[Congressional Record Volume 171, Number 40 (Monday, March 3, 2025)]
[Senate]
[Pages S1461-S1463]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
STATEMENTS ON INTRODUCED BILLS AND JOINT RESOLUTIONS
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By Mr. DURBIN (for himself, Mr. Boozman, Mrs. Shaheen, Mr.
Cassidy, and Mr. Coons):
S. 816. A bill to increase United States jobs through greater United
States exports to Africa and Latin America, and for other purposes; to
the Committee on Banking, Housing, and Urban Affairs.
Mr. DURBIN. Mr. President, I ask unanimous consent that the text of
the bill be printed in the Record.
There being no objection, the text of the bill was ordered to be
printed in the Record, as follows:
S. 816
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 ``Increasing American Jobs
Through Greater United States Exports to Africa and Latin
America Act of 2025''.
SEC. 2. INVESTMENT, TRADE, AND DEVELOPMENT IN AFRICA AND
LATIN AMERICA AND THE CARIBBEAN.
(a) Strategy Required.--
(1) In general.--The President shall establish a
comprehensive United States strategy for public and private
investment, trade, and development in Africa and Latin
America and the Caribbean.
(2) Focus of strategy.--The strategy required by paragraph
(1) shall focus on increasing exports of United States goods
and services to Africa and Latin America and the Caribbean by
200 percent in real dollar value by the date that is 10 years
after the date of the enactment of this Act.
(3) Consultations.--In developing the strategy required by
paragraph (1), the President shall consult with--
(A) Congress;
(B) each agency that is a member of the Trade Promotion
Coordinating Committee;
(C) the relevant multilateral development banks, in
coordination with the Secretary of the Treasury and the
respective United States Executive Directors of such banks;
(D) each agency that participates in the Trade Policy Staff
Committee;
(E) the President's Export Council;
(F) each of the development agencies;
(G) any other Federal agencies with responsibility for
export promotion or financing and development; and
(H) the private sector, including businesses,
nongovernmental organizations, and African and Latin American
and Caribbean diaspora groups.
(4) Submission to appropriate congressional committees.--
(A) Strategy.--Not later than 200 days after the date of
the enactment of this Act, the President shall submit to the
appropriate congressional committees the strategy required by
subsection (a).
(B) Progress report.--Not later than 3 years after the date
of the enactment of this Act, the President shall submit to
the appropriate congressional committees a report on the
implementation of the strategy required by paragraph (1).
(b) Special Africa and Latin America and the Caribbean
Export Strategy Coordinators.--The Secretary of Commerce
shall designate an official of the Department of Commerce to
serve as Special Africa Export Strategy Coordinator and an
official of the Department to serve as Special Latin America
and the Caribbean Export Strategy Coordinator--
(1) to oversee the development and implementation of the
strategy required by subsection (a);
(2) to coordinate developing and implementing the strategy
with--
(A) the Trade Promotion Coordinating Committee;
(B) the Director General for the United States and Foreign
Commercial Service and Assistant Secretary of Commerce for
Global Markets;
(C) the Assistant United States Trade Representative for
African Affairs or the Assistant United States Trade
Representative for the Western Hemisphere, as appropriate;
(D) the Assistant Secretary of State for African Affairs or
the Assistant Secretary of State for Western Hemisphere
Affairs, as appropriate;
(E) the Administrator of the Foreign Agricultural Service
of the Department of Agriculture;
(F) the Export-Import Bank of the United States;
(G) the United States International Development Finance
Corporation; and
(H) the development agencies; and
(3) to consider and reflect on the impact of the promotion
of exports of goods and services from the United States on
the economies of and employment opportunities in the
countries importing those goods and services, with a view
toward improving secure
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supply chains, avoiding economic disruptions, and stabilizing
economic growth through a trade and export strategy.
(c) Trade Missions to Africa and Latin America and the
Caribbean.--It is the sense of Congress that, not later than
one year after the date of the enactment of this Act, the
Secretary of Commerce and other high-level officials of the
United States Government with responsibility for export
promotion, financing, and development should conduct joint
trade missions to Africa and to Latin America and the
Caribbean.
(d) Training.--The President shall develop a plan--
(1) to standardize the training received by United States
and Foreign Commercial Service officers, economic officers of
the Department of State, and economic officers of the United
States Agency for International Development with respect to
the programs and procedures of the Export-Import Bank of the
United States, the United States International Development
Finance Corporation, the Small Business Administration, and
the United States Trade and Development Agency; and
(2) to ensure that, not later than one year after the date
of the enactment of this Act--
(A) all United States and Foreign Commercial Service
officers that are stationed overseas receive the training
described in paragraph (1); and
(B) in the case of a country to which no United States and
Foreign Commercial Service officer is assigned, any economic
officer of the Department of State stationed in that country
receives that training.
(e) Definitions.--In this section:
(1) Appropriate congressional committees.--The term
``appropriate congressional committees'' means--
(A) the Committee on Banking, Housing, and Urban Affairs,
the Committee on Commerce, Science, and Transportation, the
Committee on Finance, and the Committee on Foreign Relations
of the Senate; and
(B) the Committee on Energy and Commerce, the Committee on
Foreign Affairs, and the Committee on Ways and Means of the
House of Representatives.
(2) Development agencies.--The term ``development
agencies'' means the United States Department of State, the
United States Agency for International Development, the
Millennium Challenge Corporation, the United States
International Development Finance Corporation, the United
States Trade and Development Agency, the United States
Department of Agriculture, and relevant multilateral
development banks.
(3) Multilateral development banks.--The term
``multilateral development banks'' has the meaning given that
term in section 1701(c)(4) of the International Financial
Institutions Act (22 U.S.C. 262r(c)(4)) and includes the
African Development Foundation.
(4) Trade policy staff committee.--The term ``Trade Policy
Staff Committee'' means the Trade Policy Staff Committee
established pursuant to section 2002.2 of title 15, Code of
Federal Regulations.
(5) Trade promotion coordinating committee.--The term
``Trade Promotion Coordinating Committee'' means the Trade
Promotion Coordinating Committee established under section
2312 of the Export Enhancement Act of 1988 (15 U.S.C. 4727).
(6) United states and foreign commercial service.--The term
``United States and Foreign Commercial Service'' means the
United States and Foreign Commercial Service established by
section 2301 of the Export Enhancement Act of 1988 (15 U.S.C.
4721).
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By Mr. DURBIN (for himself, Mr. Wyden, Mrs. Murray, Mr. Reed, Mr.
Merkley, Mr. Blumenthal, Mr. Markey, and Ms. Hirono):
S. 819. A bill to amend the Internal Revenue Code of 1986 to provide
tax rate parity among all tobacco products, and for other purposes; to
the Committee on Finance.
Mr. DURBIN. Mr. President, I ask unanimous consent that the text of
the bill be printed in the Record.
There being no objection, the text of the bill was ordered to be
printed in the Record, as follows:
S. 819
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 ``End Tobacco Loopholes Act''.
SEC. 2. INCREASING EXCISE TAXES ON CIGARETTES AND
ESTABLISHING EXCISE TAX EQUITY AMONG ALL
TOBACCO PRODUCT TAX RATES.
(a) Tax Parity for Roll-Your-Own Tobacco.--Section 5701(g)
of the Internal Revenue Code of 1986 is amended by striking
``$24.78'' and inserting ``$49.56''.
(b) Tax Parity for Pipe Tobacco.--Section 5701(f) of the
Internal Revenue Code of 1986 is amended by striking
``$2.8311 cents'' and inserting ``$49.56''.
(c) Tax Parity for Smokeless Tobacco.--
(1) Section 5701(e) of the Internal Revenue Code of 1986 is
amended--
(A) in paragraph (1), by striking ``$1.51'' and inserting
``$26.84'';
(B) in paragraph (2), by striking ``50.33 cents'' and
inserting ``$10.74''; and
(C) by adding at the end the following:
``(3) Smokeless tobacco sold in discrete single-use
units.--On discrete single-use units, $100.66 per
thousand.''.
(2) Section 5702(m) of such Code is amended--
(A) in paragraph (1), by striking ``or chewing tobacco''
and inserting ``, chewing tobacco, or discrete single-use
unit'';
(B) in paragraphs (2) and (3), by inserting ``that is not a
discrete single-use unit'' before the period in each such
paragraph; and
(C) by adding at the end the following:
``(4) Discrete single-use unit.--The term `discrete single-
use unit' means any product containing, made from, or derived
from tobacco or nicotine that--
``(A) is not intended to be smoked; and
``(B) is in the form of a lozenge, tablet, pill, pouch,
dissolvable strip, or other discrete single-use or single-
dose unit.''.
(d) Tax Parity for Small Cigars.--Paragraph (1) of section
5701(a) of the Internal Revenue Code of 1986 is amended by
striking ``$50.33'' and inserting ``$100.66''.
(e) Tax Parity for Large Cigars.--
(1) In general.--Paragraph (2) of section 5701(a) of the
Internal Revenue Code of 1986 is amended by striking ``52.75
percent'' and all that follows through the period and
inserting the following: ``$49.56 per pound and a
proportionate tax at the like rate on all fractional parts of
a pound but not less than 10.066 cents per cigar.''.
(2) Guidance.--The Secretary of the Treasury, or the
Secretary's delegate, may issue guidance regarding the
appropriate method for determining the weight of large cigars
for purposes of calculating the applicable tax under section
5701(a)(2) of the Internal Revenue Code of 1986.
(3) Conforming amendment.--Section 5702 of such Code is
amended by striking subsection (l).
(f) Tax Parity for Roll-Your-Own Tobacco and Certain
Processed Tobacco.--Subsection (o) of section 5702 of the
Internal Revenue Code of 1986 is amended by inserting ``, and
includes processed tobacco that is removed for delivery or
delivered to a person other than a person with a permit
provided under section 5713, but does not include removals of
processed tobacco for exportation'' after ``wrappers
thereof''.
(g) Imposition of Tax on Nicotine for Use in Vaping, etc.--
(1) In general.--Section 5701 of the Internal Revenue Code
of 1986 is amended by redesignating subsection (h) as
subsection (i) and by inserting after subsection (g) the
following new subsection:
``(h) Nicotine.--On taxable nicotine, manufactured in or
imported into the United States, there shall be imposed a tax
equal to the dollar amount specified in section 5701(b)(1)
per 1,810 milligrams of nicotine (and a proportionate tax at
the like rate on any fractional part thereof).''.
(2) Taxable nicotine.--Section 5702 of such Code is amended
by adding at the end the following new subsection:
``(q) Taxable Nicotine.--
``(1) In general.--Except as otherwise provided in this
subsection, the term `taxable nicotine' means any nicotine
which has been extracted, concentrated, or synthesized.
``(2) Exception for products approved by food and drug
administration.--Such term shall not include any nicotine if
the manufacturer or importer thereof demonstrates to the
satisfaction of the Secretary of Health and Human Services
that such nicotine will be used in--
``(A) a drug--
``(i) that is approved under section 505 of the Federal
Food, Drug, and Cosmetic Act or licensed under section 351 of
the Public Health Service Act; or
``(ii) for which an investigational use exemption has been
authorized under section 505(i) of the Federal Food, Drug,
and Cosmetic Act or under section 351(a) of the Public Health
Service Act; or
``(B) a combination product (as described in section 503(g)
of the Federal Food, Drug, and Cosmetic Act), the constituent
parts of which were approved or cleared under section 505,
510(k), or 515 of such Act.
``(3) Coordination with taxation of other tobacco
products.--Tobacco products meeting the definition of cigars,
cigarettes, smokeless tobacco, pipe tobacco, and roll-your-
own tobacco in this section shall be classified and taxed as
such despite any concentration of the nicotine inherent in
those products or any addition of nicotine to those products
during the manufacturing process.
``(4) Regulations.--The Secretary shall prescribe such
regulations or other guidance as is necessary or appropriate
to carry out the purposes of this subsection, including
regulations or other guidance for coordinating the taxation
of tobacco products and taxable nicotine to protect revenue
and prevent double taxation.''.
(3) Taxable nicotine treated as a tobacco product.--Section
5702(c) of such Code is amended by striking ``and roll-your-
own tobacco'' and inserting ``roll-your-own tobacco, and
taxable nicotine''.
(4) Manufacturer of taxable nicotine.--Section 5702 of such
Code, as amended by paragraph (2), is amended by adding at
the end the following new subsection:
``(r) Manufacturer of Taxable Nicotine.--
``(1) In general.--Any person who extracts, concentrates,
or synthesizes nicotine shall be treated as a manufacturer of
taxable nicotine (and as manufacturing such taxable
nicotine).
``(2) Application of rules related to manufacturers of
tobacco products.--Any
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reference to a manufacturer of tobacco products, or to
manufacturing tobacco products, shall be treated as including
a reference to a manufacturer of taxable nicotine, or to
manufacturing taxable nicotine, respectively.''.
(h) Increasing Tax on Cigarettes.--
(1) Small cigarettes.--Section 5701(b)(1) of such Code is
amended by striking ``$50.33'' and inserting ``$100.66''.
(2) Large cigarettes.--Section 5701(b)(2) of such Code is
amended by striking ``$105.69'' and inserting ``$211.38''.
(i) Tax Rates Adjusted for Inflation.--Section 5701 of such
Code, as amended by subsection (g), is amended by adding at
the end the following new subsection:
``(j) Inflation Adjustment.--
``(1) In general.--In the case of any calendar year
beginning after 2025, the dollar amounts provided under this
chapter shall each be increased by an amount equal to--
``(A) such dollar amount, multiplied by
``(B) the cost-of-living adjustment determined under
section 1(f)(3) for the calendar year, determined by
substituting `calendar year 2024' for `calendar year 2016' in
subparagraph (A)(ii) thereof.
``(2) Rounding.--If any amount as adjusted under paragraph
(1) is not a multiple of $0.01, such amount shall be rounded
to the next highest multiple of $0.01.''.
(j) Floor Stocks Taxes.--
(1) Imposition of tax.--On tobacco products manufactured in
or imported into the United States which are removed before
any tax increase date and held on such date for sale by any
person, there is hereby imposed a tax in an amount equal to
the excess of--
(A) the tax which would be imposed under section 5701 of
the Internal Revenue Code of 1986 on the article if the
article had been removed on such date, over
(B) the prior tax (if any) imposed under section 5701 of
such Code on such article.
(2) Credit against tax.--Each person shall be allowed as a
credit against the taxes imposed by paragraph (1) an amount
equal to $500. Such credit shall not exceed the amount of
taxes imposed by paragraph (1) on such date for which such
person is liable.
(3) Liability for tax and method of payment.--
(A) Liability for tax.--A person holding tobacco products
on any tax increase date to which any tax imposed by
paragraph (1) applies shall be liable for such tax.
(B) Method of payment.--The tax imposed by paragraph (1)
shall be paid in such manner as the Secretary shall prescribe
by regulations.
(C) Time for payment.--The tax imposed by paragraph (1)
shall be paid on or before the date that is 120 days after
the effective date of the tax rate increase.
(4) Articles in foreign trade zones.--Notwithstanding the
Act of June 18, 1934 (commonly known as the Foreign Trade
Zone Act, 48 Stat. 998, 19 U.S.C. 81a et seq.), or any other
provision of law, any article which is located in a foreign
trade zone on any tax increase date shall be subject to the
tax imposed by paragraph (1) if--
(A) internal revenue taxes have been determined, or customs
duties liquidated, with respect to such article before such
date pursuant to a request made under the first proviso of
section 3(a) of such Act, or
(B) such article is held on such date under the supervision
of an officer of the United States Customs and Border
Protection of the Department of Homeland Security pursuant to
the second proviso of such section 3(a).
(5) Definitions.--For purposes of this subsection--
(A) In general.--Any term used in this subsection which is
also used in section 5702 of such Code shall have the same
meaning as such term has in such section.
(B) Tax increase date.--The term ``tax increase date''
means the effective date of any increase in any tobacco
product excise tax rate pursuant to the amendments made by
this section (other than subsection (j) thereof).
(C) Secretary.--The term ``Secretary'' means the Secretary
of the Treasury or the Secretary's delegate.
(6) Controlled groups.--Rules similar to the rules of
section 5061(e)(3) of such Code shall apply for purposes of
this subsection.
(7) Other laws applicable.--All provisions of law,
including penalties, applicable with respect to the taxes
imposed by section 5701 of such Code shall, insofar as
applicable and not inconsistent with the provisions of this
subsection, apply to the floor stocks taxes imposed by
paragraph (1), to the same extent as if such taxes were
imposed by such section 5701. The Secretary may treat any
person who bore the ultimate burden of the tax imposed by
paragraph (1) as the person to whom a credit or refund under
such provisions may be allowed or made.
(k) Effective Dates.--
(1) In general.--Except as provided in paragraphs (2)
through (4), the amendments made by this section shall apply
to articles removed (as defined in section 5702(j) of the
Internal Revenue Code of 1986) after the last day of the
month which includes the date of the enactment of this Act.
(2) Discrete single-use units and processed tobacco.--The
amendments made by subsections (c)(1)(C), (c)(2), and (f)
shall apply to articles removed (as defined in section
5702(j) of the Internal Revenue Code of 1986) after the date
that is 6 months after the date of the enactment of this Act.
(3) Large cigars.--The amendments made by subsection (e)
shall apply to articles removed after December 31, 2025.
(4) Taxable nicotine.--The amendments made by subsection
(g) shall apply to articles removed in calendar quarters
beginning after the date which is 180 days after the date of
the enactment of this Act.
(l) Transition Rule for Permit and Bond Requirements.--A
person which is lawfully engaged in business as a
manufacturer or importer of taxable nicotine (within the
meaning of subchapter A of chapter 52 of the Internal Revenue
Code of 1986, as amended by this section) on the date of the
enactment of this Act, first becomes subject to the
requirements of subchapter B of chapter 52 of such Code by
reason of the amendments made by this section, and submits an
application under such subchapter B to engage in such
business not later than 90 days after the date of the
enactment of this Act, shall not be denied the right to carry
on such business by reason of such requirements before final
action on such application.
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