sec. 101(c) of title I of Public Law 104-208; 
110 Stat. 3009); sec. 514 (111 Stat. 2409) of the Foreign Operations, 
Export Financing, and Related Programs Appropriations Act, 1998 (Public 
Law 105-118, 111 Stat. 2409); sec. 514 of the Foreign Operations, 
Export Financing, and Related Programs Appropriations Act, 1999 (112 
Stat. 2681-173, sec. 101(d) of Public Law 105-277); sec. 514 of the 
Foreign Operations, Export Financing, and Related Programs 
Appropriations Act, 2000 (113 Stat. 1501A-85, Appendix B of Public Law 
106-113); and sec. 514 of the Foreign Operations, Export Financing, and 
Related Programs Appropriations Act, 2001 (114 Stat. 1900A-25, sec. 
101(a) of Public Law 106-429). For text, see Legislation on Foreign 
Relations Through 2002, vol. I-A.
      
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          (1) such commodity or mineral, as the case may be, is 
        in surplus on world markets; and
          (2) the export of such commodity or mineral, as the 
        case may be, would cause substantial injury to the 
        United States producers of the same, similar, or 
        competing commodity or mineral.
               b. National Critical Materials Act of 1984

Title II of Public Law 98-373 [S. 373], 98 Stat. 1242 at 1248, approved 
  July 31, 1984, as amended by Public Law 100-418 [Omnibus Trade and 
   Competitiveness Act of 1988; H.R. 4848], 102 Stat. 1107, approved 
                            August 23, 1988

  AN ACT To provide for a comprehensive national policy dealing with 
 national research needs and objectives in the Arctic, for a National 
    Critical Materials Council, for development of a continuing and 
comprehensive national materials policy for programs necessary to carry 
   out that policy, including Federal programs of advanced materials 
    research and technology, and the innovation in basic materials 
                  industries, and for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,
          * * * * * * *

           TITLE II--NATIONAL CRITICAL MATERIALS ACT OF 1984

                              SHORT TITLE

    Sec. 201.\1\ This title may be cited as the ``National 
Critical Materials Act of 1984''.
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    \1\ 30 U.S.C. 1801 note.
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                         FINDINGS AND PURPOSES

    Sec. 202.\2\ (a) The Congress finds that--
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    \2\ 30 U.S.C. 1801.
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          (1) the availability of adequate supplies of 
        strategic and critical industrial minerals and 
        materials continues to be essential for national 
        security, economic well-being, and industrial 
        production;
          (2) the United States is increasingly dependent on 
        foreign sources of materials and vulnerable to supply 
        interruption in the case of many of those minerals and 
        materials essential to the Nation's defense and 
        economic well-being;
          (3) together with increasing import dependence, the 
        Nation's industrial base, including the capacity to 
        process minerals and materials, is deteriorating--both 
        in terms of facilities and in terms of a trained labor 
        force;
          (4) research, development, and technological 
        innovation, especially related to improved materials 
        and new processing technologies, are important factors 
        which affect our long-term capability for economic 
        competitiveness, as well as for adjustment to 
        interruptions in supply of critical minerals and 
        material;
          (5) while other nations have developed and 
        implemented specific long-term research and technology 
        programs to develop high-performance materials, no such 
        policy and program evolution has occurred in the United 
        States;
          (6) establishing critical materials reserves, by both 
        the public and private sectors and with proper 
        organization and management, represents one means of 
        responding to the genuine risks to our economy and 
        national defense from dependency on foreign sources;
          (7) there exists no single Federal entity with the 
        authority and responsibility for establishing critical 
        materials policy and for coordinating and implementing 
        that policy; and
          (8) the importance of materials to national goals 
        requires an organizational means for establishing 
        responsibilities for materials programs and for the 
        coordination, within and at a suitable high level of 
        the Executive Office of the President, with other 
        existing policies within the Federal Government.
    (b) It is the purpose of this title--
          (1) to establish a National Critical Materials 
        Council under and reporting to the Executive Office of 
        the President which shall--
                  (A) establish responsibilities for and 
                provide for necessary coordination of critical 
                materials policies, including all facets of 
                research and technology, among the various 
                agencies and departments of the Federal 
                Government, and make recommendations for the 
                implementation of such policies;
                  (B) bring to the attention of the President, 
                the Congress, and the general public such 
                material issues and concerns, including 
                research and development, as are deemed 
                critical to the economic and strategic health 
                of the Nation; and
                  (C) ensure adequate and continuing 
                consultation with the private sector concerning 
                critical materials, materials research and 
                development, use of materials, Federal 
                materials policies, and related matters;
          (2) to establish a national Federal program for 
        advanced materials research and technology, including 
        basic phenomena through processing and manufacturing 
        technology; and
          (3) to stimulate innovation and technology 
        utilization in basic as well as advanced materials 
        industries.

        ESTABLISHMENT OF THE NATIONAL CRITICAL MATERIALS COUNCIL

    Sec. 203.\3\ There is hereby established a National 
Critical Materials Council (hereinafter referred to as the 
``Council'') under and reporting to the Executive Office of the 
President. The Council shall be composed of three members \4\ 
who shall be appointed by the President and who shall serve at 
the pleasure of the President. Members so appointed who are not 
already Senate-confirmed officers of the Government shall be 
appointed by and with the advice and consent of the Senate. The 
President shall designate one of the members to serve as 
Chairman. Each member shall be a person who, as a result of 
training, experience, and achievement, is qualified to carry 
out the duties and functions of the Council, with particular 
emphasis placed on fields relating to materials policy or 
materials science and engineering. In addition, at least one of 
the members shall have a background in and understanding of 
environmentally related issues.
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    \3\ 30 U.S.C. 1802.
    \4\ Sec. 5182 of Public Law 100-418 (Omnibus Trade and 
Competitiveness Act of 1988; 102 Stat. 1454) contained the following 
provisions:
    ``(a) Requirement To Increase Staff.--Not later than 30 days after 
the date of the enactment of this Act, the Executive Director of the 
National Critical Materials Council shall increase the number of 
employees of the Council by the equivalent of 5 full-time employees 
over the number of employees of the Council on the date of the 
enactment of this Act.
    ``(b) Qualifications of Staff.--Not less than the equivalent of 4 
full-time employees appointed pursuant to subsection (a) shall be 
permanent professional employees who have expertise in technical fields 
that are relevant to the responsibilities of the National Critical 
Materials Council, such as materials science and engineering, 
environmental matters, minerals and natural resources, ceramic or 
composite engineering, metallurgy, and geology.''.
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            RESPONSIBILITIES AND AUTHORITIES OF THE COUNCIL

    Sec. 204.\5\ (a) It shall be the primary responsibility of 
the Council--
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    \5\ 30 U.S.C. 1803.
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          (1) to assist and advise the President in 
        establishing coherent national materials policies 
        consistent with other Federal policies, and making 
        recommendations necessary to implement such policies;
          (2) to assist in establishing responsibilities for, 
        and to coordinate, Federal materials-related policies, 
        programs, and research and technology activities, as 
        well as recommending to the Office of Management and 
        Budget budget priorities for materials activities in 
        each of the Federal departments and agencies;
          (3) to review and appraise the various programs and 
        activities of the Federal Government in accordance with 
        the policy and directions given in the National 
        Materials and Minerals Policy, Research and Development 
        Act of 1980 (30 U.S.C. 1601), and to determine the 
        extent to which such programs and activities are 
        contributing to the achievement of such policy and 
        directions;
          (4) to monitor and evaluate the critical materials 
        needs of basic and advanced technology industries and 
        the Government, including the critical materials 
        research and development needs of the private and 
        public sectors;
          (5) to advise the President of mineral and material 
        trends, both domestic and foreign, the implications 
        thereof for the United States and world economies and 
        the national security, and the probable effects of such 
        trends on domestic industries;
          (6) to assess through consultation with the materials 
        academic community, the adequacy and quality of 
        materials-related educational institutions and the 
        supply of materials scientists and engineers;
          (7) to make or furnish such studies, analyses, 
        reports, and recommendations with respect to matters of 
        materials related policy and legislation as the 
        President may request;
          (8)(A) to prepare a report providing a domestic 
        inventory of critical materials with projections on the 
        prospective needs of Government and industry for these 
        materials, including a longrange assessment, prepared 
        in conjunction with the Office of Science and 
        Technology Policy in accordance with the National 
        Materials and Minerals Policy, Research and Development 
        Act of 1980, and in conjunction with such other 
        Government departments or agencies as may be considered 
        necessary, of the prospective major critical materials 
        problems which the United States is likely to confront 
        in the immediate years ahead and providing advice as to 
        how these problems may best be addressed, with the 
        first such report being due on April 1, 1985, and (B) 
        review and update such report and assessment as 
        appropriate and report thereon to the Congress at least 
        biennially; and
          (9) to recommend to the Congress such changes in 
        current policies, activities, and regulations of the 
        Federal Government, and such legislation, as may be 
        considered necessary to carry out the intent of this 
        title and the National Materials and Minerals Policy, 
        Research and Development Act of 1980.
    (b) In carrying out its responsibilities under this section 
the Council shall have the authority--
          (1) to establish such special advisory panels as it 
        considers necessary, with each such panel consisting of 
        representatives of industry, academia, and other 
        members of the private sector, not to exceed ten 
        members, and being limited in scope of subject and 
        duration; and
          (2) to establish and convene such Federal interagency 
        committees as it considers necessary in carrying out 
        the intent of this title.
    (c) In seeking to achieve the goals of this title and 
related Acts, the Council and other Federal departments and 
agencies with responsibilities or jurisdiction related to 
materials or materials policy, including the National Security 
Council, the Council on Environmental Quality, the Office of 
Management and Budget, and the Office of Science and Technology 
Policy, shall work collaboratively and in close cooperation.

   PROGRAM AND POLICY FOR ADVANCED MATERIALS RESEARCH AND TECHNOLOGY

    Sec. 205.\6\ (a) In addition to the responsibilities 
described in section 204, the Council shall be responsible for 
coordination with appropriate agencies and departments of the 
Federal Government relative to Federal materials research and 
development policies and programs. Such policies and programs 
shall be consistent with the policies and goals described in 
the National Materials and Minerals Policy, Research and 
Development Act of 1980. In carrying out this responsibility 
the Council shall--
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    \6\ 30 U.S.C. 1804.
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          (1)(A) establish a national Federal program plan \7\ 
        for advanced materials research and development, 
        recommend the designation of the key responsibilities 
        for carrying out such research, and to provide for 
        coordination of this plan with the Office of Science 
        and Technology Policy, the Office of Management and 
        Budget, and such other Federal offices and agencies as 
        may be deemed appropriate, and (B) annually review such 
        plan and report thereon to the Congress;
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    \7\ Sec. 5181 of Public Law 100-418 (Omnibus Trade and 
Competitiveness Act of 1988; 102 Stat. 1454) contained the following 
stipulation:
    ``The National Critical Materials Council shall prepare the 
national Federal program plan for advanced materials research and 
development under section 205(a)(1)(A) of the National Critical 
Materials Act of 1984 (Public Law 98-373; 98 Stat. 1251) and shall 
submit such plan to Congress not later than 180 days after the date of 
the enactment of this Act. The plan shall be submitted to the Committee 
on Science, Space, and Technology, as well as other appropriate 
committees, of the House of Representatives, and to the Committee on 
Governmental Affairs, as well as other appropriate committees, of the 
Senate.''.
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          (2) review annually the materials research, 
        development, and technology authorization requests and 
        budgets of all Federal agencies and departments; and in 
        this activity the Council shall make recommendations, 
        in cooperation with the Office of Science and 
        Technology Policy, the Office of Management and Budget, 
        and all other Federal offices and agencies deemed 
        appropriate, to ensure close coordination of the goals 
        and directions of such programs with the policies 
        determined by the Council; and
          (3) assist the Office of Science and Technology 
        Policy in the preparation of such long-range materials 
        assessments and reports as may be required by the 
        National Materials and Minerals Policy, Research and 
        Development Act of 1980, and assist other Federal 
        entities in the preparation of analyses and reporting 
        relating to critical and advanced materials.
    (b) The Office of Management and Budget, in reviewing the 
materials research, development, and technology authorization 
requests of the various Federal departments and agencies for 
any fiscal year, and the recommendations of the Council, shall 
consider all of such requests and recommendations as an 
integrated, coherent, multiagency request which shall be 
reviewed by the Office of Management and Budget for its 
adherence to the national Federal materials program plan in 
effect for such fiscal year under subsection (a).

         INNOVATION IN BASIC AND ADVANCED MATERIALS INDUSTRIES

    Sec. 206.\8\ (a)(1) In order to promote the use of more 
cost-effective, advanced technology and other means of 
providing for innovation and increased productivity within the 
basic and advanced materials industries, the Council shall 
evaluate and make recommendations regarding the establishment 
of Centers for Industrial Technology as provided in Public Law 
96-480 (15 U.S.C. 3705).
---------------------------------------------------------------------------
    \8\ 30 U.S.C. 1805.
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    (2) The activities of such Centers shall focus on, but not 
be limited to, the following generic materials areas: 
corrosion; welding and joining of materials; advanced 
processing and fabrication technologies; microfabrication; and 
fracture and fatigue.
    (b) In order to promote better use and innovation of 
materials in design for improved safety or efficiency, the 
Council shall establish in cooperation with the appropriate 
Federal agencies and private industry, an effective mechanism 
for disseminating materials property data in an efficient and 
timely manner. In carrying out this responsibility, the Council 
shall consider, where appropriate, the establishment of a 
computerized system taking into account, to the maximum extent 
practicable, existing available resources.

               COMPENSATION OF MEMBERS AND REIMBURSEMENTS

    Sec. 207.\9\ (a) The Chairman of the Council, if not 
otherwise a paid officer or employee of the Federal Government, 
shall be paid at the rate not to exceed the rate of basic pay 
provided for level II of the Executive Schedule. The other 
members of the Council, if not otherwise paid officers or 
employees of the Federal Government, shall be paid at a per 
diem rate comparable to the rate not to exceed the rate of 
basic pay provided for level III of the Executive Schedule.
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    \9\ 30 U.S.C. 1806.
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    (b) Subject to existing law and regulations governing 
conflicts of interest, the Council may accept reimbursement 
from any private nonprofit organization or from any department, 
agency, or instrumentality of the Federal Government, or from 
any State or local government, for reasonable travel expenses 
incurred by any member or employee of the Council in connection 
with such member's or employee's attendance at any conference, 
seminar, or similar meeting.

             POSITION AND AUTHORITIES OF EXECUTIVE DIRECTOR

    Sec. 208.\10\ (a) There shall be an Executive Director 
(hereinafter referred to as the ``Director''), who shall be 
chief administrator of the Council. The Director shall be 
appointed by the Council full time and shall be paid at the 
rate not to exceed the rate of basic pay provided for level III 
of the Executive Schedule.
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    \10\ 30 U.S.C. 1807.
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    (b) The Director is authorized--
          (1) to employ such personnel as may be necessary for 
        the Council to carry out its duties and functions under 
        this title, but not to exceed twelve compensated 
        employees;
          (2) to obtain the services of experts and consultants 
        in accordance with the provisions of section 3109 of 
        title 5, United States Code; and
          (3) to develop, subject to approval by the Council, 
        rules and regulations necessary to carry out the 
        purposes of this title.
    (c) In exercising his responsibilities and duties under 
this title, the Director--
          (1) may consult with representatives of academia, 
        industry, labor, State and local governments, and other 
        groups; and
          (2) shall utilize to the fullest extent possible the 
        services, facilities, and information (including 
        statistical information) of public and private 
        agencies, organizations, and individuals.
    (d) Notwithstanding section 367(b) of the Revised Statutes 
(31 U.S.C. 665(b)), the Council may utilize voluntary and 
uncompensated labor and services in carrying out its duties and 
functions.

              RESPONSIBILITIES AND DUTIES OF THE DIRECTOR

    Sec. 209.\11\ In carrying out his functions the Director 
shall assist and advise the Council on policies and programs of 
the Federal Government affecting critical and advanced 
materials by--
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    \11\ 30 U.S.C. 1808.
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          (1) providing the professional and administrative 
        staff and support for the Council;
          (2) assisting the Federal agencies and departments in 
        appraising the effectiveness of existing and proposed 
        facilities, programs, policies, and activities of the 
        Federal Government, including research and development, 
        which affect critical materials availability and needs;
          (3) cataloging, as fully as possible, research and 
        development activities of the Government, private 
        industry, and public and private institutions; and
          (4) initiating Government and private studies and 
        analyses, including those to be conducted by or under 
        the auspices of the Council, designed to advance 
        knowledge of critical or advanced materials issues and 
        develop alternative proposals, including research and 
        development, to resolve national critical materials 
        problems.

                               AUTHORITY

    Sec. 210.\12\ The Council is authorized--
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    \12\ 30 U.S.C. 1809.
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          (1) to establish such internal rules and regulations 
        as may be necessary for its operation;
          (2) to enter into contracts and acquire materials and 
        supplies necessary for its operation to such extent or 
        in such amounts as are provided for in appropriation 
        Acts;
          (3) to publish, consistent with title 44 of the 
        United States Code, or arrange to publish critical 
        materials information that it deems to be useful to the 
        public and private industry to the extent that such 
        publication is consistent with the national defense and 
        economic interest;
          (4) to utilize such services or personnel as may be 
        provided to the Council on a nonreimbursable \13\ basis 
        by any agency of the United States; and
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    \13\ Sec. 5183 of Public Law 100-418 (102 Stat. 1454) substituted 
``nonreimbursable'' in lieu of ``reimbursable''.
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          (5) to exercise such authorities as may be necessary 
        and incidental to carrying out its responsibilities and 
        duties under this title.

                    AUTHORIZATION OF APPROPRIATIONS

    Sec. 211.\14\ There are hereby authorized to be 
appropriated to carry out the provisions of this title a sum 
not to exceed $500,000 for the fiscal year ending September 30, 
1985, and such sums as may be necessary thereafter: Provided, 
That the authority provided for in this title shall expire on 
September 30, 1992,\15\ unless otherwise authorized by 
Congress.
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    \14\ 30 U.S.C. 1810.
    \15\ Sec. 5184 of Public Law 100-418 (102 Stat. 1454) substituted 
``1992'' in lieu of ``1990''.
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                               DEFINITION

    Sec. 212. As used in this title, the term ``materials'' has 
the meaning given it by section 2(b) of the National Materials 
and Minerals Policy, Research and Development Act of 1980.\16\
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    \16\ Sec. 2(b) of such Act reads as follows:
    ``(b) As used in this Act, the term materials means substances, 
including minerals, of current or potential use that will be needed to 
supply the industrial, military, and essential civilian needs of the 
United States in the production of goods or services, including those 
which are primarily imported or for which there is a prospect of 
shortages or uncertain supply, or which present opportunities in terms 
of new physical properties, use, recycling, disposal or substitution, 
with the exclusion of food and energy fuels used as such.''.
             c. International Coffee Agreement Act of 1980

  Public Law 96-599 [H.R. 3637], 94 Stat. 3491, approved December 24, 
1980, as amended by Public Law 97-276 [Continuing Appropriations, 1983; 
  H.J. Res. 599], 96 Stat. 1186 at 1204, approved October 2, 1982; by 
Public Law 97-446 [H.R. 4566], 96 Stat. 2329 at 2345, approved January 
  12, 1983; by Public Law 98-120 [H.R. 3813], 97 Stat. 809, approved 
    October 12, 1983; and by Public Law 100-418 [Omnibus Trade and 
   Competitiveness Act of 1988; H.R. 4848], 102 Stat. 1107, approved 
                            August 23, 1988

  AN ACT To carry out the obligations of the United States under the 
International Coffee Agreement 1976, signed at New York on February 27, 
1976, and entered into force for the United States on October 1, 1976, 
                        and for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,
    Section 1. This Act may be cited as the ``International 
Coffee Agreement Act of 1980''.\1\
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    \1\ 19 U.S.C. 1356k.
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   IMPORTATION OF COFFEE UNDER INTERNATIONAL COFFEE AGREEMENT 1976; 
                     PRESIDENTIAL POWERS AND DUTIES

    Sec. 2. On and after the entry into force of the 
International Coffee Agreement 1983,\2\ and before October 1, 
1989,\3\ as the agreement remains in effect, the President is 
authorized, in order to carry out and enforce the provisions of 
that agreement--
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    \2\ Sec. 1 of Public Law 98-120 (97 Stat. 809) inserted the 
reference to 1983 in lieu of a reference to 1976.
    \3\ Sec. 1123(a) of Public Law 100-418 (Omnibus Trade and 
Competitiveness Act of 1988; 102 Stat. 1146) extended this date to 
1989. Previously, sec. 1(2) of Public Law 98-120 (97 Stat. 809) had 
inserted the phrase ``before October 1, 1986'' in lieu of the phrase 
``for such period prior to October 1, 1983''. Other extensions had been 
made by sec. 154 of Public Law 97-446 (96 Stat. 2345) which extended 
the date until Oct. 1, 1983; and prior to that, by sec. 161 of the 
Continuing Appropriations Act, 1983 (Public Law 97-276; 96 Stat. 1204), 
which extended the date from Oct. 1, 1982, until ``the expiration of 
this joint resolution'' (Dec. 17, 1982).
    Sec. 1123(b) of Public Law 100-418 further stated that the 
amendment made by subsec. (a) shall take effect on January 1, 1987.
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          (1) to regulate the entry of coffee for consumption, 
        or withdrawal of coffee from warehouse for consumption, 
        or any other form of entry or withdrawal of coffee such 
        as for transportation or exportation, including 
        whenever quotas are in effect pursuant to the 
        agreement, (A) the limitation of entry, or withdrawal 
        from warehouse, of coffee imported from countries which 
        are not members of the International Coffee 
        Organization, and (B) the prohibition of entry of any 
        shipment from any member of the International Coffee 
        Organization of coffee which is not accompanied either 
        by a valid certificate of origin, a valid certificate 
        of reexport, a valid certificate of reshipment, or a 
        valid certificate of transit, issued by a qualified 
        agency in such form as required under the agreement.
          (2) to require that every export or reexport of 
        coffee from the United States shall be accompanied by a 
        valid certificate of origin or a valid certificate of 
        reexport, issued by a qualified agency of the United 
        States designated by him, in such form as required 
        under the agreement;
          (3) to require the keeping of such records, 
        statistics, and other information, and the rendering of 
        such reports, relating to the importation, 
        distribution, prices, and consumption of coffee as he 
        may from time to time prescribe; and
          (4) to take such other action, and issue and enforce 
        such rules and regulations, as he may consider 
        necessary or appropriate in order to implement the 
        obligations of the United States under the agreement.

                          DEFINITION OF COFFEE

    Sec. 3. As used in this Act, the term ``coffee'' means 
coffee as defined in article 3 of the International Coffee 
Agreement 1983.\2\

 DELEGATION OF PRESIDENTIAL POWERS AND DUTIES; PROTECTION OF INTERESTS 
              OF UNITED STATES CONSUMERS; REMEDIAL ACTION

    Sec. 4. The President may exercise any powers and duties 
conferred on him by sections 2 through 5 of this Act through 
such agency or officer as he shall direct. The powers and 
duties conferred by section 2 through 5 of this Act shall be 
exercised in the manner the President considers appropriate to 
protect the interest of United States consumers. In the event 
the President determines that there has been an unwarranted 
increase in the price of coffee due in whole or in part to the 
International Coffee Agreement, or to market manipulation by 
two or more members of the International Coffee Organization, 
the President shall request the International Coffee Council or 
the Executive Board to increase supplies of coffee available to 
world markets by suspending coffee export quotas and to take 
any other appropriate action. At the same time he shall report 
his determination to the Congress. In the event the 
International Coffee Council has failed to take corrective 
action to remedy the situation within a reasonable time after 
such request the President shall submit to the Congress such 
recommendations as he may consider appropriate to correct the 
situation. In the event that members of the International 
Coffee Organization involved in market manipulation which has 
resulted in price increases have failed to remedy the situation 
within a reasonable time after a request for remedy, the 
exercise of the authority set forth in section 2 of this Act 
shall be suspended until the President determines that 
effective market manipulation activities have ceased.

                         REPORT TO THE CONGRESS

    Sec. 5. The President shall submit to the Congress an 
annual report on the International Coffee Agreement 1983.\2\ 
Such report shall contain full information on the operation of 
such agreement, including full information with respect to the 
general level of prices of coffee and matters pertaining to the 
transportation of coffee from exporting countries to the United 
States. The report shall also include a summary of the actions 
the United States and the International Coffee Organization 
have taken to protect the interest of United States consumers.
 d. International Natural Rubber Agreement Appropriation Authorization

   Public Law 96-271 [S. 2666], 94 Stat. 499, approved June 16, 1980

AN ACT To authorize appropriations for the International Natural Rubber 
                    Agreement for fiscal year 1981.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled, That in 
order to meet the obligations of the United States as a member 
of the International Natural Rubber Organization established by 
the International Natural Rubber Agreement, there is authorized 
to be appropriated for the fiscal year 1981 $88,000,000 for the 
payment of contributions by the United States to the buffer 
stock account established by the agreement. Funds appropriated 
under this Act are authorized to remain available during the 
period in which the International Natural Rubber Agreement 
remains in effect with respect to the United States.

         e. International Sugar Agreement, 1977, Implementation

 Public Law 96-236 [H.R. 6029], 94 Stat. 336, approved April 22, 1980, 
  as amended by Public Law 97-446 [H.R. 4566], 96 Stat. 2329 at 2344, 
                       approved January 12, 1983

  AN ACT Providing for the implementation of the International Sugar 
                Agreement, 1977, and for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

SECTION 1.\1\ DEFINITIONS.

    For purposes of this Act--
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    \1\ 7 U.S.C. 3601. Executive Order 12224 (July 1, 1980, 45 F.R. 
45243) delegated functions vested in the President by this Act to the 
United States Trade Representative, in consultation with the Secretary 
of Agriculture and the Secretary of State.
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          (1) The term ``Agreement'' means the International 
        Sugar Agreement, 1977, signed at New York City on 
        December 9, 1977.
          (2) The term ``sugar'' has the same meaning as is 
        given to such term in paragraph (12) of Article 2 of 
        the Agreement.
          (3) The term ``entry'' means entry, or withdrawal 
        from warehouse, for consumption in the customs 
        territory of the United States.

SEC. 2.\2\ IMPLEMENTATION OF AGREEMENT.

    On and after the entering into force of the Agreement with 
respect to the United States, and for such period before 
January 1, 1985,\3\ as the Agreement remains in force, the 
President may, in order to carry out and enforce the provisions 
of the Agreement--
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    \2\ 7 U.S.C. 3602.
    \3\ Sec. 153 of Public Law 97-446 (96 Stat. 2344) extended this 
date from Jan. 1, 1983, to Jan. 1, 1985.
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          (1) regulate the entry of sugar by appropriate means, 
        including, but not limited to--
                  (A) the imposition of limitations on the 
                entry of sugar which is the product of foreign 
                countries, territories, or areas not members of 
                the International Sugar Organization, and
                  (B) the prohibition of the entry of any 
                shipment or quantity of sugar not accompanied 
                by a valid certificate of contribution or such 
                other documentation as may be required under 
                the Agreement;
          (2) require of appropriate persons the keeping of 
        such records, statistics, and other information, and 
        the submission of such reports, relating to the entry, 
        distribution, prices, and consumption of sugar and 
        alternative sweeteners as he may from time to time 
        prescribe; and
          (3) take such other action, and issue and enforce 
        such rules or regulations, as he may consider necessary 
        or appropriate in order to implement the rights and 
        obligations of the United States under the Agreement.

SEC. 3.\4\ DELEGATION OF POWERS AND DUTIES.

    The President may exercise any power or duty conferred on 
him by this Act through such agencies or offices of the United 
States as he shall designate. Such agencies or offices shall 
issue such regulations as they determine are necessary to 
implement this Act.
---------------------------------------------------------------------------
    \4\ 7 U.S.C. 3603.
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SEC. 4.\5\ CRIMINAL OFFENSES.

    Any person who--
---------------------------------------------------------------------------
    \5\ 7 U.S.C. 3604.
---------------------------------------------------------------------------
          (1) knowingly fails to keep any information, or to 
        submit any report, required under section 2;
          (2) submits any report under section 2 knowing that 
        the report or any part thereof is false; or
          (3) knowingly violates any rule or regulation issued 
        to carry out this Act;
is guilty of an offense and upon conviction thereof is 
punishable by a fine of not more than $1,000.
---------------------------------------------------------------------------
    \6\ 7 U.S.C. 3605. This section was repealed by sec. 2219(a)(5) of 
Public Law 105-277 (112 Stat 2681-817). The section previously read as 
follows:
---------------------------------------------------------------------------

``sec. 5. report to congress
---------------------------------------------------------------------------
    ``The President shall submit to Congress, on or before May 1 and 
November 1 of each year, a report on the operation and effect of the 
agreement during the immediately preceding six-month period. Unless 
otherwise published on a regular basis by an agency of the United 
States, the report shall contain, but not be limited to--
---------------------------------------------------------------------------

          ``(1) information with respect to world and domestic sugar 
        demand, supplies, and prices during the period concerned;
          ``(2) projections with respect to world and domestic sugar 
        demand, supplies, and prices; and
          ``(3) a summary of the international and domestic actions 
        taken during the period concerned under the Agreement and under 
        domestic legislation to protect the interests of United States 
        consumers and producers of sugar.''.
---------------------------------------------------------------------------
    \7\ 7 U.S.C. 3606. Sec. 6 was repealed by sec. 101(g) of the 
Federal Reports Elimination Act of 1998 (Public Law 105-362, 112 Stat. 
3281). The section previously read as follows:
---------------------------------------------------------------------------

``SEC. 6. PROTECTION OF INTERESTS OF UNITED STATES CONSUMERS.
---------------------------------------------------------------------------
    ``The powers and duties conferred by sections 2 and 3 shall be 
exercised in the manner the President considers appropriate to protect 
the interests of United States consumers. If the President determines 
that there has been an unwarranted increase in the price of sugar due 
in whole or in part to the Agreement, or to market manipulation by two 
or more members of the International Sugar Organization, the President 
shall request the International Sugar Council or the Executive 
Committee to increase supplies of sugar available to world markets by 
suspending sugar export quotas or to take any other appropriate action, 
and, at the same time, shall report that determination to the Congress. 
If the International Sugar Council fails to take corrective action to 
remedy the situation within a reasonable time after such request, the 
President shall submit to the Congress such recommendations as he may 
consider appropriate to correct the situation. In the event that 
members of the International Sugar Organization involved in market 
manipulation which has resulted in price increases have failed to 
remedy the situation within a reasonable time after a request for 
remedy, the exercise of the authority set forth in section 2 shall be 
suspended until the President determines that effective market 
manipulation activities have ceased.''.
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SEC. 5.\6\ * * * [Repealed--1998]

SEC. 6.\7\ * * * [Repealed--1998]
 f. Strategic and Critical Materials Transaction Authorization Act of 
                                  1979

Public Law 96-175 [H.R. 595], 93 Stat. 1289, approved December 29, 1979

AN ACT To authorize certain transactions involving the acquisition and 
 disposal of strategic and critical materials for the National Defense 
                               Stockpile.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled, That this 
Act may be cited as the ``Strategic and Critical Materials 
Transaction Authorization Act of 1979''.
    Sec. 2. There is authorized to be appropriated the sum of 
$237,000,000 for the acquisition of strategic and critical 
materials under section 6(a) of the Strategic and Critical 
Materials Stock Piling Act (50 U.S.C. 98e). Before any 
acquisition using funds appropriated under the authorization of 
this section may be carried out, a list of the materials to be 
acquired shall be submitted to the Committees on Armed Services 
of the Senate and House of Representatives, and such 
acquisition may not then be carried out until the end of the 
60-day period beginning on the date such list is received by 
such committees.
    Sec. 3. The President is hereby authorized to dispose of 
materials determined to be excess to the current requirements 
of the National Defense Stockpile in the following quantities:
          (1) 35,000 long tons of tin.
          (2) 3,000,000 carats of industrial diamond stones.
          (3) 5,000,000 troy ounces of silver.
    Sec. 4. Any acquisition using funds appropriated under the 
authorization of section 2, and any disposal under the 
authority of section 3, shall be carried out in accordance with 
the provisions of the Strategic and Critical Materials Stock 
Piling Act (50 U.S.C. 98 et seq.).
    Sec. 5. The President, on behalf of the United States,\1\ 
is authorized to contribute (from the amount of tin authorized 
to be disposed of under section 3(1)) up to 5,000 long tons of 
tin to the Tin Buffer Stock established under the Fifth 
International Tin Agreement. Upon the termination of such 
agreement in 1981, all proceeds generated from such 
contribution shall be remitted to the National Defense 
Stockpile Transaction Fund established by section 9 of the 
Strategic and Critical Materials Stock Piling Act (50 U.S.C. 
98h).
---------------------------------------------------------------------------
    \1\ The functions vested in the President by sec. 5 were delegated 
to the United States Trade Representative pursuant to Executive Order 
12263 (Jan. 8, 1981; 46 F.R. 2315). Executive Order 12263 was 
subsequently revoked by Executive Order 12553 (Feb. 25, 1986; 51 F.R. 
7237).
                     10. Foreign Corrupt Practices

                a. Foreign Corrupt Practices Act of 1977

  Partial text of Public Law 95-213 [S. 305], 91 Stat. 1494, approved 
December 19, 1977, as amended by Public Law 100-418 [Omnibus Trade and 
   Competitiveness Act of 1988; H.R. 4848], 102 Stat. 1107, approved 
  August 23, 1988; Public Law 103-322 [Violent Crime Control and Law 
Enforcement Act of 1994; H.R. 3355], 108 Stat. 1796, approved September 
     13, 1994; Public Law 105-366 [International Bribery and Fair 
 Competition Act of 1998; S. 2375], 112 Stat. 3302, approved November 
                                10, 1998

AN ACT To amend the Securities Exchange Act of 1934 to make it unlawful 
 for an issuer of securities registered pursuant to section 12 of such 
Act or an issuer required to file reports pursuant to section 15(d) of 
   such Act to make certain payments to foreign officials and other 
foreign persons, to require such issuers to maintain accurate records, 
                        and for other purposes.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

                   TITLE I--FOREIGN CORRUPT PRACTICES

                              short title

    Sec. 101.\1\ This title may be cited as the ``Foreign 
Corrupt Practices Act of 1977''.
---------------------------------------------------------------------------
    \1\ 15 U.S.C. 78a note.
---------------------------------------------------------------------------
          * * * * * * *

        PROHIBITED FOREIGN TRADE PRACTICES BY DOMESTIC CONCERNS

  Sec. 104.\2\ (a) Prohibition.--It shall be unlawful for any 
domestic concern, other than an issuer which is subject to 
section 30A of the Securities Exchange Act of 1934, or for any 
officer, director, employee, or agent of such domestic concern 
or any stockholder thereof acting on behalf of such domestic 
concern, to make use of the mails or any means or 
instrumentality of interstate commerce corruptly in furtherance 
of an offer, payment, promise to pay, or authorization of the 
payment of any money, or offer, gift, promise to give, or 
authorization of the giving of anything of value to--
---------------------------------------------------------------------------
    \2\ 15 U.S.C. 78dd-2. Sec. 104 was amended and restated by sec. 
5003(c) of Public Law 100-418 (Omnibus Trade and Competitiveness Act of 
1988; 102 Stat. 1419).
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          (1) any foreign official for purposes of--
                  (A) \3\ (i) influencing any act or decision 
                of such foreign official in his official 
                capacity, or (ii) inducing such foreign 
                official to do or omit to do any act in 
                violation of the lawful duty of such official, 
                or (iii) securing any improper advantage; or
---------------------------------------------------------------------------
    \3\ Sec. 3(a)(1) of Public Law 105-366 (112 Stat. 3304) amended and 
restated para. (A) and added subclause (iii).
---------------------------------------------------------------------------
                  (B) inducing such foreign official to use his 
                influence with a foreign government or 
                instrumentality thereof to affect or influence 
                any act or decision of such government or 
                instrumentality,
        in order to assist such domestic concern in obtaining 
        or retaining business for or with, or directing 
        business to, any person;
          (2) any foreign political party or official thereof 
        or any candidate for foreign political office for 
        purposes of--
                  (A) \4\ (i) influencing any act or decision 
                of such party, official, or candidate in its or 
                his official capacity, or (ii) inducing such 
                party, official, or candidate to do or omit to 
                do an act in violation of the lawful duty of 
                such party, official, or candidate, or (iii) 
                securing any improper advantage; or
---------------------------------------------------------------------------
    \4\ Sec. 3(a)(2) of Public Law 105-366 (112 Stat. 3304) amended and 
restated para. (A) and added subclause (iii).
---------------------------------------------------------------------------
                  (B) inducing such party, official, or 
                candidate to use its or his influence with a 
                foreign government or instrumentality thereof 
                to affect or influence any act or decision of 
                such government or instrumentality,
        in order to assist such domestic concern in obtaining 
        or retaining business for or with, or directing 
        business to, any person; or
          (3) any person, while knowing that all or a portion 
        of such money or thing of value will be offered, given, 
        or promised, directly or indirectly, to any foreign 
        official, to any foreign political party or official 
        thereof, or to any candidate for foreign political 
        office, for purposes of--
                  (A)\5\ (i) influencing any act or decision of 
                such foreign official, political party, party 
                official, or candidate in his or its official 
                capacity, or (ii) inducing such foreign 
                official, political party, party official, or 
                candidate to do or omit to do any act in 
                violation of the lawful duty of such foreign 
                official, political party, party official, or 
                candidate, or (iii) securing any improper 
                advantage; or
---------------------------------------------------------------------------
    \5\ Sec. 3(a)(3) of Public Law 105-366 (112 Stat. 3304) amended and 
restated para. (A) and added subclause (iii).
---------------------------------------------------------------------------
                  (B) inducing such foreign official, political 
                party, party official, or candidate to use his 
                or its influence with a foreign government or 
                instrumentality thereof to affect or influence 
                any act or decision of such government or 
                instrumentality,
        in order to assist such domestic concern \6\ in 
        obtaining or retaining business for or with, or 
        directing business to, any person.
---------------------------------------------------------------------------
    \6\ Sec. 330005 of Public Law 103-322 (108 Stat. 2142) struck out 
``issuer'' and inserted in lieu thereof ``domestic concern''.
---------------------------------------------------------------------------
  (b) Exception for Routine Governmental Action.--Subsection 
(a) and (i) \7\ shall not apply to any facilitating or 
expediting payment to a foreign official, political party, or 
party official the purpose of which is to expedite or to secure 
the performance of a routine governmental action by a foreign 
official, political party, or party official.
---------------------------------------------------------------------------
    \7\ Sec. 3(d)(2) of Public Law 105-366 (112 Stat. 3305) struck out 
``Subsection (a)'' and inserted in lieu thereof ``Subsections (a) and 
(i)''.
---------------------------------------------------------------------------
  (c) Affirmative Defenses.--It shall be an affirmative defense 
to actions under subsections (a) and (i) \8\ that--
---------------------------------------------------------------------------
    \8\ Sec. 3(d)(3) of Public Law 105-366 (112 Stat. 3305) struck out 
``subsection (a)'' and inserted in lieu thereof ``subsections (a) and 
(i)''.
---------------------------------------------------------------------------
          (1) the payment, gift, offer, or promise of anything 
        of value that was made, was lawful under the written 
        laws and regulations of the foreign official's, 
        political party's, party official's, or candidate's 
        country; or
          (2) the payment, gift, offer, or promise of anything 
        of value that was made, was a reasonable and bona fide 
        expenditure, such as travel and lodging expenses, 
        incurred by or on behalf of a foreign official, party, 
        party official, or candidate and was directly related 
        to--
                  (A) the promotion, demonstration, or 
                explanation of products or services; or
                  (B) the execution or performance of a 
                contract with a foreign government or agency 
                thereof.
  (d) Injunctive Relief.--(1) When it appears to the Attorney 
General that any domestic concern to which this section 
applies, or officer, director, employee, agent, or stockholder 
thereof, is engaged, or about to engage, in any act or practice 
constituting a violation of subsections (a) and (i) \9\ of this 
section, the Attorney General may, in his discretion, bring a 
civil action in an appropriate district court of the United 
States to enjoin such act or practice, and upon a proper 
showing, a permanent injunction or a temporary restraining 
order shall be granted without bond.
---------------------------------------------------------------------------
    \9\ Sec. 3(d)(4) of Public Law 105-366 (112 Stat. 3305) struck out 
``subsection (a)'' and inserted in lieu thereof ``subsections (a) and 
(i)''.
---------------------------------------------------------------------------
  (2) For the purpose of any civil investigation which, in the 
opinion of the Attorney General, is necessary and proper to 
enforce this section, the Attorney General or his designee are 
empowered to administer oaths and affirmations, subpoena 
witnesses, take evidence, and require the production of any 
books, papers, or other documents which the Attorney General 
deems relevant or material to such investigation. The 
attendance of witnesses and the production of documentary 
evidence may be required from any place in the United States, 
or any territory, possession, or commonwealth of the United 
States, at any designated place of hearing.
  (3) In case of contumacy by, or refusal to obey a subpoena 
issued to, any person, the Attorney General may invoke the aid 
of any court of the United States within the jurisdiction of 
which such investigation or proceeding is carried on, or where 
such person resides or carries on business, in requiring the 
attendance and testimony of witnesses and the production of 
books, papers, or other documents. Any such court may issue an 
order requiring such person to appear before the Attorney 
General or his designee, there to produce records, if so 
ordered, or to give testimony touching the matter under 
investigation. Any failure to obey such order of the court may 
be punished by such court as a contempt thereof. All process in 
any such case may be served in the judicial district in which 
such person resides or may be found. The Attorney General may 
make such rules relating to civil investigations as may be 
necessary or appropriate to implement the provisions of this 
subsection.
  (e) Guidelines by the Attorney General.--Not later than 6 
months after the date of the enactment of the Foreign Corrupt 
Practices Act Amendments of 1988, the Attorney General, after 
consultation with the Securities and Exchange Commission, the 
Secretary of Commerce, the United States Trade Representative, 
the Secretary of State, and the Secretary of the Treasury, and 
after obtaining the views of all interested persons through 
public notice and comment procedures, shall determine to what 
extent compliance with this section would be enhanced and the 
business community would be assisted by further clarification 
of the preceding provisions of this section and may, based on 
such determination and to the extent necessary and appropriate, 
issue--
          (1) guidelines describing specific types of conduct, 
        associated with common types of export sales 
        arrangements and business contracts, which for purposes 
        of the Department of Justice's present enforcement 
        policy, the Attorney General determines would be in 
        conformance with the preceding provisions of this 
        section; and
          (2) general precautionary procedures which domestic 
        concerns may use on a voluntary basis to conform their 
        conduct to the Department of Justice's present 
        enforcement policy regarding the preceding provisions 
        of this section.
The Attorney General shall issue the guidelines and procedures 
referred to in the preceding sentence in accordance with the 
provisions of subchapter II of chapter 5 of title 5, United 
States Code, and those guidelines and procedures shall be 
subject to the provisions of chapter 7 of that title.
  (f) Opinions of the Attorney General.--(1) The Attorney 
General, after consultation with appropriate departments and 
agencies of the United States and after obtaining the views of 
all interested persons through public notice and comment 
procedures, shall establish a procedure to provide responses to 
specific inquiries by domestic concerns concerning conformance 
of their conduct with the Department of Justice's present 
enforcement policy regarding the preceding provisions of this 
section. The Attorney General shall, within 30 days after 
receiving such a request, issue an opinion in response to that 
request. The opinion shall state whether or not certain 
specified prospective conduct would, for purposes of the 
Department of Justice's present enforcement policy, violate the 
preceding provisions of this section. Additional requests for 
opinions may be filed with the Attorney General regarding other 
specified prospective conduct that is beyond the scope of 
conduct specified in previous requests. In any action brought 
under the applicable provisions of this section, there shall be 
a rebuttable presumption that conduct, which is specified in a 
request by a domestic concern and for which the Attorney 
General has issued an opinion that such conduct is in 
conformity with the Department of Justice's present enforcement 
policy, is in compliance with the preceding provisions of this 
section. Such a presumption may be rebutted by a preponderance 
of the evidence. In considering the presumption for purposes of 
this paragraph, a court shall weigh all relevant factors, 
including but not limited to whether the information submitted 
to the Attorney General was accurate and complete and whether 
it was within the scope of the conduct specified in any request 
received by the Attorney General. The Attorney General shall 
establish the procedure required by this paragraph in 
accordance with the provisions of subchapter II of chapter 5 of 
title 5, United States Code, and that procedure shall be 
subject to the provisions of chapter 7 of that title.
  (2) Any document or other material which is provided to, 
received by, or prepared in the Department of Justice or any 
other department or agency of the United States in connection 
with a request by a domestic concern under the procedure 
established under paragraph (1), shall be exempt from 
disclosure under section 552 of title 5, United States Code, 
and shall not, except with the consent of the domestic concern, 
be made publicly available, regardless of whether the Attorney 
General responds to such a request or the domestic concern 
withdraws such request before receiving a response.
  (3) Any domestic concern who has made a request to the 
Attorney General under paragraph (1) may withdraw such request 
prior to the time the Attorney General issues an opinion in 
response to such request. Any request so withdrawn shall have 
no force or effect.
  (4) The Attorney General shall, to the maximum extent 
practicable, provide timely guidance concerning the Department 
of Justice's present enforcement policy with respect to the 
preceding provisions of this section to potential exporters and 
small businesses that are unable to obtain specialized counsel 
on issues pertaining to such provisions. Such guidance shall be 
limited to responses to requests under paragraph (1) concerning 
conformity of specified prospective conduct with the Department 
of Justice's present enforcement policy regarding the preceding 
provisions of this section and general explanations of 
compliance responsibilities and of potential liabilities under 
the preceding provisions of this section.
  (g) Penalties.\10\--(1)(A) Any domestic concern that is not a 
natural person and that violates subsection (a) or (i) shall be 
fined not more than $2,000,000.
---------------------------------------------------------------------------
    \10\ Sec. 3(b)(1) of Public Law 105-366 (112 Stat. 3304) amended 
subsec. (g). The subsection previously read as follows:
    ``(g) Penalties.--(1)(A) Any domestic concern that violates 
subsection (a) of this section shall be fined not more than $2,000,000.
    ``(B) Any domestic concern that violates subsection (a) of this 
section shall be subject to a civil penalty of not more than $10,000 
imposed in an action brought by the Attorney General.''.
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  (B) Any domestic concern that is not a natural person and 
that violates subsection (a) or (i) of this section shall be 
subject to a civil penalty of not more than $10,000 imposed in 
an action brought by the Attorney General.
  (2)(A) \11\ Any natural person that is an officer, director, 
employee, or agent of a domestic concern, or stockholder acting 
on behalf of such domestic concern, who willfully violates 
subsection (a) or (i) shall be fined not more than $100,000, or 
imprisoned not more than 5 years, or both.
---------------------------------------------------------------------------
    \11\ Sec. 3(b)(2) of Public Law 105-366 (112 Stat. 3304) amended 
para. (2). The paragraph previously read as follows:
    ``(2)(A) Any officer or director of a domestic concern, or 
stockholder acting on behalf of such domestic concern, who willfully 
violates subsection (a) shall be fined not more than $100,000, or 
imprisoned not more than 5 years, or both.
    ``(B) Any employee or agent of a domestic concern who is a United 
States citizen, national, or resident or is otherwise subject to the 
jurisdiction of the United States (other than an officer, director, or 
stockholder acting on behalf of such domestic concern), and who 
willfully violates subsection (a), shall be fined not more than 
$100,000, or imprisoned not more than 5 years, or both.
    ``(C) Any officer, director, employee, or agent of a domestic 
concern, or stockholder acting on behalf of such domestic concern, who 
violates subsection (a) shall be subject to a civil penalty of not more 
than $10,000 imposed in an action brought by the Attorney General.''.
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  (B) Any natural person that is an officer, director, 
employee, or agent of a domestic concern, or stockholder acting 
on behalf of such domestic concern, who violates subsection (a) 
or (i) of this section shall be subject to a civil penalty of 
not more than $10,000 imposed in an action brought by the 
Attorney General.
  (3) Whenever a fine is imposed under paragraph (2) upon any 
officer, director, employee, agent, or stockholder of a 
domestic concern, such fine may not be paid, directly or 
indirectly, by such domestic concern.
  (h) Definitions.--For purposes of this section:
          (1) The term ``domestic concern'' means--
                  (A) any individual who is a citizen, 
                national, or resident of the United States; and
                  (B) any corporation, partnership, 
                association, joint-stock company, business 
                trust, unincorporated organization, or sole 
                proprietorship which has its principal place of 
                business in the United States, or which is 
                organized under the laws of a State of the 
                United States or a territory, possession, or 
                commonwealth of the United States.
          (2)(A) \12\ The term ``foreign official'' means any 
        officer or employee of a foreign government or any 
        department, agency, or instrumentality thereof, or of a 
        public international organization, or any person acting 
        in an official capacity for or on behalf of any such 
        government or department, agency, or instrumentality, 
        or for or on behalf of any such public international 
        organization.
---------------------------------------------------------------------------
    \12\ Sec. 3(c) of Public Law 105-366 (112 Stat. 3305) amended para. 
(2), which previously read as follows:
---------------------------------------------------------------------------

          ``(2) The term ``foreign official'' means any officer or 
        employee of a foreign government or any department, agency, or 
        instrumentality thereof, or any person acting in an official 
        capacity for or on behalf of any such government or department, 
        agency, or instrumentality.''.
          (B) For purposes of subparagraph (A), the term 
        ``public international organization'' means
                  (i) an organization that is designated by 
                Executive order pursuant to section 1 of the 
                International Organizations Immunities Act (22 
                U.S.C. 288); or
                  (ii) any other international organization 
                that is designated by the President by 
                Executive order for the purposes of this 
                section, effective as of the date of 
                publication of such order in the Federal 
                Register.
          (3)(A) A person's state of mind is ``knowing'' with 
        respect to conduct, a circumstance, or a result if--
                  (i) such person is aware that such person is 
                engaging in such conduct, that such 
                circumstance exists, or that such result is 
                substantially certain to occur; or
                  (ii) such person has a firm belief that such 
                circumstance exists or that such result is 
                substantially certain to occur.
          (B) When knowledge of the existence of a particular 
        circumstance is required for an offense, such knowledge 
        is established if a person is aware of a high 
        probability of the existence of such circumstance, 
        unless the person actually believes that such 
        circumstance does not exist.
          (4)(A) The term \13\ ``routine governmental action'' 
        means only an action which is ordinarily and commonly 
        performed by a foreign official in--
---------------------------------------------------------------------------
    \13\ Sec. 3(e) of Public Law 105-366 (112 Stat. 3305) struck out 
``For purposes of paragraph (1), the'' and inserted in lieu thereof 
``The''.
---------------------------------------------------------------------------
                  (i) obtaining permits, licenses, or other 
                official documents to qualify a person to do 
                business in a foreign country;
                  (ii) processing governmental papers, such as 
                visas and work orders;
                  (iii) providing police protection, mail pick-
                up and delivery, or scheduling inspections 
                associated with contract performance or 
                inspections related to transit of goods across 
                country;
                  (iv) providing phone service, power and water 
                supply, loading and unloading cargo, or 
                protecting perishable products or commodities 
                from deterioration; or
                  (v) actions of a similar nature.
          (B) The term ``routine governmental action'' does not 
        include any decision by a foreign official whether, or 
        on what terms, to award new business to or to continue 
        business with a particular party, or any action taken 
        by a foreign official involved in the decision-making 
        process to encourage a decision to award new business 
        to or continue business with a particular party.
          (5) The term ``interstate commerce'' means trade, 
        commerce, transportation, or communication among the 
        several States, or between any foreign country and any 
        State or between any State and any place or ship 
        outside thereof, and such term includes the intrastate 
        use of--
                  (A) a telephone or other interstate means of 
                communication, or
                  (B) any other interstate instrumentality.
    (i) Alternative Jurisdiction.\14\--
---------------------------------------------------------------------------
    \14\ Sec. 3(d) of Public Law 105-366 (112 Stat. 3305) added subsec. 
(i).
---------------------------------------------------------------------------
          (1) It shall also be unlawful for any United States 
        person to corruptly do any act outside the United 
        States in furtherance of an offer, payment, promise to 
        pay, or authorization of the payment of any money, or 
        offer, gift, promise to give, or authorization of the 
        giving of anything of value to any of the persons or 
        entities set forth in paragraphs (1), (2), and (3) of 
        subsection (a), for the purposes set forth therein, 
        irrespective of whether such United States person makes 
        use of the mails or any means or instrumentality of 
        interstate commerce in furtherance of such offer, gift, 
        payment, promise, or authorization.
          (2) As used in this subsection, the term ``United 
        States person'' means a national of the United States 
        (as defined in section 101 of the Immigration and 
        Nationality Act (8 U.S.C. 1101)) or any corporation, 
        partnership, association, joint-stock company, business 
        trust, unincorporated organization, or sole 
        proprietorship organized under the laws of the United 
        States or any State, territory, possession, or 
        commonwealth of the United States, or any political 
        subdivision thereof.

SEC. 104A.\15\ PROHIBITED FOREIGN TRADE PRACTICES BY PERSONS OTHER THAN 
                    ISSUERS OR DOMESTIC CONCERNS.
---------------------------------------------------------------------------

    \15\ 15 U.S.C. 78dd-3. Sec. 4 of Public Law 105-366, the 
International Bribery and Fair Competition Act of 1998 (112 Stat. 
3306), inserted sec. 104A.
---------------------------------------------------------------------------
    (a) Prohibition.--It shall be unlawful for any person other 
than an issuer that is subject to section 30A of the Securities 
Exchange Act of 1934 or a domestic concern (as defined in 
section 104 of this Act), or for any officer, director, 
employee, or agent of such person or any stockholder thereof 
acting on behalf of such person, while in the territory of the 
United States, corruptly to make use of the mails or any means 
or instrumentality of interstate commerce or to do any other 
act in furtherance of an offer, payment, promise to pay, or 
authorization of the payment of any money, or offer, gift, 
promise to give, or authorization of the giving of anything of 
value to--
          (1) any foreign official for purposes of--
                  (A)(i) influencing any act or decision of 
                such foreign official in his official capacity, 
                (ii) inducing such foreign official to do or 
                omit to do any act in violation of the lawful 
                duty of such official, or (iii) securing any 
                improper advantage; or
                  (B) inducing such foreign official to use his 
                influence with a foreign government or 
                instrumentality thereof to affect or influence 
                any act or decision of such government or 
                instrumentality, in order to assist such person 
                in obtaining or retaining business for or with, 
                or directing business to, any person;
          (2) any foreign political party or official thereof 
        or any candidate for foreign political office for 
        purposes of--
                  (A)(i) influencing any act or decision of 
                such party, official, or candidate in its or 
                his official capacity, (ii) inducing such 
                party, official, or candidate to do or omit to 
                do an act in violation of the lawful duty of 
                such party, official, or candidate, or (iii) 
                securing any improper advantage; or
                  (B) inducing such party, official, or 
                candidate to use its or his influence with a 
                foreign government or instrumentality thereof 
                to affect or influence any act or decision of 
                such government or instrumentality, in order to 
                assist such person in obtaining or retaining 
                business for or with, or directing business to, 
                any person; or
          (3) any person, while knowing that all or a portion 
        of such money or thing of value will be offered, given, 
        or promised, directly or indirectly, to any foreign 
        official, to any foreign political party or official 
        thereof, or to any candidate for foreign political 
        office, for purposes of--
                  (A)(i) influencing any act or decision of 
                such foreign official, political party, party 
                official, or candidate in his or its official 
                capacity, (ii) inducing such foreign official, 
                political party, party official, or candidate 
                to do or omit to do any act in violation of the 
                lawful duty of such foreign official, political 
                party, party official, or candidate, or (iii) 
                securing any improper advantage; or
                  (B) inducing such foreign official, political 
                party, party official, or candidate to use his 
                or its influence with a foreign government or 
                instrumentality thereof to affect or influence 
                any act or decision of such government or 
                instrumentality in order to assist such person 
                in obtaining or retaining business for or with, 
                or directing business to, any person.
    (b) Exception for Routine Governmental Action.--Subsection 
(a) of this section shall not apply to any facilitating or 
expediting payment to a foreign official, political party, or 
party official the purpose of which is to expedite or to secure 
the performance of a routine governmental action by a foreign 
official, political party, or party official.
    (c) Affirmative Defenses.--It shall be an affirmative 
defense to actions under subsection (a) of this section that--
          (1) the payment, gift, offer, or promise of anything 
        of value that was made, was lawful under the written 
        laws and regulations of the foreign official's, 
        political party's, party official's, or candidate's 
        country; or
          (2) the payment, gift, offer, or promise of anything 
        of value that was made, was a reasonable and bona fide 
        expenditure, such as travel and lodging expenses, 
        incurred by or on behalf of a foreign official, party, 
        party official, or candidate and was directly related 
        to--
                  (A) the promotion, demonstration, or 
                explanation of products or services; or
                  (B) the execution or performance of a 
                contract with a foreign government or agency 
                thereof.
    (d) Injunctive Relief.
          (1) When it appears to the Attorney General that any 
        person to which this section applies, or officer, 
        director, employee, agent, or stockholder thereof, is 
        engaged, or about to engage, in any act or practice 
        constituting a violation of subsection (a) of this 
        section, the Attorney General may, in his discretion, 
        bring a civil action in an appropriate district court 
        of the United States to enjoin such act or practice, 
        and upon a proper showing, a permanent injunction or a 
        temporary restraining order shall be granted without 
        bond.
          (2) For the purpose of any civil investigation which, 
        in the opinion of the Attorney General, is necessary 
        and proper to enforce this section, the Attorney 
        General or his designee are empowered to administer 
        oaths and affirmations, subpoena witnesses, take 
        evidence, and require the production of any books, 
        papers, or other documents which the Attorney General 
        deems relevant or material to such investigation. The 
        attendance of witnesses and the production of 
        documentary evidence may be required from any place in 
        the United States, or any territory, possession, or 
        commonwealth of the United States, at any designated 
        place of hearing.
          (3) In case of contumacy by, or refusal to obey a 
        subpoena issued to, any person, the Attorney General 
        may invoke the aid of any court of the United States 
        within the jurisdiction of which such investigation or 
        proceeding is carried on, or where such person resides 
        or carries on business, in requiring the attendance and 
        testimony of witnesses and the production of books, 
        papers, or other documents. Any such court may issue an 
        order requiring such person to appear before the 
        Attorney General or his designee, there to produce 
        records, if so ordered, or to give testimony touching 
        the matter under investigation. Any failure to obey 
        such order of the court may be punished by such court 
        as a contempt thereof.
          (4) All process in any such case may be served in the 
        judicial district in which such person resides or may 
        be found. The Attorney General may make such rules 
        relating to civil investigations as may be necessary or 
        appropriate to implement the provisions of this 
        subsection.
    (e) Penalties.--
          (1)(A) Any juridical person that violates subsection 
        (a) of this section shall be fined not more than 
        $2,000,000.
          (B) Any juridical person that violates subsection (a) 
        of this section shall be subject to a civil penalty of 
        not more than $10,000 imposed in an action brought by 
        the Attorney General.
          (2)(A) Any natural person who willfully violates 
        subsection (a) of this section shall be fined not more 
        than $100,000 or imprisoned not more than 5 years, or 
        both.
          (B) Any natural person who violates subsection (a) of 
        this section shall be subject to a civil penalty of not 
        more than $10,000 imposed in an action brought by the 
        Attorney General.
          (3) Whenever a fine is imposed under paragraph (2) 
        upon any officer, director, employee, agent, or 
        stockholder of a person, such fine may not be paid, 
        directly or indirectly, by such person.
    (f) Definitions.--For purposes of this section:
          (1) The term ``person'', when referring to an 
        offender, means any natural person other than a 
        national of the United States (as defined in section 
        101 of the Immigration and Nationality Act (8 U.S.C. 
        1101) or any corporation, partnership, association, 
        joint-stock company, business trust, unincorporated 
        organization, or sole proprietorship organized under 
        the law of a foreign nation or a political subdivision 
        thereof.
          (2)(A) The term ``foreign official'' means any 
        officer or employee of a foreign government or any 
        department, agency, or instrumentality thereof, or of a 
        public international organization, or any person acting 
        in an official capacity for or on behalf of any such 
        government or department, agency, or instrumentality, 
        or for or on behalf of any such public international 
        organization.
          (B) For purposes of subparagraph (A), the term 
        ``public international organization'' means--
                  (i) an organization that is designated by 
                Executive order pursuant to section 1 of the 
                International Organizations Immunities Act (22 
                U.S.C. 288); or
                  (ii) any other international organization 
                that is designated by the President by 
                Executive order for the purposes of this 
                section, effective as of the date of 
                publication of such order in the Federal 
                Register.
          (3)(A) A person's state of mind is knowing, with 
        respect to conduct, a circumstance or a result if--
                  (i) such person is aware that such person is 
                engaging in such conduct, that such 
                circumstance exists, or that such result is 
                substantially certain to occur; or
                  (ii) such person has a firm belief that such 
                circumstance exists or that such result is 
                substantially certain to occur.
          (B) When knowledge of the existence of a particular 
        circumstance is required for an offense, such knowledge 
        is established if a person is aware of a high 
        probability of the existence of such circumstance, 
        unless the person actually believes that such 
        circumstance does not exist.
          (4)(A) The term ``routine governmental action'' means 
        only an action which is ordinarily and commonly 
        performed by a foreign official in--
                  (i) obtaining permits, licenses, or other 
                official documents to qualify a person to do 
                business in a foreign country;
                  (ii) processing governmental papers, such as 
                visas and work orders;
                  (iii) providing police protection, mail pick-
                up and delivery, or scheduling inspections 
                associated with contract performance or 
                inspections related to transit of goods across 
                country;
                  (iv) providing phone service, power and water 
                supply, loading and unloading cargo, or 
                protecting perishable products or commodities 
                from deterioration; or
                  (v) actions of a similar nature.
          (B) The term ``routine governmental action'' does not 
        include any decision by a foreign official whether, or 
        on what terms, to award new business to or to continue 
        business with a particular party, or any action taken 
        by a foreign official involved in the decision-making 
        process to encourage a decision to award new business 
        to or continue business with a particular party.
          (5) The term ``interstate commerce'' means trade, 
        commerce, transportation, or communication among the 
        several States, or between any foreign country and any 
        State or between any State and any place or ship 
        outside thereof, and such term includes the intrastate 
        use of--
                  (A) a telephone or other interstate means of 
                communication, or
                  (B) any other interstate instrumentality.
          * * * * * * *
          b. Foreign Corrupt Practices Act Amendments of 1988

   Partial text of Title V of Public Law 100-418 [Omnibus Trade and 
   Competitiveness Act of 1988; H.R. 4848], 102 Stat. 1107 at 1415, 
                        approved August 23, 1988

  AN ACT To enhance the competitiveness of American industry, and for 
                            other purposes.

          * * * * * * *

Subtitle A--Foreign Corrupt Practices Act Amendments; Review of Certain 
                              Acquisitions

            PART I--FOREIGN CORRUPT PRACTICES ACT AMENDMENTS

SEC. 5001. SHORT TITLE.

  This part may be cited as the ``Foreign Corrupt Practices Act 
Amendments of 1988''.
          * * * * * * *

SEC. 5003. FOREIGN CORRUPT PRACTICES ACT AMENDMENTS.

          * * * * * * *
  (d) International Agreement.--
          (1) Negotiations.--It is the sense of the Congress 
        that the President should pursue the negotiation of an 
        international agreement, among the members of the 
        Organization of Economic Cooperation and Development, 
        to govern persons from those countries concerning acts 
        prohibited with respect to issuers and domestic 
        concerns by the amendments made by this section. Such 
        international agreement should include a process by 
        which problems and conflicts associated with such acts 
        could be resolved.
          (2) Report to congress.--(A) Within 1 year after the 
        date of the enactment of this Act, the President shall 
        submit to the Congress a report on--
                  (i) the progress of the negotiations referred 
                to in paragraph (1),
                  (ii) those steps which the executive branch 
                and the Congress should consider taking in the 
                event that these negotiations do not 
                successfully eliminate any competitive 
                disadvantage of United States businesses that 
                results when persons from other countries 
                commit the acts described in paragraph (1); and
                  (iii) possible actions that could be taken to 
                promote cooperation by other countries in 
                international efforts to prevent bribery of 
                foreign officials, candidates, or parties in 
                third countries.
          (B) The President shall include in the report 
        submitted under subparagraph (A)--
                  (i) any legislative recommendations necessary 
                to give the President the authority to take 
                appropriate action to carry out clauses (ii) 
                and (iii) of subparagraph (A);
                  (ii) an analysis of the potential effect on 
                the interests of the United States, including 
                United States national security, when persons 
                from other countries commit the acts described 
                in paragraph (1); and
                  (iii) an assessment of the current and future 
                role of private initiatives in curtailing such 
                acts.

    PART II--REVIEW OF CERTAIN MERGERS, ACQUISITIONS, AND TAKEOVERS

          * * * * * * *
                               Appendix I


          Note.--Appendix I lists Public Laws included in 
        Legislation on Foreign Relations Through 2000, either 
        as freestanding law or in amendments, arranged by 
        Public Law number with corresponding short title or 
        popular name.





------------------------------------------------------------------------
Public Law
    No.                              Short Title
------------------------------------------------------------------------
106-476     Miscellaneous Technical Corrections Act, 2000
106-387     Agriculture, Rural Development, Food and Drug
             Administration, and Related Agencies Appropriations Act,
             2001
106-387     Trade Sanctions Reform and Export Enhancement Act of 2000
             (title IX)
106-387     Continued Dumping and Subsidy Offset of 2000 (title X)
106-286     United States--China Relations Act of 2000
106-200     Trade And Development Act of 2000
106-200     African Growth and Opportunity Act (title I)
106-200     United States--Caribbean Trade Partnership Act (title II)
106-158     Export Enhancement Act of 1999
106-120     Intelligence Authorization Act for Fiscal Year 2000
105-277     Omnibus Consolidated and Emergency Supplemental
             Appropriations Act, 1999
105-277     Internet Tax Freedom Act (title XI)
105-277     Trade Deficit Review Commission Act (sec. 127)
105-261     Strom Thurmond National Defense Authorization Act for Fiscal
             Year 1999
105-261     Fair Trade in Automotive Parts Act of 1998 (title XXXVIII)
105-206     Internal Revenue Service Restructuring and Reform Act of
             1998
105-174     1998 Supplemental Appropriations and Recissions Act
104-319     Human Rights, Refugee, and Other Foreign Relations
             Provisions Act of 1996
104-309     Records Relating to Nazi War Crimes
104-297     Sustainable Fisheries Act
104-293     Intelligence Authorization Act for Fiscal Year 1997
104-293     Combatting Proliferation of Weapons of Mass Destruction Act
             of 1996 (title VII)
104-269     Release of USIA Materials: VOA, Radio Marti Recordings
104-264     Federal Aviation Reauthorization Act of 1996
104-227     Antarctic Science, Tourism, and Conservation Act of 1996
104-208     Omnibus Consolidated Appropriations for Fiscal Year 1997
104-208     Department of State and Related Agencies Appropriations Act,
             1997 (title I, sec. 101(a), title IV)
104-208     Department of Defense Appropriations Act, 1997 (title I,
             sec. 101(b))
104-208     Foreign Operations, Export Financing, and Related Programs
             Appropriations Act, 1997 (title I, sec. 101(c))
104-208     Department of the Interior and Related Agencies
             Appropriations Act, 1997 (title I, sec. 101(d))
104-203     Most-Favored-Nation Treatment for Cambodia
104-201     National Defense Authorization Act for Fiscal Year 1997
104-201     Defense Against Weapons of Mass Destruction Act of 1996
             (title XIV)
104-201     Panama Canal Commission Authorization Act for Fiscal Year
             1997 (title XXXV, subtitle A)
104-201     Panama Canal Act Amendments of 1996 (title XXXV, subtitle B)
104-180     Agriculture, Rural Development, Food and Drug
             Administration, and Related Agencies Appropriations Act,
             1997
104-172     Iran and Libya Sanctions Act of 1996
104-171     Most-Favored-Nation Treatment for Romania
104-164     Miscellaneous Amendments and Authorization--FYs 1996 and
             1997
104-162     Most-Favored-Nation Treatment for People's Republic of
             Bulgaria
104-161     Release of USIA Materials: ``Fragile Ring of Life''
104-134     Omnibus Consolidated Rescissions and Appropriations Act of
             1996
104-134     Department of State and Related Agencies Appropriations Act,
             1996 (sec. 101, title IV)
104-134     Department of the Interior and Related Agencies
             Appropriations Act, 1996 (sec. 101(c), title I)
104-134     Supplemental Appropriations Act of 1996 (title II)
104-132     Antiterrorism and Effective Death Penalty Act of 1996
104-132     Justice for Victims of Terrorism Act of 1996 (title II,
             subtitle C)
104-127     Federal Agriculture Improvement and Reform Act of 1996
104-122     Further Continuing Appropriations, Fiscal Year 1996
104-114     Cuban Liberty and Democratic Solidarity (LIBERTAD) Act of
             1996
104-107     Foreign Operations, Export Financing, and Related Programs
             Appropriations Act, 1996
104-106     National Defense Authorization Act for Fiscal Year 1996
104-106     Ballistic Missile Defense Act of 1995 (title II, subtitle C)
104-93      Intelligence Authorization Act for Fiscal Year 1996
104-72      Au Pair Extension
104-61      Department of Defense Appropriations Act, 1996
104-50      Department of Transportation Appropriations Act, 1996
104-45      Jerusalem Embassy Act of 1995
104-43      Fisheries Act of 1995
104-43      High Seas Fishing Compliance Act of 1995 (title I)
104-43      Northwest Atlantic Fisheries Convention Act of 1995 (title
             II)
104-43      Atlantic Tunas Convention Act of 1995 (title III)
104-43      Sea of Okhotsk Fisheries Enforcement Act of 1995 (title V)
104-43      High Seas Driftnet Fishing Moratorium Protection Act (title
             VI)
104-43      Yukon River Salmon Act of 1995 (title VII)Act for Fiscal
             Year 1997
104-37      Agriculture, Rural Development, Food and Drug
             Administration, and Related Agencies Appropriations Act,
             1996
104-19      Emergency Supplemental Appropriations for Additional
             Disaster Assistance, for Antiterrorism Initiatives, for
             Assistance in the Recovery From the Tragedy That Occurred
             at Oklahoma City, and Rescissions Act, 1995
104-14      References in Law to Committees of the House of
             Representatives
104-6       Emergency Supplemental Appropriations and Rescissions for
             the Department of Defense to Preserve and Enhance Military
             Readiness Act of 1995
104-6       Mexican Debt Disclosure Act of 1995 (title IV)
103-465     Uruguay Round Agreements Act
103-465     Export Enhancement Program Amendments of 1994 (title IV,
             subtitle A, part II, sec. 411)
103-447     International Narcotics Control Corrections Act of 1994
103-447     NATO Participation Act of 1994 (title II)
103-423     United States Policy Toward Haiti
103-416     Visa for Officials of Taiwan
103-392     Jobs Through Trade Expansion Act of 1994
103-391     Rhinoceros and Tiger Conservation Act of 1994
103-381     African Conflict Resolution Act
103-379     Irish-American Heritage Month, 1995-1996
103-372     To Provide for an Investigation of the Whereabouts of U.S.
             Citizens Missing From Cyprus Since 1974
103-337     National Defense Authorization Act for Fiscal Year 1995
103-306     Foreign Operations, Export Financing, and Related Programs
             Appropriations Act, 1995
103-306     Foreign Operations, Export Financing, and Related Programs
             Supplemental Appropriations Act, 1994 (title VI)
103-236     Foreign Relations Authorization Act, Fiscal Years 1994 and
             1995
103-236     Mike Mansfield Fellowship Act (title II, part C)
103-236     United States International Broadcasting Act of 1994 (title
             III)

103-236     Spoils of War Act of 1994 (title V, part B)
103-236     Anti-Economic Discrimination Act of 1994 (title V, part C)
103-236     Cambodian Genocide Justice Act (title V, part D)
103-236     Middle East Peace Facilitation Act of 1994 (title V, part E)
103-236     Arms Control and Nonproliferation Act of 1994 (title VII,
             part A)
103-236     Nuclear Proliferation Prevention Act of 1994 (title VIII)
103-236     Protection and Reduction of Government Secrecy Act (title
             IX)
103-206     Coast Guard Authorization Act of 1993
103-199     Act For Reform in Emerging New Democracies and Support and
             Help for Improved Partnership with Russia, Ukraine, and
             Other New Independent States (FRIENDSHIP Act)
103-182     North American Free Trade Agreement Implementation Act
103-160     National Defense Authorization Act for Fiscal Year 1994
103-160     Cooperative Threat Reduction Act of 1993 (title XII)
103-160     Defense Conversion, Reinvestment, and Transition Assistance
             Amendments of 1993 (title XIII)
103-160     National Shipbuilding and Shipyard Conversion Act of 1993
             (title XIII, subtitle D)
103-160     Panama Canal Commission Authorization Act for Fiscal Year
             1994 (title XXXV)
103-158     Act to Honor the Victims of the Bombing of Panam Flight 103
103-149     South African Democratic Transition Support Act of 1993
103-139     Department of Defense Appropriations Act, 1994
103-125     Middle East Peace Facilitation Act of 1993
103-87      Foreign Operations, Export Financing, and Related Programs
             Appropriations Act, Fiscal Year 1994
103-87      Supplemental Appropriations for the New Independent States
             of the Former Soviet Union Act, 1993 (title VI)
103-50      Supplemental Appropriations Act of 1993
102-588     National Aeronautics and Space Administration Authorization
             Act, Fiscal Year 1993
102-587     Oceans Act of 1992
102-587     North Pacific Anadromous Stocks Convention Act of 1992
             (title VIII)
102-582     High Seas Driftnet Fisheries Enforcement Act
102-582     Central Bering Sea Fisheries Enforcement Act of 1992 (title
             III)
102-567     North Pacific Anadromous Stocks Act of 1992 (title VIII)
102-565     Peace Corps Authorization for Fiscal Year 1993
102-549     Jobs Through Exports Act of 1992
102-549     Aid, Trade, and Competitiveness Act of 1992 (title III)
102-549     Enterprise for the Americas Act of 1992 (title VI)
102-532     Enterprise for the Americas Initiative Act of 1992
102-523     International Dolphin Conservation Act of 1992
102-511     Freedom for Russia and Emerging Eurasian Democracies and
             Open Markets Support Act of 1992 (FREEDOM Support Act)
102-509     Soviet Scientists Immigration Act of 1992
102-486     Energy Policy Act of 1992
102-484     National Defense Authorization Act for Fiscal Year 1993
102-484     Former Soviet Union Demilitarization Act of 1992 (title XIV)
102-484     Weapons of Mass Destruction Control Act of 1992 (title XV)
102-484     Iran-Iraq Arms Non-Proliferation Act of 1992 (title XVI)
102-484     Cuban Democracy Act of 1992 (title XVII)
102-484     Panama Canal Commission Authorization Act for Fiscal Year
             1993 (title XXXV)
102-454     Distribution of USIA Materials
102-450     Asian/Pacific American Heritage Month--Designation
102-429     Export Enhancement Act of 1992
102-420     Withdrawal of MFN From Serbia and Montenegro
102-404     Chinese Student Protection Act of 1992
102-391     Foreign Operations, Export Financing, and Related Programs
             Appropriations Act, 1993
102-396     Department of Defense Appropriations Act, 1993
102-383     United States-Hong Kong Policy Act of 1992
102-372     Tourism Policy and Export Promotion Act of 1992
102-363     Nondiscriminatory Treatment Toward Products of Albania
102-311     International Peacekeeping Act of 1992
102-274     Horn of Africa Recovery and Food Security Act
102-270     Peace Process in Liberia
102-256     Torture Victim Protection Act of 1991
102-247     Omnibus Insular Areas Act of 1992
102-237     Food, Agriculture, Conservation, and Trade Act Amendments of
             1991
102-228     Conventional Forces in Europe Treaty Implementation Act of
             1991
102-228     Soviet Nuclear Threat Reduction Act of 1991 (title II)
102-197     Most-Favored Nation Treatment for the Union of Soviet
             Socialist Republics
102-195     National Aeronautics and Space Administration Authorization
             Act, Fiscal Year 1992
102-190     National Defense Authorization Act for Fiscal Years 1992 and
             1993
102-190     Panama Canal Commission Authorization Act for Fiscal Year
             1992 (title XXXV)
102-183     David L. Boren National Security Education Act of 1991
             (title VIII)
102-182     Termination of Trade Restrictions to Czechoslovakia and
             Hungary
102-182     Andean Trade Preference Act (title II)
102-182     Chemical and Biological Weapons Control and Warfare
             Elimination Act of 1991 (title III)
102-157     Most-Favored Nation Treatment for Mongolian People's
             Republic
102-138     Foreign Relations Authorization Act, Fiscal Years 1992 and
             1993
102-138     North/South Center Act of 1991 (sec. 208)
102-21      Emergency Supplemental Assistance for Israel Act of 1991
102-20      Foreign Relations Persian Gulf Conflict Emergency
             Supplemental Authorization Act, Fiscal Year 1991
102-1       Authorization for Use of U.S. Armed Forces Pursuant to U.N.
             Security Council Resolution 678
101-649     Immigration Act of 1990
101-647     Crime Control Act of 1990
101-646     Nonindigenous Aquatic Nuisance Prevention and Control Act of
             1990
101-627     Fishery Conservation Amendments of 1990
101-627     Dolphin Protection Consumer Information Act (title IX)
101-624     Food, Agriculture, Conservation, and Trade Act of 1990
101-624     Agricultural Development and Trade Act of 1990 (title XV)
101-624     Global Climate Change Prevention Act of 1990 (title XXIV)
101-623     International Narcotics Control Act of 1990
101-620     Protection of Antarctica
101-611     National Aeronautics and Space Administration Authorization
             Act, Fiscal Year 1991
101-610     National and Community Service Act of 1990
101-606     Global Change Research Act of 1990
101-606     International Cooperation in Global Change Research Act of
             1990 (title II)
101-604     Aviation Security Improvement Act of 1990
101-594     Antarctic Protection Act of 1990
101-549     Clean Air Act Amendments
101-533     Foreign Direct Investment and International Financial Date
             Improvements Act of 1990
101-513     Foreign Operations, Export Financing, and Related Programs
             Appropriations Act 1991
101-513     European Bank for Reconstruction and Development Act (sec.
             562(c))
101-513     Iraq Sanctions Act of 1990 (secs. 586-586J)
101-513     International Forestry Cooperation Act of 1990 (title VI)
101-511     Department of Defense Appropriations Act, 1991
101-510     National Defense Authorization Act for Fiscal Year 1991
101-510     Panama Canal Commission Authorization Act for Fiscal Year
             1991 (title XXXV)
101-508     Omnibus Budget Reconciliation Act of 1990
101-508     Budget Enforcement Act of 1990 (title XIII)
101-454     Eisenhower Exchange Fellowship Act of 1990
101-454     Fascell Fellowship Amendments Act of 1990 (sec. 9)
101-438     Rio Grande American Canal Extension Act of 1990
101-382     Customs and Trade Act of 1990
101-382     Caribbean Basin Economic Recovery Expansion Act of 1990
             (title II)
101-382     Forest Resources Conservation and Shortage Relief Act of
             1990 (title IV)
101-380     Oil Pollution Act of 1990
101-328     National Space Council Authorization Act of 1990
101-298     Biological Weapons Anti-Terrorism Act of 1989
101-246     Foreign Relations Authorization Act, Fiscal Years 1990 and
             1991
101-246     PLO Commitments Compliance Act of 1989 (title VIII)
101-243     Urgent Assistance for Democracy in Panama Act of 1990
101-240     International Development and Finance Act of 1989
101-240     Foreign Debt Reserving Act of 1989 (title IV)
101-240     Global Environmental Protection Assistance Act of 1989
             (title VII)
101-231     International Narcotics Control Act of 1989
101-219     Implementation of Compact of Free Association With Palau
101-216     Arms Control and Disarmament Amendments Act of 1989
101-215     Survival Assistance for Victims of Civil Strife in Central
             America
101-189     National Defense Authorization Act for Fiscal Years 1990 and
             1991
101-179     Support for East European Democracy (SEED) Act of 1989
101-167     Foreign Operations, Export Financing, and Related Programs
             Appropriations Act, 1990
101-162     Departments of Commerce, Justice, and State, the Judiciary,
             and Related Agencies Appropriations Act, 1990
101-62      Implementing Agreement for Vienna Convention on Diplomatic
             Relations
100-690     International Narcotics Control Act of 1988 (title IV)
100-685     National Aeronautics and Space Administration Authorization
             Act, Fiscal Year 1989
100-629     U.S.-U.S.S.R. Fishing Agreement
100-576     Bangladesh Disaster Assistance Act of 1988
100-530     International Cooperation to Protect Biological Diversity
100-478     African Elephant Conservation Act (title II)
100-465     Rio Grande Pollution Correction Act of 1987
100-463     Department of Defense Appropriations Act, 1989
100-461     Overseas Private Investment Corporation Amendments Act of
             1988 (H.R. 5263, enacted by reference)
100-461     Miscellaneous International Affairs Authorization Act of
             1988 (S. 2757, enacted by reference)
100-456     National Defense Authorization Act, Fiscal Year 1989
100-449     United States-Canada Free Trade Agreement Implementation Act
             of 1988
100-418     Omnibus Trade and Competitiveness Act of 1988
100-418     Telecommunications Trade Act of 1988 (title I, subtitle C,
             part 4)
100-418     Export Enhancement Act 1988 (title II)
100-418     Fair Trade in Auto Parts Act of 1988 (title II, subtitle A,
             part II)
100-418     American Aid to Poland Act of 1988 (title II, subtitle B,
             part II)
100-418     Multilateral Export Control Enhancement Amendments Act
             (title II, subtitle D, part II)
100-418     Exchange Rates and International Economic Policy
             Coordination Act of 1988 (title III, subtitle A)
100-418     International Debt Management Act of 1988 (title III,
             subtitle B)
100-418     Multilateral Development Banks Procurement Act (title III,
             subtitle C)
100-418     Export-Import Bank and Tied Aid Credit Amendments of 1988
             (title III, subtitle D)
100-418     Primary Dealers Act of 1988 (title III, subtitle F)
100-418     Financial Reports Act of 1988 (title III, subtitle G)
100-418     Agricultural Competitiveness and Trade Act of 1988 (title
             IV)
100-418     Pesticide Monitoring Improvements Act of 1988 (title IV,
             subtitle G)
100-418     Foreign Corrupt Practices Act Amendments of 1988 (title V,
             subtitle A, part I)
100-418     Competitiveness Policy Council Act (title V, part I,
             subtitle C)
100-418     Small Business International Trade and Competitiveness Act
             (title VII)
100-418     Foreign Shipping Practices Act of 1988 (title X)
100-393     Dire Emergency Supplemental Appropriations Act, 1988
100-373     International Energy Emergency Authorities: Extension
100-350     German Democratic Republic Fishery Agreement
100-330     South Pacific Tuna Act of 1988
100-300     International Child Abduction Remedies Act
100-276     Central American Peace Assistance
100-220     United States-Japan Fishery Agreement Approval Act of 1987
100-220     Driftnet Impact Monitoring, Assessment, and Control Act of
             1987 (title IV)
100-213     Arms Control and Disarmament Amendments Act of 1987
100-204     Foreign Relations Authorization Act, Fiscal Years 1988 and
             1989
100-204     United States Information Agency Authorization Act, Fiscal
             Years 1988 and 1989 (title II)
100-204     Board for International Broadcasting Authorization Act,
             Fiscal Years 1988 and 1989 (title V)
100-204     Anti-Terrorism Act of 1987 (title X)
100-204     Global Climate Protection Act of 1987 (title XI)
100-202     Continuing Appropriations, Fiscal Year 1988
100-202     Department of State Appropriations Act, 1988 (sec. 101(a),
             title III)
100-202     Cuban Political Prisoners and Immigrants (sec. 101(a), title
             VII)
100-202     Indochinese Refugee and Resettlement Act of 1987 (sec.
             101(a), title VIII)
100-202     Foreign Operations, Export Financing, and Related Programs
             Appropriations Act, 1988 (sec. 101(e))
100-202     Multilateral Investment Guarantee Agency Act (sec. 101(e),
             H.R. 3570, enacted by reference, title IV)
100-180     National Defense Authorization Act for Fiscal Years 1988 and
             1989
100-147     National Aeronautics and Space Administration Authorization
             Act of 1988
100-113     Federal Triangle Development Act
100-66      United States-Korea Fishery Agreement
99-661      National Defense Authorization Act, Fiscal Year 1987
99-661      Department of Defense Authorization Act, 1987 (Division A)
99-658      Approval of the Compact of Free Association With the
             Government of Palau
99-630      Humpback Whales Wildlife Sanctuary (West Indies)
99-603      Immigration Reform and Control Act of 1986
99-570      International Narcotics Control Act of 1986 (title II)
99-529      Special Foreign Assistance Act of 1986
99-513      R.M.S. Titanic Maritime Memorial Act of 1986
99-498      Higher Education Amendments of 1986
99-475      Release of USIA Materials to Museums
99-472      Export-Import Bank Act Amendments of 1986
99-415      Anglo-Irish Agreement Support Act of 1986
99-399      Omnibus Diplomatic Security and Antiterrorism Act of 1986
99-399      Diplomatic Security Act (titles I-IV)
99-399      Victims of Terrorism Compensation Act (title VIII)
99-399      International Maritime and Port Security Act (title IX)
99-399      Fascell Fellowship Act (title X)
99-239      Compact of Free Association Act of 1985
99-198      Food Security Act of 1985
99-198      Food for Progress Act of 1985 (sec. 1110)
99-190      Further Continuing Appropriations, 1985
99-190      Multilateral Development Bank Act of 1985 (sec. 101(i), H.R.
             2253, enacted by reference)
99-180      Departments of Commerce, Justice, and State, the Judiciary,
             and Related Agencies Appropriations Act, 1986
99-177      Balanced Budget and Emergency Deficit Control Act of 1985
             [Gramm-Rudman-Hollings Act]
99-162      Sales of Arms to Jordan
99-145      Department of Defense Authorization Act, 1986
99-93       Foreign Relations Authorization Act, Fiscal Years 1986 and
             1987
99-93       United States Information Agency Authorization Act, Fiscal
             Years 1986 and 1987 (title II)
99-93       Board for International Broadcasting Authorization Act,
             Fiscal Years 1986 and 1987 (title III)
99-93       Iran Claims Settlement (title V)
99-93       United States Scholarship Program for Developing Countries
             Authorization, Fiscal Years 1986 & 1987 (title VI)
99-93       Arms Control and Disarmament Act Authorization for Fiscal
             Years 1986 and 1987 (title VII)
99-88       Supplemental Appropriations Act, 1985
99-88       Jordan Supplemental Economic Assistance Authorization Act of
             1985 (title IV)
99-85       Authorization for an Improved U.S./Soviet Direct
             Communications Link
99-83       International Security and Development Cooperation Act of
             1985
99-83       International Narcotics Control Act of 1985 (title VI)
99-83       Peace Corps Authorization for Fiscal Years 1986 and 1987
             (title XI)
99-64       Export Administration Amendments Act of 1985
99-47       United States-Israel Free Trade Area Implementation Act of
             1985
 99-8       African Famine Relief and Recovery Act of 1985
 99-5       Pacific Salmon Treaty Act of 1985
98-623      Governing International Fishery Agreements With Iceland and
             the European Economic Community (title I)
98-623      Antarctic Marine Living Resources Convention Act of 1984
             (title III)
98-618      Intelligence Authorization Act for Fiscal Year 1985
98-573      Trade and Tariff Act of 1984
98-573      International Trade and Investment Act (title III)
98-573      Steel Import Stabilization Act (title VIII)
98-573      Wine Equity and Export Expansion Act of 1984 (title IX)
98-562      Cooperative East-West Ventures in Space
98-533      1984 Act to Combat International Terrorism
98-525      Department of Defense Authorization Act, 1985
98-525      United States Institute for Peace Act (title XVII)
98-473      Continuing Appropriations, 1985
98-473      Inter-American Investment Corporation Act (title II, S.
             2416, enacted by reference)
98-473      President's Emergency Food Assistance Act of 1984 (title
             III)
98-447      United States Government Opposition to the Practice of
             Torture
98-445      Eastern Pacific Tuna Licensing Act of 1984
98-373      Arctic Research and Policy Act of 1984 (title I)
98-373      National Critical Materials Act of 1984 (title II)
98-266      Clement J. Zablocki Memorial Outpatient Facility, American
             Children's Hospital, Krakow, Poland
98-258      Agricultural Programs Adjustment Act of 1984
98-258      Agricultural Exports (title V)
98-198      Child Health Revolution
98-181      Supplemental Appropriations Act, 1984
98-181      Trade and Development Enhancement Act of 1983 (title VI,
             part C)
98-181      International Lending Supervision Act of 1983 (title IX)
98-181      Multilateral Development Banks: Sense of Congress (title X)
98-164      Department of State Authorization Act, Fiscal Years 1984 and
             1985 (titles I, X)
98-164      United States Information Agency Authorization Act, Fiscal
             Years 1984 and 1985 (title II)
98-164      Board for International Broadcasting Authorization Act,
             Fiscal Years 1984 and 1985 (title III)
98-164      Asia Foundation Act (title IV)
98-164      National Endowment for Democracy Act (title V)
98-164      Foreign Missions Amendments Act (title VI)
98-164      International Environmental Protection Act of 1983 (title
             VII)
98-164      Research and Training for Eastern Europe and the Independent
             States of the Former Soviet Union Act of 1983 (title VIII)
98-164      United States-India Fund for Cultural, Educational, and
             Scientific Cooperation Act (title IX)
98-151      Continuing Resolution, 1984
98-151      Foreign Assistance and Related Programs Appropriations Act,
             1984 (sec. 101(b)(1))
98-151      International Security and Development Assistance
             Authorization Act of 1983 (sec. 101(b)(2))
98-119      Multinational Force in Lebanon Resolution
98-111      Radio Broadcasting to Cuba Act
98-94       Department of Defense Authorization Act, 1984
98-67       Caribbean Basin Economic Recovery Act (title II)
98-43       Lebanon Emergency Assistance Act of 1983
97-446      Convention on Cultural Property Implementation Act (title
             III)
97-425      Nuclear Waste Policy Act of 1982
97-418      Protection of Foreign Missions
97-389      Fisheries Amendments of 1982
97-389      Atlantic Salmon Convention Act of 1982 (title III)
97-389      Governing International Fishery Agreements with Japan and
             Spain (title IV)
97-342      Transfer of Naval Vessels to Foreign Governments
97-325      International Carriage of Perishable Foodstuffs Act
97-290      Export Trading Company Act of 1982 (title I)
97-290      Bank Export Services Act (title II)
97-252      Department of Defense Authorization Act, 1983
97-241      Department of State Authorization Act, Fiscal Years 1982 and
             1983
97-241      Foreign Missions Act (title II)
97-241      United States Information Agency Authorization Act, Fiscal
             Years 1982 and 1983 (title III)
97-241      Board for International Broadcasting Authorization Act,
             Fiscal Years 1982 and 1983 (title IV)
97-229      Energy Emergency Preparedness Act of 1982
97-145      Export Administration Amendments Act of 1981
97-132      Multinational Force and Observers Participation Resolution
97-127      Czechoslovakian Claims Settlement Act of 1981
97-113      International Security and Development Cooperation Act of
             1981
97-98       Agriculture and Food Act of 1981
97-98       Agriculture Trade and Export Policy Commission Act (title
             XII, subtitle C)
97-35       African Development Bank Act (title XIII, subtitle B, part
             3)
96-599      International Coffee Agreement Act of 1980
96-561      American Fisheries Promotion Act (title II)
96-533      International Security and Development Cooperation Act of
             1980
96-533      African Development Foundation Act (title V)
96-494      Agriculture Act of 1980
96-494      Agricultural Trade Suspension Adjustment Act of 1980 (title
             II)
96-494      Food Security Commodity Reserve Act of 1996 (title III)
96-487      Alaska National Interests Lands Conservation Act
96-478      Act to Prevent Pollution from Ships
96-465      Foreign Service Act of 1980
96-449      Hostage Relief Act of 1980
96-422      Refugee Education Assistance Act of 1980
96-389      Bretton Woods Agreements Act Amendments, 1980
96-339      Atlantic Tunas Convention Act of 1975, Appropriation
             Authorization
96-323      North Atlantic Treaty Organization Mutual Support Act of
             1979
96-283      Deep Seabed Hard Mineral Resources Act
96-283      Deep Seabed Hard Mineral Removal Tax Act of 1979 (title IV)
96-280      Nuclear Non-Proliferation Act of 1978--Agreements for
             Cooperation
96-271      International Natural Rubber Agreement Appropriation
             Authorization for Fiscal Year 1981
96-259      Providing for Increased Participation by the United States
             in the Inter-American and Asian Development Banks and
             African Development Fund
96-236      International Sugar Agreement, 1977, Implementation
96-212      Refugee Act of 1980
96-175      Strategic and Critical Materials Transaction Authorization
             Act of 1979
96-133      Energy Policy and Conservation Act Amendments
96-92       International Security Assistance Act of 1979
96-72       Export Administration Act of 1979
96-70       Panama Canal Act of 1979
96-60       Department of State Authorization Act, Fiscal Years 1980 and
             1981 (title I)
96-60       International Communication Agency Authorization Act, Fiscal
             Years 1980 and 1981 (title II)
96-53       International Development Cooperation Act of 1979
96-39       Trade Agreements Act of 1979
96-35       Special International Security Assistance Act of 1979
 96-9       Reaffirming North Atlantic Alliance--United States
             Commitment
 96-8       Taiwan Relations Act
95-630      Financial Institutions Regulatory and Interest Rate Control
             Act of 1978
95-630      Export-Import Bank Act Amendments of 1978 (title XIX)
95-561      Education Amendments of 1978
95-561      National Academy of Peace and Conflict Resolution (title XV,
             part B)
95-511      Foreign Intelligence Surveillance Act of 1978
95-501      Agricultural Trade Act of 1978
95-485      Department of Defense Appropriation Authorization Act, 1979
95-452      Inspector General Act of 1978
95-435      Bretton Woods Agreements Act Amendments, 1978
95-426      Foreign Relations Authorization Act, Fiscal Year 1979
95-426      International Communication Agency Authorization for Fiscal
             Year 1979 (title II)
95-424      International Development and Food Assistance Act of 1978
95-393      Diplomatic Relations Act
95-384      International Security Assistance Act of 1978
95-287      Reaffirming the Unity of the North Atlantic Alliance
             Commitment
95-242      Nuclear Non-Proliferation Act of 1978
95-238      Department of Energy Act of 1978
95-223      International Emergency Economic Powers Act (title II)
95-213      Foreign Corrupt Practices Act of 1977 (title I)
95-118      International Financial Institutions Act
95-113      Food and Agriculture Act of 1977
95-105      Foreign Relations Authorization Act, Fiscal Year 1978
95-105      United States Information Agency Authorization for Fiscal
             Year 1978 (title II)
95-92       International Security Assistance Act of 1977
95-88       International Development and Food Assistance Act of 1977
 95-6       Fishery Conservation Zone Transition Act
94-583      Foreign Sovereign Immunities Act of 1976
94-472      International Investment and Trade in Services Survey Act
94-412      National Emergencies Act
94-350      Foreign Relations Authorization Act, Fiscal Year 1977
94-350      United States Information Agency Authorization for Fiscal
             Year 1977 (title II)
94-350      Foreign Service Retirement Amendments of 1976 (title V)
94-329      International Security Assistance and Arms Export Control
             Act of 1976
94-304      Establishing a Commission on Security and Cooperation in
             Europe
94-302      African Development Fund Act (title II)
94-265      Magnuson Fishery Conservation and Management Act of 1976
94-265      Driftnet Act Amendments of 1990 (sec. 206)
94-163      Energy Policy and Conservation Act
94-161      International Development and Food Assistance Act of 1975
94-141      Foreign Relations Authorization Act, Fiscal Year 1976
94-118      Japan-United States Friendship Act
94-110      Joint Resolution to Implement the United States Proposal for
             the Early-Warning System in Sinai
94-70       Atlantic Tunas Convention Act of 1975
94-39       National Aeronautics and Space Administration Authorization
             Act, 1976
93-627      Deepwater Port Act of 1974
93-618      Trade Act of 1974
93-618      Narcotics Control Trade Act (title VIII)
93-559      Foreign Assistance Act of 1974
93-479      Foreign Investment Study Act of 1974
93-475      State Department/USIA Authorization Act, Fiscal Year 1975
93-366      Antihijacking Act of 1974
93-365      Department of Defense Appropriation Authorization Act, 1975
93-248      Intervention on the High Seas Act
93-205      Endangered Species Act of 1973
93-199      Emergency Security Assistance Act of 1973
93-189      Foreign Assistance Act of 1973
93-188      United Nations Environment Program Participation Act of 1973
93-168      USIA Appropriations Authorization Act of 1973
93-153      Trans-Alaska Pipeline Authorization Act
93-148      War Powers Resolution
93-126      Department of State Appropriations Authorization Act of 1973
93-110      Par Value Modification Act--Foreign Currency Reports (title
             II)
92-544      Departments of State, Justice, and Commerce, the Judiciary,
             and Related Agencies Appropriations Act, 1973
92-522      Marine Mammal Protection Act of 1972
92-499      Act to Extend Diplomatic Privileges to the Commission of the
             European Communities
92-403      Case Act--Transmittal of International Agreements
92-352      Foreign Relations Authorization Act of 1972
92-268      Par Value Modification Act
92-257      Trust Territory of the Pacific Islands Act
92-226      Foreign Assistance Act of 1971
92-39       Micronesian Claims Act of 1971
91-672      Foreign Military Sales Act Amendments, 1971
91-652      Special Foreign Assistance Act of 1971
91-441      Armed Forces Appropriation Authorization, 1971
91-269      United States Recognition and Participation in International
             Expositions
91-175      Foreign Assistance Act of 1969, as amended
90-629      Arms Export Control Act
90-554      Foreign Assistance Act of 1968
90-553      International Center Act
90-390      Export Loans--Assistance
90-349      Special Drawing Rights Act
90-137      Foreign Assistance Act of 1967
89-732      Cuban Refugee Adjustment Act
89-673      Foreign Gifts and Decorations Act of 1966
89-583      Foreign Assistance Act of 1966
89-532      Convention on the Settlement of Investment Disputes Act of
             1966
89-486      Foreign Agents Registration Act Amendments
89-369      Asian Development Bank Act
89-296      Ryukyu Islands Claims Settlement Act
89-259      Cultural Objects--Importation for Temporary Display
89-171      Foreign Assistance Act of 1965
89-134      Peace Corps Act Amendments
88-633      Foreign Assistance Act of 1964
88-408      Tonkin Gulf Resolution
88-205      Foreign Assistance Act of 1963
87-826      Collection and Publication of Foreign Commerce and Trade
             Statistics
87-794      Trade Expansion Act of 1962
87-733      Cuban Resolution
87-565      Foreign Assistance Act of 1962
87-510      Migration and Refugee Assistance Act of 1962
87-297      Arms Control and Disarmament Act
87-293      Peace Corps Act
87-256      Mutual Educational and Cultural Exchange Act of 1961
87-195      Foreign Assistance Act of 1961
87-125      General Government Matters, Department of Commerce, and
             Related Agencies Appropriation Act, 1962
86-735      Latin American Development Act
86-628      Legislative Branch Appropriation Act, 1961
86-565      International Development Association Act
86-472      Mutual Security Act of 1960
86-472      Center for Cultural and Technical Interchange Between East
             and West Act of 1960 (chapter VII)
86-420      Mexico-United States Interparliamentary Group
86-147      Inter-American Development Bank Act
86-108      Mutual Security Act of 1959
86-42       Canada-United States Interparliamentary Group
85-931      Agricultural Trade Development and Assistance Act of 1954--
             Extension and Amendment
85-846      EURATOM Cooperation Act of 1958
85-568      National Aeronautics and Space Act of 1958
85-474      Departments of State and Justice, the Judiciary, and Related
             Agencies Appropriation Act, 1959
85-177      International Atomic Energy Agency Participation Act of 1957
 85-7       Resolution To Promote Peace and Stability in the Middle East
84-885      State Department Basic Authorities Act of 1956
84-689      United States Group of the North Atlantic Treaty
             Parliamentary Conferences--Participation Resolution
84-350      International Finance Corporation Act
83-703      Atomic Energy Act of 1954
83-680      Fisherman's Protective Act of 1967
83-665      Mutual Security Act of 1954
83-480      Agricultural Trade Development and Assistance Act of 1954
83-451      Civil Government for the Trust Territory of the Pacific
             Islands
82-486      Extending Certain Privileges to Representatives of
             Organization of American States
82-414      Immigration and Nationality Act
81-764      Tuna Conventions Act of 1950
81-676      Whaling Convention Act of 1949
81-507      National Science Foundation Act of 1950
81-455      International Claims Settlement Act of 1949
81-439      Agricultural Act of 1949
80-772      Act of June 25, 1948
80-772      Logan Act--Private Correspondence With Foreign Governments
80-772      Johnson Act--Financial Transactions With Foreign Governments
80-402      United States Information and Educational Exchange Act of
             1948
80-357      United Nations Headquarters Agreement Act
80-253      National Security Council
79-547      Act of July 25, 1946
79-291      International Organizations Immunities Act
79-264      United Nations Participation Act of 1945
79-173      Export-Import Bank Act of 1945
79-171      Bretton Woods Agreements Act
76-54       Neutrality Act of 1939
75-583      Foreign Agents Registration Act of 1938
75-543      Act of May 25, 1938
71-361      Tariff Act of 1930
69-186      Foreign Service Buildings Act, 1926
65-91       Trading With the Enemy Act
------------------------------------------------------------------------

                              Appendix II


          Note.--Appendix II lists Public Laws included in 
        Legislation on Foreign Relations Through 2000, either 
        as freestanding law or in amendments, arranged 
        alphabetically by short title or popular name with 
        corresponding Public Law number.





------------------------------------------------------------------------
                                                              Public Law
                         Short Title                              No.
------------------------------------------------------------------------
Act For Reform In Emerging New Democracies and Support and    103-199
 Help for Improved Partnership with Russia, Ukraine, and
 Other New Independent States (FRIENDSHIP Act)..............
Act of May 25, 1938.........................................  75-543
Act of July 25, 1946........................................  79-547
Act of June 25, 1948........................................  80-772
1984 Act to Combat International Terrorism..................  98-533
1998 Supplemental Appropriations and Recissions Act.........  105-174
Act to Extend Diplomatic Privileges to the Commission of the  92-499
 European Communities.......................................
Act to Honor the Victims of the Bombing of Panam Flight.....  103-158
Act to Prevent Pollution from Ships.........................  96-478
African Conflict Resolution Act.............................  103-381
African Development Bank Act (title XIII, subtitle B, part    97-35
 3).........................................................
African Development Foundation Act (title V)................  96-533
African Development Fund Act (title II).....................  94-302
African Growth and Opportunity Act (title I)................  106-200
African Elephant Conservation Act (title II)................  100-478
African Famine Relief and Recovery Act of 1985..............   99-8
Agricultural Act of 1949....................................  81-439
Agricultural Competitiveness and Trade Act of 1988 (title     100-418
 IV)........................................................
Agricultural Development and Trade Act of 1990 (title XV)...  101-624
Agricultural Exports (title V)..............................  98-258
Agricultural Programs Adjustment Act of 1984................  98-258
Agricultural Trade Act of 1978..............................  95-501
Agricultural Trade Development and Assistance Act of 1954...  83-480
Agricultural Trade Development and Assistance Act of 1954--   85-931
 Extension and Amendment....................................
Agricultural Trade Suspension Adjustment Act of 1980 (title   96-494
 II)........................................................
Agriculture and Food Act of 1981............................  97-98
Agriculture, Rural Development, Food and Drug                 104-37
 Administration, and Related Agencies Appropriations Act,
 1996.......................................................
Agriculture, Rural Development, Food and Drug                 104-180
 Administration, and Related Agencies Appropriations Act,
 1997.......................................................
Agriculture, Rural Development, Food and Drug                 106-387
 Administration, and Related Agencies Appropriations Act,
 2001.......................................................
Agriculture Trade and Export Policy Commission Act (title     97-98
 XII, subtitle C)...........................................
Aid, Trade, and Competitiveness Act of 1992 (title III).....  102-549
Alaska National Interests Lands Conservation Act............  96-487
American Aid to Poland Act of 1988 (title II, subtitle B,     100-418
 part II)...................................................
American Fisheries Promotion Act (title II).................  96-561
Andean Trade Preference Act (title II)......................  102-182
Anglo-Irish Agreement Support Act of 1986...................  99-415
Antarctic Marine Living Resources Convention Act of 1984      98-623
 (title III)................................................
Antarctic Protection Act of 1990............................  101-594
Antarctic Science, Tourism, and Conservation Act of 1996....  104-227
Anti-Economic Discrimination Act of 1994 (title V, part C)..  103-236
Anti-Terrorism Act of 1987 (title X)........................  100-204
Antiterrorism and Effective Death Penalty Act of 1996.......  104-132
Antihijacking Act of 1974...................................  93-366
Approval of the Compact of Free Association With the          99-658
 Government of Palau........................................
Arctic Research and Policy Act of 1984 (title I)............  98-373
Armed Forces Appropriation Authorization, 1971..............  91-441
Arms Control and Disarmament Act............................  87-297
Arms Control and Disarmament Act Authorization for Fiscal     99-93
 Years 1986 and 1987 (title VII)............................
Arms Control and Disarmament Amendments Act of 1987.........  100-213
Arms Control and Disarmament Amendments Act of 1989.........  101-216
Arms Control and Nonproliferation Act of 1994 (title VII,     103-236
 part A)....................................................
Arms Export Control Act.....................................  90-629
Asia Foundation Act (title IV)..............................  98-164
Asian Development Bank Act..................................  89-369
Asian/Pacific American Heritage Month--Designation..........  102-450
Atlantic Salmon Convention Act of 1982 (title III)..........  97-389
Atlantic Tunas Convention Act of 1975.......................  94-70
Atlantic Tunas Convention Act of 1975, Appropriation          96-339
 Authorization..............................................
Atlantic Tunas Convention Act of 1995 (title III)...........  104-43
Atlantic Tunas Convention Authorization Act of 1995 (title    104-43
 III).......................................................
Atomic Energy Act of 1954...................................  83-703
Au Pair Extension...........................................  104-72
Authorization for an Improved U.S./Soviet Direct              99-85
 Communications Link........................................
Authorization for Use of U.S. Armed Forces Pursuant to U.N.   102-1
 Security Council Resolution 678............................
Aviation Security Improvement Act of 1990...................  101-604
Balanced Budget and Emergency Deficit Control Act of 1985     99-177
 [Gramm-Rudman-Hollings Act]................................
Ballistic Missile Defense Act of 1995 (title II, subtitle C)  104-106
Bangladesh Disaster Assistance Act of 1988..................  100-576
Bank Export Services Act (title II).........................  97-290
Biological Weapons Anti-Terrorism Act of 1989...............  101-298
Board for International Broadcasting Appropriations, 1988     100-202
 (sec. 101(a), title V).....................................
Board for International Broadcasting Authorization Act,       98-164
 Fiscal Years 1984 and 1985 (title III).....................
Board for International Broadcasting Authorization Act,       97-241
 Fiscal Years 1982 and 1983 (title IV)......................
Board for International Broadcasting Authorization Act,       99-93
 Fiscal Years 1986 and 1987 (title III).....................
Board for International Broadcasting Authorization Act,       100-204
 Fiscal Years 1988 and 1989 (title V).......................
Bretton Woods Agreements Act................................  79-171
Bretton Woods Agreements Act Amendments, 1978...............  95-435
Bretton Woods Agreements Act Amendments, 1980...............  96-389
Budget Enforcement Act of 1990 (title XIII).................  101-508
Cambodian Genocide Justice Act (title V, part D)............  103-236
Canada-United States Interparliamentary Group...............  86-42
Caribbean Basin Economic Recovery Act (title II)............  98-67
Caribbean Basin Economic Recovery Expansion Act of 1990       101-382
 (title II).................................................
Case Act--Transmittal of International Agreements...........  92-403
Center for Cultural and Technical Interchange Between East    86-472
 and West Act of 1960 (chapter VII).........................
Central American Peace Assistance...........................  100-276
Central Bering Sea Fisheries Enforcement Act of 1992 (title   102-582
 III).......................................................
Chemical and Biological Weapons Control and Warfare           102-182
 Elimination Act of 1991 (title III)........................
Child Health Revolution.....................................  98-198
Chinese Student Protection Act of 1992......................  102-404
Civil Government for the Trust Territory of the Pacific       83-451
 Islands....................................................
Clean Air Act Amendments....................................  101-549
Clement J. Zablocki Memorial Outpatient Facility, American    98-266
 Children's Hospital, Krakow, Poland........................
Coast Guard Authorization Act of 1993.......................  103-206
Collection and Publication of Foreign Commerce and Trade      87-826
 Statistics.................................................
Combatting Proliferation of Weapons of Mass Destruction Act   104-293
 of 1996 (title VII)........................................
Compact of Free Association Act of 1985.....................  99-239
Competitiveness Policy Council Act (title V, part I,          100-418
 subtitle C)................................................
DContinued Dumping and Subsidy Offset of 2000 (title X).....   106-387
Continuing Appropriations, 1985.............................  98-473
Continuing Appropriations, Fiscal Year 1988.................  100-202
Continuing Resolution, 1984.................................  98-151
Convention on Cultural Property Implementation Act (title     97-446
 III).......................................................
Convention on the Settlement of Investment Disputes Act of    89-532
 1966.......................................................
Conventional Forces in Europe Treaty Implementation Act of    102-228
 1991.......................................................
Cooperative Threat Reduction Act of 1993 (title XII)........  103-160
Cooperative East-West Ventures in Space.....................  98-562
Crime Control Act of 1990...................................  101-647
Cuban Liberty and Democratic Solidarity (LIBERTAD) Act of     104-114
 1996.......................................................
Cuban Political Prisoners and Immigrants (sec. 101(a), title  100-202
 VII).......................................................
Cuban Refugee Adjustment Act................................  89-732
Cuban Resolution............................................  87-733
Cuban Democracy Act of 1992 (title XVII)....................  102-484
Cultural Objects--Importation for Temporary Display.........  89-259
Customs and Trade Act of 1990...............................  101-382
Czechoslovakian Claims Settlement Act of 1981...............  97-127
David L. Boren National Security Education Act of 1991......  102-183
Deep Seabed Hard Mineral Removal Tax Act of 1979 (title IV).  96-283
Deep Seabed Hard Mineral Resources Act......................  96-283
Deepwater Port Act of 1974..................................  93-627
Defense Against Weapons of Mass Destruction Act of 1996       104-201
 (title XIV)................................................
Defense Conversion, Reinvestment, and Transition Assistance   103-160
 Amendments of 1993 (title XIII)............................
Demilitarization of the Former Soviet Union Act of 1992       102-484
 (title XIV)................................................
Department of Defense Appropriation Act, 1976...............  94-212
Department of Defense Appropriation Authorization Act, 1975.  93-365
Department of Defense Appropriation Authorization Act, 1979.  95-485
Department of Defense Appropriations Act, 1989..............  100-463
Department of Defense Appropriations Act, 1991..............  101-511
Department of Defense Appropriations Act, 1993..............  102-396
Department of Defense Appropriations Act, 1994..............  103-139
Department of Defense Appropriations Act, 1996..............  104-61
Department of Defense Appropriations Act, 1997 (title I,      104-208
 sec. 101(b))...............................................
Department of Defense Authorization Act, 1983...............  97-252
Department of Defense Authorization Act, 1984...............  98-94
Department of Defense Authorization Act, 1985...............  98-525
Department of Defense Authorization Act, 1986...............  99-145
Department of Defense Authorization Act, 1987 (Division A)..  99-661
Department of Energy Act of 1978............................  95-238
Department of State and Related Agencies Appropriations Act,  104-134
 1996 (sec. 101, title IV)..................................
Department of State and Related Agencies Appropriations Act,  104-208
 1997 (title I, sec. 101(a), title IV)......................
Department of State Appropriations Act, 1988 (sec. 101(a),    100-202
 title III).................................................
Department of State Appropriations Authorization Act of 1973  93-126
Department of State Authorization Act, Fiscal Years 1984 and  98-164
 1985 (titles I, X).........................................
Department of State Authorization Act, Fiscal Years 1980 and  96-60
 1981 (title I).............................................
Department of State Authorization Act, Fiscal Years 1982 and  97-241
 1983.......................................................
Department of the Interior and Related Agencies               103-332
 Appropriations Act, 1995...................................
Department of the Interior and Related Agencies               104-134
 Appropriations Act, 1996 (sec. 101(c), title I)............
Department of the Interior and Related Agencies               104-208
 Appropriations Act, 1997 (title I, sec. 101(d))............
Departments of Commerce, Justice, and State, the Judiciary,   99-180
 and Related Agencies Appropriations Act, 1986..............
Departments of Commerce, Justice, and State, the Judiciary,   101-162
 and Related Agencies Appropriations Act, 1990..............
Departments of State and Justice, the Judiciary, and Related  85-474
 Agencies Appropriation Act, 1959...........................
Departments of State, Justice, and Commerce, the Judiciary,   92-544
 and Related Agencies Appropriations Act, 1973..............
Diplomatic Relations Act....................................  95-393
Diplomatic Security Act (titles I-IV).......................  99-399
Dire Emergency Supplemental Appropriations Act, 1988........  100-393
Distribution of USIA Materials..............................  102-454
Dolphin Protection Consumer Information Act (title IX)......  101-627
Driftnet Act Amendments of 1990 (sec. 206)..................  94-265
Driftnet Impact Monitoring, Assessment, and Control Act of    100-220
 1987 (title IV)............................................
Eastern Pacific Tuna Licensing Act of 1984..................  98-445
Education Amendments of 1978................................  95-561
Eisenhower Exchange Fellowship Act of 1990..................  101-454
Emergency Security Assistance Act of 1973...................  93-199
Emergency Supplemental Appropriations and Rescissions for     104-6
 the Department of Defense to Preserve and Enhance Military
 Readiness Act of 1995......................................
Emergency Supplemental Appropriations for Additional          104-19
 Disaster Assistance, for Antiterrorism Initiatives, for
 Assistance in the Recovery From the Tragedy That Occurred
 at Oklahoma City, and Rescissions Act, 1995................
Emergency Supplemental Assistance for Israel Act of 1991....  102-21
Emergency Supplemental Persian Gulf Refugee Assistance Act    102-45
 of 1991....................................................
Endangered Species Act of 1973..............................  93-205
Energy Emergency Preparedness Act of 1982...................  97-229
Energy Policy Act of 1992...................................  102-486
Energy Policy and Conservation Act..........................  94-163
Energy Policy and Conservation Act Amendments...............  96-133
Enterprise for the Americas Act of 1992 (title VI)..........  102-549
Enterprise for the Americas Initiative Act of 1992..........  102-532
Establishing a Commission on Security and Cooperation in      94-304
 Europe.....................................................
EURATOM Cooperation Act of 1958.............................  85-846
European Bank for Reconstruction and Development Act (sec.    101-513
 562(c))....................................................
Exchange Rates and International Economic Policy              100-418
 Coordination Act of 1988 (title III, subtitle A)...........
Export Administration Act of 1979...........................  96-72
Export Administration Amendments Act of 1981................  97-145
Export Administration Amendments Act of 1985................  99-64
Export Enhancement Act of 1988 (title II)...................  100-418
Export Enhancement Act of 1992..............................  102-429
Export Enhancement Act of 1999..............................  106-158
Export Enhancement Program Amendments of 1994 (title IV,      103-465
 subtitle A, part II, sec. 411).............................
Export-Import Bank Act Amendments of 1978 (title XIX).......  95-630
Export-Import Bank Act of 1945..............................  79-173
Export-Import Bank and Tied Aid Credit Amendments of 1988     100-418
 (title III, subtitle D)....................................
Export Loans--Assistance....................................  90-390
Export Trading Company Act of 1982 (title I)................  97-290
Export-Import Bank Act Amendments of 1986...................  99-472
Extending Certain Privileges to Representatives of            82-486
 Organization of American States............................
Fair Trade in Auto Parts Act of 1988 (title II, subtitle A,   100-418
 part II)...................................................
Fair Trade in Automotive Parts Act of 1998 (title XXXVIII)..  105-261
Fascell Fellowship Act (title X)............................  99-399
Fascell Fellowship Amendments Act of 1990 (sec. 9)..........  101-454
Federal Agriculture Improvement and Reform Act of 1996......  104-127
Federal Aviation Reauthorization Act of 1996................  104-264
Federal Triangle Development Act............................  100-113
Financial Institutions Regulatory and Interest Rate Control   95-630
 Act of 1978................................................
Financial Reports Act of 1988 (title III, subtitle G).......  100-418
Fisheries Act of 1995.......................................  104-43
Fisheries Amendments of 1982................................  97-389
Fisherman's Protective Act of 1967..........................  83-680
Fishery Conservation Amendments of 1990.....................  101-627
Fishery Conservation Zone Transition Act....................   95-6
Food, Agriculture, Conservation, and Trade Act of 1990......  101-624
Food, Agriculture, Conservation, and Trade Act Amendments of  102-237
 1991.......................................................
Food and Agriculture Act of 1977............................  95-113
Food for Progress Act of 1985 (sec. 1110)...................  99-198
Food Security Act of 1985...................................  99-198
Food Security Commodity Reserve Act of 1996 (title III).....  96-494
Foreign Agents Registration Act Amendments..................  89-486
Foreign Agents Registration Act of 1938.....................  75-583
Foreign Assistance Act of 1961..............................  87-195
Foreign Assistance Act of 1962..............................  87-565
Foreign Assistance Act of 1963..............................  88-205
Foreign Assistance Act of 1964..............................  88-633
Foreign Assistance Act of 1965..............................  89-171
Foreign Assistance Act of 1966..............................  89-583
Foreign Assistance Act of 1967..............................  90-137
Foreign Assistance Act of 1968..............................  90-554
Foreign Assistance Act of 1969, as amended..................  91-175
Foreign Assistance Act of 1971..............................  92-226
Foreign Assistance Act of 1973..............................  93-189
Foreign Assistance Act of 1974..............................  93-559
Foreign Assistance and Related Programs Appropriations Act,   98-151
 1984 (sec. 101(b)(1))......................................
Foreign Corrupt Practices Act Amendments of 1988 (title V,    100-418
 subtitle A, part I)........................................
Foreign Corrupt Practices Act of 1977 (title I).............  95-213
Foreign Debt Reserving Act of 1989 (title IV)...............  101-240
Foreign Direct Investment and International Financial Date    101-533
 Improvements Act of 1990...................................
Foreign Gifts and Decorations Act of 1966...................  89-673
Foreign Intelligence Surveillance Act of 1978...............  95-511
Foreign Investment Study Act of 1974........................  93-479
Foreign Military Sales Act Amendments, 1971.................  91-672
Foreign Missions Act (title II).............................  97-241
Foreign Missions Amendments Act (title VI)..................  98-164
Foreign Narcotics Kingpin Designation Act (title VIII)......  106-120
Foreign Operations, Export Financing, and Related Programs    100-202
 Appropriations Act, 1988 (sec. 101(e)).....................
Foreign Operations, Export Financing, and Related Programs    101-513
 Appropriations Act 1991....................................
Foreign Operations, Export Financing, and Related Programs    102-391
 Appropriations Act, 1993...................................
Foreign Operations, Export Financing, and Related Programs    103-87
 Appropriations Act, 1994...................................
Foreign Operations, Export Financing, and Related Programs    103-306
 Appropriations Act, 1995...................................
Foreign Operations, Export Financing, and Related Programs    104-107
 Supplemental Appropriations Act, 1996......................
Foreign Operations, Export Financing, and Related Programs    104-208
 Supplemental Appropriations Act, 1997 (title I, sec.
 101(c))....................................................
Foreign Operations, Export Financing, and Related Programs    105-277
 Appropriations Act, 1999...................................
Foreign Operations, Export Financing, and Related Programs    106-113
 Appropriations Act, 2000...................................
Foreign Operations, Export Financing, and Related Programs    106-429
 Appropriations Act, 2001...................................
Foreign Relations Authorization Act, Fiscal Year 1976.......  94-141
Foreign Relations Authorization Act, Fiscal Year 1977.......  94-350
Foreign Relations Authorization Act, Fiscal Year 1978.......  95-105
Foreign Relations Authorization Act, Fiscal Year 1979.......  95-426
Foreign Relations Authorization Act, Fiscal Years 1986 and    99-93